Aim-listed Shanta Gold has announced an upgraded mineral resource estimate (MRE) for the West Kenya project, in Kenya, to 1.55-million ounces of gold, including a 221% increase in indicated resource to 378 000 oz of gold grading 11.70 g/t.

Total resources at the Isulu, Bushiangala and Ramula deposits increased by 31% to 1.55-million ounces.

There are resources of 1.12-million ounces grading 10.80 g/t at Isulu and Bushiangala, of which 34% have been upgraded to the indicated category up from nil at the start of 2021.

There was a 221% increase in indicated resources to 377 840 oz of gold grading 11.70 g/t, exceeding internal expectations for 2021.

Current oxides in the indicated category contain 67 070 oz grading 15.84 g/t, providing potential excellent high-margin cash flow during future construction ramp-up, Shanta states.

About 700 000 oz of additional inferred resources are being targeted for potential conversion to the indicated category during this year.

CEO Eric Zurrin welcomes the increased MRE, as well as the future potential for conversion to the indicated category.

“Our West Kenya project is located in the high-potential and underexplored greenstone belt within the Lake Victoria Goldfields, which already hosts world-class gold mines owned by Barrick Gold and AngloGold Ashanti.

“We now have compliant resources at four separate deposits – Isulu, Bushiangala, Ramula and the re-introduction of the historic Bumbo deposit – confirming the widespread geological prospectivity of the West Kenya project,” he says.

Zurrin adds that future exploration of many additional highly prospective targets has the potential to lead to a multimillion-ounce gold region.

He notes that Shanta has three drill rigs operational and that feasibility study work will begin in May.

“Excellent visual intersections have been observed in drilling results since the start of 2022, with multiple occurrences of visible gold. Assay results from these holes are due in April or May,” he adds.