VANCOUVER,
Jan. 27, 2014 /CNW/ - Freegold
Ventures Limited (TSX: FVL, Frankfurt: FR4N) ("Freegold") is
pleased to announce that it will be participating in Core Shack at
the Association for Mineral Exploration's Annual Cordilleran Round
Up on Tuesday, January
28th, 2014. Freegold would like to thank the
organizers of the conference for the opportunity to display core
from its Golden Summit Project.
Since 2011, Freegold has been actively
delineating resources on this significant project. From it's first
NI 43-101 compliant resource of 174,000 contained indicated gold
ounces (7,790,000 mt @ 0.695 gpt) and 526,000 inferred contained
gold ounces (27,010,000 mt @ 0.606 gpt ) in March 2011 to it's most recent resource which was
completed in June 2013 which now
brings the indicated resource to 1,683,000 ounces (79,800,000
tonnes averaging 0.66 g/t Au), and the inferred resource to
4,841,000 ounces (248,060,000 tonnes averaging 0.61 g/t Au) for
using a 0.3 g/t as a possible open pit cut off (June 2013). This represents an increase of
867% in the indicated category and 820% in the inferred
category. Overall discovery costs since 2011 are estimated at under
$2.00 an ounce on Golden
Summit.
Golden Summit continues to demonstrate its potential for growth.
Ground geophysics and geochemical surveys carried out in the last
two years in conjunction with further compilation work has
identified other significant targets in the immediate resource
area. Although resource drilling has been confined to a 300 metre
by 1.5 km area (approx. 110 acres) the entire Golden Summit project
area covers a 13,000 acre area and hosts numerous other significant
exploration targets with potential to host additional
resources.
Road accessible, near industrial strength power with an
experienced labour force, the Golden Summit project represents an
excellent low risk development project for Freegold. In addition,
the June resource estimate also included an oxide component for the
overall resource. The oxide resource was calculated to be
25,026,200 tonnes averaging 0.55 g/t Au for 439,000 ounces in the
indicated category and 16,620,510 tonnes averaging 0.47 g/t for
253,000 ounces in the inferred category using a 0.20 g/t cut off.
The oxide cap is contained largely within the upper 200 feet (60
metres) of the resource. Other significant mineralized areas of the
property have the same potential to host oxide resources in the
upper 200 ft (60 metres). Preliminary bottle roll tests on the
oxide material has indicated recoveries in excess of 85% in 24hrs.
An extensive metallurgical programme is currently underway.
Requests for Proposals for the completion of a
PEA have been sent out to various engineering companies and
Freegold expects to award the PEA contract in the near term with
the aim of having the study completed during 2014.
Highlights from the summer 2013 program
include:
Hole
Number |
Hole
Inclination |
Depth of
Hole (ft) |
From
(ft) |
To |
Interval
(ft) |
Interval
(m) |
Au |
(ft) |
g/t |
Dolphin
Area |
|
|
|
|
|
|
|
GSDL1311 |
-75 |
1922 |
37 |
1922 |
1885 |
574.52 |
0.82 |
|
|
incl |
37 |
78 |
41 |
12.50 |
2.61 |
|
|
incl |
243 |
347 |
104 |
31.70 |
1.48 |
|
|
incl |
377.5 |
558 |
180.5 |
55.01 |
0.75 |
|
|
incl |
1039.5 |
1628 |
588.5 |
179.67 |
1.13 |
|
|
incl |
1728 |
1922 |
194 |
59.13 |
0.87 |
|
|
|
|
|
|
|
|
GSDL1312 |
-75 |
1832 |
19 |
1832 |
1813 |
552.6 |
0.68 |
|
|
|
507 |
596 |
89 |
27.13 |
3.00 |
|
|
|
736 |
802 |
71 |
21.64 |
0.76 |
|
|
|
1578 |
1795 |
217 |
66.14 |
1.76 |
|
|
incl |
1767 |
1795 |
28 |
8.53 |
7.49 |
|
|
|
|
|
|
|
|
GSDL1313 |
-70 |
1714.5 |
577 |
740 |
163 |
49.68 |
0.72 |
|
|
|
811.5 |
883 |
71.5 |
21.79 |
1.15 |
|
|
|
980 |
1068 |
88 |
26.82 |
1.39 |
|
|
|
|
|
|
|
|
Freegold would also take the opportunity to
thank its shareholders for their continued support. Whilst market
conditions have been difficult for all junior companies the support
of our shareholders has been instrumental in continued growth of
our Golden Summit Project.
The Qualified Person who has reviewed the
technical disclosure contained in this release is Curtis J. Freeman, M.Sc., PGeo who is the
primary geological consultant for the project. Drill cores were cut
in half using a diamond saw, with one-half placed in sealed bags
for geochemical analysis. Core samples were picked up on-site by
ALS Chemex and transported to their facility in Fairbanks, Alaska. A sample quality
control/quality assurance program was implemented.
Warrant Repricing
Freegold is also announcing that given current
market conditions, Freegold has extended the expiry date and
amended the exercise price of the following share purchase
warrants:
1,648,297 share purchase warrants ("Warrants")
which were previously issued pursuant to the private placement
completed by the Company on August
2nd, 2012 have been extended to August 2, 2014 from their original expiry of
February 2, 2014. The original
exercise price has also been amended from $0.65 to $0.25 per share; provided, however, that
if Company's common shares trade on the TSX at or above a volume
weighted average trading price of $0.50 per common share for 10 consecutive trading
days, the company may give notice to the holders that each Warrant
will expire 30 days from the date of providing such notice. In
addition the 50,000 Warrants previously issued pursuant to the
private placement completed by the Company August 15, 2012 have also been extended to
August 15, 2014. The original
exercise price has also been amended from $0.50 to $0.25 per share provided, however, that
if Company's common shares trade on the TSX at or above a volume
weighted average trading price of $0.50 per common share for 10 consecutive trading
days, the company may give notice to the holders that each Warrant
will expire 30 days from the date of providing such notice.
In addition 1,250,000 Warrants previously issued
pursuant to the private placement completed by the Company on
September 20, 2013 are also being
amended. The original exercise price of the Warrants was
$0.50 per share, with an original
expiry date of September 20,
2015. The expiry date for these Warrants will remain
the same. The new exercise price for the Warrants will be
$0.25 per share; provided, however,
that if Company's common shares trade on the TSX at or above a
volume weighted average trading price of $0.50 per common share for 10 consecutive trading
days, the company may give notice to the holders that each Warrant
will expire 30 days from the date of providing such notice.
No insiders of Freegold hold any warrants
described above that are being amended. The amendments
described above will become effective Wednesday, February 12, 2014.
About Freegold Ventures Limited
Freegold is a TSX listed company focused on the
exploration of gold projects in Alaska. In addition to the Golden Summit Gold
Project, the company holds a 100% in lease interest in the Rob Gold
Project near Sumitomo Metal Mining's Pogo
Gold Mine in the Goodpaster Mining District of Alaska and has an exploration agreement with
option to lease the Vinasale Gold project in central Alaska which hosts an indicated NI 43-101
resource of 3,410,000 tonnes averaging 1.48 g/t Au for 162,000
ounces of gold: and an inferred resource of 53,250,000 tonnes
averaging 1.05 g/t Au for 1,799,000 ounces of gold utilizing a
cutoff value of 0.5 grams/tonne (g/t) as a possible open pit
cutoff. The resource estimate was completed by Giroux
Consultants Ltd.
Some statements in this news release contain forward-looking
information, including without limitation statements as to planned
expenditures and exploration programs. These statements address
future events and conditions and, as such, involve known and
unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements to be materially
different from any future results, performance or achievements
expressed or implied by the statements. Such factors include
without limitation the completion of planned expenditures, the
ability to complete exploration programs on schedule and the
success of exploration programs.
SOURCE Freegold Ventures Limited