Location and Project Description

The Lingokoto exploration permit 10333 covers an area of approximately 161 square kilometres and is located near the border with Mali, approximately 14 kilometres west of the operational Loulo Gold Mine, a 100 million tonne deposit at greater than 4g/tAu.  The Loulo Mine is situated in a similar geological setting to that which is present within the Lingokoto tenement.

Title

Erin has the right, pursuant to the terms of a joint venture agreement with AfriGem SL, to acquire an 80% interest in exploration permit 10333.  Under the terms of agreement, Erin is required to meet as sole contributor, all exploration expenditure until completion of a bankable feasibility study.

Work Completed to January 2012

Erin has completed regional geological and regolith mapping together with regional soil sampling on an 800 metre by 800 metre grid.  Anomalous areas have been defined from the regional soil sampling programme (red zones).  Lower order anomalies are defined due to the thick cover that exists throughout the permit area.

There is no evidence of modern exploration having taken place within the licence.

The gold anomalism occurs over extensive areas of the volcano-sedimentary rocks and is crossed by northeast trending structures.
Elevated boron values are coincident with the gold anomalies occurring within the andesite volcanics and the calcareous volcaniclastics.  Elevated boron levels are potentially indicative of the occurrence of tourmaline.  The gold mineralisation at the Loulo mine has a close association with tourmaline.

The presence of areas of un-explored anomalous gold geochemistry within a structural and geological setting having analogies to the nearby major gold mining operation provides a high quality exploration target for further evaluation.

Current Activities

Planning of infill soil sampling on a spacing of 120 metres by 40 metres over the anomalous zone identified is in progress.  Sampling, and detailed geological and regolith mapping are planned to commence in mid-February 2012.

Planned for Completion in 2012

Erin’s aim is to quickly evaluate the anomalous gold trends identified with the regional soil geochemistry to generate drill targets.  With the infill soil sampling providing better definition of the anomalous zones identified by April 2012, reconnaissance RAB fence drilling is then planned to quickly assess whether they have the potential to host ore grade gold bodies. 

Results of the RAB drilling are expected by the third quarter 2012.