Written by: James Fraser via CEO.ca
Continental Gold – (CNL:TSX) – Continental has released an additional 20 drill results at the Veta Sur and Yaragua vein systems at the Buritica project in Colombia. The plan is to release an updated mineral resource estimate shortly and these will be the final assays included.
From my analysis of the drill holes the Veta Sur system appears to be getting larger (more ounces) and the infill drilling is also finding higher grade material than in the previous resource estimate.
Veta Sur hosts 1.1 million ounces in the measured + indicated categories at 11.6 AUeq g/t according to a December 31,2013 mineral resource update. Yaraguá is 1.69 million ounces of gold in the measured + indicated categories at 10.6 g/t AUeq.
Highlights:
- Step-out drilling was successful in extending the Veta Sur system to the east, to the west and to depth. These drill-holes also infilled areas of the Veta Sur and western Yaraguá systems over a significant range of elevations.
- In eastern Veta Sur, drilling intersected high-grade veins below or to the east of the current Veta Sur mineral resource envelope. New intercepts include:
- 5.55 metres @ 16.9 g/t gold and 56 g/t silver, including 1.2 metres @ 45.3 g/t gold and 96 g/t silver (BUUY311D02, elevation of 1,133 metres);
- 1.3 metres @ 178.0 g/t gold and 109 g/t silver (BUUY311D03, elevation of 1,058 metres);
- 5.7 metres @ 50.7 g/t gold and 25 g/t silver, including 1.06 metres @ 176.9 g/t gold and 89 g/t silver (BUUY311D05, elevation of 1,085 metres); and
- 4.05 metres @ 21.5 g/t gold and 38 g/t silver, including 1.03 metres @ 68.5 g/t gold and 68 g/t silver (BUUY311D05, elevation of 1,058 metres).
“Veta Sur continues to deliver robust results and we remain confident that this will be reflected in our upcoming updated mineral resource estimate”, commented Ari Sussman, President and CEO of Continental.
A 3 year chart of CNL stock once as high as $10 back in 2013.
The treasury remains flush with $46 million(as of May 6th).
Upcoming catalysts include:
- Final permitting completed (EIA) (Mid 2015)
- Updated mineral resource estimate (Mid 2015)
- Updated Preliminary Economic Assessment (H2 2015)
- Drilling of Pinguro and Obispo exploration targets (H2 2015)
$CNL is one of the top stocks discussed in CEO Chat and all comments on the stock can be seen at http://chat.ceo.ca/cnl
Read: A Sweet Spot Entry Point in Continental Gold?
Read: Final permits loom at one of the world’s richest gold projects
This is not investment advice. As always please do your own due diligence.