Oct 19, 2016
Trading Symbol: TSX: GGD
Shares Issued: 171,376,481
GoGold Continues To Discover More High Grade Gold, Trenched 18 M of 32.8 g/t Gold
Halifax, NS – GoGold Resources Inc. (TSX: GGD) (“GoGold”) is pleased to announce that it has uncovered additional zones of high grade gold on surface at the Greta project at its Santa Gertrudis Gold Mine located in Sonora state, Mexico. GoGold’s Trench 318 uncovered (18m of 32.8 g/t Au). The largest zone of a few areas consists of three subparallel zones of mineralization that dip about 20° to the west and has dimensions of 660 meters along the north-south strike and 370 meters down dip. This zone is approximately 12 meters thick and is tightly confined to a thin layer that gives the appearance of a bedding plane or a flat-lying structural zone. The zone is notable for a very high-grade gold layer from one to ten meters thick that outcrops on surface in numerous locations.
A mining program is under way with material being shipped to a 150 tonnes/day custom mill for processing by grinding, cyanidation and zinc precipitation. There have been 425 gold ounces poured from the mill to date in the month of October. Gold recoveries are expected to be plus 85% once minor modifications to the mill are complete.
A total of 7,800 tonnes have been shipped to the mill at an average head grade of 14 g/t Au using a cut-off grade of 10 g/t Au. Ore below this grade is being stockpiled to be processed in the vat leach plant once construction is complete which is expected to be March 2017. The ore is moved from the surface pit to the laydown yard and then a sample is collected from each ore pile. It is rolled then cone and quartered and fire assayed for gold and silver at the Laboratorio Tecnologico de Metalurgia LTM SA de CV in Hermosillo, Mexico.
Highlights from a GoGold Trenching Program not previously released include some significant results one of which was 18 metres of 32.77 grams per tonne gold along the surface of the zone;
|Trench ID||Comments||From Metres||To Metres||Length Metres||Au g/t||Ag g/t||Au75 g/t|
The high-grade mineralization outcrops at surface towards the north, where it has been previously drilled by Phelps Dodge with reverse circulation and diamond drill holes. Some of the historical results from drilling include;
- RC Hole GR-213: 0.0 to 4.5m @ 9.55 g/t Au (vertical hole)
- RC Hole GR-214: 0.0 to 3.0m @ 24.5 g/t Au (vertical hole)
- DDH GR-306: 12.8 m to 18.9m @ 26.6 g/t Au (angled hole)
In 2005, Sonoran Resources carried out a drilling program using a blast hole drill. A total of 105 vertical holes, spaced on a 5m x 5m grid, were drilled to a depth of 10m over an area of 110m by 40m where the high grade mineralization was known to outcrop. Results from this drilling also confirmed the presence of the 2 to 10m thick layer of high grade gold mineralization and some highlights include;
- Hole ONT-007: 0.0m to 3.0m @ 11.5 g/t Au
- Hole ONT-011: 0.0m to 5.0m @ 16.6 g/t Au
- Hole ONT-035: 0.0m to 5.0m @ 26.5 g/t Au
- Hole ONT-053: 5.0m to 10.0m @ 28.5 g/t Au
- Hole ONT-063: 0.0m to 10.0m @ 10.8 g/t Au
- Hole ONT-097: 1.0m to 5.0m @ 21.3 g/t Au
- Hole ONT-098: 1.0m to 4.0M @ 15.3 g/t Au
In 2015, GoGold carried out prospecting, mapping and channel sampling programs on the Greta Deposit. See map below:
In 2015, GoGold completed several short diamond drill holes to confirm the high grade mineralization and obtain samples for metallurgical test work. Some of the significant results are shown in the following table. (These drill results were released in the Press Release dated September 28, 2015).
|Hole ID||Comments||From||To||Length||Au||Ag||Au 75|
Lab Preparation and Assay
The sealed and tagged sample bags are transported to the ActLabs facility in Zacatecas, Mexico. ActLabs crushes the samples and prepares 200-300 gram pulp samples with ninety percent passing Tyler 150 mesh (106μm).
The pulps are assayed for gold using a 50 gram charge by fire assay (Code 1A2-50) and over limits greater than 10 grams per tonne are re-assayed using a gravimetric finish (Code 1A3-50). Silver and multi-element analysis is completed using total digestion (Code 1F2 Total Digestion ICP).
Mr. Robert Harris, P.Eng. is the qualified person as defined by National Instrument 43-101 and is responsible for the technical information of this release.
Mr. David R. Duncan, P. Geo., is the qualified person as defined by National Instrument 43-101 and is responsible for the geological information of this release.
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’s Parral Tailings project is one of the lowest cash cost silver producers in the world. Headquartered in Halifax, NS, GoGold is building a portfolio of low cost, high margin projects. For more information visit gogoldresources.com.
For further information please contact:
T: 416 855 0435
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 Parral tailings project, future operating margins, future production and processing, and future plans and objectives of GoGold, 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 estimates, and the performance of the Parral Expansion. 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.