Africa-focused junior diversified miner Nyota Minerals, previously Dwyka Resources, reports a maiden inferred resource of 690 000 oz of gold at the Tulu Kapi gold exploration project, in Ethiopia, and is confident that the project’s resource could increase.

Tulu Kapi is the most advanced of Nyota’s gold exploration projects. The drill programme and maiden resource cover an area of about 600 m × 300 m, occupying a central position within the much larger Tulu Kapi mineralised zone. The zone has been delineated based on a diamond drilling exploration programme over the area. In addition, a number of other promising exploration targets have been identified based on gold-in-soil geochemi- cal survey results and visible evidence of outcropping quartz veins, stock works and albite alteration.

The Tulu Kapi exploration licence comprises an area of about 20 km2 centred on the old Tulu Kapi gold mine. Tulu Kapi is 9 km south of Keley and 500 km west of Addis Ababa. Nyota CE Melissa Sturgess says that there is abundant water in the region, good road access and a high power transmission at Keley.

Technical company Hellman & Schofield conducted the initial estimation for the project in September, using fire assays from 34 diamond drill holes. The estimation put the inferred resource at 13,15-million tons, graded at 1,59 g/t gold for a total of 0,69-million ounces above a cutoff grade of 0,5 g/t gold. Further, the estimate put 6,58-million tons, graded at 2,46 g/t gold for a total of 0,53-million ounces above a cutoff grade of 1 g/t gold, and 3,94-million tons graded 3,3 g/t gold for a total of 0,43-million ounces above a cutoff grade of 1,5 g/t gold.

The scheduled new drill programme will test the grade, depth and strike continuity of these altered mineralised zones, as well as other targets that have been identified within close proximity to the main Tulu Kapi mineralisation.

Sturgess says that an independent technical review completed by minerals consultancy group Venmyn confirmed that Tulu Kapi represented a highly prospective gold project within Ethiopia, where current mineral resources could be increased, with several positive indications of mineralisation identified beyond the immediate area of the project.

Venmyn director Neil Mc Kenna says that the company was requested to produce an independent technical statement compiling all historical and recent reports and exploration results.

The report points out that Tulu Kapi’s location on a hill is favourable for further mineralisation and that no deleterious minerals are present on the site. He adds that Tulu Kapi’s gold predominantly appears in pyrite, with testwork indicating high gold recoveries.

Sturgess says that Venmyn’s technical review reaffirms the company’s view that the Tulu Kapi project and surrounding environment represent a highly prospective acquisition for Nyota.

“The company will continue to work with Venmyn to ensure compliance with industry best practice. Nyota’s main objective remains to build a sizeable gold resource, based on the advanced Tulu Kapi project, to a point where sufficient resources have been delineated to warrant feasibility,” she says.

Nyota holds three licences in Ethiopia. The Tulu Kapi Ankore and Yubdo exploration licences are held for gold exploration, while the Yubdo mining licence is held for platinum- mining. Nyota’s exploration licences are located in western Ethiopia, in Wellega province, in the Oromiya regional state.

The company wants to progress exploration on satellite targets within the three exploration licences it holds to demonstrate that it has the targets necessary to provide long-term growth and the development of one or more producing gold mines.

Nyota plans to advance the Tulu Kapi project in 2010.

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