Antilles Gold Limited (ASX: AAU) has outlined its proposed exploration programme through to the end of 2023 for two highly prospective, and previously explored concessions in Cuba.
• The El Pilar concession covering a major copper-gold porphyry system, and an overlying high grade gold-copper oxide cap, near the city of Ciego de Vilar.
• The New Horizons concession covering an entire +40km long VMS style polymetallic mineral belt near the city of Santa Clara.
The El Pilar and New Horizons concessions which are both located in central Cuba, are included in an Exploration Agreement between Antilles Gold and the Cuban Government’s mining company, GeoMinera SA.
Another significant and highly prospective VMS polymetallic mineral belt in south east Cuba is expected to be added to the Agreement in the near future.
GeoMinera is also Antilles Gold’s partner in a joint venture which expects to commence construction in early 2023 of the La Demajagua gold-silver open pit mine on the Isle of Youth in south west Cuba to produce approximately 100,000 oz Au equivalent per year in concentrate for eight years, and be followed by underground operations for 10 years.
Under the Exploration Agreement, Antilles Gold may at its cost, conduct preliminary exploration and a Scoping Study of the development potential of previously explored mineral deposits selected by the Company after reviewing the large number of properties offered to it by GeoMinera.
Subject to encouraging results, individual deposits will be transferred to the existing joint venture company, or to a new joint venture, for development. The joint venture will reimburse Antilles Gold for the amount it spends reviewing each concession’s potential.
Based on modelling of historic drilling results from both the El Pilar gold-copper oxide deposit, and remnant ore at the Antonio copper-zinc mine in the New Horizons concession, the company is confident two low cap-ex mining operations will be established on these properties in quick succession after the La Demajagua mine, and be fully financed by La Demajagua’s surplus cash flow.
The high cost of drilling major projects in the future such as the El Pilar porphyry deposit could also be funded by cash flow from the La Demajagua mine.
Initial Explorational Programme of El Pilar Deposit Drilling
2,000m drilling of cored holes to a vertical depth of approximately 300m which will penetrate the 70m oxide cap and 230m into the underlying copper-gold porphyry deposit – to commence this week and continue for two months. Assay Results To commence October 2022.
Objective
To test if results from historic shallow drilling of the large El Pilar porphyry deposit are reliable, and to determine if copper grades are likely to be replicated at depth which will provide an indication of the deposit’s prospectivity.
In addition, the Initial Programme should indicate if the oxide gold-copper deposit will realise the quantity and grade of ore estimated in the deposit’s Exploration Target Range and increase confidence in its near term development potential. Ground Magnetic and IP Survey of El Pilar Porphyry System The survey of El Pilar, and the adjacent Gaspar and San Nicholas porphyry deposits within the El Pilar concession will commence January 2023 and continue for three months, and permit drill hole locations to be optimised for the Second Stage Exploration Programme.
Executive Chairman, Brian Johnson, said he was also looking forward to the receipt of assays from the preliminary drilling programme of the El Pilar porphyry deposit which should commence around the end of next month.
“The company’s highly experienced Exploration Director, Dr Christian Grainger, has advised that based on the surface expression of the deposit and previous aeromagnetic surveys, he considers the El Pilar porphyry deposit could typically extend to a depth greater than 1,000m.
“Copper grades from the near term drilling results should provide an indication of the deposit’s prospectivity.”
For further information please visit: https://antillesgold.net/
