Eagle Eye Metals Limited (ASX:EYE) Updates on the Basawa Gold Project in Liberia

Perth, Nov 18, 2011 AEST (ABN Newswire) - Eagle Eye Metals Limited (ASX:EYE) ("Eagle Eye" and "the Company") is pleased to announce that it has recommenced fieldwork at its 100% owned Basawa Gold Project in Liberia.

The Basawa Gold Project is located in southeastern Liberia, approximately 350 kilometres from the capital city, Monrovia. The Basawa reconnaissance license covers an area of 1,131km2, representing one of the larger ground holdings for gold in Liberia. The project incorporates rocks of the Birimian Greenstone Belts - the highly prospective geological formation that hosts world-class gold deposits within West Africa.

Work Programme

Artisanal Workings

Company geologists completed an extremely successful reconnaissance field trip to the Basawa Gold Project in April 2011, identifying a significant number of artisanal mining sites.

This work has provided the impetus for a targeted field campaign over coming months.

Re-interpretation of existing and recently acquired geophysical and satellite data shows major ENE-trending regional structures transecting the Basawa Project area.

Similarly orientated and parallel structures host a string of gold deposits and gold occurrences to the north of Basawa at Dugbe-Joe Village (1.8Moz). Eagle Eye has identified two similar structures within the Basawa License, representing approximately 45km of gold prospective strike. The structures are targeted for follow up during the current field campaign.

Soil Sampling Programme

Initial work by Eagle Eye will focus on the region in the north west of the Project area where the extensive artisanal workings were identified adjacent to interpreted gold-bearing structures. Notably, the alluvial workings that have been mapped to date are situated in second and third order drainages which have very limited upstream extents. This is highly significant as it suggests the artisanal workings are in close proximity to a primary gold source. A reconnaissance soil sampling and mapping programme has commenced in this area. This survey will cover a 34 km2 area upstream from the alluvial mining sites. It is anticipated that this programme will define targets for follow up trenching and subsequent drilling.

Reconnaissance has not been completed along strike to the east and west of the present work area. Interpreted structure continues in both directions. Further reconnaissance along the extensions of the interpreted structures will also be undertaken in parallel with the soil sampling programme.

Stream Sediment Sampling Programme

A regional stream sediment sampling programme will also be initiated to investigate the broader potential of the 1,131km2 Basawa Project Area. The aim of this programme is to define additional mineralised trends and gold-rich areas that will be targeted for follow up sampling and eventual drilling.

This is an exciting time for Eagle Eye. In addition to the work programme currently underway in Liberia, work programmes are also in progress at the Company's Dankassa Gold Project and Korindji Gold Project, both in Mali. Results will be announced as they come to hand over the coming months.

For the complete Eagle Eye Metals Limited announcement including figures, please view:
http://media.abnnewswire.net/media/en/docs/ASX-EYE-567318.pdf

Contact

Kevin Joyce Managing Director Eagle Eye Metals Limited Ph: +61-8-9286-3045 Fax: +61-8-9226-2027 Email: info@eagleeyemetals.com