Candente Gold Announces Drilling to Commence on Tailings Deposit
April 5, 2018
Vancouver, British Columbia / TheNewswire / April 5th, 2018. Candente Gold Corp. (TSXV:CDG) ("Candente Gold" or "the Company") is pleased to announce that Sun River Gold plans to conduct a drilling program to further test the Mexico Mines Tailings Deposit. The drill is currently being mobilized from the USA to El Oro, Mexico and drilling will commence once all approvals have been received from Mexican authorities.
The purpose of the drilling program will be to further test grade continuity especially at depth and to provide additional material to optimize metallurgical work in progress.
The program will be carried out with an auger drill which will drill dry holes to a maximum depth of 18 to 20m. They will use a 3" auger which will produce about 6.5 to 7kg of sample per metre. There are currently 12 holes planned on the Mexico Mine tails with depths varying from 9m to the maximum 20m, for a total of approximately 180m.
SRG and the Company will also apply for permission to drill some of the other three known Tailings deposits in El Oro which the Company and SRG have a First Right of Refusal to re-process.
On another matter, the Company advises of the resignation of Mr. Faisel Hussein from his position as Interim Chief Financial Officer of the Company to pursue other opportunities, effective April 3, 2018. Mr. Hussein joined Candente Gold Corp. in March, 2015.
"The Company would like to thank Mr. Hussein for all his contributions made during his tenure as CFO and wish him the best with his new endeavours", commented Joanne Freeze.
Furthermore, the Company is very pleased to announce the appointment of Alec Peck as the Company's Chief Financial Officer. Mr. Peck's previous professional and career activities include a partnership in an international accounting firm followed by a career as a Vice President in the corporate finance group of a Canadian investment dealer. He has been, and continues to be, a CFO for several Canadian public companies.
In addition, the Company advises that Mr. Sean Waller P.Eng. has resigned from his position as Vice President of the Company to pursue other opportunities; however Mr. Waller will continue to act as a consultant to the Company. Mr. Waller joined Candente Gold in April 2009 and served as Vice President since May 2009.
"The Company would like to thank Mr. Waller for his many contributions made during his tenure as Vice President and look forward to continuing to work with him in a consulting capacity", commented Joanne Freeze.
About Candente Gold
Candente Gold's flagship asset is El Oro, a district scale gold project encompassing a well-known prolific high grade gold dominant silver epithermal vein system in Mexico. The project covers 20 veins with past production and more than 57 veins in total, from which approximately 6.4 million ounces of gold and 74 million ounces of silver were reported to have been produced from just two of these veins (Ref. Mexico Geological Service Bulletin No. 37, Mining of the El Oro and Tlapujahua Districts. 1920, T. Flores)
Modern understanding of stacked boiling systems in epithermal vein systems indicates that several of the El Oro district's veins hold multi-million ounce discovery potential, particularly below and adjacent to historic workings of the San Rafael Vein, which was mined to an average depth of only 200 metres. The Company has also delineated 31 new targets for mineralized veins or zones on the property.
In addition to exploration potential at El Oro, Candente Gold acquired the right to recover gold and silver from the Mexican Mine Tailings Deposit from the Municipality of El Oro. The Mexico Mine Tailings contain an Inferred Resource* of 1,267,400 Tonnes grading 2.94 Au g/t, 75.12 Ag g/t containing 119,900 ounces of gold and 3,061,200 ounces of silver.
In November 2017, the Company granted Sun River the right to develop and operate the Mexican Mine Tailings in return for staged payments totalling US$500,000, and bringing the mine tailings properties into commercial production within 36 months as well as paying the Company 5% of net profits ("NPI") Life of Mine. Sun River will also be responsible for the obligation to pay an additional 8% NPI to the Municipality of El Oro except for the first US$1.5M which is to be paid to the Company.
*Note: Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. All figures have been rounded to reflect the accuracy of the estimate. For more information see "National Instrument 43-101 Technical Report on the Inferred Mineral Resource Estimate of the Mexico Mine Tailings" prepared by Nadia Caira, P.Geo. and Allan Reeves, P.Geo., dated August 25, 2014 with an effective date of July 8, 2014 available at www.sedar.com.
Joanne C. Freeze, P.Geo., President and CEO, is the Qualified Persons as defined by National Instrument 43-101 for the project discussed above. Ms. Freeze has reviewed and approved the contents of this release.
Neither TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
This news release may contain forward-looking information (as such term is defined under Canadian securities laws) including but not limited to the mineral resource estimate for the Mexico Mine Tailings, the potential for discovery in the El Oro district and other statements that are not historical facts. While such forward-looking information is expressed by Candente Gold in good faith and believed by Candente Gold to have a reasonable basis, they address future events and conditions and are therefore subject to inherent risks and uncertainties including those set out in Candente Gold's MD&A. Factors that cause the actual results to differ materially from those in forward-looking information include, without limitation, gold prices, results of exploration and development activities, regulatory changes, defects in title, availability of materials and equipment, timeliness of government approvals, potential environmental issues, availability of capital and financing and general economic, market or business conditions. Candente Gold expressly disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws.
On behalf of the Board of Candente Gold Corp.
"Joanne Freeze" P.Geo.
President & CEO
For further information please contact:
"Joanne C. Freeze" P.Geo.
President & CEO
+ 1 (604) 689-1957
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