LATIN AMERICA: Guyana, Suriname, French Guiana

Core from G2 Goldfields Oko-Aremu Project in Guyana. Source: G2 Goldfields Inc.

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Resource World continues its project profiles of exploration and mining companies in South America.

GUYANA

Guyana has a long history of gold production. The country currently produces over 600,000 ounces of gold annually. All gold production occurs within the Guiana Shield which is the geological continuity of West Africa. In comparison to West Africa, the Guiana Shield is under-explored.

Guyana Goldfields Inc. [GUY-TSX] and Silvercorp Metals Inc. [SVM-TSX, NYSE American] have entered into an amending agreement to the arrangement agreement entered into previously and announced April 27, 2020, under which Silvercorp agreed to acquire all of the issued and outstanding shares of Guyana Goldfields by way of a court-approved plan of arrangement.

The primary operation of Guyana Goldfields is the 100%-owned Aurora Gold Mine in northwest Guyana which reached commercial production January 2016. Total Proven and Probable Mineral Resources stand at 25,852,000 tonnes grading 2.70 g/t gold, for 2,240,000 ounces.

Production was 28,300 ounces of gold in the fourth quarter of 2019 and 124,200 ounces in full-year 2019.

Guyana Goldfields is also evaluating the Sulphur Rose deposit located approximately 23 km from the Aurora Mine. Discovered in late 2010, the deposit has a total resource of 566,830 ounces (277,580 oz Indicated and 289,250 oz Inferred).

Guyana Goldstrike Inc. [GYA-TSXV; GYNAF-OTC] is exploring and developing the advanced-stage Marudi Gold Project in Guyana. Marudi hosts a January 2018 mineral resource estimate of 259,100 ounces grading 1.8 g/t gold Indicated and 86,200 ounces of 1.6 g/t gold Inferred.

The property remains 85% unexplored. The company has a mining license.

Gold X Mining Corp. [GLDX-TSXV], formerly Sandspring Resources Ltd., reports that following management changes and acquisition of 100% of its flagship Toroparu asset, the company is focused on bringing the project to a production decision. The Toroparu Project is at an advanced stage with a 7.35 million-ounces Measured and Indicated Resource based on 675 diamond drill holes totaling 202,250 metres with several feasibility level engineering studies completed. To date, the company has invested more than US$150 million to discover, develop and classify its gold resources and complete engineering studies required to develop an open pit mining operation producing gold doré and gold-bearing copper concentrates.

Gran Colombia Gold Corp. [GCM-TSX; TPRFF-OTCFF-OTCQX] has signed a definitive agreement to merge with Gold X Mining Corp. In late trading on May 22, shares of Gold X Mining gained $0.09 to $2.73 on a volume of 109,700 shares traded.

Goldsource Mines Inc. [GXS-TSXV GXSFF-OTCQB; G5M-FSE] has released additional drill results from the Friendly prospect located immediately north of the 100%-owned Eagle Mountain gold project 230 km southwest of Georgetown, central Guyana. Results represent 10 core holes over 2,065 metres. Combined with previous drilling by Goldsource and historic drilling totalling 17 core holes (1,670 metres) at the Friendy prospect, this suggests potential for an initial strike of 250 metres long by 500 metres wide which includes numerous near-vertical, closely-spaced, and parallel gold mineralized structures. The prospect remains open along strike, to depth, and appears be connected to the Bottle Bank area, located 500 metres to the south, which is part of Eagle Mountain.

The most significant results for this release are holes EME19-023 which intersected 27.0 metres grading 1.72 g/t gold and EME19-025 which intersected 73.5 metres grading 0.50 g/t gold.

Goldsource is focused on expanding gold resources and delivering subsequent studies for decision-making on a large-scale gold production at Eagle Mountain.

G2 Goldfields Inc. [GTWO-TSXV] has provided assays from high-grade drill intercepts at the Oko-Aremu Project, Guyana.

The property hosts multiple zones of mineralization; however, drilling to date has focused exclusively on the Oko deformation zone (ODZ). To date, 44 drill holes have outlined gold mineralization in excess of 1 km.

Holes OKD-30, 31 and 33 were drilled to further explore gold mineralization encountered in recently reported OKD-27 (1 metre at 8 g/t gold and 4 metres at 19.5 g/t gold). Visible gold (VG) was logged in all three holes and the results are highlighted below (true widths of mineralization are estimated between 85% and 58% of reported width).

Hole OKD-30

• 3.1 g/t gold over 2.0 metres (52 to 54);
• 14.9 g/t gold over 1.8 metres (97.9 to 99.7) VG;
• 10.8 g/t gold over 4.0 metres (188 to 192).

Hole OKD-31

• 12.7 g/t gold over 1.4 metres (132.8 to 134.2) VG;
• 3.0 g/t gold over 1.7 metres (207.1 to 208.8) VG.

Hole OKD- 33

• 10.5 g/t gold over 2.0 metres (180.8 to 182.8) VG;
• 10.8 g/t gold over 0.8 metre (185 to 185.8) VG.
Additionally, hole OKD-32 explored approximately 140 metres south of hole OKD-5 (8.2 metres at 9.1 g/t gold) and hole OKD-24 (2.4 metres at 116 g/t gold).

Hole OKD-32

• 20.1 g/t gold over 1.0 metre (81.5 to 82.5) VG;
• 1.7 g/t gold over 2.0 metres (91 to 93).

Dan Noone, CEO, stated: “I am very pleased to see that step out holes OKD to 30, 31 and 33 fill out the 250-metre zone between shafts 2 and 3 on the Oko trend and highlight the continuous, linear nature of vein corridors 1 and 2.  Hole OKD to 32 which was collared to the west of vein corridor 1, and 140 metres south of OKD to 24 (2.4 metres at 116.6 g/t gold) suggests that high-grade mineralization encountered in vein corridor 2 continues to the south.”

A second rig has been mobilized. This added drilling capacity will enable G2 to greatly expedite its exploration program.

The company owns a 100% interest in two past gold producing mines, as well as a regional portfolio of highly prospective projects.

SURINAME

Newmont Corp. [NGT-TSX] owns and operates the Merian gold mine is located approximately 60 km south of Moengo, Suriname. Newmont Suriname (previously known as Suriname Gold Company) is a fully-owned subsidiary of Newmont that is operated on behalf of Suriname Gold Project CV, a Suriname limited partnership. Construction of Merian began in August 2014 and commercial production was achieved on October 1, 2016, on schedule and US$150 million under budget.

IAMGOLD Corp. [IMG-TSX; IAG-NYSE] has a 95% interest in the Rosebel gold mine (Suriname government 5%) located in the mineral-rich Brokopondo district of northeastern Suriname. Suriname is a former Dutch colony bordering the Atlantic Ocean between French Guiana and Guyana. The road-accessible 170 km2 Rosebel property lies approximately 85 km south of the capital city of Paramaribo.

For Q1 2020, the Rosebel Mine produced 64,000 ounces of gold at an All-in sustaining cost (AISC) of $1,248/oz. As of December 31, 2018, Measured Resources were 35,645,000 tonnes averaging 0.6 g/t gold, for 7,683,000 ounces of gold with Inferred Resources at 64,770,000 tonnes of 0.9 g/t gold, for 1,793,000 ounces.

The company is also working on the 66.5%-owned development-stage Saramacca property located 30 km southwest of the Rosebel mill.

FRENCH GUIANA

Columbus Gold Corp. [CGT-TSX; CGTFF-OTCQX] reports that despite the current situation stemming from the COVID-19 pandemic, the company has been able to adjust and keep moving forward with its objectives for 2020.

Field work in French Guiana was suspended on March 17 and resumed on May 11. At the 44.99%-owned development-stage Montagne d’Or Gold Project 180 km west of the capital of Cayenne, northwest French Guiana, the bulk of the engineering studies for committed project improvements and modifications for mine permitting progressed remotely and are expected to be completed as scheduled by mid-year.

Montagne d’Or has NI 43-101 Proven and Probable Reserves of 2.75 million ounces gold (54.11 million tonnes of 1.58 g/t gold). A March 20, 2017 Bankable Feasibility Study demonstrate an open pit mining operation with average annual gold production of 237,000 ounces over the first 10 years of mine life averaging of 1.73 g/t gold that results in an average AISC of US$749/oz. There is considerable expansion potential on strike and at depth.

In July 2018, Columbus entered into an agreement with IAMGOLD to acquire up to a 70% interest in the Maripa Gold Project located in eastern French Guiana along a paved national road, about 60 km south of Cayenne. Prospecting in the northern half of the exploration-stage Maripa Gold Project continued during the first quarter. Resampling of an old trench returned a cut averaging 2.57 g/t gold over 25 metres. A new quartz-gold vein system exposed by artisanal mine workings was identified approximately 500 metres west of the Filon Dron gold zone. A best assay of 38.87 g/t gold was obtained from samples of the quartz vein material.

Line-cutting for ground geophysical surveying is in progress at Maripa in preparation for a diamond drilling program scheduled for the third quarter.

The priority for 2020 remains the acquisition of an additional advanced-stage gold project in South America. Several opportunities have been identified and are under evaluation.

Reunion Gold Corp. [RGD-TSXV; RGDFF-OTC], following the reporting of high-grade gold intersections at the Crique Filon discovery (within the 100%-optioned Boulanger Project) in 2019, the company has since carried out extensive outcrop sampling, mapping and geological interpretive analysis of this discovery and surrounding areas.

Based on this work, Reunion Gold has developed a new geological model for the Crique Filon discovery, which is similar in style to the orogenic gold systems found in the Abitibi belt, Canada.

Reunion has other projects in French Guiana, including the Haute Mana gold project and the Dorlin gold project, both 80%-optioned, as well as the 100%-optioned CMB properties in north-central French Guiana. The company also has the 100%-optioned Wairamu gold project in Guyana.

Reunion has a strategic alliance agreement with Barrick Gold Corp. [ABX-TSX; GOLD-NYSE] to explore Guyana, Suriname, French Guiana and northeast Brazil.


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