Junior gold producer Calibre Mining has furthered the potential of a mine-life extension at its gold producing Limon mine complex in Nicaragua with strong drill results from the Panteon North zone.
Calibre highlighted the following results from Panteon North:
- 17.80g/t Au over 7.3 metres estimated true width, including 6.69g/t Au over 1.9 metres, 26.37g/t Au over 2.8 metres and 16.84g/t over 3.2 metres
- 9.72g/t Au over 3.9 metres ETW, including 27.80g/t Au over 1.4 metres and 1.29g/t Au over 3.0 metres
- 8.84g/t Au over 1.1 metres ETW, including 1.96g/t Au over 1.0 metres and 20.30g/t over 0.6 metres
- 12.75g/t Au over 2.4 metres ETW, including 33.70g/t Au over 1.0 metres and 2.78g/t Au over 2.1 metres
- 9.38g/t Au over 2.7 metres, including 34.50g/t Au over 0.6 metres and 3.24g/t Au over 2.3 metres
"Panteon North is open along strike and down plunge to the northwest and, to date, we have intercepted high-grade results over approximately 500 metres," Calibre president and CEO Darren Hall said.
"Calibre will continue to advance our 85,000 metre discovery and expansion drilling programme at Panteon North and other targets across our portfolio of assets with the focus on growing resources and extending mine life," he added.
Canaccord Genuity Capital Markets analyst Michael Fairbairn said the results from Panteon help to affirm the possibility of extending and growing the company's production profile.
"Since acquiring its Nicaraguan assets from B2Gold in 2019, Calibre has successfully invested into the drill bit, growing both reserves and resources net of depletion," he said.
"El Limon in particular has seen substantial growth in its reserves and resources dating back to 2010, with nearly ~150% growth in the global gold resource and ~90% growth in reserves," he said.
Limon has 529,000 ounces Au of probable mineral reserves, 1.175 million oz Au of indicated mineral resources, and 177,000oz Au of inferred mineral resources.
"Overall, we remain impressed by CXB's drill results in Nicaragua, and we expect the company to continue to deliver on ‘putting more track in front of the train' through its expansion of reserves/ resources, net of depletion," Fairbairn said.
In Q1, the Limon mill processed 123,594 tonnes at an average grade of 5.20g/t with resulting gold production of 18,192oz.
Calibre's share price was quoted as C$1.07 (US$0.83) on May 16, giving the company a market capitalization of C$475.43 million.
