Gold Exploration Programme Update, Côte d’Ivoire

Certain information contained within this announcement is deemed by the Company to constitute inside information for the purposes of Regulation 11 of the Market Abuse (amendment) (EU Exit) Regulations 2019/310. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

Kodal Minerals Plc / Index: AIM / Epic: KOD / Sector: Mining

17 June 2021

Kodal Minerals plc ('Kodal Minerals' or the 'Company')

Dabakala Concession Demonstrates High Grade Geochemical Anomaly and Exploration Update

Kodal Minerals, the mineral exploration and development company focused on the Bougouni Lithium Project and its gold assets in West Africa, is pleased to provide an update on the gold exploration programme in Côte d'Ivoire including the return of continued high-grade surface geochemical results from the Dabakala Concession ('Dabakala') in central Côte d'Ivoire.

Highlights

Dabakala Concession

·    Geochemical sampling continues to return high grade surface samples at new discovery zone.

o  New assay results up to 1.97g/t gold

·    Infill sampling has confirmed continuity of high grade gold anomalism extending for over 11km and surface width up to 3km. 

o  Multiple trends are interpreted relating to geological structures and contacts.

·    Field reconnaissance and mapping of artisanal working has been completed. 

o  Check sampling confirmed previous high grade surface samples with check samples of an initial 2.1g/t sample returning values of 4.2g/t gold and 3.5g/t gold

·    Aircore drilling rig retained to undertake first pass testing of this high priority area with drilling expected to commence from 21 June 2021.

Highlights

Nielle Concession and Fatou Prospect

·    Aircore and reverse circulation ('RC') drilling completed at the Nielle Concession in Côte d'Ivoire with all samples dispatched to the laboratory for gold analysis.

·    RC drill rig secured for the Fatou Prospect in Mali with drilling expected to commence before the end of June 2021, allowing for initial confirmation drilling of this previously reported resource prior to the annual rainy season.

Bernard Aylward, CEO of Kodal Minerals, commented: "We are making great progress with our gold exploration programmes in Côte d'Ivoire.  The wide-spread, consistent surface gold anomalism at Dabakala is an enticing prospect with multiple newly defined gold trends in a previously unexplored region.  We are excited to undertake the reconnaissance drilling here to determine the potential for primary gold mineralisation to be discovered.  In addition, our work at the Nielle Concession has targeted a strong zone of gold mineralisation identified from earlier work and our geologists have reported encouraging information from the drilling chips.  We have dispatched all samples to the laboratory for assay and are awaiting results that will guide our next steps.

"In addition to our gold activity, we continue to focus on our Mining Licence Application in Mali, which is progressing as expected, and we welcome the confirmation of Monsieur Lamine Seydou Traore as the Minister of Mines, Energy and Water for Mali.  Kodal has continued to work closely with the Mali government to progress the Mining Licence Application, and as previously announced, has both received the request for and paid the Mining Licence Application fee. 

In addition to our Mining Licence Application, we note the recent news of the proposed development partnership between our close neighbours at the Goulamina Lithium Project in the Bougouni region of Mali, and Chinese lithium manufacturer, Ganfeng.  This joint venture is a very positive indication of support for the Mali lithium sector and further indicates the strength of the lithium sector overall.  Kodal is well placed with its Bougouni Lithium Project moving closer to full permitting and the support of our major shareholder and off-take partner, Suay Chin International Pte, as well as other parties who continue to review and assess the development of our primary project.

"I will be in Mali and Côte d'Ivoire throughout the week of 21 June 2021 to undertake a series of Government meetings in the countries and to review the recent exploration programmes.  I look forward to providing updates when possible." 

FURTHER INFORMATION

Dabakala Project in Côte d'Ivoire

Kodal completed an infill surface geochemical sampling programme at Dabakala in May 2021, with a total of 803 samples collected (763 samples sites, 16 duplicate samples, 16 certified reference samples and 8 blank QAQC samples).  This work targeted the gold anomalism previously identified from Kodal's sampling and these results have now defined the area of interest in preparation for reconnaissance aircore drilling.  This gold anomaly in the Dabakala Concession is a new zone defined by Kodal's surface sampling and field inspection of the area, and check sampling has confirmed high grade sample sites with assay results of 4.5g/t gold and 3.2g/t gold confirming previous anomalous surface samples up to 2.1g/t gold.  This field reconnaissance again confirms multiple trends of anomalism associated with geological structures and contacts that have the potential for focus mineralisation (refer RNS 11 February 2021).  The surface indication is widespread and strike appears extensive and the initial aircore drilling will be wide-spaced to test this extensive zone on a reconnaissance scale to confirm geology and attempt to identify primary sources of the surface anomalism.

The reconnaissance aircore drilling programme of 5,000m drilling is planned to commence from 21 June 2021 as the Company has been able to retain an aircore drill rig in anticipation of these positive results and will move to rapidly test the high priority target.

Nielle Concession - Côte d'Ivoire

Kodal has completed the initial drilling programmes at the Nielle Concessions with a programme of RC drilling designed to confirm the previous gold mineralised zones defined by Kodal's former joint venture partner, Resolute Mining Limited, as well as aircore drilling designed to target strike extensions of the main mineralised zone and geochemical anomalism.

For RC drilling a total of 12 drill holes for 1,285m were completed and the aircore programme consisted of 152 completed drill holes for 5,084m drilling.  All samples for the programmes have been dispatched to the laboratory for assay and results are pending.

**ENDS**

For further information, please visit www.kodalminerals.com or contact the following:

The exploration results and activity reported in this announcement have been reviewed by Mr Bernard Aylward who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Aylward has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Qualified Person as defined in the AIM Note for Mining and Oil & Gas Companies dated June 2009. Mr Aylward consents to the inclusion in this announcement of the matters based on his information in the form and context in which it appears.