ROUYN NORANDA, QC,
April 6, 2018 /CNW/ - Granada Gold
Mine (TSX.V: GGM) ("Granada Gold" or the "Company") is pleased to
announce that its Board of Directors has selected Ausenco Limited
to commence a feasibility study for the development of a producing
mine with a capacity of 80,000-to-100,000 ounces of gold per year
at its 100-percent-owned Granada
property, located in Quebec in the
town of Rouyn-Noranda.
The study will focus on the pit-constrained resource of 807,700
ounces M&I at 1.16 g/t Au, comprising 625,000 ounces Measured
at 1.14 g/t Au and 182,700 ounces Indicated at 1.26 g/t Au with a
cut-off grade of 0.39 g/t Au. The company has undertaken and
completed all the required environmental studies and obtained the
required permits to be a producer under its original "Rolling
Start" program.
In the meantime, the Company has signed a provisional milling
agreement with Canada Cobalt Works (TSX-V: CCW) to process an
initial 600,000-to-2,000,000 tonnes of mineralized material at a
grade of 4.5 g/t Au. Granada Gold Mines completed a Pre-Feasibility
Study (PFS) in 2014 with mineral reserves identified. The company
also realized a mineral resources update in June 2017. Canada
Cobalt Works has retained the engineering firm Wood Group to
undertake the necessary studies to obtain the required permits to
install a 600-tonne-per-day mill at the Castle mine site in
Gowganda, Ontario to process the
identified mineral reserves of the 2014 PFS.
These activities are intended also to provide a ramp to
production for the Company's high-grade, underground maiden
resource, located immediately north of a near-surface deposit,
showing 1.5 million ounces of gold
averaging 4.56 g/t gold Inferred at a cut-off of
1.5 g/t Au., according to a 43-101 Mineral Resource Estimation
Update (issue date June 30, 2017,
with effective date of May 16, 2017,
from GoldMinds Geoservices Inc.).
"Ausenco has a reputation for innovation and efficiency, and in
fact sponsored PDAC's #disruptmining event this year along with
Goldcorp, they also successfully assist Atlantic Gold Corporation
in their similar project in Eastern
Canada " said Frank J. Baša, Granada's President and CEO. "We are
anticipating that their fresh approach will help us move at a good
pace to move us forward in our focus on production."
About Granada Gold Mine Inc. – Focused on Production
Granada Gold Mine Inc. is developing the Granada Gold property
near Rouyn-Noranda, Quebec. The
property includes the former Granada gold mine which produced more than
50,000 ounces of gold in the 1930s before a fire destroyed the
surface buildings. The highly prolific Cadillac Trend, a line running from Val-d'Or to Rouyn-Noranda, has been the source of more
than 50 million ounces of gold in the past century, and cuts
through the north part of the property.
An updated Mineral Resource Estimate and revised Block Model
dated June 30, 2017, with an
effective date of May 16, 2017,
includes the first material estimate of high-grade gold resources
discovered in zones at depth immediately north of the LONG Bars
Zone open-pit deposit.
In addition to the open-pit constrained resource mentioned
above, an initial Inferred underground resource of
10,386,500 tonnes grading 4.56 g/t Au at a cut-off
grade of 1.5 g/t (1.5 million oz. Au) has been
outlined along 600 meters of strike, north of the original
near-surface discovery at Granada.
The Company has obtained all necessary permits for the initial
mining phase known as the "Rolling Start" for which stripping has
already begun, and has been conducting exploration drilling in
order to expand the reported mineral resources.
Claude Duplessis, P. Eng., of
Goldminds Geoservices Inc., a geological, environmental and mining
consultant, is an independent qualified person in accordance with
National Instrument 43-101, and has reviewed and approved the
contents of this news release.
Frank J. Baša, P.Eng.
President, CEO
Granada Gold Mine Inc. - TSX-V:GGM
Canada Cobalt Works Inc. - TSX-V:CCW
www.granadagoldmine.com
www.canadacobaltworks.com
SOURCE Granada Gold Mine Inc.