DeSoto Resources Limited (ASX: DES) has acquired a 1,234km² land package comprising 14 gold projects in Guinea’s Siguiri Basin and an additional three projects in the Gaoual Gold Belt. The acquisition grants the company access to advanced exploration prospects, including historical high-grade drill intercepts and significant artisanal workings.
Key exploration targets
Two of the acquired projects, Timbakouna and Kantoumanina, are more advanced and have shown promising results. Ground reconnaissance is underway, with drilling set to begin as soon as rigs can be mobilised after the acquisition is finalised.
At the Timbakouna Project, historical drilling has returned significant intercepts, including:
- 18m at 11.8 g/t Au from 48m (NDI-02), including:
- 1m at 78.84 g/t Au from 50m
- 3m at 40.4 g/t Au from 62m
- 4m at 10.6 g/t Au from 33m (NDI-39)
- 1m at 54.1 g/t Au from 5m (NDI-15)
- 1m at 4.37 g/t Au from 11m (NDI-11)
DeSoto has conducted its own limited rock chip sampling at Timbakouna, recording high-grade assays of:
- 19.35 g/t Au
- 16.64 g/t Au
- 2.70 g/t Au
- 2.03 g/t Au
The Kantoumanina Project has also returned strong results from soil sampling, with highlights including:
- 10.00 g/t Au (Sokouroaba South)
- 7.31 g/t Au (Odiala North)
- 6.99 g/t Au (Sokouroba North)
Experienced exploration team
DeSoto is led by key figures from Predictive Discovery’s team, which was responsible for the 5.4Moz Bankan Gold Discovery. Chairman Paul Roberts and Non-Executive Director Dr Barry Murphy, alongside former Predictive Discovery Principal Geologist Aime Nganare, will oversee exploration efforts in Guinea.
Funding secured for exploration
DeSoto has secured $4.78 million in firm bids for a placement, including $0.3 million from the board and management, led by Euroz Hartleys. This raises DeSoto’s cash position to $8.7 million, ensuring sufficient funding for exploration across its Guinea and Northern Territory projects.
Strategic outlook
Managing Director Chris Swallow commented:
“We’re excited about this acquisition of a high-grade exploration portfolio in Guinea’s prolific Siguiri Basin, one of the best regions in the world to make greenfield gold discoveries.
A number of newly explored projects in the Siguiri Basin are already yielding impressive drilling results, demonstrating the underexplored nature of this basin. With our deep-rooted experience and a strong gold price environment, we are well placed to make new discoveries.”
Acquisition details
DeSoto has entered into a binding agreement to acquire Angex Australia Pty Ltd, which holds the Guinea projects. Consideration for the acquisition includes:
- 18,181,803 DeSoto shares
- Up to 5,454,540 deferred milestone shares, subject to:
- A 24-month milestone
- Securing additional tenements within 12 months
- Delivering a JORC-compliant 500,000oz gold resource within five years
The transaction is subject to shareholder approval, with a general meeting expected in early April 2025.
