VANCOUVER, Nov. 15, 2011 /CNW/ - Gitennes Exploration Inc. (TSXV-GIT) ("Gitennes") is pleased to announce that it has received an initial
mineral resource estimate for the Urumalqui Vein Zone at the Urumalqui
silver-gold exploration project located in north-central Peru. The
resource estimate was prepared on behalf of Gitennes and AndeanGold
Ltd. ("AndeanGold"), which has an option to earn a 60% interest in the
Summary of Inferred Mineral Resource Estimate - Urumalqui Project
Mineral Resources are not Mineral Reserves and do not have demonstrated
economic viability. There is no certainty that all or any part of the
estimated Mineral Resources will be converted into Mineral Reserves.
The mineral resource was estimated in accordance with the Canadian
Institute of Mining, Metallurgy and Petroleum ("CIM"), CIM Standards on
Mineral Resources and Reserves, Definitions and Guidelines prepared by
the Standards Committee on Reserve Definitions and adopted by the CIM
Council on December 11, 2005.
Inferred Mineral Resources are that part of a Mineral Resource for which
quantity and grade can be estimated on the basis of geological evidence
and limited sampling and reasonably assumed, but not verified,
geological and grade continuity. It is uncertain if further exploration
will result in upgrading them to an indicated or a measured mineral
Mineral Resources tonnage and contained metal have been rounded to
reflect the accuracy of the estimate, and numbers may not add up due to
The Estimate is based on 66 diamond drill holes collared on the
Urumalqui Vein. These included 35 holes (5,835 metres) drilled by
Minera Corimalqui S.A. (a subsidiary of Gitennes) during the period
2003 - 2008, and 31 holes (5,071 metres) drilled by PeruGold Resources
S.A.C. (a subsidiary of AndeanGold) in 2011.
The density utilized in the mineral resource estimate was 2.37 tonnes
per cubic metre.
Equal length one-metre assay sample composites were calculated from
capped assay gold and silver values for all drill holes. Based upon
geostatistical results, capping levels were determined to be 850 g/t
silver and 8.6 g/t gold.
A modeling cut-off grade of 60 g/t AgEQ ("silver equivalent") was only
used to create a three-dimensional assay domain solid (the "Domain")
for later interpolation. The silver equivalent grade was calculated
based on a combination of a gold value at a 3-year trailing average
price of US $1,300 / troy oz and 85% metallurgical recovery rate, and a
silver value at a 3-year trailing average price of US $26 / troy oz and
65% metallurgical recovery rate.
A block model was created with 5x5x5 metre blocks. Mineral resources
were classified as Inferred within a maximum true distance of 70 metres
from an interpolated block to the nearest capped grade composite sample
The mining cut-off grade of 90 g/t Ag for the estimated inferred mineral
resource was based upon reported mining operation cut-off grades for
similar gold-silver vein deposits currently in production elsewhere in
Peru and South America.
The Inferred Mineral Resource was estimated using GEMS software.
Qualified Persons & Technical Report
The Inferred Mineral Resource Estimate announced in this release, with
an effective date of November 8, 2011, meets the guidelines and form as
set out in NI 43-101 and was prepared for AndeanGold Ltd. and Gitennes
Exploration Inc. by Mine and Quarry Engineering Services, Inc.
("MQes"). The assignment was carried-out by Mr Chris Kaye, FAusIMM,
B.Eng Chemical, President and Principal Process Engineer, the modelling
and estimates were carried out by Mr Doug Blanchflower, P.Geo of
Minorex Consulting Limited and Mr. James McCrea, P.Geo. Messrs. Kaye,
Blanchflower and McCrea are all qualified persons as defined under NI
43-101 reporting requirements and have consented to applicable
disclosure contained herein regarding the Inferred Mineral Resource
Estimate. MQes, Minorex, and Messrs. Kaye, Blanchflower and McCrea are
independent of both AndeanGold and Gitennes.
MQes is preparing the NI43-101 Technical Report in support of the
Resource Estimate. This report will be filed by the company in its
entirety on SEDAR (www.sedar.com) within 45 days of the date of this news release.
AndeanGold has an option to acquire a 60% interest in the Urumalqui
Project from Gitennes. The subject of this initial Inferred Resource
Estimate is the principal target on the property, the "Urumalqui Vein",
a continuous structure containing one to two quartz-adularia veins
within a envelope of altered and variably mineralized volcanic rock.
The near-vertical Urumalqui Vein structure is exposed at surface over a
strike length of 1,500 metres, is from 0.5 to 11 metres wide (averaging
3 metres). Mineralogy, rock textures and associated alteration are
characteristic of low-sulphidation, epithermal mineralization.
Mineralization at the Urumalqui Project is hosted in Calipuy Group
The exploration potential at the Urumalqui Project remains very good.
The Urumalqui Vein has only six drill holes that intersected the
structure below 200 metres, all mineralized, while the northwestern end
has only widely-spaced, near-surface holes that are too shallow to
properly test the extension in this direction. The southeastern limit
of the zone has yet to be determined, with two holes there encountering
grades and thicknesses that are included within the Inferred Resource
Estimate. The Urumalqui Vein itself is just one of several targets on
the property. Earlier work at Urumalqui recognized two dominant vein
orientations - a NW to SE set that includes the Urumalqui Vein, La
Mariscala West Vein, La Mariscala South Vein, and the Penélope Vein,
and an east to west set that includes La Mariscala East Vein, Candual
East Vein, the Candual West vein zone, and the Candual Vein. These
other veins are all located south of the Urumalqui Vein and have had
little exploration drilling.
The majority of Gitennes' drilling programmes (2003 - 2008) was focused
on the Urumalqui Vein (35 core holes, 5,835 metres) and in particular
the 1,000 metre long central and southeastern segment of the main
Urumalqui Vein (27 core holes,4,884 metres) and from the surface down
to about 200 metres vertical depth. Based upon vein textures all holes
are in the "boiling zone" indicating that the potential for expansion
is considered to be good.
AndeanGold completed its Phase I drill programme in July 2011.
AndeanGold's programme was focused on infill drilling to a depth of 200
metres so as to provide a drill spacing of approximately 50 metres
along the central and southeastern segments of the Urumalqui Vein
structure. This programme included 31 core holes for a total meterage
of 5,071 metres. All 31 holes intersected the Urumalqui Vein as
predicted in cross sections prepared by the Company. Including
Gitennes' related drilling results, the programme confirmed good
continuity of mineralization for the subject 1,000 metre Urumalqui Vein
strike, down to 200 metres below surface.
The technical information in this release has been reviewed by J.
Blackwell (P.Geo.), a Qualified Person as defined by National
Please refer Gitennes' website at www.gitennes.com for further information on the Company's projects and activities.
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
DISCLAIMER: This news release includes certain statements, other than
historical information, that may be deemed "forward-looking
statements". All statements in this release, other than statements of
historical facts, including, without limitation, statements regarding
future plans and objectives of the companies are forward-looking
statements that involve various risks and uncertainties. Although
Gitennes believes the expectations expressed in such forward-looking
statements are based on reasonable assumptions, such statements are not
guarantees of future performance and actual results or developments may
differ materially from those in the forward-looking statements.
Forward-looking statements are based on a number of material factors
and assumptions. Factors that could cause actual results to differ
materially from those in forward-looking statements include general
economic, market or business conditions, and other risks detailed
herein and from time to time in the filings made by the companies with
securities regulators. Mineral exploration and development of mines is
an inherently risky business. Accordingly the actual events may differ
materially from those projected in the forward-looking statements.
Historical information necessarily is not current and is provided for
your reference only. No warranty whatsoever is made that any of the
historical information is accurate, precise, or up-to-date. For more
information on Gitennes and the risks and challenges of their
businesses, investors should review their annual filings that are
available at www.sedar.com.
This press release does not constitute an offer to sell or a
solicitation to buy any of the securities of Gitennes in the United
SOURCE Gitennes Exploration Inc.
For further information:
Jerry Blackwell, President
604 682 7970