Continental Gold Inc. (TSX:CNL; OTCQX:CGOOF) has just announced high-grade channel sampling assay results from eight development drifts being prepared as part of the underground construction at its fully owned Buriticá project in Antioquia, Colombia. Development of the Buriticá project remains on schedule with first gold pour anticipated in the first half of 2020.
New channel sampling results, from underground development drifts being evaluated for stope design in three areas of the Buriticá project currently under preparation for mine start-up in 2020, have returned high grades of gold and silver over significant strike lengths in both the Yaraguá and Veta Sur systems, with results as follows:
o 31 meters @ 24.09 g/t gold and 76.22 g/t silver at 2.26 meters width
o 35 meters @ 18.26 g/t gold and 104.70 g/t silver at 2.24 meters width
o 35 meters @ 14.24 g/t gold and 56.81 g/t silver at 2.25 meters width
o 45 meters @ 10.60 g/t gold and 124.36 g/t silver at 2.25 meters width
o 46 meters @ 10.07 g/t gold and 25.35 g/t silver at 2.24 meters width
o 10 meters @ 58.55 g/t gold and 85.78 g/t silver at 2.24 meters width
o 32 meters @ 9.46 g/t gold and 88.26 g/t silver at 2.21 meters width
o 19 meters @ 9.53 g/t gold and 10.44 g/t silver at 2.23 meters width
o 51 meters @ 8.61 g/t gold and 41.47 g/t silver at 2.25 meters width
The weighted average gold grade of all new development drifts announced in Continental’s statement measures 13.59 g/t gold over 329 meters strike length. Remarkable continuity and consistent gold-grades were observed in areas of interest along all development drifts, with total drift sampling in these areas measuring 329 meters strike length. Face channel sampling in the drifts often include gold mineralization that extends beyond the width of the development drift, indicating potential for broader mineralization.
Lateral underground development for the project continues to be ahead of schedule, with more than 1,000 meters per month being achieved consistently and is expected to remain at a similar pace into production in 2020.
“Underground development continues at a very brisk pace with drifting occurring at a range of elevations in both the Yaraguá and Veta Sur systems. High-grades of both gold and silver are being observed in the vast majority of drifts on mineralization in both vein systems and at all elevations. There continues to be a backlog of samples in the lab and we look forward to receiving additional assay results on a regular basis throughout the year,” said CEO Ari Sussman.
Assay results have been received for channel sampling results of eight development drifts totaling 329 meters strike length. Four of the development drifts are located in each of the Yaraguá and Veta Sur systems respectively.
Located in the central part of the Yaraguá system at an elevation of 1,444 meters, drifting along mineralization from Cross-Cut 5 advances at a rapid pace. The northern-most drift from the cross-cut continues to move eastward with remarkable continuity and high-grade mineralization being observed (Figure 1), with assay results as follows:
- 31 meters @ 24.09 g/t gold and 76.22 g/t silver at 2.26 meters width
Located in the eastern portion of the Yaraguá system at an elevation of 1,425 meters, Cross-Cut 7 continues to advance from the south to the north on schedule with multiple east-west trending drifts in development. Along the southern portion of the cross-cut, a drift moving westward has intersected high grade mineralization (Figure 2) with results as follows:
- 46 meters @ 10.07 g/t gold and 25.35 g/t silver at 2.24 meters width
Further north along the same cross-cut, another east-west drift has been advanced with high-grade mineralization being observed to both the east and west of the cross-cut (Figure 3), with assay results as follows:
- 45 meters @ 10.60 g/t gold and 124.36 g/t silver at 2.25 meters width
- 51 meters @ 8.61 g/t gold and 41.47 g/t silver at 2.25 meters width
At a shallower elevation, an old mine working is being widened and advancing to the west (Figure 3). High-grade mineralization has been encountered over a short interval in drift development and remains open, with assay results as follows:
- 10 meters @ 58.55 g/t gold and 85.78 g/t silver at 2.24 meters width (elevation of 1,441 meters)
Veta Sur System
At an elevation of 1,611 meters, two drifts are rapidly advancing in the western portion of the Veta Sur system (Figure 4). The northern-most drift has encountered high-grade mineralization, with assay results as follows:
- 35 meters @ 18.26 g/t gold and 104.70 g/t silver at 2.24 meters width
At the same elevation but slightly further to the south (Figure 4), high-grade mineralization has been encountered, with results as follows:
- 32 meters @ 9.46 g/t gold and 88.26 g/t silver at 2.21 meters width
At an elevation of 1,179 meters, two parallel drift are advancing (two headings to the west and one heading to the east) from Cross-cut 8 in the central portion of the Veta Sur system (Figure 5). High-grade mineralization has been encountered in these drifts, with assay results from channel sampling as follows:
- 19 meters @ 9.53 g/t gold and 10.44 g/t silver at 2.23 meters width
- 25 meters @ 5.60 g/t gold and 44.84 g/t silver at 2.21 meters width
- 35 meters @ 14.24 g/t gold and 56.81 g/t silver at 2.25 meters width
Additional stope drifts at various elevations are currently being developed for both the Yaraguá and Veta Sur systems; once channel sampling assay results are received and evaluated, they will be released in a timely manner.
Geological Description of the Buriticá Project
Continental’s 100%-owned, 75,604-hectare (186,822 acre) project, named Buriticá for the nearby town, contains several known areas of high-grade gold and silver mineralization, of base metal carbonate-style (“Stage I”) variably overprinted by texturally and chemically distinctive high-grade (“Stage II”) mineralization. The two most extensively explored of these areas (the Yaraguá and Veta Sur systems) are central to this land package. The Yaraguá system has been drill-outlined along 1,350 meters of strike and 1,800 vertical meters and partially sampled in underground developments. The Veta Sur system has been drill-outlined along 1,300+ meters of strike and 1,800 vertical meters and has been partially sampled in underground developments. Both systems are characterized by multiple, steeply-dipping veins and broader, more disseminated mineralization and both remain open at depth and along strike, at high grades.