TORONTO, Nov. 12, 2015
/CNW/ - Anaconda Mining Inc. ("Anaconda" or "the Company") – (TSX:
ANX) is pleased to announce the receipt of key permits and releases
from the Government of Newfoundland and Labrador regarding the Stog'er Tight gold
project, located approximately 3.5 kilometres east of the Pine Cove
mill along the Pine Cove mine road (Please see Exhibit "A" for
location map).
Anaconda is permitted to mine the Stog'er Tight deposit within
the limits set out in the approved Development, Rehabilitation and
Closure Plan submitted to the Government of Newfoundland and Labrador. The Stog'er Tight deposit contains
204,100 tonnes of Indicated Resources grading 3.59 grams per tonne
("g/t") and 252,000 tonnes of Inferred Resources grading 3.27 g/t
(see press release dated October 22,
2015). Anaconda anticipates test-mining the Stog'er Tight
deposit during the upcoming fiscal third quarter ending
February 2016 to evaluate and
optimize blasting and grade control techniques, determine mine/mill
scheduling and assess ore processing at the Pine Cove mill. Upon
the completion of the test mining program, Anaconda will pursue the
second phase of its development plan, pending dump condemnation
work.
President and CEO, Dustin Angelo,
states, "As we grow the resource at Stog'er Tight through
exploration, we are also conducting detailed studies to evaluate
the feasibility of mining at a larger scale. The permits
received from the Government of Newfoundland and Labrador allow Anaconda to begin test mining
as part of the evaluation, which represents a significant milestone
towards developing a larger scale project. Our goal is to
ultimately build a mine with a minimum life of five years at our
current production rate. Coupled with the existing Pine Cove pit
and the extension potential there, we could extend the life of the
Point Rousse Project to over 10 years."
The Government of Newfoundland
and Labrador, Department of
Environment and Conservation ("DOEC"), has released Anaconda from
further environmental assessment. In correspondence received
by Anaconda, the DOEC states that registration is not required
under Section 47 of the Environmental Protection Act, SNL 2002,
cE-14.2. This decision has been made because of the existence of
sufficient data collected during a previous environmental
assessment conducted on the Stog'er Tight project in 2010.
In addition, the Company completed other important test work on
the Stog'er Tight deposit. Anaconda conducted acid rock drainage
("ARD") testing at the RPC Science & Engineering ("RPC") lab
based in Fredericton, New
Brunswick, which indicated that the ore and waste rock are
non-acid generating. Consequently, the Company does not anticipate
ARD issues related to waste rock storage and ore tailings can be
stored in the existing Pine Cove tailings facility. Furthermore,
flotation testing conducted at the RPC lab, simulating the Pine
Cove mill conditions, returned recoveries between 96.6% and 97.2%,
which exceed flotation recoveries achieved from Pine Cove deposit
ore. This initial testing has concluded that the Stog'er Tight
material could be blended with the current Pine Cove pit without
having to make any significant modifications to the Pine Cove mill
circuit.
This news release has been reviewed and approved
by Gordana Slepcev, P. Eng., Manager Technical Services with
Anaconda Mining Inc., a "Qualified Person", under National
Instrument 43-101 Standard for Disclosure for Mineral
Projects.
ABOUT ANACONDA
Headquartered in Toronto,
Canada, Anaconda is a growth oriented gold mining and
exploration company with a producing project, called the Point
Rousse Project, and approximately 6,300 hectares of exploration
property on the Ming's Bight Peninsula located in the Baie Verte
Mining District in Newfoundland,
Canada. Since 2012, Anaconda has increased its property
control by ten-fold. It is currently exploring three primary
prospective gold trends which have approximately 20 kilometres of
cumulative strike length and include four deposits and numerous
prospects and showings, all within 8 kilometres of the Pine Cove
mill. The Company's plan is to discover and develop more resources
within the project area and double annual production from its
current rate of approximately 15,000 ounces to 30,000 ounces.
FORWARD LOOKING STATEMENTS
This document contains or refers to forward-looking
information. Such forward-looking information includes, among other
things, statements regarding growth and is based on current
expectations and assumptions of management that involve a number of
business risks and uncertainties. Factors that could cause actual
results to differ materially from any forward-looking statements
include, but are not limited to: the expectations of the Company in
expanding Mineral Resources and project mine life and the timing
thereof, current and future market trends and growth opportunities
and whether the Company will be able to capitalize upon them.
Forward-looking statements may include words such as "plans,"
"may," "estimates," "expects," "indicates," "targeting,"
"potential" and similar expressions. These forward-looking
statements are based on current expectations and are subject to
significant risks and uncertainties, including the risks factors
outlined in the Company's latest annual information form and other
continuous disclosure documents filed at www.sedar.com, and other
factors that could cause actual results to differ materially from
expected results. Readers should not place undue reliance on
forward-looking statements. These forward-looking statements are
made as of the date hereof and the Company assumes no
responsibility to update them or revise them to reflect new events
or circumstances, except as required by law.
SOURCE Anaconda Mining Inc.