Integra Gold Announces 10,000 meter Drill Program, Provides Lamaque Project Update and AGM Results
Press Release Highlights:
- Preliminary Economic Assessment on schedule for Q1 2014
- 10,000 m drill program announced at Parallel Zone
- Community and stakeholder consultation initiative underway in Val d'Or, Quebec
- All items approved at December 2, 2013 Annual General Meeting
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Dec 10, 2013) - Integra Gold Corp. (TSX VENTURE:ICG) ("Integra" or the "Company") is pleased to provide a detailed corporate and project update on various initiatives regarding the exploration and development of its Lamaque Gold Project.
Preliminary Economic Assessment ("PEA") planned for Q1 2014
The Company is currently preparing a PEA on the Lamaque Project and anticipates completion in Q1 2014. The PEA is being prepared using the existing resource and the Company is diligently focused on creating a development and mine plan with favorable economics and low capital expenditure requirements. The Company believes that due to the availability of multiple milling facilities in the immediate area, removing the strain of having to finance, permit and construct its own milling and tailings facilities, creates the potential for significantly reduced capital expenditure costs.
The Company is currently assessing a mining scenario which will entail the construction of two ramps, or declines, into the two highest grade areas of mineralization, the Parallel and Triangle Zones. The Company anticipates this approach will be the most cost effective method to access the shallow, high-grade resources at these two zones.
This plan, which is conceptual in nature and may change prior to the release of the PEA, is being prepared utilizing information from various studies, including but not limited to:
- Geotechnical work carried out by Golder Associates Ltd.;
- Resource modelling work completed by Geologica Inc.;
- Resource estimation work carried out by Geopointcom;
- Metallurgical testing carried out by ALS Chemex and reviewed by Genivar Engineering; and
- Environmental baseline study and socioeconomic study completed by AMEC.
If applicable, results from these various studies will be released as they become available, as well as be incorporated into the PEA.
The most recent phase of metallurgical test work, which is being carried out by ALS Chemex and managed by Genivar Engineering, has now been completed and the Company anticipates disclosing results in the near future. Testing was focused on determining how mineralized material from each zone at the Lamaque Project reacts to the flow sheets of the various mills in the area.
2013/2014 Lamaque Drill Program
Total drilling at the Lamaque Project expected to be completed in 2013 is 30,000 m, an increase from the 20,000 m previously announced. To date in 2013 the Company has completed 26,917 m in 62 drill holes.
Drill highlights from 2013 drilling include:
| Drill Hole | From (m) | To (m) | Interval (m)* | Gold Value (g/t)** | Zone | ||||
| TM-13-03 | 57.00 | 59.00 | 2.00 | 14.17 | Triangle Zone | ||||
| TM-13-08 | 244.00 | 248.00 | 4.00 | 12.2 | |||||
| TM-13-09 | 105.40 | 106.40 | 1.00 | 40.62 | |||||
| TM-13-10 | 246.50 | 266.00 | 19.50 | 7.09 | |||||
| TM-13-12 | 355.66 | 357.57 | 1.81 | 20.68 | |||||
| 534.00 | 542.00 | 8.00 | 8.28 | ||||||
| TM-13-14 | 499.50 | 501.20 | 1.70 | 69.58 | |||||
| TM-13-15 | 621.00 | 623.00 | 2.00 | 81.62 | |||||
| TMS 13-07 | 289.00 | 296.00 | 7.00 | 13.29 | South Triangle | ||||
| 799.00 | 805.00 | 6.00 | 10.54 | ||||||
| M3-13-04 | 160.00 | 163.00 | 3.00 | 32.32 | No. 3 Mine | ||||
| M3-13-09 | 191.00 | 194.00 | 3.00 | 13.55 | |||||
| P5-12-01 | 78.80 | 80.60 | 1.80 | 38.74 | No. 5 Plug (drilled 2012, disclosed 2013) | ||||
| P5-12-06 | 654.10 | 657.00 | 2.90 | 43.60 | |||||
| P5-12-10 | 623.00 | 624.00 | 1.00 | 17.15 | |||||
| P5-12-11 | 485.00 | 488.00 | 3.00 | 173.36 | |||||
| Including | 1.00 | 517.97 | |||||||
| * | Down-hole thickness, true width varies depending on drill hole dip |
| ** | 1.00 g/t Au cutoff - individual assay values uncut - no minimum thickness |
In addition to drilling at Triangle last winter and South Triangle last summer; the results from the drill program at No. 3 Mine were recently released. The results from No. 3 Mine are encouraging and confirm that the target remains open laterally and at depth. This target is particularly attractive as it lies directly between two of the Company's high priority deposits, the No. 4 Plug and the Parallel zone.
The drilling focus will now switch to the Parallel zone, where a 10,000 m program will consist of definition drilling and testing of the high grade Zone 7 at depth.
Many of the high grade intersections and discoveries made at the Lamaque Project in 2013 have not been fully tested along strike and at depth. A number of these targets will be drilled in 2014 as part of a 37,500 m drill program which will test both new and existing targets. January drilling will start with two to three drill rigs on the Triangle Zone. Additional details regarding planned drilling for 2014 will be provided in subsequent press releases.
NI 43-101 Resource Estimate Update: Sept. 25, 2013
The Company recently announced results from an updated resource estimate for its Lamaque Gold Project and the number of indicated ounces increased by 304% when compared to the previous estimate. There was also a substantial increase in the average grade of both inferred and indicated resources (details below).
| Indicated Resources | Inferred Resources | |||||||||||
| Cut-Off Grade | Ounces | Grade (g/t Au) | Tonnes | Ounces | Grade (g/t Au) | Tonnes | ||||||
| 3 g/t Au | 661,290 | 7.2 | 2,844,200 | 268,870 | 11.3 | 738,000 | ||||||
| 5 g/t Au | 498,760 | 10.2 | 1,525,100 | 236,540 | 15.1 | 488,500 | ||||||
| Detailed methodology pertaining to the calculation of the above resource is available on the Company's website and in the Company press release dated September 25, 2013. |
This resource included data from over 125,620 meters in 398 drill holes. In addition, the Company has completed over 46,320 meters of drilling in 147 drill holes which have not yet been included in the resource, but will be incorporated into future resource updates and economic studies.
"At a time when exploration programs are being slashed across the industry, Integra's ability to stay capitalized while drilling aggressively reflects the merit of the Lamaque Project. There are a dwindling number of high-grade gold resources remaining in the world, and the Lamaque Project is particularly unique as it also has exceptional local infrastructure and the stability of a highly-rated mining jurisdiction," noted Stephen de Jong, Company President and CEO. "The resource estimate and extensive drill program undertaken at the Lamaque Project this year, in addition to the pending PEA, metallurgical studies, and environmental baseline report due in 2014, are all a testament to Integra's world-class technical team and their proven ability to adapt and execute. With Integra's plan to double the number of drill rigs on the project in early 2014, we anticipate another successful year at the Lamaque Project."
Community and Stakeholder Consultation
Upon receipt of the PEA results, the Company intends to move forward with a Prefeasibility Study in the second half of 2014. As part of this process, the Company has begun engaging the Val-d'Or community and various stakeholders regarding the Company's development plans.
In October 2013, the Company began the first phase of this consultation process. With the guidance of a socio-economic study prepared by AMEC, as well as the assistance of TMR Communications from Val-d'Or, Québec, the Company has met and will continue to meet with the more than 30 groups and organizations identified as stakeholders that may be affected by the development and operation of the Lamaque Project.
The Company is beginning this process early and taking a proactive approach, as it recognizes the importance of ensuring all stakeholders are kept well informed of the Company's plans. The objective of this process is to ensure that any community concerns are accounted for in the Company's future decision making and planning, and that social acceptance is received for the Lamaque Project development.
Annual General Meeting
The Company is also pleased to announce the results of its Annual General Meeting, held on December 2, 2014. All resolutions were approved, with votes in favor totalling 99.88%. The existing board was re-elected and they look forward to continuing to provide strong support for the management team. Following the AGM, the Board reappointed the existing officers to the same positions held in the previous year.
Project and Company Profile
Integra's Lamaque Gold Project is located in the heart of the Val-d'Or gold camp in the Province of Québec, Canada, approximately 550 km northwest of Montréal. Québec is rated one of the best mining jurisdictions in the world. Infrastructure, human resources and mining expertise are readily available.
The Company's primary objective is to continue to prove up additional resources on the project while advancing the existing resource toward development. The project is split into two main clusters, the North Cluster composed of the Parallel, Fortune, No. 3 Mine and No. 5 Plug, and the South Cluster, consisting of the Triangle, South Triangle and No. 4 Plug, located approximately one km from each other.
Qualified Persons ("QP")
The Lamaque exploration project is under the direct supervision of Hervé Thiboutot, P.Eng. and Senior Vice-President of the Company, a QP as defined by National Instrument 43-101, Alain-Jean Beauregard, P.Geo., and Daniel Gaudreault, P.Eng., Geo. of Géologica Inc., both independent QP as defined by National Instrument 43-101. The Company's QP has reviewed the technical content of this release.
Quality Assurance - Quality Control ("QA/QC")
Thorough QA/QC protocols are followed on the project including insertion of duplicate, blank and standard samples in all drill holes. The core samples are submitted directly to ALS Laboratory Group and Bourlamaque Labs in Val-d'Or for preparation and analysis. Analysis is conducted on 1 assay-ton aliquots. Analysis of Au is performed using fire assay method with atomic absorption finish, with a gravimetric finish completed for samples exceeding 5 g/t Au, or a metallic sieve assay for samples containing visible gold. When available the gravimetric or metallic sieve assay results are used for the reported composite intervals.
ON BEHALF OF THE BOARD OF DIRECTORS
Stephen de Jong, CEO & President
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Cautionary Note Regarding Forward Looking Statements: Certain disclosure in this release constitutes forward-looking statements. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that are based on the Company's current beliefs as well as assumptions made by and information currently available to the Company, including that the Company is able to obtain any government or other regulatory approvals required to complete the private placement and Company's planned exploration activities, that the Company is able to complete the private placement, that the Company is able to procure personnel, equipment and supplies required for its exploration activities in sufficient quantities and on a timely basis and that actual results of exploration activities are consistent with management's expectations. Although the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect, and the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such risk factors include, among others, that the private placement will not be completed, that actual results of the Company's exploration activities will be different than those expected by management and that the Company will be unable to obtain or will experience delays in obtaining any required government approvals or be unable to procure required equipment and supplies in sufficient quantities and on a timely basis. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.