TORONTO, July 8, 2021 /CNW/ - Argonaut Gold
Inc. (TSX: AR) (the "Company", "Argonaut Gold" or "Argonaut")
is pleased to announce that drill hole MA21-070 has intersected a
core length of 7.0m at 13.3 g/t Au
approximately 1.5 kilometres west from the border between the
Magino property and the Island Gold mine, as a follow-up drill hole
to previously announced drill intercept MA20-057 which encountered
10.0m at 19.0 g/t Au in the South
Zone at its 100% owned Magino property in Ontario, Canada (see press release dated
January 20, 2021).
Recent highlights include:
- South Zone:
-
- MA21-070 with 7.0m at 13.3 g/t Au
and 8.0m at 5.1 g/t Au;
- Elbow Zone:
-
- MA21-063 with 8.0m at 7.7 g/t Au,
including 1.1m at 36.8 g/t Au;
- MA21-064 with 3.0 m at 6.7 g/t
Au, including 1.0 m at 18.4 g/t
Au;
- MA21-065 with 19.0m at 3.7 g/t
Au, including 2.0m at 14.8 g/t
Au;
- MA21-066 with 3.5m at 8.0 g/t
Au;
- MA21-067 with 6.0m at 6.5 g/t Au,
including 2.0m at 17.7 g/t Au;
and
- MA21-068 with 26.0m at 1.7 g/t
Au, including 1.0m at 7.7 g/t
Au.
Figure 1 – Plan Map of Magino Showing the
Locations of Drill Holes in this Press Release
The 2021 drilling program is primarily focused on tightening the
drill spacing to approximately 40 m
(upper portion) and 80 m (lower
portion) within the Elbow Zone from the bottom of the planned pit
to a vertical depth from surface of around 1,000 m. The secondary focus of the program is to
continue to drill test previously discovered high-grade gold
structures within the South Zone, Central Zone, Scotland Zone, #42
Zone and Sandy Zone as well as other
prospective showings located elsewhere on the Magino property.
Argonaut plans to drill approximately 25,000 metres on these
targets this year, is currently drilling with four diamond drill
rigs and anticipates completing the program during the fourth
quarter of 2021.
Pete Dougherty, President and CEO
stated: "The goal of our 2021 program is to tighten the drill
spacing within the Elbow Zone to the point where we can evaluate
the resource potential of this important structure. Due to the
exploration team's success to date at discovering high-grade gold
structures below and adjacent to the planned open pit, we have
numerous highly prospective drill targets."
The South Zone follows the southern contact of the Webb Lake
Stock (granodiorite rocks) and volcanic rocks (Figure 2). Drill
holes MA21-070 (7.0m at 13.3 g/t Au
and 8.0 m at 5.1 g/t Au) and MA21-071
(9.5m at 3.7 g/t Au) were designed to
test the South Zone as follow up holes to previously reported
intercepts MA20-057 (10.0m at 19.0
g/t Au) and MA12-424 (21.0 m at 11.0
g/t Au including 7.6m at 29.4 g/t
Au). This zone contains two parallel vein systems within a
structure that has an approximate true width of 25 metres that
mimics the trend of a nearby aplite dyke, appears to transect
eastward into the volcanic rock package for an apparent strike
length of 1.5 km to the eastern property boundary. Drill holes
MA20-057 and MA20-070 intersected the gold-bearing vein system
down-plunge for an estimated apparent true width ranging between
3.4m to 4.8m. With only three holes completed at depth to
define this zone, additional drilling perpendicular to the vein
system is required to accurately define the width of the vein
systems that comprise the South Zone.
Figure 2 – Drill holes MA21-070 and
MA21-071 in relation to high-grade gold intercepts in previously
announced drill holes MA20-057 and MA12-424
Infill definition drilling of the Elbow Zone continues to define
numerous high grade gold zones within this steeply east plunging
structure where oriented core and the collection of structural
measurements on significant vein systems continues to test the
continuity of gold mineralized veins that define this important
zone. Close to 17,000 metres of drilling is still needed to
complete the Phase 1 definition drilling program. Drilling within
the Elbow Zone continues to intersect exciting gold values
(MA21-063 of 8.0 m at 7.7 g/t Au;
MA21-067 of 2.0 m at 17.7 g/t Au) as
presented on Figure 3 below.
Figure 3 – Long
Section of Elbow Zone Showing Completed Drill Holes and
Planned Drill Holes
Brian Arkell, Vice President of
Exploration commented: "We are continuing to develop a better
understanding on the structural controls on the high-grade
mineralization at Magino and are now in the process of early-stage
resource definition drilling on the Elbow Zone. With the extremely
encouraging initial high-grade gold results at depth within the
Elbow and South Zones, we are very excited about our success in
defining a series of high-grade gold mineralized structures below
the Magino planned open pit."
Table 1: Drill Results From the On-Going Drill
Program
Hole
|
|
|
|
From
(metres)
|
To
(metres)
|
Length
(metres)
|
Grade*
|
Estimated
True
|
Zone
|
Azimuth
|
Dip
|
(Au
g/t)
|
Width
(meters)
|
MA21-070
|
South
|
153.3
|
-72.1
|
433.0
|
440.0
|
7.0
|
13.3
|
3.4
|
and
|
|
|
|
536.8
|
540.0
|
5.0
|
3.5
|
2.4
|
including
|
|
|
|
537.5
|
538.5
|
1.0
|
18.2
|
0.5
|
and
|
|
|
|
616.0
|
621.0
|
5.0
|
3.5
|
2.4
|
including
|
|
|
|
620.0
|
621.0
|
1.0
|
13.5
|
0.5
|
and
|
|
|
|
720.0
|
728.0
|
8.0
|
5.1
|
3.8
|
including
|
|
|
|
726.0
|
727.0
|
1.0
|
19.5
|
0.5
|
|
|
|
|
|
|
|
|
|
MA21-071
|
South
|
331.7
|
-75.1
|
877.5
|
887.0
|
9.5
|
3.7
|
4.6
|
including
|
|
|
|
877.5
|
880.6
|
3.1
|
5.9
|
1.5
|
and
|
|
|
|
884.0
|
886.0
|
2.0
|
6.0
|
1.0
|
|
|
|
|
|
|
|
|
|
MA21-063
|
Elbow
|
156.1
|
-77.4
|
453.0
|
461.0
|
8.0
|
7.7
|
6.0
|
including
|
|
|
|
459.9
|
461.0
|
1.1
|
36.8
|
0.8
|
|
|
|
|
|
|
|
|
|
MA21-064
|
Elbow
|
164.4
|
-79.4
|
463.0
|
466.0
|
3.0
|
6.7
|
2.3
|
including
|
|
|
|
464.0
|
465.0
|
1.0
|
18.4
|
0.8
|
|
|
|
|
|
|
|
|
|
MA21-065
|
Elbow
|
164.0
|
-74.0
|
342.0
|
361.0
|
19.0
|
3.7
|
14.3
|
including
|
|
|
|
359.0
|
361.0
|
2.0
|
14.8
|
1.5
|
|
|
|
|
|
|
|
|
|
MA21-066
|
Elbow
|
165.7
|
-78.0
|
526.9
|
530.4
|
3.5
|
8.0
|
2.6
|
|
|
|
|
|
|
|
|
|
MA21-067
|
Elbow
|
153.9
|
-73.1
|
444.0
|
450.0
|
6.0
|
6.5
|
4.5
|
including
|
|
|
|
448.0
|
450.0
|
2.0
|
17.7
|
1.5
|
|
|
|
|
|
|
|
|
|
MA21-068
|
Elbow
|
173.7
|
-81.2
|
462.0
|
488.0
|
26.0
|
1.7
|
19.5
|
including
|
|
|
|
481.0
|
482.0
|
1.0
|
7.7
|
0.8
|
|
|
|
|
|
|
|
|
|
A table of the drill results as well as maps and an interactive
3D model are available on the Company's website at
https://www.argonautgold.com/English/assets/drill-results/default.aspx
Qualified Person Comments / Quality Control
Procedures
The preparation of this press release was supervised and
approved by Brian Arkell, Argonaut
Gold's Vice President Exploration and a Qualified Person under NI
43-101. Mr. Arkell also reviewed the diamond drilling, sampling,
and on-site sample preparation procedures at Magino.
For sample analysis, the Company utilizes a system of Quality
Assurance/Quality Control (QA/QC) that includes insertion and
verification of standards, blanks, and duplicates consistent with
industry standards.
The Company has implemented a QA/QC program to ensure sampling
and analysis of all exploration work is conducted in accordance
with the CIM Exploration Best Practices Guidelines. The entire
drill hole is sampled and tagged by geologic personnel. Cores are
then photographed and sawn in half by experienced geotechnicians,
placed in numbered plastic bags, and gathered in rice bags which
are sealed with tamper-proof security tags under the supervision of
the project geologists. The other half of the core is retained for
future assay verification and/or metallurgical testing. Other QA/QC
procedures include the insertion of coarse blanks and Canadian
Reference Standards for every tenth sample in the sample stream.
Samples are bagged, sealed with numbered security tags and shipped
to the Activation Laboratories facility, Thunder Bay, Ontario, for sample preparation
and assaying. The laboratory has its own QA/QC protocols, running
standards, blanks, and duplicate samples in each batch stream. Gold
analysis is conducted by lead collection, fire assay with a
gravimetric finish on a 50-gram sample. Metallic screen fire
assaying is now completed using a 1.0 kg sample and two 50 gm fire
assays of the pass (-100 mesh) pulverized material on all samples
containing visible gold. Check assays are conducted at a secondary
ISO certified laboratory.
Please see below under the heading "Cautionary note regarding
forward-looking statements" for further details regarding
risks.
Creating Value Beyond Gold
Cautionary Note Regarding Forward-looking
Statements
This press release contains certain
"forward-looking statements" and "forward-looking information"
under applicable Canadian securities laws concerning the business,
operations and financial performance and condition of Argonaut Gold
Inc. ("Argonaut" or "Argonaut Gold"). Forward-looking statements
and forward-looking information include, but are not limited to
statements with respect to permitting and legal processes in
relation to mining permitting and approvals; estimated
production and mine life of the various mineral projects of
Argonaut; the ability to obtain permits for operations; synergies;
the realization of mineral reserve estimates; the timing and amount
of estimated future production; costs of production; and financial
impact of completed acquisitions; the benefits of the development
potential of the properties of Argonaut; the future price of gold,
copper, and silver; the estimation of mineral reserves and
resources; success of exploration activities; and currency exchange
rate fluctuations. Except for statements of historical fact
relating to Argonaut, certain information contained herein
constitutes forward-looking statements. Forward-looking statements
are frequently characterized by words such as "plan," "expect,"
"project," "intend," "believe," "anticipate", "estimate" and other
similar words, or statements that certain events or conditions
"may", "should" or "will" occur. Forward-looking statements are
based on the opinions and estimates of management at the date the
statements are made, and are based on a number of assumptions and
subject to a variety of risks and uncertainties and other factors
that could cause actual events or results to differ materially from
those projected in the forward-looking statements. Many of these
assumptions are based on factors and events that are not within the
control of Argonaut and there is no assurance they will prove to be
correct.
Factors that could cause actual results to vary materially from
results anticipated by such forward-looking statements include
variations in ore grade or recovery rates, changes in market
conditions, risks relating to the availability and timeliness of
permitting and governmental approvals; risks relating to
international operations, fluctuating metal prices and currency
exchange rates, changes in project parameters, the possibility of
project cost overruns or unanticipated costs and expenses, labour
disputes and other risks of the mining industry, failure of plant,
equipment or processes to operate as anticipated.
These factors are discussed in greater detail in Argonaut's most
recent Annual Information Form and in the most recent Management's
Discussion and Analysis filed on SEDAR, which also provide
additional general assumptions in connection with these statements.
Argonaut cautions that the foregoing list of important factors is
not exhaustive. Investors and others who base themselves on
forward-looking statements should carefully consider the above
factors as well as the uncertainties they represent and the risk
they entail. Argonaut believes that the expectations reflected in
those forward-looking statements are reasonable, but no assurance
can be given that these expectations will prove to be correct and
such forward-looking statements included in this press release
should not be unduly relied upon. These statements speak only as of
the date of this press release.
Although Argonaut has attempted to identify important factors
that could cause actual actions, events or results to differ
materially from those described in forward-looking statements,
there may be other factors that cause actions, events or results
not to be anticipated, estimated or intended. 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. Argonaut
undertakes no obligation to update forward-looking statements if
circumstances or management's estimates or opinions should change
except as required by applicable securities laws. The reader is
cautioned not to place undue reliance on forward-looking
statements. Statements concerning mineral reserve and resource
estimates may also be deemed to constitute forward-looking
statements to the extent they involve estimates of the
mineralization that will be encountered if the property is
developed. Comparative market information is as of a date prior to
the date of this document.
For further information on the Magino project, please see the
report as listed below on the Company's website or on
www.sedar.com:
Magino Gold
Project
|
Feasibility Study
Technical Report on the Magino Project, Ontario, Canada dated
December 21, 2017 (effective date November 8, 2017)
|
About Argonaut Gold
Argonaut Gold is a Canadian gold company engaged in exploration,
mine development and production. Its primary assets are the
El Castillo mine and San Agustin mine, which together form the El
Castillo Complex in Durango,
Mexico, the La Colorada
mine in Sonora, Mexico and the
Florida Canyon mine in Nevada,
USA. The Company also holds the construction stage Magino
project, the advanced exploration stage Cerro del Gallo project and several other
exploration stage projects, all of which are located in
North America.
For more information, contact:
Argonaut Gold Inc.
Dan
Symons
Vice President, Corporate Development & Investor Relations
Phone: 416-915-3107
Email: dan.symons@argonautgold.com
SOURCE Argonaut Gold Inc.