Mana Project

2016 Exploration Program

In 2016, we maintain our efforts to identify gold mineralization on areas within trucking distance of the Mana Mine. A budget of $6.5 million has been established for the Mana project.

In the third quarter, the RC drill program was primarily carried out within trucking distance of the Mana mill such as to the northeast of Wona-Kona, on strike.  Year to date, 29,620 meters of RC drilling have been carried out on the Mana Project, mostly on the Fobiri II and Kona Blé permits. Year to date, a total of 38,250 meters of auger drilling has been conducted on the Fobiri II, Bombouéla Nord, Wona Nyafé and Mana Ouest permits. One RC drill rig is currently active on the Mana Ouest permit.

Yama

As at June 30, 2016, the open pit probable mineral reserves estimate for the Yama deposit totals 662,300 tonnes averaging 1.81 g/t Au for 38,500 ounces of contained gold. The mineral reserves were estimated based on a gold price of $1,100 per ounce. The Yama deposit will have a total strip ratio of 11:1 and an average mill recovery rate of 93%.

The Corporation will begin the process for an extension of the Mana mining permit in the second half of 2016. 

The mineral reserves statement has been completed by Michel Crevier, P.Geo MScA, Vice-President Exploration and Mine Geology, who is SEMAFO's Qualified Person and has reviewed this text for accuracy and compliance with National Instrument 43-101.

Figure 1