Coventry Announces the Initial Dogpaw Gold Deposit Mineral Resource Estimate, Part of the Cameron Gold Camp, Ontario
13.05.2013 | Marketwire
VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 05/13/13 -- Coventry Resources Inc. (TSX VENTURE: CYY)(ASX: CYY) ("Coventry" and the "Company") is pleased to announce the initial NI 43-101 and JORC-Code (2012 Edition) compliant mineral resource estimate (Table 1) for the Dogpaw Gold Deposit ("Dogpaw"), one of several deposits within the Company's Cameron Gold Camp Project in NW Ontario, Canada ("Project").The Dogpaw Gold Deposit is located 10km west of the Company's flagship Cameron Gold Deposit; immediately adjacent to an all-weather road that provides the main access to the Project (Figure 1). The addition of resources at Dogpaw continues to validate the Company's success as it implements its strategy of advancing satellite deposits that are proximal to the Cameron Gold Deposit, with a view to providing additional feed to its proposed mining operation at the Cameron Deposit. As part of this strategy Coventry plans to conduct further exploration drilling during the second quarter of 2013 to evaluate other highly prospective gold zones within the West Cedartree Gold Project, that the Company recently acquired from Houston Lake Mining Inc. ("Houston Lake"), particularly the Robertson and McLennan Prospects.
Table 1- NI 43-101 and JORC-Code Compliant Mineral Resource Estimate, Dogpaw Gold Deposit(i)
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Cut-off grade Grade
(g/t gold) Category Tonnes (g/t gold) Ounces of Gold
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0.5 Indicated 259,000 2.99 24,900
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Inferred 158,000 2.71 13,800
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(i) Mineral resources are not mineral reserves and do not have demonstrated
economic viability. All figures are rounded to reflect the relative accuracy
of the estimate.
This initial mineral resource estimate for Dogpaw is in addition to the previously reported mineral resource estimates for the Cameron and Dubenski Gold Deposits (Appendix 1) which formed part of a positive Preliminary Economic Assessment (PEA) announced by Coventry for the Cameron Gold Camp Project on 16 January 2013.
The Dogpaw Gold Deposit comprises a mineralised zone that extends over a strike of 310m and to a vertical depth of 210m. Gold mineralization occurs in the form of disseminated pyrite and silica with associated carbonate, mainly in gabbro, at a contact with mafic volcanic rocks where porphyry intrusions are apparently localized by a series of northwest-trending faults.
The mineralization at Dogpaw remains open to the east-northeast and at depth. Datageo Geological Consultants, which completed the independent resource estimation, has recommended further work that may result in the delineation of additional near surface mineralization.
Table 2 reports the mineral resource estimates within 150m of surface at the Dogpaw Gold Deposit as it is considered that open pit mining will be the most applicable method of mining.
Table 2- NI 43-101 and JORC-Code Compliant Mineral Resources at various cut-off grades, within 150m of surface, Dogpaw Gold Deposit (includes allowance for previous bulk sample)(i).
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Cut-off grade Grade
(g/t gold) Category Tonnes (g/t gold) Ounces of gold
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0.5 Indicated 247,000 3.02 24,000
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Inferred 64,000 2.27 4,600
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1.0 Indicated 202,000 3.54 23,000
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Inferred 54,000 2.54 4,400
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(i) Mineral resources are not mineral reserves and do not have demonstrated
economic viability. All figures are rounded to reflect the relative accuracy
of the estimate.
Figure 1 - Location map of the Cameron and West Cedartree Gold Projects, with main deposits highlighted, including the Dogpaw Gold Deposit, as well as gold prospects and occurrences is available at the following address:
http://media3.marketwire.com/docs/130513_Figure-1_map.pdf.
The Dogpaw mineral resource estimate was completed in accordance with the guidelines of NI 43-101 and JORC-Code (2012 edition) by independent consultants Datageo Geological Consultants, which audited and validated Coventry's geological deposit model. As part of the estimate process Coventry resampled 25% of previously sampled drill core to apply modern QAQC protocols and to validate historic assay data. This program produced statistically acceptable results validating the historic data.
It is understood that gold mineralisation at Dogpaw was first discovered in the early 1900's. The first recorded drilling was conducted by Noranda in 1944. Additional drilling was undertaken by Consolidated Golden Arrow and Nuinsco Resources during the 1960's and 1980's, however data derived from these programs is poorly-preserved. Between 1997 and 2008 Houston Lake completed an additional 102 diamond drill holes (11,811.9 metres). Data from the majority of these drillholes were utilised in the mineral resource estimate. As part of broader exploration at the West Cedartree Gold Project, Houston Lake also conducted extensive mechanical stripping and channel sampling at Dogpaw as well as at six other vein sets it identified.
In 1995, a 500 ton bulk sample was extracted from Dogpaw by selective open pit mining and processed at a third party facility. The average grade of this sample was 6.53 g/t gold. Removal of this material has been accounted for in the resource model.
ABOUT COVENTRY RESOURCES INC.
Coventry Resources Inc. is advancing the Cameron Gold Camp in northwestern Ontario, Canada towards production. In addition to the existing resource, Coventry has identified a number of exploration targets along the Cameron Lake Shear Zone and at its highly-prospective Rainy River District properties where the Company believes it can continue to expand Coventry's resource base. The Company is led by a strong management team with the proven ability to explore, develop, finance and operate mining projects.
QUALIFIED AND COMPETANT PERSONS
The mineral resource statement was prepared by Mr Peter Ball of Datageo Geological Consultants, an, "independent qualified person" as that term is defined in National Instrument 43-101. Datageo's Technical Report will be filed on SEDAR within the prescribed 45 days following the date of issuance of this news release.
Tony Goddard, Vice-President Exploration and Director of Coventry Resources Inc., who is supervising the Company's exploration at the Cameron Gold Camp Project of which the Dogpaw Gold Deposit is a part of, is the Company's Qualified Person, as defined by National Instrument 43-101 and is responsible for the content of this press release.
The information in this report that relates to Mineral Resources or Ore Reserves is based on information compiled by Mr Peter Ball who is a Chartered Professional and Member of the Australasian Institute of Mining and Metallurgy. Mr Ball is the Director of DataGeo Geological Consultants. Mr Ball has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Ball consents to the inclusion in the announcement of the matters based on his information in the form and context in which it appears.
The information in this announcement that relates to Exploration Results is based on information compiled by or under the supervision of Anthony Brendon Goddard. Mr Goddard is Vice-President Exploration and a Director of Coventry Resources Inc. and a Member of the Australian Institute of Geoscientists. Mr Goddard has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and the activity he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Goddard consents to the inclusion in the announcement of the matters based on his information in the form and context in which it appears.
FORWARD-LOOKING STATEMENTS
This news release may contain "forward-looking statements" and/or "forward-looking information" within the meaning of applicable securities regulations in Canada and the United States (collectively, forward-looking information"). Any forward-looking information contained in this news release is made as of the date of this news release. Except as required under applicable securities legislation, Coventry Resources Inc. ("Coventry") does not intend, and does not assume any obligation, to update this forward-looking information. Forward-looking information includes, but is not limited to, statements with respect to mineral resource estimates, drill plans, planned work programs, future upgrading of mineral resources and expected outcomes. Often, but not always, forward-looking information can be identified by the use of words such as "plans", "expects, "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes", or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", or "will" be taken, occur or be achieved.
Any forward-looking information contained in this news release is based on certain assumptions that Coventry believes are reasonable, including, with respect to any mineral resource estimates, the key assumptions and parameters on which such estimates are based, that the current price of and demand for gold will be sustained or will improve, that general business and economic conditions will not change in a material adverse manner, that financing will be available if and when needed on reasonable terms, that supplies, equipment, personnel, permits and local community approval required to conduct Coventry's planned exploration and development activities will be available on reasonable terms and that Coventry will not experience any material accident, labour dispute, or failure of equipment.
However, forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Coventry to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include, among others, risks and uncertainties relating to the actual results of exploration activities being different than anticipated, cost of labour increasing more than expected, cost of equipment or materials increasing more than expected, fluctuations in the price of gold and other commodities, currency fluctuations, mineral resources not being as estimated, unexpected variations in mineral resources, grade or recovery rates, risk of accidents, labour disputes and other risks generally associated with mineral exploration and unanticipated delays in obtaining or failing to obtain governmental or community approvals or financing. Although Coventry has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results to not be as anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking information due to the inherent uncertainty thereof.
Appendix 1
NI 43-101 and JORC-Code (2004) compliant mineral resource estimate(i) for the Cameron Gold Deposit, part of the Cameron Gold Camp Project.
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Cut-off grade Grade
(g/t gold) Category Tonnes (g/t gold) Ounces of Gold
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1.0 Measured 2,472,000 2.68 213,000
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Indicated 4,724,000 2.33 354,000
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Measured & 7,196,000 2.45 567,000
Indicated
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Inferred 12,226,000 2.11 829,000
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(i) Mineral resources are not mineral reserves and do not have demonstrated
economic viability. All figures are rounded to reflect the relative accuracy
of the estimate.
NI 43-101 and JORC-Code (2004) compliant mineral resource estimate(i) for the Dubenski Gold Deposit, part of the Cameron Gold Camp Project.
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Cut-off grade Grade
(g/t gold) Category Tonnes (g/t gold) Ounces of Gold
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1.0 Indicated 806,000 2.28 59,000
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Inferred 392,000 1.44 18,200
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(i) Mineral resources are not mineral reserves and do not have demonstrated
economic viability. All figures are rounded to reflect the relative accuracy
of the estimate.
A map is available on the Marketwired Website at the following address:
http://media3.marketwire.com/docs/130513_Figure-1_map.pdf
This press release is available in .pdf at the following address:
http://file.marketwire.com/release/cova.pdf
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Coventry Resources Inc.
Steven Chadwick, President and CEO
+61 8 9324 1266
schadwick@coventryres.com
Coventry Resources Inc.
Don Halliday, Vice President, Investor Relations
1 (604) 899 1505
dhalliday@coventryres.com