Thursday, October 30, 2008

Drilling at Sanu's Koken Prospect Confirms a New Copper-Zinc-Gold VMS System in Western Eritrea

(Marketwire - Oct. 29, 2008) - Sanu Resources Ltd. ("Sanu" or "the Company") (TSX VENTURE:SNU) is pleased to announce the results of its recent drill program at the Koken prospect in Western Eritrea. The Koken prospect is 75kms north of the Bisha gold-copper-zinc VHMS orebody (Nevsun Resources) and 85kms north-northeast of Sanu's Hambok zinc-copper massive sulfide deposit. Eight shallow scout holes were drilled shortly after the initial discovery, taking advantage of a drill rig in the area before the rainy season shutdown at the end of June. The initial reconnaissance drill program successfully confirmed the presence of a new copper-zinc-gold volcanogenic massive sulfide system with excellent exploration potential down dip and along strike.

The Koken discovery (June 19, 2008 News Release) resulted from follow-up of remote sensing anomalies. One set of anomalous pixels outlines the mineralized, 4.5km long gossan and enclosing altered felsic tuff. The gossan is on the western limb of a gently north-dipping, 10km wide, synformal structure.

The drill program, based on surface geology and geochemistry, tested the outcropping gossan-barite-alunite horizon over a strike length of 3.5km. Holes intersected gossan as well as disseminated and massive sulfides with strongly anomalous Cu, Zn, Pb, Au, Ag, and Ba in all holes. The best intersection (DDH KOK-005) returned 5.1m of 1.69% Zn within 14.0m grading 0.94% Zn from 33.9m. This hole also returned 2.0m of 1.14gpt Au from 28m. Drillhole KOK-008 returned 1.23gpt Au over 3.0m. Copper results ranged from 0.1 to 0.3% in the oxide zone and 0.1 to 0.6% where present in the sulfide zone. From the drill information it was established that the Koken massive sulfide horizon dips at approximately 15 degrees to the north and consists of multiple sulfide layers with a collective thickness of 3 to 15m.

The Koken discovery represents the northern-most recognised occurrence of VHMS-style mineralization in Western Eritrea to date. The zinc-copper-gold geochemical signature is similar to that at Bisha and highlights the possibility of a gold-rich VHMS deposit within the Koken basin or elsewhere on the volcanic belt. The Koken discovery also shows the importance of processed Landsat imagery for regional-scale area selection in NW Eritrea. Sanu crews will be actively prospecting and sampling similar pixel anomalies on the Koken synform during the coming months.

Sanu also plans a program of electrical and electromagnetic geophysical surveying CSAMT as well as detailed gravity to the north and northwest of the gossan outcrops to identify near surface zones of structurally or lithologically thickened massive sulfide mineralization. Renewed drilling at Koken is anticipated for the first quarter of 2009.

Selected assay results from the Koken drillholes are shown in the accompanying table.

Drill core samples were split on site by diamond saw with half the core submitted to African Horn Laboratories in Asmara for crushing and grinding. Core is retained at Sanu's Mogoraib camp. One split of the prepared sample pulp was airfreighted to Genalysis Laboratories in Perth Western Australia for analysis, and the remainder retained in Sanu's warehouse in Asmara. High- and low-grade sulfide and oxide standards constituting roughly 5% of the sample volume were randomly inserted into the sample stream before shipment of the pulps to Genalysis. Two duplicate samples were collected every 20 samples, one sent to Genalysis Labs and one to ALS-Chemex in Vancouver. All sample data is stored in a secure database on site in Asmara.