TORONTO, Nov. 16, 2015 /CNW/ - Anaconda Mining Inc. ("Anaconda" or the "Company") – (TSX: ANX) is pleased to announce that on October 25th, it initiated a targeted exploration program at the Point Rousse Project primarily aimed at expanding the Mineral Resources associated with the deposits meant to extend the baseload production profile of the project. The Company's initial goal is to extend the life of the Point Rousse Project to over 10 years at its current production rate using the Pine Cove and Stog'er Tight deposits as its source. To that end, Anaconda developed this targeted program that consists of 1,000 metres of diamond drilling at the Pine Cove deposit and 1,000 metres of trenching at the Stog'er Tight deposit. The Company also plans to trench 300 metres at the Argyle zone to build upon the early success of the new discovery. The results of the exploration program are expected by the end of January.
Drilling at the Pine Cove deposit is focused on the southern margins of the mine in an area known as Pine Cove Pond (Exhibit A). The goal of the drill program is to expand near-surface Mineral Resources at the Pine Cove mine adjacent to the current ultimate pit design. Geological and geophysical data indicate that the Pine Cove Pond area may contain the easterly and westerly continuation of the southern portion of the Pine Cove deposit.
Trenching adjacent to the recently announced Mineral Resource at Stog'er Tight (see press release dated October 22, 2015) is focused on the East and West zones as well as the Gabbro zone, East Gabbro zone and South zone (Exhibit B). The goal of the program is to verify the accuracy of historical results and to test the down-dip and along-strike extents of the surface mineralization adjacent to and contiguous with the Stog'er Tight deposit. Anaconda will be testing the hypotheses that the East and West zones are extensions of the Stog'er Tight deposit and that the Gabbro, East Gabbro and South zones are more extensive than previously known.
President and CEO, Dustin Angelo, states, "Following the recent resource estimates for Pine Cove and Stog'er Tight, our primary exploration goal continues to be the expansion of these deposits to ultimately meet our objective of demonstrating ten years of future production within the overall Point Rousse Project. This current program is the next step on our path to reaching that target. We have prioritized these areas because they have the potential to be fast-tracked to production, given our existing mine and mill infrastructure at Pine Cove and recently acquired mining permits and environmental release at Stog'er Tight."
Anaconda also plans to trench the Argyle zone (Exhibit C) to ascertain the general trend and dip of the zone. The Company would like to acquire the requisite mapping and geochemical data prior to launching a more aggressive exploration campaign. Trenching is expected to determine if the two areas of mineralization that were originally discovered in the Argyle zone (separated by approximately 200 metres) (see press release from January 8, 2015) are part of a single mineralized system.
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.
Headquartered in Toronto, Canada, Anaconda is a growth oriented gold mining and exploration company with a producing project, called the Point Rousse Project, and approximately 6,300 hectares of exploration property on the Ming's Bight Peninsula located in the Baie Verte Mining District in Newfoundland, Canada. Since 2012, Anaconda has increased its property control by ten-fold. It is currently exploring three primary prospective gold trends which have approximately 20 kilometres of cumulative strike length and include four deposits and numerous prospects and showings, all within 8 kilometres of the Pine Cove mill. The Company's plan is to discover and develop more resources within the project area and double annual production from its current rate of approximately 15,000 ounces to 30,000 ounces.
FORWARD LOOKING STATEMENTS
This document contains or refers to forward-looking information. Such forward-looking information includes, among other things, statements regarding growth and is based on current expectations and assumptions of management that involve a number of business risks and uncertainties. Factors that could cause actual results to differ materially from any forward-looking statements include, but are not limited to: the expectations of the Company in expanding Mineral Resources and project mine life and the timing thereof, current and future market trends and growth opportunities and whether the Company will be able to capitalize upon them. Forward-looking statements may include words such as "plans," "may," "estimates," "expects," "indicates," "targeting," "potential" and similar expressions. These forward-looking statements are based on current expectations and are subject to significant risks and uncertainties, including the risks factors outlined in the Company's latest annual information form and other continuous disclosure documents filed at www.sedar.com, 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 the Company assumes no responsibility to update them or revise them to reflect new events or circumstances, except as required by law.
SOURCE Anaconda Mining Inc.
Image with caption: "Exhibit A - Figure 1. A map of the Pine Cove mine highlighting the Pine Cove Pond area planned for the fall exploration program. The pit is approximately 300 metres across. The Pine Cove mineral resource is shown in green. (CNW Group/Anaconda Mining Inc.)". Image available at: http://photos.newswire.ca/images/download/20151116_C5961_PHOTO_EN_545319.jpg
Image with caption: "Exhibit B - Figure 2. A geological map of the Stog'er Tight area showing the approximate outline of the Stog'er Tight mineral resource and other prospects in the immediate area of the deposit. The black ellipses indicate areas that will be trenched as part of the fall exploration program. (CNW Group/Anaconda Mining Inc.)". Image available at: http://photos.newswire.ca/images/download/20151116_C5961_PHOTO_EN_545317.jpg
Image with caption: "Exhibit C - Figure 3. A map showing the Argyle zone, channel sample results announced earlier this year, and the area of planned trenching, mapping and sampling (shown by the ellipses) as part of the fall exploration program. (CNW Group/Anaconda Mining Inc.)". Image available at: http://photos.newswire.ca/images/download/20151116_C5961_PHOTO_EN_545315.jpg
For further information: Anaconda Mining Inc., Dustin Angelo, President and CEO, (647) 260-1248, Email: [email protected]; Kingston Advisors, (212) 796-5290, Email: [email protected]; Company website: www.anacondamining.com