Central Iron drills 49.30 g/t gold over 6 metres at South Darlot, Australia

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Central Iron Ore Ltd. [CIO-TSXV] reported results from the December 2022, reverse circulation drilling program at its Endeavour prospect at the South Darlot gold project, Western Australia.

Mermaid highlights: 22ENRC014 returned 5 metres of 11.93 g/t gold from 66 metres, including 1 metre of 38.8 g/t gold. 22ENRC015 returned 1 metre of 12.00 g/t gold from 74 metres.

22ENRC017 returned 6 metres of 49.30 g/t gold from 42 metres, including 2 metres of 116 g/t gold. 22ENRC018 returned 3 metres of 4.20 g/t gold from 13 metres.

Endeavour RC Drilling: CIO completed an 18-hole RC drilling program for 1,060 metres at the Endeavour prospect from November 24 to the December 2, 2022 on mining licence M 37/631. The program was designed to test for mineralized extensions down dip and to the immediate west of the Endeavour deposit, with a further two holes drilled within the known resource to obtain samples for metallurgical test work.

Gold mineralization at Endeavour is associated within a 1 to 2-metre wide laminated quartz vein, the Endeavour Vein, which contains minor accessory sulphides including pyrite and traces of galena, sphalerite and chalcopyrite. The vein is hosted within an intermediate volcanic sequence. A super-high-grade domain exists at vertical depths of between 20 to 45 metres. At this depth there is a sharp, 5 to 10-fold increase in gold metal coinciding with the transition from complete to partial oxidation of the host rock. In this domain, iron oxides and traces of chalcocite and covellite also exist.

The results of the drilling program at Endeavour have been largely positive; however, the drilling has definitively closed-off mineralization to the west. The drilling established further down plunge extensions of the Endeavour quartz vein with 22ENRC015 intersecting 1 metre at 12 g/t gold from 74 metres down hole and 5 metres at 11.93 g/t gold in 22ENRC014 from 66 metres down hole. The other two holes (22ENRC017 and 018) were primarily drilled to collect RC chips (oxide and transitional) for metallurgical test work in preparation for mining.

CIO has commissioned a suite of studies required to meet Western Australia Department of Mining Industry Regulation and Safety (DMIRS) requirements to commence open pit mining at Endeavour. These studies include waste rock characterization, a hydrogeological and a metallurgical program. Two PQ diamond core holes have been designed and will be drilled to enable collection of approximately 60 Kg of core for comminution test work. These holes will be drilled in February 2023.

The company’s South Darlot Gold Project area is located approximately 320 km northwest of Kalgoorlie in Western Australia and includes the British King Mine that has now reverted to 100% beneficial ownership by the company which is NI 43-101 compliant. The British King Mine is 5km southwest of Red 5 Limited’s Darlot Mine. The British King Mine is currently in care and maintenance. CIO is registered on title for 49% and has received signed transfer forms from BK Gold Mines Pty Limited to Central Iron Ore Limited for the transfer of a further 51% interest as agreed.

The registration of unencumbered title of that 51% interest is being delayed by Silverstream SE22, who provided funding to BK Gold Mines Pty Limited to fund their acquisition under the Tenement Acquisition Agreement. Silverstream SE22 has refused to remove the caveats which prevents registration of the transfers. CIO has commenced action in the Supreme Court of Western Australia to have the caveats removed.

A number of tenements which are subject to a joint venture with subsidiaries of Red 5 Limited, details of which are set out below, in which CIO has earned a 70% interest.

The tenements (Red 5 JV Tenements) are the subject of a joint venture between a fully owned subsidiary of the company and subsidiaries of Red 5 Limited [RED-ASX] and are situated southwest of Red 5’s Darlot gold mine and are contiguous with CIO’s current holdings in the area.

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