TORONTO, ON / ACCESSWIRE / February 4, 2021 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX)(OTCQX:ANXGF) is pleased to announce initial results from its on going 2,500 metre infill drill program at Stog'er Tight (the "Infill Drill Program") as well as the final results from the original exploration drill program, which commenced in August of 2020. Both programs took place near, or along strike from, the Stog'er Tight Mine and Deposit, located approximately three (3) kilometres east of the Company's operating Pine Cove Mill and Tailings Facility in Newfoundland (Exhibit A).
The exploration drill results comprise a remaining 660 metres of drilling (BN-20-362 to 367) near Camp Pond at Stog'er Tight (Exhibit A). Exploration drill results included a 12.8 metre intersection of gold mineralization of 0.93 g/t just ten metres below surface. This is significant as it was discovered 50 metres south of mineralization that was previously thought to terminate towards the south (Exhibit A). Importantly, the drilling indicates that this new mineralized zone is very shallow and continues southward by up to 250 metres at a shallow dip, immediately below surface.
The results to date from the Infill Drill Program comprise 1,794.6 metres (BR-20-368 to 392), which continue to intersect mineralization with similar characteristics and tenor to those previously drilled in the area. The results are being used to support an updated in-house resource model and pit shells and are indicating the strong potential to extend the mine life of the Point Rousse operation.
Highlights of the Drill Program include:
- 6.50 grams per tonne ("g/t") gold over 16.0 metres (51.1 to 67.1 metres), including 16.70 g/t gold over 1.0 metres in diamond drill hole BN-20-370;
- 2.84 g/t gold over 8.0 metres (44.0 to 52.0 metres); including 14.10 g/t gold over 1.0 metres in diamond drill hole BN-20-379;
- 2.00 g/t gold over 10.0 metres (78.0 to 88.0 metres) in diamond drill hole BN-20-380;
- 3.36 g/t gold over 4.0 metres (69.0 to 73.0 metres) in diamond drill hole BN-20-378;
- 0.93 g/t gold over 12.8 metres (10.2 to 23.0 metres) in diamond drill hole BN-20-367; and
- 1.46 g/t gold over 4.9 metres (49.0 to 53.9 metres) in diamond drill hole BN-20-389.
Selected intersections from the Drill Program at Stog'er Tight are shown in Table 1 below.
"We are very pleased with the results from our earlier exploration drilling at Stog'er Tight and the initial results from a related infill drill program, which continue to demonstrate the potential to extend the life of mine of the Point Rousse operation. Infill drilling continues to outline and confirm a continuous gold system near Camp Pond and exploration drilling has identified a new zone of near-surface mineralization at Stog'er Tight. This most recent discovery has resulted in a new geological interpretation that the mineralized host rocks are near horizontal in this area and that the potential for gold mineralization extends southward by at least 250 metres, just below surface. To test this concept and the continuity of near surface mineralization, we have initiated a further 1,000 metres drill program in this new area of interest. The results of the infill and exploration programs, as well as ongoing drilling, will be incorporated into our in-house mineral resource as we begin to plan for a potential development scenario at Stog'er Tight.
~ Kevin Bullock, President and CEO, Anaconda Mining Inc.
The results of the Infill Drill Program indicate that a zone of gold mineralization extends at least 720 metres west and south the Stog'er Tight Mine and represents the strike extension of the original Stog'er Tight Deposit. Mineralization now extends over a total strike length of approximately 1,250 metres. Gold mineralization is hosted within a shallowly northwest dipping to locally sub-horizontal gabbro sill and has been tested to a vertical depth of 115 metres. The Company will continue to update in-house, non-National Instrument 43-101 ("NI43-101") compliant, resource estimate combining recent results with the previously announced NI43-101 compliant Mineral Resource Estimate for Stog'er Tight* announced on August 4th, 2020 and available on the Company's SEDAR profile.
The NI 43-101 compliant Mineral Resource Estimate for Stog'er Tight* includes an open pit constrained Indicated Mineral Resource of 102,000 tonnes at a grade of 2.39 g/t gold and an Inferred Mineral Resource of 134,000 tonnes at a grade of 3.06 g/t gold (0.5 g/t gold cut off for Open Pit Constrained) as well as an out-of-pit Mineral Resource Estimate including an Indicated Mineral Resource of 14,000 tonnes at a grade of 4.27 g/t gold and an Inferred Mineral Resource of 210,000 tonnes at a grade of 3.62 g/t gold (2.0 g/t gold cut off for out-of-pit resource). Creation of an in-house resource estimate and associated preliminary open pit design will provide internal guidance on how much of the mineralization could be potentially mined within an open pit and will help guide on-going infill drilling.
To facilitate the potential development of the deposit west of the Stog'er Tight Mine, preliminary environmental studies have been initiated at Camp Pond, which would likely be impacted by development activity. Fox Pond, located east of Camp Pond, was similarly underlain by the Stog'er Tight Deposit which was successfully mined in 2018 and 2019 by partial dewatering of the pond under appropriate Provincial and Federal Government authorizations.
Table 1: Highlighted composited assays from diamond drill holes BN-20-362 to BN-20-392
| Hole ID1 | From (m) | To (m) | Length (m)2 | Gold (g/t) |
| BN-20-363 | 41.9 | 43.5 | 1.6 | 1.09 |
| and | 49.9 | 50.6 | 0.7 | 2.94 |
| BN-20-365 | 6.0 | 7.0 | 1.0 | 1.84 |
| BN-20-367 | 10.2 | 23.0 | 12.8 | 0.93 |
| BN-20-370 | 44.1 | 45.1 | 1.0 | 1.58 |
| and | 51.1 | 67.1 | 16.0 | 6.50 |
| including | 65.1 | 66.1 | 1.0 | 16.70 |
| BN-20-373 | 13.5 | 14.1 | 0.6 | 1.14 |
| BN-20-374 | 42.0 | 43.0 | 1.0 | 7.12 |
| BN-20-378 | 55.0 | 56.0 | 1.0 | 0.60 |
| and | 69.0 | 73.0 | 4.0 | 3.36 |
| BN-20-379 | 44.0 | 52.0 | 8.0 | 2.84 |
| including | 45.0 | 46.0 | 1.0 | 14.40 |
| BN-20-380 | 67.0 | 68.0 | 1.0 | 2.18 |
| and | 78.0 | 88.0 | 10.0 | 2.00 |
| including | 87.0 | 88.0 | 1.0 | 11.50 |
| BN-20-382 | 63.0 | 66.0 | 3.0 | 0.86 |
| BN-20-383 | 54.0 | 55.0 | 1.0 | 0.51 |
| and | 62.0 | 66.0 | 4.0 | 1.40 |
| BN-20-385 | 45.0 | 45.8 | 0.8 | 0.96 |
| and | 52.8 | 53.4 | 0.6 | 3.54 |
| BN-20-387 | 42.7 | 43.7 | 1.0 | 1.71 |
| and | 55.5 | 56.5 | 1.0 | 0.73 |
| BN-20-389 | 49.0 | 53.9 | 4.9 | 1.46 |
| including | 52.0 | 53.0 | 1.0 | 4.84 |
| BN-20-390 | 61.0 | 62.0 | 1.0 | 0.69 |
Footnotes:
1 - Diamond drill holes BN-20-362 to -392 were drilled consecutively. Any drill hole numbers not shown in the table above have no significant assays.
2 - Interval expressed as core length only; true thickness is estimated to be 50-100% of interval length due to local drilling conditions that does not always allow for drilling orthogonally to the apparent dip of mineralization.