Sarama Resources (TSXV:SWA) reported results from the company’s first drill program, intersecting oxide gold mineralization ~4km north-east of its
recently acquired Bondi Deposit within its ThreeBee Project in Burkina Faso. In total, 82 holes were drilled over 2,800m, surface highlights include
1.50 g/t Au over 8m (DJA0061) and 1.07 g/t Au over 27m (DJA0060) (Figure 1). The company plans to follow-up on these results, in addition to using
historical data to identify targets. Initial results appear positive and have to potential to add to the historical resources at Bondi. Sarama currently
trades at C$10/oz, a steep discount to peers at C$51/oz. We expect that the ongoing exploration at South Houndé (50% interest) and Karankasso (30.5%
interest), along with work at its ThreeBee project (100% interest), may provide the necessary catalysts for the stock to close the valuation gap to
Priced as of close September 12, 2017
Derek Macpherson | VP Mining Analysis
Victoria Ellis Hayes | Associate
Red Cloud Klondike Strike Inc.
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Priced as of prior trading day's market close, EDT (unless otherwise noted).
All values in USD unless otherwise noted
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Company Specific Disclosure Details
Sarama Resource Ltd. - TSXV:SWA - 2,3,4
Savary Gold Corp. - TSXV:SCA - 3,4,6,7
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