August 04, 2004
Exploration Program Update Diamond Inclusion Eclogitic Garnet Recovered Further Lherzolitic G9 Garnets Recovered
TORONTO, ONTARIO -- Tsodilo Resources Limited (the "Company") (TSX Venture Exchange: TSD) is pleased to report on the progress of the Company's Ngamiland diamond exploration program. The major sampling programme over bulls-eye magnetic targets, aimed at locating virgin kimberlites within the company's Newdico (Proprietary) Ltd. ("Newdico") and Gcwihaba Resources (Proprietary) Limited ("Gcwihaba") license blocks in northwest Botswana, ongoing since March of this year, is nearing completion.
Results from the limited number of samples processed to date include the recovery of a sodium-rich eclogitic garnet, matching the composition of inclusions in diamonds. This garnet was recovered from a 10kg loam sample collected near the border of the Company's adjoining Newdico and Gcwihaba license blocks. This result is considered encouraging for several reasons:
1. Kimberlitic indicator minerals (KIMs) have not previously been reported in this area. The recovery of this isolated garnet is therefore a potential lead-in to a virgin kimberlite field.
2. The geomorphological setting indicates that the source is likely to be within the Company's Prospecting Licences.
3. The composition of the garnet provides encouragement that it is derived from a diamondiferous kimberlite.
In addition to this result, two G9 peridotitic garnets were recovered from two separate but proximate10kg samples in the Guma area in the east of the Company's Newdico license blocks, where previous sampling outlined a diffuse spread of kimberlitic ilmenites and garnets. The new sampling results therefore highlight this area as a further unexplained KIM anomaly.
The data received to date is currently being interpreted but the balance of the results will be required to constrain the indicator mineral anomalies and to identify their potential source(s). Once these results are available, follow-up sampling and ground geophysical surveys will be carried out over the magnetic targets with associated kimberlitic indicator minerals. The samples were picked by Mineral-Logic based in Cape Town, South Africa, and microprobed by the South African Council for Geoscience.
Tsodilo Resources is an international diamond exploration company engaged in the search for economic kimberlites at its Newdico and Gcwihaba projects in northwest Botswana. Tsodilo has a 75% stake in Newdico (Proprietary) Ltd. while Trans Hex Group, a South African diamond mining and marketing company, holds the remaining 25%. The southern Gcwihaba project area is 100% held by Tsodilo subsidiary Gcwihaba (Proprietary) Limited. Tsodilo manages the exploration of both licence areas. The design and conduct of the Company's exploration program is the responsibility of Dr. Andrew Moore, a professional geologist registered with the South African Council for Natural Scientific Professions.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
FOR FURTHER INFORMATION PLEASE CONTACT:
James M. Bruchs -- President and Chief Executive Officer:
Telephone +1 416 572 2033
Facsimile + 1 416 5724164