TORONTO--(BUSINESS WIRE)--California Gold Mining Inc. (“California Gold” or the “Company”) (TSX-V: CGM) is pleased to announce that following the previously concluded Phase I drill program, the Company is poised to commence its Phase II drill program at its flagship Fremont Project (the “Project”) in Mariposa County, California.
The Phase II drill program is scheduled to start on December 13, 2013 and is expected to be completed by mid-January, 2014. The program will consist of six to eight holes totalling 3,000 – 4,000 ft of diamond drilling. The main objectives of the drill program are as follows:
- To generate enough representative rock material from each of the three metallurgical domains that have been recently identified at the Project in order to initiate preliminary economic analysis (PEA)-level metallurgical testing. The metallurgical domains are described below.
- To help increase the confidence in the geological and gold-grade continuity within the Pine Tree-Josephine deposit, which is the most advanced of the four deposits at the Fremont project. The other three deposits are Queen Specimen-Succedo, Chicken Gulch and Crown Point.
The completion of the Phase II drill program, and the subsequent metallurgical test work, is considered by Company management to be a major milestone in the development of the Project. The results of the metallurgical testing will be used to identify potentially viable processing technologies suitable to the different ore types at the Project. Additionally, the results will be used as a stepping stone for an eventual process flow-sheet for the Project. The Phase II drill program is not intended, and will not be sufficient by itself, to generate a maiden NI 43-101 compliant resource estimate for the Project. Provided sufficient funds are available, the Company anticipates being in a position to commence a third phase of drilling following satisfactory completion of Phase II drilling. Results from the Phase III drill program, along with results from the Phase I program, the Phase II program, and the extensive historical drilling, will support preparation of a maiden NI 43-101 compliant resource estimate for the Project.
As part of the Phase II program, the Company plans to drill six holes initially, with the possibility of drilling two additional holes in case the total rock material from the initial holes is not enough to initiate metallurgical testing. The average depth of the holes is expected to be approximately 500 ft each. All of the Phase II drilling will be PQ-sized (3.3” diameter core), which is significantly larger than the HQ-sized (2.5” diameter core) drilling conducted at the Project during the Phase I drill program. The larger core size has been chosen in order to maximize core recovery and rock mass per foot of drilling.
The Company’s technical team has chosen the location and attributes of each of the eight proposed drill holes in consultation with the Company’s recently contracted independent metallurgical consultant BOMENCO Inc., and the Company’s independent technical consultant Tetra Tech WEI. The collar locations of the eight drill holes and the corresponding drill hole-specifications are illustrated in Appendices A and B, respectively.
Following a site-visit to the Project by BOMENCO in November, 2013, a total of three distinct rock assemblages were identified as metallurgically significant at the Project. These include a) sulphide replacement, b) quartz-hosted mineralization and c) oxide cap. BOMENCO has estimated that a 200 kg sample from each of the three metallurgical domains should be sufficient to fulfil the requirements of a PEA-level metallurgical testing program, which will include head sample characterization, grind hardness and sensitivity, determination of gravity and flotation recovery potential, direct cyanidation and/or cyanidation of flotation concentrates before or after oxidation, and heap leach recovery potential of the oxide cap material.
A detailed request for proposal (RFP) for the metallurgical test program is being prepared in order to identify and select the most suitable testing laboratory for the program. BOMENCO Inc. has been retained by the Company as an independent consultant for the entire duration of the metallurgical test program.
About California Gold Mining Inc.
California Gold Mining Inc. (formerly Upper Canada Gold Corp. TSX-V:UCC) is focused on developing its flagship Fremont gold project in Mariposa County, California. The project consists of a land package totaling 3,351 acres of historically producing gold mines. The Fremont Property lies within California’s prolific Mother Lode Gold Belt that has produced over 50 million oz of gold historically. The Company purchased the property in March 2013.
The laboratory being used for assay analyses is American Assay Laboratories Inc. (“AAL”) based in Sparks, Nevada (ISO/IEC 17025:2005 Certified). The Company’s on-site Quality Assurance & Quality Control (“QA/QC”) protocols, and AAL’s assay QA/QC protocols have received third-party verification by Paul Daigle, P.Geo., a Qualified Person (“QP”) as defined under NI 43-101, representing Tetra Tech WEI Inc.
Mr. Vishal Gupta, the Company's Director, Corporate Development has reviewed and approved this press release. Mr. Gupta is a P.Geo. registered with the Association of Professional Geoscientists of Ontario (APGO), and a Qualified Person (QP) as defined under National Instrument 43-101 regulations.
CAUTION REGARDING FORWARD-LOOKING INFORMATION
This news release of California Gold contains statements that constitute “forward-looking statements”. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause California Gold's actual results, performance or achievements, or developments in the industry to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Forward-looking statements in this document include statements regarding planned exploration work on the Company’s Fremont Property and in particular, the Company's ability to carry out the Phase III drill program, which is contingent upon, among other things, satisfactory results from the Phase II program, the Company's ability to raise sufficient funds to complete the Phase III program and other economic conditions. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements, and readers are cautioned not to place undue reliance on these forward looking statements. Any factor could cause actual results to differ materially from California Gold's expectations. California Gold undertakes no obligation to update these forward looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change, unless otherwise required by law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information contact:
Director, Corporate Development
Plan Map Depicting Collar Locations for the Proposed
Phase II Diamond Drill Holes
To view the Plan Map, click onto the following link:
Specifications for the Proposed Phase II Diamond Drill Holes
To view the Specifications, click onto the following link: