TORONTO, June 18, 2018 (GLOBE NEWSWIRE) -- Gran Colombia Gold Corp. (TSX:GCM) announced today that its 2018
exploration program at its Segovia Operations has identified a new structure at the El Silencio mine, interpreted as a splay off
the Manto Vein and termed the 1320 Vein. The Company also provided an update of the assay results from the surface and underground
diamond infill drilling program at the Providencia, El Silencio and Sandra K mines. To-date, the Company has completed 64 holes,
totaling approximately 7,000 meters, of its planned 20,000 meters to be drilled in 2018. Multiple high-grade results from the
ongoing underground sampling program in the deepest levels of the El Silencio mine were also announced today.
Serafino Iacono, Executive Co-Chairman of Gran Colombia, commented: "The drilling and sampling results
announced today continue to affirm our belief in the blue sky potential of our high-grade Segovia Operations to add to our existing
mineral reserves and resources. The delineation of a new structure at El Silencio is also very encouraging and we will be following
up on this discovery with some further drilling on the 1320 Vein to incorporate it into our future development and production
plan."
A total of four drill rigs are currently operating at Segovia with three rigs carrying out resource definition
within the underground developments of the Providencia and El Silencio mines and one drill rig operating from surface at Sandra K
targeting peripheral extensions to the known vein system.
- In-fill drilling at Providencia was mainly aimed to further delineate one of the main high-grade orebodies on which sparse
previous surface drilling had intersected high gold grades. Multiple high gold grades were intersected in 11 drill holes (764
metres) drilled from underground in the ongoing drilling program on the main vein system with maximum grades of 712.48 g/t Au and
821.4 g/t Ag over 0.77 metres. In-fill drilling was also aimed to test the Providencia vein system at the eastern end of the
mine, close to the northeast trending shear zone that delimits the mine workings. Only two high-grade intercepts were generated
from 19 drill holes (1,571 metres) on the main vein system with maximum grades of 540.03 g/t Au and 383.8 g/t Ag over 0.28
metres.
- In-fill drilling at El Silencio was aimed to test the down-plunge extension of the main ore-shoot located at the northern end
of the mine. Multiple high gold grades were generated from 17 drill holes (1,116 metres) drilled from underground in the ongoing
drilling program on the main vein system with maximum grades of 18.93 g/t Au and 88.3 g/t Ag over 0.85 metres. A secondary
ore-shoot to the south of the main one was also tested and returned two high-grade intercepts with maximum grades of 25.45
g/t Au and 19.1 g/t Ag over 0.31 metres.
- In-fill drilling at Sandra K was aimed to delineate and extend two ore-shoots outlined by surface drilling carried out in
early 2017. Multiple high gold grades were generated from 17 drill holes (3,600 metres) drilled from surface in the ongoing
drilling program on the main vein system with maximum grades of 20.98 g/t Au and 65.7 g/t Ag over 1.50 metres.
- Underground channel samples were taken from vein exposures within the underground developments at the bottom of the El
Silencio mine. A total of 424 channels were sampled, of which 168 channels were collected on the down-plunge extension of the
north ore-shoot and 256 channels were collected on the down-plunge extension of the south ore-shoot. The average grade of the 168
channels of the north ore-shoot was 32.46 g/t Au and 42.3 g/t Ag over 1.34 m, with sample grades ranging from trace up to 311.44
g/t Au and up to 152.7 g/t Ag. Of these, 104 channels, or 62% of the total, averaged over 10.0 g/t Au, and 55 channels,
representing 33% of the total samples, averaged greater than 30.0 g/t Au. The average grade of the 256 channels from the south
ore-shoot was 43.71 g/t Au and 31.2 g/t Ag over 1.52 m, with sample grades ranging from trace up to 330.13 g/t Au and up to 297.5
g/t Ag, with 187 channels, representing 73% of the total, averaging over 10.0 g/t Au, and 108 channels, representing 42% of the
total samples, averaging greater than 30.0 g/t Au.
Segovia Drilling Highlights and Key Intercepts
- Drilling results from the Providencia mine confirm the previously modelled high-grade nature, strong down-plunge continuity
of gold mineralization and the thickness of one of the main orebodies currently in production on Level 14;
- In-fill drilling at the El Silencio mine was successful in delineating a new structure, interpreted as a splay off the Manto
Vein and termed the 1320 Vein, and also confirmed the economic potential of the Manto Vein in between the Pre-K and K
faults;
- In-fill drilling at Sandra K was successful in delineating and further extending down-plunge the two ore-shoots outlined by
drilling in early 2017;
- The in-fill drill programs continue to increase the confidence in the geological models of the Providencia, El Silencio and
Sandra K orebodies through increased drill density.
- The in-fill drilling programs focused on providing increased definition and confidence in the near and medium-term mine
operations and include the following key intercepts:
Hole ID |
From (m) |
To (m) |
Width (m) |
Vein |
Au (g/t) |
Au*Width |
Ag (g/t) |
Providencia Mine |
PV-IU-084* |
27.73 |
28.50 |
0.77 |
Providencia |
712.48 |
548.61 |
821.4 |
PV-IU-086* |
20.50 |
21.00 |
0.50 |
Providencia |
85.44 |
42.72 |
67.7 |
PV-IU-086* |
21.89 |
22.38 |
0.49 |
FW Providencia |
137.19 |
67.22 |
40.5 |
PV-IU-087* |
25.00 |
26.28 |
1.28 |
HW Providencia |
95.75 |
122.56 |
43.0 |
PV-IU-087* |
30.52 |
33.27 |
2.75 |
Providencia |
101.49 |
279.10 |
57.8 |
PV-IU-088* |
25.45 |
26.04 |
0.59 |
Providencia |
13.64 |
8.05 |
16.1 |
PV-IU-089* |
42.70 |
45.60 |
2.90 |
Providencia |
321.19 |
931.44 |
154.4 |
PV-IU-089* |
55.06 |
55.96 |
0.90 |
FW Providencia |
105.0 |
94.50 |
17.3 |
PV-IU-089* |
61.60 |
66.10 |
4.50 |
FW Providencia |
59.78 |
269.0 |
12.6 |
PV-IU-091* |
61.10 |
62.54 |
1.44 |
Providencia |
18.65 |
26.85 |
13.1 |
PV-IU-108* |
45.35 |
45.63 |
0.28 |
FW Providencia |
540.03 |
151.21 |
383.8 |
PV-IU-121* |
42.88 |
43.13 |
0.25 |
Providencia |
43.19 |
10.80 |
52.7 |
El Silencio Mine |
ES-IU-007* |
20.65 |
20.92 |
0.27 |
1320 Vein |
14.0 |
3.78 |
17.1 |
ES-IU-008* |
17.17 |
17.51 |
0.34 |
1320 Vein |
7.65 |
2.60 |
13.7 |
ES-IU-010* |
32.02 |
33.19 |
1.17 |
Manto Vein |
13.87 |
16.23 |
25.1 |
ES-IU-014* |
16.33 |
16.70 |
0.37 |
1320 Vein |
9.58 |
3.54 |
9.3 |
ES-IU-015* |
81.38 |
82.11 |
0.73 |
Manto Vein |
11.70 |
8.54 |
10.0 |
ES-IU-017* |
38.77 |
40.05 |
1.28 |
Manto Vein |
15.09 |
19.31 |
23.6 |
ES-IU-017* |
76.70 |
77.55 |
0.85 |
Manto Vein |
18.93 |
16.09 |
88.3 |
ES-IU-018* |
38.77 |
40.05 |
1.23 |
Piso Vein |
9.87 |
12.14 |
23.8 |
ES-IU-020* |
55.50 |
55.80 |
0.30 |
Piso Vein |
14.23 |
4.27 |
23.1 |
ES-IU-026* |
16.20 |
16.51 |
0.31 |
Manto Vein |
25.45 |
7.89 |
19.1 |
Hole |
From (m) |
To (m) |
Width (m) |
Vein |
Au (g/t) |
Au*Width |
Ag (g/t) |
Sandra K Mine |
SK-IS-052 |
181.95 |
182.95 |
1.00 |
Sandra K Techo |
7.26 |
7.26 |
15.4 |
SK-IS-053 |
199.57 |
199.88 |
0.31 |
FW Sandra K
Techo |
8.10 |
2.51 |
9.4 |
SK-IS-055 |
180.55 |
182.05 |
1.50 |
Sandra K Techo |
20.98 |
31.47 |
65.7 |
SK-IS-057 |
179.23 |
180.35 |
1.12 |
Sandra K Techo |
11.91 |
13.34 |
177.2 |
SK-IS-059 |
187.59 |
188.96 |
1.37 |
Sandra K Techo |
13.96 |
19.13 |
12.2 |
SK-IS-063 |
208.75 |
210.05 |
1.30 |
Sandra K Techo |
9.07 |
11.79 |
40.8 |
* Denotes underground drill holes. The underground holes
were drilled at 0 to -90 degrees from the horizontal, and the intersection lengths do not represent true widths. Sample grades
over 7.0 g/t Au reported. Grades are for quartz vein intersections and are length-weighted composites. The length is the sample
length and is not necessarily the true width of the vein. All gold and silver grades are uncut and are not diluted to a minimum
mining width. Abbreviations: FW: foot wall vein; HW: hanging wall vein. |
El Silencio Mine Channel Sampling Highlights and Key Intercepts
- The ongoing underground sampling program continues to be successful in identifying high-grade veins within the current
mineral reserve and resource envelope and is playing a key role in the definition of veins that will be incorporated into updated
mineral reserve and resource estimates planned for early next year; and,
- These results are proving extremely valuable in validating the geological model from the historical channel sampling.
- Highlights of the channel sampling of the El Silencio mine are shown in the following table (channel samples averaging
greater than 100 g/t Au):
Channel ID |
Width (m) |
Au (g/t) |
Ag (g/t) |
North Zone Level 38 |
ES61445 |
1.32 |
101.43 |
101.4 |
ES34909 |
1.47 |
105.35 |
125.8 |
ES61459 |
1.44 |
105.80 |
82.9 |
ES61440 |
2.08 |
106.55 |
85.4 |
ES34915 |
1.13 |
114.38 |
84.5 |
ES62239 |
1.34 |
123.27 |
42.3 |
ES62242 |
0.84 |
125.34 |
81.0 |
ES61437 |
1.64 |
179.96 |
38.0 |
ES61427 |
2.21 |
192.46 |
37.9 |
ES34912 |
1.95 |
271.77 |
131.1 |
ES62308 |
1.24 |
282.39 |
137.0 |
ES61102 |
1.06 |
311.44 |
132.5 |
Channel ID |
Width (m) |
Au (g/t) |
Ag (g/t) |
South Zone Level 45 |
ES61683 |
1.37 |
100.01 |
19.1 |
ES61741 |
1.7 |
102.26 |
89.1 |
ES34643 |
1.39 |
102.46 |
68.9 |
ES61546 |
0.98 |
106.23 |
53.4 |
ES34320 |
1.35 |
110.03 |
36.6 |
ES61670 |
1.2 |
110.54 |
55.9 |
ES34191 |
1.45 |
111.04 |
28.0 |
ES61969 |
1.5 |
112.26 |
63.8 |
ES34800 |
1.57 |
112.66 |
58.0 |
ES34788 |
0.87 |
114.35 |
90.3 |
ES34067 |
1.85 |
115.54 |
103.5 |
ES61963 |
2.2 |
118.29 |
44.5 |
ES61708 |
1.99 |
121.82 |
39.4 |
ES34582 |
1.73 |
122.85 |
47.6 |
ES34750 |
2.26 |
126.01 |
80.0 |
ES61589 |
2.61 |
130.85 |
36.1 |
ES34172 |
1.66 |
131.28 |
82.5 |
ES34625 |
1.81 |
132.82 |
24.1 |
ES34052 |
1.11 |
134.18 |
120.5 |
ES61561 |
1.43 |
149.06 |
67.3 |
ES34270 |
1.57 |
157.83 |
86.9 |
ES34188 |
0.94 |
160.86 |
63.7 |
ES34232 |
1.66 |
163.47 |
129.6 |
ES61959 |
1.95 |
196.27 |
89.5 |
ES61930 |
1.12 |
254.84 |
52.2 |
ES34554 |
1.09 |
285.88 |
108.6 |
ES61630 |
1.69 |
286.34 |
136.6 |
ES34330 |
1.25 |
291.48 |
108.2 |
ES34558 |
1.12 |
323.84 |
124.9 |
ES34805 |
1.59 |
330.13 |
297.5 |
Channel samples over 100 g/t Au reported. The grades are
the length-weighted average of all samples in each channel including wall rock. The sample grades are uncut. The channels are
taken over the height of the mine working. |
Samples were taken with hammer and chisel as continuous channels approximately 5 cm wide and 2.5 cm deep,
following industry best practice. Individual sample widths generally averaged no more than one meter, and multiple samples were
taken across the total width of wider veins and sheeted vein swarms. Sampling includes at least 10 cm of hanging wall and footwall
dilution, when possible.
Please refer to Attachments 1 to 6 to this press release for illustrative maps related to the Providencia, El
Silencio and Sandra K in-fill drilling programs and channel sampling at the El Silencio mine, copies of which are also available on
the Company's website at www.grancolombiagold.com.
Qualified Person
Dr. Stewart D. Redwood, PhD, FIMMM, Senior Consulting Geologist to the Company, is a qualified person as defined
by National Instrument 43-101 – Standards of Disclosure or Mineral Projects and prepared or reviewed the preparation of
the scientific and technical information in this press release in respect of the drilling and channel results from the Segovia
Project. Dr. Redwood verified the data disclosed in this news release, including the sampling, analytical and test data underlying
the information contained in this news release. Verification included a review of the quality assurance and quality control
samples, and review of the applicable assay databases and assay certificates.
Quality Assurance and Quality Control
Diamond drilling was carried out using HQ core. The core was logged geologically and sample intervals were
determined on the basis of geology. The core was saw-cut lengthwise with one half of each sample placed in a sample bag and the
other half returned to the core-box for reference. The samples were prepared and assayed by SGS Laboratories Ltd (ISO 9001:2008) at
their laboratory in Medellin, Colombia. Gold was assayed by fire assay with atomic absorption spectrophotometer (“AAS”) finish.
Samples over 10 g/t gold were re-assayed by fire assay with gravimetric finish. Silver was assayed by aqua regia digestion and AAS
finish. Samples over 500 g/t Ag were re-assayed by nitric and hydrochloric acid digestion and AAS finish. Blank, standard and
duplicate samples were routinely inserted for quality assurance and quality control.
About Gran Colombia Gold Corp.
Gran Colombia is a Canadian-based gold and silver exploration, development and production company with its
primary focus in Colombia. Gran Colombia is currently the largest underground gold and silver producer in Colombia with several
underground mines in operation at its Segovia and Marmato Operations. Gran Colombia is in the midst of an expansion and
modernization project at its Segovia Operations.
Additional information on Gran Colombia can be found on its website at www.grancolombiagold.com and by reviewing the
Company’s page on SEDAR at www.sedar.com.
Cautionary Statement on Forward-Looking Information:
This news release contains "forward-looking information", which may include, but is not limited to, statements with
respect to the future financial or operating performance of the Company and its projects. Often, but not always,
forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled",
"estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and
phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be
achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual
results, performance or achievements of Gran Colombia to be materially different from any future results, performance or
achievements expressed or implied by the forward-looking statements. Factors that could cause actual results to differ materially
from those anticipated in these forward-looking statements are described under the caption "Risk Factors" in the Company's Annual
Information Form dated as of March 27, 2018, which is available for view on SEDAR at www.sedar.com. Forward-looking statements
contained herein are made as of the date of this press release and Gran Colombia disclaims, other than as required by law, any
obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances,
or if management's estimates or opinions should change, or otherwise. There can be no assurance that forward-looking statements
will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements.
Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements.
For Further Information, Please Contact:
Mike Davies
Chief Financial Officer
(416) 360-4653
investorrelations@grancolombiagold.com
Six figures accompanying this announcement are available at:
http://www.globenewswire.com/NewsRoom/AttachmentNg/2bf04561-c155-49a9-abae-c1ff7aa0f867
http://www.globenewswire.com/NewsRoom/AttachmentNg/b60ea3e1-6242-495d-9268-4a3bfca2dcb5
http://www.globenewswire.com/NewsRoom/AttachmentNg/8a4b291f-678d-41bc-a945-fd2a9b38b48e
http://www.globenewswire.com/NewsRoom/AttachmentNg/cbb60804-0c8a-4211-a5ba-99415b98da45
http://www.globenewswire.com/NewsRoom/AttachmentNg/2ff7a19e-3b73-40b5-ad00-00493f210cd2
http://www.globenewswire.com/NewsRoom/AttachmentNg/53cb151a-db71-404b-98d0-2c891255fde8