Keegan (TSX VENTURE: KGN) is pleased to announce the beginning of a 6000 meter core program at its Esaase Property. Approximately 30 holes are planned to test the 1500 meter strike length where Keegan has discovered widespread disseminated gold mineralization in its bedrock trenching programs (e.g. 20 meters of 4.25 g/t Au, 30 meters of 2.00 g/t Au, 50 meters of 1.00 g/t Au, etc.), the full results of which have been announced in recent news releases and are available on the company website www.keeganresources.com.
The initial program will be used to determine the geometry and grade of the mineralized structures revealed by Keegan's trenching program. The program is expected to take approximately three months and results will be released during that time period.
Once the first phase of drilling is complete at Esaase the second phase of drilling at the Asumura project on the Mangoase fault and newly discovered Bia River structure will commence. Keegan recently received aeromagnetic data that shows that the same series of north east trending belt bounding structures hosting Newmont's Ahafo (12.2 Moz reserve) trend underneath the Bia River valley on the Ahafo property. Keegan is currently executing Induced Polarization and augur drilling studies in this target area in preparation for this program. Keegan will also drill step-out holes on the intercepts previously drilled in the Mangoase target area (25.5 meters of 0.72 g/t Au, and 10 meters of 1.68 g/t Au) previously announced earlier this year.
Dan McCoy, president and CEO of Keegan Resources states: "We are very excited about both of our planned drill programs. At Esaase the preliminary results indicate excellent potential for the discovery of a major gold resource while at Asumura the significant regional structures underlying the Bia River and Mangoase target areas have the potential to host very large gold deposits as well."
Please see www.keeganresources.com for maps, and an updated PowerPoint presentation as well as relevant news releases.
Richard Haslinger, P. Eng. is the Qualified Person with respect to NI 43-101 at Esaase. Mr. Haslinger has recently filed a 43-101 technical report for the property at www.sedar.ca describing all results and interpretations to date as well as Keegan's specific drill plans. All rock samples are assayed using standard fire assay with atomic absorption finish by Transworld Laboratories (GH) Ltd., Tarkwa, Ghana. The technical report includes descriptions of laboratory QA/QC programs and results as well as results of Keegan's resampling programs. Vincent Dzakpasu is the Qualified Person with respect to NI 43-101 at Keegan's Asumura Property.
About Keegan Resources
With a primary focus on established gold districts located in stable political environments, Keegan's seasoned exploration and management team have leveraged their collective experience and networks of contacts to efficiently assess, acquire and explore high quality, mid stage, precious and base metal projects. With active exploration programs in Nevada and Ghana combined with an enviable capital structure the company is well positioned to deliver an active, exciting year for its investors.
On Behalf of the Board
Dan McCoy, Ph.D., President & CEO
This release includes certain statements that may be deemed forward-looking statements. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's filings that are available at www.sedar.com.
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