VANCOUVER, BRITISH COLUMBIA--(Marketwired - March 13, 2014) - Columbus Gold Corporation (TSX VENTURE:CGT) ("Columbus Gold") is pleased to announce that it and its partner Nord Gold N.V. have completed the evaluation of tenders for the commissioning of a NI 43-101 compliant resource update (post-Phase II drilling) and a preliminary economic assessment ("PEA") on the Montagne d'Or gold deposit, Paul Isnard Project, French Guiana. In parallel, an evaluation of associated tenders for an environmental impact assessment (EIA) to support the PEA and an eventual bankable feasibility study is nearing completion. An announcement declaring the successful bids is expected in coming weeks.
Proposals to prepare the resource update and the PEA were received from all 7 of the international mining consulting firms invited to submit bids. Regarding the EIA tenders, 6 of an original 10 invited companies submitted bids to complete a preliminary environmental assessment by the end of 2014 followed by submission of a final EIA within three years to the French government Ministry for Ecology, Sustainable Development and Energy.
The principal objective of the PEA is to complete an initial detailed economic and environmental appraisal of the Montagne d'Or deposit. Completion is targeted for the end of 2014 with an announcement expected in the first quarter of 2015. The PEA will include:
- 26,600 metres of in-fill core drilling (program commenced in late November 2013);
- Updated resource estimate;
- 1,000 metres of large diameter core drilling for detailed metallurgical testing;
- Preliminary design of pit(s), tailings dam and mine site;
- Mining method, equipment, and processing parameters;
- Environmental impact assessment and socio-economic baseline studies;
- An economic model.
The proposed EIA is intended to be comprehensive in order to fully support the environmental components of a bankable feasibility study.
All studies are being funded by Nord Gold as part of a 3 year minimum US$30 million exploration and development program pursuant to which Nord Gold can earn a 50.01% interest in Montagne d'Or and certain Paul Isnard mineral claims, by completing a bankable feasibility study.
The Montagne d'Or deposit contains a NI 43-101 compliant inferred gold resource using a cut-off grade of 0.3 grams per tonne gold for 5.37 million ounces within 117.1 million tonnes at an average grade of 1.43 grams per tonne gold. Using a cut-off of 1 gram per tonne gold the deposit hosts a resource of 4.15 million ounces within 58.1 million tonnes at an average grade of 2.22 grams per tonne gold. The resources are defined within a gold mineralized area of 2,250 meters by 400 meters and to an average depth of 250 meters from surface. The mineralized zones remain open between widely spaced holes internally, at depth and in part along strike. Further details can be found in the technical report "Paul Isnard, French Guiana, Mineral Resource Estimate, NI 43-101 Technical Report" with an effective date of November 23, 2012, filed on Columbus Gold's SEDAR profile at www.sedar.com on March 14, 2013.
Rock Lefrançois, P.Geo. (OGQ), Chief Operating Officer for Columbus Gold and Qualified Person under National Instrument 43-101, has reviewed the technical information reported herein.
ON BEHALF OF THE BOARD,
Robert F. Giustra, Chairman & CEO
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.
This release contains forward-looking information and statements, as defined by law including without limitation Canadian securities laws and the "safe harbor" provisions of the US Private Securities Litigation Reform Act of 1995 ("forward-looking statements"), respecting Columbus Gold's: commissioning of a 43-101 compliant resource update, PEA, EIA and bankable feasibility and the related announcements regarding the successful bids; completion target date for detailed economic and environmental appraisal of the Montagne d'Or deposit; proposed drilling programs; projected funding of drilling programs by Nord Gold N.V. pursuant to the terms of the option agreement and the related completion of a bankable feasibility study; and general exploration plans. Forward-looking statements involve risks, uncertainties and other factors that may cause actual results to be materially different from those expressed or implied by the forward-looking statements, including: the ability to acquire necessary permits and other authorizations; environmental compliance; cost increases; availability of qualified workers and drill equipment; competition for mining properties; risks associated with exploration projects, mineral reserve and resource estimates (including the risk of assumption and methodology errors); dependence on third parties for services and provision of reports; non-performance by contractual counterparties; title risks; risks associated with Nord Gold N.V. electing not to exercise its option and make the related option payments; and general business and economic conditions. Forward-looking statements are based on a number of assumptions that may prove to be incorrect, including without limitation assumptions about: that the design of the drill plan is appropriate for the site; general business and economic conditions; the timing and receipt of required approvals; availability of financing; power prices; ability to procure equipment and supplies including without limitation drill rigs; and ongoing relations with employees, partners, optionees and joint venturers. The foregoing list is not exhaustive and Columbus Gold undertakes no obligation to update any of the foregoing except as required by law.