I've sat down and updated myself on the company and can't believe what a bargain this is for those seeking an exploration play: 23.8 million shares @ 30 cents = 7.15 million CDN or US4.8 million. Minus about 1.0 million cash equals US3.8 million enterprise value (EV).
The play on Bui (a 100 by 125 km concession)and Dunkwa is now apparent to all of us. But how about Akrokeri? Read this from Dominion's site. Keep in mind that to purchase this concession from BGI, Dominion needs to write a check for US2 million (53% of the current EV of the entire company) by December, 2000, otherwise it reverts back to BGI. But take a look at what's going on there.
By the way, will the idiot that sold the block at 20 cents yesterday do it again? I wasn't paying attention and missed it.
The Akrokeri Concession, which adjoins the Homasi
Concession to the south, includes the old Akrokeri Mine,
which produced 100,000 tonnes grading 22 g/t gold
(70,000 ounces of gold) from underground workings.
Several strong gold-in-soil geochemical anomalies had
previously been outlined at this prospect, including a
north-north-east trending zone extending for 3 kilometres
south-south-west from the boundary of the Homasi
Concession. This anomaly is the continuation of the
Homasi soil anomaly and it trends towards the Akrokeri
Mine.
During 1999, Dominion's exploration programs produced
some very encouraging results from these Concessions,
outlining continuity of a mineralised structure on every
section drilled to date, covering a strike length of 5
kilometres (51000N to 56000N).
The average section spacing within this zone varies
between 50 metres and 400 metres. The maximum vertical
depth of drilling is about 100 metres, although on many
sections drilling has only tested to depths of about 50
metres. The mineralisation is open both along strike and at
depth.
Ghana Drilling
Click here to see a larger version of this
picture
The gold mineralisation is associated with pyrite and
arsenopyrite within strongly silicified metasediments and
metavolcanics often at the contact with acid - intermediate
intrusives.
Better intersections from this reverse circulation and
diamond core drilling include:
13 metres grading
10.9 g/t gold from
73 metres
23.5 metres grading
6.22 g/t gold from
99.5 metres
26 metres grading
4.03 g/t gold from
20 metres
14 metres grading
7.31 g/t gold from
40 metres
10 metres grading
7.52 g/t gold from
45 metres
The style and geological setting of this gold mineralisation
is analogous to that at Ashanti's Obuasi mine. It is
possible that the Homasi-Akrokeri mineralised structure
represents the northern continuation of the Obuasi
structure.
Further intensive exploration is planned during 2000 to
evaluate the very exciting potential of this ground. |
