Properties

Gold
• Handeni
• Bagamoyo
Diamonds
• Kolandoto
• Shinyanga

Bagamoyo District, Tanzania

Gem International Resources Acquisition

Gem International Resources Inc. (TSX-V:GI) has entered into an option agreement with Falco Goldfields Limited (the “Optionor”), to acquire an 100-per-cent interest in a gold and precious metals property located in the Bagamoyo and Handeni region of Tanzania represented by the Prospecting License PL6632/2010. (“Bagamoyo Project”) The property contains a total area of 169.95 square kilometers and 20 kms Southeast from Canaco Resources Inc’s Handeni property.

The Bagamoyo Project is located within the Mazambique Geoplgical Belt, and 20 kilometers from the Southeastern boundary of Canaco Resources Inc. (TSX-V: CAN). Regional geological overview of Bagamoyo shows structures and gold mineralization host rocks similar to the Magambazi discovery of Canaco Resources Inc.. The host rock indicated is a basic garnetiferrous granulite, similar to the host lithology for the Magambazi discovery. There are gold artisan mining camps on Northwesterly trending structures crosscut by Northeasterly trending lineaments extending from the Magambazi discovery to the Bagamoyo project.

The consideration for the acquisition is cash payments totaling CDN$400,000 over 2 years. The Optionor retains a 2-per-cent Net Smelter Return Royalty of which, 1% can be purchased for CDN$ 1,500,000.

Major Points of interest of the Handeni Region

• New aeromagnetic interpretation portrays Handeni Region to represent an extension of the Lake Nyanza Superterrane which contains the most prospective segment of the Lake Victoria Goldfields in the Sukumaland Terrane to the west-northwest.
• Discovery of bedrock-hosted gold at Mkurumu spurred experienced artisanal miners from the Lake Victoria Goldfields to re-locate to the region which resulted in the discovery of other primary gold-hosting bedrocks in the Mkurumu-Magamba Province.
• Canaco has made a major gold discovery, including 23 metres of 19.14 grams per tonne gold in drilling (see Canaco news release in Stockwatch of July 12, 2010).

Geology

“Recent academic studies (Kabete 2008, age dating) highlight the area as prospective for traditional (but metamorphosed) Achaean orogenic gold deposits within the Sukumaland Corridor, the host to major deposits (i.e. Bulyhulu, Golden Pride, Geita) in the Lake Victoria Goldfields.”(Canoco website). Tanzania is the fourth largest gold producer in Africa.

Property location map       PL 6632 2010       Mineral Opinion Legal Title