EAGLE MOUNTAIN
Overview
The Eagle Mountain Project comprises two gold deposits, Eagle Mountain and Salbora, in addition to several other exploration targets. The deposits are structurally controlled and affected by a zone of saprolitic weathering up to 50 metres thick. Gold mineralization starts at surface in saprolite (soft rock) and extends into the underlying fresh rock.
LOCATION
Guyana
OWNERSHIP
100%
LAND POSITION
5,050 Ha
METALS
Gold
STATUS/STAGE
Resource definition
MINERAL RESOURCES: INDICATED
848,000 oz gold1
MINERAL RESOURCES: INFERRED
868,000 oz gold1
^1 23 million tonnes grading 1.14 gpt Au for 848,000 oz in Indicated Resources and 25 million tonnes grading 1.09 gpt Au for 868,000 oz in Inferred Resources
The Property is located approximately 7 km south of Mahdia Township (population ~3000). Mahdia can be accessed by road from Georgetown, a driving distance of ~325 km, or via air with a commercial flight.
Mahdia is a central mining location. Consequently, the local economy is dominated by small-scale mining activity and has a labour force and mechanical shops familiar with mining. Additionally, as capital of Potaro Region 8, the township offers a local hospital, school, shops, and a paved airstrip.
Unpaved roads and tracks from Mahdia provide access to and within the EMPL. Goldsource’s current field activities are supported by the 65-man exploration camp and offices on the Property.
Mineral Resources
MINERAL RESOURCE UPDATE AND CURRENT PROGRAM
- In February 2021, the Company delivered an updated mineral resource estimate (MRE) for the Eagle Mountain Project (Refer to the MRE news release, dated February 22, 2021).
- 23 million tonnes grading 1.14 g/t for 843,000 ounces of gold contained in Indicated Resources; and
- 25 million tonnes grading 1.09 gpt gold for 866,000 oz of gold in Inferred Resources.
- The MRE includes the Eagle Mountain and Salbora deposits, both of which feature gold mineralization starting at surface in saprolite (soft rock) and extending into the underlying fresh rock. The saprolite is estimated to contain 42% of the gold in Indicated Resources and 16% of the gold in Inferred Resources.
- Mineral resources, employing cut-off grades of 0.30 gpt gold for the saprolite and 0.50 gpt gold for the fresh rock, are contained within a conceptual open pit. Gold in surficial saprolite and the shallow sub-horizontal zones of the Eagle Mountain deposit result in a low average strip ratio. The strip ratio of the saprolite is estimated to be below 1:1.
- The updated MRE is defined by a total of 674 core holes for 57,550 metres drilled, as well as 158 auger drill holes for 532 metres drilled, which includes infill and exploration drilling up to November 6, 2020.
FEBRUARY 2021 MINERAL RESOURCE UPDATE FOR THE EAGLE MOUNTAIN PROJECT
| Classification | Tonnes (000 t) | Gold (gpt) | Ounces Au (oz) |
|---|---|---|---|
| Indicated | Indicated | Indicated | Indicated |
| Saprolite | 11,000 | 0.95 | 353,000 |
| Fresh rock | 12,000 | 1.32 | 495,000 |
| Total | 23,000 | 1.14 | 848,000 |
| Inferred | Inferred | Inferred | Inferred |
| Saprolite | 5,000 | 0.82 | 140,000 |
| Fresh rock | 20,000 | 1.16 | 728,000 |
| Total | 25,000 | 1.09 | 868,000 |
Eagle Mountain Deposit Mineral Resource
| Classification | Tonnes (000 t) | Gold (gpt) | Ounces Au (oz) |
|---|---|---|---|
| Indicated | Indicated | Indicated | Indicated |
| Saprolite | 11,000 | 0.95 | 346,000 |
| Fresh rock | 11,000 | 1.23 | 436,000 |
| Total | 22,000 | 1.09 | 782,000 |
| Inferred | Inferred | Inferred | Inferred |
| Saprolite | 5,000 | 0.81 | 134,000 |
| Fresh rock | 19,000 | 1.15 | 701,000 |
| Total | 24,000 | 1.08 | 835,000 |
Salbora Deposit Mineral Resource
| Classification | Tonnes (000 t) | Gold (gpt) | Ounces Au (oz) |
|---|---|---|---|
| Indicated | Indicated | Indicated | Indicated |
| Saprolite | 150 | 1.45 | 7,000 |
| Fresh rock | 660 | 2.82 | 60,000 |
| Total | 810 | 2.57 | 67,000 |
| Inferred | Inferred | Inferred | Inferred |
| Saprolite | 200 | 0.99 | 6,000 |
| Fresh rock | 500 | 1.74 | 27,000 |
| Total | 700 | 1.52 | 33,000 |
Notes:
- Exploration results up to November 6, 2020.
- The updated MRE was prepared by CSA Global in accordance with the Canadian Institute of Mining, Metallurgy and Petroleum Definition.
- Mineral Resources are not Mineral Reserves as they do not have demonstrated economic viability.
- Refer to the MRE news release, dated February 22, 2021.
EAGLE MOUNTAIN PROJECT – RESOURCE CLASSIFICATION
EAGLE MOUNTAIN PROJECT – DDH SUMMARY
Adrian Martinez (P.Geo.) of CSA Global is the independent Qualified Person for the February 2021 Mineral Resource Estimates. The Company QP under NI 43-101 is N. Eric Fier, CPG, P.Eng, Executive Chairman and VP Finance for Goldsource.