Unigold Inc.

Unigold Inc.

December 24, 2013 11:09 ET

Unigold Files Technical Report on Candelones Project

TORONTO, ONTARIO--(Marketwired - Dec. 24, 2013) - Unigold Inc. ("Unigold" or the "Company") (TSX VENTURE:UGD) is pleased to report that the Technical Report titled "NI 43-101 Technical Report Mineral Resource Estimate for the Candelones Project, Neita Concession, Dominican Republic" has been filed on SEDAR.

The Technical Report, with an effective date of November 4, 2013, provides the required technical disclosure supporting the Company's initial, 2.0 million ounce inferred mineral resource estimate for it's Candelones Project in the Dominican Republic (November 12, 2013 Press Release).

Andrew Cheatle, President and CEO of Unigold notes: "The filing of the Technical Report for the Candelones Project Mineral Resource Estimate marks the end of a highly successful 15 month period for Unigold. During that period, the Company successfully traced the gold mineralization from Candelones main hill to the Connector Zone and onto the Candelones Extension, a distance approaching 3.0 km. We not only established the initial mineral resource at Candelones, we also identified additional targets, similar to Candelones, along a mineralized trend that extends for over 8.0 km along the southern portion of the Neita Concession." Mr. Cheatle also notes: "Capital conservation is an important consideration for 2014. Exploration in 2014 will largely focus on field work and data compilation, particularly of the largely unexplored northern portion of the Concession which the Company believes is prospective for large, Cu-Au porphyry type deposits. The initial portion of the 2014 field season will focus on reconnaissance mapping and sampling. This will be followed by data compilation to identify and prioritize targets which, in turn, will be followed by limited diamond drilling on select targets."

TABLE 1 - Summary Mineral Resource Estimate for the Candelones Project.
Date Classification Source Ore Deposit Tonnes Au Au ozs Strip
Type (x1,000) (g/t) (x 1,000) Ratio
Nov. 1, 2013 Inferred Open Pit Oxide Extension - - - -
Main 2,448.0 0.92 72.0 1.3
Connector 1,108.0 1.12 40.0 1.3
Subtotal 3,556.0 0.98 112.0 1.3
Sulphide Extension 24,223.0 1.59 1,241.0 7.6
Main 5,003.0 1.16 186.0 1.3
Connector 980.0 1.08 34.0 1.3
Subtotal 30,206.0 1.50 1,461.0 6.4
Subtotal 33,762.0 1.45 1,573.0 5.8
Underground Sulphide Extension 4,977.0 2.42 387.0
Main 704.0 2.21 50.0
Connector 50.0 2.49 4.0
Subtotal 5,731.0 2.39 441.0
TOTAL TOTAL ALL 39,493.0 1.59 2,014.0
1.The mineral resource estimate presented above has been prepared under the supervision of Mr. Alan J. San Martin, MAusIMM (CP) and Mr. William J. Lewis (P.Geo.) of Micon International Ltd., both of whom are "qualified persons" as per the CIM Standards and independent of Unigold Inc.
2. The CIM Standards define a Mineral Resource as "a concentration of material in or on the Earth's crust in such form and quantity and of such grade or quality that it has reasonable prospects for economic extraction" the CIM Standards further define an Inferred Mineral Resource as "that part of a Mineral Resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonable assumed but not verified, geological and grade continuity." The CIM Standards state; "Due to the uncertainty that may be attached to Inferred Mineral Resources, it cannot be assumed that all or part of an Inferred Mineral Resource will be upgraded to an Indicated or Measured Mineral Resource as a result of continued exploration.
3. Micon has not identified any legal, political, environmental or other risks that could materially affect the potential development of the mineral resource estimate presented.
4. The mineral resource estimate presented above includes both open pit resources; reported within an optimized pit shell and underground resources; reported below the optimized pit shell. Both open pit and underground resources are reported above an estimated economic cut-off grade developed using the following key economic assumptions.
Key Economic Assumptions Gold Price $1500 /oz
Mining Costs Open Pit $2.00/tonne
Underground $30.00/tonne
Process Costs Oxide $10.00/tonne
Sulphide $18.00/tonne
G&A Costs $2.50/tonne
Recovery Oxide 95%
Sulphide 84%
Pit slope criteria 45 degrees
Est. Cut-off grades Open Pit Oxide 0.32 Au g/t
Sulphide 0.56 Au g/t
Underground Oxide Not applicable
Sulphide 1.25 g/t Au

The mineral resource and accompanying Technical Report have been estimated and prepared by Mr. W. Lewis, P.Geo. and Mr. A. San Martin, MAusIMM(CP) of Micon International Ltd. ("Micon"), a Toronto based consulting company, independent of Unigold. Mr. Lewis and Mr. San Martin meet the requirements of a "Qualified Person" as established by the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Definition Standards for Mineral Resources and Mineral Reserves (2010) ("the CIM Standards"). The estimate is based on a long term gold price of US$ 1,500 per ounce.

Premier Mining Destination - Dominican Republic

The Dominican Republic is host to world-class gold and base metal mines and deposits. The government supports development and exploration in the mining sector. In addition, the country has well established Mining Laws and Environmental Laws. Unigold's wholly owned flagship property, Neita is compliant with all mineral and environmental requirements and work is conducted to internationally accepted environmental and social standards. The Neita concession exploration license was renewed in 2012 and is in good standing.

Unigold has sufficient funding to meet the goals and objectives established for the current exploration program.


Diamond drilling at the Candelones Project included both HQ and NQ diameter core for sampling. Holes were typically started with larger diameter HQ core and the hole diameter is reduced to NQ at depth. Samples are logged, split by wet diamond saw, and half sent for assaying with the other half stored on site. Sample lengths typically average 1 m, but vary by geological boundaries. Continuous chip samples from trenches are typically 3 m to 5 m in length. QA/QC included inserting certified standards and blanks into the sample stream at industry standard intervals. Samples are prepped by ACME Analytical Labs in the Dominican Republic, with assaying performed through ACME's laboratory in Santiago, Chile. Analytical procedures include a 36-element ICP-ES analysis (1E) and a 50 g FA AA finish for gold (G6-50).

W. Lewis P.Geo., Micon International Ltd., has reviewed and approved the contents of this press release.

Wes Hanson P.Geo., Chief Operating Officer of Unigold, has reviewed and approved the contents of this press release.

About Unigold Inc. - Discovering Gold in the Caribbean

Unigold is a Canadian based mineral exploration company traded on the TSX Venture Exchange under the symbol UGD, focused primarily on exploring and developing its gold assets in the Dominican Republic.

Forward-looking Statements

Certain statements contained in this document, including statements regarding events and financial trends that may affect our future operating results, financial position and cash flows, may constitute forward-looking statements within the meaning of the federal securities laws. These statements are based on our assumptions and estimates and are subject to risk and uncertainties. You can identify these forward-looking statements by the use of words like "strategy", "expects", "plans", "believes", "will", "estimates", "intends", "projects", "goals", "targets", and other words of similar meaning. You can also identify them by the fact that they do not relate strictly to historical or current facts. We wish to caution you that such statements contained are just predictions or opinions and that actual events or results may differ materially. The forward-looking statements contained in this document are made as of the date hereof and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ materially from those projected in the forward-looking statements. Where applicable, we claim the protection of the safe harbour for forward-looking statements provided by the (United States) Private Securities Litigation Reform Act of 1995.

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