Viking Ashanti (VKA)

Shares / Stock Code

VKA

Stock Exchange / Sharemarket

Australian Securities Exchange

Viking Ashanti (VKA) was established in 2007 to explore for, develop and mine mineral deposits in West Africa. On 7 January 2010, Viking Ashanti entered into an agreement with two subsidiary companies of ASX listed Resolute Mining Limited to acquire 100% of the shares in Associated Gold Fields Pty Ltd (AGF), which holds shares in various Australian and Ghanaian subsidiary companies, which in turn hold the Resolute group’s mineral licences and joint venture interests in Ghana. These properties are located in the richly endowed Ashanti Gold Belt of Ghana and includes the Akoase East gold project with an inferred 500,000 oz gold resource. By acquiring AGF, Viking Ashanti will control all of Resolute’s Ghanaian gold projects by holding a 90% interest in 3 Ghanaian subsidiaries. The remaining 10% is held by the Government of Ghana, which under the Minerals and Mining Act is entitled to a 10% interest (free carried) in any mining operation. Investors can trade Viking Ashanti shares on the Australian Stock Exchange (ASX).

The Viking mineral licences are located in southern Ghana, in one of the most highly gold endowed and tightly held geological provinces in the world, the Ashanti Gold Belt. Numerous multi-million ounce gold deposits are located within and on the margins of the Ashanti Gold Belt, including two of the largest gold deposits in the world, at Obuasi and Tarkwa.

The Akoase Project

The Akoase Project is located approximately 125km north-northwest of Accra. The Akoase prospecting licences covers a 106km2 area in the northern part of the Ashanti gold belt. One licence is bounded to the northwest by the Kade Bepo Forest Reserve.

A number of major gold mines and projects are located within this belt, including Newmont’s 8.7 million oz Akyem gold mining project which is approximately 25km southwest of the Akoase licences.

The Akoase East deposit was discovered by Resolute in the late 1990’s using 400m line spaced soil geochemistry. The soils were infilled to 100m line spacing and defined a 7km long anomaly at >30ppb gold. Ground magnetics at 100m x 100m was then completed, followed by Induced Polarization ground geophysics and excavation of 31 trenches at 100m spacing. This work defined a 2.9km long anomaly for drilling. Subsequent trenching and drilling (106 holes totalling 9,494 metres of drilling) on 100m line spacing to a maximum depth of 150 metres has defined a significant near surface JORC compliant Inferred resource of 500,000 oz of gold at a 0.5 g/t Au cut-off.

Gold mineralisation on the Akoase East deposit is typically vein-hosted and is associated with quartz-carbonate breccias and stockwork veins developed in zones of strong sericite-ankerite-pyrite alteration. The most favourable host to the mineralisation are strongly sheared, foliated fine grained sediments of the Birimian upper sequences.

The West Star and Blue River

The West Star and Blue River licences are located in the western region of Ghana and about 250km west of Accra via sealed roads to Nkroful, then unsealed roads to the project areas. The licences are located at the southern end of the Ashanti gold belt and share a southern boundary with Adamus Resources Limited concession, which hosts the 2 million oz Salman gold project.

The licences are subject to joint venture with Weststar Mining Company Ltd and Blueriver Mining Company Ltd where Resolute has earned 100% in any hard rock gold mineralisation defined. The joint venture partners retain 100% of any alluvial mineralisation on the tenements.

The Blue River and West Star concessions lie close to the Ashanti shear corridor. The eastern boundary of West Star lies close to an unconformity between the Palaeo-placer units (Tarkwaian) and lower Birimian units whilst Blue River lies dominantly in lower Birimian rocks.

Rocks in the areas consist mainly of metasediments, such as greywacke and carbonaceous shales/phyllite. The West Star area is intruded with chlorite rich diorite and granodiorite with some felsic floats with varying quartz composition suspected to be either monzonite and/or lamprophyres. Andesite is found to intrude the metasediments on both concessions.

Nchiadi and Nyame Dzikan Project

The Nchiadi and Nyame Dzikan properties are located 20km north-west of the Blue River/West Star Project in the western region of Ghana.

The properties are subject to a joint venture agreement with Ahafo Ano South Goldfields Limited. Resolute has earned 51% equity the licences for US$60,000 expenditure. The properties are at an early stage of evaluation and a systematic, staged work program is planned to advance the properties.

Regionally, these Birimian rocks are folded by NE-SW compressional forces. The Blue River area displays a strong structural grain, visible in the aeromagnetic image, with dominant NS and NW structures, which are likely to control gold mineralisation.

Viking Ashanti (VKA) Products and Services

  • Gold exploration in Ghana

Viking Ashanti (VKA) Locations and Subsidiaries

Viking Ashanti Head Office
Suite 8, 14 Main Street,
OSBORNE PARK, WA, AUSTRALIA, 6017
Phone: (08) 9443 5970
Fax: (08) 9443 5971

Viking Ashanti (VKA) Share Price

Submitted by ASX Listed Company on 18 August, 2010 - 05:14

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