Contango ORE, Inc. Announces Recent Drilling Results

Core holes drilled on the Tetlin Gold Project (Graphic: Business Wire)

HOUSTON--()--Contango ORE, Inc. (“CORE” or the “Company”) (OTCQB: CTGO) is pleased to provide an update of recent drilling results obtained during our Phase II 2016 drilling program being conducted by Peak Gold, LLC, managed by Royal Alaska, LLC, a wholly owned subsidiary of Royal Gold, Inc., on its gold exploration project in Tetlin, Alaska.

The following table shows the most recent significant intercepts drilled on the project for which assay results have not been previously released. Sample intervals are calculated using 0.5 grams per tonne (gpt) lower cut off for gold with no internal waste less than cutoff grade that is greater than 3 meters in thickness. Intercepts shown are drill intercept lengths. True width of mineralization is unknown. The data below includes 13 new drill holes from TET16226 to TET16241 and their locations are shown on the accompanying base map.

                                                 
Zone       Drill Hole      

From
(meters)

     

To
(meters)

     

Interval
(meters)

      Au_gpt       Au_gpt x Interval
North Peak       TET16226       11.58       13.46       1.88       0.96       1.80
North Peak       TET16226       18.75       26.09       7.34       16.97       124.56
North Peak       TET16226       35.51       36.88       1.37       1.43       1.96
North Peak       TET16226       54.08       57.81       3.73       1.43       5.33
North Peak       TET16227       21.56       32.31       10.75       18.62       200.17
North Peak       TET16227       88.11       90.22       2.11       1.32       2.79
North Peak       TET16228       25.42       40.23       14.81       4.64       68.72
North Peak       TET16228       43.89       51.47       7.58       3.54       26.83
North Peak       TET16228       56.86       59.74       2.88       3.14       9.04
North Peak       TET16228       62.94       75.23       12.29       1.09       13.40
North Peak       TET16230       42.95       50.22       7.27       4.17       30.32
North Peak       TET16231       53.89       57.32       3.43       0.73       2.51
North Peak       TET16231       68.17       70.83       2.66       7.73       20.56
North Peak       TET16231       75.61       81.16       5.55       3.09       17.15
North Peak       TET16231       88.19       90.34       2.15       1.11       2.38
North Peak       TET16231       101.08       102.64       1.56       3.81       5.94
North Peak       TET16231       128.15       132.89       4.74       2.00       9.48
North Peak       TET16232       43.28       50.90       7.62       1.18       8.99
North Peak       TET16232       117.35       121.62       4.27       0.71       3.03
North Peak       TET16232       138.53       152.21       13.68       5.52       75.51
North Peak       TET16235       14.50       53.38       38.88       51.62       2,006.99 *
North Peak       TET16235       59.50       65.92       6.42       8.73       56.05
North Peak       TET16235       70.05       73.00       2.95       4.97       14.66
North Peak       TET16236       4.67       7.23       2.56       0.83       2.12
North Peak       TET16236       60.45       63.09       2.64       2.93       7.74
North Peak       TET16237       9.75       23.94       14.19       45.33       643.23
North Peak       TET16237       28.81       33.23       4.42       2.17       9.59
North Peak       TET16237       41.15       42.95       1.80       6.72       12.10
North Peak       TET16237       50.90       53.82       2.92       1.55       4.53
North Peak       TET16237       57.38       61.18       3.80       1.66       6.31
North Peak       TET16238       68.42       74.68       6.26       4.98       31.17
North Peak       TET16238       77.90       93.57       15.67       49.67       49.67
North Peak       TET16239       35.66       38.45       2.79       1.23       3.43
North Peak       TET16239       50.79       54.72       3.93       7.76       30.50
North Peak       TET16239       109.41       116.13       6.72       1.42       9.54
North Peak       TET16240       119.33       132.85       13.52       1.59       21.50
North Peak       TET16241       56.43       56.79       0.36       11.45       4.12
                                   
*Highest gold grade x thickness drilled to date.
 

Brad Juneau, CEO, commented, “We are very pleased with these new drilling results. The Connector hole (TET 16210) was originally drilled in an attempt to test a geologic model indicating the Main Peak zone may connect to North Peak. The new core holes show that gold mineralization is present from the Connector hole to North Peak, and hole TET16235 in this newly delineated area has the highest amount of gold grade x thickness drilled to date. We continue to refine the exploration model and, with new drilling in West Peak, are testing for mineralization zones which are connected to the Main Peak deposit. We are also testing the East Peak area that has shown promising results to date for zones similar to Connector. We are experiencing a lag time of approximately a month from drilling to receiving assay results, and have drilled 20 holes for which we do not yet have assays. Drilling operations are ongoing and will continue through September. Following completion of our 2016 exploration program, we expect to analyze the results and produce a resource update for the Tetlin project by next spring.”

About CORE

CORE is a Houston-based company that engages in the exploration in Alaska for gold and associated minerals through Peak Gold, LLC, its joint venture company, managed by Royal Alaska, LLC, a wholly owned subsidiary of Royal Gold, Inc. Additional information can be found on our web page at www.contangoore.com.

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements regarding CORE that are intended to be covered by the safe harbor "forward-looking statements" provided by the Private Securities Litigation Reform Act of 1995, based on CORE’s current expectations and includes statements regarding future results of operations, quality and nature of the asset base, the assumptions upon which estimates are based and other expectations, beliefs, plans, objectives, assumptions, strategies or statements about future events or performance (often, but not always, using words such as "expects", "projects", "anticipates", "plans", "estimates", "potential", "possible", "probable", or "intends", or stating that certain actions, events or results "may", "will", "should", or "could" be taken, occur or be achieved). Forward-looking statements are based on current expectations, estimates and projections that involve a number of risks and uncertainties, which could cause actual results to differ materially from those, reflected in the statements. These risks include, but are not limited to: the risks of the exploration and the mining industry (for example, operational risks in exploring for, developing mineral reserves; risks and uncertainties involving geology; the speculative nature of the mining industry; the uncertainty of estimates and projections relating to future production, costs and expenses; the volatility of natural resources prices, including prices of gold and associated minerals; the existence and extent of commercially exploitable minerals in properties acquired by CORE; potential delays or changes in plans with respect to exploration or development projects or capital expenditures; the interpretation of exploration results and the estimation of mineral resources; the loss of key employees or consultants; health, safety and environmental risks and risks related to weather and other natural disasters); uncertainties as to the availability and cost of financing; inability to realize expected value from acquisitions; inability of our management team to execute its plans to meet its goals; and the possibility that government policies may change or governmental approvals may be delayed or withheld, including the inability to obtain any mining permits. Additional information on these and other factors which could affect CORE’s exploration program or financial results are included in CORE’s other reports on file with the Securities and Exchange Commission. Investors are cautioned that any forward-looking statements are not guarantees of future performance and actual results or developments may differ materially from the projections in the forward-looking statements. Forward-looking statements are based on the estimates and opinions of management at the time the statements are made. CORE does not assume any obligation to update forward-looking statements should circumstances or management's estimates or opinions change.

Contacts

Contango ORE, Inc.
Brad Juneau, (713) 877-1311
www.contangoore.com

Contacts

Contango ORE, Inc.
Brad Juneau, (713) 877-1311
www.contangoore.com