TORONTO, Nov. 1, 2017 /CNW/ - Anaconda Mining Inc.
("Anaconda" or the "Company") (ANX: TSX) is pleased
to announce that it has initiated a 6,000-metre diamond drill
program at its Goldboro Project in Nova
Scotia and completed the first drill hole. The drill program
will focus on the Boston Richardson ("BR System") and East
Goldbrook ("EG System") gold systems of the Goldboro deposit, with the aim of expanding
the Mineral Resource along strike and down plunge, and to infill
specific portions of the deposit to upgrade Inferred Resources to
the Measured and Indicated categories. The cost of the drill
program is estimated at $1.2 million
and will be funded by the recently announced flow-through financing
(see press release dated October 31,
2017).
The first diamond drill hole (BR-17-06) was designed to test the
extension of the BR System, the most well-defined portion of the
Goldboro deposit. The geological
structure hosting the BR System was intersected between 400 to 475
vertical metres below the current resource model, extending the
known structure by 75 vertical metres (See Exhibit A) and by 125
metres in the plunge direction (See Exhibit B). In addition, the
drill hole extended the southern limbs of the EG and BR Systems
approximately 50 metres down dip from previous drill intercepts
(See Exhibit A).
Four occurrences of visible gold were observed in core - three
associated with the extensions of the EG system and one associated
with extensions of the BR System. Assays are pending.
"We are encouraged by the preliminary observations
from the drill core, which, along with historic drill results,
support our hypothesis that the Goldboro deposit continues at depth. In
the first hole we drilled, we hit the geologic structure that
controls the mineralization in the known resource area of the
deposit down plunge from the Boston Richardson system and farther
down the limbs of the East Goldbrook system. We have just begun our
6,000-metre drill program and look forward to demonstrating the
ability to upgade and expand the Mineral Resources at Goldboro."
~ Dustin Angelo, President and
CEO
Historic drill results from the BR System near the base of the
resource model, locally returned significant values both in grade
and width and support the notion that the BR System extends at
depth. Highlights of these historic intersections are shown
below and on the long section in Exhibit B.
- 15.9 g/t gold over 5.9 metres (293.7 to 299.6 metres) in
hole BR-87-35A.
- 11.9 g/t gold over 5.0 metres (276.3 to 281.3 metres) in
hole BR-87-43.
- 8.2 g/t gold over 5.5 metres (360.3 to 365.8 metres) in hole
BR-87-31.
- 10.0 g/t gold over 2.7 metres (345.3 to 348.0 metres) in
hole BR-87-07.
The Boston Richardson Gold System
The BR System of the Goldboro Deposit is host to 15
tightly-stacked, high-grade, gold-bearing vein zones, which are
characterized by thick gold bearing quartz veins and thin vein
arrays within highly altered argillite, separated from the
neighboring vein zones by un-mineralized greywacke. To date, the BR
System has been modelled to a depth of 350 metres and plunges
moderately eastward beneath the EG system (Exhibit B). The BR
System contains a measured resource of 171,000 tonnes grading
5.39 g/t gold (29,600 ounces), an indicated resource of 1,507,000
tonnes grading 5.27 g/t gold (255,400 ounces) and an inferred
resource of 1,083,000 tonnes grading 4.56 g/t gold (158,800 ounces)
at a cut-off grade of 2.0 g/t Au (see press release dated
March 3, 2017).
The East Goldbrook Gold System
The EG System is characterized by 7 tightly-stacked, high-grade,
gold-bearing vein zones, which are characterized by thick gold
bearing quartz veins and thin vein arrays within highly altered
argillite, separated from the neighboring vein zones by
un-mineralized greywacke. The EG System contains an
indicated resource of 414,000 tonnes grading 6.91 g/t gold (92,000
ounces) and an inferred resource of 1,127,000 tonnes grading 4.11
g/t gold (148,900 ounces) at a cut-off grade of 2.0 g/t Au (see
press release dated March 3,
2017).
The Goldboro Resource
A table showing the Goldboro Mineral Resources as reported on
March 3, 2017 is shown below.
Goldboro, Nova
Scotia
|
|
|
|
|
|
|
|
|
|
Boston
Richardsona zone
|
West
Goldbrooka zone
|
East
Goldbrooka zone
|
Category
|
Tonnes
|
Grade
(g/t)
|
Ounces
|
Tonnes
|
Grade
(g/t)
|
Ounces
|
Tonnes
|
Grade
(g/t)
|
Ounces
|
Measured
|
171,000
|
5.39
|
29,600
|
|
|
|
|
|
|
Indicated
|
1,507,000
|
5.27
|
255,400
|
464,000
|
5.39
|
80,400
|
414,000
|
6.91
|
92,000
|
Inferred
|
1,083,000
|
4.56
|
158,800
|
459,000
|
4.42
|
65,200
|
1,127,000
|
4.11
|
148,900
|
This news release has been reviewed and approved by
Paul McNeill, P. Geo., VP
Exploration with Anaconda Mining Inc., a "Qualified Person", under
National Instrument 43-101 Standard for Disclosure for Mineral
Projects.
A version of this press release will be available in French on
Anaconda's website (www.anacondamining.com) in two to three
business days.
ABOUT ANACONDA MINING INC.
Anaconda is a TSX-listed gold mining, exploration and
development company, focused in the prospective Atlantic Canadian
jurisdictions of Newfoundland and
Nova Scotia. The Company operates
the Point Rousse Project located in the Baie Verte Mining District
in Newfoundland, comprised of the
Pine Cove open pit mine, the fully-permitted Pine Cove Mill and
tailings facility, the Stog'er Tight deposit, a new discovery
called Argyle, and approximately 5,800 hectares of prospective
gold-bearing property. Anaconda is also developing the recently
acquired Goldboro Project in Nova
Scotia, a high-grade Mineral Resource, with the potential to
leverage existing infrastructure at the Company's Point Rousse
Project.
The Company also has a pipeline of organic growth opportunities,
including the Viking and Great Northern Projects on the Northern
Peninsula and the Tilt Cove Property on the Baie Verte
Peninsula.
FORWARD-LOOKING STATEMENTS
This news release contains "forward-looking information"
within the meaning of applicable Canadian and United States securities legislation.
Forward-looking information includes, but is not limited to, use of
proceeds and TSX final acceptance of the Offering. Generally,
forward-looking information can be identified by the use of
forward-looking terminology such as "plans", "expects", or "does
not expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates", or "does not anticipate", or
"believes" or variations of such words and phrases or state that
certain actions, events or results "may", "could", "would",
"might", or "will be taken", "occur", or "be achieved".
Forward-looking information is based on the opinions and estimates
of management at the date the information is made, and is based on
a number of assumptions and is subject to known and unknown risks,
uncertainties and other factors that may cause the actual results,
level of activity, performance or achievements of Anaconda to be
materially different from those expressed or implied by such
forward-looking information, including risks associated with the
exploration, development and mining such as economic factors as
they effect exploration, future commodity prices, changes in
foreign exchange and interest rates, actual results of current
production, development and exploration activities, government
regulation, political or economic developments, environmental
risks, permitting timelines, capital expenditures, operating or
technical difficulties in connection with development activities,
employee relations, the speculative nature of gold exploration and
development, including the risks of diminishing quantities of
grades of resources, contests over title to properties, and changes
in project parameters as plans continue to be refined as well as
those risk factors discussed in Anaconda's annual information form
for the year ended May 31, 2017,
available on www.sedar.com. Although Anaconda
has attempted to identify important factors that could cause actual
results to differ materially from those contained in
forward-looking information, there may be other factors that cause
results not to be as anticipated, estimated or intended. There can
be no assurance that such information will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such information. Accordingly, readers should not
place undue reliance on forward-looking information. Anaconda does
not undertake to update any forward-looking information, except in
accordance with applicable securities laws.
SOURCE Anaconda Mining Inc.