Vancouver based GoldMining Inc. (TSX: GOLD; OTCQX: GLDLF) has completed its indirect acquisition of the Yarumalito Gold Project located in Antioquia, Colombia. A GoldMining indirect subsidiary paid $200,000 CAD in cash and delivered 1,118,359 newly issued common shares of Goldmining to Newrange Gold Corp. in consideration for the project. In addition, Goldmining’s subsidiary granted the vendor a 1% net smelter returns royalty, which can be re-purchased by it at any time before the completion of a feasibility study on the project in consideration for $1,000,000.
The GoldMining shares issued under the transaction are subject to a four month and one day hold period and certain additional ongoing resale restrictions pursuant to the terms of the agreement.
Yarumalito is located approximately 75 km southwest of the city of Medellin in the Department of Antioquia in Central Colombia and approximately 40 km south of GoldMining’s La Mina Project (Fig. 1). The project is comprised of one concession for a total area of approximately 3,590 acres. Nearby projects include Anglogold Ashanti Limited’s advanced-stage Nuevo Chaquiro copper-gold project and Gran Colombia Gold Corp.’s Marmato Gold Mine. The project is accessible by paved road with nearby high-capacity power lines, water and labor.
The project is largely underlain by volcano-sedimentary rocks of the Miocene Combia Formation and comagmatic intrusive bodies of intermediate composition. Gold-copper porphyry stockwork mineralization is spatially related to the intrusive bodies with younger, intermediate sulphidation epithermal veins cross-cutting the porphyry mineralization.
Newrange has disclosed that exploration programs by Newrange and their senior mining company partners from 2008 to 2013 outlined several geophysical and geochemical anomalies across the property including the Obispo, La Suiza, Balastreras, Escuela, El Guaico and El Sucre targets. Diamond drill programs (18,540 m in 55 holes) during that period primarily focused on the Balastreras-Escuela mineralization, which has a surface projection of approximately 1,700 m by 400 m and is intersected in drill holes and underground workings to a depth of 600 m (Table 1).
Table 1: Selected historic drill intersections from the Balastreras-Escuela targets.
|Drill Hole||From |
|Interval (m)||Gold |
|YAR-11||0||141.4||141.4||0.77||0.09||Assays capped at 10 g/t gold|
|Including||55.5||141.4||85.9||1.02||0.08||Assays capped at 10 g/t gold|
GoldMining has not completed sufficient work to verify these exploration and drilling results, however Goldmining believes the historical exploration work is relevant to any future exploration and as an indication of the potential of the Project. A technical report was completed prior to these exploration programs for Newrange by Richard J. Thompson of Thompson Consulting titled “Yarumalito Project Technical Report” with an effective date of November 30, 2006.
GoldMining has engaged an independent qualified person to, among other things, complete a technical report for GoldMining on the project, including verifying historic exploration results and completing a resource estimate for the project.
GoldMining expects future exploration programs will look to expand mineralization outlined at the Balastreras-Escuela targets and drill test the four additional geophysical and geochemical anomalies.
Paulo Pereira, President of GoldMining Inc. has reviewed and approved the technical information contained in this news release. Mr. Pereira holds a Bachelor degree in Geology from Universidade do Amazonas in Brazil, is a Qualified Person as defined in National Instrument 43-101 and is a member of the Association of Professional Geoscientists of Ontario.
Figure 1: Yarumalito Project location and other active exploration projects and mines in the Mid Cauca Belt of central Colombia. (CNW Group/GoldMining Inc.)
GoldMining Inc. is a public mineral exploration company focused on the acquisition and development of gold assets in the Americas. GoldMining now controls a diversified portfolio of resource-stage gold and gold-copper projects in Canada, USA, Brazil, Colombia and Peru. Additionally, GoldMining owns a 75% interest in the Rea Uranium Project, located in the Western Athabasca Basin of Alberta, Canada.