Predictive Discovery Ltd (ASX:PDI), through its joint venture with Cape Clear Minerals (NYSE:CCM), has intersected visible gold in its first round of assays from its drilling program at the British Banner prospect west of Ballarat.
CCM through its recent expenditure of $500,000 will achieve a 75% equity stake in the project leaving Predictive with the remaining 25%.
Drill results include 3.8 metres at 6.7 g/t gold including 1.3 metres at 17.5 g/t and 4.5 metres at 2.4 g/t gold including 0.7 metres at 10.3 g/t.
These assays are from 5 holes that were part of a 7 hole, 2,147 metre diamond drilling program. Results for the remaining 2 holes are expected in the next few weeks.
CCM is proposing to undertake additional drilling, totalling 2,250 metres and Predictive is currently considering whether or not to contribute 25% of the cost of this drilling program.
The drill results to date indicate that there is a broad zone of gold-anomalous quartz veining. CCM's drilling has demonstrated that this zone extends for at least 400 metres along strike and is open to the north and south.
Predictive is exploring for large, open-pittable gold deposits in West Africa with interests in 1,500 square kilometres of ground in Burkina Faso and 3,137 square kilometres of ground in Côte D'Ivoire.
The most developed gold prospect is the Bongou gold deposit in eastern Burkina Faso.
Bongou declared a maiden resource of 2.2 million tonnes at 2.6 g/t gold for 184,000 ounces of gold and has since become the focus on Predictive's Burkina strategy.
An exploration target has been calculated of 460,000 to 563,000 ounces of gold on drilled prospects near the company's Bongou gold deposit.
Drilling programs have since identified new gold mineralisation at a number of locations within 10 kilometres of the project.
Predictive operates the Côte D'Ivoire ground with its joint venture partner, unlisted UK company Toro Gold Limited.
Toro can earn a 51% interest in Predictive Discovery's Cote D'Ivoire SARL, which holds Predictive's interest in the four permits, by spending US$1 million on exploration and option payments.
Diamond drilling is underway on the Beriaboukro permit, adjacent to the Kokoumbo permit, following discovery of gold mineralisation in 2015.
The Kokoumbo permit is located some 40-50 kilometres from Newcrest Mining's (ASX:NCM) Bonikro gold mine and Endeavour's Agbaou gold mine within the Oume-Fetekro greenstone belt.
These results are the first in a series of drill assay results to be released to the market over the next few months.
In addition to the drilling near Ballarat, Predictive's joint venture partner in Cote D'Ivoire, Toro Gold Limited, is currently diamond drilling the Kokoumbo permit and will start reverse circulation drilling soon on the Boundiali permit, both of which are following up encouraging gold geochemical results.
While the Bongou gold deposit remains Predictive's flagship asset, the company has exploration in progress in Australia and Cote D'Ivoire making for a strong pipeline of newsflow.
Predictive's strategy to operate in joint ventures keeps its cash expenditure low while still giving it exposure to sizeable discoveries.
The company has strong land holdings in countries with secure mining codes and histories of major gold discoveries.
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