Commodity: Gold

Dapong consists of two permits, covering 400 km², for the exploration of gold and associated metals, which are valid for an initial period of three years.

The Project is underlain by volcanic and sedimentary Birimian-aged intrusive rocks with minor volcano-sedimentary sequences, quartz veins and pegmatites, which form part of the larger West African Craton geologic region. Gold mineralisation generally occurs along north to north east trending shear zones and faults that cut Birimian belts or form the margins of these Birimian belts where sedimentary rocks often include paleo-placer gravels. Substantial gold mineralisation has previously been discovered within Birimian-aged formation belts located in Ghana, Côte d’Ivoire, Mali, Guinea and Burkina Faso.

Major gold mines in the region include Tarkwa in Ghana operated by GoldFields which has reserves of circa 6.7Moz and produces circa 500-520,000 oz per annum; and the Houndé gold mine operated by Endeavour Mining in southern Burkina Faso which produces circa 190,000 oz of gold per annum.

Multiple rivers draining Birimian rocks in the West African Craton hold alluvial gold deposits and an initial reconnaissance visit by Premier geological teams have already identified four areas in the drainage systems where there has been recent artisanal activity.

The Project is considered to be highly prospective for gold, having extensive artisanal activity but has not yet been the subject of systematic exploration. The Board believes that the area offers excellent development potential due to its location and geological signature. Accordingly, using its existing resources in Togo, the Company intends to commence exploration in order to quantify the full potential of the highly prospective area.