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Mkango Resources Intersects Significant Zones of Rare Earth Mineralisation at Songwe Including 57.5m Grading 3.8% TREO, 38.8m Grading 2.5% TREO, 41.9m Grading 2.1% and 57.0m Grading 1.9% TREO

September 14, 2011

Calgary, Alberta: September 14, 2011 -- Mkango Resources Ltd. (TSXV-MKA) (the "Corporation" or "Mkango") is pleased to announce that it has intersected significant near surface zones of rare earth mineralisation at its Songwe project in Malawi, with zones of higher grade mineralisation and elevated heavy rare earth enrichment also identified.

Mkango has received assay results from ten of its 13 hole Stage 1 drilling programme. Apart from PX023 and PX024, which were vertical holes, drill holes were inclined (60-70 degrees), and were all collared on the north - eastern slopes of Songwe hill, which rises approximately 230m above the surrounding plain. Highlights from the results received to date include:

PX001 117.4m grading 1.6% TREO (184.8 – 302.2m), including 36.5m grading 1.9%TREO (225.6 – 262.1m), within a broader mineralized intersection of 299.8m grading 1.0% TREO (2.4 – 302.2m EoH).
PX003 57.5m grading 3.8%TREO (3.5 – 61.2m).
PX004 113.8m grading 1.7% TREO (14.6 – 128.4m), including 38.8m grading 2.5% TREO (79.0 – 117.8m).
PX005 178.5m grading 1.3% TREO (2.5 – 181.0m), including 93.0m grading 1.5% TREO (88.0 – 181.0m), also 17.8m grading 2.4% TREO (162.2 – 180.0m).
PX009 113.9m grading 1.8% TREO (2.3 – 116.2m), including 14.9m grading 2.2% TREO (37.0 – 51.9m) and 41.9m grading 2.1% TREO (68.3 – 110.2m).
PX011 84.9m grading 1.0% TREO (1.3 – 86.2m), including 27.7m grading 1.4%TREO (1.3 – 29.0m).
PX012 89.7m grading 1.6% TREO (2.1 – 91.8m), including 57.0m grading 1.9% TREO (22.0 – 79.0m).
PX024 89.0m grading 1.5% TREO (2.0 – 91.0m), including 10m grading 2.6% TREO (13.0 – 23.0m).


TREO: total rare earth oxides

These intersections are reported as down hole widths and do not necessarily represent true thicknesses and attitude of the mineralized zones, the estimation of which will require further drilling and refining of the geological model. Further details of these intersections are included in the Appendix.

Drill Hole Length
PX001 302.3
PX002 116.3
PX003 104.2
PX004 224.2
PX005 201.8
PX009 122.2
PX011 86.2
PX012 182.0
PX023 112.6
PX024 91.0
PX027 191.0
PX030 121.0
PX031 136.2
Total 1990.9

 

 

 

A total of 13 holes were drilled during the Stage 1 drill programme totaling 1990.9 metres, of which the results for 3 holes, PX027, PX030 and PX031, are still pending. PX002 did not reach its intended target zone and there were no significant intersections in this drill hole.

Stage 1 drilling, in addition to geological mapping and surface sampling with a handheld Niton XRF, has demonstrated both the extension of rare earth mineralisation to depth and laterally compared to previous exploration programmes.

Rare earth mineralisation, in addition to niobium mineralisation, is pervasive throughout the carbonatite, fenite and breccia lithologies intersected, with zones of higher grade mineralisation and elevated heavy rare earth enrichment being identified.

These results, in addition to those for PX027, PX030 and PX031, will be incorporated into the geological model for the purposes of Stage 2 drill hole planning.

Following the receipt and analysis of all the Stage 1 drill results, the Stage 2 drilling programme at Songwe is planned to commence in fourth quarter 2011. A programme of systematic surface sampling and geological mapping will also be completed in order to further define the geological model as well as identifying additional drill targets.

Sample preparation and analytical work for the drilling programme is being provided by Intertek-Genalysis Laboratories (Johannesburg, South Africa and Perth, Australia) employing ICP-MS techniques suitable for rare earth element (REE) analyses and following strict internal QAQC procedures inserting blanks, standards and duplicates. Mkango has used blanks, field duplicates and two Certified Reference Materials (CRM's) to monitor sampling and analytical quality. Results to date for the blanks and field duplicates show acceptable quality. The two CRM's used (AMIS 184 and SARM 40) showed acceptable results within the certified parameters provided. A review of results reported by Genalysis and peformed by The MSA Group indicates that these meet the required level of analytical quality.

Scientific and technical information contained in this release has been approved and verified by Mr Mike Venter Pr.Sci.Nat, Principal Consultant at The MSA Group who is a "Qualified Person" in accordance with National Instrument 43-101.

Mkango Resources Ltd.

Mkango's primary business is the exploration for rare earth elements and associated minerals in the Republic of Malawi. It holds, through its wholly owned subsidiary Lancaster, a 100% interest in two exclusive prospecting licenses covering a combined area of 1,751 km² in southern Malawi. The main exploration target is the Songwe Hill rare earth deposit, which features carbonatite hosted rare earth mineralisation and was subject to previous exploration in the late 1980s.

The Corporation's corporate strategy is to further delineate the rare earth mineralisation at Songwe Hill and secure additional rare earth element and other mineral opportunities in Malawi and elsewhere in Africa.

For further information, please contact:

Mkango Resources Ltd.
Office +1 (403) 444 -- 5979
Fax +1 (403) 351 -- 1703
www.mkango.ca

 


William Dawes
Chief Executive Officer
will@mkango.ca

 


Alexander Lemon
President
alex@mkango.ca


David Berg
Director
dave@mkango.ca


Cautionary Note Regarding Forward-Looking Statements

This news release may contain forward-looking statements relating to the Corporation. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will not occur, which may cause actual performance and results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward-looking statements.

The forward-looking statements contained in this press release are made as of the date of this press release. Except as required by law, the Corporation disclaims any intention and assume no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities law. Additionally, the Corporation undertakes no obligation to comment on the expectations of, or statements made, by third parties in respect of the matters discussed above.

The TSX Venture Exchange has neither approved nor disapproved the contents of this press release.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.


Appendix -- Selected Stage 1 drill results




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