Osino releases first resource for Ondundu project in Namibia

Osino Resources (TSXV: OSI; US-OTC: OSIIF) has outlined the first resource estimate for its Ondundu gold project in Namibia, about 130 km from its flagship Twin Hills project and 270 km northwest of the city of Windhoek.

The 10,387 hectare and 100%-owned project, which it acquired from B2Gold (TSX: BTO; NYSE-AM: BTG) in July 2021, is situated in the northern zone of the Damara Orogen, about 15 km north of the Autseib/Otjohorongo Fault.

Ondundu has an inferred resource of 26 million tonnes grading 1.13 grams gold per tonne for 0.9 million oz. of gold. The resource is contained within a US$1,800 per oz. pit shell above a cut-off grade of 0.5 gram gold per tonne.

The resource estimate was based on about 46,500 metres of diamond core and reverse circulation drilling completed by previous operators, but primarily by B2Gold between 2015 and 2020.

Systematic exploration at Ondundu began in the 1980s, with Tsumeb Corp. undertaking the first recorded drilling between 1980 and 1985, followed by Westport Resources from 2005 until 2010. Angus Mining completed the first major drill campaign in 2010 and 2011.

An aerial view of Osino Resource's Twin Hills gold project in Namibia, 130 km from the Ondundu project. Credit: Osino Resources.

The company noted in a press release that the gold mineralization occurs along a continuous 2.1 km strike length and within a 200-metre-wide corridor, "although this width is not necessarily mineralized throughout." The mineralization is modelled to a depth of about 320 metres below surface.

Recent metallurgical work, the company added, has confirmed "excellent amenability to gravity concentration with the potential to produce a low volume, high-grade gravity concentrate with the potential for onward road transportation and processing" at the Twin Hills development project to the southeast.

Ondundu was discovered in 1917 and between 1922 and 1964, small scale miners extracted roughly 20,000 gold ounces from the deposit.

The deposit is known for its coarse, nuggety gold mineralization, and consequently narrow gold intersections.

"Given the nature of the deposit, we believe that there is potential to improve the grade and size of the deposit with additional drilling and using larger sample volumes," Heye Daun, the company's president and CEO, commented in the media release. "This will be tested with a limited RC drill program which is about to commence. Our vision of delivering a feasible mining and process route involving gravity pre-concentration at Ondundu with subsequent processing at Twin Hills is now one step closer to fruition."

Over the last year Osino has traded within a range of 52 ? and $1.40 per share and at presstime was trading at 62 ?.

The company has 139.1 million common shares outstanding for a market cap of about $86.24 million