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August 18, 2014

 

Bisha Mining Announces Further Exploration Success at Harena

 

HIGHLIGHTS

 

High grade intersections at Harena include:

  • Hole HX-004:  2.30% Cu, 0.91% Zn, 1.30 g/t Au, 42.9 g/t Ag over 10.45 meters

  • Hole HX-005:  1.77% Cu, 3.99% Zn, 1.22 g/t Au, 77.9 g/t Ag over 18.50 meters

  • Hole HX-006:  1.28% Cu, 3.71% Zn, 0.56 g/t Au, 41.7 g/t Ag over 17.70 meters

  • Hole HX-006:  0.38% Cu, 0.21% Zn, 7.64 g/t Au, 140.1 g/t Ag over 8.00 meters

  • Harena extended to the south over a 300 meter strike length

  • Only tested to approximately 250 meters depth and open down dip

  • Additional drilling and geophysical surveys ongoing

 Bisha Mining Share Company (BMSC) is pleased to announce exploration drill results from the Harena Mining License located 10 kilometers south of the Bisha Mine and processing plant.  The drilling was completed as part of the 2014 Bisha Regional Exploration program.

BMSC Chairman Cliff Davis commented, “We are excited to see continued success in our 2014 exploration program.  The Bisha area remains under-explored and our known resources remain open for further expansion.  We look forward to more success in 2014 as we continue to assess Harena and the potential of the Bisha VMS belt.”

2014 Regional Exploration Program Update

To August 1, 2014, BMSC has completed approximately 15,000 meters of a 25,000 meter planned diamond drilling program.  In June, an airborne VTEM geophysical survey was completed over the entire Mogoraib River Exploration License, the Bisha Mining Agreement area, and the Harena Mining License.  The results of this survey are being assessed and will be followed-up later in the year.  Diamond drilling is in progress at Harena and will resume at Aderat in September following the short rainy season.  In addition, geophysical surveys are in progress and consist of ground and borehole Transient Electromagnetic (TEM) surveys.

Harena Drill Results

The Harena ore body is located approximately 10 kilometers south of the Bisha Mine and processing plant.  The exploration is designed to expand the known resource down to approximately 250 meters from surface.  The deposit had previously been sparsely drilled beyond the known resource and had been locally tested to a depth of only 175 meters.  While Harena currently has a modest indicated and inferred primary resource, BMSC geologists were attracted to the possibility of expansion due to the extensive, highly altered felsic volcanic footwall unit that may indicate a large, strong mineralizing system is present. 

Drilling to the north and, in particular, to the south has been very encouraging.  A location and plan map of the drilling is attached at the end of this release.

Harena South End

Hole HX-005 is one of the best intersections to-date at Harena. This hole targeted the southern end of the known deposit, down dip of historical intersection H-041 (3.0 meters @ 4.51% Zn), and returned 18.5 meters of 1.77% Cu, 3.99% Zn, 1.22 g/t Au, 77.9 g/t Ag.  A cross-section showing hole HX-005 is attached at the end of this release. 

The mineralization of HX-005 is classically zoned and demonstrates that the deposit is upright having a zinc–rich top to the massive sulphide grading into a copper–rich base and a gold-enriched footwall stringer zone at depth and to the east.  This result also indicates that the deposit is open to the south and thickening down dip.

Hole HX-006 is a follow-up step-out hole, 50 meters to the south of HX-005. Assay results for hole HX-006 returned two intervals of massive sulphide, the first grading 1.28% Cu, 3.71% Zn, 0.56 g/t Au, 41.70 g/t Ag over 17.7 meters and a second zone grading 1.07% Cu, 1.79% Zn, 0.60 g/t Au, 47.7 g/t Ag over 7.8 meters.  Further down in the footwall there is a gold–rich sulphide stringer zone grading 7.64 g/t Au and 140.1 g/t Ag over 8.0 meters.  Similar gold–rich stringer zones have been intersected previously at Harena, however, they have not been as wide as that encountered in hole HX-006. 

Further step-out drilling has been successful in intersecting various widths of massive, semi-massive and stringer sulphides over a strike length of 300 meters.  Assay results are pending for these holes..

We are currently in the process of drilling a second tier of holes approximately 80 meters down dip of the first tier and have been encountering thick zones of massive, semi-massive and stringer sulphides (up to 40 meters) confirming that the mineralization is robust and increasing at depth.  In a number of holes, mafic dikes are cutting through the massive and semi-massive sulphide zone and may be concentrated in a fold hinge as the mineralization flattens from near vertical at surface to approximately 20 degrees at a depth of 200 meters.

Also intersected in hole HX-006, was a 0.4 meter horizon grading 8.60% Zn and 50 g/t Ag at the base of a regional mudstone unit that sits on top of variably altered hangingwall felsic and mafic volcanics some 100 meters above the Harena massive sulphide horizon.  This is of potential regional significance as it suggests that a very long lived hydrothermal system was in place with the likelihood of stacked mineralized horizons. 

In summary, the deposit appears to be increasing in thickness at depth to the south, is still open and the associated footwall alteration remains strong.  The zone is flattening and has shallow dips at approximately 200 meter depth and the grades encountered to-date are on average higher that the current resource grade.  All the mineralization discovered to-date is outside of the current resource volume.  Drilling is on-going and will continue in its efforts to expand the deposit.

Harena North End

The north end of Harena has also only been tested with a limited number of shallow holes.  Hole HX-004 at the north end of the deposit returned 10.45 meters grading 2.30% Cu, 0.91% Zn, 1.30 g/t Au, 42.9 g/t Ag in primary massive and stringer sulphides.  This is one of the more copper-rich intersections to-date at Harena and further drilling to the north of the deposit will be completed shortly to follow-up this promising result.

Quality Assurance

A Quality Assurance/Quality Control program was part of the sampling program for the Harena and Aderat work. This program includes chain of custody protocols as well as systematic use of standards, duplicates and blank samples into the flow of samples produced by the sampling. Samples were prepared at African Horn Testing Services (Eritrea) and analyzed at Genalysis Laboratories (a NATA registered laboratory) in Perth, Western Australia.  Drilling intercept lengths only are reported in the tables and text below.

Mr. Robert Foy PGeo., BMSC’s Exploration Manager, has been overseeing the drilling at Harena and is a Qualified Person as defined by NI 43-101.  Mr. Foy has reviewed the technical content of this press release and approved its dissemination.

Forward Looking Statements:  The above contains forward-looking statements regarding drill results and future exploration plans.  Forward-looking statements are frequently, but not always, identified by words such as “expects,” “anticipates,” “believes,” “intends,” “estimated,” “potential,” “possible” and similar expressions, or statements that events, conditions or results “will,” “may,” “could” or “should” occur or be achieved.  Forward-looking statements are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements due to a variety of risks, uncertainties and other factors.  The Company’s forward-looking statements are based on the beliefs, expectations and opinions of management on the date the statements are made and the Company assumes no obligation to update such forward-looking statements in the future.


Bisha Mining Share Company

“Cliff T. Davis”

Cliff T. Davis
Chairman

Figure 1 Harena Mine – Drillhole Location Map

Harena Drillhome Locations

Figure 2 Harena  Section 5950
Harena Section 5950 
Figure 3 Harena  Section 6000
Harena Section 6000

Harena Intersections

Hole ID

From (m)

To (m)

Length (m)

Cu (%)

Zn (%)

Au (g/t)

Ag (g/t)

HX-001

209.30

210.90

1.60

0.98

5.88

1.07

58.1

HX-002

89.30

90.30

1.00

0.03

0.67

0.28

8.0

HX-003

13.80

27.30

13.50

0.03

0.24

0.01

1.5

HX-004

159.30

161.40

2.10

1.44

0.28

0.48

31.7

HX-004

170.00

180.45

10.45

2.30

0.91

1.30

42.9

HX-004

239.30

243.00

3.70

0.41

0.64

0.07

0.3

HX-005

171.50

190.00

18.50

1.77

3.99

1.22

77.9

includes

174.00

177.00

3.00

0.32

14.51

0.20

9.1

and

178.00

190.00

12.00

2.25

1.19

1.73

104.8

and

193.00

195.00

2.00

0.03

0.11

4.50

234.0

HX-006

66.10

66.50

0.40

0.05

8.60

0.01

50.0

HX-006

189.10

206.80

17.70

1.28

3.71

0.56

41.7

HX-006

223.60

231.40

7.80

1.07

1.79

0.60

47.7

HX-006

239.00

247.00

8.00

0.38

0.21

7.64

140.1

and

242.00

243.00

1.00

0.30

0.08

36.79

410.0

HX-007

174.60

182.00

7.40

0.29

1.77

0.47

20.0

HX-007

197.45

198.55

1.10

0.75

6.40

0.19

18.0

HX-007

203.90

205.00

1.10

0.20

3.05

0.61

42.0

Notes: True widths are estimated to be 80 to 95% of drilled length.  NSV = No significant values.


Harena Collar Locations

Hole ID

UTM Easting

UTM Northing

Elevation

Depth (m)

Dip

Azimuth

HX-001

334585

1707885

600.1

250.5

-65.0

125.0

HX-002

334680

1707935

599.3

271.0

-65.0

125.0

HX-003

334765

1707935

598.4

275.4

-75.0

125.0

HX-004

334825

1707949

598.6

281.0

-65.0

125.0

HX-005

334591

1707744

601.4

257.1

-50.0

125.0

HX-006

334550

1707714

601.7

319.9

-60.0

125.0

HX-007

334505

1707620

602.5

236.3

-60.0

125.0