TORONTO, July 13, 2017 /CNW/ - Anaconda Mining Inc. ("Anaconda" or the "Company") - (TSX:ANX) is pleased to provide initial assay results for the recently announced drill program at the Argyle discovery ("Argyle"), located approximately 4.5 kilometres from the Company's fully-operational Pine Cove Mill and tailings facility at the Point Rousse Project, Newfoundland and Labrador.
Assays have been received for the first four drill holes of the eight-hole program, totaling approximately 1,000 metres. The Company has successfully expanded Argyle up to 100 metres down-dip in the northeast and demonstrated continuity of a higher-grade zone over a further 50 metres down-dip to the north than previously known (Exhibits A and B).
Assay highlights from the first four holes of the program include:
- 3.63 grams per tonne ("g/t") gold over 12.0 metres (58.0 to 70.0 metres) in hole AE-17-46;
- 3.22 g/t gold over 4.0 metres (45.0 to 49.0 metres) in hole AE-17-45;
- 1.56 g/t gold over 3.0 metres (77.0 to 80.0 metres) in hole AE-17-47; and
- 1.22 g/t gold over 4.0 metres (86.0 to 90.0 metres) in hole AE-17-48.
Drill hole AE-17-46 (3.63 g/t gold over 12.0 metres) is located 50 metres down-dip from previously reported hole AE-16-40 (5.52 g/t gold over 15.0 metres (34.0 to 49.0 metres)) and drill hole AE-17-45 is located 40 metres up-dip from previously reported hole AE-16-33 (2.91 g/t gold over 12.1 metres (68.3 to 80.4 metres)). Drill holes AE-17-47 and 48 are located 50 and 100 metres, respectively, down-dip of hole AE-16-33. Argyle remains open for expansion and the assay results for the remaining four holes in this 1,000-metre program are pending.
President and CEO, Dustin Angelo, states; "The Company continues to outline a strong gold-bearing system at Argyle that is open for further expansion. We expect additional drilling to further define the extent and distribution of higher-grade thick zones at Argyle. Based on our exploration work to date, and planned infill drilling, we expect to publish an NI 43-101 compliant resource and see the potential to bring Argyle into the production profile at Point Rousse in the medium term."
Objective of 1,000-Metre Drill Program
The 1,000-metre drill program is testing continuity of two higher-grade zones of mineralization with thicknesses ranging between 6.0 and 15.0 metres. These two zones are down-dip to the north and located in the northern and eastern parts of the drilling area (Exhibit A). The easternmost higher-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 g/t and 5.52 g/t gold. The northernmost higher-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.
Overview of Previous Exploration Work at Argyle
Since initial trenching and two phases of diamond drilling at Argyle, Anaconda has discovered a shallow-dipping, near-surface (less than 100 vertical metres), mineralized gold system with a strike length of over 600 metres and a down-dip extension to at least 225 metres. Argyle remains open both along strike and down-dip. A complete list of previous drill results can be found in press releases dated January 18, 2017 and October 12, 2016.
Highlights from the previous drilling include:
- 5.52 grams per tonne ("g/t") gold over 15.0 metres (34.0 to 49.0 metres) in hole AE-16-40;
- 9.31 g/t gold over 6.0 metres (86.8 to 92.8 metres) in hole AE-16-39;
- 2.95 g/t gold over 15.0 metres (94.0 to 109.0 metres) in hole AE-16-43; and
- 2.91 g/t gold over 12.1 metres (68.3 to 80.4 metres) in hole AE-16-33.
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.
Mineralized intervals are reported as drill intersections and are apparent widths only. Apparent widths reported in this press release are estimated to be approximately 80 – 100% of true widths.
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 Mining is a TSX listed gold mining, exploration and development company, focused in the prospective Atlantic Canadian provinces of Newfoundland and Nova Scotia. The Company operates the Point Rousse Project located in the Baie Verte Mining District in Newfoundland, Canada, comprised of the Pine Cove open pit mine, the fully-permitted Pine Cove Mill and tailings facility, a new gold discovery referred to as Argyle, and approximately 6,300 hectares of prospective 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 to leverage existing infrastructure, including the Viking and Great Northern Projects and the Tilt Cove Property in Newfoundland.
This document contains or refers to forward-looking information. Such forward-looking information includes, among other things, statements regarding targets, estimates and/or assumptions in respect of future production, mine development costs, unit costs, capital costs, timing of commencement of operations and future economic, market and other conditions, and is based on current expectations that involve a number of business risks and uncertainties. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to: the final approval of the private placement by the Toronto Stock Exchange; the grade and recovery of ore which is mined varying from estimates; capital and operating costs varying significantly from estimates; inflation; changes in exchange rates; fluctuations in commodity prices; delays in the development of the any project caused by unavailability of equipment, labour or supplies, climatic conditions or otherwise; termination or revision of any debt financing; failure to raise additional funds required to finance the completion of a project; and other factors. Additionally, forward-looking statements look into the future and provide an opinion as to the effect of certain events and trends on the business. Forward-looking statements may include words such as "plans," "may," "estimates," "expects," "indicates," "targeting," "potential" and similar expressions. These forward-looking statements, including statements regarding Anaconda's beliefs in the potential mineralization, are based on current expectations and entail various risks and uncertainties. Forward-looking statements are subject to significant risks and uncertainties and other factors that could cause actual results to differ materially from expected results. Readers should not place undue reliance on forward-looking statements. These forward-looking statements are made as of the date hereof and we assume no responsibility to update them or revise them to reflect new events or circumstances, except as required by law.
Cautionary Note to U.S. Investors Regarding Mineral Reporting
The parties prepare their disclosure in accordance with the requirements of the securities laws in effect in Canada, which differ from the requirements of United States securities laws. Terms relating to mineral resources in this press release are defined in accordance with Canadian National Instrument 43-101 ("NI 43-101") and the Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM") — CIM Definition Standards on Mineral Resources and Mineral Reserves, adopted by the CIM Council, as amended, which standards differ significantly from the disclosures permitted by the United States Securities and Exchange Commission requirements and terminology set forth in SEC Industry Guide 7. Accordingly, information contained in this press release and the public filings of the parties containing descriptions of mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements under the United States federal securities laws and the rules and regulations thereunder.
SOURCE Anaconda Mining Inc.
For further information: Anaconda Mining Inc., Dustin Angelo, President and CEO, (647) 260-1248, [email protected], www.AnacondaMining.com; Anaconda Mining Inc., Lynn Hammond, VP Public Relations, (709) 330-1260, [email protected]