Exploration Drilling Adds Gold & Silver Resources
Highlights of the Updated Moss Mineral Resource Estimate:
- Total measured and indicated mineral resources of 360,000 ounces of gold and 3,888,000 ounces of silver within 20,560,000 tons at an average grade of 0.0175 oz/st gold and 0.2171 oz/st silver;
- Inferred mineral resources of 129,000 ounces of gold and 1,375,000 ounces of silver within 11,960,000 tons at an average grade of 0.0108 oz/st gold and 0.1149 oz/st silver; and
- Additional infill drilling to depth has the potential to further expand the mineral resource in the
West Pit area. The mineral resource further to the west of the area drilled in 2019 has the potential to increase with additional infill drilling.
2020 Moss Mine Mineral Resource Estimate
Category | Tons | Au | Ag | Au | Ag |
Measured | 2,270,000 | 0.0232 | 0.2533 | 53,000 | 575,000 |
Indicated | 18,290,000 | 0.0168 | 0.2126 | 307,000 | 3,888,000 |
Measured and Indicated | 20,560,000 | 0.0175 | 0.2171 | 360,000 | 4,463,000 |
Inferred | 11,960,000 | 0.0108 | 0.1149 | 129,000 | 1,375,000 |
The updated mineral resource estimate disclosed herein is effective as of
The resource estimate update found that from the start of operations to
Mineral Resources for the project were classified under the 2014 CIM Definition Standards for Mineral Resources and Mineral Reserves by applying a cut-off grade that incorporated mining and metallurgical recovery parameters. Pit constrained Mineral Resources are based on commodity prices, metallurgical recoveries and operating costs. The mineral resource includes depletion from mining activities up to
Resource Expansion Opportunities
Completion of previous exploration programs have provided the main catalyst for the Company to successfully update the mineral resource estimate and demonstrate the potential upside exploration at Moss. As a result, Northern Vertex is currently in the process of preparing permits and assessing plans for the next phase of resource expansion drilling.
Management believes that near mine exploration and infill targets have the potential to significantly increase the Property's mineral resource estimate. Between the most recent infill drilling and the current center pit, there is an area not included in the resource estimate which could be host to high-grade material in the Moss vein. The deposit is open on strike and infill drilling would follow up on positive reconciliation of gold and silver mineralization, confirmed by mining operations within the hanging wall of vein in the current pit.
Moss Mine Mineral Resource Estimate Notes
- MTS reviewed Golden Vertex's quality assurance and quality control programs on the 2019 mineral resources data. MTS concluded that the collar, survey, assay, and lithology data are adequate to support mineral resources estimation. The exploration database has been reviewed and audited previously by the QP.
- Domains were modelled in 3D to separate mineralized rock types from surrounding waste rock. The domains were modelled based on quartz veining and gold grade continuity above a 0.008 oz/st cut-off.
- Raw drill hole assays were composited to 20 ft lengths broken at domain boundaries.
- Capping of high grades was considered necessary and was completed for each domain on assays prior to compositing.
- Block grades for gold and silver were estimated from the composites using ordinary kriging interpolation into 20 x 20 x 20 ft blocks coded by domain.
- A tonnage factor of 12.77 ft/ton was used for material with a depth less than 12 m from surface. A tonnage factor of 12.42 ft/ton was used for all other material. The tonnage factors are based on 506 specific gravity measurements.
- Blocks were classified as Measured, Indicated and Inferred in accordance with CIM Definition Standards 2014. The Mineral Resource classification parameters were converted to Imperial units from the original drill hole spacing study completed in 2014.
- MTS classified blocks to the Inferred category if the block fell within 330 ft of a composite. Indicated blocks were classified if the distance to the closest composite, the second closest composite and the average distance from the two closest drill holes was less than 125 ft. These distances approximate a drill hole spacing of 165 ft (or a 50 meter drill hole spacing).
- MTS classified blocks to the Measured category if the distance to the closest composite, the distance to the second closest composite, the distance to the third closest hole and the average distance from the three closest holes were all less than 50 ft (approximating an 80 ft by 40 ft drill hole spacing).
- The mineral resource estimate is constrained within an optimised pit with a maximum slope angle of 65◦. Metal prices of
$1,400 /oz and$18.0 /oz were used for gold and silver respectively. Metallurgical recoveries of 82% for gold and 65% for silver were applied. A 0.006 oz/st gold cut-off was estimated based on a total process and G&A operating cost of$7.73 /t of mineralized material mined. - No assurance can be given that the estimated quantities will be produced. All figures have been rounded to reflect accuracy and to comply with securities regulatory requirements. Summations within the tables may not agree due to rounding.
- Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues. Further details regarding such risks are described in the Technical Report.
- The quantity and grade of reported inferred resources in this estimation are based on limited geological evidence and sampling. There has been insufficient exploration to define these inferred resources as an indicated or measured mineral resource and it is uncertain if further exploration will result in upgrading them to an indicated or measured mineral resource category.
QA/QC
Samples of drill cuttings were collected by the drilling crew using a wet rotary splitter to ensure a representative sample of each five-foot interval. Field notes were recorded for each sample documenting what was sampled and how the sample was taken. Samples were collected in bags with a sample tag inserted and delivered to a secure location prior to pick-up by
At the lab, rock samples are dried, crushed and pulverized to 85% passing through a 200-mesh sieve. The pulps are assayed for gold using a 30 gram split, Fire Assay (FA) and Atomic Absorption (AA) finish. Pulps from select samples were further analyzed using a 15 gram split using 41-elements ICP. Silver assays used the fire assay data. Over limit assays for both gold and silver (10 g/t for gold and 100 g/t for silver) were rerun using a gravimetric procedure. Rejects and pulps are stored at Golden Vertex's warehouse in
Qualified Person
The foregoing technical information contained in this news release has been prepared and approved in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 (Standards for Disclosure for Minerals Projects) by Messrs.
About
ON BEHALF OF THE BOARD OF NORTHERN VERTEX
"Kenneth Berry"
President & CEO
Neither
Cautionary Note Regarding Forward-Looking Statements:
Forward-Looking Statements: The information in this news release has been prepared as at
Forward-looking statements are necessarily based upon a number of factors and assumptions that, while considered reasonable by the Company as of the date of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Many factors, known and unknown, could cause actual results to be materially different from those expressed or implied by such forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. Except as otherwise required by law, the Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statements to reflect any change in the Company's expectations or any change in events, conditions or circumstances on which any such statement is based.
Cautionary Note to US Investors: This news release may contain information about adjacent properties on which we have no right to explore or mine. We advise US investors that the
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