Shares Outstanding: 330,973,461
Trading Symbols: TSX: GGD
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2,000 tonnes per day underground mine plan
re-engineered to reduce surface disturbance
HALIFAX,
NS, Jan. 16, 2025 /PRNewswire/ - GoGold
Resources Inc. (TSX: GGD) (OTCQX: GLGDF) ("GoGold", "the
Company") is pleased to release the results of its
Feasibility Study ("FS") at its Los Ricos South ("LRS") Project
located in Jalisco State, Mexico. The FS includes a
re-engineered 2,000 tonne per day underground mine plan compared to
the Preliminary Economic Assessment ("PEA") which was released in
September 2023 and incorporates an
updated Mineral Resource Estimate ("MRE").
Ausenco Engineering Canada ULC ("Ausenco") completed the design
and cost estimates for the process plant. The exercise also
included a Front-End Engineering & Design ("FEED") component
which provided more engineering detail on key vendor supply
packages. This component is beyond the normal Feasibility Study
level of detail and adds greater technical and engineering data to
these specific aspects of the plant design. The FEED component is
expected to allow for a quicker transition to the detailed
engineering and field execution phases in the future."
Highlights of the FS, with a silver price of US$26.80/oz, gold price of US$2,330/oz and copper price of US$4.00/lb ("Base Case") are as follows (all
figures in US dollars unless otherwise stated):
- After-Tax net present value ("NPV") (using a discount rate of
5%) of US$355 million with an
After-Tax IRR of 28% (Base Case);
- At approximate spot metal silver price of $30/oz and gold price of $2,608/oz, NPV (using a discount rate of 5%) of
US$469 million with an After-Tax IRR
of 34%;
- 15-year mine life producing a total of 80 million payable
silver equivalent ounces ("AgEq"), consisting of 41 million silver
ounces, 424 thousand gold ounces, and 11 million pounds of
copper;
- Initial capital costs of $227
million, including $21 million
in contingency costs, over an expected two year build, and
sustaining capital costs of $100
million over the life of mine ("LOM");
- Average operating cash costs of $9.94/oz AgEq, and all in sustaining costs
("AISC") of $11.19/oz AgEq over first
5 years of production, with average AISC of $12.32/oz AgEq over the underground mine
life;
- Average annual production of 7.3 million AgEq oz over first 5
years;
- Successful conversion of Mineral Resources to Proven and
Probable Mineral Reserves totalling 10.2 million tonnes grading 276
g/t AgEq containing 91 million ounces AgEq, including 7.5 million
underground tonnes grading 326 g/t AgEq;
- Average underground mining width of 11 metres using bulk mining
method of longitudinal sub-level long-hole mining;
"This FS has a very high level of detail, exceeding the
normal feasibility study level of detail in the process plant
design. Our expectation is that we will receive a positive
outcome on our permit application for our underground mine by the
end of March 2025. The Company has a strong balance sheet and
we are in advanced discussions with prospective lenders for the
remaining financing required for construction. With this detailed
study and once we have obtained the permit, we should be able to
formally make a construction decision and begin building the mine,"
said Brad Langille, President and
CEO. "We have the support of the local community for the
project and have begun the process of building our mining and
technical services team. Looking beyond the imminent
construction, we also see the opportunities for more near mine
exploration with a focus on growing more high grade underground
resources in Los Ricos South and also look to advance Los Ricos
North in 2025."
An NI 43-101 Technical Report will be filed on SEDAR+ within 45
days of this news release containing the full details of the
FS.
Table 1 – LRS FS Underground Key Assumptions and
Results
|
Assumption /
Result
|
Unit
|
Value
|
|
Assumption /
Result
|
Unit
|
Value
|
|
Total UG Ore
Mined
|
kt
|
7,512
|
|
UG Mining
Costs
|
$/t Plant
Feed
|
44.04
|
|
UG Silver
Grade1
|
g/t
|
170
|
|
Operating Cash
Cost
|
$/oz AgEq
|
11.22
|
|
UG Gold
Grade1
|
g/t
|
1.65
|
|
All in Sustaining
Cost
|
$/oz AgEq
|
12.32
|
|
UG AgEq
Grade1
|
g/t
|
326
|
|
Mine Life
|
Yrs
|
12
|
|
Silver
Recovery
|
%
|
86
|
|
Average Mining
Width
|
m
|
11
|
|
Gold
Recovery
|
%
|
93
|
|
|
|
|
|
1.
|
Grades shown are LOM
average process plant feed grades including underground external
dilution of approximately 18%.
|
|
2.
|
The underground mining
method is longitudinal sub-level long-hole mining.
|
|
3.
|
AgEq includes gold
converted at a ratio of 86.05:1 and copper % converted at a ratio
of 103.4:1.
|
Table 2 – LRS FS Life of Mine Key Assumptions and
Results
|
Assumption /
Result
|
Unit
|
Value
|
|
Assumption /
Result
|
Unit
|
Value
|
|
Total Plant Feed
Mined
|
kt
|
10,233
|
|
Net Revenue
|
$M
|
2,099
|
|
Average process
rate
|
t/day
|
2,000
|
|
Initial Capital
Costs
|
$M
|
227
|
|
Silver
Recovery
|
%
|
86
|
|
Sustaining Capital
Costs
|
$M
|
100
|
|
Gold
Recovery
|
%
|
93
|
|
Mining Costs
|
$/t Plant
Feed
|
42.92
|
|
Silver Price
|
$/oz
|
26.80
|
|
Processing
Costs
|
$/t Plant
Feed
|
39.63
|
|
Gold Price
|
$/oz
|
2,330
|
|
General and Admin
Costs
|
$/t Plant
Feed
|
6.88
|
|
Copper Price
|
$/lb
|
4.00
|
|
Operating Cash
Cost
|
$/oz AgEq
|
11.59
|
|
Payable Silver
Metal
|
Moz
|
41.1
|
|
All in Sustaining
Cost
|
$/oz AgEq
|
12.78
|
|
Payable Gold
Metal
|
koz
|
423.6
|
|
After-Tax NPV (5%
discount)
|
$M
|
355
|
|
Payable
Copper
|
Mlb
|
11.2
|
|
Pre-Tax NPV (5%
discount)
|
$M
|
553
|
|
Payable
AgEq1
|
Moz
|
79.9
|
|
After-Tax
IRR
|
%
|
28.0
|
|
Mine Life
|
Yrs
|
15
|
|
Pre-Tax IRR
|
%
|
38.6
|
|
|
|
|
After-Tax Payback
Period
|
Yrs
|
2.6
|
Figure 1 above highlights the excellent post-tax cash flows
associated with the LRS Project. The economics of the Project
have been evaluated based on the base case scenario $26.80/oz silver price, gold price of
$2,330/oz and copper price of
$4.00/lb. As illustrated in the
following sensitivity tables, the Project remains robust even at
lower commodity prices or with higher costs.
The Project mine plan is primarily underground, with a 12 year
underground mine life engineered, followed by an open pit mine
which begins in the 10th year.
Table 3 – LRS FS Gold and Silver Price
Sensitivities
|
Sensitivity
|
|
|
|
Base
Case
|
|
|
|
|
Silver Price
($/oz)
|
20
|
22
|
24
|
26.80
|
30
|
33
|
36
|
|
Gold Price
($/oz)
|
1,739
|
1,913
|
2,087
|
2,330
|
2,608
|
2,869
|
3,130
|
|
After-Tax NPV (5%)
($M)
|
110
|
184
|
255
|
355
|
469
|
575
|
681
|
|
After-Tax IRR
(%)
|
13.6
|
18.3
|
22.5
|
28.0
|
33.7
|
38.8
|
43.7
|
|
After-Tax Payback
(years)
|
4.7
|
3.8
|
3.2
|
2.6
|
2.0
|
1.8
|
1.7
|
Table 4 – LRS FS Operating Cost and Capital Cost
Sensitivities
|
Sensitivity
|
-20 %
|
-10 %
|
Base
Case
|
10 %
|
20 %
|
|
Operating Costs – NPV
($M)
|
440
|
399
|
355
|
317
|
275
|
|
Operating Costs – IRR
(%)
|
32.6
|
30.6
|
28.0
|
26.3
|
24.1
|
|
Capital Costs – NPV
($M)
|
394
|
373
|
355
|
331
|
310
|
|
Capital Costs – IRR
(%)
|
35.1
|
30.9
|
28.0
|
24.5
|
22.0
|
FS Summary
The LRS Project has been envisioned as an underground mining
operation for the first ten years, with contract underground mining
supplying a 2,000 tonne per day process plant.
The FS was prepared by independent consultants P&E Mining
Consultants Inc ("P&E") acting as lead consultant and
completing the MRE, Mineral Reserves, and mining. Additional
contributing consultants and their roles were as follows:
- Ausenco – Process plant & infrastructure
- SGS Canada Inc.'s Lakefield
office – Metallurgical
- WSP – Underground and Open Pit Geotechnical
- CIMA – Environmental
- Paterson & Cooke – Paste
backfill
- BQE / D.E.N.M. Engineering – SART design & costing
- BCG – Tailings geotechnical
Table 5 – LOM Capital Cost Estimate
|
Type
|
Initial
($k)
|
Sustaining
($k)
|
Total
($k)
|
|
Process Plant direct
costs
|
83,544
|
10,223
|
93,767
|
|
Underground
development
|
51,054
|
62,763
|
113,817
|
|
Open pit
stripping
|
|
17,661
|
17,661
|
|
Infrastructure
|
38,558
|
|
38,558
|
|
EPCM
|
17,969
|
|
17,969
|
|
Project indirect
costs
|
14,576
|
|
14,576
|
|
Total
|
205,701
|
90,647
|
296,348
|
|
Contingency
(10%)
|
20,987
|
9,065
|
30,052
|
|
Grand
Total
|
226,688
|
99,712
|
326,400
|
Table 6 – Operating Costs (Average LOM)
|
Operating Costs
(Average LOM)
|
$/tonne
Plant
Feed
|
$/tonne
Mined
|
|
Open Pit
Mining
|
17.72
|
2.64
|
|
Underground
Mining1
|
49.92
|
|
|
Total LOM
Mining2
|
42.92
|
|
|
Processing
($/t processed)
|
39.63
|
|
|
General and Admin
($/t processed)
|
6.88
|
|
|
Total ($/t
processed)
|
89.43
|
|
|
1.
|
Bulk underground long
hole mining. $44.04 is the mining cost, $5.88 is cemented
paste backfill, and additional development costs of $8.35/t mined
are included in sustaining capital in table 6, providing a total UG
mining cost of $58.27/t.
|
|
2.
|
Average LOM mining cost
of both open pit and underground.
|
Mining
Contract underground mining will be completed using the
longitudinal sub-level long-hole mining method and cemented
paste back filling of the mined-out stopes. Approximately 10% of
the underground ore will be sourced in close proximity to
historical workings.
Process Plant Design
The process plant is comprised of conventional crushing and
grinding followed by cyanide tank leaching. Back-end filtration is
required to maximize water recycling (dry stack tailings) as well
as a SART (sulfidation, acidification re-neutralization and
thickening) circuit to recover cyanide back to the process and to
produce a saleable copper sulfide product. The process plant
will produce saleable silver-gold doré bars and a copper
precipitate.
Metallurgy
In support of the feasibility study on the Los Ricos South
deposits, an extensive metallurgical test program was completed at
SGS Lakefield on representative drill core from the deposit. The
program was designed to test and validate the key components of the
process to confirm process plant performance including:
- Crushing and grinding
- Thickening and filtration
- Cyanide leaching and reagent consumptions
- SART performance
- Merrill Crowe (zinc
precipitation)
- Dry-stack tailings detoxification and dewatering (maximizing
water recovery)
Based on the extensive program, and life of mine mill
simulation, the process plant will use a conventional whole ore
leaching process and simple flow sheet to produce silver-gold doré
bars and a copper precipitate. The cyanide leaching process
recoveries range from 92 to 93% for gold and 85 to 87% for silver.
Approximately 70% of the copper was also leached.
Dewatered and detoxified tailings were tested at Paterson and Cook in Sudbury, Ontario to determine the paste
backfill cement addition rate for the underground mine and to
minimize process water usage. The advantages of using
underground paste backfill include maximized stability of the mine
and the ability to store a majority of the process plant tailings
as cemented paste underground, reducing surface impact.
Infrastructure
The Company has an agreement in place with the Comision Federal
de Electricidad ("CFE"), which has secured an adequate power supply
for LRS. Electricity for the Project is sourced from the
nearby La Yesca hydroelectric
dam.
The Company has also secured the rights to the land where the
process plant will be located. Agreements were entered into
with multiple farmers and stakeholders providing compensation for
the usage of the required land. Agreements are also in place
with the local Ejido which owns
the surface rights over all of those concessions included in this
FS.
Mineral Reserves and Mineral Resource Estimate
The basis for the FS is an inaugural Proven and Probable Mineral
Reserve estimate totalling 10.2 million tonnes grading 275.7 g/t
AgEq (145.4 g/t Ag, 1.39 g/t Au, and 0.10% Cu) containing 90.7
million ounces AgEq (47.8 Moz Ag,
457 Koz Au, 23.8 Mlb Cu), reflecting the successful conversion of
Mineral Resources. A summary of the Mineral Reserves is
provided in Table 7 and an updated Mineral Resource Estimate is
provided in Table 8.
Table 7: Los Ricos South Mineral
Reserve(1-8)
|
Classification
|
Tonnage
|
Average
Grade
|
Contained
Metal
|
|
Ag
|
Au
|
Cu
|
AgEq
|
Ag
|
Au
|
Cu
|
AgEq
|
|
(kt)
|
(g/t)
|
(g/t)
|
( %)
|
(g/t)
|
(koz)
|
(koz)
|
(Mlb)
|
(koz)
|
|
Underground
|
|
|
|
|
|
|
|
|
|
|
Proven
|
3,902
|
187.1
|
1.61
|
0.09
|
334.3
|
23,472
|
202
|
7.5
|
41,939
|
|
Probable
|
3,611
|
152.0
|
1.70
|
0.18
|
317.8
|
17,647
|
197
|
14.6
|
36,895
|
|
Subtotal
Underground
|
7,512
|
170.2
|
1.65
|
0.13
|
326.4
|
41,119
|
399
|
22.1
|
78,834
|
|
Open
Pit
|
|
|
|
|
|
|
|
|
|
|
Proven
|
580
|
94.8
|
0.72
|
0.02
|
159.0
|
1,768
|
13
|
0.3
|
2,965
|
|
Probable
|
2,140
|
72.1
|
0.64
|
0.03
|
129.7
|
4,961
|
44
|
1.4
|
8,924
|
|
Subtotal Open
Pit
|
2,720
|
76.9
|
0.66
|
0.02
|
135.9
|
6,728
|
57
|
1.7
|
11,889
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
Proven
|
4,482
|
175.2
|
1.49
|
0.08
|
311.6
|
25,240
|
215
|
7.7
|
44,904
|
|
Probable
|
5,751
|
122.3
|
1.31
|
0.13
|
247.8
|
22,607
|
241
|
16.1
|
45,819
|
|
Total Proven &
Probable
|
10,233
|
145.4
|
1.39
|
0.10
|
275.7
|
47,847
|
457
|
23.8
|
90,723
|
|
1)
|
Mineral Reserves are
based on Measured and Indicated Mineral Resource Classifications
only.
|
|
2)
|
Mineral Reserves are
reported using the 2014 CIM Definition Standards and 2019 Best
Practices Guidelines and have an effective date of January 14,
2025.
|
|
3)
|
Mineral Reserves are
defined within mine plans and incorporate mining dilution and ore
losses.
|
|
4)
|
Open Pit Mineral
Reserves are based on metal prices of $23.75/oz Ag, $1,850/oz Au
and $4.00/lb Cu, and are constrained within optimized pit shells
and designs that use 45–48º overall wall slopes, and process
recoveries of 86% Ag, 95% Au and 51% Cu.
|
|
5)
|
An Open Pit cut-off
grade of 46.4 g/t AgEq is estimated to differentiate ore from waste
and is based on cost assumptions of $26.22/t processing, $4.11/t
site general and administrative, and 0.5% government mining tax on
net revenue. Mining costs are estimated at $2.10/t of ore and waste
rock.
|
|
6)
|
Underground Mineral
Reserves are based on metal prices of $23.75/oz Ag, $1,850/oz Au
and $4.00/lb Cu, and are constrained within a mine design, and use
process plant recoveries of 86% Ag, 95% Au and 77% Cu.
|
|
7)
|
An Underground marginal
cut-off grade of 150 g/t AgEq is estimated to differentiate ore
from waste, and is based on cost assumptions of $34.93/t
processing, $4.46/t site general and administrative, and mining
costs of $41.93/t. An Underground economic cut-off grade of 210 g/t
AgEq is estimated to account for capital development costs of
$53.86/t in addition to those used to calculate the marginal
cut-off grade.
|
|
8)
|
Totals may not sum due
to rounding.
|
Table 8: Los Ricos South Mineral Resource Estimate – Pit
Constrained and Out-of-Pit(1-9)
|
Mining
Method
|
Category
|
Tonnes
|
Average
Grade
|
Contained
Metal
|
|
Ag
|
Au
|
Cu
|
AuEq
|
AgEq
|
Ag
|
Au
|
Cu
|
AuEq
|
AgEq
|
|
|
(M)
|
(g/t)
|
(g/t)
|
( %)
|
(g/t)
|
(g/t)
|
(koz)
|
(koz)
|
(Mlb)
|
(koz)
|
(koz)
|
|
Pit
Constrained5
|
Measured
|
2.9
|
150
|
1.13
|
0.03
|
2.96
|
250
|
14,065
|
106
|
1.7
|
278
|
23,446
|
|
Indicated
|
2.0
|
107
|
0.74
|
0.03
|
2.07
|
174
|
6,747
|
47
|
1.4
|
130
|
10,974
|
|
M&I
|
4.9
|
133
|
0.97
|
0.03
|
2.60
|
219
|
20,812
|
153
|
3.1
|
408
|
34,420
|
|
Inferred
|
0.7
|
108
|
0.66
|
0.03
|
2.00
|
168
|
2,552
|
16
|
0.5
|
47
|
3,979
|
|
Pit - Cerro
C6
|
Inferred
|
0.6
|
43
|
0.90
|
0.01
|
1.43
|
121
|
787
|
17
|
0.1
|
26
|
2,243
|
|
Indicated
|
0.3
|
34
|
0.87
|
0.01
|
1.28
|
109
|
377
|
10
|
0.1
|
14
|
1,217
|
|
Out-of-Pit7,8
|
Measured
|
2.4
|
218
|
2.00
|
0.14
|
4.79
|
405
|
17,025
|
156
|
7.5
|
373
|
31,567
|
|
Indicated
|
3.1
|
187
|
2.25
|
0.26
|
4.80
|
407
|
18,525
|
223
|
17.4
|
476
|
40,331
|
|
M&I
|
5.5
|
201
|
2.14
|
0.20
|
4.79
|
406
|
35,550
|
379
|
24.9
|
849
|
71,898
|
|
Inferred
|
1.1
|
127
|
1.48
|
0.51
|
3.61
|
306
|
4,544
|
53
|
12.4
|
130
|
10,995
|
|
Total
|
Measured
|
5.3
|
181
|
1.53
|
0.08
|
3.79
|
320
|
31,090
|
262
|
9.2
|
651
|
55,013
|
|
Indicated
|
5.6
|
144
|
1.59
|
0.15
|
3.50
|
296
|
26,059
|
287
|
18.9
|
632
|
53,549
|
|
M&I
|
11.0
|
162
|
1.56
|
0.12
|
3.64
|
308
|
57,150
|
549
|
28.1
|
1,284
|
108,562
|
|
Inferred
|
2.2
|
106
|
1.11
|
0.27
|
2.70
|
229
|
7,473
|
79
|
13.0
|
191
|
16,191
|
|
1)
|
Mineral Resources,
which are not Mineral Reserves, do not have demonstrated economic
viability. The estimate of Mineral Resources may be materially
affected by environmental, permitting, legal, title, taxation,
socio-political, marketing, or other relevant issues.
|
|
2)
|
The Inferred Mineral
Resource in this estimate has a lower level of confidence than that
applied to an Indicated Mineral Resource and must not be converted
to a Mineral Reserve. It is reasonably expected that the majority
of the Inferred Mineral Resource could be upgraded to an Indicated
Mineral Resource with continued exploration.
|
|
3)
|
The Mineral Resources
were estimated in accordance with the Canadian Institute of Mining,
Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources
and Reserves, Definitions and Guidelines (2014) prepared by the CIM
Standing Committee on Reserve Definitions and adopted by the CIM
Council and CIM Best Practices Guidelines (2019) and have an
effective date of January 14, 2025.
|
|
4)
|
Historically mined
areas were depleted from the Mineral Resource model.
|
|
5)
|
The pit-constrained
AgEq cut-off grade of 40 g/t was derived from $1,850/oz Au price,
$23.75/oz Ag price, 86% Ag and 95% Au process recovery, $28/tonne
process and G&A cost. The constraining pit optimization
parameters were $2.10/t mineralized material and waste mining cost,
and 45-degree pit slopes.
|
|
6)
|
The Cerro Colorado
Mineral Resource was constrained to open pit mining methods only;
Out-of-pit Mineral Resources are restricted to the Eagle and Abra
mineralized veins, which exhibit historical continuity and
reasonable potential for extraction by cut and fill and longhole
underground mining methods.
|
|
7)
|
The out-of-pit AgEq
cut-off grade of 130 g/t Ag was derived from $1,850/oz Au price,
$23.75/oz Ag price, 86% Ag and 95% Au process plant recovery,
$30/tonne process and G&A cost, and a $60/tonne mining cost.
The out-of-pit Mineral Resource grade blocks were quantified above
a 130 g/t AgEq cut-off, below the constraining pit shell and within
the constraining mineralized wireframes. Out–of-Pit Mineral
Resources are restricted to the Eagle and Abra Veins, which exhibit
historical continuity and reasonable potential for extraction by
cut and fill and longhole mining methods.
|
|
8)
|
AgEq and AuEq were
calculated at an Ag/Au ratio of 86:1 for pit-constrained and
out-of-pit Mineral Resources.
|
|
9)
|
Totals may not sum due
to rounding.
|
Mineral Resource Estimate Methodology
A total of 554 drill holes totalling 90,095 metres were used in
the MRE.
P&E collaborated with GoGold personnel to develop the
mineralization models, estimates, and reporting criteria for the
Mineral Resources at Los Ricos. Mineralization models were
initially developed by GoGold and were reviewed and modified by
P&E. A total of eight individual mineralized domains have been
identified through drilling, surface and historical underground
sampling. The modeled mineralization domains are constrained by
individual wireframes based on a 0.30 g/t AuEq cut-off for
low-grade domains or 3.0 g/t AuEq for high-grade domains.
Mineralization wireframes were used as hard boundaries for the
purposes of grade estimation.
A three-dimensional sub-blocked model, with 3m x 3m x
3m parent and 1m x 1m x
1m sub-blocks, was used for the
Mineral Resource Estimate. The block model consists of estimated
Au, Ag and Cu grades, estimated bulk density, and classification
criteria. Au and Ag equivalent block grades were subsequently
calculated from the estimated Au, Ag and Cu grades.
Sample assays were composited to a 1
m standard length. Au and Ag grades were estimated using
Inverse Distance Cubed weighting of between 1 and 12 composites,
with a maximum of 2 composites per drill hole. Composites were
capped prior to estimation by mineralization domain. Composite
samples were selected within an anisotropic search ellipse oriented
down the plunge of identified high grade trends.
Individual bulk density values were applied to mineralized
domains separately and were statistically determined using 4,515
measurements taken from drill holes.
Classification criteria were determined from observed grade and
geological continuity as well as variography. Measured Mineral
Resources are informed by three or more drill holes within
30 m; Indicated Mineral Resources are
informed by two or more drill holes within 60 m.
P&E is of the opinion that the Mineral Resource Estimate is
suitable for public reporting and is a reasonable representation of
the mineralization and metal content of the Los Ricos Deposits.
Table 9: Los Ricos South & North Mineral
Resources(1-4)
|
Deposit
|
Tonnes
|
Average
Grade
|
Contained
Metal
|
|
Ag
|
Au
|
Cu
|
Pb
|
Zn
|
AuEq
|
AgEq
|
Ag
|
Au
|
Cu
|
Pb
|
Zn
|
AuEq
|
AgEq
|
|
(M)
|
(g/t)
|
(g/t)
|
( %)
|
( %)
|
( %)
|
(g/t)
|
(g/t)
|
(koz)
|
(koz)
|
(Mlb)
|
(Mlb)
|
(Mlb)
|
(koz)
|
(koz)
|
|
LRS
Measured1
|
5.3
|
181
|
1.53
|
0.08
|
-
|
-
|
3.79
|
320
|
31,090
|
262
|
9
|
-
|
-
|
651
|
55,013
|
|
Indicated:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LRN
(Oxide)2
|
14.5
|
100
|
0.37
|
-
|
-
|
-
|
1.71
|
127
|
46,500
|
171
|
-
|
-
|
-
|
801
|
59,100
|
|
LRS
(Oxide)1
|
5.6
|
144
|
1.59
|
0.15
|
-
|
-
|
3.5
|
296
|
26,059
|
287
|
19
|
-
|
-
|
632
|
53,549
|
|
LRN
(Sulfide)2
|
7.8
|
28
|
0.06
|
0.11
|
0.88
|
1.33
|
1.55
|
114
|
7,011
|
15
|
19
|
151
|
229
|
389
|
28,708
|
|
Total
Indicated
|
27.9
|
|
|
|
|
|
2.03
|
158
|
79,570
|
473
|
38
|
151
|
229
|
1,822
|
141,357
|
|
Measured &
Indicated
|
33.2
|
|
|
|
|
|
2.32
|
184
|
110,660
|
735
|
47
|
151
|
229
|
2,473
|
196,370
|
|
Inferred:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LRN
(Oxide)2
|
15
|
91
|
0.28
|
-
|
-
|
-
|
1.52
|
112
|
44,131
|
136
|
-
|
-
|
-
|
734
|
54,191
|
|
LRS
(Oxide)1
|
2.2
|
106
|
1.11
|
0.27
|
-
|
-
|
2.7
|
229
|
7,473
|
79
|
13.0
|
-
|
-
|
191
|
16,191
|
|
LRN
(Sulfide)2
|
5.5
|
28
|
0.06
|
0.12
|
0.74
|
1.2
|
1.46
|
108
|
4,888
|
11
|
15
|
90
|
146
|
258
|
19,007
|
|
Total
Inferred
|
22.7
|
|
|
|
|
|
1.62
|
122
|
56,492
|
226
|
28
|
90
|
146
|
1,183
|
89,389
|
|
1.
|
See Table 8 notes for
assumptions
|
|
2.
|
See GoGold press
release #18-2023 dated June 30, 2023, or the technical report filed
on that date on SEDAR+ for full details regarding the Los
Ricos North ("LRN") Mineral Resource.
|
|
3.
|
Totals may not agree
due to rounding.
|
Qualified Persons
The FS is prepared by consultants who are independent of GoGold,
each of whom are Qualified Persons ("QP") as defined by NI 43-101
Standards of Disclosure for Mineral. Each of the QPs have reviewed
and confirmed that this news release fairly and accurately
reflects, in the form and context in which it appears, the
information contained in the respective sections of the FS for
which they are responsible. The affiliation and areas of
responsibility for each QP involved are as follows:
P&E QPs
Eugene Puritch, P.Eng., FEC, CET
– Mineral resources
Andrew Bradfield, P. Eng. – Study
leader and open pit mine design, scheduling and costs
Greg Robinson, P. Eng. – Underground
mine design, scheduling and costs
Grant Feasby, P. Eng. –
Environmental
Fred H. Brown, P. Eng. – Mineral
resources
Ausenco QPs
Robert Raponi, P. Eng. –
Metallurgy and mineral processing, recovery methods
Scott Elfen, PE – Dry stack tailings facility design
Jonathan Cooper, P. Eng. – Surface
water management design
WSP QP
James Smith, P. Eng. – Open pit
and underground geotechnical
D.E.N.M. Engineering QP
David Salari, P. Eng. – SART
design & costing
Robert Harris, P.Eng. and
David Duncan, P.Geo. are the
non-independent GoGold QPs who have reviewed and verified the
technical content of this news release.
VRIFY Slide Deck and 3D Presentation
VRIFY is a platform being used by companies to communicate with
investors using 360° virtual tours of remote mining assets, 3D
models and interactive presentations. VRIFY can be accessed by
website and with the VRIFY iOS and Android apps.
The VRIFY 3D Slide Deck for GoGold can be viewed
at: https://vrify.com/companies/gogold-resources-inc and
on the Company's website at: www.gogoldresources.com.
Los Ricos District Exploration Projects
The Company's two exploration projects at its Los Ricos Property
are in Jalisco state, Mexico. The Los Ricos South Project began in
March 2019, with the most recent
Mineral Resource Estimate disclosing a Measured & Indicated
Mineral Resource of 98.6 million ounces AgEq grading 276 g/t AgEq
contained in 11.1 million tonnes, and an Inferred Mineral Resource
of 13.6 million ounces AgEq grading 185 g/t AgEq contained in 2.3
million tonnes. A FS on the project was announced in this
news release indicating an after-tax NPV5% of
US$355M, based on Proven and Probable
Mineral Reserves totalling 10.2 million tonnes grading 276 g/t AgEq
containing 91 million ounces AgEq, including 7.5 million
underground tonnes grading 326 g/t AgEq.
The Los Ricos North Project was launched in March 2020 and an initial Mineral Resource
Estimate was announced on December 7,
2021, which disclosed an Indicated Mineral Resource Estimate
of 87.8 million ounces AgEq grading 122 g/t AgEq contained in 22.3
million tonnes, and an Inferred Mineral Resource Estimate of 73.2
million ounces AgEq grading 111 g/t AgEq contained in 20.5 million
tonnes. An initial PEA on the Project was announced on May 17, 2023, indicating an NPV5% of
US$413M.
About GoGold Resources
GoGold Resources (TSX: GGD) is a Canadian-based silver and gold
producer focused on operating, developing, exploring and acquiring
high quality projects in Mexico. The Company operates the
Parral Tailings Project in the state of
Chihuahua and has the Los Ricos South and Los Ricos North
exploration Projects in the state of Jalisco. Headquartered in Halifax, NS, GoGold is building a portfolio of
low cost, high margin projects. For more information visit
gogoldresources.com.
CAUTIONARY STATEMENT:
The securities described herein have not been, and will not be,
registered under the United States Securities Act of 1933, as
amended (the "U.S. Securities Act"), or any state securities laws,
and may not be offered or sold within the
United States or to, or for the benefit of, U.S. persons (as
defined in Regulation S under the U.S. Securities Act) except in
compliance with the registration requirements of the U.S.
Securities Act and applicable state securities laws or pursuant to
exemptions therefrom. This release does not constitute an offer to
sell or a solicitation of an offer to buy of any of GoGold's
securities in the United
States.
This news release may contain "forward-looking information" as
defined in applicable Canadian securities legislation. All
statements other than statements of historical fact, included in
this release, including, without limitation, statements regarding
the Los Ricos South and North projects, and future plans and
objectives of GoGold, including the NPV, IRR, initial and
sustaining capital costs, operating costs, and LOM production of
Los Ricos South, constitute forward looking information that
involve various risks and uncertainties. Forward-looking
information is based on a number of factors and assumptions which
have been used to develop such information but which may prove to
be incorrect, including, but not limited to, assumptions in
connection with the continuance of GoGold and its subsidiaries as a
going concern, general economic and market conditions, mineral
prices, the accuracy of Mineral Resource and Mineral Reserve
Estimates, and the performance of the Parral Project. There can be
no assurance that such information will prove to be accurate and
actual results and future events could differ materially from those
anticipated in such forward-looking information.
Important factors that could cause actual results to differ
materially from GoGold's expectations include exploration and
development risks associated with GoGold's projects, the failure to
establish estimated Mineral Resources or Mineral Reserves,
volatility of commodity prices, variations of recovery rates, and
global economic conditions. For additional information with respect
to risk factors applicable to GoGold, reference should be made to
GoGold's continuous disclosure materials filed from time to time
with securities regulators, including, but not limited to, GoGold's
Annual Information Form. The forward-looking information contained
in this release is made as of the date of this release.
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SOURCE GoGold Resources Inc.
