VANCOUVER, BC, Nov. 1, 2023 /CNW/ - Lundin Gold Inc. (TSX: LUG) (Nasdaq Stockholm: LUG) (OTCQX: LUGDF) ("Lundin Gold" or the "Company") today announces recent results from its conversion and near-mine exploration programs at its 100% owned Fruta del Norte ("FDN") gold mine in southeast Ecuador. The 2023 conversion drilling program, targeting Inferred Mineral Resources ("Inferred Resources") within the FDN deposit, has now been concluded and several high-grade results confirm mineralization immediately adjacent to where operations in the mine are currently taking place. In parallel, the near-mine program has successfully advanced in defining and expanding Bonza Sur, a new epithermal system discovered to the south of FDN. View PDF
LUNDIN GOLD REPORTS FURTHER HIGH-GRADE INTERCEPTS FROM ITS 2023 EXPLORATION PROGRAMS (CNW Group/Lundin Gold Inc.)
Highlights from the conversion and near-mine drilling programs are outlined below and detailed results are provided at the end of this release (see Appendix 1).
Highlights from underground conversion holes drilled (not true widths):
Drill hole FDN-C23-062 intersected 6.92 g/t gold ("Au") over 48.5m from 50.60m, including 22.88 g/t Au over 8.70 m
Drill hole FDN-C23-048 intersected 6.49 g/t Au over 37.9m from 123.30m, including 12.59 g/t Au over 6.60 m
Drill hole FDN-C23-042 intersected 8.32 g/t Au over 18.7m from 89.00m, including 16.78 g/t Au over 6.70 m
Drill hole FDN-C23-067 intersected 20.01 g/t Au over 14.20m from 14.60m, including 34.86g/t Au over 7.1m
Highlights from near-mine surface exploration holes drilled at Bonza Sur (not true widths):
Drillhole BLP-2023-042 intersected 7.44 g/t Au over 8.8m from 620.20 m, including 34.68g/t Au over 1.8m
Drill hole BLP-2023-053 intersected 5.87 g/t Au over 11.90m from 168.4 m, including 14.39 g/t Au over 4.0m
Ron Hochstein, President and CEO, commented, "I am very pleased with the progress of Lundin Gold's 2023 exploration programs. The conversion program has successfully concluded and has defined several wide, high-grade mineralized zones in distinct sectors outside the current reserve that we expect to underpin further future conversion of resources to reserves, while results received from drilling at Bonza Sur have expanded its mineralization footprint. We are encouraged by the promising drill results, exemplified through the expansion of our exploration programs to a minimum of 50,000 metres in 2023, the largest drilling program since 2007. We believe that these programs will enable the generation of significant shareholder value in years to come."
CONVERSION PROGRAM
A total of 11,233 metres of underground drilling from 79 drill holes was completed as part of the 2023 conversion program in several sectors of the FDN deposit. The program for this year is now complete, and drill results have significantly improved our confidence in the geologic model.
Conversion drilling in the southern sector of FDN has returned several high-grade intercepts associated mainly with vein and/or veinlet zones hosted in volcanic or porphyritic intrusive rocks. In the north-central sector, results show gold mineralization in breccias and stockwork zones, similar to mineralization found in the mineral reserve envelope of this sector.
This year's conversion drilling results are currently being incorporated into the geological model and will form the basis of an updated Mineral Resources and Reserves estimate to be completed during the first quarter of 2024. Complete assay results received to date are presented in Tables 1 and 3 at the end of this release. Some drill hole results are pending.
In addition to the drilling, development on the 1170 and 1080 underground levels is underway to provide drill stations for the 2024 conversion program. Total development is estimated at 765 metres.
NEAR-MINE EXPLORATION PROGRAM
The near-mine program continues to explore distinct sectors located along trend of the FDN deposit and within extensions of its major controlling structures. As at October 31, 2023, a total of 26,361 metres across 46 holes, from surface and underground, have been completed. Drilling earlier this year (see news releases published on January 26th, May 4th and August 2nd, 2023) discovered a new exploration target, Bonza Sur, which has been a primary focus over the last few months.
Bonza Sur
At Bonza Sur, the exploration program continues to advance in defining a new epithermal system, located only one kilometre south of the FDN deposit. Seven new drill holes were completed and confirm the extension of the new mineralized zone (see Figures 2, 3 and 4). Recent results, shown in Table 2 and 3 at the end of this release, indicate that the gold mineralization is hosted by the same volcanic sequence found at the FDN deposit and associated mainly to vein/veinlet zones of quartz and minor chalcedony and manganoan-carbonate with occurrences of disseminated to semi-massive levels of sulphides (mainly sphalerite and galena).
Since the discovery of Bonza Sur, numerous drilling intercepts suggest the occurrence of three subparallel vein/veinlet zones, called Colorada Central, West, and East. This epithermal system is believed to extend to surface and stretches for 850 metres along the north-south strike and for at least 500 metres at depth in the central area. BLP-2023-42 represents the deepest intercept at Bonza Sur. Gold mineralization remains open in all directions (see figures 2, 3 and 4).
Over the coming months, the drilling program at Bonza Sur will focus on better understanding the mineralized zones through reducing drill spacing and focusing on further exploration at depth and along strike. Two rigs are currently turning at Bonza Sur.
Qualified Persons
The technical information contained in this News Release has been reviewed and approved by Andre Oliveira, P. Geo, Vice President, Exploration of the Company, who is a Qualified Person in accordance with the requirements of NI 43-101.
Samples consist of half HQ and NQ-size diamond core that are split by diamond saw on site, prepared at the ALS laboratory in Quito, and analysed by 50g fire assay and multi-element (ICP-AES/ICP-MS) at the ALS Laboratory in Lima, Peru. The quality assurance-quality control (QA-QC) program of Lundin Gold includes the insertion of certified standards of known gold content, blank and duplicate samples. The remaining half core is retained for verification and reference purposes. For further information on the assay, QA-QC and data verification procedures, please see Lundin Gold's Annual Information Form dated March 31, 2023, filed under the Company's profile on SEDAR+ (www.sedarplus.ca).
About Lundin Gold
Lundin Gold, headquartered in Vancouver, Canada, owns the Fruta del Norte gold mine in southeast Ecuador. Fruta del Norte is among the highest-grade operating gold mines in the world.
The Company's board and management team have extensive expertise in mine operations and are dedicated to operating Fruta del Norte responsibly. The Company operates with transparency and in accordance with international best practices. Lundin Gold is committed to delivering value to its shareholders, while simultaneously providing economic and social benefits to impacted communities, fostering a healthy and safe workplace and minimizing the environmental impact. The Company believes that the value created through the development of Fruta del Norte will benefit its shareholders, the Government and the citizens of Ecuador.
Additional Information
The information in this release is subject to the disclosure requirements of Lundin Gold under the EU Market Abuse Regulation. This information was publicly communicated on November 1, 2023 at 4:00 p.m. Pacific Time through the contact persons set out below.
Caution Regarding Forward-Looking Information and Statements
Certain of the information and statements in this press release are considered "forward-looking information" or "forward-looking statements" as those terms are defined under Canadian securities laws (collectively referred to as "forward-looking statements"). Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, identified by words or phrases such as "believes", "anticipates", "expects", "is expected", "scheduled", "estimates", "pending", "intends", "plans", "forecasts", "targets", or "hopes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "will", "should" "might", "will be taken", or "occur" and similar expressions) are not statements of historical fact and may be forward-looking statements. By their nature, forward-looking statements and information involve assumptions, inherent risks and uncertainties, many of which are difficult to predict, and are usually beyond the control of management, that could cause actual results to be materially different from those expressed by these forward-looking statements and information. Lundin Gold believes that the expectations reflected in this forward-looking information are reasonable, but no assurance can be given that these expectations will prove to be correct. Forward-looking information should not be unduly relied upon. This information speaks only as of the date of this press release, and the Company will not necessarily update this information, unless required to do so by securities laws.
This press release contains forward-looking information in a number of places, such as in statements relating to the Company's exploration plans, activities and results. There can be no assurance that such statements will prove to be accurate, as Lundin Gold's actual results and future events could differ materially from those anticipated in this forward-looking information as a result of the factors discussed in the "Risk Factors" section in Lundin Gold's Annual Information Form dated March 31, 2023, which is available at www.lundingold.com or on SEDAR.
Lundin Gold's actual results could differ materially from those anticipated. Factors that could cause actual results to differ materially from any forward-looking statement or that could have a material impact on the Company or the trading price of its shares include: risks related to political and economic instability in Ecuador; risks associated with the Company's community relationships; risks related to estimates of production, cash flows and costs; risks inherent to mining operations; shortages of critical supplies; the cost of non-compliance and compliance costs; control of the Company's largest shareholders; volatility in the price of gold; failure of the Company to maintain its obligations under its debt facilities; risks related to Lundin Gold's compliance with environmental laws and liability for environmental contamination; the lack of availability of infrastructure; the Company's reliance on one mine; security risks to the Company, its assets and its personnel; risks related to illegal mining; exploration and development risks; the impacts of a pandemic virus outbreak; risks related to the Company's ability to obtain, maintain or renew regulatory approvals, permits and licenses; uncertainty with and changes to the tax regime in Ecuador; the reliance of the Company on its information systems and the risk of cyber-attacks on those systems; the imprecision of Mineral Reserve and Resource estimates; deficient or vulnerable title to concessions, easements and surface rights; inherent safety hazards and risk to the health and safety of the Company's employees and contractors; risks related to the Company's workforce and its labour relations; key talent recruitment and retention of key personnel; volatility in the market price of the Company's shares; measures to protect endangered species and critical habitats; social media and reputation; the adequacy of the Company's insurance; risks relating to the declaration of dividends; uncertainty as to reclamation and decommissioning; the ability of Lundin Gold to ensure compliance with anti-bribery and anti-corruption laws; the uncertainty regarding risks posed by climate change; limits of disclosure and internal controls; the potential for litigation; and risks due to conflicts of interest.
APPENDIX 1
Table 1: Drillhole assay results from the conversion underground drilling program reported for thickness versus grade intervals above 14 (m x g/t Au >14). Drill hole intercepts are reported in drill core lengths
Hole ID
From (m)
To (m)
Interval (m)
Au (g/t)
Ag (g/t)
Target
Zone
FDN-C23-031
139.2
146.4
7.2
4.81
8.13
Southern
Underground
FDN-C23-031
189.6
194.5
4.9
7.5
2.12
FDN-C23-032
14
18
4
15.88
14.4
Southern
Underground
FDN-C23-032
96.4
103
6.6
2.37
2.43
FDN-C23-033
15
19
4
3.95
5.3
Southern
Underground
FDN-C23-034
95.3
147.1
51.8
3.85
6.02
Southern
Underground
Including
102.9
105.4
2.5
23.97
23.2
FDN-C23-035
No Significant Results
Southern
Underground
FDN-C23-036
194.9
201.8
6.9
3.78
2.17
Southern
Underground
FDN-C23-037
21.8
57.8
36
4.89
5.58
Northern
Underground
Including
40.8
50
9.2
10.65
11.3
FDN-C23-038
75.4
79.2
3.8
4.07
7.33
Southern
Underground
FDN-C23-038
187.5
203.4
15.9
3.4
1.25
FDN-C23-039
48.2
53.2
5
5.19
4.22
Northern
Underground
FDN-C23-039
61.9
66
4.1
6.68
6.76
FDN-C23-039
123.8
129.8
6
6.29
12.72
FDN-C23-040
95
105.6
10.6
2.22
14.75
Southern
Underground
FDN-C23-041
105.2
118.9
13.7
1.31
11.23
Southern
Underground
FDN-C23-041
211.1
218
6.9
3.59
3.79
FDN-C23-042
89
107.7
18.7
8.32
8.93
Northern
Underground
Including
101
107.7
6.7
16.78
17.65
FDN-C23-043
42.6
55
12.4
10.1
9.75
Northern
Underground
Including
48.6
55
6.4
18.46
16.98
FDN-C23-043
112
121.9
9.9
3.6
8.59
FDN-C23-044
107.5
122
14.5
4.89
12.72
Southern
Underground
Including
115.2
120
4.8
10.97
8.45
FDN-C23-045
36.8
45.2
8.4
8.05
12.29
Northern
Underground
Including
36.8
41.4
4.6
12.97
19.74
FDN-C23-046
84.1
96
11.9
1.29
5.87
Southern
Underground
FDN-C23-047
100.4
112
11.6
1.95
13.91
Southern
Underground
FDN-C23-048
123.3
161.2
37.9
6.49
22.83
Northern
Underground
Including
133.3
139.9
6.6
12.59
37.54
Including
158
161.2
3.2
13.99
20.1
FDN-C23-049
212
223.7
11.7
3.97
5.5
Southern
Underground
FDN-C23-050
35.7
54.8
19.1
6.92
13.56
Northern
Underground
FDN-C23-051
94
108.9
14.9
4.89
4.66
Southern
Underground
FDN-C23-051
140.5
163.3
22.8
3.66
6.26
FDN-C23-052
27.1
32.1
5
11.01
13.38
Northern
Underground
FDN-C23-053
54.5
89
34.5
2.44
2.57
Northern
Underground
FDN-C23-054
123
140.6
17.6
2.44
9.28
Southern
Underground
FDN-C23-055
37.1
41.1
4
2.53
5.13
Southern
Underground
FDN-C23-056
117.6
150.5
32.9
3.61
19.21
Northern
Underground
Including
137.2
149.5
12.3
5.36
27.47
FDN-C23-057
101.6
107.6
6
3.79
24.93
Northern
Underground
FDN-C23-057
117
121
4
4.23
16.17
FDN-C23-058
75.1
98.9
23.8
3.84
8.47
Southern
Underground
FDN-C23-059
52.4
90
37.6
4.23
8.34
Southern
Underground
Including
55.5
62.7
7.2
8.43
10.96
Including
74.6
80.5
5.9
9.5
9.46
FDN-C23-060
50.1
78.9
28.8
5.24
8.26
Southern
Underground
Including
52.8
59.4
6.6
14.4
13.98
FDN-C23-061
No Significant Results
Northern
Underground
FDN-C23-062
50.6
99.1
48.5
6.92
12.06
Southern
Underground
Including
60.7
69.4
8.7
22.88
29.16
Including
76.2
84.2
8
7.28
10.61
FDN-C23-063
45.3
51.4
6.1
3.56
18
Northern
Underground
FDN-C23-063
112.6
129.5
16.9
10.86
75.97
Including
114.3
124.3
10
16.29
104.65
FDN-C23-064
31.9
36
4.1
4.97
14.14
Northern
Underground
FDN-C23-064
134.9
141.9
7
2.34
12.31
FDN-C23-065
107.8
125
17.2
6.45
3.96
Southern
Underground
Including
116.9
123
6.1
12.25
5.43
FDN-C23-066
110.8
117.3
6.5
5.93
3.11
Southern
Underground
FDN-C23-067
14.6
28.8
14.2
20.01
61.65
Northern
Underground
Including
14.6
21.7
7.1
34.86
106.38
FDN-C23-067
133
144.8
11.8
3.31
33.28
Including
141.8
144.8
3
6.68
71.03
FDN-C23-068
13.5
19.5
6
3.86
86.77
Northern
Underground
FDN-C23-068
183.9
193.6
9.7
4.17
32.4
Northern
Underground
Including
183.9
187.9
4
6.86
31.75
Northern
Underground
FDN-C23-069
110.2
117.2
7
3.58
3.58
Southern
Underground
FDN-C23-070
108.9
119.7
10.8
3.67
4.06
Southern
Underground
FDN-C23-071
No Significant Results
Northern
Underground
FDN-C23-072
122
132.7
10.7
3.8
8.23
Southern
Underground
FDN-C23-073
46.7
52.4
5.7
4.28
26.01
Northern
Underground
FDN-C23-074
100.7
108.2
7.5
2.99
11.65
Northern
Underground
FDN-C23-075
35
40
5
9.35
6.62
Northern
Underground
FDN-C23-076
Pending Results
Northern
Underground
FDN-C23-077
Pending Results
Northern
Underground
FDN-C23-078
Pending Results
Northern
Underground
FDN-C23-079
Pending Results
Northern
Underground
Table 2: Drillhole assay results from the near mine drilling program reported for thickness versus grade intervals above 14 (m x g/t Au >14). Drill hole intercepts are reported in drill core lengths
Hole ID
From (m)
To (m)
Interval (m)
Au (g/t)
Ag (g/t)
Target
Zone
BLP-2023-042
620.2
629
8.8
7.44
18.9
Bonza Sur
Including
627.2
629
1.8
34.68
35.58
BLP-2023-046
No Significant Results
Bonza Sur
Surface
BLP-2023-047
72.8
87
14.2
1.7
4.69
Bonza Sur
Surface
Including
86
87
1
8.96
17.8
BLP-2023-047
193.3
212.6
19.3
0.9
8.21
Including
194.4
196.3
1.9
2.63
34.78
Including
211.7
212.6
0.9
4.43
18.7
BLP-2023-051
612.1
616.15
4.05
5.94
9.32
Bonza Sur
Surface
Including
615.2
616.15
0.95
22.9
21.8
BLP-2023-052
176.1
188.5
12.4
1.49
9.96
Bonza Sur
Surface
Including
181.8
184.8
3
2.06
9.04
BLP-2023-053
168.4
180.3
11.9
5.87
6.88
Bonza Sur
Surface
Including
176.3
180.3
4
14.39
14.41
BLP-2023-055
75.7
168.5
92.8
1.18
17.1
Bonza Sur
Surface
Including
75.7
79.8
4.1
5.35
8.29
Bonza Sur
Surface
Including
164.5
168.5
4
6.65
258.7
Bonza Sur
Surface
Table 3: Collar locations of reported drill holes
Hole ID
Prospect
Easting
Northing
Elevation
Azimuth
Dip
EOH (m)
Zone
BLP-2023-042
Bonza Sur
778730
9580833
1583
265
-65
1295.25
Surface
BLP-2023-046
Bonza Sur
778680
9580247
1625
260
-55
517.60
Surface
BLP-2023-047
Bonza Sur
778454
9581060
1458
118
-70
273.90
Surface
BLP-2023-051
Bonza Sur
778730
9580833
1583
265
-67
939.25
Surface
BLP-2023-052
Bonza Sur
778680
9580247
1625
260
-70
1109.80
Surface
BLP-2023-053
Bonza Sur
778454
9581060
1458
90
-67
248.40
Surface
BLP-2023-055
Bonza Sur
778454
9581060
1459
62
-70
337.00
Surface
FDN-C23-031
FDN - Conversion
778174
9582522
1180
230
-29
220.00
Underground
FDN-C23-032
FDN - Conversion
778174
9582522
1181
230
11
140.50
Underground
FDN-C23-033
FDN - Conversion
778174
9582522
1182
230
40
91.40
Underground
FDN-C23-034
FDN - Conversion
778196
9582605
1180
181
32
200.35
Underground
FDN-C23-035
FDN - Conversion
778176
9582706
1175
273
-37
230.00
Underground
FDN-C23-036
FDN - Conversion
778176
9582706
1175
270
-31
220.00
Underground
FDN-C23-037
FDN - Conversion
778122
9583352
1078
245
-33
80.00
Underground
FDN-C23-038
FDN - Conversion
778176
9582705
1175
259
-34
220.00
Underground
FDN-C23-039
FDN - Conversion
778122
9583352
1078
257
-49
160.00
Underground
FDN-C23-040
FDN - Conversion
778176
9582705
1175
245
-32
120.00
Underground
FDN-C23-041
FDN - Conversion
778176
9582704
1175
238
-35
250.00
Underground
FDN-C23-042
FDN - Conversion
778122
9583353
1078
270
-36
130.00
Underground
FDN-C23-043
FDN - Conversion
778122
9583353
1078
274
-50
153.00
Underground
FDN-C23-044
FDN - Conversion
778176
9582704
1176
235
8
140.00
Underground
FDN-C23-045
FDN - Conversion
778122
9583353
1078
290
-43
70.50
Underground
FDN-C23-046
FDN - Conversion
778176
9582704
1177
230
25
121.00
Underground
FDN-C23-047
FDN - Conversion
778176
9582704
1176
230
-18
140.00
Underground
FDN-C23-048
FDN - Conversion
778118
9583277
1077
240
-25
190.00
Underground
FDN-C23-049
FDN - Conversion
778176
9582704
1175
230
-30
250.00
Underground
FDN-C23-050
FDN - Conversion
778118
9583277
1077
250
-25
70.10
Underground
FDN-C23-051
FDN - Conversion
778177
9582704
1177
218
18
180.30
Underground
FDN-C23-052
FDN - Conversion
778119
9583278
1077
290
-25
60.00
Underground
FDN-C23-053
FDN - Conversion
778120
9583280
1079
335
32
90.00
Underground
FDN-C23-054
FDN - Conversion
778176
9582704
1176
218
-3
160.00
Underground
FDN-C23-055
FDN - Conversion
778161
9582807
1174
200
-50
60.00
Underground
FDN-C23-056
FDN - Conversion
778092
9583174
1049
258
-51
165.00
Underground
FDN-C23-057
FDN - Conversion
778092
9583174
1050
270
-45
150.00
Underground
FDN-C23-058
FDN - Conversion
778160
9582807
1174
220
-20
100.00
Underground
FDN-C23-059
FDN - Conversion
778159
9582808
1174
232
-27
90.00
Underground
FDN-C23-060
FDN - Conversion
778159
9582808
1174
245
-30
80.00
Underground
FDN-C23-061
FDN - Conversion
778127
9583020
1052
300
-14
75.00
Underground
FDN-C23-062
FDN - Conversion
778159
9582809
1173
260
-40
100.00
Underground
FDN-C23-063
FDN - Conversion
778127
9583018
1052
270
-25
140.00
Underground
FDN-C23-064
FDN - Conversion
778127
9583017
1052
247
-28
150.00
Underground
FDN-C23-065
FDN - Conversion
778129
9582822
1175
247
9
140.00
Underground
FDN-C23-066
FDN - Conversion
778129
9582822
1174
253
-3
140.00
Underground
FDN-C23-067
FDN - Conversion
778126
9583019
1051
285
-36
190.00
Underground
FDN-C23-068
FDN - Conversion
778127
9583019
1151
278
-47
200.00
Underground
FDN-C23-069
FDN - Conversion
778129
9582822
1175
255
15
140.00
Underground
FDN-C23-070
FDN - Conversion
778129
9582822
1175
262
8
140.00
Underground
FDN-C23-071
FDN - Conversion
778128
9583017
1053
248
10
100.00
Underground
FDN-C23-072
FDN - Conversion
778130
9582825
1174
310
-53
160.00
Underground
FDN-C23-073
FDN - Conversion
778177
9582887
1081
245
42
75.00
Underground
FDN-C23-074
FDN - Conversion
778176
9582887
1080
262
-7
120.00
Underground
FDN-C23-075
FDN - Conversion
778177
9582889
1080
315
-15
60.00
Underground
FDN-C23-076
FDN - Conversion
778177
9582890
1079
335
-15
70.00
Underground
FDN-C23-077
FDN - Conversion
778114
9583404
1171
273
-50
100.00
Underground
FDN-C23-078
FDN - Conversion
778114
9583405
1171
290
-47
90.00
Underground
FDN-C23-079
FDN - Conversion
778116
9583405
1171
305
-40
100.00
Underground
SOURCE Lundin Gold Inc.
Ron F. Hochstein, President and CEO, Tel (Ecuador): +593 2-299-6400, Tel (Canada): +1-604-806-3589, [email protected]; Finlay Heppenstall, Director, Investor Relations and Corporate Development, Tel: +1 604 806 3089, [email protected]
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