Orezone joins Delta Gold

Junior explorer Orezone Resources (ORZ-T) has signed a preliminary agreement with Australian-based Delta Gold to form a joint venture at the former’s Intiedougou and Tomena properties in southwestern Burkina Faso.

To earn a 50% interest in both properties, Delta must spend US$2.5 million, including US$300,000 on drilling and geochemical sampling in the first year.

Delta can boost its stake to 70% by making a production decision on either property, at which time Orezone would receive US$1.5 million in cash.

Orezone will continue to serve as operator at both properties until Delta has earned its half-interest.

Orezone has made several near-surface gold discoveries at the Intiedougou property since 1997. Drilling into Zone A intersected 62 metres grading 3 grams gold per tonne in a syenite intrusive, while drilling into Zone C returned 7.4 grams gold over 8 metres and 4.1 grams gold over 14 metres.

As well, Orezone believes an 800-metre-long soil anomaly named Peksou has the potential to be larger and more continuous than Zone A.

Delta holds interests in five producing gold mines in Western Australia and one in Zimbabwe.