TORONTO , Jan. 15, 2019 /CNW/ - Continental Gold Inc. (TSX:CNL; OTCQX:CGOOF) ("Continental" or the "Company") is pleased to announce additional high-grade assay results from underground channel sampling and nine holes drilled into the Yaraguá system as part of the underground mine construction and exploration drilling program at its 100%-owned Buriticá project in Antioquia, Colombia . The Company plans to drill up to 73,500 metres in 2019, consisting of approximately 55,000 metres of capitalized definition drilling and approximately 18,500 metres of infill drilling. Additionally, the Company has a significant backlog of drill holes being assayed, and the results are pending and will be reported in due course. Lastly, an updated NI 43-101 mineral resource estimate for the Buriticá project remains on schedule and is expected to be completed prior to the end of Q1 2019.
Ari Sussman , Chief Executive Officer of the Company, stated: "Yesterday, the Company received numerous queries of concern from our shareholders questioning whether our largest shareholder, Newmont Mining, would remain engaged with Continental Gold after its merger with Goldcorp. Newmont has unequivocally confirmed that it 'remains supportive of Continental and the continued development of the Buriticá project'."
"Additionally, I would like to personally congratulate our geology and mine development teams for working together in discovering BMZ2. While it may be very early days in assessing this new discovery, we are excited nonetheless as it offers similar tonnage and grade potential to BMZ1, which has already been drill-traced over 400 metres vertically and remains open at depth. Being able to potentially mine two broad, high-grade and large tonnage zones, alongside high-grade yet narrow individual veins, will only serve to enhance the mine and increase operations flexibility. On the basis of the discovery of BMZ2, our mine development team has begun drift towards the zone and anticipates reaching it in April 2019 ."
Channel chip samples are taken along the walls of the underground crosscuts and across the face of the underground drifts with vein exposures.
* Intercepts calculated for minimum intervals of 0.5 metres..
With a continued objective of strengthening security for the organization, the Company is pleased to announce that Captain Jairo Ivan Ariza has been appointed as Vice-President, Protection. This new position within the organization will report directly to Luis German Meneses , Country Manager, and will be in charge of all security-related strategies and initiatives for the Company.
Captain Ariza has enjoyed a diverse career in both the public and private sectors. He spent 17 years (1985-2012) in the National Navy of Colombia , culminating with the rank of Captain and being a member of the Joint Naval Staff of the Navy Command. From 2013-2016, Captain Ariza worked for the National Government of Colombia within the Ministry of Defense, where he was involved in creating security-related policies and strategies to combat criminality in Colombia . Finally, from 2016 until joining Continental, he was the Director of Risk Control for AngloGold Ashanti, where he was responsible for all security and protection-related matters. Captain Ariza holds Master's degrees in Business Administration, Political Science and Marketing and Management.
For exploration and infill core drilling, the Company applied its standard protocols for sampling and assay. HQ and NQ core is sawn or split with one-half shipped to a sample preparation laboratory in Medellín run by ALS Colombia Limited ("ALS"), whereas BQ core samples are full core. Samples are then shipped for analysis to an ALS-certified assay laboratory in Lima, Peru . The remainder of the core is stored in a secured storage facility for future assay verification. Blanks, duplicates and certified reference standards are inserted into the sample stream to monitor laboratory performance and a portion of the samples are periodically check-assayed at SGS Colombia S.A., a certified assay laboratory in Medellín, Colombia .