Continental Gold Announces a High-Grade and Robust Mineral Resource Estimate for BMZ1 at the Buriticá Project, Colombia
Continental Gold Announces a High-Grade and Robust Mineral Resource Estimate for BMZ1 at the Buriticá Project, Colombia |
[20-March-2019] |
TORONTO, March 20, 2019 /CNW/ - Continental Gold Inc. (TSX:CNL; OTCQX:CGOOF) ("Continental" or the "Company") is pleased to announce a positive mineral resource estimate for Broad Mineralized Zone 1 ("BMZ1") located in the central-west portion of the Yaraguá system at its 100%-owned Buriticá project in Antioquia, Colombia. All information incorporated for estimating the mineral resources for BMZ1 was derived from a recompilation of the block models used to calculate the global mineral resource estimate for the Buriticá project announced on January 30, 2019. Highlights
"BMZ1 continues to expand and this initial mineral resource estimate highlights the potential of this zone to provide greater flexibility for mine planning and more ounces per vertical metre during production," stated Ari Sussman, CEO. "Our 2019 drilling focus is to define the broad mineralized zones identified to date ahead of planned commercial production in 2020." BMZ1 Mineral Resource Estimate Details A total of 141 drill holes totaling 6,410 metres and 1,084 metres of underground channel sampling along development drifts were used in the estimate. All data was composited to the nominal sample length of 1.5 metres prior to analysis and estimation. Grade estimation was completed using Ordinary Kriging (OK) into 10x10x10-metre parent cells. Previous Mineral Resource estimation work for the Buriticá project separately reported vein and broad mineralized zone material located between the gold bearing vein domains. This mineral resource estimate for BMZ1 is simply a restatement of the block models, in a combined form, as derived from the mineral resource estimate for Buritica announced on January 30, 2019. In the case of BMZ1 there is sufficient density of drilling and development sampling to combine a portion of the global BMZ Mineral Resource Estimate and the vein Mineral Resource Estimates and is presented as such below in Table 1. Table I: BMZ1 Mineral Resource Estimate
Geological Description of the Buriticá Project Continental's 100%-owned, 75,023-hectare project, Buriticá, contains several known areas of high-grade gold and silver mineralization, of base metal carbonate-style ("Stage I") variably overprinted by texturally and chemically distinctive high-grade ("Stage II") mineralization. The two most extensively explored of these areas (the Yaraguá and Veta Sur systems) are central to this land package. The Yaraguá system has been drill-outlined along 1,350 metres of strike and 1,800 vertical metres and partially sampled in underground developments. The Veta Sur system has been drill-outlined along 1,300+ metres of strike and 1,800 vertical metres and has been partially sampled in underground developments. Both systems are characterized by multiple, steeply-dipping veins and broader, more disseminated mineralization and both remain open at depth and along strike, at high grades. BMZ Details The BMZ consists of a group of modelled precious metal-bearing veins in the current mineral resource estimate block model with mineralization occurring between these veins, generally in the form of veinlets at oblique angles to strike. The majority of the mineralization between modelled veins is not in the current mineral resource estimate, providing potential upside both in terms of identifying significantly broader and more productive zones for mining and increased mineral resources. To date, the Company has identified up to seven BMZ targets for testing and will systematically drill each target zone as underground mine development advances. Technical Information Mr. David J Reading, M.Sc., FIMMM, the special advisor to Continental and a Qualified Person as defined under Canadian National Instrument 43-101 ("NI 43-101"), oversaw and supported the combined Mineral Resource modelling and the geology reinterpretation work as outlined in this announcement. The BMZ1 resource blocks combined for this work were derived from the block models used in the Mineral Resource Estimate for Buriticá dated January 30, 2019. Mr. Reading has reviewed and approved the technical information contained in this press release. Mr. Reading has over 35 years' experience in the mining industry covering all stages of mine development, including exploration, feasibility, financing, construction and operations. He has an MSc in Economic Geology and is a Fellow of the Institute of Materials, Minerals and Mining. Reported intervals include minimum weighted averages of 3 g/t gold equivalent (1:75 Au/Ag) over core lengths of at least 1.0 metres. Assays are uncut except where indicated. Besides rigorous chain-of-custody procedures, the Company utilized a comprehensive quality control/quality assurance program for the channel samples. All quality control anomalies were addressed and/or corrected as necessary to assure reliable assay results; no material quality control issues were encountered in the course of the program. Crush rejects and pulps are kept and stored in a secured storage facility for future assay verification. Although historic correlation between analytical results from the Company's internal laboratory and certified independent laboratories for gold and silver analysis have been within acceptable limits, the Company's internal laboratory is neither independent nor certified under NI 43-101 guidelines and, as such, channel sampling results in this release should only be taken by the reader as indicative of future potential. For exploration and infill core drilling, the Company applied its standard protocols for sampling and assay. HQ and NQ core is sawn or split with one-half shipped to a sample preparation laboratory in MedellÃn run by ALS Colombia Limited ("ALS"), whereas BQ core samples are full core. Samples are then shipped for analysis to an ALS-certified assay laboratory in Lima, Peru. The remainder of the core is stored in a secured storage facility for future assay verification. Blanks, duplicates and certified reference standards are inserted into the sample stream to monitor laboratory performance and a portion of the samples are periodically check-assayed at SGS Colombia S.A., a certified assay laboratory in MedellÃn, Colombia. The Company does not necessarily receive assay results for drill holes in sequential order; however, all significant assay results are publicly reported. For information on the Buriticá project, please refer to the technical report, prepared in accordance with NI 43‑101, entitled ""NI 43â€101 Buriticá Mineral Resource 2019â€01, Antioquia, Colombia" and dated March 18, 2019 with an effective date of January 30, 2019, led by independent consultants Ivor Jones Pty Ltd. The technical report is available on SEDAR at www.sedar.com, on the OTCQX at www.otcmarkets.com and on the Company website at www.continentalgold.com. About Continental Gold Forward-Looking Statements Differences in Reporting of Resource Estimates
SOURCE Continental Gold Inc. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Company Codes: OTC-QX:CGOOF, Toronto:CNL |
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