Table 1 – Oko West Summary of Mineral Resource Estimate
Category | Updated MRE Tonnage (kt) | Updated MRE Au grade (g/t) | Updated MRE Contained Gold (koz) | June’23 MRE Contained Gold (koz) | June’23 MRE (g/t) |
Open Pit Constrained Resource | |||||
Indicated | 64,115 | 2.06 | 4,237 | 2,475 | 1.84 |
Inferred | 8,107 | 1.87 | 488 | 1,762 | 2.02 |
Underground Constrained Resource | |||||
Indicated | 485 | 1.87 | 29 | N/A | N/A |
Inferred | 11,108 | 3.12 | 1,116 | N/A | N/A |
Indicated | 64,600 | 2.05 | 4,266 | 2,475 | 1.84 |
Inferred | 19,215 | 2.59 | 1,603 | 1,762 | 2.02 |
Note: See notes to Table 1 under each of Table 2 and Table 3 for Underground and Open Pit MRE, respectively.
Highlights from the updated MRE include:
- Total contained gold in open pit and underground Indicated Resources increased by 72.4 % relative to the
June 2023 MRE. - Contained gold in the Indicated category of the open pit increased by 71.2 % to 4.2 M ounces, while the grade increased by 11.7 % to 2.06 g/t Au.
- Gold grades contained in the total open pit and underground Indicated Resources increased by 11.6 % to 2.05 g/t Au, while the grade of the total Inferred ounces increased by 28.5 % to 2.59 g/t Au.
- A significant initial underground Resource of 1.1 M ounces of gold in the Inferred category grading 3.12 g/t Au.
- The mineralization remains open at depth below the limits of the defined Resources in Block 4 at over 1,000 meters depth.
- This updated MRE, including both the open pit and underground Resources will be used in the Preliminary Economic Assessment (“PEA”), expected to be released before the end of Q2 2024.
The total combined open pit and underground Resource reported in this MRE includes 4.3 million ounces (M oz) of gold (Au) in Indicated Resources contained within 64.6 million tonnes (Mt) grading 2.05 grams per tonne (g/t) Au, with an additional 1.6 M oz of gold in Inferred Resources, contained within 19.2 Mt grading 2.59 g/t Au. The MRE was prepared by
Initial Underground Resource
This MRE update includes an initial constrained underground Resource for Oko West of 1.1 M ounces of gold in the Inferred Resource category, contained within 11.1 Mt at a grade of 3.12 g/t Au and an additional 29,000 ounces of gold in the Indicated category. The underground Resource was calculated using a cut-off grade of 1.38 g/t Au undiluted and is contained in five zones as shown in Table 2 and Figures 2, 3 and 4 (long section and cross section showing the underground Resource areas). The bulk of the ounces are located in the Central underground zone, which represents the extension of the high-grade zone in Block 4 at depth, below the limits of the open pit MRE. The underground Resources are estimated from zones outside the constrained Resources of the open pit. Both the Central zone and the South zone mineralization remains open to expansion at depth. A drill program is currently underway to convert gold ounces contained within the Inferred category of the underground MRE to the Indicated category.
Table 2 – Oko West Underground MRE summary
Category | Zone | Tonnage (kt) | Au grade (g/t) | Contained Gold (koz) |
Indicated | Central | 0 | 0 | |
South Central | 330 | 1.98 | 21 | |
North Central | 19 | 2.17 | 1 | |
South | 3 | 1.39 | 0 | |
North | 134 | 1.57 | 7 | |
Total | 485 | 1.87 | 29 | |
Inferred | Central | 8,122 | 3.40 | 887 |
South Central | 969 | 2.58 | 80 | |
North Central | 1,321 | 2.50 | 106 | |
South | 696 | 1.86 | 42 | |
North | 0 | 1.79 | 0 | |
Total | 11,108 | 3.12 | 1,116 |
Notes:
The Mineral Resources described above have been prepared in accordance with the CIM Standards (Canadian Institute of Mining , Metallurgy and Petroleum, 2014) and follow Best Practices outlined by the CIM (2019).- The Qualified Person (QP) for this Mineral Resource Estimate (MRE) is
Pascal Delisle ,P.Geo . ofG Mining Services Inc. - The effective date of the Mineral Resource Estimate is
February 7, 2024 . - The cut-off grade used to report underground Mineral Resources is 1.38 g/t Au and a processing recovery of 92.5%.
- The Oko West Deposit has been classified as Indicated and Inferred Mineral Resources according to drill spacing. No Measured Mineral Resource has been estimated.
- The density has been applied based on measurements taken on drill core and assigned in the block model by weathering type and lithology.
- A minimum thickness of 3 meters and minimum grade of 0.30 g/t Au was used to guide the interpretation of the mineralized zones.
- This MRE is based on a subblock model with a main block size of 5 m x 5 m x 5 m, with subblocks of 2.5 m x 2.5 m x 2.5 m, and has been reported inside an optimized pit shell. Gold grades in fresh rock, transition and saprolite were interpolated with 1 m composites using Inverse Distance for domains AU_2A, AU_2B and AU_5, and Ordinary Kriging for all other domains. Capping was applied on eight domains, ranging from 5 g/t Au to 80 g/t.
- UG optimization parameters and cut-off grades assumptions are as follows:
- Gold price of
US$1,950 /oz - Total ore-based costs of
US$73.26 /t for fresh rock - The Deswik.SO (DSO) was used to constrain the Resources
- Royalty rate of 8%
- Gold price of
- Tonnage has been expressed in the metric system, and gold metal content has been expressed in troy ounces.
The tonnages have been rounded to the nearest 1,000 tons, and the metal content has been rounded to the nearest 1,000 ounces. Totals may not add up due to rounding errors. - These Mineral Resources assume no mining dilution and losses.
- These Mineral Resources are not mineral reserves as they have not demonstrated economic viability. The quantity and grade of reported Inferred Mineral Resources in this news release are uncertain in nature and there has been insufficient exploration to define these resources as indicated or measured; however, it is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.
Open Pit Constrained Resource
The updated open pit constrained MRE by weathering category is shown in Table 3 and is also illustrated in Figures 2, 3 and 4. The open pit Resource was calculated to a depth of approximately 640 m (about 55 m below the pit bottom used in the previous resource calculation – Initial MRE,
Over 500,000 ounces of the Indicated open pit Resource is contained in the saprolite and transitional material. This material will provide “free digging” and relatively soft feed that can be sent to the mill early in the mine life, providing potential for higher levels of gold output with commensurately lower costs, and providing the potential for a rapid payback period.
Table 3 – Oko West Open Pit Constrained MRE summary by weathering profile
Category | Weathering Profile | Tonnage (kt) | Au grade (g/t) | Contained Gold (koz) |
Indicated | Alluvium/Colluvium | 0 | — | 0 |
Saprolite | 5,714 | 1.86 | 342 | |
Trans | 2,859 | 1.85 | 170 | |
Fresh Rock | 55,542 | 2.09 | 3,726 | |
Total | 64,115 | 2.06 | 4,237 | |
Inferred | Alluvium/Colluvium | 627 | 1.52 | 31 |
Saprolite | 214 | 0.75 | 5 | |
Trans | 47 | 0.83 | 1 | |
Fresh Rock | 7,219 | 1.94 | 451 | |
Total | 8,107 | 1.87 | 488 |
Notes:
The Mineral Resources described above have been prepared in accordance with the CIM Standards (Canadian Institute of Mining , Metallurgy and Petroleum, 2014) and follow Best Practices outlined by the CIM (2019).- The Qualified Person (QP) for this Mineral Resource Estimate (MRE) is
Pascal Delisle ,P.Geo . ofG Mining Services Inc. - The effective date of the Mineral Resource Estimate is
February 7, 2024 . - The lower cut-offs used to report open pit Mineral Resources is 0.30 g/t Au in saprolite and alluvium/colluvium, 0.313 g/t Au in transition, and 0.37 g/t Au in fresh rock.
- The Oko West Deposit has been classified as Indicated and Inferred Mineral Resources according to drill spacing. No Measured Mineral Resource has been estimated.
- The density has been applied based on measurements taken on drill core and assigned in the block model by weathering type and lithology.
- A minimum thickness of 3 meters and minimum grade of 0.30 g/t Au was used to guide the interpretation of the mineralized zones.
- This MRE is based on a subblock model with a main block size of 5 m x 5 m x 5 m, with subblocks of 2.5 m x 0.5 m x 2.5 m, and has been reported inside an optimized pit shell. Gold grades in fresh rock, transition and saprolite were interpolated with 1 m composites using Inverse Distance for domains AU_2A, AU_2B and AU_5, and Ordinary Kriging for all other domains. Capping was applied on eight domains, ranging from 5 g/t Au to 80 g/t.
- Open pit optimization parameters and cut-off grades assumptions are as follows:
- Gold price of
US$1,950 /oz. - Total ore-based costs of
US$14.51 /t for saprolite and alluvium/colluvium, with a 96% processing recoveryUS$17.16 /t for transition with a 95% processing recovery andUS$19.80 /t for fresh rock based on 92.5% processing recovery. - Inter-ramp angles of 30° in saprolite and alluvium/colluvium, 40° in transition and 50° in fresh rock.
- Royalty rate of 8%.
- Tonnage has been expressed in the metric system, and gold metal content has been expressed in troy ounces.
The tonnages have been rounded to the nearest 1,000 tons, and the metal content has been rounded to the nearest 1,000 ounces. Totals may not add up due to rounding errors. - These Mineral Resources assume no mining dilution and losses.
- These Mineral Resources are not Mineral Reserves as they have not demonstrated economic viability. The quantity and grade of reported Inferred Mineral Resources in this news release are uncertain in nature and there has been insufficient exploration to define these resources as indicated or measured; however, it is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.
Table 4 – Cut-off grade sensitivity for Open Pit Constrained MRE
Cut-off Grade (g/t) | Indicated | Inferred | ||||
Tonnage (kt) | Grade (g/t) | Gold Content (koz) | Tonnage (kt) | Grade (g/t) | Gold Content (koz) | |
0.10 | 66,311 | 2.00 | 4,257 | 9,379 | 1.64 | 496 |
0.20 | 65,990 | 2.01 | 4,255 | 9,092 | 1.69 | 495 |
0.30 | 65,022 | 2.03 | 4,247 | 8,410 | 1.82 | 491 |
COG* | 64,115 | 2.06 | 4,237 | 8,107 | 1.87 | 488 |
0.40 | 63,291 | 2.08 | 4,227 | 7,875 | 1.91 | 485 |
0.50 | 60,832 | 2.14 | 4,191 | 7,392 | 2.01 | 478 |
0.60 | 57,872 | 2.22 | 4,139 | 6,941 | 2.11 | 470 |
1.00 | 44,108 | 2.67 | 3,784 | 6,546 | 2.19 | 462 |
*Cutoff grades used in this table: 0.30 g/t Au in colluvium/alluvium and saprolite, 0.31 g/t Au in transition and 0.37 g/t Au in fresh rock with no mining dilution or losses. **The tonnages and grade at differing cut-offs shown above are for comparison only, and do not constitute an official Mineral Resource. |
Additional information about the Updated MRE
Figure 1 shows gold ounces per vertical meter and average grade per 30-meter depth slices of the mineral resource. It shows that the vast majority of ounces in the open pit are in the Indicated category. In addition, at the pit floor, when underground stopes begin, there is a significant increase in grade associated with the mining method.
A total of 565 drill holes totalling 144,134.6 meters were included in the calculation of this MRE, comprised of 125,705.6 meters in 393 diamond drill holes and 18,429 meters in 172 reverse circulation (RC) drill holes. A total of 57 trenches totalling 6,538.5 meters were also included in the calculation. The updated Resource is based on approximately 60,700 meters of additional drilling from 134 diamond drill holes and 10 RC holes completed on Blocks 1 through 6.
As stated in the MRE summary notes under Table 2 & 3, the key economic parameters used to determine the MRE include a gold price of
Figure 1 - Chart of gold ounces per vertical meter throughout the constrained resources, overlain by average grade (calculated from 30m depth slices through out the MRE, split by resource category).
LINK TO FIGURE 1: https://www.reuniongold.com/240226-pr?lightbox=dataItem-kp87fv04
Exploration and Drilling Programs
Drilling at the project is continuing with five diamond drill rigs focused on resource conversion and exploration in and around Blocks 1 - 6, as well as one diamond drill rig and two RC rigs that continue exploration drilling south of the MRE and in other areas of the project. The drill programs on Blocks 1 through 6 are focused on 1) expansion of the MRE both to the south and at depth, and 2) upgrading the underground Inferred Resource to the Indicated category, whilst the exploration drilling is focused on the potential for satellite deposits at Oko West outside of the MRE. The above drill program is expected to be approximately 30,000 meters of diamond drilling, of which approximately 20,000 meters will be allocated to converting the underground Inferred Resources to Indicated. In addition, the Company has commenced a geotechnical drilling program in areas designated for possible tailings and waste rock storage facility locations.
Outside of the Oko West project, the Company intends to make use of its substantial knowledge, expertise and local connections within the mining and exploration community in the Guiana Shield to identify, acquire and explore new exploration projects, both around Oko West and elsewhere within
Data validation
The drilling database used to estimate the Mineral Resources reported in this press release was reviewed by
Technical Report and Qualified Persons
The Company intends to file a technical report to support the updated MRE on sedarplus.ca within 45 days of this news release in accordance with National Instrument 43-101 - Standards of Disclosure of Mineral Projects (“NI 43-101”).
About
Additional information about the Company is available on SEDAR (www.sedar.com) and the Company's website (www.reuniongold.com).
For further information, please contact:
E: doug_flegg@reuniongold.com
E: info@reuniongold.com
Telephone: +1 450.677.2585
Cautionary Disclaimer Regarding Forward-Looking Statements
This press release contains forward-looking statements and forward-looking information within the meaning of Canadian securities laws (collectively, “forward-looking statements”). Statements and information that are not historical facts are forward-looking statements. Forward-looking statements are frequently, but not always, identified by words such as “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “potential”, “possible” and similar expressions, or statements that events, conditions, or results “will”, “would”, “may”", “could” or “should” occur or be achieved. Forward-looking statements are subject to known and unknown risks, uncertainties and assumptions, many of which are beyond the Company's ability to control or predict, that may cause our actual results, performance or achievements, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.
Forward-looking statements in this press release include forward looking assumptions used relating to the mineral resources estimates; expectations to expand the resources at depth and elsewhere within the
The forward-looking information contained in this news release represents the expectations of the Company as of the date of this news release and, accordingly, is subject to change after such date. Readers should not place undue importance on forward-looking information and should not rely upon this information as of any other date. The Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.
Cautionary Note on Mineral Resources
This press release contains the terms “Inferred” and “Indicated” mineral resources. Investors are cautioned not to assume that any part or all of the Inferred and Indicated Mineral Resources reported in this press release are or will be economically or legally mineable. Investors are also cautioned not to assume that all or any part of mineral deposits in the Inferred and Indicated Resource categories will ever be converted into a higher category of Mineral Resources or into Mineral Reserves. Under Canadian rules, estimates of inferred Mineral Resources may not form the basis of feasibility studies.
Neither the
Figure 2 – Inclined long section showing the updated MRE and resource classification across the resource in relation to the open pit and underground constraints.
LINK TO FIGURE 2: https://www.reuniongold.com/240226-pr?lightbox=dataItem-kp8746in1
Figure 3 - Inclined long section showing the updated MRE in relation to open pit and underground constrained resources.
LINK TO FIGURE 3: https://www.reuniongold.com/240226-pr?lightbox=dataItem-lt20uxd5
Figure 4 - East-West Section along 701855mN (80m thickness, looking north) showing a slice through the open pit and underground constrained resources with continued mineralization down to depths of over 1,000m (1,100m downdip).
LINK TO FIGURE 4: https://www.reuniongold.com/240226-pr?lightbox=dataItem-lt20w7km
Source:
2024 GlobeNewswire, Inc., source