Giyani Gold Abbie Lake-Keating Drilling Update

Oct 5, 2012 at 18:52

Giyani Gold Corp. through its subsidiary, 2299895 Ontario Inc., has discovered a new gold-bearing structure on its 100% owned 140 square kilometre Abbie Lake-Keating Property in the Mishibishu Archean greenstone belt near Wawa, Ontario.

The discovery occurs in quartz sericite schists with near contact to sediments, and the drilling intercepted 2.0m grading 2.70 g Au/tonne within a 13.6m wide zone (true widths are estimated to be 66% of the drill intercept widths). The structure also contains intense iron carbonate alteration, sericite, two styles of pyrite, green mica, potassic alteration, and tourmaline in the schist. In addition, a quartz eye porphyry and 2 altered iron formations are located within 50-150m of the structure.

This discovery is the result of Giyani Gold identifying geophysical anomalies over a 1.1 kilometre strike length through persistent mapping, trenching, and geophysical surveys of the Keating East property. Giyani Gold then targeted the anomalies, and conducted a reconnaissance 12 hole 1,365.5 meter phase I drilling program at a shallow depth with the objective of gaining a greater appreciation of the geology and geophysical anomalies. All assay results have been received from this program with numerous anomalous gold values seen in most of the 12 holes drilled.

“Our drilling program has identified similarities in the shear structures on the Keating East Property with the shear controls seen in the Hemlo Camp to the north, where sericite schists occur with disseminated pyrite near a sedimentary contact, and there is green mica, potassic alteration in the footwall, and a porphyry association. Intense iron carbonate alteration is also present which is a hallmark of the Timmins Porcupine camp,” said R.S. Middleton, VP of Exploration for Giyani Gold Corp. “We will continue to focus on this shear structure and conduct additional geophysical and drilling programs to trace this structure further east.”

The Iron Lake Deformation Zone extends for 27 km through the Abbie Lake-Keating Property from Killins to Abbie Lake. Between 1983-1988 Tundra Gold Mines Ltd. conducted a 96 hole drilling program on what is now the Abbie Lake property totalling 25,147 feet, BQ, yielding historical gold intersections of 17.15 g Au/tonne over 1.37 m  and 3.74 g Au/tonne over 3m. These same gold intersections have been observed in the structure on the Keating East property and continue to extend eastward. To cover this extension, Giyani Gold has acquired an additional 39.5 square kilometres of land in Killins Township (A map showing the Iron Lake Deformation Zone and drilling activity can be found on the company website www.giyanigold.com).

As part of Giyani Gold’s Quality Assurance and Quality Control procedures (QA/QC), all of the intervals exceeding 3 grams Au have been re-assayed. Giyani Gold’s QA/QC includes the insertion and continual monitoring of numerous standards, and added into the sample stream every 50m. ALS Chemex (Thunder Bay) also performs internal QA/AC.

The core was logged and sampled at a secure facility near White River and split, and sent to Thunder Bay for assay preparation at ALS Chemex’s facility in Thunder Bay, prior to assaying in North Vancouver, BC. Assays were carried out on 30 g samples with Fire Assay (FA) and AA finish (atomic absorption). Trace pathfinder elements were also be examined by multi-element ICP-MS.