TORONTO, Nov. 29, 2017 /CNW/ - Anaconda Mining Inc.
("Anaconda" or the "Company") (ANX: TSX) is pleased to announce
that it has initiated a 5,000-metre, diamond drill program at its
Point Rousse Project in Newfoundland (the "Point Rousse Program"). The
Point Rousse Program will be conducted over the next four months,
is estimated to cost approximately $800,000 and will be funded by the recently
announced flow-through financing (see press release dated
October 31, 2017). The Company plans
to drill along and adjacent to the Scrape Trend, a 6-kilometre
strike length of fertile geology that includes the Pine Cove mine,
Stog'er Tight deposit, the recent Argyle discovery ("Argyle") and
several other gold prospects. Anaconda is focused on four main
targets – Argyle, the Connector Zone, Anoroc and Corkscrew Road,
all of which are within 5 kilometres of the Pine Cove Mill (Exhibit
A).
"The Scrape Trend has produced approximately 100,000 ounces
of gold and generated over $40 million
dollars in EBITDA over the past seven years. It has a
pipeline of deposits, discoveries and future prospects that could
sustain production for the coming years. Through the current
diamond drill program, we intend to demonstrate the potential to
expand gold resources within the Scrape Trend. With ease of access
to drill targets and the Pine Cove Mill already running,
exploration is very cost effective and the duration from discovery
to production is compressed because of our existing infrastructure
and management team. By investing capital from our recent
financing, we believe we can accelerate resource growth at Point
Rousse."
~ Dustin Angelo, President and
CEO
Overview of Drill Targets
Argyle:
Anaconda plans to do a combination of step-out and infill
drilling at Argyle. The step-out drilling will be along strike to
the east, as well as down dip from the known mineralized
area. The step out drilling will be focused on the mapped and
projected continuation of the Argyle gabbro, the host rock to
mineralization, and is coincident with geophysical anomalies
(magnetic and chargeability) similar to those associated with the
Argyle discovery.
Also, within the mineralized area at Argyle, Anaconda is focused
on determining the trend of high-grade zones discovered through
previous drilling. The easternmost high-grade zone to date is
outlined by drill holes AE-16-33, AE-16-40 and AE-16-43 and
averages 14 metres thick with composited assays between 2.91 grams
per tonne ("g/t") and 5.52 g/t gold. The northernmost high-grade
zone, outlined by drill hole AE-16-39, is 6.0 metres thick with a
composited grade of 9.31 g/t gold and is open along strike and
down-dip (see previous releases of July
13, September 27, and
November 22, 2017)
Connector Zone:
The Connector Zone refers to the area between Argyle and the
Stog'er Tight deposit characterized by local gold-in-soil
geochemical anomalies as well as coincident magnetic and
chargeability geophysical anomalies common to these deposit types
at Point Rousse and specifically to the Argyle discovery. Recent
geological mapping indicates that the Connector Zone is host to the
same prospective geology associated with both the Argyle discovery
and the Stog'er Tight deposit.
Anoroc:
The Anoroc target refers to the prospective Pine Cove geology
over a southwest strike of 650 metres from the Pine Cove deposit
and mine (Exhibit A). Similar alteration and mineralization
has been observed in surface trenches with channel sample results
of 3.2 g/t gold over 3 metres and 7.8 g/t gold over 2.0 metres in
two trenches. One historic diamond drill hole (AN-90-01) of six, in
the area, returned 9.9 g/t gold over 2 metres.
Prospecting during the summer of 2017 returned assays up to
6.39 g/t gold from surface outcrop.
Corkscrew Road:
The fourth drill target, Corkscrew Road, is hosted within an
ironstone that sits within the same geologic setting as the Nugget
Pond Horizon and mine, approximately 50 kilometres to the east of
the Point Rousse Project. The Nugget Pond mine produced
approximately 166,000 ounces of gold at approximately 11 g/t
gold. The Corkscrew Road target is associated with a
gold-in-soil anomaly located immediately north of the target over a
broad area, which is a characteristic common to the Pine Cove and
Stog'er Tight deposits and a guide used in their respective
discoveries. The target is similarly associated with a
chargeability geophysical anomaly. Historic rock samples from this
area assay up to 14.0 g/t.
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.
All samples and the resultant composites referred to in this
release are collected using QA/QC protocols including the regular
insertion of standards and blanks within the sample batch for
analysis and check assays of select samples. All samples quoted in
this release were analyzed at Eastern Analytical Ltd. in
Springdale, NL, for Au by fire
assay (30g) with an AA finish.
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.