Vancouver — Encouraging results from the first 14 holes drilled at the Ashanti II gold project in Ghana have prompted operator
Advancing early-stage projects is nothing new to PMI’s president, Arthur Fisher. For the past few years, Fisher has been at the helm of
Covering 400 sq. km of the Asankrangwa gold belt in southwestern Ghana, the project lies between the Ashanti and Sefwi gold belts. The property, which was worked in the past by several different companies (albeit on a piecemeal basis), hosts both historic and current artisanal mine sites and covers the intersection of major structures.
Over the past couple of years, a private company accumulated property positions and assembled the data from all the past exploration programs. PMI inked a deal with this company to acquire an 85% stake by paying $260,000 and issuing 3 million shares over three years.
The junior started drilling in May, with the first hole put down in the Fromenda Grid B area. There, crews have identified deep-plunging quartz reefs grading more than 8 grams gold per tonne and bulk-minable material grading 2 grams gold. The hole returned 30 metres grading 2.63 grams gold. The junior went on to test the zone over a 100-metre strike length with another nine holes.
Holes 2 and 3 returned 22.7 metres grading 0.89 gram gold and 25.2 metres grading 0.86 gram gold, respectively.
Testing the mineralization cut in a previous hole (9 metres grading 12 grams gold), hole 5 cut 10.7 metres grading 3.8 grams gold, including a higher-grade section running 19.5 grams gold over 1.5 metres.
Hole 7 returned 4 metres grading 10.9 grams gold.
The gold occurs in sheared quartz stringers and reefs cutting folded, fractured and altered metamorphosed greywackes and volcanics. The mineralization lies in a 2-km-long gold-in-soil anomaly. The gold is generally coarse, free-milling, and based on initial leach tests, easily recovered.
Some 20 km to the southwest, the company tested for mineralization along strike in the old Kukunapi mine area on the Gemap concession. The first hole cut 6 metres grading 4.67 grams gold. Included in this section was a higher-grade portion running 21.59 grams gold over 1 metre. The second hole cut 2.24 grams gold over 6.5 metres.
Moving 55 metres southwest, hole 3 returned 1.54 grams gold over 1.5 metres, while 180 metres to the southeast, hole 4 cut 2.91 grams gold over 1.5 metres.
Mineralization is associated with sheared quartz reefs in graphitic phyllites.
Reconnaissance work over the property led to a discovery 3 km to the northeast. Dubbed the School zone, grab samples returned up to 10.9 grams gold. A trench has also been dug 30 metres along the strike of the mineralization, with assay results pending.
Based on the drill results, PMI aims to drill 80 reverse-circulation holes totalling 6,000 metres, starting in October.
To fund the program, the junior has tabled two non-brokered private placements. The first comprises up to 4.44 million units priced at $0.45 each. A unit includes one share and half a warrant. A full warrant allows the holder to buy another share for 70 over the next two years. The second consists of 1.1 million units priced at 52 each. A unit holds one share and half a warrant. Each full warrant is exercisable at 70 for the first year and $1 in the second.
PMI has 13.8 million shares outstanding, or 23.3 million fully diluted, and trades at around 70.
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