TORONTO, CANADA: Wednesday, January 11, 2012: SIKA Resources Inc. (“SIKA” or the “Company”) is pleased to begin the new year with the acquisition of four gold projects in the heart of Lake Victoria Goldfields, Tanzania. All four properties are in proximity to major operating gold mines and significant known gold deposits, and all are located within the regional structural corridor that hosts many of the major gold deposits in the Lake Victoria Goldfields area.
Tanzania is one of Africa’s most stable, mining friendly countries, featuring a progressive and western-oriented political system. Some salient features of the properties are as follows:
- Geological features documented on all properties are consistent with those seen at many of the producing gold mines in the area;
- All the properties are readily accessible and within driving distance of the main cities in the region, where all necessary labour, supplies and services may be found;
- All four properties are 100 percent owned by SIKA with no royalties or other obligations outstanding aside from those due to the Tanzanian government itself.Several major multinational gold mining companies have made significant investments in Tanzania and are operating in the area, including Anglogold Ashanti (Geita mine – 33 million ounces in resource and reserve), African Barrick (Bulyanhulu mine – 15+ million ounces, Buzwagi mine – 2+ million ounces, Tulawaka mine – 1+ million ounces), and Resolute Mining (Golden Pride – 2.6 million ounces).
Please click here to view the SIKA Property Location Map.
A brief description of the four properties follows:
NTUNDU GOLD PROPERTY
- 42.6 square kilometres located in the Siga Hills greenstone belt (part of the Kahama greenstone belt);
- Immediately east of the Jubilee Reef gold mine, a past gold producer, and immediately south of an active artisanal gold mining camp;
- 40 kilometres south of Bulyanhulu gold mine;
- 30 kilometres north of Buzwagi gold mine;
- Lies along the eastern edge of the Kahama greenstone belt, which is host to both the Bulyanhulu and Geita gold deposits, and within a northeast-southwest structural trend that hosts the Geita, Bulyanhulu, Buzwagi and Golden Pride gold mines.
ISELENGE GOLD PROPERTY
- 12.3 square kilometres located 60 kilometres west of the Golden Pride mine at the west edge of the Nzega greenstone belt;
- Active artisanal gold workings just one kilometre east of the property;
- Lies along the eastern edge of the Kahama greenstone belt, host to both the Bulyanhulu and Geita gold deposits.
SHIBISO-IGWEMA GOLD PROPERTIES
- Two contiguous properties totalling 132 square kilometres;
- Hosted in granitic terrain with slivers of greenstone and banded iron formation similar to the Buzwagi gold mine, which is less than 25 kilometres to the north;
- The properties also lie along the eastern edge of the Kahama greenstone belt, host to both the Bulyanhulu and Geita gold deposits.
SIKA’s technical team visited all four projects in December 2011 during which time 44 soil and rock chip samples were collected and submitted to SGS Laboratories in Mwanza for analysis. Results are pending. SIKA’s geological team will incorporate these data with all historical and other available, published data, which along with a follow up visit by SIKA’s independent Qualified Person will be included in a Technical Report in accordance with the provisions of National Instrument 43-101. SIKA anticipates that this report will be completed within the next four months.
“Once the 43-101 report is in, and our initial exploration program is finalized, we plan to proceed quickly with the work required to assess and confirm the gold potential of these properties, along with evaluating additional gold opportunities in this prolific gold- producing region,” said Kim Harris, SIKA’s President and Chief Executive Officer.
SIKA Resources is a Canadian junior exploration company focused on Tanzanian gold. The Company was established in 1996 and has extensive experience, and excellent contacts and relationships throughout Tanzania and elsewhere across Africa. Management is committed to creating value by fast tracking prospective gold projects that show superior potential for further development. SIKA will continue to focus on the acquisition of gold properties that are geologically similar and geographically proximal to significant gold deposits and producing mines, then advancing them quickly, efficiently and effectively, mindful of the communities and natural surroundings of the areas within which the properties are located. For additional information, please visit SIKA at www.sikaresources.com.
The technical content of this news release has been reviewed by Avrom E. Howard, M.Sc., F.G.A., P.Geo., a Qualified Person as defined by National Instrument 43-101.
President and Chief Executive Officer
For further information, please contact:
Kim Harris President and CEO
CEO Direct Line: + 1 416 447 6882
Fax: + 1 416 447 9950
Certain statements contained in the following presentation constitute forward-looking statements, involving a number of known and unknown risks, uncertainties, and other factors, which may cause the actual results, performance, or achievements of the Company to be materially different from actual results and achievements expressed or implied in such statements. Readers are cautioned not to place undue reliance on these statements, while considering the risks inherent in the business of exploration.