Cardinal Intercepts High‐Grade Shallow Gold at Ndongo East

Highlights                     

• Today’s high‐grade gold intersections from Ndongo East include:
• 3m @ 11.3 g/t Au from 75.7m in NDDD059
• 2m @ 4.5 g/t Au from 60m in NDDD061
• 3m @ 2.8 g/t Au from 58.2m in NDDD058

• Previous high‐grade gold intersections from Ndongo East included:
• 14m @ 7.0 g/t Au from 69m in NDDD046*
• 9m @ 23.3 g/t Au from 60m in NDRC248*
• 7m @ 4.4 g/t Au from 14m in NDRC216*
• 6m @ 12.6 g/t Au from 2m in NDRC275*
• 3m @ 29.3 g/t Au from 45m in NDDD036*

      *Refer to press releases dated 16 July 2018, 29 August 2018 and 23 January 2019 on Ndongo East

• Drilling has encountered multiple intercepts of near‐surface mineralisation;
• Drilling is ongoing and will continue to evaluate the open strike and depth extension of the Ndongo East mineralised system;
• Additional parallel mineralised structures striking NE‐SW remain to be evaluated by drilling and provide high priority drill targets;
• Infill auger drilling and geophysical surveys to commence in April over the Ndongo East deposit and its southern extension ~7km strike length to define the scope and scale of this structurally controlled mineralisation shear system.

Cardinal Resources Limited (ASX/TSX: CDV) (“Cardinal” or “the Company” –  https://www.commodity-tv.net/c/search_adv/?v=298772 ) is pleased to announce further intersections of high‐grade, shallow gold mineralisation at the Ndongo East deposit. Importantly, the Ndongo Prospecting License is located only 24km north of the Company’s Namdini Gold Project for which Cardinal declared a Maiden Probable Ore Reserve of 4.76Moz on the 18 September 2018 (Figure 1).

On 16 July and 29 August 2018, as well as on 23 January 2019, Cardinal reported numerous intersections of high‐grade gold at its Ndongo East deposit within the Ndongo Prospecting License and has now intersected further high‐grade gold during a recently completed diamond drilling program.

The Company plans to steadily ramp up exploration at Ndongo East after evaluating further drill core and assay results which determine the strike and depth extents of the mineralised system as well as the structural components of the various lithological units.

Cardinal’s Chief Executive Officer / Managing Director, Archie Koimtsidis stated:

“These latest shallow high-grade results have further enhanced our confidence in the Ndongo East gold deposit and how it is evolving.

“The Ndongo East discovery is particularly encouraging with the strike length of 450m, comprising higher grade, shallow gold mineralisation still open along strike and at depth (Figures 2, 3 and 4).

“Beyond this initial mineralised zone, a further 750m of gold mineralisation has been intersected along strike towards the south west.

“The Ndongo East prospect lies within a larger target area of ~7km in length that has yet to be fully explored. Planning is underway for a Gradient Array IP survey and auger soil drilling programme which will commence in April to evaluate this larger area which could generate further drill targets”.

Ndongo Prospecting License

The Ndongo Prospecting License covers an area of 295 km² and is considered highly prospective for the discovery of economic gold mineralisation associated with the prolific Nangodi Shear Zone, a splay fault off the main regional‐scale Bole‐Bolgatanga Shear. Elsewhere, the Nangodi Shear Zone is spatially related to no fewer than four gold discoveries, including the Company’s Namdini Gold Project with a 4.76Moz Probable Reserve, the Shaanxi Gold Mine, the historic Nangodi Gold Mine and the 2.1 Moz Youga Gold Mine in Burkina Faso, adjacent to the Ghanaian border. In addition, there are numerous historic shallow artisanal workings along many parts of this shear zone ~15 to 25 km north of the Namdini Gold Project (Figure 1).

Ndongo East Prospect

The Ndongo East Prospect is located within NE‐SW trending Birimian metavolcanics and metasediments. Gold mineralisation is developed mostly along diorite‐granodiorite contact zones where competency contrasts create brittle fracturing allowing the ingress and precipitation of gold mineralising fluids (Figures 2, 3 and 4). The mineralised horizons contain variable chlorite‐silica‐carbonate‐sericite alteration with sulphides (mainly pyrite with very minor arsenopyrite). Occasional visible gold grains and blebs have been observed in the core.

The gold mineralisation at Ndongo East is confined to specific gold bearing altered shear zones of pyrite-silica-ankerite carbonate dipping NW. Initial drilling indicates two orientations to this mineralisation, namely a steeply plunging NW orientation and a shallower W-SW dipping orientation. The current diamond drilling is designed to step out in small increments from the initial high-grade section line (E-E, Figure 2) to ensure that the mineralised structures are understood before embarking on a wider spaced drill campaign along strike.

A marker horizon comprising a very narrow, thinly bedded, black pyritic mudstone has been observed to occur at the base of the mineralised intersections within the metavolcanics (Figures 3 and 4). This marks a hiatus (pause) in the continuation of volcanic activity in the area. Although this marker horizon is unrelated to mineralisation within the metavolcanics, it will be a very useful marker as more shallow diamond drilling is done further along strike as it can be used to define the base of this shallow mineralisation.

Previously announced drilling intersected higher‐grade mineralised structures concentrated in the northern portion of the shear zone with coincident gold‐in‐soil and geophysical targets defined to a strike length 450m NE-SW (Figure 2).

Subsequent RC drilling along fence lines further to the southwest along strike and at depth to test for mineralisation has proven encouraging with further high‐grade intercepts within the mineralised structures. This indicates that the mineralised system is open along a NE‐SW strike and at depth with multiple mineralised intersections. The furthest drill fence to the southwest intersected 2m at 27.0 g/t Au from 10m downhole in NDRC247 which suggests a strike potential up to 1.2km of mineralised structures. (refer to Cardinal’s ASX/TSX Press Release 29 August 2018 “Cardinal Extends Ndongo East Discovery Strike Length”).

Follow up systematic shallow diamond drilling is continuing at Ndongo East at short intervals along strike to extend the continuity of the high-grade mineralised zones. These additional drill holes will determine the strike and depth extents of the mineralised system and will evaluate the structural components of the various lithological units.

Drill Section E1-E1 (Figure 3) comprises drill holes NDDD058 and NDDD059. These two drill holes have intersected shallow gold mineralised haloes between 8m to 16m wide with very encouraging grades.

Drill Section E-1-E-1 (Figure 4) presently comprises drill holes NDDD060 and NDDD061. These two drill holes have intersected shallow gold mineralised haloes between 5m to 7m wide with very encouraging grades.

ABOUT CARDINAL

Cardinal Resources Limited (ASX/TSX: CDV) is a West African gold‐focused exploration and development Company that holds interests in tenements within Ghana, West Africa.

The Company is focused on the development of the Namdini Project with a Maiden Ore Reserve of 4.76Moz and is now advancing the feasibility study.

Exploration programmes are also underway at the Company’s Bolgatanga (Northern Ghana) and Subranum (Southern Ghana) Projects.

Cardinal confirms that it is not aware of any new information or data that materially affects the information included in its announcement of the Maiden Ore Reserve of 18 September 2018. All material assumptions and technical parameters underpinning this estimate continue to apply and have not materially changed.

For further information contact:

Archie Koimtsidis                                                                 Alec Rowlands

CEO / MD                                                                                 IR / Corp Dev

Cardinal Resources Limited                                              Cardinal Resources Limited

P: +61 8 6558 0573                                                               P: +1 647 256 1922

Andrew Rowell                                                                     Peta Baldwin

Cannings Purple                                                                    Cannings Purple

E: arowell@canningspurple.com.au                      E: pbaldwin@canningspurple.com.au

P: +61 400 466 226                                                               P: +61 455 081 008

In Europe:

Swiss Resource Capital AG

Jochen Staiger

info@resource-capital.ch 

www.resource-capital.ch

To view original news in English language, please follow the link: https://www.asx.com.au/asxpdf/20190327/pdf/443t4hwzj8x2c1.pdf