Drilling Update At Buriticá Project In Colombia
TORONTO - Continental Gold Limited reported results for 20 diamond drill-holes through the eastern Yaraguá vein system at the Company's 100%-owned Buriticá project in Antioquia, Colombia. Drilling continues with the goal of upgrading Inferred resources into the Measured and Indicated categories under National Instrument 43-101 guidelines, and delivering overall robust mineral resource growth.
Drilling, largely at near true width angles to the vein domains, was successful in extending and infilling sections of the eastern Yaraguá vein system through more than 400 metres of vertical and 350 metres of lateral extents.
Infill drill-holes encountered multiple vein families with grades X thicknesses that are substantially greater than those expected from the current mineral resource block model for Yaraguá. Broad and/or high-grade intercepts (intervals 70% or more of true width) in related master veins.
Intercepts in the 1,000-1,400-metre range of elevations will contribute to increased confidence levels of high-grade gold and silver mineral resources within the master veins located in eastern Yaraguá. The grade X thicknesses of these veins are particularly encouraging as this area is proximal to the main haulage developments proposed in the 2014 PEA and more importantly restricted the influence of an area within Yaraguá that was previously modelled as containing predominately low to medium precious metal grades.
Step-out drilling also intersected multiple veins below or to the south of the current Yaraguá mineral resource envelope, significantly extending the vertical extents of most vein families in eastern Yaraguá.
These and other extensions of the Yaraguá system are all in proximity to mining development proposed in the 2014 PEA. Most of the vein families in Yaraguá east remain open to depth and grades encountered in this area are encouraging for resource growth.
"The 2014 infill and extension drilling program at Yaraguá has commonly achieved better results than expected from the current mineral resource estimate," commented Ari Sussman, CEO of Continental. "We look forward to the next mineral resource estimate for the Buriticá project, anticipated in late Q2 2015, and expect to see internal growth in the Measured and Indicated ounces plus overall growth in total ounces."
Continental's 100%-owned, 62,348-hectare project, Buriticá, 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 1,100 metres of strike and 1,700 vertical metres and partially sampled in underground developments. The Veta Sur system has been drill-outlined along 1,000+ metres of strike and 1,800 vertical metres 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.