Avion Gold drills five m of 11.34 g/t Au at Kenieba

2010-03-22 07:42 ET - News Release

Mr. John Begeman reports

AVION'S EXPLORATION DRILLING RETURNS STRONG RESULTS-DJAMBAYE II GOLD ZONE

Avion Gold Corp. has released the results from the initial reverse circulation drill holes that tested the north end of the Djambaye II zone located on the recently acquired Kenieba property (see Avion news releases in Stockwatch dated Dec. 18, 2009, and Jan. 8, 2010). The Kenieba property lies adjacent to the south and southwestern boundary of Avion's Tabakoto property approximately 6.5 kilometres southwest of the Tabakoto mine and hosts the Djambaye II deposit (324,000 ounces of gold in 2,574,000 tonnes grading 3.92 grams per tonne gold).

Highlights of this drilling, which tested the near-surface, potentially open-pit-minable portion of the deposit, comprise the following:

• 10.66 grams per tonne gold over five metres in drill hole GRC-10-11;
• 11.34 grams per tonne gold over five metres in drill hole GRC-10-13;
• 3.64 grams per tonne gold over seven metres in drill hole GRC-10-18;
• 7.53 grams per tonne gold over 20.0 metres in drill hole GRC-10-19;
• 21.24 grams per tonne gold over three metres in drill hole GRC-10-27;
• 18.97 grams per tonne gold over five metres in drill hole GRC-10-31;
• 14.2 grams per tonne gold over seven metres in drill hole GRC-10-46.

To date Avion has received results for 31 reverse circulation and 13 diamond drill holes. Results for the reverse circulation holes are presented in this news release. Mineralized zones returning grades greater than one gram per tonne gold were intersected in 27 of the 31 reverse circulation holes. A table listing the assay composites and an estimate of true widths is included in this release. Results for the initial core holes will be presented once all reassay results have been received and evaluated.

Avion's drilling to date has focused on a 700-metre section of the Djambaye II zones where grades and widths were expected to be stronger and where several parallel zones of gold mineralization where previously identified. The northern end of the Djambaye II zone is located approximately nine kilometres southwest from the Tabakoto mine site. Drilling to date has met with Avion's expectations with locally high grades and multiple intercepts. The Djambaye II mineralized structure/zone dips at minus 70 degrees to the east and has now been traced by drilling for approximately 4,400 metres and is still open to the north, south and to depth; assays are pending for the holes that tested the north and south strike extension of the Djambaye II zone. Infill drill holes have been emplaced every 25 metres along the northern portion of the zone and were targeted at 25- and 50-metre depths in order to define an initial, potentially near-surface, minable zone and further develop Avion's understanding of the zone in order to support an envisioned longer-term underground minable resource. The current drilling is expected to provide enough information to support an updated and upgraded resource statement.

Avion's drilling has also tested the mineralized Djambaye II trend farther along strike to the north for 700 metres and to the south for 900 metres. All but one of the drill holes, which intersected a mafic intrusion, have intersected sulphide-bearing mineralized felsic intrusion as well as mineralized meta-sediments that are similar in character to that of the known Djambaye II zone. Assay results for these holes are pending.

John Begeman, Avion's president and chief executive officer, stated: "Avion's initial drill results support the company's acquisition of the Kenieba property, and we believe provides significant potential for further increasing the resources of this zone. This mineralization will be targeted for the development of an alternative open-pit resource that could supplement 2011 mine production while underground development is occurring at Tabakoto."

Avion's procedures for handling reverse circulation drill chips comprise initial splitting of the rock chips from one-metre drill length samples into two-kilogram samples, description and logging into a Microsoft Access database. The samples are then delivered to the Company's mine site laboratory at Tabakoto. Assay standard samples are inserted every 25th sample and duplicate reverse circulation from every 20th sample are sent in as a separate sample to double check the assays from these intervals. This sampling procedure was initiated and periodically reviewed by Avion's senior vice-president of exploration, Don Dudek, PGeo. The assay samples are then crushed to three millimetres with a riffle split if required, to 1.5 kilograms, the entire sample milled in a LM2 mill to a nominal 95 per cent passing 75 micrometres. All the preparation equipment is flushed with barren material prior to the commencement of the job and all sample bowls are scrapped clean with a scratch pad. Gold values were determined by fire assay and AAS with a 50-gram nominal sample weight. In order to ensure that local, exceptionally high-grade assays are not overrepresented in assay composites, Avion is also presenting assay composites with high-grade samples capped at 30.0 grams per tonne gold, which is the capping level deemed appropriate for the initial samples from the Djambaye II zone and consistent with previous practice on the property.

Avion's results, from the on-site laboratory, have been of consistent high quality, with assay standards returning values well within accepted ranges.

Mr. Dudek, a qualified person under National Instrument 43-101, has reviewed the scientific and technical information in this press release.

            DJAMBAYE II ZONE REVERSE CIRCULATION INTERCEPTS

Hole ID    From    To  Length  Avg Au  True width                   Comment

GRC-10-02  26.0  32.0     6.0    1.32         5.2
GRC-10-02  37.0  38.0     1.0    2.08         0.9
GRC-10-02  46.0  47.0     1.0    1.68         0.9
GRC-10-04  11.0  12.0     1.0    1.60         0.9
GRC-10-04  25.0  30.0     5.0    2.41         4.3
GRC-10-05   7.0   9.0     2.0    2.71         1.2
GRC-10-07   0.0   2.0     2.0    6.69         1.8
GRC-10-07   8.0   9.0     1.0    5.56         0.9        Artisanal cavity(i)
GRC-10-07  36.0  39.0     3.0    1.83         2.6
GRC-10-09  24.0  25.0     1.0    8.08         0.9            hole cut short
GRC-10-11   0.0   1.0     1.0    1.30         0.9
GRC-10-11  20.0  25.0     5.0   10.66         4.3               8.56 capped
GRC-10-12   0.0   1.0     1.0    1.01         0.9
GRC-10-13   2.0   5.0     3.0   10.84 approx. 2.0        Artisanal cavity(i)
GRC-10-13  16.0  19.0     3.0    1.61         1.8        Artisanal cavity(i)
GRC-10-13  25.0  30.0     5.0   11.34         2.4
GRC-10-13  37.0  39.0     2.0    1.30         1.0
GRC-10-14   6.0   7.0     1.0    1.07         0.9
GRC-10-16   1.0   2.0     1.0    2.53         0.9    3 m Artisanal cavity(i)
GRC-10-16   6.0  10.0     4.0    1.81         3.5
GRC-10-16  19.0  20.0     1.0    2.36         0.9
GRC-10-18   9.0  16.0     7.0    3.64         6.1        Artisanal cavity(i)
GRC-10-18  30.0  31.0     1.0    3.79         0.9
GRC-10-18  47.0  48.0     1.0    2.37         0.9
GRC-10-19   7.0  27.0    20.0    7.53         5.0               7.30 capped
GRC-10-21   7.0  11.0     4.0    1.29         3.5        Artisanal cavity(i)
GRC-10-22   6.0   8.0     2.0    4.56         1.8
GRC-10-22  11.0  12.0     1.0    3.17         0.9
GRC-10-27  35.0  38.0     3.0   21.24         2.9              11.91 capped
GRC-10-28  13.0  16.0     3.0    6.96         2.6        Artisanal cavity(i)
GRC-10-30  23.0  34.0    11.0    3.70         6.0
GRC-10-30  30.0  34.0     4.0    2.37         3.5
GRC-10-31  44.0  49.0     5.0   18.97         4.3              14.07 capped
GRC-10-31  54.0  55.0     1.0    1.01         0.9
GRC-10-33  49.0  50.0     1.0    1.05         0.9
GRC-10-34   7.0  12.0     5.0    2.54         4.3
GRC-10-35   3.0   4.0     1.0    1.68         0.9
GRC-10-35  11.0  12.0     1.0    1.55         0.9
GRC-10-37  44.0  52.0     8.0    1.79         6.9
GRC-10-41  51.0  57.0     6.0    3.03         4.4
GRC-10-41  74.0  82.0     8.0    3.04         3.1
GRC-10-46  27.0  29.0     2.0    2.86         1.0
GRC-10-46  33.0  42.0     9.0    2.69         3.5
GRC-10-46  49.0  56.0     7.0   14.20         3.3              12.62 capped
GRC-10-46  59.0  63.0     4.0    2.70         1.5

(i) Artisanal cavities indicate areas where local miners removed likely
high-grade gold-bearing mineralization.