Goldrush Resources (CVE:GOD) announced Monday it has signed an option agreement to earn a 100% interest in four permits near recently-discovered gold deposits in Burkina Faso.
The Canadian explorer will pay a total of C$177,083 in cash, plus 70,000 shares in consideration for the permits, which cover approximately 667 square kilometres across the northwest, west and southern regions of Burkina Faso, located in the western portion of Africa.
The 250 square kilometre Rima permit, located in central Burkina Faso, overlies a portion of the Boromo greenstone belt. Its eastern border is on strike with an open pit gold mine, owned by Cluff Mining.
Cluff's Kalsaka mine hosts gold mineralization in narrow shear zones. Structural mapping indicates the deposit runs west southwest - towards the Rima permit.
At the end of 2010, the Kalsaka mine had an estimated 186,000 ounces of proven and probable gold reserves, along with 216,000 ounces of measured and indicated gold resources, and 157,000 ounces of inferred gold resources.
Meanwhile, the Pompoi permit, which measures 232 square kilometres, overlies the eastern edge of the north trending Hounde greenstone belt, and is adjacent to the eastern border of Riverstone Resource's and Roxgold's Yaramoko permit.
Reverse circulation drilling at Yaramoko intersected 28.61 grams per tonne (g/t) gold over 20.0 metres in hole YMR-11-RC-055, located one kilometre from the Pompoi permit boundary.
The third acquired permit, the 56 square kilometre Midebdo permit, is located immediately to the west of the Tiopolo permit, owned by Ampella Mining, which hosts the Konkera gold deposit on the western side of the Boromo greenstone belt.
Ampella released indicated resources of 1.18 million ounces, and inferred resources of 1.04 million ounces of gold earlier this year. This resource remains open along strike and at depth, making the northeastern quadrant of Goldrush's Midebdo permit, which runs along strike of the Konkera-hosting trend, a priority.
Lastly, the Ouraba permit, measuring 129 square kilometres in size, is bordered by Volta Resources' Malba permit to the west, and Ampella's Donko permit to the south, where significant gold-in-soil anomalies have been found. It overlies the eastern side of the Boromo greenstone belt.