Oklo Resources targets maiden mineral resource estimate for Dandoko Project in Q1 2021

Oklo Resources Ltd (ASX:OKU) continued to advance its flagship Dandoko Project in Mali, West Africa, with resource definition drilling at the Seko deposit commencing during the December quarter. Seko comprises five coherent auger gold trends (SK1-5) with a combined strike length of about 7 kilometres within the Dandoko Project. The initial 15,000-metre drilling program is predominantly targeting the 3-kilometre long SK1 North to Koko trend at Seko, which remains open at depth and along strike. Assay results from the first 6 diamond drilling (DD) holes spaced over a 350-metre strike length at SK1 North successfully confirmed the extension of the Seko gold system into fresh rock to a vertical depth of at least 325 metres. The company expects the results will inform the current Mineral Resource Estimate (MRE). Seko regional relevance The results from SK1 North also showed gold mineralisation associated with wide zones of hydrothermal alteration hosting individual grades of up to 8.16 g/t gold. This alteration shows strong similarities to other large gold systems in the region, including B2Gold Corp’s (TSE:BTO) (FRA:5BG) (NYSE:BTG) 7.1 million ounce Fekola Project, around 30 kilometres to the west and Barrick Gold Corp’s (NYSE:GOLD) (TSE:ABX) (FRA:ABR) (ETR:ABR) 12.5 million ounce Loulo complex around 50 kilometres to the northwest. Best results from intersections in first RC pre-collar at SK1 South (600 metres to the south) include: 10 metres at 2.42 g/t from 47 metres, including 2 metres at 6.69 g/t; and 11 metres at 1.14 g/t from 74 metres. Assays are pending for a further 143 holes and ongoing drilling will test the potential for high-grade plunging shoots at depth as seen at the nearby Fekola and Yalea gold deposits. Comparison of alteration styles from the SK1 North (top) and Yalea/Gounkoto (bottom) gold deposits Divesting South Mali Projects During the quarter, a shareholders agreement was executed with Marvel Gold Ltd (ASX:MVL) (FRA:GR2) (OTCMKTS:GRXMF) to divest an 80% interest in its non-core projects located in south Mali through a newly incorporated exploration joint venture company. The company’s south Mali projects include the Yanfolila, Yanfolila Est, Kolondieba, Kolondieba Nord, Sirakourou, Solabougouda and Solabougouda Sud (under application) licences. The transaction allows Oklo to focus on advancing its west Mali gold projects, including the flagship Dandoko Project, while maintaining exposure to any future exploration success in the south Mali projects by retaining a 20% free carried interest to a decision to mine and a shareholding in Marvel. Completion occurred after the quarter end on 4 January 2021 with Oklo receiving a total cash consideration of A$200,000. Under the agreement, the company will also receive 20,000,000 Marvel shares (upon confirmation of renewal of licences), with up to an additional 20,000,000 Marvel shares to be issued subject to Marvel achieving certain milestones. Oklo and Marvel have agreed on an initial work program for the South Mali Gold Projects, with multielement soil geochemistry and high-resolution ground magnetics underway. Environmental baseline studies During the quarter Digby Wells Environmental were appointed to initiate and undertake a series of baseline studies that will form the basis of ongoing Environmental and Social Impact Assessment (ESIA) and environmental licencing requirements related to the application and granting of a mining licence at Dandoko. Studies on flora & fauna, aquatic ecology, soils, wetlands and water monitoring, socio-economic and health, demographic and land use studies have commenced, with further studies to be initiated in the coming quarter. Location of Oklo’s Yanfolila, Yanfolila Est, Kolondieba, Kolondieba Nord, Sirakourou, Solabougouda and Solabougouda Sud (application) licences in south Mali. March quarter work program Oklo remains well-funded (with cash reserves of $17.3 million as at 31 December 2020) to advance its aggressive evaluation program during the March 2021 quarter. The planned work program includes: Continuing drilling based on results from the 15,000 metre resource definition drilling program at Seko and other targets in close proximity, including extensions to Koko with assays pending from 143 holes; Further drilling over the Dandoko gold corridor; Advancement of environmental baseline studies as inputs to a future ESIA; and Further metallurgical test work on SK1 North oxide mineralisation. The company expects to deliver its mineral resource estimate (MRE) during Q1 2021.