Indicated resource and grade grows at Teal’s Namibian project

Teal Exploration & Mining‘s (TL-T, TEL-J) Otjikoto gold project in Namibia is demonstrating higher grades and resources, the company reports.

Otjikoto’s indicated resource has grown 128% to 1.05 million oz. gold at a grade of 1.40 grams per tonne, up from 460,000 oz. gold at 1.21 grams per tonne. An additional 877,000 oz. gold is contained in the inferred category, at a grade of 1.41 grams per tonne.

The overall resource has climbed from 1.78 million oz. gold to 1.925 million oz. gold and the gold grade has jumped by 13.6%.

The additional ounces are based on assay results from a 50-metre by 25-metre drilling pattern at the northern end of the deposit.

Otjikoto is within Teal’s 92%-owned Otavi exploration area, a 3,800-sq-km property in north-central Namibia.

The project is about 300 km north of Windhoek, Namibia’s capital, and between the towns of Otjiwarongo (70 km to the south) and Otavi (50 km to the north).

Teal discovered vein-hosted gold mineralization in the Otavi area in 1997 through airborne magnetic surveys that were followed up by exploration and subsequent drilling.

The gold occurs as “free” and often coarse gold within mainly pyrrhotite-magnetite-pyrite-carbonate veins.

Assay results from 408 boreholes were used for the interim geological model. The boreholes were drilled at 50-metre spacing along strike, and at 25 metres spacing down-dip, in the northeastern section of the orebody. The drill grid opens up to 100 metres on strike and 50 metres on dip towards the south and in the southwestern area of the deposit.

Of the 408 boreholes that made up the resource estimation: 275 were within the deposit’s upper zone; 357 boreholes were in the lower zone; 251 boreholes fell within the bottom zone wire-frame; 55 boreholes fell within the hanging wall zone; and 27 boreholes fell within the footwall zone.

Teal has a portfolio of base and precious metal development and exploration projects in Zambia, the Democratic Republic of the Congo and Mozambique, as well as Namibia. Its main projects apart from Otjikoto are the Konkola North copper project in Zambia and the Kalumines copper-cobalt project in the DRC.

Teal is trading at about $4 per share and has a 52-week trading range of $3-$5.90.

It has 53.9 million shares outstanding.