GOLDEN, Colo., Sept. 1, 2016 /PRNewswire/ -- Golden
Minerals Company ("Golden Minerals", the "Company" or "we") (NYSE
MKT: AUMN and TSX: AUM) is pleased to provide initial results from
an ongoing drilling program at the Rodeo property in Durango State,
Mexico.
The partial results from our first round of drilling at Rodeo
show a gold and silver bearing epithermal vein and breccia system
with encouraging gold and silver values over an approximate 50 to
70 meter true width. The system is exposed at the top of a
northwesterly striking ridge and dips steeply to the
northeast. This could provide the possibility of open pit
mining if we discover a deposit with sufficient tonnage of an
appropriate grade and other characteristics to justify
mining.
In June 2016, the Company began a
2,000-meter core drilling program at the Rodeo 1,900-hectare gold
project located approximately 80 kilometers west of the Company's
Velardena Properties. Results are available from the first five
holes of the 12-hole program.
The drill holes reported are spaced about 25 meters apart along
100 meters of the crest of the mineralized ridge. The drill
holes are angle holes oriented at minus 55 degrees to the southwest
and cut the vein and breccia system at an angle of approximately 50
degrees. Previous work has shown the mineralized system to be
exposed at surface over about one kilometer of strike length.
The table below shows for each hole information regarding the
entire mineralized interval in the first line, followed by the
higher grade zone or zones for that hole in the second and third
lines. Holes five and six were drilled from the same location
as hole seven but were abandoned short of completion due to
difficult drilling conditions.
Drill Hole
|
From (m)
|
To (m)
|
Width
(m)
|
True
Width
(m)
|
Au (g/t)
|
Ag (g/t)
|
|
|
|
|
|
|
|
RDO16-01
|
12.6
|
89.4
|
68.2
|
50.7
|
0.46
|
13
|
RDO16-01
|
32.9
|
43.4
|
10.5
|
7.8
|
1.18
|
9
|
|
|
|
|
|
|
|
RDO16-02
|
11.8
|
112.5
|
100.5
|
74.7
|
0.63
|
20
|
RDO16-02
|
20.5
|
41.1
|
20.4
|
15.1
|
1.18
|
8
|
RDO16-02
|
53.3
|
65.0
|
11.7
|
8.7
|
1.66
|
59
|
|
|
|
|
|
|
|
RDO16-03
|
20.8
|
116.0
|
93.1
|
69.2
|
0.44
|
16
|
RDO16-03
|
34.9
|
39.8
|
4.9
|
3.7
|
1.63
|
18
|
RDO16-03
|
52.1
|
71.0
|
18.9
|
14.1
|
0.62
|
33
|
|
|
|
|
|
|
|
RDO16-04
|
18.1
|
100.0
|
78.9
|
58.6
|
0.69
|
19
|
RDO16-04
|
18.1
|
56.3
|
38.2
|
28.4
|
1.06
|
12
|
RDO16-04
|
84.8
|
100.0
|
15.2
|
11.3
|
0.61
|
40
|
|
|
|
|
|
|
|
RDO16-07
|
9.8
|
91.0
|
81.2
|
52.2
|
0.78
|
15
|
RDO16-07
|
9.8
|
50.9
|
41.1
|
26.4
|
1.30
|
10
|
RDO16-07
|
14.9
|
25.0
|
20.1
|
12.9
|
2.58
|
7
|
Drilling continues at Rodeo with two additional holes completed
and results pending. An additional 1,200 meters are planned
in five holes that would complete the initial program. The
Company expects to complete drilling in the fourth quarter of 2016.
The program is estimated to cost between $300,000 and $400,000 US dollars.
The Company holds the Rodeo claims under a contract with and
subject to a two percent Net Smelter Return royalty interest
payable to La Cuesta International. Minimum advance royalty
payments of up to $40,000 annually
are required to continue with the contract until production
commences.
About Golden Minerals
Golden Minerals is a Delaware
corporation based in Golden,
Colorado. The Company is primarily focused on acquiring and
advancing mining properties in Mexico with emphasis on areas near its
Velardena processing plants.
Review by Qualified Person and Quality Control
The technical contents of this press release have been reviewed
by Warren M. Rehn, M.Sc., a
Qualified Person for the purposes of Canadian National Instrument
43-101. Mr. Rehn has over 33 years of mineral exploration
experience and is a QP member of the Society for Mining Metallurgy
and Exploration.
To ensure reliable sample results, Golden Minerals uses a
quality assurance/quality control program that monitors the
chain-of-custody of samples and includes the insertion of blanks,
duplicates and reference standards in each batch of samples.
Core is photographed and sawn in half with one half retained in a
secured facility for verification purposes. Sample
preparation (crushing and pulverizing) is performed at an
independent ISO 9001:2001 certified laboratory in Chihuahua,
Mexico. Prepared samples are direct-shipped to an ISO
9001:2001 certified laboratory in Canada.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act and Section 21E of
the Exchange Act and applicable Canadian securities legislation,
including statements regarding the interpretation of initial drill
results as showing a gold and silver bearing epithermal vein and
breccia system and gold and silver values that are encouraging,
whether open pit mining is possible if a large enough deposit with
high enough grades is discovered and planned drilling programs and
expenditures at the Rodeo project and the timing thereof.
These statements are subject to risks and uncertainties, including:
unfavorable or less favorable than anticipated results from
exploration at the Rodeo property, whether we will be able to
advance the Rodeo property; potential delays or excess costs in our
drilling at the Rodeo project and evaluation of drill results
resulting from environmental events or permitting delays or
problems or other causes, accidents, problems with contractors,
disputes under agreements related to exploration properties,
unanticipated costs and other unexpected events; increases in costs
and declines in general economic conditions; and changes in
political conditions, in tax, royalty, environmental and other laws
in Mexico, and financial market
conditions. Golden Minerals assumes no obligation to update
this information. Additional risks relating to Golden
Minerals may be found in the periodic and current reports filed
with the Securities Exchange Commission by Golden Minerals,
including the Company's Annual Report on Form 10-K for the year
ended December 31, 2015.
For additional information please visit
http://www.goldenminerals.com/ or contact:
Golden Minerals Company
Karen Winkler
Director of Investor Relations
(303) 839-5060
Investor.relations@goldenminerals.com
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SOURCE Golden Minerals Company