Edgewater finds new gold zone at Enchi project

Edgewater Exploration said Wednesday that it has discovered a new gold zone on its Enchi project in southwestern Ghana, reporting results from the first four diamond drill holes on the Sewum South prospect.
The first holes represent the start of a major 10,000 metre drill program on Sewum, designed to test a 7 kilometre long gold anomaly that straddles the largely untested Sewum Shear Zone.
The Sewum Shear Zone represents a major splay off the regional scale Bibiani Fault, which is similar to Kinross Gold's 5 million ounce Chirano Gold mine, whose Chirano Shear Zone is another splay off the Bibiani Fault.
"These are very exciting results obtained from an underexplored region of the project, situated almost two kilometres away from the closest known drill hole," said CEO George Salamis.
"The significance of this new gold discovery at Sewum South cannot be underestimated, given the intensity of shearing, brecciation and related gold mineralization intersected at shallow depths in the first 4 holes in this new gold prospect."
Results include 29 metres of 2.01 g/t gold in hole SWDDH001; 17 metres of 1.59 g/t gold in hole SWDDH003; and 26 metres of 1.15 g/t gold in hole SWDDH004.
The company said a further 21 holes have been drilled, with results still pending.
"These recent drill results confirm our strong belief that Enchi is host to several zones of significant gold mineralization with high potential for further discoveries, within one of the largest single exploration concessions covering favorable geology in Western Ghana," added Salamis.
The Sewum Shear Zone hosts numerous gold prospects along its length, with the Sewum South, Sewum Central and Sewum North gold prospects.
The company started drilling on Sewum South in April, and has so far completed 25 holes for a total of 3,426 metres. Contracts for over 30,000 metres of drilling at Enchi have been signed for 2011.
Enchi's project area is comprised of eight contiguous licences and covers a strike length of 50 kilometres.
Aside from Enchi, Edgewater is also developing its Corcoesto gold project in northwest Spain.