COLOMBIA – Continental Gold has announced a discrete resource estimate for the Broad mineralized zone 1 (BMZ1) in the central-west portion of the Yaragua system at its Buritica gold project in Antioquia.
The zone contains 828,870 measured and indicated tonnes grading 14.15 g/t gold and 22.9 g/t silver for 377,000 oz. of gold and 611,000 oz. of silver. It also contains 141,150 inferred tonnes at 5.37 g/t gold and 12.1 g/t silver for 24,400 oz. of gold and 55,000 oz. of silver.
The company based the estimate on 141 drill holes totalling 6,410 metres and underground channel sampling totalling 1,084 metres. Highlights include 40.6 metres grading 16.65 g/t gold and 7 g/t silver from the 1,331-metre elevation, as well as 23 metres at 10.2 g/t gold and 8.3 g/t silver from the 1,307-metre elevation.
BMZ1 currently has a vertical extent of 400 metres; it ranges between 25 and 40 metres wide and 80 and 120 metres long. The zone remains open at depth.
Continental plans to continue defining Buritica’s several BMZs through 2019 drilling, including up to 10,000 metres at BMZ1. Across the entire Buritica project, it will drill 73,500 metres.
The company discovered its third BMZ at Buritica earlier this year, located 150 metres west of BMZ1. Highlights from underground drilling at BMZ3 include 5.5 metres grading 202.23 g/t gold and 24.5 g/t silver, as well as 30.15 metres at 7.97 g/t gold and 5.5 g/t silver.
Meanwhile, Continental is more than halfway through building its mine at Buritica. It expects to finish underground development by the end of 2019 and pour first gold in the first half of 2020.
The company recently closed a US$175 million financing package that it will use on mine construction and start-up.
Shares of Continental are currently trading at $3.06 with a 52-week range of $1.76 to $3.98. The company has a $577 million market capitalization.
This story first appeared on www.NorthernMiner.com.