Dabakala Sampling Extends High Grade Gold Anomaly

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

11 February 2021

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

Dabakala Surface Sampling Extends High Grade Gold Anomaly

Kodal Minerals, the mineral exploration and development company with operations in Mali and Côte d'Ivoire, is pleased to provide an update on the results of the surface geochemical sampling completed at the Dabakala Concession ('Dabakala' or the 'Concession'), Côte d'Ivoire, in December 2020.

The Company also continues preparations for its 2021 field season to undertake exploration drilling at the Fatou Project in southern Mali, and the Nielle Project in Côte d'Ivoire.

Highlights

·    High grade gold geochemical samples up to 6.14g/t gold returned for the surface at Dabakala Concession, central Côte d'Ivoire;

·    Extensive surface gold anomalism defined in the east of the Concession extending for over 10km of strike and multiple interpreted trends;

·    Extensive artisanal workings identified during the sampling programme and anomalism extends beyond and parallel to the workings;

·    Gold anomalous zone confirmed in multiple phases of sampling and geological reconnaissance identifies geological and structural controls on the gold mineralisation;

·    Field inspection of Dabakala anomalism planned for February 2021;

·    Field reconnaissance underway at the Fatou Project to review historical drilling and proposed drill hole sites.

Bernard Aylward, CEO of Kodal Minerals, commented: "The extensive surface gold anomalism defined at the Dabakala Concession over multiple phases of sampling is very exciting for Kodal.  The exploration is currently at an early stage with sampling completed on a wide spacing in an under-explored region of Côte d'Ivoire.  The consistency of the gold anomalism, the geological setting and the presence of artisanal workings highlight the potential of this project for Kodal as we continue to develop our gold portfolio and demonstrate the value of the assets.

"Kodal is preparing for a very busy drilling and field exploration season this year, and our priorities remain to define JORC Compliant Mineral Resources at the Fatou Project, undertake drilling at the Nielle Project, and undertake field review and reconnaissance drilling at Dabakala to provide further geological information on the extensive gold anomalous zone that we have identified.

"Regarding our flagship lithium asset, as previously reported, the Company is maintaining regular communications with the Mali Transition Government to monitor the progress of the Bougouni Project Mining Licence application and we will communicate developments to the market as soon as there are updates to share with investors.  We continue to regard our Bougouni Lithium Project as our key focus and believe it will be the Company's first opportunity to develop a mining operation in Mali.  I look forward to providing updates when possible." 

FURTHER INFORMATION

Dabakala Project

Kodal completed an infill surface geochemical sampling programme at Dabakala in December 2020, with a total of 528 samples collected (502 samples sites, 11 duplicate samples, 10 certified reference samples and 5 blank QAQC samples) to add definition to the previously defined anomalous zone.  Geological mapping completed in conjunction with the sampling highlighted shear zones and quartz veining that was the target for the extensive artisanal workings.

The results returned have extended as well as enhance the surface gold anomalism with multiple, coherent zones defined.  The high-grade assay results include values of 6.14g/t gold, 2.10g/t gold, 1.54g/t gold and 1.35g/t gold that are all supported by neighbouring gold anomalous samples.  Initial interpretation of the gold anomalism is highlighting two principal orientations, being a northerly trend and a north easterly trend.  The observed anomalism relates to the underlying geology and interpreted shear structures that may control the potential for development of gold mineralisation. 

The initial review has outlined zones including:

·    North trending zone extending for over 9km in strike and up to 1km wide.  Assay values are up to 2.1g/t gold and the anomaly is associated with an interpreted geological boundary between granitic units and Birimian greenstone sequence.

·    North-east trending zone extending for over 11km in strike and up to 1km in width.  Results in the north-east trend include assay of 6.14g/t gold and 1.54g/t gold.  The trend is associated with an interpreted shear structure and structural complexity.

·    A conjugate structural zone trending to the northwest is interpreted, extending for over 6km strike and is a joining structure between the two main orientations.

The extensive Dabakala surface gold anomaly is a new area defined by Kodal exploration and no previous drilling has occurred in the area. The next stage of exploration will be a field visit by our geological team to review the anomalous zones, collect rock chip samples where appropriate and further define the controls on the gold anomalism.  This will include detailed geological field mapping and sampling of the workings will be undertaken to assist in the targeting of the future drilling.

**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.