EXPLORATION ROUNDUP — Sahelian adds to African holdings

The mineral potential of Mali has caught the attention of Sahelian Goldfields (SHGI-C), which has acquired rights to earn a 75% interest in a 200-sq.-km concession in the Kangaba district.

The junior had previously acquired the right to earn an 80% interest in 48 sq. km by spending US$150,000 in each of six blocks over a 2-year period. The latest transaction brings to 248 sq. km the company’s total holdings in the district.

The new concession contains surface gold anomalies identified during a 1995 soil-sampling survey. One of these is 5.5 km long and open to the north, while another has been traced over 11 km.

Sahelian will earn its 75% interest in this concession by issuing 50,000 shares (once the deal closes), spending US$500,000 on exploration over two years and issuing an additional 50,000 shares at the end of the 2-year period. Once Sahelian has earned a 75% interest, the vendor must contribute his share of ongoing costs, or be reduced to a 1.25% net smelter return.

Sahelian has $2 million in its treasury and plans to use the funds to meet its exploration obligations in Mali.

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