Jan 24 2018
Black Dragon Gold Corp. is pleased to announce that it has commenced a 6 hole 2,200m exploration drilling programme on the Salave gold deposit in Asturias, Spain, following the receipt of approval from the Asturias Ministry of Employment, Industry & Tourism, as well as the Municipality of Tapia de Casariego.
The previous NI 43-101 Mineral Resource Estimate for the Salave Project (Amended Technical Report with effective date of October 7, 2016) defined measured and indicated resources totalling 6.52 million Tonnes grading 4.51 g/t Au containing 944,000 ounces of gold using a 2.0 g/t cutoff grade. This mineral resource estimate identified sub-vertical structures which require further understanding and definition. The current drilling programme therefore has been designed to accomplish the following:
- confirm the orientation of higher grade gold mineralization intersected in numerous drill holes during previous diamond drilling programmes
- provide information on the orientation of structures that potentially control the orientation of gold mineralization at Salave;
- confirm the gold tenor and intersection lengths of previous diamond drill holes;
- provide additional samples for metallurgical test work optimisation studies; and
- provide additional structural and geotechnical data for ongoing project development studies.
The programme will push deeper into the Salave Lower Zone with expected depths reaching 350m from surface (vertical), but with holes angled between 65° and 75°. Two drill rigs have been mobilized and all holes will be drilled from two locations, minimising surface disturbance, and reducing the time required to complete the programme.
It is expected that the programme will be completed before the end of February 2018, with assay results expected to be received a few weeks following completion. Figure 1 below details the plan map of proposed drill hole locations over a plan view of the current block model showing 5m blocks where grade exceeds 10g/t Au., and Figure 2 below provides a cross section for hole BD_1.
Paul Cronin, Managing Director and CEO of Black Dragon Gold commented:
"The receipt of the confirmation of approval to commence drilling is an extremely positive development for Black Dragon and indicative of the success of the Company's strategy to positively develop strong working relationships with government, both at the provincial and community level.
I would like to congratulate our new General Manager, Jose Manuel Dominguez, whose efforts since his appointment in October have led to this milestone being achieved.
As discussions with our regulators continue, and the results of this drilling programme are evaluated, we plan to complete a new Mineral Resource Estimate and Preliminary Economic Analysis on the Salave deposit, paving the way for a revised Development Application and Environmental and Social Impact Assessment.
Additionally, the company is in the process of defining an extensive exploration programme across our concessions in Asturias with the aim to identify other high priority drill targets along the granodiorite alteration zones to the east, west and south of the current Salave deposit where historical soil and rock chips samples identified anomalous high grade gold mineralisation."