Continental Gold, Inc. is an advanced-stage exploration and development enterprise with its corporate headquarters in Toronto, Ontario. The Company also has a Colombia office. Continental Gold’s emphasis is on high-grade precious metals in Colombia. It has its 100 percent-owned flagship high-grade Buriticá project in the Antioquia Department in northwestern Colombia. In addition, Continental Gold has its 100 percent-owned Berlin Gold Project in the Antioquia Department, 90 kilometres north of Medellín.
The Buriticá Project
The Buriticá Project covers an aggregate area of 69,983 hectares. The Project area consists of 24 concessions encompassing 29,812 hectares and 40 concession applications totalling 40,171 hectares. An independent Feasibility Study indicates that the Buriticá project will be host to an economically strong, high-grade underground gold mine.
This Feasibility Study is set out in the technical report entitled “Buriticá Project NI 43-101 Technical Report Feasibility Study Antioquia, Colombia” dated March 29, 2016 with an effective date of February 24, 2016. Feasibility Study highlights for the Project include a maiden mineral reserve for the combined Yaraguá and Veta Sur vein systems totaling 3.7 million ounces of gold and 10.7 million ounces of silver (13.7 million tonnes grading 8.4 g/t gold and 24.3 g/t silver).
Highlights also include gold and silver recoveries of 94.1 percent and 59.9 percent, respectively, over the Life of the Mine (LOM). In addition, highlights include a 14-year mine life, which will produce 3,492,000 ounces of recovered gold and 6,425,000 ounces of recovered silver.
Continental Gold is concentrating on advancing its high-grade Buriticá Gold Project to production. This month, the Company announced approval of the Mining Technical Work Plan (Programa de Trabajo y Obras or PTO) for its Buriticá Project. The Secretary of Mines of Antioquia issued Resolution No. S2016060095092, formally approving the PTO application submitted in May 2016 to amend the existing PTO to encompass the expansion of the Buriticá Project outlined in Continental Gold’s Feasibility Study dated March 29, 2016.
Berlin Gold Project
The Company’s Berlin Gold Project is a 38,103-hectare project. The original Berlin Mine was operated from 1930-1946 by Canadian company Timmins Ochali, according to the Engineering and Mining Journal (Vol. 143, No. 4, 1942). It produced 413,000 ounces of gold from several quartz veins and quartz lenses, up to 20 metre thickness, with a LOM production grade of 16 g/t Au.
The Berlin Gold Project has a large-scale mesothermal gold vein system. There are 11 kilometres of mineralized strike to test, 1,500 vertical metres. The Berlin Project displays high potential for the discovery of multiple mineralized quartz veins and lodes, alike to the original Berlin deposit, along the entire strike length of the Romeral and Troncal trends within the Continental Gold tenure package. Concerning its history, Berlin has historical Au recoveries of 94 percent.
Regarding the Company’s two Colombian projects, the Colombian government receives a royalty of 3.2 percent. Colombia was formerly the largest gold producer in South America. The nation has produced greater than 80 million ounces of gold. Mining is a major sector in the Colombia economy. Moreover, mining is one of the nation’s largest export sectors.