Canaco Extends Strike of Magambazi Gold Zone to 700 m, With New Results of 60 Metres at 1.67 Grams Per Tonne Au
5/27/2010 6:02:46 AM - Market Wire
VANCOUVER, BRITISH COLUMBIA, May 27, 2010 (MARKETWIRE via COMTEX News Network) --
Canaco Resources Inc. (TSX VENTURE: CAN) is pleased to announce exciting new gold results of 60 metres at 1.67 g/t from the Company's Handeni Gold Project in the Handeni region of the United Republic of Tanzania. Extensional step-out drilling conducted in the Magambazi North area has intersected the Magambazi Gold Zone over large widths a further 200m north of previously reported drilling (refer to our Press Release dated May 3, 2010). The main intersection is:
-- 60.0m @ 1.67 g/t Au from 109.0m (MZGD048), including: -- 23.5m @ 2.86 g/t Au from 109.0m;
This intersection has extended the strike length of the Magambazi Gold Zone from 440m to over 700m and the system remains open down plunge and along strike to the north. Drill Hole MGZD048 has contributed to the understanding of the Magambazi Ore body, after a large zone of mineralization was identified in drill core.
"The combination of excellent results from recent metallurgical testwork (refer to our Press Release dated May 19, 2010) and more than doubling the known strike of the Magambazi Gold Zone during the last few months of drilling is extremely encouraging," said Andrew Lee Smith, Canaco's President and CEO. "The Handeni project will continue to gain momentum with expanded exploration ramping up to include RC drilling at Semwaliko and Majiri Bomba, aeromagnetics, continued diamond drilling and further resource work over the coming months."
Drilling of the Magambazi and Magambazi North Mineralized systems has been reprioritized to test the down dip extension of the intersection reported in MGZD048, to test further strike extensions to the mineralized shoot, and to infill broad spaced drilling around recent high grade intercepts of 21.7m @ 6.79 g/t Au, including 9.5m @ 12.75 g/t Au (MGZD0045); and 21.2m @ 4.80 g/t Au, including 11.0m @ 7.90 g/t Au (MGZD0043) (refer to our Press Release dated May 3, 2010).
TABLE 1 - Magambazi Drill Results (1)
--------------------------------------------------
Local
Azi-
muth Inter- Au
(degr- From To val Grade
Drill Program ees)/ (met- (met- (met- (grams/
Hole Local N Local E Type Dip res) res) res) tonne)
--------------------------------------------------
MGZ 109.0 169.0 60.0 1.67
D048 605960 10140 Extension 090/-74
------------------------------------
including 109.0 158.7 23.5 2.86
--------------------------------------------------
The diamond drilling and detailed mapping have provided a solid geological and structural understanding of the Magambazi and Magambazi North Gold Zones:
1. The Magambazi Gold Zone consists of subvertical to moderate west dipping
high-grade gold lodes now defined over 700m strike and with up to 200m
vertical extent. The mineralization is controlled by, and lies east of,
a subvertical structure (Magambazi Fault), which parallels the zone and
forms a synformal axis to the entire system. Mineralization is best
developed in the hangingwall of the structure (east side) and the
highest grades occur adjacent to it. The mineralization plunges
moderately north at the outcrop position (Big Pit) to sub horizontal in
the vicinity of Magambazi Central/North. Mineralization is hosted in
silica-garnet altered amphibolite with abundant sulphides including
arsenopyrite, pyrrhotite and pyrite. The best intercept to date from the
Magambazi Gold Zone is 56.2m @ 6.34g/t Au (refer to our Press Release
dated Dec 16, 2009).
2. The Magambazi North Gold Zone outcrops 800m NW of the Magambazi
Workings. Magambazi North consists of several lodes which dip gently
toward the east and plunge toward the south. Mineralization lies west of
the Magambazi Fault on the western side of the broad synformal
structure. The best intercept to date from the Magambazi North Gold Zone
is 30m @ 3.46 g/t Au (refer to our Press Release dated Feb 18, 2010).
The Magambazi and Magambazi North prospects are part of a 1.4 kilometre long trend of gold mineralization now defined by high grade drill results, artisanal mine workings and soil geochemical anomalies. This 1.4 kilometre trend represents the southernmost segment of the 11 kilometre Handeni Gold Trend contained within the Company's Handeni Gold Project.
The planning, execution and monitoring of quality control programs at the Handeni project are under the supervision of Andrew Lee Smith, P.Geo, Canaco's CEO and Dr. David Groves, Canaco's Director of Project Development, Tanzania. Mr. Smith and Dr. Groves are qualified persons as defined by National Instrument 43-101. Canaco utilizes an industry standard QA/QC protocol with respect to sampling procedures. Blanks, and certified reference standards are inserted into the sample stream to monitor laboratory performance and duplicates of pulps and bulk rejects are also used to monitor laboratory performance.
Additional information and public documents about Canaco, including drill hole intercepts, drill collar maps, and images of 2009 exploration activities, can be viewed at the Company's website www.canaco.ca or at www.sedar.com. Canaco Resources Inc. is listed on the TSX Venture Exchange and is engaged in the exploration and development of Tanzanian gold prospects.
Andrew Lee Smith, P.Geo, CEO
Canaco Resources Inc.
Dr. Jingbin Wang, Chairman
Canaco Resources Inc.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the release. The Company relies on litigation protection for "forward-looking" statements.
Contacts: Canaco Resources Inc. Nick Watters Investor Relations 604-488-0822 or 1-866-488-0822 investors@canaco.ca www.canaco.ca
SOURCE: Canaco Resources Inc.
mailto:investors@canaco.ca www.canaco.ca
Copyright 2010 Marketwire, Inc., All rights reserved.
5/27/2010 6:02:46 AM - Market Wire
VANCOUVER, BRITISH COLUMBIA, May 27, 2010 (MARKETWIRE via COMTEX News Network) --
Canaco Resources Inc. (TSX VENTURE: CAN) is pleased to announce exciting new gold results of 60 metres at 1.67 g/t from the Company's Handeni Gold Project in the Handeni region of the United Republic of Tanzania. Extensional step-out drilling conducted in the Magambazi North area has intersected the Magambazi Gold Zone over large widths a further 200m north of previously reported drilling (refer to our Press Release dated May 3, 2010). The main intersection is:
-- 60.0m @ 1.67 g/t Au from 109.0m (MZGD048), including: -- 23.5m @ 2.86 g/t Au from 109.0m;
This intersection has extended the strike length of the Magambazi Gold Zone from 440m to over 700m and the system remains open down plunge and along strike to the north. Drill Hole MGZD048 has contributed to the understanding of the Magambazi Ore body, after a large zone of mineralization was identified in drill core.
"The combination of excellent results from recent metallurgical testwork (refer to our Press Release dated May 19, 2010) and more than doubling the known strike of the Magambazi Gold Zone during the last few months of drilling is extremely encouraging," said Andrew Lee Smith, Canaco's President and CEO. "The Handeni project will continue to gain momentum with expanded exploration ramping up to include RC drilling at Semwaliko and Majiri Bomba, aeromagnetics, continued diamond drilling and further resource work over the coming months."
Drilling of the Magambazi and Magambazi North Mineralized systems has been reprioritized to test the down dip extension of the intersection reported in MGZD048, to test further strike extensions to the mineralized shoot, and to infill broad spaced drilling around recent high grade intercepts of 21.7m @ 6.79 g/t Au, including 9.5m @ 12.75 g/t Au (MGZD0045); and 21.2m @ 4.80 g/t Au, including 11.0m @ 7.90 g/t Au (MGZD0043) (refer to our Press Release dated May 3, 2010).
TABLE 1 - Magambazi Drill Results (1)
--------------------------------------------------
Local
Azi-
muth Inter- Au
(degr- From To val Grade
Drill Program ees)/ (met- (met- (met- (grams/
Hole Local N Local E Type Dip res) res) res) tonne)
--------------------------------------------------
MGZ 109.0 169.0 60.0 1.67
D048 605960 10140 Extension 090/-74
------------------------------------
including 109.0 158.7 23.5 2.86
--------------------------------------------------
The diamond drilling and detailed mapping have provided a solid geological and structural understanding of the Magambazi and Magambazi North Gold Zones:
1. The Magambazi Gold Zone consists of subvertical to moderate west dipping
high-grade gold lodes now defined over 700m strike and with up to 200m
vertical extent. The mineralization is controlled by, and lies east of,
a subvertical structure (Magambazi Fault), which parallels the zone and
forms a synformal axis to the entire system. Mineralization is best
developed in the hangingwall of the structure (east side) and the
highest grades occur adjacent to it. The mineralization plunges
moderately north at the outcrop position (Big Pit) to sub horizontal in
the vicinity of Magambazi Central/North. Mineralization is hosted in
silica-garnet altered amphibolite with abundant sulphides including
arsenopyrite, pyrrhotite and pyrite. The best intercept to date from the
Magambazi Gold Zone is 56.2m @ 6.34g/t Au (refer to our Press Release
dated Dec 16, 2009).
2. The Magambazi North Gold Zone outcrops 800m NW of the Magambazi
Workings. Magambazi North consists of several lodes which dip gently
toward the east and plunge toward the south. Mineralization lies west of
the Magambazi Fault on the western side of the broad synformal
structure. The best intercept to date from the Magambazi North Gold Zone
is 30m @ 3.46 g/t Au (refer to our Press Release dated Feb 18, 2010).
The Magambazi and Magambazi North prospects are part of a 1.4 kilometre long trend of gold mineralization now defined by high grade drill results, artisanal mine workings and soil geochemical anomalies. This 1.4 kilometre trend represents the southernmost segment of the 11 kilometre Handeni Gold Trend contained within the Company's Handeni Gold Project.
The planning, execution and monitoring of quality control programs at the Handeni project are under the supervision of Andrew Lee Smith, P.Geo, Canaco's CEO and Dr. David Groves, Canaco's Director of Project Development, Tanzania. Mr. Smith and Dr. Groves are qualified persons as defined by National Instrument 43-101. Canaco utilizes an industry standard QA/QC protocol with respect to sampling procedures. Blanks, and certified reference standards are inserted into the sample stream to monitor laboratory performance and duplicates of pulps and bulk rejects are also used to monitor laboratory performance.
Additional information and public documents about Canaco, including drill hole intercepts, drill collar maps, and images of 2009 exploration activities, can be viewed at the Company's website www.canaco.ca or at www.sedar.com. Canaco Resources Inc. is listed on the TSX Venture Exchange and is engaged in the exploration and development of Tanzanian gold prospects.
Andrew Lee Smith, P.Geo, CEO
Canaco Resources Inc.
Dr. Jingbin Wang, Chairman
Canaco Resources Inc.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the release. The Company relies on litigation protection for "forward-looking" statements.
Contacts: Canaco Resources Inc. Nick Watters Investor Relations 604-488-0822 or 1-866-488-0822 investors@canaco.ca www.canaco.ca
SOURCE: Canaco Resources Inc.
mailto:investors@canaco.ca www.canaco.ca
Copyright 2010 Marketwire, Inc., All rights reserved.
