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Antilles Gold Limited (“Antilles Gold” or the “Company”) (ASX: AAU, OTCQB: ANTMF) is pleased to advise positive results from the 21 diamond drill holes into the El Pilar oxide deposit in central Cuba, which completed the 10,600m 2023 campaign.
HIGHLIGHTS
Copper Domain – El Pilar
Gold Domain – El Pilar
Sampling Techniques and Data are set out in the JORC Code 2012 Edition Template attached.
EL PILAR OXIDE DEPOSIT
- The results continue excellent grades for both gold and copper in the oxide deposit that have previously been advised to ASX (4, 17, 27 July 2023, 8 August 2023, 21 September 2023, 23 October 2023, and 2 November 2023).
- These results plus those from 1,800m undertaken in 2022 and selected results from 24,000m of historic drilling reinforce the prospect of near term development of the low CAPEX Nueva Sabana mine at El Pilar.
- The outstanding grades in the gold domain extend from surface to a depth of 40m to 50m, and robust grades in the underlying copper domain continue for a further 50m to 70m.
- The gold zone within the oxide deposit is well defined, and the copper domain has increased in volume both laterally and vertically with continuing exploration, and projects into the underlying sulphide zone.
- A Mineral Resource Estimate (“MRE”) for the proposed Nueva Sabana mine is expected to be established within 3 or 4 weeks, and will be followed by a Scoping Study for the project around April 2024.
- The El Pilar oxide deposit is metallurgically simple, and the Nueva Sabana mine is being planned as a copper project which would benefit from the high grade gold cap during initial operations.
- Preliminary metallurgical test work by Blue Coast Research Laboratories in Canada has indicated a gold recovery of 85% from a simple rougher flotation circuit with a concentrate of 53.1 g/t Au produced from an ore sample grading 2.11 g/t Au.
- Test work is continuing on copper recoveries and concentrate grades, and early indications are that the copper concentrate will contain around 25% Cu.
- Planning and permitting for the proposed mine is well advanced.
- The recently revised construction cost estimate of ~US$22 million for the proposed mine, was based on a mining rate of 650,000tpa of ore.
- Negotiations have commenced to arrange an advance on purchases of the gold concentrate for a similar amount by an international commodities trader, in order to fund the construction.
- The low capital cost reflects the availability of HT power, rail and highway links to a container port, water supply, and skilled labour being close to the unoccupied flat mine site, together with low pre-stripping costs, and the ability to dry-hire all necessary mining equipment rather than purchasing a new fleet.
- Antilles Gold’s 50:50 joint venture with the Cuban Government’s mining company, GeoMinera, intends to develop the Nueva Sabana mine as soon as possible, and commencement of the 10 month mine construction is planned for July 2024.
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