Recently listed Predictive Discovery (ASX: PDI) has hit the ASX boards running, exploring for gold in Burkina Faso, West Africa. The Dave and Dave East prospects are fast shaping as a large gold mineralised system, with geochem anomalies pointing to a series of large gold deposits.
The first 11 reverse circulation holes at the Dave East prospect have intersected near surface gold including; 12 metres at 2.9 grams per tonne (g/t) gold from 50 metres, 2 metres at 12.4g/t gold from 72 metres, and 12 metres at 1.3g/t gold from 34 metres.
Dave East is 1.5 kilometres along a major interpreted shear zone from the nearest artisanal workings which have been active for almost three decades, highlighting there is known gold in the area.
Infill and extension drilling are continuing at the prospect which is expected to be completed next week.
Today's results follow 2,700 metres of reverse circulation drilling at Dave prospect where historic results from near surface drilling in a small area included; 12 metres at 5.0g/t gold, 2 metres at 9.4g/t gold, 10 metres at 2.4g/t gold and 22 metres at 1.2g/t gold.
The real story is that power auger drilling demonstrates the Dave and Dave East bedrock gold anomalies are continuously connected, totalling 3.6 kilometres long by 0.3 kilometres wide, and open to the east and west.
The Dave and Dave East Prospects are located on the Laterite Hill Grid in the Bonsiega Project, which is 16 kilometres long.
A strike length of in excess of 12 kilometres of plus 50ppb gold power auger anomalies has been defined by Predictive Discovery to date.
Over part of their length, these geochemical anomalies are coincident with artisanal gold workings located on small areas of outcrop surrounded by alluvial cover which is promising.
This provides the potential for a very large gold mineralised system, which has already been identified by multiple ore grade intercepts.
Paul Roberts, managing director, said, "The Dave to Dave East Prospect areas are shaping up as a large gold mineralised system in their own right.
"Given that there are a series of other highly promising bedrock geochemical anomalies on the 16 kilometres long Laterite Hill Grid, the prospect of discovering a series of large gold mineral deposits has been significantly enhanced by these results."
The enhanced potential of the Laterite Hill Grid area is where bedrock geochemical anomalies over 12 kilometres coincide with large shear structures, indicated by detailed aeromagnetic data.
Around 5,300 metres of reverse circulation drilling has now been completed at Dave and Dave East.
Six 200 metre spaced lines for 2,700 metres were completed at Dave by late June, with the rig then returned to Dave East to extend and infill the drilling coverage with the objective of having drilled up to 7 lines spaced 200 metres apart by the end of the field season.
Operation of the drill rig has been reduced to one shift per day for safety reasons because of the wet conditions.
Weather and access permitting, the drilling will continue for one more week.
What renders Predictive Discovery as a more interesting West African gold play, not yet "discovered" by most investors is that there are significant gold discoveries in Burkina Faso including:
- Taparko 1 million ounce, High River Gold (TSX: HRG);
- Essakane 5 million ounce, Orezone Resources (TSE: ORE);
- Inata 2 million ounce, Avocet Mining (LON: AVM);
- Kiaka 2 million ounce, Volta Resources (TSE: VTR); and
- Wona 6 million ounce, Semafa (TSE: SMF).
However, it is Semafo's (TSX: SMF) 2 million ounce gold producing Samira Hill mine which is in the same geological belt as Predictive Discovery's Bonsiega Project that provides the most compelling clue as to the prospectivity and potential for the company.
Predictive's market capitalisation of $19 million less $6 million in cash provides an EV of just $13 million, which values Predictive's projects and results in Burkina at a negligible value.
It has exploration ground in an under-explored gold province in Burkina Faso, opportunities that are under very shallow cover over many untested zones of active artisanal workings. The combination of current RC results, the historic RC results and the bedrock anomalism indicates Predictive Discovery is sitting on a big (long, broad and open) gold mineralised system with high potential for a major gold discovery.
The company has a strong chance of un-earthing discoveries and defining a resource in 2012.
Adding further spice, Predictive Discovery is believed to be in advanced discussions on a further JV acquisition in West Africa.