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UPDATE - Stratex wastes no time after Goldstone investment

Last updated: 07:44 03 Nov 2014 EST, First published: 08:44 03 Nov 2014 EST

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---ADDS BROKER COMMENT AND SHARE PRICE---

Stratex International is wasting no time after closing its 34% strategic investment into GoldStone Resources (LON:GRL).

Christopher Hall and Bob Foster have now been appointed to the GoldStone board after the £1.25mln and as reported last week, the 34% holding could rise to 50.1% with the exercise of warrants.

Christopher Hall, said: "We are very pleased to see completion of our strategic investment in GoldStone and look forward to working with management towards the establishment of an economically open pittable, oxide resource centred on the Homase/Akrokerri licence in Ghana, adjacent to Anglogold Ashanti's Obuasi mine. We will also be reviewing their exploration projects in Senegal, where Stratex is already active, and in Gabon where early stage drilling on two properties has been encouraging.

He noted the existing 600,000 ounce, low-grade resource in Ghana provided an "attractive foundation" on which to try to construct an economic, oxide gold project.

"We will also be reviewing the potential for high grade ore shoots similar to those at Obuasi and determining the best way to approach these deeper targets which will clearly be more expensive to explore," he said.

"The results of Randgold's work on the Sangola project in Senegal need to be reviewed in detail as their conclusion that there is no scope for an immediately definable multi-million ounce gold deposit still leaves plenty of scope for the delineation of one or more smaller resources which would be very valuable to GoldStone.

"We will also be intensively evaluating the exploration results in Gabon to determine whether their potential justifies a small company like GoldStone operating in three distinct jurisdictions."

Broker Northland rates the shares a 'buy' targeting 7.7p and pointed out that the new Goldstone management team was going to focus on low cost exploration and creating value from discovering, expanding and developing low cost, gold resources in established mining districts."

Shares were unchanged at 2.225p.

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