HALIFAX, NOVA SCOTIA -- (February 22, 2016) - Greg Isenor, President and CEO of Merrex Gold Inc., ("Merrex" or the "Company") (TSX Venture: MXI) announces:
Management is reviewing alternatives to divest the Company of all its non-Mali assets.
"With the recent announcement of a NI43-101 gold resources totalling 129,000 ounces @ 1.90 g/t Indicated and 1,092,000 ounces @ 1.71 g/t Inferred (news release February 6, 2016) at our JV Siribaya gold project in Mali it is evident that future of the Company is there and that the Company must focus all of its available resources to advancing that project. That is where shareholder value will be built" said Merrex president Greg Isenor. "Devoting substantially all of the Company's available resources to our Mali gold project for the foreseeable future means that the Company's exploration assets in other jurisdictions will not be advanced and any dormant exploration asset will not deliver any increase in value to shareholders. Therefore, the pragmatic course is to divest those assets."
No specific plan for the asset divesture has been determined nor has any timetable been set. The divesture of assets may be in one or more transactions and may be by way of a sale for cash or shares, an asset swap if a synergistic asset were offered, or a shareholder distribution. Management will take the time necessary to examine and consider all opportunities but also intends to proceed in a timely manner. Updates will be provided as circumstances warrant.
Merrex also invites all shareholders and interested attendees to visit us in Booth 3132 at the Toronto PDAC Convention March 6-9, 2016.
The Siribaya Gold Project is a 50/50 joint Merrex-IAMGOLD advanced-stage gold exploration project in West Mali which consists of 11 contiguous exploration permits which cover a total area of 876.5 square kilometres and is located in the Kédougou-Kéniéba inlier of the West African Craton region of western Mali along the borders with Senegal and Guinea.
The Diakha, Siribaya 1B, and Taya Ko (located in the 1A zone) deposits are hosted within highly prospective, Birimian-aged metasedimentary, volcanic and intrusive rocks proximal to the Senegal-Mali Shear Zone. At Diakha, gold mineralization occurs within albitized sandstone similar to IAMGOLD's Boto gold deposit located approximately 10 kilometres to the north along strike. Zone 1B and Taya Ko occur within the north-northeast trending Siribaya structural trend, which extends over 10 kilometres along strike, and gold mineralization occurs within breccia-hosted stockworks or fault related silicified zones.
During 2014 and 2015 drilling activity at the project was focussed primarily on the Diakha deposit area which is located along the Fekola-Boto trend in the western-most portion of land package approximately 10 kilometres south along strike of IAMGOLD's Boto gold deposit (evaluation studies in progress) and approximately 20 kilometres south along strike from B2Gold's Fekola deposit (mine construction commenced).
A December 31, 2015 NI 43-101 resource estimate by RPA Inc. for Diakha, Zone 1B and Taya Ko (part of Zone 1A) reported 2.1 million tonnes averaging 1.90 g/t for 129,000 ounces Indicated and 19.8 million tonnes averaging 1.71 g/t for 1,092,000 ounces Inferred. The bulk of the estimate is derived from the newly
discovered Diakha deposit which is open in all directions and at depth and has significant potential for expansion. (see news release February 6, 2016)
Greg Isenor, P.Geo., President of Merrex Gold and a Qualified Person as defined by NI 43-101, has reviewed and approved the contents of this release.
Merrex is primarily a West African focused gold exploration company with experienced management, a solid exploration team, a prominent gold-producer as a JV partner and an expanding gold resource.
For further details about the Company's exploration activities visit Merrex's website at www.merrexgold.com. To be added to Merrex's email contact list please email your request to info@merrexgold.com.
On Behalf of the Board
Gregory Isenor
Gregory Isenor, P.Geo. President & CEO
Suite 802, 1550 Bedford Highway, Bedford, NS B4A 1E6
Tel.: (902) 832-5555 Fax: (902) 832-2223
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Merrex Gold Inc. issued this content on 22 February 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 22 February 2016 12:09:15 UTC
Original Document: http://www.merrexgold.com/i/pdf/February 22 2016 News release FINAL.pdf