Channel Resources Ltd. ("Channel" or the
"Company") (TSX VENTURE:CHU - News) is pleased to report on
results from its ongoing 10,000 metre Reverse
Circulation ("RC") drilling program on the Tanlouka
Gold Project in Burkina Faso, West Africa. Reported results are from drilling
focused on the Mankarga 5 and Mankarga
1 target areas within the five square kilometre
Mankarga Zone, located in the south end of the 105
square kilometre Tanlouka
permit.
Mankarga 5
Target Area
Channel has extended the overall strike length of the Mankarga 5 target area from 950 metres,
as reported in its last news release on March 1, 2011, to 1,500 metres. The deposit remains open along strike and to
depth, and results to-date indicate that it can be advanced to the resource
estimation stage in the near term.
Results presented from Mankarga 5 are from
six step-out holes for an aggregate 744 metres of
drilling that tested as far as 700 metres to the
south-west of Tan11-RC37 and Tan11-RC38, the southernmost holes previously
reported, demonstrating that mineralization extends from line 850NE to at
least line 650SW. A map of drill hole locations in Mankarga
5 is available at: http://www.channelresources.ca/i/pdf/CHUmap032411.pdf
Significant intersections encountered in these recent holes are as
follows:
---------------------------------------------------------------------------
Intercept
Average(i)
Interval (metres)(i) (i)
Grade
Section
Hole Number
From To (metres)
(g/t Au)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
650SW
Tan11-RC56
96
134
38
2.46
--------------------------------------------------
includes 122 126
4
18.40
----------------------------------------------------------------
Hole ends in mineralization at 134 metres
depth
---------------------------------------------------------------------------
---------------------------------------------------------------------------
550SW
Tan11-RC57
22
74
52
1.18
--------------------------------------------------
includes 30
32
2
17.10
---------------------------------------------------------------------------
84
116
32 1.90
---------------------------------------------------------------------------
includes 102 106
4
13.37
---------------------------------------------------------------------------
---------------------------------------------------------------------------
500SW
Tan11-RC58
0
70
70
2.10
--------------------------------------------------
includes 12
26
14
6.23
----------------------------------------------------------------
98
124
26
0.31
----------------------------------------------------------------
Hole ends in mineralization at 124 metres
depth
---------------------------------------------------------------------------
---------------------------------------------------------------------------
200SW
Tan11-RC59
74
120
46
0.27
--------------------------------------------------
includes 76
82
6
0.63
---------------------------------------------------------------------------
Hole ends in mineralization at 120 metres
depth
---------------------------------------------------------------------------
---------------------------------------------------------------------------
200SW
Tan11-RC60 0
42
42
0.37
--------------------------------------------------
includes
6
16
10
0.71
--------------------------------------------------
52
68
16
0.27
---------------------------------------------------------------------------
Hole Tan11-RC55 encountered no significant mineralization.
Mineralization in Mankarga 5 is hosted by a
shear zone that penetrates a variety of rock types including altered metasedimentary and metavolcanic
rocks with some gabbroic components and a granodioritic
rock that contains some of the deposit's strongest grades. To date only one
full section (650NE) has been completed from hanging wall to footwall,
showing a 200 meter wide mineralized envelope.
"Mankarga 5 is developing into what we
expect will be an important deposit, showing a consistency and scale of
mineralization that could rival some of the gold deposits that are now in
development or already in production in Burkina Faso," commented Colin McAleenan, Channel's President and C.E.O. "We
continue to delineate the zone with RC drilling on a nominal 100 metre by 50 metre pattern and expect
to add core drilling in the near future to enhance our understanding of the
deposit's geology and structure as well as to infill-drill the deposit ahead
of a NI43-101 resource estimate. The coring program will also provide
definitive grade information for the deposit which will be especially
important in areas where we believe a shallow water table has contributed to
some gold losses from the RC drill samples."
A total of 26 holes have now been drilled and reported in Mankarga 5 during this program for a cumulative length of
3,573 meters. Together with the two Phase I
discovery holes reported in August of 2010, a total 24 holes of 28 drilled in
the zone intersected significant mineralization.
Mankarga 1
Twelve holes (Tan11-RC43 to Tan11-RC54 inclusive) were drilled in Mankarga 1 to follow various indications of mineralized
structure and artisanal mine workings to the East and Northwest of holes
Tan10-RC10, Tan10-RC12, and Tan10-RC13, which had intersected strong showings
of mineralization including:
-- 12 metres grading 21.25 g/t Au in Tan10-RC12, as reported on
January 20,
2011, and
-- 38 metres
grading 3.09 g/t Au in Tan10-RC10, as reported on September 8,
2010.
The follow-up holes tested the zone for continuity up to 375 metres to the northwest of Tan10-RC12 and in a suspected
offset zone 275 metres to the east of Tan10-RC13.
Eight of the holes drilled, Tan11-RC43, 45, 46, 47, 48, 51, 52 and 54
encountered weak mineralization in relatively narrow zones, with the
exception of the following:
---------------------------------------------------------------------------
Interval (metres)(i) Intercept(i)
Average(i) Grade
Hole Number
From
To
(metres)
(g/t Au)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Tan11-RC51
24
26 2
1.50
---------------------------------------------------------------------------
30
38
8
0.58
------------------------------------------------------------
46
172
126
0.43
------------------------------------------------------------
includes
60
68
8
0.90
------------------------------------------------------------
and
94
108
14
0.79
------------------------------------------------------------
and
118
128
10
0.71
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Tan11-RC52
0
4
4
1.02
------------------------------------------------------------
12
18
6
1.70
------------------------------------------------------------
46
52
6
11.39
------------------------------------------------------------
includes
48
50
2 32.50
---------------------------------------------------------------------------
These results confirm the complexity of Mankarga
1's mineralized structures; for example, hole Tan11-50 was drilled to
undercut the high-grade mineralization encountered in Tan10-RC12 but did not
intersect significant mineralization just 40 metres
down the inferred dip of the zone. It is expected that the pending results
from the high resolution airborne magnetic survey in combination with
subsequent core drilling will help to better understand this zone.
Current Drill Program Status and Follow Up
To date, Channel has reported results from 6,813 metres
of drilling in 49 holes. A further 1,050 meters in 10 holes have been
completed in Mankarga 5, with assays pending. In
total, 7,863 metres in 59 holes of the contracted
10,000 metre RC program have been drilled.
Most of the assays pending are from holes drilled to test Mankarga 5 for mineralization as far to the north east as
section 1150NE, which could potentially extend the deposit to a total length
of approximately two kilometers. Holes have also tested the area around the
eastern ends of sections 450NE and 550NE in the vicinity of hole Tan11-RC39 which returned the best intersection
to-date from Mankarga 5, 102 meters grading 1.52
g/t gold within a mylonitized intrusive rock.
The balance of the drilling program will be focused mostly on further
delineating the Mankarga 5 deposit, including
extensions to the southwest and northeast as well as completing additional
cross sections.
Channel Resources Ltd. maintains a rigorous quality control program
involving the use of duplicate samples and blanks and certified gold
standards from an accredited Canadian laboratory in every batch of 20
samples. Samples, taken from two metre intervals,
are assayed using standard fire assay on a 50 gram charge and atomic
absorption techniques at Abilab Burkina SARL (ALS
Laboratory Group) in Ouagadougou, Burkina Faso. The drilling program is supervised
by John Adams P.Geo., a qualified person as defined
by NI 43-101, who has reviewed the contents of this news release.
(i) Drilling and reporting practices:
-- All holes reported are Reverse
Circulation type (RC) with 2m samples for
entire hole lengths
-- All hole collars are set to
dip at -50 degrees to their
respective
azimuths
-- Cut-off grade used is 0.10 g/T
Gold for most of the quoted intersections
-- Internal dilution, where
incorporated in the quoted interval, is
generally up to a
maximum of 20%
-- Intervals are hole length,
true widths of mineralized zones have yet to
be determined
-- No top cut has been applied to
the grade
Channel Resources Ltd. is a Canadian TSX.V listed mineral exploration
Company which has an option to earn a 90% interest in the Tanlouka
Gold Project in Burkina Faso, West Africa, the terms of which the Company has
already satisfied, and an option to earn 100% in the Fox Creek Lithium /
Potash Brine Project in Alberta. At Tanlouka,
Channel has recently discovered multiple mineralized zones that are now being
explored and expanded through a 10,000 metre
reverse circulation drilling program. At Fox Creek, a bulk sample of brine
sourced from producing natural gas wells is undergoing process testing to
determine the most efficient method of producing various industrial minerals
from the brine, including lithium carbonate, potash, bromine and borates. The
Company is financed to advance both projects through their current programs,
and is actively searching for additional opportunities to expand its project
portfolio.
Some of the statements contained herein are forward-looking statements
which involve known and unknown risks and uncertainties. Without limitation,
statements regarding potential mineralization and resources, exploration
results, and future plans and objectives of the Company are forward looking
statements that involve various degrees of risk. The following are important
factors that could cause the Company's actual results to differ materially
from those expressed or implied by such forward looking statements: changes
in the price of minerals, general market conditions, risks inherent in
mineral exploration, risks associated with development, construction and
mining operations, the uncertainty of future profitability and the
uncertainty of access to additional capital. The Company undertakes no
obligation to update publicly or otherwise revise any forward-looking
statements or the foregoing list of factors, whether as a result of new information
or future events or otherwise. Further disclosure on risk factors is
available in the Company's various corporate filings at www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
Contact:
Colin McAleenan
Channel Resources Ltd.
President & CEO
604.684.7098
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