Avion falls on results from Mali

Drill results from Avion Resources (AVR-V) projects in Mali failed to rally the company’s shares and instead they found a new 52-week low.

In Toronto on Aug. 21 the company’s shares set the new low after falling 2 to 28 on roughly 62,000 shares traded. Avion’s previous low was 30. Its shares have traded as high as 68 over that period.

The results come from its 80% owned Tabakoto and Segala gold projects. Tabakoto was a past producing mine but drilling for the program was done outside the historic resource.

Twelve of 16 holes have been assayed and included a best ever intersect in Hole DS-08-01.

That hole returned 13.56 grams gold over 22.5 metres from 40.5 to 64.5 metres and 20.80 grams gold over 4.9 metres from 86.1 to 91.0 metres.

Mineralization encountered by the hole is shallow enough to be a potential open pit, Avion says.

The area sits roughly 800 metres northeast of the original Tabakoto pit, on the northward continuation of the mineralized Tabakoto trend. It was drilled 35 metres from a previous intercept that returned 16.05 grams gold over 3 metres.

Another area on the premises, known as Dioulafoundou, had three holes drilled on it and returned a highlight of 10.96 grams gold per tonne over 6 metres.

The third zone drilled, Segala, had 13 holes drilled on it, three of them have been assayed. The most significant intercept from the trio was 8.51 grams gold over 10.5 metres.

The company says one drill will continue to test for new zones while a second drill will focus on delineating the mineralized zones within the potential pit envelope of the Tabakoto deposit.

Avion acquired its stake in Tabakoto and Segala from Nevsun Resources (NSU-T, NSU-X) for US$20 million and a 1% net smelter return royalty. The Government of Mali owns the remaining 20% interest.