- Successful extraction and mill reconciliation of 17,540 tonnes at 9.01 g/t with 97.4% recovery rate for 4,948 ounces of gold produced
TORONTO, Jan. 27, 2015 /CNW/ - St Andrew Goldfields Ltd. (TSX-SAS) (OTCQX-STADF), ("SAS" or the "Company") is pleased to announce the preliminary results of the second bulk sample from its wholly owned Taylor Advanced Exploration Project.
Preliminary Highlights Second Bulk Sample
- 17,540 tonnes extracted from the 1004 lens and processed at the Holt Mill
- Mill reconciled head grade of 9.01 g/t of Au in comparison to the geologically forecasted head grade of 7.20 g/t
- Mill recovery rate of 97.4% was 2.4% higher than originally anticipated recovery rate of 95%
- Final evaluation of the sample tower program expected by middle of February 2015
Note: The above figures are preliminary in nature and are being verified by 106 representative samples from the 2nd bulk sample. These samples were collected using a sample tower prior to processing of the material and are currently being analyzed by a third party.
"We are extremely pleased with the results of the second bulk sample at Taylor", said Duncan Middlemiss, President and CEO of SAS. "We are waiting for the final evaluation of our sampling tower program by a third party; however, these results from the mill reconciliation are compelling. The head grade of 9.01 g/t is 25% higher than the geological head grade forecast of 7.20 g/t, and the recovery rate of 97.4% exceeds the anticipated recovery rate of 95%. The sample mining of the 1004 Lens was a representative sample. Material was extracted through drifting and longhole mining methods, which would be the core methods to mine this deposit successfully. We look forward to providing another update later in the current quarter once a full report of the bulk sample has been compiled."
Drilling, Assaying and QA/QC
Underground drilling was conducted by Azimut Boreal Drilling Services Inc. Analytical work for the drill core from the Taylor Project was performed by AGAT Laboratories, an accredited lab located in Mississauga, Ontario. Gold analysis was conducted using an industry standard Pulp metallic assay technique. Chip samples and muck samples were collected by SAS geological personnel for all underground drift faces and backs. Analytical work for the underground samples was performed by SGS Laboratories using a fire assay preparation and gravimetric gold analysis. SGS Laboratories located in Cochrane, Ontario is an accredited lab.
Mine development and evaluation activities at Taylor and processing at the Holt Mill are being conducted under the supervision of Marc-Andre Pelletier, P. Eng., the Company's General Manager of Operations. Mr. Pelletier is a qualified person as defined by National Instrument 43-101, and has reviewed and approved this news release.
The exploration programs on the Company's various mineral properties, including Taylor, are under the supervision of Doug Cater, P. Geo, the Company's VP of Exploration. Mr. Cater is a qualified person as defined by NI 43-101, and has reviewed and approved this news release.
SAS (operating as "SAS Goldmines"), is a gold mining and exploration company with an extensive land package in the Timmins mining district, north-eastern Ontario, which lies within the Abitibi greenstone belt, the most important host of historical gold production in Canada.
SAS owns and operates the Holt and Holloway mines. The Company is also advancing the Taylor Project and is conducting various exploration programs across 120km of land straddling the Porcupine-Destor Fault Zone.
This news release contains forward-looking information and forward-looking statements (collectively, "forward-looking information") under applicable securities laws, concerning the Company's business, operations, financial performance, condition and prospects, as well as management's objectives, strategies, beliefs and intentions. Forward-looking information is frequently identified by such words as "may", "will", "plan", "expect", "estimate", "anticipate", "believe", "intend" and similar words referring to future events and results, including in respect of the completion of a full report of the bulk sample program at Taylor, its evaluation by an independent party and the timing thereof and the proposed mining methods at Taylor.
This forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied by the forward-looking information. Factors that may cause actual results to vary materially include, but are not limited to, unanticipated operational or technical difficulties which could increase the time necessary to complete the exploration and development initiatives, escalate operating and/or capital costs and reduce anticipated production levels; uncertainties relating to the interpretation of the geology, continuity, grade and size estimates of the mineral reserves and resources; the Company's dependence on key employees and changes in the availability of qualified personnel; fluctuations in gold prices and exchange rates; operational hazards and risks, including the inability to insure against all risks; changes in laws and regulations; and changes in general economic conditions. Such forward looking information is based on a number of assumptions, including in respect of the ability to achieve operating cost estimates, the level and volatility of the price of gold, the accuracy of reserve and resource estimates and the assumptions on which such estimates are based, the sufficiency of the Company's cash flow and financial reserves to carry out its planned exploration programs, the ability to attract and retain qualified personnel to conduct its exploration programs and operate its mines and general business and economic conditions. Should one or more risks and uncertainties materialize or should any assumptions prove incorrect, then actual results could vary materially from those expressed or implied in the forward-looking information. Accordingly, readers are cautioned not to place undue reliance on this forward-looking information. SAS does not assume the obligation to revise or update this forward-looking information after the date of this release or to revise such information to reflect the occurrence of future unanticipated events, except as may be required under applicable securities laws. A further description of the risks and uncertainties facing the Company may also be found in the Company's Annual Information Form available on SEDAR at www.sedar.com.
SOURCE St Andrew Goldfields Ltd.
For further information: about St Andrew Goldfields Ltd., please contact: Tel: 1-800-463-5139 or (416) 815-9855; Fax: (416) 815-9437; Website: www.sasgoldmines.com; Keyvan Salehi, P. Eng., MBA, Senior Director, Corporate Development and Technical Services, [email protected]; Duncan Middlemiss, P. Eng., President & CEO, [email protected]; Ben Au, CFO, VP Finance & Administration, [email protected]