Stellar AfricaGold Completes Independent Technical Report on Tichka-Est Gold Project, Morocco, and Plans Phase 1 Exploration Program for Q1 2021

2021-01-05 / @thenewswire

(TheNewswire)

Vancouver – TheNewswire - January 5, 2021 - John Cumming, President and CEO of Stellar AfricaGold Inc., (TSXV:SPX) ("Stellar" or the "Company") is pleased to announce the completion of an Independent Technical Report (“the Report”) on the potential of the Tichka Est gold project in Morocco.

The Report presents a summary of the available technical data from previous exploration activities conducted by ONHYM (the “Office National des Hydrocarbures et des Mines’’ of Morocco) on the Tichka Est Gold Project. It also discusses the results of the due diligence validation program completed by Stellar in June 2020. Although 6 anomalous gold zones were outlined by ONHYM stream sediments programs and confirmed by Stellar due diligence sampling, Zones A and B warrant priority attention.

The Zone A prospect was outlined by a cluster of 85 anomalous gold-in-stream sediment samples over an area of 27.15km2 with assay values ranging from 21 ppb to 17.06 g/t Au. It was prospected with 9 trenches distributed at regular intervals along a strike length of 400 m.

The gold mineralization was found along a steeply dipping ENE-WSW striking regional shear zone that was traced on surface for about 400 m along strike. The shear zone is injected with narrow quartz veins (0.4 to 1.2 m wide) and swarms of veinlets running near and parallel to the intrusive contact with a micro-granitic porphyry dyke. They are, strongly brecciated and mineralized with disseminated and locally semi-massive pockets of pyrite and arseno-pyrite. In outcrops, the sulfide minerals are strongly altered to hematite, goethite, limonite and other alteration products.

The Zone B gold prospect is located about 3.0 km north of the village of Analghi. It was outlined by 27 anomalous stream sediment samples with grades ranging from 33 ppb to 22.33 g/t Au over an area of 6.38 km2. The area was prospected and 10 trenches excavated across the structure over a strike length of 300 m. The trenches exposed a wide brecciated fault zone running ENE-WSW in a highly deformed, altered and fractured sedimentary sequence. Anomalous grades of 0.1 to 4.0 g/t Au over 1.0 m are reported. Within the brecciated sections of the shear zone, the best gold assays are in gossans.

In conclusion, the Zone A and Zone B prospects are host to multiple high-grade gold intercepts with grades (chip samples in trenches) above 2.0 g/t Au, across widths exceeding 2.0 m and extending along strike for a minimum of 300 meters. Although the property remains at an early stage of development, we believe that these two prospects have, individually, the potential to develop a significant gold resource base if mineralization extends vertically and laterally with similar characteristics.

Summary Map of Stellar Validation Survey

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Report Recommendations

The Report recommends a 3-phase exploration program totaling US$ 2,080,725.

Phase 1 of the program budgeted at US$374,275 starts by acquiring a high-resolution remote sensing satellite imagery of the property and surrounding area providing a topographic base for field work planning and geological and structural interpretation. Although the Tichka Est Project area is accessible via a country road, the Phase 1 budget includes the cost of cutting up to 15 km of mountainside switch-back road to provide access to the Zone A and B prospects priority sites and the leveling of drill pads at both locations.

Additionally, where possible, Zones A and B should be stripped to fresh bedrock using hand tools, and resampled along regular width and depth channels with a powered diamond saw to allow for consistency in the size and quality of the samples sent to the laboratory for assay.

A field review including trenching and sampling of all gold and base metals occurrences previously outlined by the 2009 stream sediment survey of ONHYM and Stellar’s subsequent validation sampling is recommended. All structures identified by the satellite imagery should be visited and sampled where possible. This detailed prospecting should provide Stellar with a better understanding of the mineral potential of the Tichka Est Project prior initiating a drilling program.

Following the detailed prospection, a 2000-meter reverse circulation drilling is recommended to complete Phase 1 of the program. The drilling will test the horizontal and vertical extension of the surface mineralized structures. The initial drilling should test Zones A and B, and other zones of interest identified by the prospecting program, down to a depth of 50 meters.

About Tichka Est project

The Tichka Est property is comprised of three contiguous prospecting permits covering an area of 44.6 km2. It is located in mountainous terrain about 160 km SSW of the city of Marrakech. The area is accessible year-round by road via a national road to the village of Analghi located near the mineralized gold zone.

On August 19, 2020, Stellar AfricaGold Inc. announced the signature of the final agreement for the acquisition of 90% interest in the Tichka Est Gold Project located in the High Atlas Mountains of the Kingdom of Morocco, North Africa. Anomalous gold concentrations were discovered on the Tichka Est property in 2009 during a regional stream sediments sampling program conducted by ONHYM. Follow-up geological prospecting and trench sampling indicated that gold mineralization developed along a regional shear zone. Some high grades over significant width such as 8.03 g/t Au over 6.30 m and 5.14 g/t Au over 4.9 m were reported from various prospects identified on the property.

About ONHYM

ONHYM was created on August 17, 2005 by the merger of the Bureau of Research and Mining Participations (“BRPM”) and The National Office for Research and Petroleum Exploration (“ONAREP”). Since their inception BRPM (1928) and ONAREP (1981) have been leaders in Morocco in their respective fields, and have highly regarded among international operators.

ONHYM is a public institution with legal personality and financial autonomy, and it is subject to Moroccan State supervision to ensure compliance by the competent bodies of the Office of the provision of the law 33-01.

ONHYM has more than 100 geologists and specialists in related disciplines. It also has multidisciplinary teams working on numerous projects basis in synergy with third party partners. With increasing international openness and strong technical proficiency ONHYM is aggressively pursuing its mandated objectives.

About the Report

The Report titled “Preliminary Technical Evaluation Report of the Gold Potential of the Tichka Est Gold Project, High Atlas Mountains Region, Kingdom of Morocco” by Benoit M. Violette, P.Geo., is effective November 15, 2020. Mr. Violette is an independent consulting geologist to Stellar.

ABOUT STELLAR AFRICAGOLD INC.

Stellar AfricaGold Inc. is a Canadian gold company with offices in Vancouver, BC and Montreal, QC. Stellar President John Cumming can be contacted at 604-618-4262 or by email at cumming@stellarafricagold.com.

The technical content of this press release has been reviewed and approved by M. Benoit M. Violette, BSc Geo., a Qualified Person as defined in NI 43-101.

On Behalf of the Board

John Cumming, LLM,

President & CEO

This release contains certain "forward-looking information" under applicable Canadian securities laws concerning the Arrangement. Forward-looking information reflects the Company’s current internal expectations or beliefs and is based on information currently available to the Company. In some cases forward-looking information can be identified by terminology such as "may", "will", "should", "expect", "intend", "plan", "anticipate", "believe", "estimate", "projects", "potential", "scheduled", "forecast", "budget" or the negative of those terms or other comparable terminology. Assumptions upon which such forward-looking information is based includes, among others, that the conditions to closing of the Arrangement will be satisfied and that the Arrangement will be completed on the terms set out in the definitive agreement. Many of these assumptions are based on factors and events that are not within the control of the Company, and there is no assurance they will prove to be correct or accurate. Risk factors that could cause actual results to differ materially from those predicted herein include, without limitation: that the remaining conditions to the Arrangement will not be satisfied; that the business prospects and opportunities of the Company will not proceed as anticipated; changes in the global prices for gold or certain other commodities (such as diesel, aluminum and electricity); changes in U.S. dollar and other currency exchange rates, interest rates or gold lease rates; risks arising from holding derivative instruments; the level of liquidity and capital resources; access to capital markets, financing and interest rates; mining tax regimes; ability to successfully integrate acquired assets; legislative, political or economic developments in the jurisdictions in which the Company carries on business; operating or technical difficulties in connection with mining or development activities; laws and regulations governing the protection of the environment; employee relations; availability and increasing costs associated with mining inputs and labour; the speculative nature of exploration and development; contests over title to properties, particularly title to undeveloped properties; and the risks involved in the exploration, development and mining business. Risks and unknowns inherent in all projects include the inaccuracy of estimated reserves and resources, metallurgical recoveries, capital and operating costs of such projects, and the future prices for the relevant minerals.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.