Banro Announces Further Drilling Results from its Namoya Project
Toronto, Canada - February 20, 2007 - Banro Corporation (“Banro” or the “Company”) (AMEX - “BAA”; TSX - “BAA”) is pleased to announce further drilling results from the Company’s wholly-owned Namoya project, located on the Twangiza-Namoya gold belt in the Democratic Republic of the Congo (the “DRC”).
Assay results have been received from another 52 core holes drilled at Namoya, which concludes the 10,826 metre drilling program for 2006. These results are from holes drilled in the Mwendamboko, Kakula, Namoya Summit, Filon B, Seketi and Muviringu prospects which are located along the 2.5 kilometre long mineralized trend at Namoya.
Highlights include: Hole NDD047 intersected 17.24 metres grading 3.09 g/t Au from 100.50 metres Hole NDD058 intersected 4.44 metres grading 15.85 g/t Au from 97.70 metres Hole NDD061 intersected 22.20 metres grading 7.75 g/t Au from 170.47 metres, including 9.12 metres grading 16.14 g/t Au from 182.30 metres Hole NDD066 intersected 10.39 metres grading 6.63 g/t Au from 129.34 metres Hole NDD079 intersected 11.41 metres grading 10.24 g/t Au from 209.35 metres Hole NDD092 intersected 8.00 metres grading 5.84 g/t Au from 80.70 metres Hole NDD093 intersected 32.1 metres grading 3.93 g/t Au from 115.15 metres, including 6.90 metres grading 10.66 g/t Au from 140.35 metres Hole NDD098 intersected 5.48 metres grading 10.74 g/t Au from 91.12 metres and 17.56 metres grading 3.51 g/t Au from 141.50 metres The objectives of the core drilling program at Namoya were to upgrade the project’s remaining estimated Inferred Mineral Resource of 4,829,000 tons grading 3.76 g/t Au (see the Company’s press release dated September 7, 2006), as well as find strike and down dip extensions to the known mineralization at the Mwendamboko, Kakula and Namoya Summit prospects. In addition, preliminary exploration, core drilling was carried out on the Muviringu, Seketi and Filon B prospects. Initial indications from these exploration core drilling programs indicate that further drilling is warranted.
Core holes were inclined at between minus 51 and 78 degrees and averaged 177 metres in depth with a maximum of 153.56 metres down the hole. Core recovery for these holes averaged 90% within the mineralized zones. It is estimated that the true widths of the mineralised zones are approximately 81% of the intersected widths in the holes. The mineralized sections are found within a series of quartz veins and stockworks hosted by quartz-sericite-chlorite schists.
A locality plan of the reported drill holes is found accompanying this press release on the Company’s web site at http://www.banro.com/i/pdf/2007-02-20_NRM.pdf.
Commenting on these drilling results at Namoya, Peter Cowley, President and C.E.O. of the Company, said: “During the second half of 2006, drilling was focused on upgrading the resource base and delineating the full strike extent of the main deposits of Mwendamboko, Kakula and Namoya Summit. Mineralization still remains open at depth at all these deposits. In addition, exploration on other prospects has produced encouraging drill results and will be followed up this year.”
Results from the core holes are tabulated in the following table:
|NDD048||9556505.25||561908.38||180||-55||No significant intersection|
|NDD052||9557201.8||561546.18||270||-52||No significant intersection|
|NDD056||9557198.6||561588.44||270||-53||No significant intersection|
|NDD060||9557500.84||560978.9||236||-52||No significant intersection|
|NDD081||9557767.62||561011.51||236||-59||No significant intersection|
|NDD089||9556425.61||562013.87||180||-55||No significant intersection|
|NDD091||9556410.62||561963.7||180||-62||No significant intersection|
|NDD094||9557107.0||560580.07||205||-50||No significant intersection|
Holes are uncut.
Other exploration activities, including soil sampling and trenching, have been extended to cover the rest of the Namoya property to delineate additional targets for drilling during 2007.
Drill cores for assaying were taken at a maximum of one metre intervals and were cut with a diamond saw with one-half of the core placed in sealed bags and sent to the Company’s sample preparation facility in Bukavu, DRC. The core samples were then crushed down to minus 2 mm, split with half of the sample then being pulverized down to 75 microns. A portion of the pulverized sample was then shipped to the SGS Mwanza Laboratory (which is independent of the Company) in Tanzania where the samples were analysed for gold by fire assay using a 50 g. sample. As part of the Company’s QA/QC procedures, internationally recognised standards, duplicates and blanks were inserted into the sample batches. In addition, sample pulps with known grades from the SGS Mwanza Laboratory in Tanzania were also submitted to a second independent laboratory for quality control purposes.
Additional information with respect to the Namoya property is contained in the technical report of Michael B. Skead (who is the Company’s Vice President of Exploration) dated March 30, 2006, and entitled “NI 43-101 Technical Report, Namoya Project, Maniema Province, Democratic Republic of the Congo.” A copy of this report can be obtained from SEDAR at www.sedar.com.
Banro is a Canadian-based gold exploration company focused on the development of four major, wholly-owned gold projects along the 210 kilometre-long Twangiza-Namoya gold belt in the South Kivu and Maniema provinces of the DRC. Led by a proven management team with extensive gold and African experience, Banro’s strategy is to unlock shareholder value by increasing and developing its significant gold assets in a socially and environmentally responsible manner.
The exploration results disclosed by this press release have been reviewed, verified (including sampling, analytical and test data) and compiled by the Company’s geological staff based in Bukavu, DRC, under the supervision of Michael B. Skead (Aus.I.M.M), the Company’s Vice President of Exploration and a “qualified person” (as such term is defined in National Instrument 43-101).
Cautionary Note to U.S. Investors: The United States Securities and Exchange Commission (the “SEC”) permits U.S. mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. Certain terms are used by the Company, such as “measured”, “indicated”, and “inferred” “resources”, that the SEC guidelines strictly prohibit U.S. registered companies from including in their filings with the SEC. U.S. Investors are urged to consider closely the disclosure in the Company’s Form 40-F Registration Statement, File No. 001-32399, which may be secured from the Company, or from the SEC’s website at http://www.sec.gov/edgar.shtml.
Forward-Looking Statements: This press release contains forward-looking statements. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding mineral resources, exploration results, potential mineralization and future plans and objectives of the Company) are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, failure to establish estimated mineral resources (the mineral resource figures referred to in this press release are estimates and no assurance can be given that the indicated levels of gold will be produced), changes in world gold markets and equity markets, political developments in the DRC, changes to regulations affecting the Company’s activities, uncertainties relating to the availability and costs of financing needed in the future, the uncertainties involved in interpreting drilling results and other ecological data and the other risks involved in the gold exploration and development industry. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
For further information, please visit our website at www.banro.com, or contact: Peter Cowley, President and C.E.O., United Kingdom, Tel: (44) 790-454-0856; Arnold T. Kondrat, Executive Vice-President, Toronto, Ontario, or Martin Jones, Vice-President, Corporate Development, Toronto, Ontario, Tel: (416) 366-2221 or 1-800-714-7938.