QUEBEC CITY, QUEBEC–(Marketwired – Feb. 8, 2016) – Komet Resources Inc. (“Komet” or the “Company”) (TSX VENTURE:KMT) announces the filling of the first technical evaluation report compliant with the 43-101A1 Regulation for its Guiro project located in Burkina Faso. The author of the report, M. Jacques Marchand, an independent geologist engineer, concludes that the Company should continue the underground development at the Guiro mine as well as the exploration work of the Guiro vein and of the entire property. The report is available on SEDAR and on the Company’s website at http://kometgold.com.
As mentioned in the report, Guiro was underground mined by the burkinan company Stremco, which produced 427kg of gold from 50 000t at 8.6g/t Au from 2011 to 2013. The remaining historical resource is evaluated to 270 000t at 11g/t Au. The structure is mined over 300m laterally and recognized down to 230m. In 2015, Komet drilled this structure, running 280 degrees/60 degrees that is now recognized over 700m laterally.
The report also mention other mineralized areas of the Guiro project, which where historically assessed by Minorex in 1993 and Stremco in 2004, among which the most important are: Bayildiaga, historical surface reserve of 65 000t at 7.6 g/t Au, Diouga, historical surface reserve of 22 800t at 9.2 g/t Au and Gangaol, historical surface reserve of 61 000t at 8 g/t Au. The qualified person has not done sufficient work to classify the historical estimate and Komet is not treating the historical estimate as current mineral resources or mineral reserves.
With the newly restored VAT leaching system and the re-launch of its gravimetric plant in november, Komet generated a gold production for an approximate value (not profit) of 560,000 CAD over the last quarter. Added to this is the constant upgrade of underground extraction and the optimization of the plant using additional equipment that has just arrived from France, Australia and Canada by boat. “We are really enthusiastic about these results and the installation of the new equipment should have a significant impact so that we have wind in the sails for the coming months,” stated André Gagné, President and CEO of the Company.
Interests on debentures paid in shares
A first payment of interests on debentures issued on June 8, 2015 is planned in the form of shares, at a conversion price of $0.3837 per share, the average of the five days before January 1st, 2016, for a total amount of $140,000. Part of it is issued to insiders. The Company also paid a supplier for machinery and equipment required for further project development in exchange for shares at a conversion price of $0.40 per share for an amount of $100,000. The total number of share issued is 614,858. 109,460 we’re issued to insiders of the Company.
More information about the corporation is available at: www.kometgold.com
Neither TSX Venture Exchange nor the regulatory service provider (as the term is defined in TSX Venture Exchange’s policies) accepts any liability of any kind as to the authenticity or accuracy of this release. This press release contains statements that may constitute “forward-looking information” or “forward-looking statements” as set out within the context of security law. This forward-looking information is subject to many risks and uncertainties, some of which are beyond Komet Inc.’s (“Komet”) control. The actual results or conclusions may differ considerably from those that have been set out, or intimated, in this forward-looking information. There are many factors which may cause such disparity, especially the instability of metal market prices, the results of fluctuations in foreign currency exchange rates or in interest rates, poorly estimated reserves, environmental risks (stricter regulations), unforeseen geological situations, unfavorable extraction conditions, political risks brought on by mining in developing countries, regulatory and governmental policy changes (laws and policies), failure to obtain the requisite permits and approvals from government bodies, or any other risk relating to mining and development. There is no guarantee that the circumstances anticipated in this forward-looking information will occur, or if they do occur, how they will benefit Komet. The forward-looking information is based on the estimates and opinions of Komet’s management at the time of the publication of the information and Komet does not assume any obligation to make public updates or modifications to any of the forward-looking statements, whether as a result of new information, future events, or any other cause, except if it is required by securities laws. . Jacques Marchand, P.Eng. Geo., is the Qualified Person who has reviewed this news release and is responsible for the technical information presented there, including verification of the data disclosed.