Condor Gold (AIM: CNR; TSX: COG) is pleased to announce the results
of an updated Mineral Resource Estimate (the “MRE”) on its 100%
owned La India Project in Nicaragua. The updated MRE is 9,672 kt at
3.5g/t gold for 1,087,000 oz gold in the indicated mineral resource
category and 8,642 kt at 4.3 g/t gold for 1,189,000 oz gold in the
inferred mineral resource category.
The MRE was prepared by SRK Consulting (US) Inc.
(“SRK”) and uses the terminology, definitions and guidelines given
in the Canadian Institute of Mining, Metallurgy and Petroleum (CIM)
Standards on Mineral Resources and Mineral Reserves (May 2014) and
The CIM Estimation of Mineral Resources and Mineral Reserves Best
Practice Guidelines (MRMR Best Practice Guidelines, November
2019).
Highlights of Mineral
Resource Estimate
- Updated Mineral Resource Estimate of 9,672 kt at 3.5g/t gold
for 1,088,000 oz gold in the indicated mineral resource category
and 8,642 kt at 4.3 g/t gold for 1,190,000 oz gold in the inferred
mineral resource category.
- The open pit Mineral Resource Estimate is 8,693 kt at 3.2 g/t
gold for 893,000 oz gold in the indicated mineral resource category
and 3,026 kt at 3.0 g/t gold for 291,000 oz gold in the inferred
mineral resource category.
- Total underground Mineral Resource Estimate is 979 kt at 6.2
g/t gold for 194,000 oz gold in the indicated mineral resource
category and 5,615 kt at 5.0 g/t gold for 898,000 oz gold in the
inferred mineral resource category.
- A Feasibility Study is being conducted on La India vein set
Open Pit (“La India Open Pit”), which has a Mineral Resource
Estimate of 8,487 kt at 3.0g/t gold in for 827,000 oz gold in the
indicated mineral resource category and 893 Kt at 2.4 g/t gold for
69,000 oz gold in the inferred mineral resource category. There is
a small silver content of 1,803,000 oz
- The Cacao Mineral Resource has increased 69% to 1,164 kt at
2.5g/t gold for 101,000 oz gold in the inferred mineral resource
category. The deposit remains ‘open’ on strike and at depth.
- Updated geological interpretations and integrated
litho-structural, weathering and mineralisation models are
integrated in the MRE and reflect the higher degree of detail that
is warranted for a Feasibility level of study on La India Open Pit.
This is supported by closer-spaced diamond drilling within the
upper portion of the main La India pit, along with additional
detailed deposit-scale surface mapping.
Mark Child, Chairman and CEO
commented: “Condor has produced a much more robust and
conversative Mineral Resource Estimate for the entire La India
Project, which comprises 6 separate deposits all of which have
potential to be expanded. The focus has been of strengthening the
confidence of the geological model ahead of a forthcoming
Feasibility Study on La India Open Pit. The update on La India Open
Pit includes assay results from infill drilling, a new
lithological, structural and weathering model, a new depletion
model for historic and artisanal mining and an increase in the
cut-off grade to 0.65 g/t gold from 0.50 g/t gold. The updated
Mineral Resource includes the latest operating costs and bulk
density measurements. I am pleased the drilling on the Cacao
deposit increased the Mineral Resource Estimate in the inferred
mineral resource category by 69% to 101,000 oz gold at 2.5 g/t
gold, the interpretation is that drilling has clipped the top of a
fully preserved epithermal vein system with a strike length of at
least 1km.
The updated Mineral Resource Estimate is 9,672
kt at 3.5g/t gold for 1,088,000 oz gold in the indicated mineral
resource category and 8,642 kt at 4.3g/t gold for 1,190,000 oz gold
in the inferred mineral resource category. A Feasibility Study is
being conducted on La India Open Pit which has a Mineral Resource
Estimate of 8,487 kt at 3.0g/t gold in for 827,000 oz gold in the
indicated mineral resource category and 893 Kt at 2.4 g/t gold for
69,000 oz gold in the inferred mineral resource category. There is
an additional 289,000 oz gold classified as open pit material
outside the main La India Open Pit, some in permitted pits, which
will be targeted for additional early mill feed (see details in
table below). The plan is to add the substantial underground
mineral resource, currently in excess of 1 Moz gold, to the mine
plan once in production.”
Introduction & Background to Update
Mineral Resource Estimate (“MRE”) Between December 2020
and June 2021 Condor completed a drilling programme totalling 59
new diamond drillholes for 3,413 m of drilling within the La
India Open Pit Area. The focus of the drilling was twofold: (1) to
infill near surface areas of the Mineral Resource, which includes a
historical Pre-Feasibility Level Mineral Reserve, that would likely
be mined in the initial years of the Life of Mine, and (2) to
replace reverse circulation (“RC”) drill holes with diamond core
drilling. In addition, Condor completed a drilling programme
totalling 15 new diamond drillholes for 3,504 m of drilling on
the Cacao vein (“Cacao”) which is located approximately 6 km to the
east of the La India Vein Set. The aim of the drilling at Cacao was
to test the geological concept that the near surface gold
mineralisation at Cacao marks the top of an epithermal gold system,
and to test for a strike extension beyond the 450 m long outcrop
where previous drilling has been focused.
The updated MRE was prepared by SRK and reported
using the terminology, definitions and guidelines given in the CIM
Code, was produced using industry standard practices, is consistent
with SRK’s approach for the Mineral Resource Estimates previously
completed and is effective as of 28th February 2022.
The infill drilling and replacement of the RC
drilling at La India, along with additional
detailed deposit-scale surface mapping has resulted in increased
confidence in the geological interpretations which is reflected in
the new lithological-structural, mineralisation and weathering
models. Additional benefits include validating and updating the
depletion model associated with historic and artisanal mining
activities and obtaining additional density measurements to
supplement the existing database. Density values have been assigned
to estimation domains and oxidation zones.
The additional drilling at
Cacao and updated MRE has been successful in
demonstrating the potential growth of the underground Mineral
Resource on the Cacao vein. Drilling completed during 2021
confirmed the presence of the vein hidden below surface along
strike to the east, extending the current known strike to 950 m.
Drilling at depth has also returned wider intersections and higher
grades than noted near surface: the best drilling intercept was
returned from the current deepest drill hole some 260 m below
surface. The vein remains open along strike in both directions and
at depth. Further exploration is required to further test the
potential of the vein.
Sampling, QAQC & Mineral Resource
estimation methodology Drill core samples were prepared in
the Bureau Veritas Inspectorate Laboratory in Managua, Nicaragua
which is independent from Condor Gold. Pulp samples were then sent
to Bureau Veritas analytical Laboratory in Vancouver, British
Columbia, Canada. The core samples were analysed for gold (0.005
ppm detection limit) by fire assay using AAS finish, and silver at
a 2 ppm detection limit using four acid digest and AAS finish.
Sample results higher than 10 g/t gold were systematically
re-assayed using a gravimetric finish.
Condor has routine quality control procedures in
place which ensure that every batch of samples includes sample
repeats, commercial standards and blanks. SRK has reviewed the
QA/QC for the 2021 drilling, which included a site visit to La
India and did not identify any biases within the assay data. In
addition, SRK reviewed the data relating to the RC replacement
drilling and confirmed the re-assayed samples agreed within
acceptable levels with the original RC assays.
SRK has prepared the MRE for the La India vein
set utilising samples coded according to the geological model, with
samples composited and capped per domain. SRK has reviewed and
updated the statistical analysis, variography, grade interpolation
and resource classification, for each domain, as well as an updated
assessment of the reasonable prospects for eventual economic
extraction.
In order to standardize the reporting approach
SRK has reviewed the historical estimates for the Teresa, Arizona,
Agua Caliente, Guapinol, San Lucas and Cristalito-Tatescame veins.
These are still early-stage Mineral Resources and it was not
considered appropriate to run open pit design algorithms, so the
higher underground mining costs were applied as a default. This
differs from the approach taken in the previous Mineral Resources
estimated by SRK (22nd December 2011) in which costs intermediate
between open pit and underground mining were applied. These Mineral
Resources have been updated to reflect current price and cost
assumptions for underground mining, represented by a 2.0 g/t
cut-off grade over a minimum width of 1.0 m, as well as
additional depletion to account for mining under a crown
pillar.
Mineral Resources The total MRE
on La India Project does not reflect a material change in the
number of ounces of gold reported, being 1,087 Koz in the Indicated
Mineral Resource category and 1,189 Koz in the Inferred Mineral
Resource category, where this represents only a slight reduction of
4.7% in the Indicated and 0.9% in the Inferred Mineral Resources
compared to the previous MRE. The reduction in the ounces is due to
a combination of factors including:
- refinements in the geological interpretation including
steepening of the veins near surface on La India deposit.
- slightly lower density values in some zones of La India deposit
based on additional data and refined domaining.
- an updated depletion model to reflect artisanal mining at La
India Open Pit; and
- an increase in the reporting cut-off from 0.5 g/t Au to 0.65
g/t Au for the open pit resources, and from 1.5 g/t Au to 2.0g/t Au
along with the application of crown pillars (as depletion) to
reflect assumed underground mining on several historical
estimates.
The updated geological interpretations informing
the MRE reflect a higher degree of detail which is warranted for a
Feasibility level of study and is supported by closer-spaced infill
and RC-replacement diamond drilling within the upper portion of the
main La India pit, as well as additional detailed deposit-scale
surface mapping. This information has been integrated with the
previous data to inform a more robust litho-structural and
weathering interpretation and an updated model of the historic and
artisanal mine depletion.
The MRE continues to demonstrate the open pit
and underground mining potential of the La India Project. In
addition to the main La India Open Pit there are four satellite
pits that have the potential to provide additional mineralized
material to the fully permitted La India processing plant. At Cacao
the updated MRE substantially increased the Mineral Resources
potentially extractable by underground methods by 40 koz to 86 koz,
and also marginally increased the potential open pit Mineral
Resource by 1 koz to 15 koz, for a combined open pit and
underground Mineral Resource of 101 koz gold.
The Mineral Resources for three of the satellite
pits: La Mestiza vein set, America vein and Central Breccia, have
not been updated as no new work has been completed since the
previous January 2019 estimate. These three deposits represent an
aggregate 206 Kt at 9.9 g/t Au for 66,000 oz in the indicated
mineral resource category and 1,939 Kt at 3.3 g/t gold for 207,000
oz in the inferred mineral resource category. A drilling programme
of 8,004m has been completed on the Mestiza Vein Set to infill the
current Mineral Resources (RNS dated 10th March 2021). However,
assay results were received after the cut-off date for inclusion in
the MRE update. Therefore, at this stage these Mineral Resources
for La Mestiza have not been updated but will be included in future
estimates.
Table 1 presents the Mineral Resource Statement
for the La India Project (inclusive of the La India, America, La
Mestiza, Cacao, Central Breccia, San Lucas and Cristalito-Tatescame
deposits). Only the Mineral Resource estimates for the La India
vein set and Cacao veins have been updated since the previous
January 2019 MRE. The reporting criteria for the Teresa, Arizona,
Agua Caliente, Guapinol, San Lucas and Cristalito-Tatescame veins
has been updated to reflect a 2.0 g/t cut-off grade over a minimum
width of 1.0 m and introduction of a crown pillar depletion.
In completing the MREs, SRK has reviewed and completed the
necessary validation via visual checks, statistical analysis and
swath analysis sufficient to satisfy the requirement for reporting
Mineral Resources in the appropriate categories. Table 2 presents
the Mineral Resource Statement for the combined vein sets,
effective 28 February 2022. Mineral Resources are reported
inclusive of Mineral Reserves.
Table 1: SRK CIM Compliant Mineral
Resource Statement effective 28 February 2022 for La India
Project
MINERAL RESOURCE STATEMENT SPLIT PER VEIN as of February
28,
2022(7),(8),(9),(10),(11) |
|
Category |
Area Name |
Vein Name |
Cut-Off |
gold |
silver |
|
|
Tonnes (kt) |
Au Grade (g/t) |
Au (Koz) |
Ag Grade (g/t) |
Ag(Koz) |
|
Indicated |
La India Vein Set |
La India/ California(1)(6) |
0.65 g/t (OP) |
8,487 |
3.0 |
827 |
6.1 |
1,669 |
|
La India/ California(2) |
2.0 g/t (UG) |
391 |
5.0 |
63 |
10.6 |
134 |
|
America Vein Set |
America Mine(3) |
0.5 g/t (OP) |
114 |
8.1 |
30 |
4.9 |
18 |
|
America Mine(4) |
2.0 g/t (UG) |
470 |
7.3 |
110 |
4.7 |
71 |
|
Mestiza Vein Set |
Tatiana(3) |
0.5 g/t (OP) |
92 |
12.1 |
36 |
19.5 |
57 |
|
Tatiana(4) |
2.0 g/t (UG) |
118 |
5.5 |
21 |
11.3 |
43 |
|
Inferred |
La India Vein Set |
La India/ California(1)(6) |
0.65 g/t (OP) |
893 |
2.4 |
69 |
4.7 |
134 |
|
Teresa(1) |
0.65 g/t (OP) |
5 |
6.4 |
1 |
|
|
|
La India/ California(2) |
2.0 g/t (UG) |
1,142 |
5.6 |
206 |
12.2 |
446 |
|
Teresa(2) |
2.0 g/t (UG) |
85 |
10.9 |
30 |
|
|
|
Arizona(5) |
2.0 g/t (UG) |
399 |
4.3 |
56 |
|
|
|
Agua Caliente(5) |
2.0 g/t (UG) |
43 |
9.0 |
13 |
|
|
|
America Vein Set |
America Mine(3) |
0.5 g/t (OP) |
677 |
3.1 |
67 |
5.5 |
120 |
|
America Mine(4) |
2.0 g/t (UG) |
1,008 |
4.8 |
156 |
6.8 |
221 |
|
Guapinol(5) |
2.0 g/t (UG) |
497 |
5.9 |
94 |
|
|
|
Mestiza Vein Set(9) |
Tatiana(3) |
0.5 g/t (OP) |
220 |
6.6 |
47 |
13.6 |
97 |
|
Tatiana(4) |
2.0 g/t (UG) |
615 |
3.9 |
77 |
8.8 |
174 |
|
Buenos Aires(3) |
0.5 g/t (OP) |
120 |
9.8 |
38 |
|
|
|
Buenos Aires(4) |
2.0 g/t (UG) |
188 |
7.1 |
43 |
|
|
|
Espenito(4) |
2.0 g/t (UG) |
181 |
8.4 |
49 |
|
|
|
Central Breccia |
Central Breccia(3) |
0.5 g/t (OP) |
922 |
1.9 |
56 |
|
|
|
San Lucas |
San Lucas(5) |
2.0 g/t (UG) |
298 |
5.9 |
56 |
|
|
|
Cristalito-Tatescame |
Cristalito-Tatescame(5) |
2.0 g/t (UG) |
185 |
5.5 |
33 |
|
|
|
Cacao |
Cacao(1) |
0.65 g/t (OP) |
190 |
2.4 |
15 |
|
|
|
Cacao(2) |
2.0 g/t (UG) |
975 |
2.8 |
86 |
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) The La India and Cacao pits are amenable to open pit mining and
the Mineral Resource Estimates are constrained within Whittle
optimised pits, which SRK based on the following parameters: A Gold
price of USD1,800 per ounce of gold with no adjustments. Prices are
based on experience gained from other SRK Projects. Slope angles
defined by the Company Geotechnical study which range from angle 42
- 48°. Metallurgical recovery assumptions are set at 90.2% for
gold, based on testwork conducted to date. Marginal costs of
USD24.32/t for processing, USD7.50/t G&A and USD2.33/t for
mining, with consideration for mining royalties, but without
considering revenues from other metals. |
|
(2) Underground Mineral Resources beneath the open pit are reported
at a cut-off grade of 2.0 g/t Au over a minimum width of
1.0 m. Cut-off grades are based on a price of USD1,800 per
ounce of gold and gold recoveries of 90.2%, costs of USD24.32/t for
processing, USD7.5/t G&A and USD51.0/t for mining, with
consideration for mining royalties, but without considering
revenues from other metals. |
|
(3) The America, Central Breccia, La Mestiza pits are amenable to
open pit mining and the Mineral Resource Estimates are constrained
within Whittle optimised pits. No new work has been completed on
the Mineral Resources estimates for these projects since the
previous estimates (2019) which SRK based on the following
parameters: A Gold price of USD1,500 per ounce of gold with no
adjustments. Prices are based on experience gained from other SRK
Projects. Slope angles defined by the Company Geotechnical study
which range from angle 40 - 48°. Metallurgical recovery assumptions
are between 91-96% for gold, based on testwork conducted to date.
Marginal costs of USD19.36/t for processing, USD5.69/t G&A and
USD2.35/t for mining, a haul cost of USD1.25/t was added to the
Mestiza ore tonnes to consider transportation to the processing
plant, with consideration for mining royalties, but without
considering revenues from other metals. |
|
(4) Underground Mineral Resources beneath the America, Central
Breccia, La Mestiza open pits are reported at a cut-off grade of
2.0 g/t Au over a minimum width of 1.0 m. Cut-off
grades are based on a price of USD1,500 per ounce of gold and gold
recoveries of 91% for resources, costs of USD19.36/t for
processing, USD4.55/t G&A and USD50.0/t for mining, without
considering revenues from other metals. |
|
(5) Mineral Resources as previously estimated by SRK (22 December
2011), cut-off grade updated to reflect current price and cost
assumptions and using a 2.0 g/t Au over a minimum width
of 1.0 m. Cut-off grades are based on a price of USD1,800 per
ounce of gold and gold recoveries of 90.2% for resources, costs of
USD24.32/t for processing, USD7.5/t G&A and USD51.0/t for
mining, with consideration for mining royalties, but without
considering revenues from other metals. |
|
(6) The La India deposit Mineral Resource as reported considers the
current maximum limits for potential extraction. The current
operating permits consider a limitation from the current village
boundaries, which have been applied to the Mineral ReservesN. It is
the QP’s opinion there remains a reasonable prospect that this may
be revisited at a future date once mining commences, and relocation
of the La India village may be required. Further work will be
required on the costs associated to such relocation efforts, along
with the potential timelines to achieve the relocation. In order to
achieve this outcome Condor will need to submit an updated EIA and
receive environmental approval, where this will need to take
account stakeholder interests and concerns,and complete a
resettlement process. Such exercises require careful stakeholder
engagement. |
|
(7) Back calculated Inferred silver grade based on a total tonnage
of 4,569 Kt as no silver estimates for Teresa, Central Breccia,
Arizona, Agua Caliente, Guapinol, San Lucas, Cristalito-Tatescame
or Cacao inherently involve a degree of rounding and consequently
introduce a margin of error. Where these occur, SRK does not
consider them to be material. All composites have been capped where
appropriate. The Concessions are wholly owned by and exploration is
operated by Condor Gold plc |
|
(8) Mineral Resources that are not Mineral Reserves do not have
demonstrated economic viability. All figures are rounded to reflect
the relative accuracy of the estimate and have been used to derive
sub-totals, totals and weighted averages. Such calculations
inherently involve a degree of rounding and consequently introduce
a margin of error. Where these occur, SRK does not consider them to
be material. All composites have been capped where appropriate. The
Concessions are wholly owned by and exploration is operated by
Condor Gold plc. |
|
(9) Mineral Resources presented do not include any updated Mineral
Resource Estimates on the 2021 Mestiza drilling program completed
and reported on March 10, 2022, as it post-dates the effective date
for the current study. Updated Mineral Resources will be disclosed
in future updates. |
|
(10) The reporting standard adopted for the reporting of the MRE
uses the terminology, definitions and guidelines given in the
Canadian Institute of Mining, Metallurgy and Petroleum (CIM)
Standards on Mineral Resources and Mineral Reserves (May 2014) as
required by NI 43-101. |
|
(11) SRK has completed a site inspection to the deposit by Mr
Benjamin Parsons, MSc (MAusIMM(CP), Membership Number 222568, an
appropriate “independent qualified person” as this term is defined
in National Instrument 43-101. |
|
Table 2: SRK CIM Compliant Mineral Resource Statement
effective 28th February 2022 for the La India Project
SRK MINERAL RESOURCE STATEMENT as of 28 February
2022(7),(8),(9),(10),
(11) |
|
Category |
Area Name |
Vein Name |
Cut-Off |
gold |
silver |
|
|
Tonnes (kt) |
Au Grade (g/t) |
Au (koz) |
Ag Grade (g/t) |
Ag (koz) (7) |
|
Indicated |
Grand total |
All veins |
0.5g/t (OP)(3) |
206 |
9.9 |
66 |
11.4 |
75 |
|
|
0.65 g/t (OP)(1,6) |
8,487 |
3 |
827 |
6.1 |
1,669 |
|
|
2.0 g/t (UG)(2,4,5) |
979 |
6.2 |
194 |
7.9 |
248 |
|
Subtotal Indicated |
9,672 |
3.5 |
1,088 |
6.4 |
1,992 |
|
Inferred |
Grand total |
All
veins |
0.5g/t (OP)(3) |
1,939 |
3.3 |
208 |
3.5 |
217 |
|
|
0.65 g/t (OP)(1,6) |
1,087 |
2.4 |
84 |
4.7 |
134 |
|
|
2.0 g/t (UG)(2,4,5) |
5,616 |
5 |
898 |
9.5 |
841 |
|
Subtotal Inferred |
8,642 |
4.3 |
1,190 |
8.1(7) |
1,193 |
|
|
|
|
|
|
|
|
|
|
|
(1) The La India and Cacao pits are amenable to open pit mining and
the Mineral Resource Estimates are constrained within Whittle
optimised pits, which SRK based on the following parameters: A Gold
price of USD1,800 per ounce of gold with no adjustments. Prices are
based on experience gained from other SRK Projects. Slope angles
defined by the Company Geotechnical study which range from angle 42
- 48°. Metallurgical recovery assumptions are set at 90.2% for
gold, based on testwork conducted to date. Marginal costs of
USD24.32/t for processing, USD7.50/t G&A and USD2.33/t for
mining, with consideration for mining royalties, but without
considering revenues from other metals. |
|
(2) Underground Mineral Resources beneath the open pit are reported
at a cut-off grade of 2.0 g/t Au over a minimum width of
1.0 m. Cut-off grades are based on a price of USD1,800 per
ounce of gold and gold recoveries of 90.2%, costs of USD24.32/t for
processing, USD7.5/t G&A and USD51.0/t for mining, with
consideration for mining royalties, but without considering
revenues from other metals. |
|
(3) The America, Central Breccia, La Mestiza pits are amenable to
open pit mining and the Mineral Resource Estimates are constrained
within Whittle optimised pits. No new work has been completed on
the Mineral Resources estimates for these projects since the
previous estimates (2019) which SRK based on the following
parameters: A Gold price of USD1,500 per ounce of gold with no
adjustments. Prices are based on experience gained from other SRK
Projects. Slope angles defined by the Company Geotechnical study
which range from angle 40 - 48°. Metallurgical recovery assumptions
are between 91-96% for gold, based on testwork conducted to date.
Marginal costs of USD19.36/t for processing, USD5.69/t G&A and
USD2.35/t for mining, a haul cost of USD1.25/t was added to the
Mestiza ore tonnes to consider transportation to the processing
plant, with consideration for mining royalties, but without
considering revenues from other metals. |
|
(4) Underground Mineral Resources beneath the America, Central
Breccia, La Mestiza open pits are reported at a cut-off grade of
2.0 g/t Au over a minimum width of 1.0 m. Cut-off
grades are based on a price of USD1,500 per ounce of gold and gold
recoveries of 91% for resources, costs of USD19.36/t for
processing, USD4.55/t G&A and USD50.0/t for mining, without
considering revenues from other metals. |
|
(5) Mineral Resources as previously estimated by SRK (22 December
2011), cut-off grade updated to reflect current price and cost
assumptions and using a 2.0 g/t Au over a minimum width
of 1.0 m. Cut-off grades are based on a price of USD1,800 per
ounce of gold and gold recoveries of 90.2% for resources, costs of
USD24.32/t for processing, USD7.5/t G&A and USD51.0/t for
mining, with consideration for mining royalties, but without
considering revenues from other metals. |
|
(6) The La India deposit Mineral Resource as reported considers the
current maximum limits for potential extraction. The current
operating permits consider a limitation from the current village
boundaries, which have been applied to the Mineral Reserves. It is
the QP’s opinion there remains a reasonable prospect that this may
be revisited at a future date once mining commences, and relocation
of the La India village may be required. Further work will be
required on the costs associated to such relocation efforts, along
with the potential timelines to achieve the relocation. In order to
achieve this outcome Condor will need to submit an updated EIA and
receive environmental approval, where this will need to take
account stakeholder interests and concerns, and complete a
resettlement process. Such exercises require careful stakeholder
engagement. |
|
(7) Back calculated Inferred silver grade based on a total tonnage
of 4,555 Kt as no silver estimates for Teresa, Central Breccia,
Arizona, Agua Caliente, Guapinol, San Lucas, Cristalito-Tatescame
or Cacao. inherently involve a degree of rounding and consequently
introduce a margin of error. Where these occur, SRK does not
consider them to be material. All composites have been capped where
appropriate. The Concessions are wholly owned by and exploration is
operated by Condor Gold plc |
|
(8) Mineral Resources that are not Mineral Reserves do not have
demonstrated economic viability. All figures are rounded to reflect
the relative accuracy of the estimate and have been used to derive
sub-totals, totals and weighted averages. Such calculations
inherently involve a degree of rounding and consequently introduce
a margin of error. Where these occur, SRK does not consider them to
be material. All composites have been capped where appropriate. The
Concessions are wholly owned by and exploration is operated by
Condor Gold plc. |
|
(9) Mineral Resources presented do not include any updated Mineral
Resource estimates on the 2022 Mestiza drilling program completed
and reported on March 10, 2022, as it post-dates the effective date
for the current study. Updated Mineral Resources will be disclosed
in future updates. |
|
(10) The reporting standard adopted for the reporting of the MRE
uses the terminology, definitions and guidelines given in the
Canadian Institute of Mining, Metallurgy and Petroleum (CIM)
Standards on Mineral Resources and Mineral Reserves (May 2014) as
required by NI 43-101. |
|
(11) SRK has completed a site inspection to the deposit by Mr
Benjamin Parsons, MSc (MAusIMM(CP), Membership Number 222568, an
appropriate “independent qualified person” as this term is defined
in National Instrument 43-101. |
|
Figure 1: Location of the Mineral Resource
Estimates on La India Project showing known mineralised veins and
the area fully permitted for open pit
mining.https://www.globenewswire.com/NewsRoom/AttachmentNg/c2a3eb94-8b0f-4968-b22b-51ffaf66de0a
Background and Reporting
Standards
The reporting standard adopted for the reporting
of the Mineral Resource Estimate and Mineral Reserve Estimate is
the Canadian Institute of Mining, Metallurgy and Petroleum (“CIM”)
Standards on Mineral Resources and Mineral Reserves (May 2014) (the
“CIM Code”) as required by National Instrument 43-101 – Standards
of Disclosure for Mineral Projects adopted by the Canadian
Securities Administrators (“NI 43-101”). The CIM Code is an
internationally recognised reporting code which is aligned with the
Combined Reserves International Reporting Standards Committee
(“CRIRSCO”).
The Mineral Resource Estimate has been completed
by Ben Parsons, a Principal Consultant (Resource Geology) with SRK
Consulting (U.S.), Inc, who is a Member of the Australian Institute
of Mining and Metallurgy, MAusIMM(CP). Ben Parsons has some twenty
plus years’ experience in the exploration, definition and mining of
precious and base metal Mineral Resources. Ben Parsons is a
full-time employee of SRK Consulting (U.S.), Inc, an independent
Consultancy, and has sufficient experience which is relevant to the
style of mineralisation and type of deposit under consideration,
and to the type of activity which he is undertaking to qualify as a
“qualified person” as defined by NI 43-101 and as required by the
June 2009 Edition of the AIM Note for Mining and Oil & Gas
Companies. Ben Parsons consents to the inclusion in the
announcement of the matters based on their information in the form
and context in which it appears and confirms that this information
is accurate and not false or misleading.
The technical and scientific information in this
press release has been reviewed, verified and approved by Andrew
Cheatle, P.Geo., who is a “qualified person” as defined by NI
43-101.
Given the changes to Mineral Resources reported
for the La India Project herein are not considered material, the
Preliminary Economic Assessment presented in the PEA Technical
Report filed on SEDAR on the 25 October 2021 is considered to
remain valid, and therefore an updated Technical Report is not
deemed to be required at this stage. Condor are in the process on
preparing a Feasibility Study focusing on the open pit portion of
the La India Vein Set which will be reflected in an updated
Technical Report on completion.
For further information please visit
www.condorgold.com or contact:
Condor Gold plc |
Mark Child, Chairman and CEO +44 (0) 20 7493 2784 |
|
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|
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Beaumont Cornish Limited |
Roland
Cornish and James Biddle +44 (0) 20 7628 3396 |
|
|
|
|
SP Angel Corporate Finance LLP |
Ewan Leggat
+44 (0) 20 3470 0470 |
|
|
|
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H&P Advisory Limited |
Andrew Chubb
and Nilesh Patel +44 207 907 8500 |
|
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BlytheRay |
Tim Blythe
and Megan Ray +44 (0) 20 7138 3204 |
|
About Condor Gold plc: Condor
Gold plc was admitted to AIM in May 2006 and dual listed on the TSX
in January 2018. The Company is a gold exploration and development
company with a focus on Nicaragua.
On 25 October 2021 Condor announced the filing
of a Preliminary Economic Assessment Technical Report (“PEA”) for
its La India Project, Nicaragua on SEDAR https://www.sedar.com. The
highlight of the technical study is a post-tax, post upfront
capital expenditure NPV of US$418 million, with an IRR of 54% and
12 month pay-back period, assuming a US$1,700 per oz gold price,
with average annual production of 150,000 oz gold per annum for the
initial 9 years of gold production. The open pit mine schedules
have been optimised from designed pits, bringing higher grade gold
forward resulting in average annual production of 157,000 oz gold
in the first 2 years from open pit material and underground mining
funded out of cashflow. In August 2018, the Company announced that
the Ministry of the Environment in Nicaragua had granted the
Environmental Permit (“EP”) for the development, construction and
operation of a processing plant with capacity to process up to
2,800 tonnes per day at its wholly-owned La India Gold Project (“La
India Project”). The EP is considered the master permit for mining
operations in Nicaragua. Condor has purchased a new SAG Mill, which
has mainly arrived in Nicaragua. Site clearance and preparation is
at an advanced stage.
Environmental Permits were granted in April and
May 2020 for the La Mestiza and America open pits respectively,
both located close to La India. The La Mestiza open pit hosts 92 Kt
at a grade of 12.1 g/t gold (36,000 oz contained gold) in the
Indicated Mineral Resource category and 341 Kt at a grade of 7.7
g/t gold (85,000 oz contained gold) in the Inferred Mineral
Resource category. The America open pit hosts 114 Kt at a grade of
8.1 g/t gold (30,000 oz) in the Indicated Mineral Resource category
and 677 Kt at a grade of 3.1 g/t gold (67,000 oz) in the Inferred
Mineral Resource category. Following the permitting of the La
Mestiza and America open pits, together with the La India Open Pit
Condor has 1.12 M oz gold open pit Mineral Resources permitted for
extraction.
Disclaimer Neither the contents of the Company's
website nor the contents of any website accessible from hyperlinks
on the Company's website (or any other website) is incorporated
into, or forms part of, this announcement.
Qualified Persons
The Mineral Resource Estimate has been completed
by Ben Parsons, a Principal Consultant (Resource Geology) with SRK
Consulting (U.S.), Inc, who is a Member of the Australian Institute
of Mining and Metallurgy, MAusIMM(CP). Ben Parsons has some twenty
years’ experience in the exploration, definition and mining of
precious and base metal Mineral Resources. Ben Parsons is a
full-time employee of SRK Consulting (U.S.), Inc, an independent
Consultancy, and has sufficient experience which is relevant to the
style of mineralisation and type of deposit under consideration,
and to the type of activity which he is undertaking to qualify as a
“qualified person” as defined by NI 43-101 and as required by the
June 2009 Edition of the AIM Note for Mining and Oil & Gas
Companies.
Ben Parsons consents to the inclusion in the
announcement of the matters based on their information in the form
and context in which it appears and confirms that this information
is accurate and not false or misleading.
The technical and scientific information in this
press release has been reviewed, verified and approved by Andrew
Cheatle, P.Geo., a director of Condor Gold plc, Luc English,
C.Geol., the Resident Geologist of Condor Gold plc, and Gerald D.
Crawford, P.E., the Chief Technical Officer of Condor Gold plc,
each of whom is a “qualified person” as defined by NI 43-101.
Technical Information
Certain disclosure contained in this news
release of a scientific or technical nature has been summarised or
extracted from the technical report entitled “Technical Report on
the La India Gold Project, Nicaragua, October 2021”, dated October
22, 2021 with an effective date of September 9, 2021 (the
“Technical Report”), prepared in accordance with NI 43-101. The
Qualified Persons responsible for the Technical Report are Dr Tim
Lucks of SRK Consulting (UK) Limited, and Mr Fernando Rodrigues, Mr
Stephen Taylor and Mr Ben Parsons of SRK Consulting (U.S.) Inc. Mr
Parsons assumes responsibility for the Mineral Resource Estimate,
Mr Rodrigues the open pit mining aspects, Mr Taylor the underground
mining aspects and Dr Lucks for the oversight of the remaining
technical disciplines and compilation of the report.
Forward Looking Statements
All statements in this press release, other than
statements of historical fact, are ‘forward-looking information’
with respect to the Company within the meaning of applicable
securities laws, including statements with respect to: future
development and production plans, projected capital and operating
costs, mine life and production rates, metal or mineral recovery
estimates and Mineral Resource and Mineral Reserve estimates at the
La India Project. Forward-looking information is often, but not
always, identified by the use of words such as: "seek",
"anticipate", "plan", "continue", “strategies”, “estimate”,
"expect", "project", "predict", "potential", "targeting",
"intends", "believe", "potential", “could”, “might”, “will” and
similar expressions. Forward-looking information is not a guarantee
of future performance and is based upon a number of estimates and
assumptions of management at the date the statements are made
including, among others, assumptions regarding: future commodity
prices and royalty regimes; availability of skilled labour; timing
and amount of capital expenditures; future currency exchange and
interest rates; the impact of increasing competition; general
conditions in economic and financial markets; availability of
drilling and related equipment; effects of regulation by
governmental agencies; the receipt of required permits; royalty
rates; future tax rates; future operating costs; availability of
future sources of funding; ability to obtain financing and
assumptions underlying estimates related to adjusted funds from
operations. Many assumptions are based on factors and events that
are not within the control of the Company and there is no assurance
they will prove to be correct.
Such forward-looking information involves known
and unknown risks, which may cause the actual results to be
materially different from any future results expressed or implied
by such forward-looking information, including, risks related to:
mineral exploration, development and operating risks; estimation of
mineralisation and resources; environmental, health and safety
regulations of the resource industry; competitive conditions;
operational risks; liquidity and financing risks; funding risk;
exploration costs; uninsurable risks; conflicts of interest; risks
of operating in Nicaragua; government policy changes; ownership
risks; permitting and licencing risks; artisanal miners and
community relations; difficulty in enforcement of judgments; market
conditions; stress in the global economy; current global financial
condition; exchange rate and currency risks; commodity prices;
reliance on key personnel; dilution risk; payment of dividends; as
well as those factors discussed under the heading “Risk Factors” in
the Company’s annual information form for the fiscal year ended
December 31, 2021 dated March 29, 2022 and available under the
Company’s SEDAR profile at www.sedar.com.
Although the Company has attempted to identify
important factors that could cause actual actions, events or
results to differ materially from those described in
forward-looking information, there may be other factors that cause
actions, events or results not to be as anticipated, estimated or
intended. There can be no assurance that such information will
prove to be accurate as actual results and future events could
differ materially from those anticipated in such statements. The
Company disclaims any intention or obligation to update or revise
any forward-looking information, whether as a result of new
information, future events or otherwise unless required by law.
Technical Glossary
Au |
Gold |
Breccia |
A rock made up of angular rock fragments cemented together by a
finer grained matrix |
Diamond core drilling |
A drilling method in which penetration is achieved through abrasive
cutting by rotation of a diamond encrusted drill bit. This drilling
method enables collection of tubes of intact rock (core) and when
successful gives the best possible quality samples for description,
sampling and analysis of an ore body or mineralised structure. |
Fault |
The plane along which two rock masses have moved or slide against
each other in opposing directions |
Grade |
The proportion of a mineral within a rock or other material. For
gold mineralisation this is usually reported as grams of gold per
tonne of rock (g/t) |
g/t |
grams per tonne |
Indicated Mineral Resource |
That part of a Mineral Resource for which tonnage, densities,
shape, physical characteristics, grade and mineral content can be
estimated with a reasonable level of confidence. It is based on
exploration, sampling and testing information gathered through
appropriate techniques from locations such as outcrops, trenches,
pits, workings and drill holes. The locations are too widely or
inappropriately spaced to confirm geological and/or grade
continuity but are spaced closely enough for continuity to be
assumed. |
Inferred Mineral Resource |
That part of a Mineral Resource for which tonnage, grade and
mineral content can be estimated with a low level of confidence. It
is inferred from geological evidence and assumed but not verified
geological and/or grade continuity. It is based on information
gathered through appropriate techniques from locations such as
outcrops, trenches, pits, workings and drill holes that may be
limited, or of uncertain quality and reliability, |
IRR |
The Internal Rate of Return (IRR) is the discount rate that
makes the net present value (NPV) of a project zero. In other
words, it is the expected compound annual rate of return that will
be earned on a project or investment |
Kt |
Thousand tonnes |
Mineral Resource Estimate |
A concentration or occurrence of material of economic interest in
or on the Earth’s crust in such a form, quality, and quantity that
there are reasonable and realistic prospects for eventual economic
extraction. The location, quantity, grade, continuity and other
geological characteristics of a Mineral Resource are known,
estimated from specific geological knowledge, or interpreted from a
well constrained and portrayed geological model. |
Mineral Reserve |
A ‘Mineral Reserve’ is the economically mineable part of a Measured
and/or Indicated Mineral Resource. It includes diluting materials
and allowances for losses, which may occur when the material is
mined. Appropriate assessments and studies have been carried out
and include consideration of and modification by realistically
assumed mining, metallurgical, economic, marketing, legal,
environmental, social and governmental factors. These assessments
demonstrate at the time of reporting that extraction could
reasonably be justified. Ore Reserves are sub-divided in order of
increasing confidence into Probable Ore Reserves and Proved Ore
Reserves. |
NI 43-101 |
Canadian National Instrument 43-101 a common standard for reporting
of identified mineral resources and mineral reserves |
NPV |
Net Present Value (NPV) is the value of all future cash
flows (positive and negative) over the entire life of an
investment discounted to the present. NPV analysis is a form of
intrinsic valuation and is used extensively
across finance and accounting for determining the value
of a business, investment security, capital project, new venture,
cost reduction program, and anything that involves cash flow. It is
after deducting the upfront capital cost |
Open pit mining |
A method of extracting minerals from the earth by excavating
downwards from the surface such that the ore is extracted in the
open air (as opposed to underground mining). |
Strike length |
The longest horizontal dimension of an ore body or zone of
mineralisation. |
Vein |
A sheet-like body of crystallised minerals within a rock, generally
forming in a discontinuity or crack between two rock masses.
Economic concentrations of gold are often contained within vein
minerals. |
Condor Gold (TSX:COG)
과거 데이터 주식 차트
부터 11월(11) 2024 으로 12월(12) 2024
Condor Gold (TSX:COG)
과거 데이터 주식 차트
부터 12월(12) 2023 으로 12월(12) 2024