TSX: GPR | NYSE American:
GPL
Exploration drilling has delineated continuity in the
underground zone and potential for expanding the open
pit
VANCOUVER, BC, July 22, 2021 /CNW/ - Great Panther Mining
Limited (TSX: GPR) (NYSE-A: GPL) ("Great Panther" or the
"Company"), a growing gold and silver producer focused on the
Americas, announces drill results for the Urucum North ("URN")
deposit located at its wholly-owned Tucano mine in Brazil.
Rob Henderson, Great Panther's
President & CEO commented: "We are very excited with the
exploration results we are seeing from Tucano, which demonstrate
the potential for additional near-term gold production. The high
grades discovered at Urucum North are encouraging, and we are
expediting studies to support a decision to initiate underground
production to supplement the open pit feed to the mill. Drilling
also identified shallow high-grade mineralization, which we believe
will extend the Urucum North pit."
The URN underground project envisions an estimated 40,000 to
50,000 gold ounce ("Au oz") per year underground mine planned to
extract ore from below the current URN open pit. In late 2020,
Great Panther conducted additional drilling as part of a larger
exploration program designed to update development studies to
support a decision for the start-up of the underground project. The
program is ongoing and significant drilling results to-date are
presented below.
URN High-Grade Zone (Underground)
The URN High-Grade Zone 1 (HGZ1) lies less than 100 metres below
the planned URN final pit shell. It is the shallowest high-grade
zone defined in the mine plan. Nineteen holes were drilled within
and along the up and down plunge extensions of HGZ1. Three of these
are deep (i.e., +500 metres) drill holes completed to test the down
plunge extension of this high-grade zone to demonstrate the down
plunge continuity of the HGZ1 beyond the previous limits (see
Figure 1). Key drill intersections from these holes include:
- 2.2 metres at 14.3g/t Au in 21URNDD005
- 2.6 metres at 6.3g/t Au in 21URNDD011
- 2.6 metres at 9.3g/t Au in 21URNDD015 and
- 3.1 metres at 4.1g/t Au also in 21URNDD015
Currently, the HGZ1 is approximately 500 metres long and remains
open down plunge. Drill hole 21URNDD021 and 21URNDD024 are
currently underway to test the extension.
URN Pit Extension to North
Twenty-six holes drilled between 2020 and 2021 (see Table 1)
targeted shallow upper-level stopes defined in the URN underground
project mine plan. These were identified for early production
during ramp development. This additional drilling has delineated a
near-surface zone of relatively high-grades with potential to
incorporate the upper-level stopes into an extension of the URN
open pit design.
Key highlights from drilling in this zone include:
- 2.4 metres @ 2.8g/t Au in 21URNDD020
- 2.4 metres @ 8.0g/t Au in 21URNDD018
- 1.8 metres @ 6.8g/t Au in 21URNDD017
- 4.7 metres @ 8.0g/t Au also in 21URNDD017
- 1.4 metres @ 5.2g/t Au in 21URNDD016
- 4.8 metres @ 3.8g/t Au also in 21URNDD016
- 6.2 metres @ 3.5g/t Au in 20URNDD010
- 1.3 metres @ 4.0g/t Au in 20URNDD006
- 2.8 metres @ 2.7g/t Au in 20URNDD012
- 1.1 metres @ 5.7g/t Au in 20URNDD002
The Company is conducting a mine planning trade-off evaluation
between accessing this near-surface mineralization by extending the
open pit or via underground stoping, as early ramp development in
the current model will access this zone.
The Mine Trend
The drilling executed by Great Panther has improved our
understanding of the high-grade zones at Tucano and the Company is
applying this knowledge to the entire Tucano drilling database.
Recent modelling of high-grade intersections along the 7-kilometre
mine sequence indicates a repetition of high-grade zones with
similar characteristics and similar controls, that have either been
mined or are inferred from sparse drilling. This revised
understanding will assist exploration efforts along the mine trend.
Full drill results are provided in the following table:
Hole Id
|
Target
|
Intercept
|
From
|
To
|
Est.
Horiz.
|
Grade
|
Est.
Horiz.
|
(m)
|
(m)
|
(m)
|
Thickness
(m)
|
(g/t Au)
|
gram*m
Au
|
21URNDD001
|
Hole abandoned:
re-drilled as 21URNDD002
|
21URNDD002
|
HGZ1
up-plunge
|
4.3
|
227.5
|
231.8
|
2.2
|
3.24
|
7.0
|
21URNDD003
|
Hole abandoned:
re-drilled as 21URNDD004
|
21URNDD004
|
HGZ1
up-plunge
|
2.9
|
274
|
276.9
|
1.7
|
3.67
|
6.1
|
21URNDD004
|
HGZ1
up-plunge
|
3
|
342
|
345
|
1.7
|
3.29
|
5.7
|
21URNDD005
|
HGZ1 down-
plunge
|
4.9
|
424
|
428.9
|
2.2
|
2.6
|
5.8
|
21URNDD005
|
HGZ1 down-
plunge
|
6.2
|
480.8
|
487
|
2.8
|
14.26
|
40.1
|
21URNDD011
|
HGZ1 down-
plunge
|
6.2
|
423
|
429.2
|
2.6
|
6.26
|
16.4
|
21URNDD012
|
HGZ1
up-plunge
|
6.5
|
173.3
|
179.8
|
2.4
|
2.09
|
5.1
|
21URNDD013
|
Hole abandoned: to be
re-drilled
|
21URNDD014
|
HGZ1
up-plunge
|
2.75
|
286.8
|
289.5
|
1.5
|
6.19
|
9.0
|
21URNDD014
|
HGZ1
up-plunge
|
2
|
303
|
305
|
1.1
|
5.21
|
5.5
|
21URNDD015
|
HGZ1 down-
plunge
|
6.05
|
479.6
|
485.6
|
2.6
|
9.34
|
23.9
|
21URNDD015
|
HGZ1 down-
plunge
|
7.4
|
549.6
|
557
|
3.1
|
4.14
|
12.9
|
21URNDD016
|
URN
Extension
|
2.35
|
206.3
|
208.7
|
1.4
|
5.21
|
7.4
|
21URNDD016
|
URN
Extension
|
8
|
235.6
|
243.6
|
4.8
|
3.77
|
18.2
|
21URNDD017
|
URN
Extension
|
3
|
214
|
217
|
1.8
|
6.83
|
12.6
|
21URNDD017
|
URN
Extension
|
7.6
|
235
|
242.6
|
4.7
|
8.03
|
37.6
|
21URNDD018
|
URN
Extension
|
4.8
|
201.2
|
206
|
2.4
|
8.02
|
19.2
|
21URNDD019
|
Hole abandoned: to be
re-drilled
|
21URNDD020
|
URN
Extension
|
4
|
220
|
224
|
2.4
|
2.82
|
6.8
|
21URNDD021
|
HGZ1
down-plunge
|
Hole currently in
progress
|
21URNDD022
|
HGZ1
up-plunge
|
2
|
217
|
219
|
1.03007615
|
9.84
|
10.1
|
21URNDD023
|
Hole abandoned: wedge
of 21URNDD21
|
21URNDD024
|
HGZ1 down-
plunge
|
Hole currently in
progress
|
20URNDD002
|
URN
Extension
|
1.9
|
217
|
218.9
|
1.1
|
5.74
|
6.6
|
20URNDD002
|
URN
Extension
|
4
|
241
|
245
|
2.4
|
2.13
|
5.1
|
20URNDD003
|
URN
Extension
|
6.45
|
354
|
360.5
|
2.7
|
3.55
|
9.7
|
20URNDD004
|
URN
Extension
|
3
|
282.6
|
285.6
|
1.5
|
3.03
|
4.5
|
20URNDD006
|
URN
Extension
|
9.7
|
255.4
|
265.1
|
6.2
|
5.99
|
37.3
|
20URNDD006
|
URN
Extension
|
2
|
279
|
281
|
1.3
|
4.01
|
5.2
|
20URNDD008
|
URN
Extension
|
3.1
|
234.1
|
237.2
|
2.0
|
2.61
|
5.2
|
20URNDD009
|
URN
Extension
|
8.4
|
313.7
|
322.1
|
3.8
|
6.56
|
25.0
|
20URNDD009
|
URN
Extension
|
2
|
376
|
378
|
0.9
|
3.55
|
3.2
|
20URNDD010
|
URN
Extension
|
11
|
247
|
258
|
6.2
|
3.52
|
21.7
|
20URNDD011
|
URN
Extension
|
4.8
|
229.6
|
234.4
|
2.8
|
2.02
|
5.6
|
20URNDD011
|
URN
Extension
|
3.6
|
247.2
|
250.8
|
2.1
|
1.95
|
4.0
|
20URNDD012
|
URN
Extension
|
4.95
|
227.6
|
232.5
|
2.8
|
2.71
|
7.7
|
20URNRC001
|
URN
Extension
|
3
|
80
|
83
|
1.9
|
2.67
|
5.1
|
20URNRC001
|
URN
Extension
|
6
|
83
|
89
|
3.9
|
2.38
|
9.2
|
20URNRC001
|
URN
Extension
|
7
|
108
|
115
|
4.5
|
3.48
|
15.7
|
20URNRC001
|
URN
Extension
|
1
|
118
|
119
|
0.6
|
14.48
|
9.3
|
* Significant
results: +3.2 gram*meters (Est. horizontal thickness
used).
|
Minimum cut-off:
1.6 g/t Au
|
|
|
|
|
|
|
Max internal
dilution: 2 m
|
|
|
|
|
|
|
Estimated
horizontal thickness calculated assuming vertical mineralization
and inclination of drill hole.
|
Figure 1: Location of HGZ1 and significant drill intersections
highlights in the 2020 / 2021 drill campaign.
Technical Disclosure and Qualified Persons
On behalf of Great Panther, Nicholas
Winer, Fellow AusIMM and Vice President of Exploration,
supervised the preparation of data for the drillholes included in
this news release and Nicholas
Winer, together with Fernando A.
Cornejo, P. Eng. and Chief Operating Officer, approved this
news release. Mr. Winer and Mr. Cornejo are non-independent
Qualified Persons as defined by National Instrument 43-101 -
Standards of Disclosure for Mineral Projects ("NI 43-101").
The Qualified Person reviewed the Tucano QA/QC program. The
QA/QC program for drill core includes the regular insertion of
blanks, standards, and duplicates into sample batches, diligent
monitoring of assay results, and necessary remedial actions.
Resource drilling samples are first assayed at the Tucano onsite
laboratory. All intervals with anomalous gold are submitted and
re-analyzed by the Certified SGS Geosol laboratory in Belo Horizonte by 50 g fire-assay. All SGS
Geosol assays, after diligent monitoring of QA/QC and necessary
remedial actions, supersede the Tucano assay results in the
database for Mineral Resource and Mineral Reserve grade estimation.
QA/QC monitoring of the SGS laboratory also includes
inter-laboratory checks on five percent of samples with the
Certified ALS laboratory in Belo
Horizonte. In addition to the data verification methodology
described above, personal inspections of the Tucano property have
also been completed.
For more information about the Company's underground URN
project, including its mine plan, see the Company's Annual
Information Form for the year ended December
31, 2020 and the technical report dated February 2, 2021 entitled "Amended and Restated
Technical Report on the 2020 Mineral Reserves and Mineral Resources
of the Tucano Gold Mine, Amapa State, Brazil" filed with the Canadian Securities
Administrators available at www.sedar.com and with the Securities
and Exchange Commission available at www.sec.gov.
ABOUT GREAT PANTHER
Great Panther is a growing gold and silver producer focused on
the Americas. The Company owns a diversified portfolio of assets in
Brazil, Mexico and Peru that includes three operating gold and
silver mines, four exploration projects, and an advanced
development project. Great Panther is actively exploring large land
packages in highly prospective districts and is pursuing
acquisition opportunities to complement its existing portfolio.
Great Panther trades on the Toronto Stock Exchange trading under
the symbol GPR, and on the NYSE American under the symbol GPL.
CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION
This news release contains forward-looking statements within the
meaning of the United States Private Securities Litigation Reform
Act of 1995 and forward-looking information within the meaning of
Canadian securities laws (together, "forward-looking statements").
Such forward-looking statements may include, but are not limited
to, statements regarding: (i) potential for additional near-term
gold production resulting from exploration activities at in the URN
pit; (ii) potential for a decision to initiate underground
production to supplement the open pit feed to the mill and
expectations around the timeline for the studies in support of such
decision, (iii) potential for high-grade mineralization at the URN
open pit to allow extension of the mineable area of the pit and the
related expectations of continuity of the underground zone; (iv)
the estimated potential of 40,000 to 50,000 gold ounce ("Au oz")
per year from the underground mine below the current URN open pit;
and (v) whether Great Panther's exploration program will
support a decision for the start-up of the underground project.
These forward-looking statements reflect the Company's current
views with respect to future events and are necessarily based upon
a number of assumptions that, while considered reasonable by the
Company, are inherently subject to significant operational,
business, economic and regulatory uncertainties and contingencies.
These assumptions include: continued operations at Tucano in
accordance with the Company's mine plan, including the expectations
regarding the likelihood of exploration results in the URN
high-grade zone to justify a positive start-up decision for the URN
underground mine project and/or extension of the URN open pit; the
ability of the Company to successfully start-up and execute the URN
underground mining project; the ongoing geotechnical
control/stability of UCS and the Company's ability to successful
access the mineralization in the UCS pit without additional costs
or interruption; continuation of operations without
interruption, additional costs, workforce and supply shortages due
to COVID-19 or any other reason; the accuracy of the Company's
Mineral Reserve and Mineral Resource estimates and the assumptions
upon which they are based; ore grades and recoveries; prices for
silver, gold, and base metals remaining as estimated; national and
international transportation arrangements to deliver Tucano's gold
doré to international refineries continue to remain available,
despite inherent risks due to COVID–19; international refineries
that the Company uses continue to operate and refine the Company's
gold doré, and in a timely manner such that the Company is able to
realize revenue from the sale of its refined metal in the timeframe
anticipated, despite inherent risks due to COVID–19; capital,
decommissioning and reclamation estimates; prices for energy
inputs, labour, materials, supplies and services (including
transportation) remaining as estimated; currency exchange rates
remaining as estimated; all necessary permits, licenses and
regulatory approvals for the Company's operations are received in a
timely manner and maintained, operations not being disrupted
by issues such as pit-wall failures or instability, mechanical
failures, labour disturbances or workforce shortages, illegal
occupations or mining, seismic events, and adverse weather
condition; assumption that the Company will be successful in
resolving the legal claims that ban the use of cyanide in the
Tucano processing; conditions in the financial markets; the ability
to procure equipment and operating supplies and that there are no
material unanticipated variations in the cost or availability of
energy or supplies; and the Company's ability to comply with
environmental, health and safety laws. The foregoing list of
assumptions is not exhaustive. These forward-looking statements
involve known and unknown risks, uncertainties and other factors
that may cause the actual results, performance or achievements
expressed or implied by such forward-looking statements to be
materially different. Such factors include, among others, risks and
uncertainties relating to potential political, regulatory, and
social risks involving Great Panther's operations in a foreign
jurisdiction; developments with respect to COVID-19 that may impact
the Company's operations, including potential for further workforce
and supply shortages, or future orders of federal governments to
curtail or cease mining operations or voluntary shutdowns; the
inherent risk that estimates of Mineral Reserves and Resources may
not be accurate or that the assumptions upon which they are based
are different than expected and accordingly that mine
production will not be as estimated or predicted; the discontinuity
of the Tucano ore body and mine selectivity may result in a risk
that dilution and mining recovery estimates used in the Mineral
Reserve estimation do not accurately reconcile with the Company's
ability to recover the tonnage, grade and metal content estimated
in the Mineral Reserves; as the Company's mines, including,
but not limited to its Mexican operations, do not have established
Mineral Reserves, except for Tucano and the Company may extend mine
operations by mining material at Tucano that is classified as a
Mineral Resource without completing a feasibility study
demonstrating economic or technical viability, the Company faces
higher risks that anticipated rates of production/recovery or
estimates of costs will not be achieved; litigation risk, including
a risk that the use of cyanide would be banned in respect of
Tucano's operations causing Tucano to have to cease operations if
an alternative to cyanide treatment cannot be identified and
implemented in a cost-effective way (of which there is no
assurance); the potential for unexpected costs and expenses;
fluctuations in metal prices; fluctuations in currency exchange
rates; physical risks inherent in mining operations (including pit
wall collapses, tailings storage facility failures, environmental
accidents and hazards, industrial accidents, equipment breakdown,
unusual or unexpected geological or structural formations,
cave-ins, flooding and severe weather); potential of further
instability or failure of walls of the UCS pit, which compromises a
material part of the Mineral Reserves being accessed in 2021, there
is no assurance that the Company will be able to continue mining
and be able to access the UCS Mineral Reserves which may adversely
impact the Company's Mineral Reserve estimates, production guidance
and future revenues, including the potential risk that the Mineral
Reserves at UCS may not be accessible at all or that access may be
dependent on further remedial work that might interrupt operations;
there is no assurance that the Company will be able to identify or
complete acquisition opportunities and other risks and
uncertainties, including those described in respect of Great
Panther, in its annual information form for the year ended
December 31, 2020 and material change
reports filed with the Canadian Securities Administrators available
at www.sedar.com and reports on Form 40-F and Form 6-K filed with
the Securities and Exchange Commission and available at
www.sec.gov. There is no assurance that such forward-looking
statements will prove accurate; results may vary materially from
such forward-looking statements. Readers are cautioned not to place
undue reliance on forward-looking statements. The Company has no
intention to update forward-looking statements except as required
by law.
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SOURCE Great Panther Mining Limited