Unigold (TSXV: UGD; US-OTC: UGDIF) has launched the most recent drill outcomes from its exploration program on the Candelones Extension deposit, a part of the corporate’s wholly-owned Neita concession within the Dominican Republic, 220 km northwest of the capital Santo Domingo.
Highlights included drillhole LP20-165, which returned 7 metres grading 21.89 grams gold per tonne, 17.46 grams silver per tonne, 2.68% copper, and 0.78% zinc from 458 metres.
Drilled on Goal B, certainly one of three epithermal gold veins recognized on the deposit, the opening intersected the deepest and highest-grade interval so far at this goal, extending the mineralisation an extra 100 metres to depth.
Many of the drilling on the 21,031-hectare property has been inside 350 metres of floor, which has uncovered “some fairly considerable mineralised programs,” says Joe Hamilton, Unigold’s chairman and CEO.
“Nevertheless, there’s a chance that these epithermal veins go a lot deeper,” he defined in an interview. “Typically, veins like these discovered on Neita can prolong from 750 metres to 1,000 metres vertically to depth. So, the concept now could be to discover how deep these programs go.”
Gap LP20-165 additionally handed by means of Goal A, one other epithermal vein 150 metres east of Goal B, earlier than persevering with into the deep footwall extension of Goal B, and lower 17 metres of 6.72 grams gold, 5.93 grams silver, 0.94% copper, and 0.51% zinc from 444 metres, extending mineralisation at Goal A one other 25 metres to depth.
Two further holes have additionally been pre-collared, every a 100-metre step-out down-dip alongside the Goal B development after passing by means of the Goal A horizon. The holes are within the means of being prolonged by bigger drill rigs, Hamilton mentioned.
Along with extending the mineralisation at Targets A and B, the corporate additionally drill examined Goal D, 800 metres west of Goal B.
“We imagine that Goal D might be one other epithermal vein, so we have been trying to comply with up on two historic drill holes that have been drilled within the space,” Hamilton mentioned.
The world round Goal D, he added, had not been drilled since 2011, when holes LP62 intersected 9 metres of 6.6 grams gold and three.2% copper, and LP66 lower 6 metres of 8.2 grams gold and a pair of.6% zinc, with each intersections inside 100 metres of floor.
Drillhole LP20-177, the primary gap of the 2020 drill program to check the potential of Goal D, returned 4.9 metres of 1.17 grams gold, 2.6 grams silver, and 0.3% copper from 130.10 metres.
“Though the grades and thicknesses have been lower than these returned from the opposite epithermal targets,” Hamilton mentioned, “the drill gap confirmed 85 metres of sturdy alteration and mineralization, which has inspired us to proceed drilling round Goal D.”
Hamilton, an exploration geologist and chartered monetary analyst, has over 30 years of expertise in mineral exploration, capital markets, and mine improvement. He has managed treasured and base metallic tasks throughout North America, Latin America, and Africa and has taken tasks from early-stage exploration and improvement by means of to building.
“The Dominican Republic has been largely underexplored over the previous 30 to 40 years, so there’s important potential to search out new deposits,” he mentioned. “The rocks within the area are very permissive to world-class deposits just like the Pueblo Viejo gold mine.”
The Pueblo Viejo mine, operated by the Pueblo Viejo Dominican Corp. — a 60:40 three way partnership between Barrick (TSX: ABX; NYSE: GOLD) and Newmont (TSX: NGT; NYSE: NEM) — produced 542,000 oz. of gold in 2020.
Unigold began exploration on the Nieta concession in October 2002.
As of June 2020, it had accomplished 542 diamond drill holes (128,293 metres), 31,559 metres of floor trenching, collected 32,704 soil and 11,089 rock samples, and 196-line-km of floor geophysics and 687 sq. km of airborne geophysics on the property.
An up to date mineral useful resource estimate for the Candelones Extension deposit in August outlined 3.Four million measured and indicated tonnes grading 0.84 gram gold per tonne for 92,000 oz. contained gold and inferred useful resource of 34.9 million tonnes grading 1.65 grams gold for 1.9 million ounces.
Within the second half of 2020, the corporate launched a 15,000-20,000-metre drill program at Candelones Extension to extend the recognized high-grade targets and probe for brand new discoveries near the recognized Candelones deposits, notably alongside the 1,500 metres hole in drill protection between the Candelones Connector and Candelones Extension deposits.
“Though the drill program was delayed by 4 months because of the Covid-19 pandemic, we have been in a position to present instruction remotely to our Dominican administration group on the bottom,” Hamilton mentioned. “Even below these difficult circumstances, we achieved over a 90% hit ratio with the drilling.”
At present, Unigold has 4 drills turning on the challenge. Two drills are persevering with to check the depth extensions at Targets B and C, 600 metres west of Goal B. One drill is testing Goal D, and one drill is exploring the Montazo geochemical-IP anomaly, Four km west of the Candelones mineralisation.
This 12 months, the corporate plans to launch a prefeasibility examine for the shallower lower-grade oxide useful resource by the tip of March and a bankable feasibility examine by the tip of the 12 months. These research, Hamilton mentioned, will enable it to use for a mining license within the second half of 2021.
Unigold additionally plans to finish an up to date useful resource estimate for the deeper and higher-grade sulphide mineralisation, slated for launch by the tip of March or the start of April, and full trade-off research for open-pit versus underground mining within the second quarter of the 12 months.
“One other large push for us this 12 months is to ramp-up our neighborhood engagement and Company Accountability applications,” Hamilton mentioned. “We’re additionally trying to finalize our sustainability framework to know what the communities wish to see out of a mining challenge and to deal with any points they’ve throughout the design course of.”
Unigold at present has about $Three million within the treasury, “which, relying on how a lot drilling we put into the bottom this 12 months, needs to be enough to fund our work into the second half of the 12 months,” he mentioned. “We’ll then have to go to the markets to lift extra capital.”
The corporate’s shareholders have been very supportive, Hamilton mentioned, with lots of them taking part in Unigold’s final two financing initiatives, in June 2020 and September 2019.
Main shareholders within the firm embrace the Canadian mining billionaire Eric Sprott, who holds a 17% curiosity within the firm. Unigold’s officers and administrators maintain a 5% stake.