Oriole Resources PLC (AIM:ORR) has reported encouraging sampling results for its 90%-owned Mbe gold project in Cameroon.
The work was completed as part of a ‘due diligence’ programme of work by BCM International which recently inked a conditional joint venture agreement for the project – the positive results announced today mark the completion of that process.
Oriole now expects to receive a $1 million signature payment from BCM by the end of February.
Sampling yielded high-grade gold results, with highlight results including gold grades as high as 256.74 g/t.
"These very strong gold results, obtained via an independent due diligence review, support our belief that the Mbe licence has the opportunity to host significant gold deposits,” said Oriole chief executive Tim Livesey.
He added: "The due-diligence sampling programme was intended to test a broad swathe of the host units, and not just the most obvious targets, in addition to the mineralised veins, so it is very encouraging to see so many sample sites return positive gold grades.
“It is a strong indication that Cameroon offers opportunities for new discoveries in areas with no significant exploration history to date.”
Livesey, meanwhile, highlighted to investors that Oriole now has two key projects that are fully funded.
“We are able to progress exciting district-scale exploration at Mbe in parallel with the resource definition and expansion programmes at Bibemi,” Livesey added.
“This promises to deliver plenty of news flow in the coming months.
“It's also worth noting that we have four other licences in the Eastern CLP and so look forward to continuing our exploration programmes there, and on our lithium licences, later this year."
"As always, we will keep the markets appraised of progress, which has been positive for every programme we have completed within the Eastern CLP since we were granted the licences in February 2021."
In London, Oriole Resources shares surged more than 40% higher in Monday’s early dealing, adding 0.17p per share to trade at 0.54p each.