Newmarket Gold Reports Progress at Esmerelda and Maud Creek Projects

Newmarket Gold Inc. (TSX:NMI,OTCQX:NMKTF) announced that it’s started drilling at its Esmerelda gold deposit, located in Australia’s Northern Territory near the company’s Union Reefs processing facility.
The company also said that the preliminary economic assessment (PEA) for its Maud Creek gold project, also in the Northern Territory, is “well underway.”
Key highlights are as follows:

• Drilling on the Esmeralda Gold Deposit has commenced with one surface reverse circulation (“RC”) and one diamond drill rig. The drill program consists of approximately 80 RC drill holes for 5,200 metres (m) and 7 diamond holes for 540 m of drilling (Figure 3) at total cost of US$425,000. Diamond drilling will provide additional geotechnical information for establishing open pit design criteria. The Esmeralda Gold Deposit hosts an NI 43-101 Inferred Mineral Resource of 1.06 Mt grading 2.06 g/t Au at a 0.50 g/t Au cutoff for 70,300 ounces gold and has open pit, oxide mining potential (see Newmarket news release dated July 24, 2013).
• Work is continuing on the development of a Notice of Intent (NoI) for open pit mining of the Esmeralda Deposit. This is the first step in gaining approval for a mining operation from the Department of Mines and Energy (DME).
• SRK Consulting (Australasia) Pty Ltd, has continued the development of the PEA for the Maud Creek Gold Project, with this study to be completed in Q1, 2016.

Douglas Forster, president and CEO of Newmarket, commented:

Our growth exploration programs are focused on high priority targets in our project pipeline that can have a significant positive impact on our near-term operations and have potential for high-margin resource ounces. The Esmeralda and Maud Creek deposits are 100% owned gold projects that could contribute significantly to organic production growth at our the Northern Territory operations given their proximity to our Union Reefs mill which has approximately 1.2 million tonnes excess milling capacity.

Click here to read the full Newmarket Gold Inc. (TSX:NMI,OTCQX:NMKTF) press release.