KEFI Minerals looks to secure copper-gold exploration licenses in Saudi Arabia this year

KEFI Minerals (AIM: KEF) updated investors on its Saudi Arabian operations, saying it has lodged a total of 21 exploration license applications (ELAs) covering 2,100 sq km (square kilometres), while reconnaissance and generative studies to identify other areas of interest in the country continued.

KEFI’s Saudi Arabian operations are focused on the Precambrian Arabian Shield and the JV (joint venture) with domestic construction group Abdul Rahman Saad Al-Rashid & Sons Company Limited (ARTAR). The company holds 40% in the JV, which is currently in the final stages of being incorporated in capital Riyadh.

The 21 ELAs submitted by the JV called Gold and Minerals (G&M), about a third of which are in advanced stages, are in various stages of being processed by the Deputy Ministry for Minerals Resources (DMMR). Some applications are expected to be granted soon.

Securing the ELAs to enable the company to commence exploration remains to be one of the key objectives for this year.

KEFI aims to discover and develop gold deposits that contain over one million ounces.

"One of our key objectives for 2010 is to expedite the granting of our Saudi Arabian ELAs and the KEFI Minerals team remains very keen to commence exploration of our quality prospects as soon as practicable...Saudi Arabia has a substantial historical mining heritage and our geologists have spent significant time researching and evaluating numerous prospects in the field that can be rapidly progressed once our applications are granted,” said Managing Director of KEFI Minerals Jeff Rayner.

The ELAs are prospective for volcanic massive sulphide copper-gold deposits, shear related quartz-gold veins and porphyry copper-gold deposits. All of the ELAs contain historic workings for gold and/or copper, some contain visible gold in quartz veins.

KEFI added that the strategic and logistical support of ARTAR was “invaluable.”

In Turkey, KEFI Minerals currently has several exploration projects: At Derinin Tepe in the Western Anatolia Region, low-sulphidation epithermal     quartz veins have been identified with gold and silver mineralisation. At Artvin, in northeastern Turkey, extensive hydrothermal alteration and gold and base metal mineralisation have been recognised in the project area, as well as historical workings indicating potential for economic   mineralisation. Artvin is a joint venture operated by KEFI Minerals and funded by Centerra Gold Inc (TSX: CG), which has the right to earn up to 70% interest in the property by spending US$6 million.
  
Bakir Tepe, in southwestern Turkey, is prospective for VHMS polymetallic deposits, and at Gumushane in eastern Turkey, areas of extensive hydrothermal alteration have been recognised in the project area, as well as coincident areas of interest identified through interpretation of Aster data.

Hasancelebi, in central Turkey, is prospective for high-sulphidation epithermal gold mineralisation and iron-oxide copper-gold (IOCG) mineralisation.

Muratdag, in the Western Anatolia Region, is prospective for Carlin-style epithermal gold mineralisation.

http://www.proactiveinvestors.com.au/companies/news/6456/kefi-minerals-looks-to-secure-copper-gold-exploration-licenses-in-saudi-arabia-this-year-6456.html