Golden Rim Resources completes first stage of Kada Gold Project acquisition

Golden Rim Resources Ltd (ASX:GMR) has completed the acquisition of an initial 25% interest in the Kada Gold Project in Guinea and can earn up to 75% interest in the project. All conditions under the earn-in and incorporated joint venture agreement with respect to the initial acquisition have been satisfied or waived, and the company has issued around 317.2 million shares at 1 cent per share totalling US$2.5 million. More than 33,000 metres of drilling have been completed at Kada to date and the company believes it can be rapidly progressed to a maiden JORC mineral resource. Kada is expected to complement Golden Rim’s 2-million-ounce mineral resource at its Kouri Gold Project in Burkina Faso. “Pleased to have acquired interest” Golden Rim’s managing director Craig Mackay said: “We are very pleased to have acquired our initial interest in Kada, which is an advanced gold project with considerable exploration upside and a non-JORC resource area which we expect to rapidly convert to a JORC mineral resource with infill drilling. “It also complements our existing 2-million-ounce mineral resource at our Kouri Gold Project in Burkina Faso, allowing us to build a strong portfolio of exciting West African gold projects. “Only 2% of the project area has been subject to any exploration drilling to date. “We expect to be on the ground commencing our exploration program later this month.” Initial exploration Golden Rim’s initial exploration programs will include an airborne VTEM and magnetic survey over the entire project area. An auger drilling program is also planned to further define drill targets in areas where previous soil sampling by Newmont outlined gold anomalies. This is expected to also extend to areas that have had no previous geochemical sampling. Following the auger drilling, Golden Rim plans reverse circulation (RC) and diamond drilling programs to enable definition of a maiden JORC mineral resource at Kada and to test regional targets over the project area. About the project The Kada Gold Project comprises two exploration permits and covers 200 square kilometres in eastern Guinea. It is in the central Siguiri Basin and is 36 kilometres along strike from and to the south of the 10-million-ounce Siguiri Gold Mine operated by AngloGold Ashanti. Kada is an advanced project, having previously been explored by Newmont, which has completed 33,857 metres of drilling (297 holes) and outlined a non-JORC gold resource at Kada. The company believes there is considerable exploration upside at Kada and the gold mineralisation in the Newmont gold resource area remains open along strike and at depth. Only around 2% of the project area has been subjected to any exploration drilling and around 90% of the gold-in-soil anomalies remain untested, including sample sites that have returned values up to 22,470 parts per ppb gold (22.5 g/t).