Category: Exploration and Development

“The maiden drill program at Cerro Cascaron demonstrates significant potential to discover a low to intermediate sulphidation epithermal gold deposit, specifically at the Serpiente Dorada and San Pedro areas,” commented Stewart Harris, VP of Technical Services. “Drilling at Serpiente Dorada delineated a significant structural corridor containing local high-grade gold mineralization. Well-developed quartz fissure veins within a broad stockwork containing moderate gold grades and epithermal textures exists at San Pedro, and drilling has aided in vectoring toward a deeper and possibly higher grade gold target. Additional drilling is needed to follow up both areas and for exploration of several untested targets.”

N. Eric Fier, CPG, P.Eng and CEO, remarked, Less than three years ago we first started drilling the Las Chispas Property and we are now announcing our third resource estimate, including our first Indicated Resource Estimate. We are particularly excited about the high-grade resources delineated at the Babicanora (including HW), Babicanora FW and Babicanora Norte Veins. These three adjacent veins cumulatively host Indicated Resources of 1.0 Million tonnes grading 1,234 gpt AgEq (39.8 million ounces of AgEq). These high-grade resources are near surface and conceptually can be developed using the same underground infrastructure, which may be a key driver of the economics for the project. This Third Mineral Resource Estimate will be used to finalize the ongoing PEA planned for release in Q2, 2019. The Company will continue exploration with seven core drills focused on infill drilling to upgrade additional inferred resources into the indicated category and five core drills testing up to five new vein prospects in H1, 2019.

Leagold CEO Neil Woodyer commented: “Since providing the summary results of the Expansion Feasibility Study in January 2019, our team working with the independent consultants has continued refining the new operating strategy which includes re-phasing the Bermejal open pit, expanding the Los Filos open pit, operating two high-grade underground mines, adding a CIL plant to process the higher-grade ore, and continuing heap leaching of the lower-grade open pit ore. The result of this work is a significant increase in net cash flow to $884 million. The Los Filos expansion is clearly a project we should proceed with, and we are advancing with construction planning, optimizing the sequencing of the major expansion projects as part of our financial planning, and discussing the social and economic benefits created by the expansion with our employees, contractors, unions and community members.”

“We are pleased to report these very positive early stage metallurgical tests which indicate that the California oxide, mixed oxide/sulfide, and sulfide gold zones should be amenable to cyanide heap leach or agitated leach processing methods. More detailed test-work is needed to draw any definitive conclusions but these results are a great start”, commented Joey Wilkins, President and CEO.

En épocas antiguas, las mujeres no podían entrar a una mina porque se creía que era de mala suerte; que su presencia ahuyentaría a los minerales o que la veta se escondería porque las minas eran celosas, pero ese mito se erradicó y la presencia de la mujer en la minería crece día con día.