VANCOUVER, BC, Aug. 18, 2020 /CNW/ - KORE Mining Ltd. (TSXV:
KORE) (OTCQX: KOREF) ("KORE" or the "Company") has
commenced work on a Preliminary Economic Assessment ("PEA") of the
Long Valley project ("Project" or "Long Valley")
located in Mono County California. Engineering is well
advanced, with results expected in late Q3 2020.
Scott Trebilcock, President and
CEO stated, "Long Valley is a large, shallow gold deposit with
great oxide heap leach metallurgy. The Long Valley PEA will
come as an important milestone for Kore as we continue to
extract value out of our advanced heap leach projects in
the United States. The Imperial
PEA was a significant catalyst for KORE and we expect the Long
Valley PEA will continue to demonstrate the quality of our
world-class assets."
Mr. Trebilcock continued, "The Long Valley PEA will also
demonstrate why KORE is allocating capital to the Long Valley
deposit, which remains open for exploration in shallow oxides and
for new sulphide discoveries. KORE has the funding to advance
our assets, deliver catalysts and take advantage of the strong gold
market."
The PEA will scope an open pit mine with heap leach processing
of oxide and transition materials. The Project is expected to
benefit from nearby skilled labour, major highways and power
infrastructure. Long Valley has extensive oxide metallurgical
testing which showed the oxide and transition materials are
amenable to heap leaching and has the potential for high
recoveries. The shallow nature of the deposit will
enable full compliance with California's stringent reclamation
requirements including backfilling in the PEA.
The current mineral resource estimate is 1,247,000 ounces of
Indicated gold and 486,000 ounces of Inferred gold from
66.8 million tonnes of 0.58 grams per tonne and 23.6 million tonnes
of 0.65 grams per tonne, respectively. The mineral resource
consists of oxide, transition and sulphides. The estimate was
prepared by Neil Prenn, P.E., and Steven
Weiss, C.P.G. of Mine Development Associates with an
effective date of November 15,
2019. More information is available in the technical report
filed on www.sedar.com and on KORE's website at
www.koremining.com.
Long Valley was historically assayed almost exclusively for
gold. The limited silver assays on the project showed up to
10 times the gold grade in silver. This represents a future
upside for the project that will not be included in the PEA, but
will likely be incorporated in future resource updates and reported
with new drilling.
On January 30, 2020 and
March 24, 2020, KORE announced
results from several rounds of ground geophysics, soil sampling and
rock sampling at Long Valley. The work generated multiple
drill targets to grow shallow oxide mineralization, opening the
deposit to growth on-strike and laterally. The geophysics
also generated clear sulphide feeder structure drill targets to
make new discoveries at depth and open a new frontier for
exploration at the Project. Sulphide potential is further
highlighted by the fact that 44% of historic drill holes ended in
gold mineralization exceeding the cut-off grade of the deposit,
with bottom hold grades as high as 4.8 grams per tonne.
Permitting for drill testing highest priority targets is
underway.
About Long Valley Gold Project
Long Valley is a 100% owned gold project located in Mono County, California – see Figure 1.
Within the Project, is the Long Valley deposit, an intact
epithermal gold deposit ("Deposit") with a shallow, large 2.5 by 2
kilometer oxide gold footprint. A total of 896 holes have
been drilled on the Project, the majority being completed by
reverse circulation with lesser core, rotary and air track.
The average depth of drilling is less than 90 meters below
surface. Figure 1 shows the claims, drill collar
locations and mineralized area.
About KORE Mining Ltd.
KORE is 100% owner of a portfolio of advanced gold exploration
and development assets in California and British Columbia. KORE,
supported by strategic investors Eric
Sprott and Macquarie Bank; and insiders, including
management and Board, own 64% of the basic shares
outstanding. Further information on KORE and its assets can
be found on the Company's website at www.koremining.com and at
www.sedar.com, or by contacting us as info@koremining.com or
by telephone at (888) 407-5450.
On behalf of KORE Mining Ltd
"Scott
Trebilcock"
Chief Executive Officer
(888) 407-5450
Investor Relations
Arlen
Hansen, KIN Communications
1-888-684-6730
kore@kincommunications.com
Technical information with respect to the Imperial deposit
and project contained in this news release has been reviewed and
approved by Marc Leduc, P.Eng., who
is KORE's designated qualified person under National Instrument
43-101 for the purposes of this news release.
This news release does not constitute an offer to sell or a
solicitation of an offer to sell any KORE common shares in
the United States.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Cautionary Statement Regarding Forward-Looking
Information
This news release contains forward-looking
statements relating to the future operations of the Company and
other statements that are not historical facts. Forward-looking
statements are often identified by terms such as "will", "may",
"should", "anticipate", "expects", "intends", "indicates" and
similar expressions. All statements other than statements of
historical fact, included in this release, including, without
limitation, statements regarding the future plans and objectives of
the Company are forward-looking statements. Forward-looking
statements in this news release include, but are not limited to,
statements with respect to: the potential gold structures at the
District deposits, next steps and timing regarding follow-up
programs at the District, results of the PEA, including future
Project opportunities, future operating and capital costs, closure
costs, AISC, the projected NPV, IRR, timelines, permit
timelines, and the ability to obtain the requisite permits,
economics and associated returns of the Imperial Project, the
technical viability of the Imperial Project, the market and future
price of and demand for gold, the environmental impact of the
Imperial Project, and the ongoing ability to work cooperatively
with stakeholders, including the local levels of government.
Such forward-looking statements, and any assumptions upon
which they are based, are made in good faith and reflect our
current judgment regarding the direction of our business.
Management believes that these assumptions are reasonable. Forward
looking information involves known and unknown risks, uncertainties
and other factors which may cause the actual results, performance
or achievements of the Company to be materially different from any
future results, performance or achievements expressed or implied by
the forward-looking information.
Such factors include, among others: risks related to
exploration and development activities at the Company's projects,
and factors relating to whether or not mineralization extraction
will be commercially viable; risks related to mining
operations and the hazards and risks normally encountered in the
exploration, development and production of minerals, such as
unusual and unexpected geological formations, rock falls, seismic
activity, flooding and other conditions involved in the extraction
and removal of materials; uncertainties regarding regulatory
matters, including obtaining permits and complying with laws and
regulations governing exploration, development, production, taxes,
labour standards, occupational health, waste disposal, toxic
substances, land use, environmental protection, site safety and
other matters, and the potential for existing laws and regulations
to be amended or more stringently implemented by the relevant
authorities; uncertainties regarding estimating mineral resources,
which estimates may require revision (either up or down) based on
actual production experience; risks relating to fluctuating metals
prices and the ability to operate the Company's projects at a
profit in the event of declining metals prices and the need to
reassess feasibility of a particular project that estimated
resources will be recovered or that they will be recovered at the
rates estimated; risks related to title to the Company's
properties, including the risk that the Company's title may be
challenged or impugned by third parties; the ability of the Company
to access necessary resources, including mining equipment and
crews, on a timely basis and at reasonable cost; competition within
the mining industry for the discovery and acquisition of properties
from other mining companies, many of which have greater financial,
technical and other resources than the Company, for, among other
things, the acquisition of mineral claims, leases and other mineral
interests as well as for the recruitment and retention of qualified
employees and other personnel; access to suitable infrastructure,
such as roads, energy and water supplies in the vicinity of the
Company's properties; and risks related to the stage of the
Company's development, including risks relating to limited
financial resources, limited availability of additional financing
and potential dilution to existing shareholders; reliance on its
management and key personnel; inability to obtain adequate or any
insurance; exposure to litigation or similar claims;
currently unprofitable operations; risks regarding the ability of
the Company and its management to manage growth; and potential
conflicts of interest.
In addition to the above summary, additional risks and
uncertainties are described in the "Risks" section of the Company's
management discussion and analysis for the year ended December 31, 2019 prepared as of April 27, 2020 available under the Company's
issuer profile on www.sedar.com.
Forward-looking statements contained herein are made as of
the date of this news release and the Company disclaims any
obligation to update any forward-looking statements, whether as a
result of new information, future events or results, except as may
be required by applicable securities laws. There can be no
assurance that forward-looking information will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking
information.
The Imperial PEA is preliminary in nature, it includes
inferred mineral resources that are considered too speculative
geologically to have the economic considerations applied to them
that would enable them to be categorized as mineral reserves, and
there is no certainty that the Imperial PEA will be realized.
There is no certainty that all or any part of the mineral
resource will be converted into mineral reserve. It is uncertain if
further exploration will allow improving the classification of the
Indicated or Inferred mineral resource. Mineral resources are
not mineral reserves and do not have demonstrated economic
viability.
Cautionary Note Regarding Mineral Resource
Estimates: Information regarding mineral resource
estimates has been prepared in accordance with the requirements of
Canadian securities laws, which differ from the requirements of
United States Securities and Exchange Commission ("SEC") Industry
Guide 7. In October 2018, the SEC
approved final rules requiring comprehensive and detailed
disclosure requirements for issuers with material mining
operations. The provisions in Industry Guide 7 and Item 102 of
Regulation S-K, have been replaced with a new subpart 1300 of
Regulation S-K under the United States Securities Act and will
become mandatory for SEC registrants after January 1, 2021. The changes adopted are intended
to align the SEC's disclosure requirements more closely with global
standards as embodied by the Committee for Mineral Reserves
International Reporting Standards (CRIRSCO), including Canada's NI 43-101 and CIM Definition
Standards. Under the new SEC rules, SEC registrants will be
permitted to disclose "mineral resources" even though they reflect
a lower level of certainty than mineral reserves. Additionally,
under the New Rules, mineral resources must be classified as
"measured", "indicated", or "inferred", terms which are defined in
and required to be disclosed by NI 43-101 for Canadian issuers and
are not recognized under SEC Industry Guide 7. An "Inferred
Mineral Resource" has a lower level of confidence than that
applying to an "Indicated Mineral Resource" and must not be
converted to a Mineral Reserve. It is reasonably expected that the
majority of "Inferred Mineral Resources" could be upgraded to
"Indicated Mineral Resources" with continued exploration.
Accordingly, the mineral resource estimates and related information
may not be comparable to similar information made public by
United States companies subject to
the reporting and disclosure requirements under the United
States federal laws and the rules and regulations thereunder,
including SEC Industry Guide 7.
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SOURCE Kore Mining