Cardinal Resources Ltd.: Highest Grade Intercepts Returned From Drilling

Perth - Cardinal Resources Ltd. (ASX:CDV) ("Cardinal" or "the Company") is pleased to report that the Phase 1 'Framework' drilling programme has been completed and all assays results have been returned. As a result, work has begun on structural and geological modelling, and resource estimation in order to complete an inaugural resource estimate of the Namdini gold deposit ("Namdini") in northeastern Ghana.


HIGHLIGHTS

- The highest grade intervals, returned to date, from Namdini have been intersected in the final group of 'framework drilling' drill holes

- The majority of the drill holes listed above have multiple intersections per hole and in total some 125 separate intersections have been returned in 20 holes, as detailed in Table 1 (Refer to link below).

- The Namdini deposit has been intersected by drilling over a strike length of 1,000 metres, averages between 200 metres and 300 metres in width and has been traced to over 350 metres vertical depth over the majority of the deposit strike length and is open at depth and along strike to the south.

Cardinal's Managing Director, Archie Koimtsidis said:

"The completion of the first phase of the framework drilling programme has returned some of the highest value (gold grade multiplied by mineralised length) intervals intersected to date at Namdini. Further high grade intervals were returned from many of the outstanding drill holes from our Phase One drilling programme.

"Namdini has been confirmed as a major new discovery, with gold mineralisation outlined over one kilometer of strike, and extending over 350 metres below the topographic surface with a mineralised corridor that it consistently greater than 250 metres to 300 metres wide. The orebody remains open at depth and to the south and we are encouraged by the exploration potential to the north.

"We are excited to begin the next stage of the development of Namdini, with geological and structural modelling and resource estimation studies initiated. Our metallurgical testwork programme, based on over 350 kilograms of core is well advanced and we look forward to reporting the results when they are available."

Figure 1 (Refer to link below) shows the completed Phase 1 drilling and the location of the drill holes that are reported in this ASX announcement.

Dr. Julian Barnes, Cardinal's Namdini Project Technical Manager said:

"The database for the Phase I Framework Drilling programme has been finalised, enabling us to assess the deposit in detail in 3D. Structural and geological modelling has been carried out on the Namdini deposit by specialist consultants, Orefind and the 3D geological model is displayed in the figures in this ASX announcement.

"Resource estimation studies have started, using specialist geostatistical consultants, EGRM. Survey control has been established for the entire Namdini project by independent surveyors, Sahara Mining Services, with the establishment of DGPS survey control points throughout the project area and DGPS surveying of drill hole collars. In addition, Sahara Mining Services also completed a detailed Unmanned Aerial Vehicle ("UAV' or "drone") topographic and photographic survey surrounding the Namdini deposit.

"The new survey control forms the basis for locational control for the Namdini project. Bulk density measurements are also being routinely collected from all drill core and to date more than 1,400 bulk density measurements have been completed."

The additional drilling and structural and geological analysis has confirmed that Namdini is hosted in intensely deformed, strongly hydrothermally altered granite, volcaniclastics and diorite. Typically, both wide and multiple gold-mineralised intervals have been returned from the majority of holes drilled into the Namdini deposit.

Figure 2 (Refer to link below) shows a 'long section', of the drilling to date, with a view towards the east, parallel to the average strike of the Namdini deposit. The section shows the mineralised intersections, colour coded on average intersection gold grade, based on the reporting rule of a minimum 3 metres minimum down hole length, a maximum of 3 metres contiguous 'sub-grade' and a lower cut off grade of 0.5 g/t., with the drill holes being reported in this ASX announcement highlighted with gold grade histograms and hole names. Figure 3 (Refer to link below) displays a long section, view east, of all intersections to date, colour coded on intersection grade and clearly shows that the Namdini deposit is open at depth and to the south.

Figure 4 (Refer to link below) shows a view of all Namdini drill intersections to date, superimposed on each other, viewed 'through' the deposit towards N020E. The 250 metre to 300 metre average width of the mineralised 'corridor' is clearly visible.

Figures 5 to 15 (Refer to link below) show sections on which the drill holes reported in this ASX announcement are located. The drill holes reported in this ASX announcement are annotated with down hole intersection length and uncut mean gold grade (in grammes per tonne), based on the intersection rules that have been used to calculate the mineralised length and weighted mean gold grade.

Detailed listings of the sampled intervals, gold grades and summary lithology for drill holes NMRD451-776 and NMRD407-710 are included at the end of this ASX announcement.

Cardinal technical staff maintains a set of standard procedures for both diamond drilling and reverse circulations drilling. For diamond drilling (which is completed using HQ core collection), the key aspects are that the holes are electronically surveyed every 30 metres down hole, all core runs are routinely oriented using a Reflex digital orientation instrument, core recovery is measured and geotechnical logging is done as the core is recovered at the rig site.

Back at the Bolgatanga office complex, the core is photographed wet and dry, and after logging onto digital data recorders, the core is cut such that a quarter HQ core sample, on a one metre sampling interval, is submitted to the laboratory, quarter core is retained for metallurgical sampling and half HQ core is retained for reference. The same sector of quarter core, relative to the core orientation mark is routinely sampled for assaying.

For RC drilling, samples are collected on a one metre interval using a multi-tier riffle splitter, duplicate field samples are routinely collected (one in 20), the cyclone is thoroughly cleaned on each rod change and the splitter is cleaned after each metre sample. The sample bag weights for each metre interval are routinely weighed, as are the split samples for submission to the assay laboratory and approximately 2.5 to 3 kilogramme chip samples are dispatched to the laboratory. Amongst the samples, a suite of internationally accredited and certified reference material along with blanks are included in the sample submission sequence. The standards cover the gold grade range expected at Namdini.

The individual sample bags for both core and drill chips are sealed at the Bolgatanga site office, and are grouped into tens for placement in a large plastic bag, which is, in turn, sealed. The assay laboratory provides sample transport from Bolgatanga, such that the chain of custody passes from Cardinal to the assay laboratory at the Bolgatanga sample logging facility.

Once sample bags and pulps are returned from the assay laboratory to Cardinal's Bolgatanga facility, a representative suite of pulps, covering the entire range of both sample batches and gold grades are chosen for 'referee' analysis at an accredited independent laboratory. As with the routine sample submission, a suite of international certified standards and blanks are inserted into the referee assaying pulp sequence.

Cardinal technical staff carry out routine analysis of the quality control data on receipt of assay results from the laboratory in order to determine if the batch of samples has passed industry standard levels for control samples. If the batch 'fails', the batch of assays is rejected and a re-assay request for the batch of samples is made to the laboratory.

To view tables and figures, please visit:
http://abnnewswire.net/lnk/1YW21FEF


About Cardinal Resources Ltd:

Cardinal Resources Ltd. (ASX:CDV) is a focused gold exploration and development company with its key assets located in the mineral-rich country of Ghana, West Africa. Cardinal owns and operates 2 drill rigs and has in country infrastructure which allows it to be a low cost exploration and development company.



Contact:

Archie Koimtsidis Managing Director
Cardinal Resources Ltd.
P: +233-26-190-5220
Skype: cardinal.archie