KORE tables new estimate for California gold project
KORE Mining Ltd. [KORE-TSXV] has released a new National Instrument 43-101-compliant resource estimate for the company’s 100%-owned Imperial oxide gold project in California.
The company said the resource estimate is similar to the previously disclosed historic 2012 resource estimate in category, tonnes and grade. It said the resource estimate sets out an indicated resource of 877,000 ounces and an inferred resource of 1.33 million ounces from 45.7 million tonnes of 0.59 g/t gold and 90.9 million tonnes of 0.46 g/t gold, respectively.
The estimate takes into account 349 boreholes drilled by various operators during the period from 1987 to 1996.
The Imperial deposit is a near-surface, fully oxidized gold deposit. It is open for extensions on strike, at depth and downdip. KORE is currently conducting geophysics and other fieldwork to further define upside potential. Results are expected in early 2020, the company said in a press release.
KORE controls the 28-kilometre exploration trend, including 1,005 claims staked in September, 2019, between the nearby Mesquite mine (operated by Equinox Gold Corp. [EQX-TSXV, EQXGF-OTC] and Picacho mine (mined out by Glamis Gold Ltd. in 2002) that runs through Imperial.
This trend remains underexplored and open to new oxide discoveries, the company said, adding that the continuing geophysics and other fieldwork will be extended to the highest-priority portion of the exploration trend. Results are expected in early 2020.
KORE is 100% owner of a portfolio of gold exploration assets in California and British Columbia. The company is supported by strategic investors Eric Sprott and Macquarie Bank who, together with management and board, own 66% of the basic shares outstanding.
The company owns the Imperial and Long Valley gold development projects in California and the FG Gold and Gold Creek exploration projects in the Cariboo region of British Columbia.
On Tuesday, Kore shares were unchanged at 29 cents and trade in a 52-week range of $0.08 and 41 cents.
The Imperial project is a large, near surface, low-grade, oxide heap leach (four pits: West, East, and Singer (2) pits) with low water, air, environmental and biological impact. The company expects to promptly advance the Imperial project through permitting and towards production.
In a November 27, 2019, press release, KORE said Newmont Goldcorp. Corp. [NGT-TSX, NEM-NYSE] has agreed to accept common shares of KORE in settlement for a future US$1 million payment due to Newmont Goldcorp upon the announcement of an economic assessment of the Imperial gold project.
The agreement is an amendment to the March, 2017, Imperial purchase agreement with Goldcorp USA Inc., a wholly-owned subsidiary of Newmont Goldcorp.
“The agreement provides KORE with significantly more flexibility going into 2020,” said KORE CEO Scott Trebilcock. “KROE is now free to complete a preliminary economic assessment of the Imperial gold project,” he said. “Engineering at Imperial is ramping up quickly with KORE’s new COO Marc Leduc on the team, and we look forward to the restart of permitting in 2020.”