Banro intersects further significant gold mineralization in trenches at Lugushwa and identifies new prospect areas
October 25 2005 - 9:20AM
PR Newswire (US)
New trench sampling results include 70.5 metres averaging 4.90 g/t
Au, 93 metres at 2.24 g/t Au and 39 metres of 8.67 g/t Au TORONTO,
Oct. 25 /PRNewswire-FirstCall/ -- Banro Corporation ("Banro" or the
"Company") (AMEX - "BAA"; TSX Venture Exchange - "BAA") is pleased
to announce further positive exploration results from the Company's
wholly-owned Lugushwa project, located on the Twangiza-Namoya gold
belt in the Democratic Republic of the Congo (the "DRC"). Closely
spaced trench results received from the G20 prospect at Lugushwa
include 70.5 metres averaging 4.90 g/t Au in trench T6B and 93
metres at 2.24 g/t Au from trench T10. On the D18 prospect, results
include 12 metres averaging 1.75 g/t Au and 29 metres at 1.30 g/t
Au from trench TL58720 as well as 10 metres averaging 6.30 g/t Au
and 16 metres at 1.93 g/t Au from trench TL58560. At the newly
delineated Kimbangu prospect, the first trench intersected 39
metres averaging 8.67 g/t Au, including 25 metres at 11.76 g/t Au.
The more significant new Lugushwa trench results received are
summarized in the tables below together with a full table of trench
results received to date. A locality plan is found accompanying
this press release on the Company's website, at
http://www.banro.com/i/pdf/BAA_LugushwaTRSA.pdf. NEW TRENCH RESULTS
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PROSPECT TRENCH FROM TO LENGTH Au (g/t) (metres) (metres) (metres)
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G20 T6B 0 70.5 70.50 4.90
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G20 T8 28 87 59.00 1.87
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G20 T10 0 93 93.00 2.24
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G20 T12 0 95 95.00 2.08
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KIMBANGU TL59840A/B 0 39 39.00 8.67
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including 13 38 25.00 11.76
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D18 TL58720 152 164 12 1.75 And 167 196 29.00 1.30 D18 TL58560 99
109 10.00 6.30 And 310 326 16.00 1.93
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In addition, two of the three previously announced trenches (T3 and
T4) have been extended with the following mineralized lengths
incorporating the previously announced trench results (see the
Company's press release dated July 8, 2005).
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PROSPECT TRENCH FROM TO LENGTH Au (g/t) (metres) (metres) (metres)
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G20 T3/3A/3B 88 126 38.00 1.69
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And 131 246 115.00 1.62
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G20 T4/4A 105 127 22.00 1.38
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And 140 264 124.00 3.72
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The G20 trench results are from previously excavated exploration
trenches and represent close spaced (20 to 50 metres apart)
trenches at variable orientations and cover an area of 25,000
square metres. These trenches were resampled to verify previous
historical results with the recent results indicating that the gold
mineralization is more extensive than the historical data. The
geological setting of the mineralization at G20 consists of
sericite chlorite schists and interbedded quartzites with
mineralized quartz veins occurring as a network of interlocking
conjugate sets with trends oriented from NNW-SSE to NNE-SSW and in
an E-W direction with dips to the E and N respectively. At the D18
prospect, trenches TL58720 and TL58560 are orientated NW-SE and are
160 metres apart. Mineralization at prospect D18 is similar to that
at G20. The first trench on the new Kimbangu prospect, 1,000 metres
ENE of prospect D18, intersected 39 metres averaging 8.67 g/t Au
and is perpendicular to the soil anomaly trend. Initial geological
mapping indicates a similar geological setting to prospect G20 and
consists of sericite schists and interbedded quartzites with gold
mineralization associated with a network of interlocking quartz
veins trending NNW-SSE to NNE-SSW and in an E-W direction. A total
of 2,250 metres of trenching have now been completed at Lugushwa
with the collection of 3,044 rock samples for analysis. All trench
results received to date from Lugushwa are tabulated below:
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TRENCH NORTHING EASTING LENGTH MINERALIZATION Au -----------------
PROSPECT ID (UTM) (UTM) (m) AZIMUTH FROM TO LENGTH (m) (m) (m)
(g/t)
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G20 TN1/T1A 9623982 595439.5 358 160 UM
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G20 (x) T3/3A/3B 9624157.1 595532 251 160 66.0 72.0 6.0 1.48
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88.0 1 26.0 38.0 1.69
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131.0 246.0 115.0 1.62
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G20 (x)T4/4A 9624149 595486 535 162 80.0 86.0 6.0 1.70
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105.0 127.0 22.0 1.38
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140.0 264.0 124.0 3.72
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519.0 526.0 7.0 1.09
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G20 (x)T5/5A 9623983 595489 341 160 129.5 130.5 2.0 1.00
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178.0 261.6 83.6 1.97
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G20 T6 9624021 595591 79 208 0.0 79.0 79.0 4.05
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G20 T6B 9623981 595559 71 210 0.0 70.5 70.5 4.90
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G20 T8 9624052 595543 87 210 28.0 87.0 59.0 1.87
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G20 T9 9623959 595619 60 210 0.0 52.0 52.0 1.16
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G20 T10 9624033 595551 93 206 0.0 93.0 93.0 2.24
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G20 T12 9624013 595603 95 205 0.0 95.0 95.0 2.08
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Kimbangu TL59840A/B 9624550 597380 148 135 0.0 39.0 39.0 8.67
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104.0 107.0 3.0 2.30
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D18 TL58720 9624512 595473 208 135 152.0 164.0 12.0 1.75
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167.0 196.0 29.0 1.30
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D18 TL58560 9624472 595303 449 135 99.0 109.0 10.0 6.30
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141.0 145.0 4.0 3.25
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310.0 326.0 16.0 1.93
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332.0 335.0 3.0 1.98
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365.0 369.0 4.0 1.53
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(x)(equal sign) Previously reported trench results with extensions
UM (equal sign) Unmineralized A total of 2,630 soil samples were
collected and submitted for analysis. Soil geochemical results
received to date from Lugushwa highlight a prominent 1,700 metre
long, north trending gold in soil anomaly which then trends
northeastwards at the D18/19 prospects for additional 1,400 metres
to include the new Kimbangu prospect (see the locality plan
referred to above). The 500 metre long Kimbangu soil anomaly
represents a new grassroots discovery and is not associated with
any previous mining activity. South of the G20/21 prospects, the
gold in soil anomaly remains open and further soil sampling will be
undertaken in this area to fully outline the extent of the soil
anomaly to the south. The gold in soil geochemical anomaly
associated with the Mapale prospect to the north now appears to
represent a separate parallel NE-SW trending mineralized trend. A
number of soil anomalies have been identified along the Mapale
trend and will require follow up. Initial geological mapping at
Mapale indicates that the dominant rock types are quartzites and
sericite chlorite schists. Quartz veins occur as a network of
interlocking conjugate sets with trends oriented from N-S to NE-SW
and dipping to the E, SE and NW. The above trench sampling was
undertaken at approximately one metre intervals and the assay
composites are uncut. Soil sampling was undertaken at 40 metres
along lines 80 to 160 metres apart. The soil and trench samples
were analysed for gold by fire assay using a 50g sample at S.G.S.'s
accredited Mwanza Geochemical Laboratory in Tanzania and at the
accredited ALS Chemex Laboratory in Johannesburg. Internationally
recognized standards and blanks were inserted as part of the
Company's QA/QC analytical procedures. Trenching, geological
mapping and geochemical sampling are continuing at the G20, D18,
Kimbangu, and Simali prospects to better define the mineralized
trends prior to drilling. A previous study by independent
geological consultants Steffen, Robertson and Kirsten (UK) Ltd
("SRK") on historic data at Lugushwa outlined an Inferred Mineral
Resource of 37,000,000 tonnes grading 2.3 g/t Au, equivalent to
2,735,000 ounces of gold (see the Company's press release dated
February 28, 2005). Commenting on these new results at Lugushwa,
Peter Cowley, President and C.E.O. of the Company, said: "These
trench and soil results demonstrate the upside potential at
Lugushwa in terms of both the historically known mineralization and
in delineating new prospect areas such as Kimbangu." Additional
information with respect to the Lugushwa property is contained in
SRK's report dated February 2005. A copy of this report can be
obtained from SEDAR at http://www.sedar.com/ and from the Company's
website at http://www.banro.com/. At Banro's other project areas
along the Twangiza-Namoya gold belt, core drilling is continuing at
the Namoya project area while at Twangiza, the exploration camp has
now been established with gridding and geological mapping underway.
In Bukavu, the mobile sample preparation facility has been
successfully commissioned and is now fully operational. This
preparation facility should result in a reduced turnaround time for
assay results. Banro is a Canadian-based gold exploration company
focused on the development of four major, wholly-owned gold
projects along the 210 kilometre- long Twangiza-Namoya gold belt in
the South Kivu and Maniema provinces of the DRC. Led by a proven
management team with extensive gold and African experience, Banro's
strategy is to unlock shareholder value by increasing and
developing its significant gold assets in a socially and
environmentally responsible manner. Qualified Person
---------------- The exploration results disclosed by this press
release have been reviewed, verified (including sampling,
analytical and test data) and compiled by the Company's geological
staff based in Bukavu, DRC which includes a "qualified person" (as
such term is defined in National Instrument 43-101), Michael Skead
(Aus.I.M.M), the Company's Vice President of Exploration.
Cautionary Note to U.S. Investors: The United States Securities and
Exchange Commission (the "SEC") permits U.S. mining companies, in
their filings with the SEC, to disclose only those mineral deposits
that a company can economically and legally extract or produce.
Certain terms are used in this press release, such as
"inferred""resources", that the SEC guidelines strictly prohibit
U.S. registered companies from including in their filings with the
SEC. U.S. Investors are urged to consider closely the disclosure in
the Company's Form 40-F Registration Statement, File No. 001-32399,
which may be secured from the Company, or from the SEC's website at
http://www.sec.gov/edgar.shtml. Forward-Looking Statements: This
press release contains forward-looking statements that are based on
the Company's current expectations and estimates. Forward-looking
statements are frequently characterized by words such as "plan,"
"expect," "project," "intend," "believe," "anticipate", "estimate"
and other similar words or statements that certain events or
conditions "may" or "will" occur, and include without limitation,
statements regarding potential mineralization and resources,
exploration results and future plans and objectives of the Company.
Such forward-looking statements involve known and unknown risks,
uncertainties and other factors that could cause actual events or
results to differ materially from estimated or anticipated events
or results implied or expressed in such forward-looking statements.
Factors that could cause such differences include changes in world
gold markets and equity markets, political developments in the DRC,
changes to regulations affecting the Company's activities,
uncertainties relating to the availability and costs of financing
needed in the future, the uncertainties involved in interpreting
drilling results and other ecological data and the other risks
involved in the gold exploration and development industry. Any
forward-looking statement speaks only as of the date on which it is
made and, 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 otherwise. Forward-looking statements
are not guarantees of future performance and accordingly undue
reliance should not be put on such statements due to the inherent
uncertainty therein. The TSX Venture Exchange does not accept
responsibility for the adequacy or accuracy of this press release.
DATASOURCE: Banro Corporation CONTACT: please visit our website at
http://www.banro.com/, or contact Peter Cowley, President and
C.E.O., United Kingdom, Tel: (44) 790-454-0856; Arnold T. Kondrat,
Executive Vice-President, Toronto, Ontario; Martin Jones,
Vice-President, Corporate Development, Toronto, Ontario, Tel: (416)
366-2221 or 1-800-714-7938
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