TORONTO, ONTARIO--(Marketwired - Sept. 7, 2016) - Unigold Inc. ("Unigold" or the "Company") (TSX VENTURE:UGD) is pleased to announce results from ongoing exploration drilling at the Candelones Extension deposit, within the Company's 100% owned Neita Concession in the Dominican Republic.
The Company has received results from a further four holes at the westernmost target of its current drilling program. The drill program at "Target C" was designed to follow-up on a high grade core of mineralization that was intersected in previous drilling by holes LP52 (15.8m @ 11.4 g/t Au; 38.3 g/t Ag; 0.4% Cu and 5.1% Zn) and LP57 (10.0 m @ 6.7 g/t Au; 4.2 g/t Ag; 0.1% Cu and 0.8% Zn) (UGD PR# 2016-05). Results from this latest program have extended the mineralization to depth and to the east and include LP16-110 which intersected 12.0 m @ 9.7 g/t Au; 7.0 g/t Ag; 0.1% Cu and 1.6% Zn within a larger zone of mineralization of 57.0 m @ 2.5 g/t Au; 2.7 g/t Ag; 0.1% Cu and 0.6% Zn. LP16-113, drilled to the east of LP16-110, intersected similar mineralization grading 5.5 m @ 4.1 g/t Au; 5.6 g/t Ag; 0.1% Cu and 1.2% Zn in a larger envelope of 86.9 m @ 1.0 g/t Au; 1.4 g/t Ag and 0.3% Zn. LP-16-111, drilled below LP16-110, returned 2 .0 m @ 5.0 g/t Au; 53.1 g/t Ag, 0.2% Cu and 1.9% Zn. The mineralization remains open to the east and to depth.
Joseph Del Campo, Interim President and CEO of Unigold notes: "We are very encouraged with these latest results that continue to demonstrate that previous drill patterns failed to adequately define high grade mineralization within the Candelones Extension resource footprint. The current drill program is not only intersecting high grade mineralization, it is also clarifying the local geology and identifying structural features that appear to control mineralization. As a result, we are generating new, previously unrecognized drill targets that offer excellent potential to increase the quantity and quality of the mineral resource for the project. We are ahead of schedule and under budget on the current drill program. Our drilling costs continue to be less than $100 per metre, our current drill program is fully financed and the Company has sufficient capital to expand the exploration program if warranted."
Table 1.0 summarizes the analytical results for all four holes. Please note, additional sampling is necessary to define the upper contact of the second zone of mineralization intersected in hole LP16-113 as the interval as defined starts in mineralization (5.5 g/t Au). The additional sampling has been completed and assay results are pending.
Table 1.0 - Significant Results Target C - Candelones Extension
(1) Interval Width is measured down hole and is not True Width. There is insufficient data to estimate True Width at this time.
(2) Initial interval returned 5.5 g/t Au; 8.6 g/t Ag; 0.1% Cu and 1.1% Zn: additional sampling is necessary to define the upper contact
All four holes intersected multiple intervals of fault gouge. The gouge intervals range in thickness from several millimeters to several tens of centimeters. These gouge zones define the limits of and occur within a broader zone of intensely fractured andesite volcanoclastic up to 100 metres in thickness. The current interpretation is this broad fault zone trends northeast and dips to the northwest, roughly parallel to the majority of the drill holes. This orientation explains the lateral displacement observed in both the Induced Polarization anomalies (Ref. Figure 1.0 and Figure 2.0) and the mineralized contact. These results are part of an 8,500 metre drill program approved by the Board of Directors in June to follow up on the successful drill campaign during the first quarter. A total of six holes (2,100 metres) have been completed to date. The planned drilling at "Target C" has been completed and all results have been reported. The initial drill holes at "Target A", probing the western limits of the massive sulphide mineralization intersected and reported in the first quarter of 2016 (UGD PR#s 2016-01 and 02) has just been completed. The core from this target is currently being cut and prepared for shipment. Results are expected at the end of September. The drill is currently testing "Target B" a potential vertical feeder system where the Company reported 12.0 metres averaging 7.5 g/t Au; 5.1 g/t Ag; 1.4% Cu and 1.3% Zn (UGD PR# 2016-03).
To view FIGURE 1.0 - CANDELONES EXTENSION DEPOSIT DRILL PLAN AND GEOLOGY, please visit the following link: http://media3.marketwire.com/docs/uni_fig1.jpg
To view FIGURE 2.0 - CANDELONES EXTENSION CROSS SECTION 1300 EAST, please visit the following link: http://media3.marketwire.com/docs/uni_fig2.jpg
To view FIGURE 3.0 - CANDELONES EXTENSION LONGITUDINAL SECTION WITH g*m GOLD CONTOURS, please visit the following link: http://media3.marketwire.com/docs/uni_fig3.jpg
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 is in good standing.
Diamond drilling at the Candelones Project utilizes both HQ and NQ diameter tooling. Holes are established using HQ diameter tooling before reducing to NQ tooling to complete the hole. The core is received at the on-site logging facility where it is, photographed, logged for geotechnical and geological data and subjected to other physical tests including magnetic susceptibility and specific gravity analysis. Samples are identified, recorded, split by wet diamond saw, and half the core is sent for assay with the remaining half stored on site. A minimum sample length of 0.3 metres and a maximum sample length of 1.5 metres are employed with most samples averaging 1.0 metres in length except where geological contacts dictate. Certified standards and blanks are randomly inserted into the sample stream and constitute approximately 5-10% of the sample stream. Samples are shipped to a sample preparation facility in the Dominican Republic operated by Bureau Veritas. Assaying is performed at Bureau Veritas Commodities Canada Ltd.'s laboratory in Vancouver, B.C. Canada. All samples are analyzed for gold using a 50 gram lead collection fire assay fusion with an atomic adsorption finish. In addition, most samples are also assayed using a 36 element multi-acid ICP-ES analysis method.
Wes Hanson P.Geo., Chief Operating Officer and Technical Director of Unigold, who is a qualified person under the definitions established by National Instrument 43-101, 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.
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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