TORONTO, June 27, 2017 /CNW/ - Anaconda Mining Inc. ("Anaconda" or the "Company") - (TSX:ANX) is pleased to announce the commencement of a diamond drill program at its Argyle discovery ("Argyle"), located approximately 4.5 kilometres from the Company's fully-operational mill and tailings facility at the Point Rousse Project, Newfoundland and Labrador. Since initial trenching and diamond drilling in 2016 at Argyle, Anaconda has discovered a shallow-dipping, near-surface (less than 100 metres), mineralized gold system with a strike length of over 600 metres and a down-dip extension to at least 225 metres (See Exhibit A: Argyle Prospect Drill Plan). Argyle remains open both along strike and down-dip.
Highlights from the previous drill program 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.
The Argyle drill program will focus on 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 are 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 strike of this zone is at least 150 metres and is still open for expansion. 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. A complete list of previous drill results can be found in press releases dated January 18, 2017 and October 12, 2016.
The current drill program consists of approximately 1,000 metres of drilling in 10 holes and will form part of a larger planned exploration program in 2017 at Argyle that will include additional infill, expansion and exploration drilling. Several other exploration targets with similar geophysical and geological characteristics to Argyle are in the greater Argyle area and will be drill-tested to determine if there are multiple mineralized zones.
President and CEO, Dustin Angelo, states; "Anaconda is targeting Argyle to be the continuation of gold production locally around the Pine Cove Mill, after it has finished mining at the Pine Cove pit and mined portions of the Stog'er Tight Mine. Subsequent to this drill program, we plan to initiate a more robust infill and expansion drilling program later in 2017 to build upon our previous results and demonstrate an NI 43-101 compliant resource. We have already done some internal resource modeling, preliminary planning activities and begun permitting activities with the intent of adding Argyle to our production profile in the future."
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 were 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.
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, [email protected]; Anaconda Mining Inc., Lynn Hammond, VP Public Relations, (709) 330-1260, [email protected]; www.AnacondaMining.com