Richmont Mines Intersects High-Grade, Wide Mineralization in the Down Plunge Extension of the Island Gold Deposit; Including 19.85 g/t gold over 8.4 metres

TSX - NYSE:  RIC

TORONTO, July 27, 2017 /CNW Telbec/ - Richmont Mines Inc. (TSX: RIC) (NYSE: RIC) ("Richmont" or the "Corporation"), is pleased to provide an update on its strategic exploration drilling program currently underway at the cornerstone Island Gold Mine. Recent exploration drilling has intersected high-grade, wide mineralization in the down plunge extension of the main Island Gold deposit with Hole MH8-4 intersecting 19.85 g/t gold over 8.4 metres (true width).

"Our deep directional drilling further confirms the continuation of high-grade, wide zones located in the down plunge extension of the main deposit and we see significant potential to increase mineral resources at depth. Concurrently, we are very encouraged with the results reported from the eastern lateral extension of the main deposit where we anticipate adding near-mine resources that could be incorporated into the current mine plan," stated Renaud Adams, CEO. He continued, "As our ongoing drilling continues to demonstrate the resource potential of the Island Gold deposit, we remain confident that we will extend the mineralized resource blocks located outside the Expansion Case PEA area with quality high-grade ounces. Over the balance of the year we will continue to advance our disciplined drilling program with an overall focus on identifying the next million ounces of gold resources located outside the PEA."

2017 DRILLING PROGRAM – ISLAND GOLD MINE (Figure 1)

The 2017 exploration drilling program, currently underway, continues to build on the positive results achieved in 2016 and is primarily focused on expanding near-mine resources outside the Expansion Case Preliminary Economic Assessment ("PEA") area, both laterally and at depth.

Deep Directional Exploration Drilling Program Highlights (Figure 2)

The successful 2016 deep drilling program identified a new large inferred resource block of 760,000 tonnes at a grade of 9.53 g/t gold (containing approximately 230,000 ounces, assays capped at 70 g/t gold) in the down plunge extension, located between the 1,050 and the 1,300 metre levels. The main objective of the 2017 deep directional exploration drilling program is to prove the high-grade extension of the new resource block to a minimum vertical depth of 1,500 metres. Results to date include three significant intercepts (Table 1) (All results are reported with estimated true widths and assays capped at 70 g/t gold.):

  • Hole MH8-4 intersected 19.85 g/t gold over 8.4 metres in the eastern portion of the down plunge extension of the deposit. The intersection is located approximately 1,300 metres below surface and includes 71.76 g/t gold over 0.5 metres, 141.43 g/t gold over 0.59 metres and 318.28 g/t gold over 0.25 metres.
  • Hole MH2A-12 intersected 11.67 g/t gold over 9.42 metres, including 548.1 g/t gold over 0.24 metres.
  • Hole MH2A-13 intersected 8.86 g/t gold over 6.39 metres at a depth of 1,350 metres.

These three new high-grade, wide intercepts confirm that the interpreted down plunge extension of the main Island Gold deposit remains open to a minimum vertical depth of 1,350 metres. Mineralization in this area remains consistent with the main portion of the deposit.

Other highlights from the deep directional exploration drilling include (Table 1):

  • Hole MH1-11: 20.78 g/t gold over 1.28 metres (undefined zone)
  • Hole MH7: 17.85 g/t gold over 1.68 metres (undefined zone)

Deep directional drilling holes have been completed below the western limit of the Expansion Case PEA area and assays are pending.

Currently, there are three deep directional drills working in the area with a total of 14,059 metres of a planned 36,000 metre drill program have been drilled to date.

Eastern Lateral Infill and Exploration Drilling Program (Figure 3)

The 2016 drilling program successfully added two new inferred resource blocks in the eastern lateral extension, located approximately 300 metres east of the Expansion Case PEA area, between the 340 and the 750 metre levels. The largest inferred resource block contains approximately 290,000 tonnes at a grade of 10.35 g/t gold (approximately 95,000 ounces of gold, capped at 70 g/t gold).

Infill drilling is on-going in the upper part of the new resource block from the 340 metre level with encouraging results to date. The extension of the 620 metre level exploration drift is advancing as planned with infill drilling in the lower part of the block expected to begin shortly. Recent highlights from Eastern Lateral infill drilling include (Table 2) (All results are reported with estimated true widths and assays capped at 70 g/t gold.):

  • Hole 340-588-30: 14.15 g/t gold over 2.91 metres
  • Hole 340-588-40: 23.10 g/t gold over 2.40 metres
  • Hole 340-588-45: 14.71 g/t gold over 2.59 metres
  • Hole 340-588-50: 12.52 g/t gold over 3.00 metres
  • Hole 340-588-52: 16.16 g/t gold over 2.35 metres

Exploration drilling in the eastern lateral extension is focused in the area where hole GD-640-05 intersected 20.57 g/t of gold over a core length of 11.3 metres, at a vertical depth of approximately 1,000 metres. One directional drill rig has been redeployed to this area to follow-up on this intersection to better understand the geometry and true width of this new high-grade mineralization. Highlights of recent drilling include (Table 2):

  • Hole GD-640-05-3 intersected 13.81 g/t gold over 5.2 metres (core length) at the same elevation of GD-640-05, but located 40 metres to the east. Results to date indicate a potential flat, high-grade zone with quartz veins.
  • Hole GD-640-05-5 intersected a small high-grade zone of 58.34 g/t gold over 0.43 metres in the plane of the E1E Zone.

Another surface drill rig is currently working further to the east, approximately 1,500 metres from the second dike, to test the lateral extension of the main mineralized structure. To date, two small gold zones have been identified, including:

  • Hole GD-670-01: 4.17 g/t gold over 2.44 metres
  • Hole GD-690-01: 15.39 g/t gold over 0.89 metres

A total of 18,465 metres of a planned 37,000 metres of exploration and infill drilling has been completed to date with two surface drill rigs and one underground drill from the 340 metre level.

Expansion Case PEA Delineation Drilling Program (Figure 4)

For 2017, a total of 30,000 metres of delineation drilling is planned within the Expansion Case PEA area, primarily in the fourth mining horizon located between the 860 and 1,000 metre levels, with the objective of converting inferred resource blocks to reserves. Currently, two drill rigs are working in the area and a total of 8,515 metres has been completed to date. Recent highlights include (Table 3) (All results are reported with estimated true widths and assays capped at 225 g/t gold.):

  • Hole 860-511-03: 37.09 g/t gold over 4.98 metres
  • Hole 860-511-07: 51.02 g/t gold over 3.54 metres
  • Hole 860-517-07: 52.09 g/t gold over 4.99 metres
  • Hole 860-517-08: 45.20 g/t gold over 3.27 metres
  • Hole 740-465-40: 31.80 g/t gold over 1.92 metres

Exploration drilling is also underway within the Expansion Case PEA area with the objective of adding resources between the current resources blocks. Recent drilling highlights include:

  • Hole 740-465-25: 87.64 g/t gold over 4.90 metres (undefined zone)
  • Hole 740-465-29: 49.15 g/t gold over 4.19 metres (undefined zone)

Qualified Persons

The scientific and technical content and interpretations contained in this news release have been reviewed, verified and approved by Daniel Adam P.Geo., Ph.D., Richmont's Vice-President, Exploration, a Qualified Person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects ("NI 43-101"). For additional information about prior drilling results, refer to the Corporation's technical report titled "Island Gold Mine Technical Report and Expansion Case Preliminary Economic Assessment, Dubreuilville, Ontario, Canada" dated July 13, 2017 with an effective date of May 29, 2017.

Quality Control

Assays for the diamond drilling programs were done at LabExpert in Rouyn-Noranda. The Corporation inserts at regular intervals quality control (QC) samples (blanks and reference materials) to monitor laboratory performance. Cross check assays are done on a regular basis in a second accredited laboratory.

About Richmont Mines Inc.
Richmont Mines currently produces gold from the Island Gold Mine in Ontario, and the Beaufor Mine in Quebec. The Corporation is also advancing development of the significant high-grade resource extension at depth of the Island Gold Mine in Ontario. With more than 35 years of experience in gold production, exploration and development, and prudent financial management, the Corporation is well-positioned to cost-effectively build its Canadian reserve base and to successfully enter its next phase of growth.

Forward-Looking Statements
This news release contains forward-looking statements that include risks and uncertainties. When used in this news release, the words "estimate", "project", "anticipate", "expect", "intend", "believe", "hope", "may", "objective" and similar expressions, as well as "will", "shall" and other indications of future tense, are intended to identify forward-looking statements. The forward-looking statements are based on current expectations and apply only as of the date on which they were made. Except as may be required by law or regulation, the Corporation undertakes no obligation and disclaims any responsibility to publicly update or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise.

The factors that could cause actual results to differ materially from those indicated in such forward-looking statements include, without limitation, changes in the prevailing price of gold, the Canadian-United States exchange rate, grade of ore mined and unforeseen difficulties in mining operations that could affect revenue and production costs. Other factors such as uncertainties regarding government regulations and the failure of our exploration drilling programs to identify significant new resources or targets or expand existing resources could also affect the results. Other risks may be set out in Richmont's Annual Information Form, Annual Reports and periodic reports. The forward-looking information contained herein is made as of the date of this news release.

Cautionary note to US investors concerning resource estimates
Information in this press release is intended to comply with the requirements of the Toronto Stock Exchange and applicable Canadian securities legislation, which differ in certain respects with the rules and regulations promulgated under the United States Securities Exchange Act of 1934, as amended ("Exchange Act"), as promulgated by the United States Securities and Exchange Commission (the "SEC"). The requirements of NI 43-101 adopted by the Canadian Securities Administrators differ significantly from the requirements of the SEC.

U.S. Investors are urged to consider the disclosure in our annual report on Form 40-F, File No. 001-14598, as filed with the SEC under the Exchange Act, which may be obtained from us (without cost) or from the SEC's web site: http://sec.gov/edgar.shtml.

Tables of Drill Results

 

TABLE 1

DEEP DRILLING PROGRAM - EXPLORATION AND INFILL

Hole Number

Length
(metres)

From
(metres)

To
(metres)

True Width
(metres)

Uncut Grade
(g/t Au)

Cut Grade
(g/t Au)

Zone

Vertical depth
of intersection
(metres)

MH1-11

1,574

1,265.20

1,267.57

1.25

4.33

4.33

H

1,146

MH1-11


1,329.10

1,331.50

1.28

20.88

20.78

X(1)

1,206

including


1,329.40

1,329.70

0.16

70.77

70.00



MH1-11


1,396.00

1,400.50

2.71

0.72

0.72

C

1,270

MH2A-11

1,577

1,413.65

1,416.60

2.12

0.09

0.09

E1E

1,283

MH2A-12

1,613

1,416.40

1,428.10

9.42

23.23

11.67

E1E

1,297

including


1,419.50

1,420.90

1.13

143.38

43.73



MH2A-12


1,456.90

1,458.80

1.53

93.04

17.55

X

1,330

including


1,457.50

1,457.80

0.24

548.10

70.00



MH2A-13

1,739

1,453.40

1,461.60

6.39

8.86

8.86

E1E

1,341

MH2A-13


1,608.40

1,622.70

11.25

2.65

2.65

X

1,492

MH5-4

1,625

1,139.61

1,140.32

0.43

9.65

9.65

X

1,005

MH5-4


1,424.24

1,427.82

2.53

0.87

0.87

C

1,263

MH5-4


1,491.17

1,491.83

0.47

109.22

42.75

X

1,322

including


1,491.50

1,491.83

0.24

202.94

70.00



MH-7

1,883

1,291.60

1,293.70

1.68

17.85

17.85

X

1,082

including


1,293.10

1,293.40

0.24

68.57

68.57



MH-7


1,476.00

1,480.00

3.53

2.35

2.35

C

1,228

MH8-1C

1,583

1,407.70

1,412.00

3.01

0.62

0.62

E1E

1,252

MH8-2

1,658

1,416.90

1,423.90

6.42

0.99

0.99

E1E

1,281

MH8-3B

1,646

1,386.00

1,390.20

2.67

1.42

1.42

E1E

1,214

MH8-4

1,658

1,441.80

1,451.80

8.40

32.41

19.85

E1E

1,303

including


1,443.70

1,444.30

0.50

71.76

70.00



including


1,446.50

1,447.20

0.59

141.43

70.00



including


1,448.85

1,449.15

0.25

318.28

70.00



High-grade capping values:
Lower Island C Zone (225 g/t Au), B Zone (60 g/t Au)
Lower X2-E1E Zone. East Lateral E1E Zone and X Zone (70 g/t Au)
(1) X Zone correspond to presently undefined mineralised zone


 

TABLE 2

EASTERN LATERAL INFILL AND EXPLORATION DRILLING

Hole Number

Length
(metres)

From
(metres)

To
(metres)

True Width
(metres)

Uncut Grade
(g/t Au)

Cut Grade
(g/t Au)

Zone

Vertical depth
of intersection
(metres)

340-586-10

111

82.60

86.23

3.42

8.62

8.62

E1E

301

including


83.00

83.50

0.47

46.18

46.18



340-586-11

120

93.00

96.13

2.71

12.63

12.63

E1E

322

including


93.40

93.90

0.43

63.60

63.60



340-586-12

135

101.80

105.00

2.58

17.10

12.55

E1E

336

including


102.80

103.30

0.40

99.12

70.00



340-586-14

192

144.60

148.90

2.53

10.90

9.98

E1E

392

including


146.10

146.50

0.24

79.95

70.00



340-588-27

120

93.60

96.40

2.72

8.76

8.76

E1E

300

340-588-30

186

139.00

143.40

2.91

26.76

14.15

E1E

376

including


143.00

143.40

0.26

208.80

70.00



340-588-31

207

153.70

158.00

2.27

48.01

12.02

E1E

394

including


156.90

157.50

0.32

327.95

70.00



340-588-38

207

157.00

161.50

2.30

6.25

6.25

E1E

397

340-588-39

222

173.80

178.40

2.07

8.38

8.38

E1E

414

340-588-40

246

194.00

199.80

2.40

98.85

23.10

E1E

435

including


194.40

196.60

0.80

257.09

57.38



340-588-44

168

125.30

129.50

2.80

8.05

8.05

E1E

356

340-588-45

189

140.50

144.70

2.59

18.83

14.71

E1E

374

including


140.50

140.90

0.25

113.25

70.00



340-588-46

210

156.00

160.40

2.46

30.05

7.24

E1E

394

including


156.70

157.00

0.17

404.54

70.00



340-588-47

231

176.40

181.40

2.18

16.79

16.08

E1E

415

including


179.90

180.20

0.13

81.77

70.00



340-588-50

126

110.70

114.80

3.00

13.58

12.52

E1E

321

including


111.20

111.90

0.51

71.02

64.80



340-588-52

207

164.40

170.30

2.35

16.16

16.16

E1E

397

GD-640-05-2

1,332

1,090.00

1,095.00

3.17

1.91

1.91

E1E

1,039

GD-640-05-3

1,537

1,061.30

1,065.80

2.21

4.62

4.62

E1E

990

GD-640-05-3


1,086.10

1,091.30

5.20 c.l.

13.81

13.81

X

1,012

including


1,086.10

1,087.50

1.40 c.l.

35.26

35.26



GD-640-05-3


1,119.15

1,120.70

0.77

69.41

29.47

X

1,039

including


1,119.60

1,120.20

0.30

173.18

70.00



GD-640-05-3


1,246.15

1,248.30

1.08

6.49

6.49

X

1,151

GD-640-05-4

1,484

1,036.35

1,042.85

3.52

0.22

0.22

E1E

972

GD-640-05-5

1,547

1,121.15

1,121.95

0.43

216.04

58.34

E1E

1,062

including


1,121.15

1,121.65

0.27

322.32

70.00



GD-670-01

1,052

744.77

746.08

1.02

8.61

8.61

X

600

GD-670-01


761.95

763.57

1.34

5.10

5.10

X

614

GD-670-01


831.10

834.00

2.44

4.17

4.17

E1E?

670

GD-670-02

1,163

695.85

712.50

12.82

0.77

0.77

X

606

GD-670-03

973

781.20

782.20

0.87

1.48

1.48

X

588

GD-690-01

1,007

739.15

740.15

0.89

15.39

15.39

E1E?

530

GD-690-02

812

473.50

475.40

1.83

4.22

4.22

X

284

 

TABLE 3

INFILL DELINEATION IN PEA AREA

(ONLY RESULTS ABOVE 6 G/T ARE PRESENTED)

Hole Number

Length
(metres)

From
(metres)

To
(metres)

True Width
(metres)

Uncut Grade
(g/t Au)

Cut Grade
(g/t Au)

Zone

Vertical depth
of intersection
(metres)

740-465-25

231

188.60

194.20

4.90

261.46

39.96

X

656

including


189.00

193.10

3.59

356.78

54.24



740-465-29

261

107.00

109.50

2.41

17.49

17.49

D

716

740-465-29


168.00

171.40

3.16

11.72

11.72

X

694

740-465-29


204.60

209.10

4.19

126.54

21.59

X

681

including


204.60

205.40

0.74

660.31

70.00



740-465-31

201

145.00

150.00

4.62

6.71

6.71

C

799

740-465-32

222

173.40

176.00

2.27

6.66

6.66

B

836

740-465-39

399

244.90

258.50

2.78

6.84

6.84

C

957

including


249.10

249.80

0.14

100.18

100.18



740-465-40

402

314.10

322.90

1.92

51.76

31.80

C

1,017

including


321.20

322.20

0.22

400.63

225.00



785-487-08

186

129.80

133.10

2.15

7.28

7.28

C

849

785-487-20

114

78.00

81.30

3.18

41.47

29.51

D1

746

including


79.50

81.30

1.73

73.79

51.85



785-487-21

111

76.50

81.60

4.81

7.33

7.33

D1

743

800-494-02

196

153.37

159.00

3.02

14.84

14.84

C

918

including


153.37

153.90

0.28

144.58

144.58



800-498-03

249

129.00

136.20

2.91

7.30

7.30

D1

910

820-519-01

165

132.80

135.11

2.16

99.55

10.80

X

797

including


134.17

134.48

0.29

731.32

225.00



820-520-04

174

156.80

171.00

6.62

45.70

22.58

C

860

including


157.43

158.63

0.56

498.59

225.00



820-520-10

198

169.60

179.40

6.63

31.83

27.50

C

876

including


169.90

171.90

1.35

127.38

106.17



820-520-11

195

155.00

162.30

5.34

24.50

24.50

C

860

including


155.00

155.60

0.44

214.97

214.97



820-520-12

252

207.60

213.00

4.40

6.97

6.97

C

925

820-520-12

252

216.70

221.00

3.50

7.39

7.39

X

930

840-504-01

180

154.20

157.40

2.64

12.46

12.46

X

871

840-504-08

186

114.00

123.00

6.31

15.76

11.00

C

868

including


117.60

117.90

0.21

367.92

225.00



840-504-08


135.00

138.80

2.86

95.39

10.33

B

873

including


136.40

137.00

0.45

598.72

60.00



840-504-08


160.70

167.70

5.61

15.44

12.51

G1

882

including


165.90

167.70

1.44

50.55

39.18



840-504-09

210

172.40

175.32

2.43

11.03

9.68

G

918

840-504-10

250

235.40

241.00

3.01

19.80

6.77

G

1,005

including


235.80

236.20

0.21

222.38

40.00



840-513-01

102

81.00

88.20

5.49

34.58

34.58

C

854

including


82.10

82.52

0.32

163.92

163.92



including


83.48

83.80

0.24

132.86

132.86



860-509-01

132

73.90

77.00

2.55

43.76

26.24

C

867

including


75.90

76.20

0.25

406.05

225.00



860-509-01


97.90

101.10

3.11

11.94

6.46

B

867

including


98.20

98.50

0.29

118.46

60.00



860-509-02

135

89.50

95.50

4.08

13.59

13.59

C

889

including


94.80

95.20

0.27

116.26

116.26



860-509-04

138

59.85

64.70

4.73

65.07

52.29

C

845

including


60.55

61.00

0.44

187.78

187.78



including


61.70

62.00

0.29

431.69

225.00



860-509-05

106

56.80

66.40

9.29

22.36

19.77

C

856

including


57.55

58.25

0.68

260.44

225.00



860-509-05

106

102.70

106.00

3.19

24.61

21.45

G

852

860-509-06

135

78.00

83.00

3.31

13.50

13.50

C

876

including


81.80

82.10

0.20

175.82

175.82



860-509-07

135

96.50

102.75

4.84

7.00

7.00

C

897

860-509-13

171

137.65

141.00

2.66

30.27

7.13

G

938

including


138.88

139.35

0.37

204.93

40.00



860-511-01

120

85.00

87.75

2.27

7.36

7.36

B

890

860-511-02

78

49.83

54.00

3.75

55.50

40.64

C

857

including


50.27

50.75

0.43

354.14

225.00



860-511-02


69.74

73.00

3.03

13.31

10.68

B

854

860-511-03

114

64.14

71.24

4.98

37.76

37.09

C

880

including


68.12

68.66

0.38

233.72

225.00



860-511-05

75

44.00

49.00

4.88

68.26

57.04

C

845

including


45.90

47.25

1.32

116.36

116.36



including


47.80

48.10

0.29

412.01

225.00



860-511-05


66.00

69.00

2.99

34.55

24.87

B

837

860-511-06

99

47.80

57.00

8.37

63.73

39.96

C

858

including


47.80

49.00

1.09

407.24

225.00



including


53.90

54.20

0.27

128.12

128.12



860-511-06


71.00

74.00

2.95

37.24

6.31

B

856

including


72.70

73.00

0.30

369.36

60.00



860-511-07

111

61.70

66.50

3.54

99.05

51.02

C

878

including


62.03

62.40

0.27

206.16

206.16



including


63.93

64.57

0.47

585.26

225.00



860-517-01


80.20

85.00

4.01

21.75

21.75

C

849

860-517-03

108

85.90

97.30

6.80

48.52

28.50

C

861

including


85.90

86.90

0.60

453.23

225.00



including


87.90

88.20

0.18

213.94

213.94



860-517-04

126

102.50

108.00

4.65

11.06

11.06

C

886

860-517-05

120

79.90

87.00

5.82

59.28

21.47

C

857

including


80.50

81.00

0.41

761.97

225.00



860-517-06

126

95.20

102.50

5.21

31.39

27.00

C

883

including


95.80

96.10

0.21

331.89

225.00



including


99.10

99.40

0.21

224.23

224.23



860-517-07

153

107.60

115.50

4.99

88.16

52.09

C

898

including


107.60

108.40

0.51

546.83

225.00



including


110.40

110.70

0.19

316.57

225.00



including


112.40

112.70

0.19

120.58

120.58



860-517-08

159

88.90

92.90

3.27

45.20

45.20

C

873

including


89.00

89.70

0.57

117.74

117.74



including


90.00

90.35

0.29

147.22

147.22



 

SOURCE Richmont Mines

For further information: Renaud Adams, President and CEO, Phone: 416 368-0291 ext. 101; Anne Day, Senior Vice-President, Investor Relations, Phone: 416 368-0291 ext. 105

RELATED LINKS
http://www.richmont-mines.com

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890