- Revised underground drill assay result increases the grade of VG(1) intercept in hole UDH4051 located down-plunge of
Swan Zone , 500 m(1) from deepest Mineral Reserves- Key intercept: 51.7 g/t(1) over 2.6 m (ETW(1) 2.2 m) revised to 207 g/t(1) Au over 2.6 m(1) (ETW(1) 2.2 m(1))
(1) Abbreviations include: VG – Visible Gold; m – metres; g/t – grams per tonne gold; ETW – estimated true width.
The drill result initially reported for the Lower Phoenix VG intercept was 51.7 g/t Au over 2.6 m (ETW 2.2 m), including 215 g/t over 0.6 m (ETW 0.5 m) in hole UDH4051. However, the revised intercept is 207 g/t Au over 2.6 m (ETW 2.2 m), including 947 g/t Au over 0.6 m (ETW 0.5 m). The grade revision for the intercept represents a four-fold increase from the previously reported result. The revision followed additional review of the assays released on
The error in the initial report was identified during a subsequent review of the sample batch, which was assayed using an Atomic Absorption Spectrometry (AAS) instrument to measure gold in solutions. The analytical method required solutions for extremely high-grade gold samples to be diluted, and dilution calculations applied to the AAS readings to return the gold assay. On Site Laboratory Services identified that a transcription error had occurred, and that a dilution calculation had not been applied to two results in their initial report.
Comparable results for the updated UDH4051 intercept have since been returned for screen fire (metallic screening) assay, and the Chrysos PhotonAssay techniques.
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For further information regarding the Company’s 2020 Mineral Reserves and Mineral Resources estimates for the
Drilling and Underground Sampling Assay QAQC
Sampling of diamond drill hole UDH4051 consisted of full core sampled that was sent to an independent laboratory for analysis. Sample pulps are returned from the assay laboratory for reference and future geological or metallurgical studies. Drill core sample intervals vary between 0.1 and 1.0m in length and were determined from logging of sulfide and VG to geological boundaries.
For assay QAQC purposes Certified Reference Material (CRM) and Blank samples are inserted into the sample stream at rates of approximately 1 in 25.
Samples containing visible-gold or considered likely to contain visible-gold were separated from sulfide gold samples and dispatched separately for assaying. At the laboratory “visible-gold” jobs were processed through a single pulverizer and material barren of gold (‘quartz wash’) was crushed before and after each sample to minimize the potential for gold to contaminate successive samples.
Assays are based on a 25-gram fire assay method. Samples containing VG or returning high-grade fire assay results are also verified by Screen fire assaying (metallic screening) with either Atomic Absorption Spectroscopy (AAS) or Gravimetric finish. Mean grades are calculated using a variable lower grade cut-off (generally 2 g/t Au) and maximum 2 m internal dilution. No upper gold grade cut-off is applied to the data. However, during future Mineral Resource studies the requirement for assay top cutting will be assessed.
The samples were assayed at On Site Laboratory Services, an independent laboratory in Bendigo,
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This News Release includes certain “forward-looking statements”. All statements other than statements of historical fact included in this release are forward-looking statements that involve various risks and uncertainties. These forward-looking statements include, but are not limited to, statements with respect to planned exploration programs, costs and expenditures, the potential for the discovery of additional high-grade mineralized zones at the
Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects” or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “estimates” or “intends”, or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved) are not statements of historical fact and may be “forward-looking statements.” Forward-looking statements are subject to a variety of risks and uncertainties that could cause actual events or results to differ from those reflected in the forward-looking statements. Exploration results that include geophysics, sampling, and drill results on wide spacings may not be indicative of the occurrence of a mineral deposit. Such results do not provide assurance that further work will establish sufficient grade, continuity, metallurgical characteristics and economic potential to be classed as a category of mineral resource. A mineral resource that is classified as “inferred” or “indicated” has a great amount of uncertainty as to its existence and economic and legal feasibility. It cannot be assumed that any or part of an “indicated mineral resource” or “inferred mineral resource” will ever be upgraded to a higher category of resource. Investors are cautioned not to assume that all or any part of mineral deposits in these categories will ever be converted into proven and probable reserves. Among the key factors that could cause actual results to differ materially from those projected in the forward looking information are the following: the future impacts of COVID 19 and any government response to COVID 19, the ability of the Company to continue operations at its mine sites in lieu of the pandemic, its ability to reduce the spread of COVID 19 through the implementation of various COVID 19 screening and health and safety protocols at site, future planned exploration activities, risks relating to first nations and Aboriginal heritage, currency exchange rates (such as the Canadian dollar and the
There can be no assurance that forward-looking statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include, among others, risks related to international operations, risks related to obtaining the permits required to carry out planned exploration or development work, the actual results of current exploration activities, conclusions of economic evaluations and changes in project parameters as plans continue to be refined as well as future prices of gold, as well as those factors discussed in the section entitled “Risk Factors” in the Company’s Annual Information Form, financial statements and related MD&A for the periods ended
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Table 1: Drill Assay Intercepts for the Lower Phoenix Faults at
(The results are later than those used for the
Hole ID | From (m) | To (m) | Downhole Interval (m) | Estimated True Width (m) | Gold Grade (g/t Au) | Geological Structure |
Revised Intercept – This News Release | ||||||
UDH4051(1) | 263.45 | 266.04 | 2.59 | 2.2 | 207 | Lower Phoenix |
Including(1) | 265.49 | 266.04 | 0.55 | 0.5 | 947 | Lower Phoenix |
Previously Reported Intercept – | ||||||
UDH4051(1) | 263.45 | 266.04 | 2.59 | 2.2 | 51.7 | Lower Phoenix |
Including(1) | 265.49 | 266.04 | 0.55 | 0.5 | 215 | Lower Phoenix |
Notes:
(1) - Visible gold observed in drill intercept.
Table 2: Underground Diamond Drill Hole Collar Location,
(Collar locations are in Fosterville Mine Grid coordinate system)
Hole ID | Northing (m) | Easting (m) | Elevation (m) | Collar Azimuth (°) | Collar Plunge (°) | Total Depth (m) | Drilled Metres |
Lower | |||||||
UDH4051 | 5,484 | 1,541 | 3,776 | 93.4 | -56.5 | 296.8 | 296.8 |
Figure 1
Longitudinal Projection – Fosterville Gold Mine
Figure 2
Longitudinal Projection – Swan/Lower Phoenix South Mineralization
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