Bole, Ghana

Takoradi continues to hold four prospecting licences located in the north western region of the Ghana near the township of Bole. The licences, Yakomba, Cheribong, Sakpa and Baju, are held through the company's 80%-owned subsidiary Northern Goldfields Limited.

The total area available for ongoing exploration, including the reconnaissance licence and prospecting licenses, now comprises approximately 152 sq km. The main target of interest at Bole is a 70km-long geochemical anomalous structural corridor which hosts the Dorkrupe Gold Deposit within the Yakomba Licence area. A JORC Code complaint resource identified to date at the Dokrupe deposit includes proven and probable reserves of 145,000 ounces Au and Inferred Resources of 17,000 ounces Au. At the nearby Baju prospect, a mineralised resource has been identified through a limited drill program and trenching of approximately 140,000 ounces of gold.

Whilst the reserves and resources established to date are relatively small, based on the current gold price and the shallow open-pit nature of the deposit, Takoradi is of the opinion that it may well be possible to develop an initial open-pit mining operation with a possible output of 30 to 50,000 ounces per year of gold. The surplus cash flow from such an operation could be applied to the company's other exploration activities.

The planning for a program to further evaluate the tenements, including the Dokrupe gold project, is currently being planned. Consideration is also being given to either farming out equity in the tenements or offering them for sale. Discussions are being conducted with several interested parties.