TORONTO, ONTARIO–(Marketwired – Oct. 5, 2016) – Unigold Inc. (“Unigold” or the “Company”) (TSX VENTURE:UGD) is pleased to announce results from ongoing exploration drilling at the Candelones Extension deposit, within the Company’s 100% owned Neita Concession in the Dominican Republic.
The Company has received results from four holes at Target A, (Ref Figure 1.0) where drilling in late 2015 identified gold and copper rich massive sulphide mineralization. Follow up drilling in early 2016 traced the massive sulphide discovery over 200 metres to the east. Significant results included LP15-93 (15.7 metres @ 7.5 g/t Au; 1.1% Cu); LP15-95 (34.9 metres @ 6.2 g/t Au; 0.6% Cu) and LP16-101 (9.8 metres @ 3.1 g/t Au; 0.6% Cu) (UGD PR# 2016-04).
These latest drill holes were designed to test the western limit of the high grade massive sulphides. Hole LP16-114, 25 metres west of LP15-93, intersected 21.2 metres @ 6.0 g/t Au; 0.9% Cu within a broader interval of 52.2 metres @ 3.3 g/t Au; 0.4% Cu. LP16-115, 60 metres west of LP15-93, intersected 5.7 metres @ 3.8 g/t Au ; 1.2% Cu within a broader interval of 106.5 metres @ 0.6 g/t Au; 0.1% Cu . The results have added approximately 60 metres of strike length and the mineralization remains open to the west (Ref. Figures 2.0 and 3.0).
Joseph Del Campo, Interim President and CEO of Unigold notes: “These latest results have increased the footprint of the gold-copper rich massive sulphides to the west. The massive sulphide mineralization remains open along strike in both directions providing an enticing target for further drill testing. To date, we have completed approximately 70% of the planned 2016 drill program and remain ahead of schedule and under budget. Results to date have exceeded our expectations, not only increasing the footprint of the high grade targets within the current resource envelope but also identifying additional drill targets with the potential to further expand the footprint of the high grade zones. Drilling at the central ‘Target B’ is complete and drills have moved to the eastern extent of the gold-copper rich massive sulphides to test areas where we believe faulting may have down-dropped the mineralization below the historical drilling. Assay results from ‘Target B’ should be available over the next few weeks. Drill productivity is 30% higher than expected, costs are tracking below budget and our Health, Safety and Environmental record has been exceptional.”
Table 1.0 summarizes the analytical results for four of the five holes testing the western extent of Target A.
| Table 1.0 – Significant Results Target A ‐ Candelones Extension | |||||||
| Hole | From (m) | To (m) | Interval (m)(1) | Au (g/t) | Ag (g/t) | Cu (%) | Zn (%) |
| LP16‐114 | 228.8 | 281.0 | 52.2 | 3.3 | 6.1 | 0.4 | 0.1 |
| including | 235.0 | 240.0 | 5.0 | 4.8 | 1.5 | 0.3 | 0.1 |
| AND | 256.8 | 278.0 | 21.2 | 6.0 | 13.3 | 0.9 | 0.0 |
| LP16‐115 | 204.0 | 310.5 | 106.5 | 0.6 | 1.6 | 0.1 | 0.2 |
| including | 288.3 | 294.0 | 5.7 | 3.8 | 12.1 | 1.2 | 0.0 |
| LP16‐116 | 213.0 | 314.5 | 101.5 | 1.1 | 1.7 | 0.2 | 0.2 |
| including | 214.0 | 239.0 | 25.0 | 1.5 | 0.8 | 0.0 | 0.1 |
| LP16‐117 | 214.0 | 314.0 | 100.0 | 0.7 | 1.1 | 0.1 | 0.1 |
| including | 250.0 | 280.8 | 30.8 | 1.3 | 1.6 | 0.2 | 0.1 |
| including | 290.0 | 295.0 | 5.0 | 1.8 | 4.9 | 0.6 | 0.0 |
| LP16‐118 | Results Pending | ||||||
| (1) Interval Width is measured down hole and is not True Width. There is insufficient data to estimate True Width at this time. | |||||||
Holes LP16-114 and LP16-115 both intersected massive to semi-massive sulphide mineralization similar to that intersected in the discovery hole LPMET-01. Holes LP16-116 and 117 intersected broad intervals of disseminated to semi-massive sulphide mineralzation hosted in a strongly brecciated dacite volcaniclastic at the andesite-dacite contact. The dacite volcaniclastic is the preferred host for mineralization at Candelones and higher-grade mineralization is found where epithermal fluids have pooled under the overlying impermeable andesite. This contact mineralization was the primary focus of the initial drilling at the Candelones Extension in 2010 to 2013. This drilling was completed on a wide spaced pattern (100m x 100m) and failed to properly define the extent of higher grade mineralization that had been intersected within the broader, contact-style mineralized envelope.
The gold-copper rich massive sulphides have now been drill traced over a 260 metre strike length (E-W) and a 75 metre width (N-S). The data continues to suggest that the massive sulphide is relatively flat lying, varying in thickness between 5.0 and 30.0 metres. The massive sulphides remain open to the west and at depth to the east, the area currently being tested by the Company’s exploration team. The Company currently believes that late sub-vertical faulting has down-dropped the massive sulphides to the east and that much of the historical drilling either stopped short of the mineralization or was collared too far to the north to intersect the down-dropped massive sulphides.
To view “FIGURE 1.0 – CANDELONES EXTENSION DEPOSIT DRILL PLAN AND GEOLOGY,” please visit the following link: http://media3.marketwire.com/docs/unigold_oct5_2016_figure01.pdf
To view “FIGURE 2.0 – CANDELONES EXTENSION DEPOSIT SECTION 1850 EAST,” please visit the following link: http://media3.marketwire.com/docs/unigold_oct5_2016_figure02.pdf
To view “FIGURE 3.0 – CANDELONES EXTENSION DEPOSIT CONTOURED LONGITUDINAL SECTION,” please visit the following link: http://media3.marketwire.com/docs/unigold_oct5_2016_figure03.pdf
Premier Mining Destination – Dominican Republic
The Dominican Republic is host to world-class gold and base metal mines and deposits. The government supports development and exploration in the mining sector. In addition, the country has well established Mining Laws and Environmental Laws. Unigold’s wholly owned flagship property, Neita is compliant with all mineral and environmental requirements and work is conducted to internationally accepted environmental and social standards. The Neita concession exploration license is in good standing.
QA/QC
Diamond drilling at the Candelones Project utilizes both HQ and NQ diameter tooling. Holes are established using HQ diameter tooling before reducing to NQ tooling to complete the hole. The core is received at the on-site logging facility where it is, photographed, logged for geotechnical and geological data and subjected to other physical tests including magnetic susceptibility and specific gravity analysis. Samples are identified, recorded, split by wet diamond saw, and half the core is sent for assay with the remaining half stored on site. A minimum sample length of 0.3 metres and a maximum sample length of 1.5 metres are employed with most samples averaging 1.0 metres in length except where geological contacts dictate. Certified standards and blanks are randomly inserted into the sample stream and constitute approximately 5-10% of the sample stream. Samples are shipped to a sample preparation facility in the Dominican Republic operated by Bureau Veritas. Assaying is performed at Bureau Veritas Commodities Canada Ltd.’s laboratory in Vancouver, B.C. Canada. All samples are analyzed for gold using a 50 gram lead collection fire assay fusion with an atomic adsorption finish. In addition, most samples are also assayed using a 36 element multi-acid ICP-ES analysis method.
Wes Hanson P.Geo., Chief Operating Officer and Technical Director of Unigold, who is a qualified person under the definitions established by National Instrument 43-101, has reviewed and approved the contents of this press release.
About Unigold Inc. – Discovering Gold in the Caribbean
Unigold is a Canadian based mineral exploration company traded on the TSX Venture Exchange under the symbol UGD, focused primarily on exploring and developing its gold assets in the Dominican Republic.
For Further Information please visit www.unigoldinc.com.
Forward-looking Statements
Certain statements contained in this document, including statements regarding events and financial trends that may affect our future operating results, financial position and cash flows, may constitute forward-looking statements within the meaning of the federal securities laws. These statements are based on our assumptions and estimates and are subject to risk and uncertainties. You can identify these forward-looking statements by the use of words like “strategy”, “expects”, “plans”, “believes”, “will”, “estimates”, “intends”, “projects”, “goals”, “targets”, and other words of similar meaning. You can also identify them by the fact that they do not relate strictly to historical or current facts. We wish to caution you that such statements contained are just predictions or opinions and that actual events or results may differ materially. The forward-looking statements contained in this document are made as of the date hereof and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ materially from those projected in the forward-looking statements. Where applicable, we claim the protection of the safe harbour for forward-looking statements provided by the (United States) Private Securities Litigation Reform Act of 1995.
Neither 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.
Mr. Joseph Del Campo
Interim President & CEO
416.866.8157
jdelcampo@unigoldinc.com
www.unigoldinc.com