Abzu Gold Discovers New 3 km x 0.6 km Gold Targets Golden Reef East-Asankrangwa Belt, Ghana
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 05/31/11 -- Abzu Gold Ltd. (TSX VENTURE: ABS)(OTCQX: ABZUF) ('Abzu') is pleased to announce new positive results from a recently completed 460-sample soil geochemical program on the eastern portion of its Golden Reef concession (Figures 1 & 2). The new results outline a newly discovered zone (Golden Reef East) with gold-in-soil samples ranging from below detection to 1.27 g/t gold (Figure 3).
These results define 2 new structurally-controlled gold targets that are up to 3 km in length and 0.6 km wide, as well as several smaller zones. Significantly, more than 17% of the samples contain greater than or equal to50ppb gold and eight samples contain more than 0.3 g/t gold, a concentration of gold that is commonly used as a cutoff grade at some deposits.
To view Figure 1, please click the following link: http://media3.marketwire.com/docs/Abzufig1.pdf.
Gold targets are coincident with interpreted northeast-trending structures and northwest-trending cross structures (Figure 3). This reconnaissance survey was conducted with sample stations at 50m intervals along lines 400m apart. In addition, the anomaly is open along the southeastern edge of the survey.
'We are extremely pleased to have found an entire new gold-bearing zone to explore,' stated Dr. Paul Klipfel, Abzu's President. 'These results are very encouraging. Continuity of the anomaly across numerous sample lines spaced 400m apart is impressive.'
Abzu will conduct follow-up sampling and trenching. New sample lines between the current 400m spaced lines will improve definition of the anomaly prior to drill testing priority targets. In addition, the survey area will be expanded to the southeast to help identify the extent of gold at surface as part of Abzu's ongoing work program.
To view Figure 2, please click the following link: http://media3.marketwire.com/docs/Abzufig2.pdf.
To view Figure 3, please click the following link: http://media3.marketwire.com/docs/Abzufig3.pdf.
Project Highlights
The Golden Reef and Mpatasie concessions, along with the nearby U and N concession to the north, lie along key structural trends within the Asankrangwa Gold Belt. These individual structural trends host gold-bearing quartz vein systems which release gold into the surface environment upon weathering. This gold is intensely prospected and extracted from local gravels by countless artisanal miners.
Abzu has an extensive and strategic land position in the Asankrangwa Gold Belt, a structural zone 8-10km wide in the center of the Kumasi Basin with numerous shears that host gold vein systems. Past production from these vein systems is in the order of 1Moz Au. Recently, Keegan Resources Inc. has announced a resource approximately 8km northwest along strike from Abzu's U and N concessions. PMI Gold Corp. is developing resources at its Obotan project which lies approximately 8km southwest of the Mpatasie-Golden Reef concessions. Abzu plans to implement surface work on this property in the coming months.
Abzu has embarked on an aggressive strategy to explore the Mpatasie and Golden Reef properties through a combination of soil and trench sampling and an aerial VTEM geophysical survey (completed). A trenching program is currently in progress with three crews active.
Abzu plans further surface programs for its other concessions in the Asankrangwa, Ashanti and Kibi Belts.
Investor Relations Consultant Retained
Abzu Gold Ltd. has engaged Contact Financial Corporation to develop and execute a comprehensive marketing and investor communications program to help raise awareness of the Company.
Contact is a Vancouver-based strategic marketing and communication firm with experience in creating exposure for mineral exploration companies to industry stakeholders and investors. Contact's services will include providing advice to Abzu Gold with respect to corporate development, producing and distributing effective marketing communication tools, and increasing investor awareness.
Contact has been hired for an initial term of three months, renewable on a monthly basis thereafter on mutual agreement. Contact will be paid a monthly fee of $5,000, and has been granted a stock option to purchase up to 200,000 shares of the Company exercisable for five years at a price of $0.65 cents per share, with vesting restrictions in accordance with TSX Venture Exchange policies.
About Abzu
Abzu is a gold exploration and development company working in Ghana, Africa's 2nd largest gold producer and host to some of the world's largest gold deposits. Ghana has strong land title laws and is one of the world's most mining-friendly jurisdictions. Abzu has invested several years developing local and national relationships, key to its strategic land position on over 360 square kilometres of highly sought after and productive gold belts.
Qualified Person and Quality Control/Quality Assurance
Professional geologist (AIPG cert. # 10821) Dr. Paul Klipfel, President and a Qualified Person as defined by National Instrument 43-101, has supervised the preparation of the scientific and technical information that forms the basis for this news release. Dr. Klipfel is not independent of the Company as he is an officer and shareholder.
Abzu's work programs were planned and supervised by Paul Klipfel and Georgi Magaranov, who together are responsible for all aspects of the work, including the quality assurance/quality control program. Samples are collected systematically and in a consistent manner. Sample bags are closed and sealed at the sample site and kept secure in the care of field crews until delivered to the ALS laboratory in Kumasi, Ghana, for gold fire assay and ICP multi-element analyses. ALS Chemex's quality system complies with the requirements for the International Standards ISO 9001:2000 and ISO 17025: 1999. Analytical accuracy and precision are monitored by inclusion of field duplicates (1:50) and reference standards (1:20) into the sample stream.
Mr. Georgi Magaranov, a consulting economic geologist employed by ET Geoart, is a Qualified Person as defined by National Instrument 43-101, has also been responsible for design and supervision onsite of the work program, including the quality assurance/quality control program. Mr. Magaranov has over 17 years of exploration experience working for AngloAmerican plc, Rio Tinto Exploration, and other companies in a range of geographic locations in Africa, Asia, Europe, and South America for gold, copper and other types of mineral deposits. Mr. Magaranov is independent of the Company.
Dr. Klipfel has a PhD in economic geology and more than 32 years of relevant experience as a mineral exploration geologist. He is a Certified Professional Geologist (CPG 10821) by the American Institute of Professional Geologists.
On behalf of the board of directors of
ABZU GOLD LTD.
Allan Serwa, Chief Executive Officer
This news release contains certain forward-looking statements, and such statements involve risks and uncertainties. The results or events predicted may differ materially from actual results or events. Any forward-looking statement speaks only as of the date of this news release. Except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results, or any other occurrence.
NR11-05
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 press release, which has been prepared by management.
Contacts:
Abzu Gold Ltd.
Quentin Mai
Corporate Communications
604-638-3288
qmai@abzugold.com
www.abzugold.com