Vancouver With the price of gold showing renewed signs of life, the timing could not be better for St Jude Resources (SJD-V) to advance its promising projects in Ghana, West Africa.
The junior just completed a $3.2 million private placement aimed at fast tracking the Hwini-Butre and Subriso properties.
The Hwini-Butre property holds a number of mineralized zones collectively known as the Southern deposits. An independent consultant firm estimated the area holds an indicated resource of 4.25 million tonnes grading 4.11 grams gold. There is also an inferred resource, consisting of two components: an in situ portion pegged at 1.7 million tonnes grading 3.01 grams gold, and eluvial and reworked surface material totalling 5.7 million tonnes of 1.14 grams gold. The indicated resource contains 562,000 oz. gold; the inferred resource, 374,000 oz.
The deposits are hosted in intrusive diorite and granodiorite rocks associated with shear zones hosting quartz veining and minor sulphides.
The drill results from 39 new in-fill and step out holes on the southern targets confirmed the previous grades. Based on the results, a new resource estimate is expected shortly.
St. Jude can earn up to a 65% interest in the Hwini-Butre concession through a combination of exploration expenditures and cash payments. Once vested, the government of Ghana will hold a 10% carried interest, and the junior’s joint-venture partner, Hwini-Butre Minerals, will hold the remaining 25% participating interest.
At the Subriso deposit, about 25 km to the north, St. Jude has completed more than 100 drill holes in order to establish a gold resource. Mineralization occurs in a shear zone in metavolcanics.
St. Jude can earn a 60.125% participating interest in the property by advancing it to the feasibility stage. Joint-venture partner Fairstar Explorations (FFR-T) retains a 22.4% participating stake in the concession, and a local Ghanaian firm retains a 7.5% carried interest. The government of Ghana holds a 10% carried interest.
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