Arrow Minerals signed a definitive earn-in agreement with Roxgold Inc. (TSX: ROXG) wherein Roxgold can earn a 70% interest in Arrow’s Hounde South Project (Project) after expenditure of up to US$1 million (~A$1.5 million ) in exploration in two stages over four years.
The Project consists of two exploration licences (being the Fofora and Konkoira permits) adjacent to Roxgold’s Boussoura permit in southwest Burkina Faso. Historical exploration at the Project included stream sediment sampling that demonstrated the potential for gold mineralisation traversing both Arrow’s and Roxgold’s licenses.
Under the Earn-in Agreement, Roxgold can acquire an initial 51% interest in the project with the option to increase its interest to 70% through exploration expenditure of $A1.5 million.
Gold anomalism at Nako was detected in a historical stream sediment geochemistry programme by the Burkina Faso geological survey (BUMIGEB) survey in the south-eastern segment of the Hounde South project. Follow up BLEG stream sediment sampling has been completed, however the samples have not yet been submitted for gold analysis.
The Nako project is located in the southern Boromo belt to the north of major gold and copper-gold systems at Batie West (Centa min) and Gaoua (B2Gold). The project encompasses the major Boromo Shear Zone corridor where it coincides with the eastern flank of a major granitoid batholith. A large intermediate intrusion complex hosts porphyry-style (Cu-Au) mineralisation in the tenement block. The Kunche deposit in Ghana is located on a parallel structural corridor some 30km SE of Nako.