HIGHLIGHTS INCLUDE:
COCHRANE HILL GOLD
DEPOSIT
|
11m @ 43.65 g/t Au
from 227m^
|
7m @ 23.69 g/t Au
from 285m°
|
2m @ 31.95 g/t Au
from 127m+
|
19m @ 2.34 g/t Au
from 240m
|
37m @1.09 g/t Au
from123m
|
11m @ 2.81 g/t Au
from 212m
|
14m @2.00 g/t Au
from 231m
|
^ Includes 1m @
466g/t Au
° Includes 1m @
153g/t Au
+Includes 1m @ 45.3g/t
Au
|
VANCOUVER, Feb. 6, 2019 /CNW/ - Atlantic Gold
Corporation (TSX-V: AGB) ("Atlantic" or the "Company") is
pleased to provide an update of results for its resource extension
drilling program at Cochrane Hill Gold Deposit ("Cochrane Hill").
The recently completed diamond drilling at Cochrane Hill continues
to confirm extensions to the mineralization defined by the Phase 3
Resource Definition drill program, completed earlier in 2018 and
supports other recently published results from the program.
Cochrane Hill is located approximately 80km northeast of the
Company's central processing facility at the Moose River
Consolidated Gold Mine. Cochrane Hill's current Measured and
Indicated Mineral Resources stand at 10.66 million tonnes at 1.16
g/t Au for 398,000 oz. at a 0.35g/t Au cut-off grade. Inferred
Mineral Resources amount to 1.63 million tonnes at 1.32 g/t Au for
69,000 oz. at a 0.35g/t Au cut-off grade (see the Company's
announcement on January 29,
2018)1.
The Phase 3 Resource Expansion drilling program at Cochrane Hill
was completed in January 2018, with
44 holes for 6,900m having been
drilled. The Cochrane Hill deposit is a fairly predictable and
continuous tabular body dipping about 70o to the north
with an average true width of approximately 20 to 25m. Holes were drilled on 25m x 20m centers
to test for resource extensions of this mineralization eastwards
and at depth to the northeast. The results of this program
were announced in prior news releases; however, these results were
not included in the resource estimation referred to above (See
Company announcements on March 15,
2018, and April 4, 2018).
Particularly notable from the results of the Phase 3 drill
program is a robust zone of mineralization over at least a
300m strike length (at approximately
Section 3050E to 3350E) below the current pit design and about
180m vertically below surface.
Mineralized intervals within this zone have a combined down-hole
width per drill hole averaging 30m
(true width of about 22m) and a
weighted average grade of 2.75g/t Au. This zone was interpreted to
be open at depth and to the east. It is also interpreted to have
the potential to add high value ounces to further expand the
current in-pit resource and potentially result in deepening of the
relatively shallow pit designed in the January 2018 Pre-Feasibility Study which has a
maximum vertical depth of 175m (See
News Release dated January 29,
2018).
Recent drilling, totaling 16,242m
in 70 holes, was designed to test potential extensions to defined
resources. This was completed over a 475m strike length between Sections 2975E –
3450E. Initial assay results were included in previous news
releases (See the Company's announcements on December 5, 2018 and January 21, 2019). The results for additional
holes are included herein (Table 1) and shown on the attached
cross-sections. The final drill results are expected shortly and
will be released when received.
As previously reported, mineralization typical of Cochrane Hill
has been observed in most drill holes. The host rocks are
moderately silicified greywacke and argillite protoliths
metamorphosed to upper amphibolite facies, with frequent
layer-parallel quartz veining. Gold mineralization, including
frequently visible gold specks, is associated with pyrrhotite and
arsenopyrite.
Assay results received to date indicate significant
mineralization with average true widths of 15 to 20m, being intersected at depth beneath previous
drilling: 75 to 100m below the
previous drilling in the western area (between Sections 2975E to
3100E); at depths of 100 to 125m
below the previous drilling in the central zone (between Sections
3050E to 3350E); and, at depths of 50 to 75
m below the previous drilling in the eastern area (between
Sections 3375E to 3450E).
Generally, gold assays are distributed evenly across the
mineralized zones. However, as in the case of drill hole CH-18-317,
several intersections do include single metre assays with elevated
gold values (CH 18-317 includes a 1m
assay of 466g/t Au within a broader zone of 11m averaging 43.65g/t Au). These higher-grade
assays are frequently associated with visible gold that occurs on
the margins of bedding parallel quartz veins within the argillite
host rock.
For reporting purposes, individual assays greater than 20.0g/t
Au that are included in the averages shown are separately
identified in Table 1. No top cut has been applied to these assays
in determining the reported average value for the mineralized
intersection.
Geological interpretation of the data collected in the current
program, including recent assay results, is progressing well and
will result in a better understanding of the geological controls on
grade distribution. This will assist in targeting further down-dip
and strike extensions of the deposit, particularly to the east
where initial observations indicate that drilling may have overshot
the target due to changes in the plunge of the mineralization.
Mineralization remains open to depth on all sections
drilled.
Table 1
Significant Drill Results
(Gold Assay (g/t Au) * Sample Length (m) ≥3.0g/t Au * m)
COCHRANE HILL GOLD
DEPOSIT
February 1, 2019
Hole
ID
|
Easting
|
Northing
|
Dip
|
Az
|
Depth
(m)
|
Significant
Intervals**
|
From
(m)
|
To
(m)
|
Width
(m)
|
Grade
(g/t
Au)
|
CH-18-274
|
3125
|
3242
|
-57
|
180
|
308
|
235
|
238
|
3
|
1.17
|
242
|
252
|
10
|
0.83
|
CH-18-275
|
3000
|
3200
|
-70
|
180
|
299
|
193
|
197
|
4
|
1.25
|
|
212
|
223
|
11
|
2.81
|
incl
|
215
|
216
|
1
|
21.8
|
|
231
|
245
|
14
|
2.00
|
incl
|
231
|
232
|
1
|
20.80
|
CH-18-276
|
3200
|
3240
|
-60
|
180
|
311
|
244
|
260
|
16
|
1.12
|
CH-18-282
|
3250
|
3207
|
-65
|
180
|
275
|
194
|
195
|
1
|
3.24
|
202
|
238
|
36
|
0.67
|
255
|
256
|
1
|
3.11
|
CH-18-289
|
3000
|
3140
|
-67
|
180
|
182
|
119
|
122
|
3
|
2.83
|
CH-18-290
|
3225
|
3250
|
-56
|
180
|
290
|
219
|
220
|
1
|
34.1
|
228
|
236
|
8
|
1.37
|
240
|
249
|
9
|
0.65
|
CH-18-292
|
3075
|
3140
|
-65
|
180
|
182
|
108
|
111
|
3
|
2.64
|
123
|
160
|
37
|
1.09
|
CH-18-296
|
3100
|
3140
|
-62.5
|
180
|
182
|
92
|
94
|
2
|
4.98
|
101
|
105
|
4
|
1.10
|
121
|
124
|
3
|
1.34
|
132
|
149
|
17
|
1.38
|
166
|
168
|
2
|
2.64
|
CH-18-299
|
3250
|
3260
|
-60
|
180
|
305
|
240
|
259
|
19
|
2.34
|
incl
|
|
|
|
|
|
244
|
245
|
1
|
28.90
|
|
|
|
|
|
|
272
|
275
|
3
|
2.82
|
|
|
|
|
|
|
285
|
292
|
7
|
23.69
|
incl
|
|
|
|
|
|
285
|
286
|
1
|
153.00
|
CH-18-300
|
3325
|
3180
|
-60
|
180
|
230
|
146
|
147
|
1
|
7.99
|
168
|
175
|
7
|
1.53
|
189
|
196
|
7
|
0.57
|
CH-18-303
|
3125
|
3170
|
-68
|
180
|
254
|
149
|
153
|
4
|
1.08
|
176
|
201
|
25
|
0.96
|
CH-18-304
|
3175
|
3250
|
-60
|
180
|
311
|
262
|
267
|
5
|
2.03
|
274
|
287
|
13
|
0.99
|
CH-18-305
|
3050
|
3220
|
-60
|
180
|
269
|
213
|
221
|
8
|
0.67
|
226
|
231
|
5
|
0.70
|
CH-18-307
|
3095
|
3199
|
-71
|
177.5
|
293
|
225
|
238
|
13
|
1.34
|
242
|
247
|
5
|
1.27
|
252
|
253
|
1
|
41.90
|
261
|
262
|
1
|
7.69
|
CH-18-308
|
3050
|
3220
|
-70
|
180
|
299
|
254
|
271
|
17
|
0.65
|
287
|
292
|
5
|
1.76
|
CH-18-313
|
3025
|
3210
|
-70
|
180
|
287
|
203
|
204
|
1
|
6.75
|
218
|
219
|
1
|
11.55
|
239
|
245
|
6
|
1.00
|
258
|
262
|
4
|
0.92
|
273
|
278
|
5
|
3.15
|
CH-18-317
|
3375
|
3200
|
-60
|
180
|
251
|
199
|
212
|
13
|
0.91
|
|
227
|
238
|
11
|
43.65
|
incl
|
236
|
237
|
1
|
466.00
|
CH-18-318
|
3400
|
3137
|
-50
|
180
|
161
|
97
|
101
|
4
|
1.56
|
|
108
|
116
|
8
|
0.70
|
|
127
|
129
|
2
|
31.95
|
incl
|
128
|
129
|
1
|
45.30
|
|
143
|
145
|
2
|
3.59
|
CH-18-330
|
3425
|
3160
|
-61
|
180
|
212
|
170
|
171
|
1
|
7.12
|
CH-18-333
|
3625
|
3050
|
-45
|
180
|
60
|
28
|
29
|
1
|
3.72
|
48
|
49
|
1
|
5.44
|
Notes:
- Table includes all
assay results which are deemed significant, with [Sample Length (m)
* Gold Assay (g/t Au) ≥ 3.0g/t
Au*m] and received subsequent to News Release dated January 21,
2019
- **Significant
Intervals are the calculation of the average assay results across
the given width for samples which are
≥ 0.5g/t Au allowing for zones of up to 3m length (3 x 1m-length
samples) where the assay values are <0.5g/t Au
- Assay values are
not cut for the purposes of reporting in this table and some
intervals include ("incl") higher grade
individual assay values, as shown
- All assay results
are Fire Assays of 50g charge from 1kg pulverized sub-sample split
from ~2mm crushed parent of sawn
half 1m NQ core
- True width of
mineralized intersections reported varies between 70-80% of
reported widths
|
The accompanying drill plan and cross sections can be viewed
here:
https://mma.prnewswire.com/media/818325/Atlantic_Gold_Corporation_Atlantic_Gold_Announces_Additional_Dri.pdf
1The Mineral Resource estimate for the
Cochrane Hill Gold Deposit is quoted at a cut-off grade of 0.35g/t.
It has an effective date of July 20,
2017 and was prepared as part of a technical report entitled
(Moose River Consolidated Project, Nova
Scotia Canada, NI 43-101 Technical Report on Moose River
Consolidated Phase 1 and Phase 2 Expansion), in accordance with NI
43-101 by Mr. Neil Schofield, a
principal of FSSI (Australia) Pty
Ltd, released on March 15, 2018, on
SEDAR.
Technical Disclosure
All assays reported are 50g charge fire assays of 1kg pulverized
sub-sample split from -2mm of crushed parent of sawn half
1m NQ core, with 1-in-10 duplicate
assays of the same pulp. Certified standards prepared by a
third-party laboratory and blind blanks are routinely inserted.
Sample preparation and assaying are conducted at the Sudbury and Vancouver laboratories of ALS Canada Ltd, an
entity having no other relationship with the Company. ALS employs a
standard routine of duplicate and check assays and reference
standards. Standards, blind blanks, and duplicate assay results are
within an acceptable range of tolerance. The Company completes a
monthly review of QAQC on all assay results which is reviewed by
the Qualified Person. Core recovery is estimated for each meter and
averages 96%.
Douglas A Currie, P. Geo., General Manager-Exploration, a
Qualified Person (QP) as defined by National Instrument 43-101 ("NI
43-101"), has reviewed, verified and approved the contents of this
news release.
Further updates will be provided in due course and as new
information comes to hand.
On behalf of the Board of Directors,
Steven Dean
Chairman and Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accept responsibility for the adequacy or
accuracy of this release.
About Atlantic:
Atlantic is a well-financed, growth-oriented gold development
group with a long term strategy to build a mid-tier gold production
company focused on manageable, executable projects in
mining-friendly jurisdictions.
Atlantic is focused on growing gold production in
Nova Scotia beginning with its MRC
phase one open-pit gold mine which declared commercial production
in March 2018, and its phase two Life
of Mine Expansion at industry lowest decile cash and
all-in-sustaining-costs (as stated in the Company's news releases
dated January 16, 2019 and
January 29, 2018).
Atlantic is committed to the highest standards of
environmental and social responsibility and continually invests in
people and technology to manage risks, maximize outcomes and
returns to all stakeholders.
Forward-Looking Statements:
This release contains certain "forward looking statements"
and certain "forward-looking information" as defined under
applicable Canadian and U.S. securities laws. Forward-looking
statements and information can generally be identified by the use
of forward-looking terminology such as "may", "will", "expect",
"intend", "estimate", "anticipate", "believe", "continue", "plans"
or similar terminology. Forward-looking statements and information
are not historical facts, are made as of the date of this press
release, and include, but are not limited to, statements regarding
discussions of future plans, guidance, projections, objectives,
estimates and forecasts and statements as to management's
expectations with respect to, among other things, the activities
contemplated in this news release and the timing and receipt of
requisite regulatory, and shareholder approvals in respect thereof.
Forward looking information, including future oriented financial
information (such as guidance), provide investors with an improved
ability to evaluate the underlying performance of the
Company. Forward-looking statements in this news release
include, without limitation, statements related to proposed
exploration and development programs, grade and tonnage of material
and resource estimates. These forward-looking statements involve
numerous risks and uncertainties and actual results may vary.
Important factors that may cause actual results to vary include
without limitation, the timing and receipt of certain approvals,
changes in commodity and power prices, changes in interest and
currency exchange rates, risks inherent in exploration estimates
and results, timing and success, inaccurate geological and
metallurgical assumptions (including with respect to the size,
grade and recoverability of mineral reserves and resources),
changes in development or mining plans due to changes in
logistical, technical or other factors, unanticipated operational
difficulties (including failure of plant, equipment or processes to
operate in accordance with specifications, cost escalation,
unavailability of materials, equipment and third party contractors,
delays in the receipt of government approvals, industrial
disturbances or other job action, and unanticipated events related
to health, safety and environmental matters), political risk,
social unrest, and changes in general economic conditions or
conditions in the financial markets. In making the forward-looking
statements in this press release, the Company has applied several
material assumptions, including without limitation, the assumptions
that: (1) market fundamentals will result in sustained gold demand
and prices; (2) the receipt of any necessary approvals and consents
in connection with the development of any properties; (3) the
availability of financing on suitable terms for the development,
construction and continued operation of any mineral properties; and
(4) sustained commodity prices such that any properties put into
operation remain economically viable. Information concerning
mineral reserve and mineral resource estimates also may be
considered forward-looking statements, as such information
constitutes a prediction of what mineralization might be found to
be present if and when a project is actually developed. Certain of
the risks and assumptions are described in more detail in the
Company's audited financial statements and MD&A for the year
ended December 31, 2017, and for the
quarter ended September 30, 2018, on
the Company's SEDAR profile at www.sedar.com. The actual results or
performance by the Company could differ materially from those
expressed in, or implied by, any forward-looking statements
relating to those matters. Accordingly, no assurances can be given
that any of the events anticipated by the forward-looking
statements will transpire or occur, or if any of them do so, what
impact they will have on the results of operations or financial
condition of the Company. Except as required by law, the Company is
under no obligation, and expressly disclaim any obligation, to
update, alter or otherwise revise any forward-looking statement,
whether written or oral, that may be made from time to time,
whether as a result of new information, future events or otherwise,
except as may be required under applicable securities laws.
SOURCE Atlantic Gold Corporation