TORONTO, Nov. 27, 2019 /CNW/ - Anaconda Mining Inc.
("Anaconda" or the "Company") (TSX: ANX) (OTCQX: ANXGF) is pleased
to announce the initiation of trenching and drilling at key
exploration targets at the Tilt Cove Gold Project ("Tilt Cove"),
located within the Baie Verte Mining District in Newfoundland, approximately 45 kilometres by
road from the Company's Pine Cove Mill (Exhibit A). Tilt Cove is a
significant, recently consolidated land package encompassing the
same geological trend as the past producing, high-grade Nugget Pond
Mine, which had an average recovered grade of 9.85 g/t gold. Tilt
Cove covers a 20-kilometre strike extent of the Betts Cove Complex,
a highly prospective geological terrane including the Nugget Pond
Horizon, the iron-rich sedimentary unit that hosts the
past-producing Nugget Pond Mine (Exhibit A).
Since providing an update on September 5,
2019, Anaconda has received final results from a LiDAR
survey over the entire area, detailed drone magnetic survey (453
line-kilometres) covering the Nugget Pond Horizon and assays from
all soil (2,335) samples and prospecting (1,045) samples. From
these data sets the following advances have been made:
- Discovered the new Growler Showing with seven grab
samples ranging in grade from 2.11 to 5.68 grams per tonne
("g/t") gold, with similarities to Nugget Pond-style gold
mineralization (Exhibit A and B);
- Discovered a new prospective iron formation, the Red Cliff
Horizon, in the footwall of the Nugget Pond Horizon with a 6 km
strike, establishing two potential host rocks for Nugget Pond-style
gold mineralization in this area (Exhibit A and B);
- Acquired new land adjacent to the Growler Showing that hosts
the Betts Big Pond Showing with historic grab samples up to
60.66 g/t gold and chip samples of 8.19 g/t gold over
2.3 m;
- Developed three drill targets associated with coincident
structures that cross the Nugget Pond and Red Cliff Horizons,
associated with low magnetic intensity and includes gold-in-soil
anomalies located along the southeast trend of historic glacial
movement ("down-ice");
- Identified a broad gold-in-soil anomaly down-ice from the Red
Cliff Pond Target;
- Found 154 samples with anomalous gold (82 samples greater than
0.50 g/t gold, 31 greater 3.00 g/t gold and 14 high-grade samples
ranging from 5.16 g/t gold to 216.10 g/t gold) and two visible gold
occurrences; and
- Initiated a trenching program and a diamond drilling program of
up to 4,000 metres, including initial trenching and 1,000 metres of
drill testing at the Growler Showing, West Pond and Red Cliff Pond targets (Exhibit B).
"Based on data from our recent comprehensive exploration
evaluation program, combined with historical data, we have
identified exciting new opportunities for discovery at the Tilt
Cove Gold Project and have initiated trenching programs and drill
testing of these targets. The identification of the Red Cliff
Horizon parallel with the Nugget Pond Horizon over a six-kilometre
strike means there are now two potential host rocks for Nugget
Pond-style gold mineralization in this area. We have also
discovered the Growler Showing, which bares similarities to Nugget
Pond-style gold mineralization and is located in the immediate
hanging wall of a large-scale fault system and acquired another
property hosting the Betts Big Pond Showing. The Growler Showing is
currently being tested through trenching and drilling, with
drilling at the West Pond and Red Cliff
Pond targets to follow. We expect to complete these initial
trenching and drilling programs by the end of the year and
anticipate commencing a second phase of drilling at Tilt Cove in
the new year."
~ Kevin Bullock, President and
CEO, Anaconda Mining Inc.
The Red Cliff Horizon
The Red Cliff Horizon is a previously unrecognized prospective
horizon at Tilt Cove located between 50 and 200 metres northwest
of, and within the footwall stratigraphy to the steeply dipping
Nugget Pond Horizon and has a strike of approximately 6 kilometres
(Exhibit B). Like the Nugget Pond Horizon, the Red Cliff Horizon
includes iron-rich, magnetic rocks known to be important hosts to
gold deposits like the Nugget Pond Deposit. Anaconda has identified
three targets (the West Pond, East Pond and Red Cliff Pond targets) located along a
six-kilometer strike of both the Nugget Pond Horizon and the Red
Cliff Horizon where there is a confluence of cross-cutting
structures, breaks in magnetic intensity, and down ice gold-in-soil
anomalies, all consistent with the setting of the Nugget Pond
Deposit.
The Growler Showing
The Growler Showing is located 1.2 kilometres west of the Nugget
Pond Mine and is hosted within sedimentary rocks similar to those
hosting the Nugget Pond Mine. The rocks hosting the Growler Showing
are highly altered and contain abundant (up to 10%) coarse, cubic
pyrite as part of the alteration system, a common feature at the
Nugget Pond Deposit. The Growler Showing is in the hanging wall of
a large-scale fault system as is common to many gold deposits in
the Baie Verte Mining District. Ten grab samples were all anomalous
in gold including seven samples grading between 2.11 g/t and 5.68
g/t gold.
The Betts Big Pond Showing
The Betts Big Pond Showing is located 1.9 kilometres west of the
Nugget Pond Mine and 700 metres west of the Growler Showing. The
Betts Big Pond Showing is hosted in a similar setting to the Nugget
Pond Mine but near a faulted contact with younger Silurian
Intrusive rocks of the Cape Brule Porphyry. Alteration comprises
disseminated pyrite and associated quartz veins. Historic grab
sampling completed in 1987 includes assays up to 60.66 g/t gold and
chip sampling in 2017 across the exposed zone assaying 8.18 g/t
gold over 2.3 m (true width unknown).
Due diligence re-sampling by Anaconda yielded grab samples assaying
up to 3.36 g/t gold.
Highlights of the Tilt Cove Gold Project
- Large land position that has been consolidated for gold
exploration for the first time in decades with 20 kilometres of
prospective strike, encompassing the Nugget Pond Horizon, which
hosts the past-producing high-grade Nugget Pond;
- Includes the newly identified Red Cliff Horizon, which is an
iron rich magnetic rock prospective for gold deposits;
- Nugget Pond mineralization is like other Banded-Iron-Formation
hosted lode gold deposits, such as Meadowbank, Lupin, Meliadine and
Homestake;
- Includes the Venams Bight Formation, which is the same
formation that hosts the Pine Cove Mine at the Point Rousse
Project;
- Significant high-grade historical drill intercepts and the
identification of 13 high-priority gold exploration targets
including:
-
- 6.77 g/t gold over 5.0 metres in hole BC-89-02;
- 11.20 g/t gold over 1.1 metres in hole BC-89-01;
- 8.82 g/t gold over 1.0 metre in hole NBC-96-01; and
- Land package also includes the past-producing Tilt Cove and
Betts Cove copper mines.
This news release has been reviewed and approved by
Paul McNeill, P. Geo., VP
Exploration with Anaconda Mining Inc., a "Qualified Person", under
National Instrument 43-101 Standard for Disclosure for Mineral
Projects.
All "non-historic" samples quoted in this release were
analyzed at Eastern Analytical Ltd. in Springdale, NL, for Au by fire assay (30 g)
with an AA finish.
Composited assays from historical drill core are compiled
from historic reports and data filed with the Department of Natural
Resources, Newfoundland and
Labrador. Sufficient work has not
been completed by Anaconda geologists and QPs to verify the
validity of these composited assays.
A version of this press release will be available in French
on Anaconda's website (www.anacondamining.com) in two
to three business days.
ABOUT ANACONDA
Anaconda is a TSX and OTCQX-listed gold mining, development, and
exploration company, focused in Atlantic
Canada. The company operates mining and milling operations
in the prolific Baie Verte Mining District of Newfoundland which includes the
fully-permitted Pine Cove Mill, tailings facility and deep-water
port, as well as ~11,000 hectares of highly prospective mineral
lands including those adjacent to the past producing, high-grade
Nugget Pond Mine at its Tilt Cove Gold Project. Anaconda is also
developing the Goldboro Gold Project in Nova Scotia, a high-grade resource and the
subject of an on-going feasibility study.
FORWARD-LOOKING STATEMENTS
This news release contains "forward-looking information"
within the meaning of applicable Canadian and United States securities legislation.
Generally, forward-looking information can be identified by the use
of forward-looking terminology such as "plans", "expects", or "does
not expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates", or "does not anticipate", or
"believes" or variations of such words and phrases or state that
certain actions, events or results "may", "could", "would",
"might", or "will be taken", "occur", or "be achieved".
Forward-looking information is based on the opinions and estimates
of management at the date the information is made, and is based on
a number of assumptions and is subject to known and unknown risks,
uncertainties and other factors that may cause the actual results,
level of activity, performance or achievements of Anaconda to be
materially different from those expressed or implied by such
forward-looking information, including risks associated with the
exploration, development and mining such as economic factors as
they effect exploration, future commodity prices, changes in
foreign exchange and interest rates, actual results of current
production, development and exploration activities, government
regulation, political or economic developments, environmental
risks, permitting timelines, capital expenditures, operating or
technical difficulties in connection with development activities,
employee relations, the speculative nature of gold exploration and
development, including the risks of diminishing quantities of
grades of resources, contests over title to properties, and changes
in project parameters as plans continue to be refined as well as
those risk factors discussed in Anaconda's annual information form
for the year ended December 31, 2018,
available on www.sedar.com. Although Anaconda has
attempted to identify important factors that could cause actual
results to differ materially from those contained in
forward-looking information, there may be other factors that cause
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 information. Accordingly, readers should not
place undue reliance on forward-looking information. Anaconda does
not undertake to update any forward-looking information, except in
accordance with applicable securities laws.
SOURCE Anaconda Mining Inc.
