SOURCE: Integra Gold Corp.

Integra Gold Corp

April 16, 2014 14:16 ET

Integra Gold Receives $441,284 From Quebec Resource Tax Rebate, Provides Lamaque Project Update

VANCOUVER, BC--(Marketwired - April 16, 2014) -

  • Project permitting now underway
  • Assay results pending for 46 of 58 holes from 2014 Triangle Zone drilling
  • Receipt of tax rebate brings cash balance to $4,500,000

Integra Gold Corp (TSX VENTURE: ICG) ("Integra" or the "Company") is pleased to announce it has received a cash payment of $441,284 from the offices of Revenu Québec. This payment represents the Québec mineral exploration tax credit relating to the Company's 2013 exploration expenditures on its Lamaque Gold Project in Val-d'Or, Québec.

"The tax rebate provided by the Québec provincial government exemplifies the Province's commitment to resource development and validates why Québec is consistently rated a top jurisdiction for exploration and mining. Integra looks forward to working closely with the provincial government as it continues to advance the Lamaque Project towards production," commented Integra Gold President and CEO Stephen de Jong. "The Company is well capitalized with approximately $4.5 million in working capital and no debt allowing us to continue executing our 2014 corporate objectives. We look forward to an eventful year as one of the most active exploration companies on the TSX Venture Exchange."

Permitting Update
In March the Company announced the results from its Preliminary Economic Study ("PEA") outlining a pre-tax IRR of 51% and a pre-tax NPV (5% Discount) of CAD$146.0 million (see Company Press Release March 11, 2014). The PEA, to be filed on SEDAR in the coming weeks, will be used along with the Company's Environmental Baseline Study (completed by AMEC in November 2013) to prepare an application to be submitted in May 2014 for an initial Certificate of Authorization ("CA"). CA(s) are required in the Province of Québec and provide the Company with the authorization to conduct underground exploration. It is the Company's goal to commence this underground program in early 2015.

The Company is concurrently preparing a project description to be submitted to the Canadian Environmental Assessment Agency ("CEAA") which will provide direction on whether or not a federal impact study is required. The Company has been proactive and worked diligently in the past 12 months to engage various community groups, environmental organizations, and First Nations to ensure all stakeholders are aware of the Company's plans and intentions as the project is advanced towards production. As part of the proposed project development will take place on areas previously impacted by the operations of two adjacent major past-producing gold mines, the Sigma and Lamaque Mines, permitting may be expedited.

The Company will provide updates on permitting activities as information becomes available.

Drilling Update
In the past two weeks the Company has reduced the number of operating drill rigs from eight to five as the 24,000 meter program at the Triangle Zone nears completion. Beginning in May, the Company anticipates using two rigs at the Fortune Zone, one rig at the Parallel Zone and one rig cementing historic drill holes.

The Company recently announced assay results from the first 12 holes completed on the high grade Triangle Zone with drill highlights including (Company press release dated March 25, 2014):

   
• TM-14-03A 23.02 g/t Au over 5.0 m
  76.06 g/t Au over 1.0 m
  29.55 g/t Au over 3.0 m
   
• TM-14-09 31.24 g/t Au over 3.0 m
  76.06 g/t Au over 1.0 m
  29.55 g/t Au over 3.0 m
  75.18 g/t Au over 1.0 m
   
• TM-14-20 20.34 g/t Au over 3.0 m
  36.52 g/t Au over 1.0 m
   
• TM-14-26 8.06 g/t Au over 10.1 m
   

The following link direct to the complete drill results table from the March 25, 2014 press release:

http://www.integragold.com/i/pdf/2014_Composites_Compilation_Triangle_March.pdf

A total of 58 drill holes have now been completed at the Triangle Zone with assay results pending on 46 holes.

The Company is planning for an additional 21,000 meters of drilling at the Lamaque Project for the remainder of the year on the Parallel, Fortune, No. 3 Mine and No. 5 Plug deposits. 

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 while advancing the existing resource towards production. The project is divided into three main clusters of mineralization, the North, South and West Cluster. The North Cluster consists of the Parallel, Fortune, No. 5 Plug, and No. 3 Mine Zones and is located approximately 1 km northwest from the South Cluster, which includes the No. 4 Plug and Triangle Zone. The Sixteen Zone and No. 6 Vein form the West Cluster. 

Qualified Person
The Lamaque exploration project is under the direct supervision of Hervé Thiboutot, Eng. and Senior Vice-President of the company, and Francois Chabot, Eng., Operations and Engineering Manager of the Company, both Qualified Person ("QP") as defined by National Instrument 43-101, and Alain-Jean Beauregard, P.Geo., and Daniel Gaudreault, Eng., Geo. of Géologica Inc., both independent QP as defined by National Instrument 43-101. The Company's QPs have 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 Bourlamaque Lab 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.

Further information about the Preliminary Economic Assessment cited in this news release can be found in the news release dated March 11, 2014 titled, "Integra Gold Announces PEA Results: Pre-Tax IRR of 51%, NPV (5%) of CAD$146.0 M (After-Tax CAD$88.5 M) and Peak Annual Production of 143,300." This news release is available on the Company's website and under the Company's SEDAR profile at www.sedar.com.

ON BEHALF OF THE BOARD OF DIRECTORS

Stephen de Jong, CEO & President

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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 news release.

Cautionary Note Regarding Forward-Looking Statements: 
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained on this presentation. This presentation contains "forward-looking information" concerning Integra Gold Corp.'s ("Integra" or the "Company") future financial or operating performance and other statements that express management's expectations or estimates of future developments, circumstances or results. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "seeks", "believes", "anticipates", "plans", "continues", "budget", "scheduled", "estimates", "expects", "forecasts", "intends", "projects", "predicts", "proposes", "potential", "targets" and variations of such words and phrases, or by statements that certain actions, events or results "may", "will", "could", "would", "should" or "might" "be taken", "occur" or "be achieved". Forward-looking statements included in this presentation include statements regarding the proposed mining scenario for the Lamaque Project, including information with respect to the expected economic results of the Lamaque Project (including rates of return, payback period and the NPV of the Lamaque Project), estimated capital expenditures and other costs to develop the site, the expected values of gold for the life of the project, rates of development and production, potential mineralization and mineral resources, information with respect to supporting infrastructure, the potential life of mine, rates of employment and the effects of steps taken to mitigate local impacts and the expected completion dates of exploration and drilling, exploration results, estimated and future exploration and administration expenditures, the completion of a feasibility studies, and future plans and objectives of Integra. While all forward-looking statements involve various risks and uncertainties, these statements are based on certain assumptions that management of Integra believes are reasonable, including that it will be able to obtain financing and on reasonable terms, that the PEA will prove to be materially accurate, that its current development and other objectives can be achieved, that its development, exploration and other activities will proceed as expected, that its community and environmental impact procedures will work as anticipated, that general business and economic conditions will not change in a material adverse manner, that Integra will not experience any material accident, labour dispute or failure or shortage of equipment, and that all necessary government approvals for its planned development and exploration activities will be obtained in a timely manner and on acceptable terms. There can be no assurance that the forward-looking statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Integra's expectations include, among others, the actual results of development activities being different than those anticipated by Integra, changes in project parameters as plans continue to be refined, changes in estimated mineral resources, future prices of metals, increased costs of labor, equipment or materials, availability of equipment, failure of equipment to operate as anticipated, accidents, effects of weather and other natural phenomena, risks related to community relations and activities of stakeholders, and delays in obtaining governmental approvals or financing. Although Integra has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Integra 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.

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