The Sangola License covers approximately 471 km² and is situated 60km south-east of Tambacounda in south-eastern Senegal. From Dakar the permit is reached on tarred roads via Tambacounda to Kedougou. The Directors believe the license area is highly prospective because it is largely unexplored and covers the southern part of the Main Transcurrent Fault Zone of the Kenieba inlier of Birimian Formation. Exploration of the Kenieba Inlier resulted in the discovery of more than twenty million ounces (“Moz”) of gold (Figure 1). North of the Sangola License the Main Transcurrent Fault Zone fault zone yielded large gold deposits/mines such as the 3.4 Moz Massawa deposit (Randgold), 2.2 Moz Sabodala mine (MDL), the 2 Moz Yatela mine and the 10 Moz Sadiola mine (both IAMGold and AngloGold Ashanti). The Massawa gold project is presently undergoing a feasibility study and most likely will be the second modern gold mine in Senegal after the first gold was poured at MDL's Sabodala gold mine during March 2009.



Figure 1: The unexplored Sangola permit area lies along the same regional structural corridor that controlled the formation of the Sadiola, Yatela, Sabodala and Massawa gold deposits. Modern exploration of the Kenieba inlier of Birimian Formation resulted in the discovery of more twenty million ounces of gold. The directors believe that Sangola permit area has not yet been explored with modern exploration methods and accordingly holds the potential for new hydrothermal gold discoveries.