David Hall, executive director for East Africa, said the latest samples confirmed the potential for a high grade gold discovery in the region.

"These extremely exciting results are now the best surface sampling results of any discovery to date in the Afar epithermal province,” he added.

Multi-gramme gold grades showed continuity over more than 1,000 metres of strike, together with well-defined high-grade portions within the structure, he said.

A number of samples returned over 10g/t gold, including a best of 20.35 g/t over 1.9 metres and 12.17g/t over 2.07 metres.

Mineralisation widths included 13.9 metres at 5.35 g/t, 23.28 metres at 1.52 g/t and 18.31 metres at 1.43g/t.

Stratex is exploring the Afar province with its strategic partner Thani Ashanti, a joint venture between Anglogold Ashanti and Dubai –based Thani.

The latest results follow up previous rock-chip sampling and channel-chip results published in April and May.

The programme comprises channel-chip sampling at 25 metre-intervals along the strike of the vein. 

These previously reported assays from the initial 43 rock-chip samples showed six at greater than 9 g/t gold. The Pandora vein is up to 2.5 metres wide at surface and can be traced north-westwards for approximately 1.5 kilometres, Stratex said.

It added that the channel-chip sampling is now complete and a substantial drill programme is now expected to start by the end of 2012.

“The next key milestone is to commence drilling before the end of the year, and investigate the potential for continuity of these grades at depth," Hall said.

“ We are reviewing all data in terms of geological setting, structure, geochemistry, and epithermal textures, to assist in defining the controls of the gold distribution in these systems so as to advance our understanding and vectoring at Blackrock and Megenta, as well as our numerous other discoveries in the Afar."

Broker Northland Capital called the latest assay results from Stratex International’s (LON:STI) recently discovered Pandora vein in Djibouti “exciting” and upheld its punchy 17.1 pence per share price target.

Stratex yesterday released the first set of assays from a sampling programme at Pandora, which is located within the Oklila licence. The report revealed high gold grades, reaching up to 27.1 grams per tonne (g/t).

"Having just returned from the field in Djibouti, I must say that the Pandora structure is an impressive discovery,” said executive director of Stratex David Hall.

Oklila is part of Stratex’ Afar portfolio which is being explored alongside Thani Ashanti, a venture between majors AngloGold Ashanti and Dubai based Thani Investments.

Sampling continues over the 1,500 metre strike length of the main Pandora structure and the project is being rapidly advanced to drill testing by the end of the third quarter.

Northland analyst Ryan Long noted that the report followed from the high grade rock-chip sampling results announced in mid-April, which included grades from 9.81 g/t gold to one of 25.9 g/t gold.

He added that the Pandora vein occurs within a larger structure that is at least five kilometres long and untested, highlighting further potential from the immediate area.

Northland’s target of 17.1 pence is based largely on the development assets and does not reflect the blue sky potential of Stratex’s exploration projects, which the broker said was significant.

This target is more than double the company’s share price of 7.63 pence at the close of play on Thursday.

Stratex International (LON:STI) today unveiled what it describes as an impressive gold discovery in Djibouti, East Africa.

The first set of assays from a sampling programme at the Pandora vein on the Oklila licence revealed high gold grades, reaching up to 27.1 grams per tonne (g/t).

"Having just returned from the field in Djibouti, I must say that the Pandora structure is an impressive discovery,” said executive director David Hall.

Oklila is part of Stratex’ Afar portfolio which is being explored alongside Thani Ashanti – a venture between the one of the world’s largest gold miners AngloGold Ashanti and Dubai based Thani Investments.

Sampling continues over the 1,500 metre strike length of the main Pandora structure. And the project is being rapidly advanced to drill testing by the end of the third quarter.

The best assay so far include 15.42 g/t gold over 1.65 metres, including 27.10 g/t over 0.5 metres and 17.6 g/t over 0.65 metres.

Another significant assay had 3.35 g/t over 6.9 metres, including 11.2 g/t over 1 metre.

“The combination of zone width, secondary associated structures and epithermal textures are very exciting and these first channel-chip sampling results clearly show encouraging grades and continuity at surface,” Hall added.

“The presence of chalcedonic silica with abundant calcite shows that we are high in the system similar to Megenta (Stratex’ discovery in Ethiopia which is also in the Afar depression). 

“The structure is locally masked by recent basalt cover but clearly extends for some 5 kilometres. With our partner Thani Ashanti, we have already started to investigate onsite logistics, including drill availability, and we anticipate commencing drilling before the end of the year. 

“We will also continue to explore for similar systems in the Afar region."

The new vein, called Pandora, is a 5 km long structure hosting a vein up to 2.5 m wide.

It was discovered during helicopter reconnaissance as part of a wider exploration programme by its joint venture partner Thani Ashanti.

Best results from 43 channel-chip samples across the main zone included grades from 9.81 g/t gold to one of 25.9 g/t gold.

One float vein sample 6.5 km NW of the main zone returned a bonanza 80.1 g/t gold and highlighted the potential of the surrounding area, Stratex said.

It has been awarded an exclusive exploration licence for the 93 sq km Oklila area, which covers the Pandora vein system and surrounding ground.

Elsewhere in Djibouti, Stratex added that further analysis of samples from the Hercules rhyolite domes at Asal had shown 0.68 g/t gold over 24 metres and 6.64 g/t gold over 1.8 metres.

Both targets at Hercules will be advanced to drill testing by the end of the third quarter of this year, Stratex said.

David Hall, executive director East Africa, said: "The discovery of such an extensive new epithermal gold vein system at Oklila shows the continuing potential for the Afar Epithermal Gold Province.

"The surface grades from the Pandora vein are highly encouraging, especially as the highest grades are focused on a 500 metre zone of the vein, which may indicate the presence of a high grade shoot that we can quickly target.

"At Asal, the rhyolite domes showed early promise from reconnaissance sampling, and these detailed results firmly establish this style of mineralisation as an important new target in the Afar."

Hall added that both Pandora and Asal will be the focus of exploration with Thani Ashanti over the coming weeks, with the aim to drill test by the end of September.

“The Afar Epithermal Gold Province is developing into a new major play that Stratex, either in partnership with Thani Ashanti or in its own right, has first mover competitive advantage," he said.

The cash will be used to accelerate development of the company's majority-owned projects in East and West Africa and the placees included major new institutional shareholders.

The net proceeds of the cash call, which consists of two stages, will provide enough capital for detailed surface sampling in the Blackrock licence area in Ethiopia and at least 15,000 metres of drilling.

It sees around 103.6 million shares placed at 7.625 pence - equal to Monday's closing price.

It will also help fund the completion of regional targeting and acquisition of additional projects at its Afar project, reconnaissance drilling of new discoveries, and to provide remote support, logistics and camp overheads for the company's East Africa projects.

The company added that at least £1 million will be used to progress the firm's West Africa projects, including drilling in Senegal and the completion of early stage exploration work in Mauritania.

Stratex chairman Christopher Hall said the placing was a major milestone for the firm.

"Over the past three years, we have taken, with partners, the Inlice and Altintepe projects towards production, defined a new epithermal province in the Afar region of Ethiopia and acquired a West African portfolio, as well as having confirmed Öksüt in Turkey as a major new discovery with our partner Centerra Gold," he said.

"We are excited by the various opportunities to create shareholder value and the funds raised will enable us to achieve this objective."

Stratex also revealed that AngloGold has agreed to invest £909,000 in the placing, subject to the approval of shareholders, while Thani has agreed to invest £174,000 in the cash call, also subject to shareholder approval.

The miner said it had been “incredibly busy” in Africa in recent months and “2012 is a year where we hope to realise solid value for shareholders through monetising gold assets".

David Hall, executive director for the region, added: “We have a clear focus on developing majority and wholly owned assets in East and West Africa, in particular our Blackrock gold project in Ethiopia."

In Ethiopia, Stratex has a joint venture with Centamin (LON:CEY) at Shehagne as well as an epithermal gold project at Blackrock.

At Shehagne, the company said that a 1,000 metre drilling programme last year made several positive intersections and returned grades of 1 to 2 g/t gold over widths up to 9.6 metres within long intervals of low-grade gold mineralisation. 

This included 25 metres grading 0.4 g/t gold. Stratex now owns 60 per cent of this project and is in discussions with Centamin over the next steps for the exploration programme. 

Stratex can increase its stake by a further 20 per cent and vest its interest at 80 per cent once a feasibility study is complete.

At Blackrock, Stratex said half of a 5,000 metre drill programme is complete with drilling and water supply issues resolved.

Hall said the programme so far had thrown up “enhanced potential on a number of fronts”.

“The definition of blind veins under gravels has extended our target strike length considerably, results from surface sampling of other structures has returned more high gold grades, and we have now defined a new style of mineralisation in rhyolite domes. 

We are intersecting thick classic epithermal veins north of the reported holes here and look forward to results from these by end of April,” he added.

Hall also said the group was  “fast-tracking” exploration work at its Afar prospect with joint venture partner Ashanti Thani commencing an airborne magnetic survey over Tendaho and Djibouti.

New veins had been discovered in regional work outside the Thani Ashanti joint venture area, carrying up to 17.65 g/t gold. Licence applications for these areas are pending, Hall said.

As at 3.54 pm, shares in Stratex were down 1.45 per cent, at 8.50 pence.

Stratex International (LON:STI) should be in a position to fund exploration through cash flow from its mining operations in Turkey by late 2013.

The firm made the statement as it updated investors on its activities in the country today.

At the Öksüt gold project, step out drilling from two rigs is expected to begin next month to investigate whether there are further resources to the east and north of the Ortaçam North zone, the company revealed.

Last month, the firm unveiled a 230 per cent increase in the Öksüt resource. The inferred and indicated JORC-compliant resource for Ortaçam and Ortaçam North zones rose to 1.05 million ounces at 0.2 g/t cut-off.

Meanwhile, approval of an environmental impact study at the Inlice project is expected this month with mining targeteted for the fist half of 2013, if successful.

Other highlights of the update were that the Altunhisar prospect will be drilled this year and that the 2011 drilling programme at Hasançelebi had returned best grades of 14.90 metres with 0.52 g/t gold and 8.30m at 0.83 g/t gold over six holes.

The Stratex-managed copper joint venture with Antofagasta is making good progress, it added.

Bob Foster, chief executive, said 2012 had started extremely well after a busy 2011.

"We are particularly looking forward to the accelerated drill programme at Öksüt, where the indications are that we should be able to increase this million-ounce gold deposit even further.

"The average grades and the oxidised nature of the material at Öksüt suggest that it should be very amenable to exploitation as an open-pit, heap-leach operation which bodes well for future economics of the deposit."

He said the firm would continue to work closely with its two Turkish partner companies developing the Inlice and Altıntepe projects, with a view to seeing cash flow from both projects in 2013.

Foster said by late next year, Stratec should be in the "very comfortable" position of being able to fund future exploration activities from cash flow from its partner-managed Turkish mining operations.

At Altıntepe, Bahar Mining has drilled a total of 1,088m and agreed a minimum production target of 30,000 ounces, subject to certain studies, which are underway.

At Muratdere, the firm's new option/JV partner completed a total of five holes (527 metres) of due-diligence drilling and has commissioned further test work to confirm previously reported recoveries. This due diligence is to be completed before the end of next month this year, said Stratex.

Stratex also said that it intended to provide routine summary updates on many of its Turkish projects this year as well as more project-specific reporting on key projects including Öksüt, Muratdere, Inlice and Altıntepe.

Broker Northland Capital featured Stratex in its ‘Morning Report’, noting that the company has made significant progress at its development projects.

According to analyst Dr Ryan Long, the management has a strong track record of exploration which combines with potential near term cash flow from the producing assets.

“We continue to see upside in Stratex’s share price and maintain our BUY recommendation and price target of 17.3 pence,” he said. Stratex was last trading at 8.625 pence.

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Stratex International (LON:STI) has completed its take-over of West Africa focused gold group Silvrex Ltd, it said today.

The company said today it had acquired the remaining 7.5 million Silvrex shares after it received acceptances in respect of 94.2 shares, as reported in January this year.

Earlier, Stratex said it would pay up to £4.7 million for private firm Silvrex, which has a prospective gold portfolio in Senegal and Mauritania.

Stratex already has gold assets in Turkey, Ethiopia and Djibouti, and this deal gives the firm exposure to what it described as a “relatively undeveloped region in West Africa”.

Silvrex’s prospective gold portfolio includes the 636-square kilometre Dalafin gold licence in eastern Senegal, which Stratex said is located in a prime mineral district that hosts several major gold mines and multi-million ounce gold deposits in similar geological environments.

Silvrex also has four new licences in Mauritania – one of which is located within the same geological terrain as Kinross Gold Corporation’s 20-million ounce Tasiast gold deposit.

Stratex said that by three months of due diligence, it has confirmed the presence of gold-bearing veins and areas of gold-enrichment in soils at Dalafin. The firm now plans to accelerate exploration here.

Broker Northland said Silvrex's portfolio was in an area considered by some to be a gold exploration hotspot.

"The Dalafin gold project located in eastern Senegal contains multiple gold occurrences and artisanal workings that highlight the potential for a discovery. The Mauritania licences are located in ‘elephant country’ within the same geological terrain as the 20moz Tasiast gold deposit, but are very early stage," said analyst Dr Ryan Long.

"Stratex management has demonstrated the ability to discover significant new gold deposits in Turkey and East Africa which bodes well for its West Africa expansion," added Northland, which rates the stock a 'buy'.