VANCOUVER,
Feb. 28, 2013 /CNW/ - Gitennes
Exploration Inc. ("Gitennes or the Company", GIT-TSXV) has been
advised by AndeanGold Ltd. of the results from a surface channel
sampling programme completed over the Candual, La Mariscala East,
and La Mariscala South Veins on the Company's Urumalqui Silver-Gold
Project in Peru. These veins are
located south of the Urumalqui Vein, the principal vein on the
Project, which was the focus of AndeanGold's 2010 - 2012
exploration activities. AndeanGold is exploring Urumalqui under the
terms of two agreements.
The results are for recently released channel samples collected
at 25 metre-spaced intervals. The samples were taken utilizing a
portable rock saw. These structures had not been previously sampled
in detail.
Assay results highlights include:
Vein
Name |
Trench
Number |
Width
(metres) |
Silver
(g/t) |
Gold
(g/t) |
Silver
Equivalent
(g/t) |
Silver
Equivalent
(oz/t) |
Candual West
Exposed Length:
375 metres |
TRC-OOO-W |
1.80 |
68.3 |
0.951 |
115.8 |
3.7 |
TRC-100-W |
4.70 |
62.2 |
0.616 |
92.9 |
2.9 |
TRC-125-W |
2.00 |
32.8 |
0.683 |
67.0 |
2.1 |
TRC-150-W |
3.20 |
77.5 |
0.869 |
120.9 |
3.9 |
TRC-175-W |
2.50 |
85.4 |
0.873 |
129.0 |
4.1 |
TRC-250-W |
1.70 |
118 |
0.189 |
127 |
4.1 |
TRC-275-W |
1.00 |
25.5 |
2.100 |
130.5 |
4.2 |
TRC-300-W |
1.20 |
50.5 |
1.090 |
105.0 |
3.4 |
TRC-375-W |
1.60 |
174 |
0.404 |
194.7 |
6.2 |
Candual East
Exposed Length:
600 metres |
TRC-050-E |
4.80 |
51.3 |
0.955 |
99.0 |
3.2 |
TRC-075-E |
5.60 |
11.6 |
1.089 |
66.1 |
2.1 |
TRC-100-E |
3.20 |
40.6 |
1.775 |
129.4 |
4.1 |
TRC-125-E |
5.70 |
31.4 |
1.071 |
84.9 |
2.7 |
TRC-150-E |
4.30 |
7.9 |
0.789 |
47.4 |
1.5 |
TRC-175-E |
1.60 |
63.1 |
0.752 |
100.7 |
3.2 |
La Mariscala
East
Exposed Length:
225 metres |
TRME-050 |
4.00 |
22.8 |
0.841 |
64.9 |
2.1 |
TRME-075 |
2.40 |
20.4 |
1.009 |
70.8 |
2.3 |
TRME-100 |
2.70 |
38.1 |
0.363 |
56.2 |
1.8 |
including |
1.00 |
95.4 |
0.860 |
138.4 |
4.4 |
TRME-175 |
2.30 |
49.3 |
0.525 |
75.5 |
2.4 |
TRME-200 |
2.00 |
227 |
0.639 |
259 |
8.3 |
TRME-225 |
2.00 |
264 |
0.555 |
264 |
8.5 |
La Mariscala
South
Exposed Length:
450 metres |
TRMS-050 |
1.00 |
152 |
0.266 |
165 |
5.3 |
TRMS-150 |
0.50 |
90.9 |
1.635 |
172.6 |
5.5 |
TRMS-325 |
2.40 |
247 |
0.644 |
279 |
8.9 |
Silver Equivalent: Equivalent grams or ounces of silver based on
gold to silver ratio of 50:1, assuming 100% recoveries.
oz/t: Ounces per metric tonne.
- The Candual Vein is a 1,000 metre-long zone of quartz veining,
brecciation and silicification. The West and East segments are
separated by a ravine. The trench assay results have highlighted an
area of interest covering an approximate 550 metre length
comprising of the eastern 375 metre-long end Candual West outcrop
and the continuing western 175 metres end of the Candual East
outcrop.
- The La Mariscala East Vein also exhibits quartz veining,
brecciation and silicified wall rock and has been trenched over a
length of 225 metres. This is a second target of strong interest.
The vein appears to extend a further 400 metres to the west, and
AndeanGold is attempting to negotiate access to this area with the
surface owners. Additional trenching, channel and outcrop sampling
is reportedly underway at the eastern end of the vein and on newly
exposed veins and breccia zones between the La Mariscala East and
Candual East Veins.
- The overall gold and silver assay values of the trenches from
the La Mariscala South Vein outcrop (approximately 450 metres in
length) were relatively low, except for the results noted.
- Gitennes had previously completed very limited, wide-spaced
drilling on these veins, including the La Mariscala West Vein
(approximately 500 metres in length) which AndeanGold has not
trenched and sampled in detail. The La Mariscala West Vein runs
sub-parallel to the Urumalqui Vein and is located approximately 800
metres to the south.
All of the trench rock samples were submitted to the ALS
Minerals Laboratory in Callao, Lima,
Peru for analysis by Inductively Coupled Plasma (ICP) -
Atomic Emission Spectroscopy, fire assay and gravimetric
techniques. AndeanGold has a QA/QC programme in place that includes
placing blanks, standard reference materials and field duplicate
inserted into the sample shipments.
The information in this release is based upon that supplied by
AndeanGold Ltd. with additional information available on its
website (www.andeangoldltd.com). The technical information in
this release has been reviewed by J. Blackwell (P.Geo.), a
Qualified Person as defined by National Instrument 43-101.
About Urumalqui:
Urumalqui is an advanced silver-gold project located
approximately 70 kilometres by road east of the port city of
Trujillo, Perú. Gitennes acquired Urumalqui in 2002-2003 in joint
venture with Meridian Gold Inc. In June
2005 the companies terminated the agreement and Gitennes
assumed 100% control of the project. Exploration activities between
2003 and 2008 included three core drilling campaigns totalling 47
holes. In 2010 the project was optioned to AndeanGold Ltd whom
undertook a fourth diamond drilling campaign (31 holes totalling
5,071 metres). In November 2011 an
Initial Resources Estimate for the Urumalqui Vein (the principal
focus of drilling up to that date) was prepared by Mine and Quarry
Engineering Services, Inc. The technical report supporting the
estimate is available under both AndeanGold and Gitennes' company
profiles at www.sedar.com.
Gitennes has two agreements with AndeanGold that allows
AndeanGold to own 100% of Urumalqui, providing AndeanGold honours
the terms of both agreements:
#1) Option to acquire a 60% interest, AndeanGold
must complete
a) |
$3,000,000 of qualifying expenditures on the project over a
four (4) year term commencing July 8, 2010 and ending July 7,
2014, |
b) |
3,000 metres of drilling by July 7, 2012 (completed) and 7,000
metres of cumulative drilling by July 7, 2013, and |
c) |
AndeanGold issuing Gitennes a total of 80,000 shares in four
tranches, with the remaining 20,000 shares due by July 7,
2013. |
#2) Share Sale and Mining Agreement to acquire remaining 40%
interest, AndeanGold must exercise and meet the terms of the 60%
option and make the following payments to Gitennes:
|
|
|
|
Cash Payments |
Share Payments |
On Signing Memorandum of Understanding
(received) |
$ 125,000 |
none |
On Signing Agreement (received) |
125,000 |
200,000 |
By November 17, 2012 (received) |
250,000 |
200,000 |
By May 17, 2013 |
350,000 |
250,000 |
By November 17, 2013 |
400,000 |
250,000 |
By May 17, 2014 |
500,000 |
500,000 |
By November 17, 2014 |
1,000,000 |
600,000 |
|
|
|
Total Payments |
$2,750,000 |
2,000,000 |
On AndeanGold fulfilling the terms of both
agreements Gitennes shall be entitled to a 1% Net Smelter Returns
royalty on the Project with total payments limited to a maximum
pay-out of $1,250,000.
Ken Booth,
President
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
DISCLAIMER: This news release includes
certain statements, other than historical information, that may be
deemed "forward-looking statements". All statements in this
release, other than statements of historical facts, including,
without limitation, statements regarding future plans and
objectives of the companies are forward-looking statements that
involve various risks and uncertainties. Although Gitennes believes
the expectations expressed in such forward-looking statements are
based on reasonable assumptions, such statements are not guarantees
of future performance and actual results or developments may differ
materially from those in the forward-looking statements.
Forward-looking statements are based on a number of material
factors and assumptions. Factors that could cause actual results to
differ materially from those in forward-looking statements include
general economic, market or business conditions, and other risks
detailed herein and from time to time in the filings made by the
companies with securities regulators. Mineral exploration and
development of mines is an inherently risky business. Accordingly
the actual events may differ materially from those projected in the
forward-looking statements. Historical information necessarily is
not current and is provided for your reference only. No warranty
whatsoever is made that any of the historical information is
accurate, precise, or up-to-date. For more information on Gitennes
and the risks and challenges of their businesses, investors should
review their annual filings that are available at
www.sedar.com.
This press release does not constitute an
offer to sell or a solicitation to buy any of the securities of
Gitennes in the United States.
SOURCE Gitennes Exploration Inc.