Endomines announces pre-development activities at its Montana Gold Projects
Endomines AB, Stock Exchange Release 14 July 2021 at 14:30 CEST
The Company plans to undertake environmental, exploration, metallurgical and project development activities for its Montana gold mining projects, US Grant and Kearsarge starting Q3 2021. The work will begin with the preparation of an updated estimate of mineral resources followed by a scoping study addressing the economic potential of the project.
These properties are key cornerstones for the future development of the Endomines group to becoming a mid-tire gold mining company. The US Grant and Kearsarge properties are high-grade gold vein systems located in the historic Alder Gulch (Virginia City) mining district in Madison County Montana. The US Grant Property consists of mining claims covering 2.2 km2, along with a processing facility designed to mill 150 tons per day using gravity separation and froth flotation to produce gold concentrates. The mine is a high-grade, underground gold and silver project with a historical resource totalling 165,700 ounces of gold and 4.47M ounces of silver contained in 346,000 tonnes (381,400 short tons) of mineralized material. Although production records are not well documented, historic mining grades range between 6.9 - 8.6 g/t (0.2 – 0.25 oz/t) gold and 171.4 – 342.8 g/t (5 – 10 oz/t) silver.
The Kearsarge property consists of mining claims covering 2.5 km2 and is located approximately 8 km from the US Grant Mill. The mine is also a high-grade, underground gold project with a historical resource totalling 380,700 ounces of gold contained in 4.1 million tonnes (4.5 million short tons) of mineralized material.
Once the conceptual modelling has been completed, initial exploration drilling will be carried out from surface, targeted at confirmation of the historical database and to generate fresh material for metallurgical studies, followed by step-out drilling to extend resources. Environmental activities are focused on baseline studies for permitting activities, as well as exploration permitting and monitoring for the Projects. The Company also intends to re-open accessible underground workings last accessed in 2018 (US Grant) and 2005 (Kearsarge) to allow for underground mapping, sampling, and delineation drilling from underground drilling stations.
Endomines Project engineers have reviewed the US Grant processing facilities and identified areas where improvements can be made in the mill. Results of metallurgical studies from the 2021 exploration campaign will be used to refine the process plans for the operation and incorporated into restart plans as they become available. The Montana mining assets with their high-grade gold mineralization, the presence of a permitted enrichment plant suitable for producing gold concentrates, and significant additional exploration potential in the area, represents an excellent near-term development opportunity and a strong mid-term growth driver for Endomines.
For further information, please contact:
Vern Langdale, Director of Operations, +358 44 422 9657, vern.langdale@endomines.com
Marcus Ahlström, Interim CEO and CFO, +358 50 544 68 14, marcus.ahlstrom@endomines.com
The information was submitted for publication, through the agency of the contact persons set out above, at 14:30 CEST on 14 July 2021.
Statements in this press release which are not purely historical facts, including without limitation statements regarding future estimates, plans, objectives, assumptions, or expectations of future performance are “forward-looking statements”. Such forward-looking statements involve known and unknown risks and uncertainties that could cause actual results and future events to differ materially from those anticipated in such statements. Such risks and uncertainties include fluctuations in metal prices, unpredictable results of exploration activities, uncertainties inherent in the estimation of mineral reserves and resources, fluctuations in the costs of goods and services, problems associated with exploration and mining operations, changes in legal, social or political conditions, and lack of appropriate funding, all of
which could among other things, prevent any of the forward-looking statements in this presentation from coming to fruition or lead to a delay in the development of mining operations.
Therefore, it is noted that both the US Grant and the Kearsarge project resources are historic estimates and as such neither of them can be defined as a mineral resource or mineral reserve as defined in NI 43-101.
About Endomines
Endomines is a mining and exploration company with its primary focus on gold. The Company explores for gold along the Karelian Gold Line in Eastern Finland and develops mining operations in Idaho, USA and Finland. Endomines aims to improve its long-term growth prospects by increasing its exploration activities and through acquisitions. Endomines aims to acquire deposits that are situated in stable jurisdictions and can be brought to production rapidly with limited investments.
The shares trade on Nasdaq Stockholm (ENDO) and Nasdaq Helsinki (ENDOM).
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