Acquisition of Gold Licences

RNS Number : 8412Z

Obtala Resources PLC

25 July 2008

 



25 July 2008

OBTALA RESOURCES PLC ('Obtala' or the 'Company')

New Gold Prospecting Licences Awarded to Obtala in Tanzania

Obtala Resources plc is pleased to announce it has increased its gold prospecting licence areas by 1,769.28km2 to 2,076.28km2 following the granting of prospecting licences ('Licences') in Sekenke, Mtera and Isaya River in Tanzania, East Africa.  Sekenke falls directly into the Lake Victoria Goldfields region and Mtera and Isaya River are south of the Victoria Goldfields region with Mtera being 120km south of Dodoma and Isaya River 150km south-west of Dodoma.

There was no consideration for the licences as they are newly awarded by the Commissioner for Minerals under the Tanzanian Mining Act. 

The Licences represent a significant increase from the 307km2 previously held in the Victoria Goldfields region. These Licences for gold exploration are located on or proximal to sites of proven resources in the form of current or historical mining activity representing high quality exploration areas.

Licence Details 

Licence	Holder	Interest	Status	Surface Area	Licence Expiry
Sekenke PLR 4328	Mindex	100%	Prospecting	323.20km2	20 September 2009
Mtera PLR 4895/2008	Mindex	100%	Prospecting	682.72 km2	10 January 2010
Isaya River PLR 4899/2008	Mindex	100%	Prospecting	763.36km2	10 January 2010

All three licences are in close proximity to tarmac roads, fresh water and electricity suppliers with artisanal mining activity present illustrating the presence of localised mineralisation which may also prove to be economically viable for larger scale operations, given the correct management and application of exploration strategies.

Frank Scolaro, Executive Chairman for Obtala, commented that 'Tanzania is the third largest gold producer in Africa and we are delighted to have acquired licences in an area well known for gold exploration and increasing the surface area under exploration fivefold within the Obtala gold portfolio. This should prove immensely beneficial to the creation of shareholder value for the future.'

Contact:

Michael Bretherton - Finance Director Nigel Chapman  - Chief Operating Officer Obtala Resources plc www.obtalaresources.co.uk	[phone]
Ray Zimmerman/Jonathan Evans  Zimmerman Adams International Ltd - Nominated Adviser and Broker	[phone]

 

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