Wed May 9, 2012 Drill Results Confirm the Potential of the Xaudum Iron Ore Project
TORONTO, ONTARIO - Tsodilo Resources Limited ("Tsodilo" or the "Company") (TSX Venture Exchange: TSD) is pleased to announce the assay results of the initial holes on the Xaudum Magnetite Project. The Xaudum Iron Project targets a 35 -- 40 kilometers long magnetic anomaly. A 3-D image of the anomaly can be viewed on the Company's website at: http://www.tsodiloresources.com/i/pdf/3D_mag_vtem1.pdf.
To date over 20 boreholes have been drilled into the northern part of the Xaudum Ironstones. Assay results, using ME-ICP61 and ME-OG62 methods of core samples from the first three holes on the BIF Magnetite deposit, are very encouraging over large intersections as illustrated in the following table with many large areas of 40% Fe or more.
Fe % *
Assay values are the mean of 1 metre samples over the respective intersections
Maximum values for Iron as high as 59.5% have been achieved in hole L9600/12 with an average Iron value of 57% over intersection 334-338m (5 metres) in the same hole. The true thickness of the magnetite intercept is not the same as the down-hole thickness and this has not yet been accurately determined.
The Company will continue drilling the Xaudum Ironstones to outline the extent of this deposit with its two wholly owned rigs over the next 4 months. Core samples are being assayed at ALS Chemex laboratory ("ALS") in Johannesburg, South Africa. Additional samples are being submitted for Davis Tube Recovery tests to determine the magnetic content of the rock which will define the rock's recoverable grade.
In its press release of April 19, 2012, the Company stated that the Phase 1 exploration drill program had identified three different targets all within Katangan-age sedimentary rocks similar to those of the Central African Copperbelt of the Democratic Republic of Congo and Zambia: the Xaudum Rapitan-type BIF magnetite project in the north; the Copperbelt style sedimentary rock hosted stratiform mineralisation; and the skarn deposits associated with late-stage intrusions in the southern part of the Company's licence area.
The Company is currently focused on a detailed drilling program on the Xaudum Magnetite BIF Ironstone prospect. Recent isotope dating of Late Proterozoic diamictites interbedded within the magnetite units has provided ages (734Ma) that are equivalent to the 'Grand Conglomerate' of the Zambian Copper Belt. These rocks have been identified as being part of a Rapitan type iron-formation both in terms of age and lithology, Rapitan-type iron-formations are Neoproterozoic (0.8-0.6 Ga) iron-formations that are characterized by their distinct association with glaciomarine sediments. They are thought to have been deposited in the immediate aftermath of a so-called 'Snowball Earth' state. Examples include the Rapitan Group (Canada), the Yudnamutara Subgroup (Australia), the Chuos Formation (Namibia), and the Jacadigo Group (Brazil).
About Tsodilo Resources Limited: Tsodilo Resources Limited is an international diamond and metals exploration company engaged in the search for economic kimberlites and metal deposits at its Newdico (Pty) Limited ("Newdico") and Gcwihaba Resources (Pty) Limited ("Gcwihaba") projects in northwest Botswana. The Company has a 97% stake in Newdico (3,949 km² under Precious Stone - diamond licenses). The Gcwihaba project area: 3,728 km² under Precious Stone - diamond licenses; 14,914 km² Metal (base, precious, platinum group, and rare earth) licenses; and, 6,925 km² under Radioactive Minerals licenses is 100% held by the Company. Tsodilo manages the exploration of both the Newdico and Gcwihaba license areas. Overall supervision of the Company's exploration program is the responsibility of Dr. Mike de Wit, President and COO of the Company and a "qualified person" as such term is defined in National Instrument 43-101. Dr. de Wit has reviewed the information contained herein and approved the contents of this Press Release.
The Company has offices in Toronto, Canada and Gaborone and Maun, Botswana. Please visit the Company's website, www.TsodiloResources.com, for additional information and background on our projects.
National Instrument 43-101 - Standards of Disclosure for Mineral Projects, Form 43-101F1 and Companion Policy 43-101CP requires that the following disclosure be made: All references contained herein with respect to the potential quantity and grade derived by any method is at this stage of development conceptual in nature. At the present time, there has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource.
This press release contains forward-looking statements. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements relating to the development of the Company's projects) are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, changes in equity markets, political developments in Botswana and surrounding countries, changes to regulations affecting the Company's activities, uncertainties relating to the availability and costs of financing needed in the future, the uncertainties involved in interpreting exploration results and the other risks involved in the mineral exploration business. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release. This news release may contain assumptions, estimates, and other forward-looking statements regarding future events. Such forward-looking statements involve inherent risks and uncertainties and are subject to factors, many of which are beyond the Company's control, which may cause actual results or performance to differ materially from those currently anticipated in such statements.
FOR FURTHER INFORMATION PLEASE CONTACT:
James M. Bruchs
Chairman and Chief Executive Officer
Dr. Mike de Wit
President and Chief Operating Officer