TORONTO, June 22, 2017 /CNW/ - Anaconda Mining Inc. ("Anaconda" or the "Company") (ANX: TSX) is pleased to announce the commencement of exploration and development activities on the Company's Goldboro Project in the Province of Nova Scotia. The recently acquired Goldboro Project currently contains a Measured and Indicated Mineral Resource of 457,400 gold ounces at a grade of 5.57 g/t Au (2,556,000 tonnes) and an Inferred Mineral Resource of 372,900 gold ounces at a grade of 4.35 g/t Au (2,669,000 tonnes)(2.0 g/t Au cut-off, see press release of March 3, 2017).
The initial exploration and development programs will provide various data required to advance permitting, metallurgical evaluations and economic modeling, culminating in the publishing of a Preliminary Economic Assessment ("PEA") by the end of the year. Initial programs, which are underway, include:
- Diamond drilling to test historic areas of drilling in the core of the deposit and to collect samples necessary for metallurgical test work;
- Ore characterization and metallurgical test work including crushing and grinding characterization, gravity, floatation and leachability and acid rock drainage testing;
- Environmental baseline studies including wildlife, fauna, and aquatic surveys, MEKS (Mi'kmaq ecological knowledge study) and archeological studies;
- Optimization of the Goldboro Resource to mirror the development plan;
- Government and community consultations including meetings with the Federal and Provincial Governments, Mi'kmaq First Nations and community organizations;
- Geotechnical investigations including rock and surface quality to support open pit, underground and waste dump designs;
- Transportation costing associated with various development scenarios.
As part of this process, Anaconda will review opportunities to leverage existing operating expertise and fully-owned infrastructure at the Company's Point Rousse operation in Newfoundland, which currently comprises a 1,300-tonne per day mill, tailings capacity for approximately 15 years (based on the current mill throughput rate) and a tide-water port facility. The Goldboro Project is connected to a tide-water wharf via a 2-kilometre road. Leveraging tide water access at both sites has the potential to reduce upfront capital requirements and expedite the development timeline.
Dustin Angelo, President and CEO of Anaconda, said, "We have built a scalable platform for growth with an existing mill facility, significant tailings capacity and a fully-owned port facility at Point Rousse. The initial exploration and development programs will support our strategy of leveraging our existing expertise and infrastructure, through detailed technical and economic studies. These initial programs will support the Company's aim to publish a PEA by the end of 2017, which we believe will reinforce Anaconda's vision that Goldboro can provide, near-term, high value to Anaconda shareholders as well as stakeholders in both Nova Scotia and Newfoundland and Labrador."
Gordana Slepcev, Anaconda's Chief Operating Officer and a qualified person pursuant to National Instrument 43-101, has reviewed and approved the scientific and technical data contained in this press release.
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, Stog'er Tight Mine, the newly discovered Argyle prospect, 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, firstname.lastname@example.org, www.AnacondaMining.com; Anaconda Mining Inc., Lynn Hammond, VP Public Relations, (709) 330-1260, Lhammond@anacondamining.com