VANCOUVER, BC – April 7, 2022 – Goldsource Mines Inc. (“Goldsource” or the “Company”) is pleased to announce an updated Mineral Resource estimate (“MRE Update”) for its 100%-owned Eagle Mountain Gold Project (“Project”) in Guyana, South America. The MRE Update reflects the positive effect of infill and expansion drilling completed in 2021, principally in and around the Eagle Mountain deposit. This has resulted in an estimated 40% increase in ounces of gold for the Indicated Resource. Conversion of Inferred Resource to the Indicated category was the primary objective of the 2021 exploration program. The expanded Indicated Resource will form the basis for a prefeasibility study (“PFS”) focussed on establishing shallow, low strip ratio open-pittable mineral reserves.
Details of the MRE Update will be provided in a Technical Report with an effective date of April 5, 2022 prepared in accordance with National Instrument 43-101 (“NI 43-101”) to be filed under the Company’s SEDAR profile within 45 days of this release. The updated MRE was prepared by CSA Global Canada Consultants Ltd. (“CSA Global”) in accordance with the Canadian Institute of Mining, Metallurgy and Petroleum (“CIM”) Definition Standards.
- Estimated 31.1 million tonnes (“Mt”) grading 1.18 grams per tonne (“gpt”) gold for 1,183,000 ounces (“oz”) of gold in Indicated Resource and 18.4 Mt grading 0.98 gpt gold for 582,000 oz of gold in Inferred Resource.
- The MRE includes the Eagle Mountain and Salbora deposits as well as the earlier-stage Toucan and Powis prospects. Gold mineralization starts at surface in saprolite (soft weathered rock) with the base of the saprolite marked by a narrow transition zone (< 1 metre) and extends into the underlying fresh rock. Overall, the saprolite and transition contain 35% of the gold in Indicated Resource and 24% in Inferred Resource.
- The Indicated Resource, representing 67% of the gold in the Updated MRE, are laterally extensive and generally shallow.
- At the Eagle Mountain deposit the Indicated Resource extends from surface to a maximum depth of 150 metres and has an average depth of 35 metres. 75% of the Indicated Resource is within 50 metres of surface.
- At the Salbora deposit the Indicated Resource extends from surface to a maximum depth of 156 metres and has an average depth of 49 metres. 58% of the Indicated Resource is within 50 metres of the surface.
- The Mineral Resource estimate uses cut-off grades of 0.30 gpt gold for the saprolite and 0.50 gpt gold for the fresh rock, constrained grade boundaries based on geology, and are pit-contained (conceptual). The cut-off grades used are unchanged from the February 2021 MRE.
- The MRE Update does not include the Soca prospect (see news release dated March 11, 2022), which was discovered after the assay cut-off date. The Company’s 2022 exploration program includes follow-up work on drill-ready targets proximal to the Eagle Mountain deposit. This includes the Soca prospect, as well as the re-initiation of generative exploration work to test under-explored areas on the west and east side of the Eagle Mountain Prospecting License (“EMPL”).
Steve Parsons, P.Eng., CEO of Goldsource, commented, “Overall, following a significant increase in drilling and enhanced geological modelling for the Project, we are pleased that the MRE Update delivered an increase in Indicated Resources to 1.2 million ounces of gold and further demonstrates a shallow pit-constrained mineral resource with significant soft-rock saprolite at surface. While we will use the current resource estimate as the basis for our PFS work, we see strong potential to enhance and expand the resource. To that end, through 2022 the Company will parallel track our exploration effort to unlock the significant potential within the larger Project area.”
The Updated MRE is defined by 772 core holes for 75,430 metres drilled (average depth of 98 metres) up to December 31, 2021, the assay cut-off date. This compares to 674 core holes for 57,550 metres drilled and 158 auger holes for 532 metres drilled included in the February 2021 MRE. The increase in meterage largely reflects additional infill drilling of the Eagle Mountain deposit to allow for conversion of Inferred to Indicated Resources, expansion drilling to depth, and along the flanks of the deposit to test for lateral extensions of sub-horizontal zones.
The MRE Update is based on the Company’s exploration programs and validated historic results. Mineral Resources are classified as Indicated and Inferred based on CIM Definition Standards. The effective date for the Mineral Resource estimate is April 5, 2022. The most significant component of the data, collected by Goldsource and others, and validated by CSA Global and previous qualified persons represents 772 core holes (75,430 metres) excluding auger drilling.
DATE: April 7, 2022