ANACONDA MINING REPORTS FIRST QUARTER 2020 RESULTS; GENERATES $4.4 MILLION OF CASH FLOW FROM OPERATING ACTIVITIES TORONTO, ON / ACCESSWIRE / May 13, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX)(OTCQX:ANXGF) is pleased to report its financial and operating results for the three months ended March 31, 2020 ("Q1 2020"). The condensed interim consolidated financial statements and management discussion & analysis documents can be found at www.sedar.com and the Company's website, www.anacondamining.com. All dollar amounts are in Canadian dollars unless otherwise noted. First Quarter 2020 Highlights Anaconda sold 5,132 ounces of gold in Q1 2020 from production at the Point Rousse Complex, generating metal revenue of $10.5 million at an average sales price* of C$2,051 (US$1,526) per ounce of gold. Anaconda produced 4,997 ounces of gold in Q1 2020, a 20% increase compared to Q1 2019, due to higher mill throughput. Operating cash costs per ounce sold* at the Point Rousse Project in Q1 2020 were C$1,165 (US$867), compared to C$977 (US$735) in the three months ended March 31, 2019. All-in sustaining cash costs per ounce sold*, including corporate administration and sustaining capital expenditures, was C$1,546 (US$1,151) for Q1 2020. The Company invested $1.1 million in its growth projects during Q1 2020, including $0.4 million on the Goldboro Gold Project in Nova Scotia and $0.5 million on exploration programs at the Tilt Cove Project. The Point Rousse Complex generated EBITDA* of $4.5 million in Q1 2020, compared with $3.8 million for the respective 2019 period. Net income for the three months ended March 31, 2020 was $1.5 million, or $0.01 per share, compared to $1.2 million, or $0.01 per share, for the three months ended March 31, 2019. Subsequent to quarter-end, Anaconda completed the spin-out and a $2.0 million financing of its Narrow Vein Mining Project, which will advance the Project with no further financial commitment from the Company. As at March 31, 2020, the Company had a cash balance of $6.4 million, working capital* of $3.6 million, and additional available liquidity of $0.3 million from an undrawn revolving line of credit facility. *Refer to Non-IFRS Measures section below. A full reconciliation of Non-IFRS Measures can be found in the Management Discussion and Analysis for the three months ended March 31, 2020. COVID-19 Pandemic and Preparedness Update - As of today, Point Rousse continues to operate and to the Company's knowledge, no employees, contractors, or consultants directly involved with Anaconda, whether at corporate or at site, have been diagnosed with COVID-19. Strict health and safety protocols, including social distancing, remain in place and are continually reviewed based on recommendations from medical authorities. "Despite the advent of the COVID-19 pandemic in the first quarter of 2020, Anaconda has started the year strong, generating $4.4 million of cash flow from operations based on the sale of 5,132 ounces of gold at C$2,051 per ounce. The Point Rousse operation has continued to operate uninterrupted in a safe and responsible manner and remains on track to produce and sell between 18,000 and 19,000 ounces of gold in 2020, while taking advantage of record high Canadian gold prices. Anaconda's strong financial position, with $6.4 million in cash at the end of Q1 2020, ensures that we have robust financial flexibility in the near-term as we continue to generate cash from our Point Rousse operations while advancing the Goldboro Gold Project." ~Kevin Bullock, President and CEO, Anaconda Mining Inc. Temporary Relief under Ontario Instrument 51-504 - As a result of the COVID-19 pandemic and in accordance with Ontario Instrument 51-504 - Temporary Exemptions from Certain Requirements to File or Send Securityholder Materials of the Ontario Securities Commission, the Company will be delaying the public filing of its executive compensation disclosure until the filing of its management information circular in connection with its annual meeting of shareholders. The Company has decided to postpone such meeting to a later date in 2020 to enable greater participation of its shareholders and a better forum for communication. Consolidated Results Summary Financial Results Three months ended March 31, 2020 Three months ended March 31, 2019 Revenue ($) 10,535,021 8,776,703 Cost of operations, including depletion and depreciation ($) 6,901,599 6,454,694 Mine operating income ($) 3,633,422 2,322,009 Net income ($) 1,471,399 1,157,851 Net income per share ($/share) - basic and diluted 0.01 0.01 Cash generated from operating activities ($) 4,380,125 4,135,073 Capital investment in property, mill and equipment ($) 659,342 284,202 Capital investment in exploration and evaluation assets ($) 1,096,630 4,357,390 Average realized gold price per ounce* US$1,526 US$1,257 Operating cash costs per ounce sold* US$867 US$735 All-in sustaining cash costs per ounce sold* US$1,151 US$986 March 31, 2020 December 31, 2019 Total assets ($) 65,768,601 57,942,367 Non-current liabilities ($) 6,669,747 5,290,646 *Refer to Non-IFRS Measures section below. Operational Results Three months ended March 31, 2020 Three months ended March 31, 2019 Ore mined (t) 103,222 77,367 Waste mined (t) 561,763 279,412 Strip ratio 5.4 3.6 Ore milled (t) 113,136 79,758 Grade (g/t Au) 1.57 1.92 Recovery (%) 87.4 84.8 Gold ounces produced 4,997 4,176 Gold ounces sold 5,132 5,251 First Quarter 2020 Review Operational Overview Anaconda produced 4,997 ounces of gold in the first quarter of 2020, a 20% increase over Q1 2019, predominantly due to higher throughput as a result of better mill availability. Low mill availability in Q1 2019 was due to planned maintenance on the main ball mill and unplanned maintenance on the regrind mill, which also impacted the average recovery rate. The Company remains on track to meet guidance and produce and sell between 18,000 and 19,000 ounces of gold from continued mining at the Pine Cove Pit. The Pine Cove Mill processed 103,222 tonnes during Q1 2020 at an average grade of 1.57 g/t. The 42% increase in throughput compared to Q1 2019 is the result of reduced mill availability in Q1 2019. The average grade was 18% lower than the first quarter of 2019, when mining was focused at the higher-grade Stog'er Tight Mine (but an increase of 27% over Q4 2019). The mill achieved an average recovery rate of 87.4%, an increase from 84.8% achieved in the corresponding quarter of 2019 despite the lower grade profile in Q1 2020. During the first quarter of 2020, the mine operations produced 113,136 tonnes of ore from the Pine Cove Pit, which is expected to be the primary source for ore in 2020. Ore mined during Q1 2020 was up significantly compared to the first quarter of 2019, which reflects the higher mining rate at the Pine Cove Pit compared to the lower tonnage profile of mining at Stog'er Tight. From a production perspective, the higher tonnes mined from Pine Cove has offset the higher relative grade profile of Stog'er Tight, as demonstrated by the 20% increase in gold ounces produced in Q1 2020. The strip ratio in Q1 2020 was 5.4 waste tonnes to ore tonnes, an increase compared to Q4 2019 as higher waste development was required to access ore zones for the second quarter. The strip ratio is expected to decrease throughout 2020. The strip ratio is higher compared to Q1 2019 when planned pushbacks to the Pine Cove Pit were delayed to the second quarter of 2019. Financial Results Anaconda sold 5,132 ounces of gold during the first quarter of 2020, generating gold revenue of $10.5 million at an average realized gold price of C$2,051 per ounce (US$1,526). Operating expenses for the three months ended March 31, 2020 were $5,939,601, compared to $4,886,614 in the three months ended March 31, 2019. Operating expenses for Q1 2020 included mining costs of $2,472,545 and were 20% higher than the comparative period primarily due to the 86% increase in material mined and the higher strip ratio at Pine Cove compared to Stog'er Tight in Q1 2019. Processing costs of $2,465,836 in Q1 2020 were also higher than the comparative period due to the 42% increase in ore tonnes milled during the period. Operating cash costs per ounce sold in the first three months of fiscal 2020 were C$1,165 (US$867); the Company remains on track to meet its annual operating cash cost guidance of C$1,050-C$1,100 (US$775 - US$825), with operating cash costs per ounce expected to be higher in the first half of the year. The royalty expense for Q1 2020 was $49,145 compared to $248,295 in Q1 2019, as production in the prior year was predominantly from Stog'er Tight, which carries a 3% net smelter royalty. The royalty expense in Q1 2020 related to the processing of residual Stog'er Tight stockpiles. Depletion and depreciation for the three months ended March 31, 2020 was $912,802, a significant decrease from $1,319,785 in Q1 2019 due to the expansion of the mine life at Pine Cove, which results in a higher denominator for depletion and depreciation on a units-of-production basis relative to the denominator used in the first quarter of 2019. Mine operating income for the three months ended March 31, 2020 was $3,633,422, compared to $2,322,009 in the corresponding period of 2019, with higher comparable operating costs during Q1 2020 being offset by higher revenue and lower depreciation in the quarter. Corporate administration costs were $860,179 for the first three months of fiscal 2020, a decrease of 18% from Q1 2019, as the Company streamlined corporate costs over the second half of 2019. The Company also incurred $52,720 in research and development costs in Q1 2020, compared to a net recovery of research and development costs of $129,558 (which included funding received for the narrow vein mining research project). Finance expense for the quarter was $72,040 for Q1 2020, compared to $36,156 for the three months ended March 31, 2019. Finance costs were higher than the comparative 2019 period as a result of the $5 million term loan entered into with the Royal Bank of Canada ("RBC") in March 2019. In Q1 2020, the Company recorded a recovery of $167,676 as a deferred premium on flow-through shares, representing the proportion of the remaining qualifying exploration expenditures that were spent from the July 2019 flow-through financing in the three months ended March 31, 2020. Net comprehensive income for the three months ended March 31, 2020, was $1,471,399, or $0.01 per share, compared to $1,157,851, or $0.01 per share. The improvement compared to the three months ended March 31, 2019 was the result of higher mine operating income, driven by stronger production and record high Canadian gold prices, offset by a higher net income tax expense, as the Company recorded a current income tax expense of $352,528 relating to provincial mining tax and a deferred income tax expense of $826,000 during the three months ended March 31, 2020 (three months ended March 31, 2019 - $268,163 and a recovery of $102,000, respectively). Financial Position and Cash Flow Analysis As at March 31, 2020, the Company had working capital of $3,565,559, which included cash and cash equivalents of $6,430,208. Trade and other payables have increased since the prior year mainly due to the exploration activity at Tilt Cove and timing. Current taxes payable reflect the Newfoundland mining taxes payable for 2019 and an estimate for the taxes for Q1 2020. The decrease in other current liabilities reflects the deferred flow-through premium recognized as a result of flow-through expenditures spent in the three months ended March 31, 2020. The current portion of loans includes $1,423,329 outstanding from a $5.0 million term loan with the Royal Bank of Canada ("RBC"), entered into in March 2019. The term loan carries a fixed interest rate of 4.6% and performance guarantee fee by Export Development Canada ("EDC") of 1.85%, payable quarterly based on the proportional amount outstanding. In March 2020, the Company amended its Line of Credit Agreement with RBC to amend the existing revolving credit facility to $250,000 and include a $725,000 revolving demand facility. Under the terms of the Agreement, RBC maintains a first-ranking general security agreement including a specific security interest in the Company's ball mill and cone crushers. During the three months ended March 31, 2020, the Company changed insurance companies which provide the surety bonds to backstop its performance obligations with respect to the Company's reclamation obligations. Under the terms of the replacement surety bonds, the Company was required to provide collateral of $713,048, equivalent to 25% of the value of the bonds. The collateral was provided in the form of an irrevocable letter of credit from RBC under the revolving demand facility. As at March 31, 2020, there were outstanding balances of $713,048 and $265,636 on the revolving demand facility and revolving equipment lease line of credit, respectively, and the Company had not drawn against the revolving credit facility. Anaconda generated $4,380,125 in operating cash flows during the three months ended March 31, 2020, after accounting for corporate administration costs. The Point Rousse Project generated EBITDA of $4,493,504, based on gold sales of 5,132 ounces at an average gold price of C$2,051 per ounce sold and operating cash costs of C$1,165 per ounce sold. Corporate administration costs in the three months ended March 31, 2020 were $860,179. During Q1 2020, the Company continued to invest in its key growth projects in Newfoundland and Nova Scotia. The Company spent $1,096,630 on exploration and evaluation assets (adjusted for amounts included in trade payables and accruals at March 31, 2020), primarily on the continued advancement of the Goldboro Project and exploration activities at Tilt Cove and Argyle. The Company also invested $659,342 into capitalized stripping at the Pine Cove Pit and sustaining capital for the mill at the Point Rousse Project. Financing activities during the three months ended March 31, 2020 were limited to the repayment of the RBC term loan, lease obligations, and government loans. Non-IFRS Measures Anaconda has included in this press release certain non-IFRS performance measures as detailed below. In the gold mining industry, these are common performance measures but may not be comparable to similar measures presented by other issuers. The Company believes that, in addition to conventional measures prepared in accordance with IFRS, certain investors use this information to evaluate the Company's performance and ability to generate cash flow. Accordingly, it is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Operating Cash Costs per Ounce of Gold - Anaconda calculates operating cash costs per ounce by dividing operating expenses per the consolidated statement of operations, net of silver sales by-product revenue, by the gold ounces sold during the applicable period. Operating expenses include mine site operating costs such as mining, processing and administration as well as royalties, however excludes depletion and depreciation and rehabilitation costs. All-In Sustaining Costs per Ounce of Gold - Anaconda has adopted an all-in sustaining cost performance measure that reflects all of the expenditures that are required to produce an ounce of gold from current operations. While there is no standardized meaning of the measure across the industry, the Company's definition conforms to the all-in sustaining cost definition as set out by the World Gold Council in its guidance dated June 27, 2013. The World Gold Council is a non-regulatory, non-profit organization established in 1987 whose members include global senior mining companies. The Company believes that this measure will be useful to external users in assessing operating performance and the ability to generate free cash flow from current operations. The Company defines all-in sustaining costs as the sum of operating cash costs (per above), sustaining capital (capital required to maintain current operations at existing levels), corporate administration costs, sustaining exploration, and rehabilitation accretion and amortization related to current operations. All-in sustaining costs excludes capital expenditures for significant improvements at existing operations deemed to be expansionary in nature, exploration and evaluation related to growth projects, financing costs, debt repayments, and taxes. Canadian and US dollars are noted for realized gold price, operating cash costs per ounce of gold and all-in sustaining costs per ounce of gold. Both currencies are considered relevant and the Company uses the average foreign exchange rate for the period. Average Realized Gold Price per Ounce Sold - In the gold mining industry, average realized gold price per ounce sold is a common performance measure that does not have any standardized meaning. The most directly comparable measure prepared in accordance with IFRS is gold revenue. The measure is intended to assist readers in evaluating the revenue received in a period from each ounce of gold sold. Earnings before Interest, Taxes, Depreciation and Amortization ("EBITDA") - EBITDA is earnings before finance expense, deferred income tax expense and depletion and depreciation. Point Rousse Project EBITDA is EBITDA before corporate administration and other expenses (income). Working Capital - Working capital is a common measure of near-term liquidity and is calculated by deducting current liabilities from current assets. ABOUT ANACONDA Anaconda is a TSX and OTCQX-listed gold mining, development, and exploration company, focused in Atlantic Canada. The company operates mining and milling operations in the prolific Baie Verte Mining District of Newfoundland which includes the fully-permitted Pine Cove Mill, tailings facility and deep-water port, as well as ~11,000 hectares of highly prospective mineral lands including those adjacent to the past producing, high-grade Nugget Pond Mine at its Tilt Cove Gold Project. Anaconda is also developing the Goldboro Gold Project in Nova Scotia, a high-grade resource and the subject of an on-going feasibility study. FORWARD-LOOKING STATEMENTS This news release contains "forward-looking information" within the meaning of applicable Canadian and United States securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Anaconda to be materially different from those expressed or implied by such forward-looking information, including risks associated with the exploration, development and mining such as economic factors as they effect exploration, future commodity prices, changes in foreign exchange and interest rates, actual results of current production, development and exploration activities, government regulation, political or economic developments, risks related to the COVID-19 pandemic, environmental risks, permitting timelines, capital expenditures, operating or technical difficulties in connection with development activities, employee relations, the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of resources, contests over title to properties, and changes in project parameters as plans continue to be refined as well as those risk factors discussed in Anaconda's annual information form for the year ended December 31, 2019, available on www.sedar.com. Although Anaconda has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Anaconda does not undertake to update any forward-looking information, except in accordance with applicable securities laws. FOR ADDITIONAL INFORMATION CONTACT:' Anaconda Mining Inc. Kevin Bullock President and CEO (647) 388-1842 [email protected] Reseau ProMarket Inc. Dany Cenac Robert Investor Relations (514) 722-2276 x456 [email protected] Anaconda Mining Inc. Lynn Hammond VP, Corporate Affairs (709) 330-1260 [email protected] SOURCE: Anaconda Mining Inc.
Even ''simply wall street'' mentions that it's a stock worthy of holding in (m)any folders! While it’s never nice to take a loss, Anaconda Mining shareholders can take comfort that their trailing twelve month loss of 6.8% wasn’t as bad as the market loss of around 11%. Of course, the long term returns are far more important and the good news is that over five years, the stock has returned 8.8% for each year. In the best case scenario the last year is just a temporary blip on the journey to a brighter future https://simplywall.st/stocks/ca/mat...ined-53-and-shareholders-are-hoping-for-more/
Great news from Anaconda mentioning that reports are showing 16 grams of gold per ton! TORONTO, ON / ACCESSWIRE / June 10, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX) (OTCQX:ANXGF) is pleased to announce it has commenced a diamond drill program at its 100%-owned Goldboro Gold Project ("Goldboro" or the "Project") in Nova Scotia, Canada. The 5,500-metre drill program ("Drill Program") is designed to convert priority Inferred Mineral Resources, considered proximal to planned development under the ongoing Feasibility Study, into Indicated Mineral Resources. "We have identified significant opportunities to optimize the Goldboro Gold Project and in particular to increase the overall economics of the Project. The Company is well-funded to advance its growth strategy and take advantage of these opportunities. This robust Drill Program has the real potential to directly impact the Project's economics and key economic metrics, creating significant incremental value. We look forward to announcing the results of the Drill Program in the third quarter of 2020, which will be included in a Mineral Resource Update on the Project and will also be incorporated into the life of mine in the optimized Feasibility Study." ~ Kevin Bullock, President and CEO, Anaconda Mining Inc. The Drill Program will target existing Inferred Mineral Resources in four separate zones within the Boston-Richardson and East Goldbrook Gold Systems that combined contain 325,000 tonnes at an average grade of 16.10 grams per tonne ("g/t") gold containing 168,400 ounces of gold. Based on conversion rates observed to date in over 27,000 metres of drilling, the Company believes the Drill Program has the potential to add significant value by extending the life of mine and improving the Project's economics. The Drill Program is funded from existing flow-through funds. The Company has critically considered logistical matters given the ongoing COVID-19 pandemic, to ensure that this Drill Program and any other programs are executed in a way that ensures the absolute health and safety of our personnel, contractors, and the communities where we operate. This news release has been reviewed and approved by Paul McNeill, P. Geo., VP Exploration with Anaconda Mining Inc., a "Qualified Person", under National Instrument 43-101 Standard for Disclosure for Mineral Projects. A version of this press release will be available in French on Anaconda's website (www.anacondamining.com) in two to three business days. GOLBORO MINERAL RESOURCE STATEMENT The technical report from which this Mineral Resource statement is quoted is entitled "Goldboro Gold Project: Resource Update Phase 2, Guysborough County, Nova Scotia" and which is dated December 18, 2019, and with an effective date of August 21, 2019, was authored by independent qualified persons Todd McCracken, P.Geo. of WSP Canada Inc. and Robert Raponi, P. Eng., of Ausenco Engineering Canada Inc. (see news release dated October 31, 2019) Mineral Resource Statement for the Goldboro Gold Project (effective August 21, 2019)^: Resource Type Au Cut-off Category Tonnes Au Troy Ounces (g/t) ('000) (g/t) Open Pit 0.5 Measured 844 2.40 65,200 Indicated 111 2.63 9,400 Measured + Indicated 955 2.43 74,600 Inferred 22 2.79 2,000 Underground 2.0 Measured 967 6.08 189,200 Indicated 2,174 6.22 434,800 Measured + Indicated 3,141 6.18 624,000 Inferred 2,985 7.12 683,200 Combined* 0.5/2.0 Measured 1,811 4.37 254,400 Indicated 2,285 6.05 444,200 Measured + Indicated 4,096 5.30 698,600 Inferred 3,007 7.09 685,100 ^Mineral Resource Estimate Notes 1. Mineral Resources were prepared in accordance with NI 43-101 and the CIM Definition Standards (2014). Mineral resources that are not mineral reserves do not have demonstrated economic viability. This estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues. 2. Open pit Mineral Resources are reported at a cut-off grade of 0.5 g/t gold that is based on a gold price of CAD$1,753/oz (~US$1,350/oz). and a gold processing recovery factor of 95%. 3. Underground Mineral Resource is reported at a cut-off grade of 2.0 g/t gold that is based on a gold price of CAD$1,753/oz (~US$1,350/oz). and a gold processing recovery factor of 95%. 4. Appropriate mining costs, processing costs, metal recoveries, and inter ramp pit slope angles were used by WSP to generate the pit shell. 5. Appropriate mining costs, processing costs, metal recoveries and stope dimensions were used by WSP to generate the potential underground resource. 6. Rounding may result in apparent summation differences between tonnes, grade, and contained metal content. 7. Tonnage and grade measurements are in metric units. Contained gold ounces are in troy ounces. 8. Contributing assay composites were capped at 80 g/t Au. 9. A bulk density factor was calculated for each block based on a regression formula. ABOUT ANACONDA Anaconda is a TSX and OTCQX-listed gold mining, development, and exploration company, focused in Atlantic Canada. The company operates mining and milling operations in the prolific Baie Verte Mining District of Newfoundland which includes the fully-permitted Pine Cove Mill, tailings facility and deep-water port, as well as ~11,000 hectares of highly prospective mineral lands including those adjacent to the past producing, high-grade Nugget Pond Mine at its Tilt Cove Gold Project. Anaconda is also developing the Goldboro Gold Project in Nova Scotia, a high-grade resource and the subject of an on-going feasibility study. FORWARD-LOOKING STATEMENTS This news release contains "forward-looking information" within the meaning of applicable Canadian and United States securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Anaconda to be materially different from those expressed or implied by such forward-looking information, including risks associated with the exploration, development and mining such as economic factors as they effect exploration, future commodity prices, changes in foreign exchange and interest rates, actual results of current production, development and exploration activities, government regulation, political or economic developments, environmental risks, permitting timelines, capital expenditures, operating or technical difficulties in connection with development activities, employee relations, the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of resources, contests over title to properties, and changes in project parameters as plans continue to be refined as well as those risk factors discussed in Anaconda's annual information form for the year ended December 31, 2019, available on www.sedar.com. Although Anaconda has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Anaconda does not undertake to update any forward-looking information, except in accordance with applicable securities laws. FOR ADDITIONAL INFORMATION CONTACT: Anaconda Mining Inc. Kevin Bullock President and CEO (647) 388-1842 [email protected] Reseau ProMarket Inc. Dany Cenac Robert Investor Relations (514) 722-2276 x456 [email protected] https://www.anacondamining.com/prviewer/release_only/id/4350602
More good news from Anaconda! This is from last week, yet still very actual ANACONDA MINING ANNOUNCES ARGYLE DRILL RESULTS, INCLUDING 5.26 G/T GOLD OVER 4.0 METRES AND 4.48 G/T OVER 9.14 METRES https://www.anacondamining.com/prviewer/release_only/id/4359359 TORONTO, ON / ACCESSWIRE / June 18, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX)(OTCQX:ANXGF) is pleased to announce the results of a 2,305-metre infill drill program at the Argyle Deposit ("Argyle Infill Program"), located approximately 4.5 kilometres from the Company's operating Pine Cove Mill and tailings facility at the Point Rousse Project in Newfoundland (Exhibit A). The purpose of the Argyle Infill Program, comprised of both percussion and diamond drilling, was to better define and upgrade all shallow portions of the deposit to the Indicated Resource category in anticipation of mine development in the second half of 2020. Twenty-four diamond drill holes (AE-20-134 to 157) were completed totaling 1,448.4 metres and 61 percussion holes (AEP-20-26 to 86) were completed totaling 856.3 metres (Exhibit B). Highlights from the Argyle Infill Program include: 5.26 g/t gold over 4.0 metres (19.5 to 23.5 metres) in diamond drill hole AE-20-140; 4.56 g/t gold over 4.5 metres (37.0 to 41.5 metres); including 24.70 g/t gold over 0.5 metres in diamond drill hole AE-20-138; 2.16 g/t gold over 8.5 metres (15.0 to 23.5 metres) in diamond drill hole AE-20-143; 6.62 g/t gold over 4.57 metres (10.97 to 15.54 metres) in percussion hole AEP-20-50; and 4.48 g/t gold over 9.14 metres (7.32 to 16.46 metres); including 16.61 g/t gold over 0.91 metres in percussion hole AEP-20-78. Selected intersections from the Argyle Infill Program are shown in Tables 1 and 2 below. "With the final Argyle drill results in hand and with work progressing on Mineral Resources and development plans across Point Rousse, we anticipate a new Mineral Resource and Reserve statement for the Point Rousse Project in the next quarter. This will include over 17,000 metres of drilling completed since the last resource update at Point Rousse and will include an additional 7,940 metres of drilling at Argyle alone. As this work progresses, we are also actively drilling near the Pine Cove Mill to advance other areas for near-term development, all while we continue to generate significant cashflow from our Point Rousse operations. In the current gold-price environment, Anaconda is well positioned to leverage existing permitted infrastructure to quickly and efficiently move gold deposits through to development, taking advantage of our unique situation as a gold producer and developer working in world class mining jurisdictions." ~ Kevin Bullock, President and CEO, Anaconda Mining Inc. The drill results from the Argyle Infill Program are currently being incorporated into an updated Mineral Resource Estimate and are being used for planning of the development and mining of the Argyle Deposit. Mercator Geological Services Limited has been engaged to provide an NI 43-101 Mineral Resource Update and Dassault Systèmes Canada Inc. has been engaged to provide pit shell optimization and preliminary open pit designs for the Argyle Deposit. Argyle is a near-term development project and Anaconda anticipates making a final production decision with respect to Argyle in the third quarter of 2020. Table 1: Highlighted composited assays from diamond drill holes AE-20-134 to 157
https://www.journalpioneer.com/busi...nda-mining-exploration-in-nova-scotia-460655/ Record-high gold prices fuel Anaconda Mining exploration in Nova Scotia Gold producer Anaconda Mining intends to drill again on its Goldboro property in eastern Nova Scotia in a few weeks. - Contributed Gold producer Anaconda Mining will be drilling again on its Goldboro property in eastern Nova Scotia in a few weeks in a bid to beef up the size of its mineable reserves as gold prices soar. “Gold prices are not at record highs in American dollars . . . but they are at record highs in Canadian dollars and that helps when you have projects in Canada and Australia,” said Anaconda CEO Kevin Bullock in an interview. In Canadian dollars, gold hit $2,458.25 per ounce in mid-May, then slid back to $2,262.70 on Friday last week. That’s still almost 27 per cent higher than the Canadian price for gold last year and some of the highest gold prices in Canada since the early 1970s. Those prices make it more profitable for Canadian gold producers to start up new operations and expand existing ones. Gaining weight in the market “I don’t think we could have a better time to start building than next year because I think the peak price will be a year after that.” Anaconda’s top executive thinks it only makes sense for the company to do more drilling to transform some of Goldboro property’s inferred reserves, which come with a low level of confidence as to what is actually in the ground, into indicated reserves that carry more weight with the markets. “We hope to convert 160,000 inferred ounces of gold into about 110,000 indicated ounces,” said Bullock. “That’s about 25 per cent more (than the company has so far indicated). That’s amazing.” That drilling program is expected to start within the next week or two, roughly a year after Anaconda finished its previous drilling round and prepared its initial feasibility study for Goldboro. The COVID-19 global pandemic has persuaded many to seek a safe haven for investments and further inflated gold prices already on an upward trend. Bullock thinks those prices will remain high for the next three years. “People are going to run to gold – and a few other things, whatever they may be,” he said. “Try and buy gold now. There’s a premium on it. You can’t find it.” Goldboro project Anaconda Mining hopes to take advantage of the rising price of gold by boosting the size of mineable reserves at its Goldboro property in Nova Scotia. - Contributed The company’s feasibility study for the Goldboro property is expected to be completed by the end of this year. “The earliest we can get a permit is halfway through next year so the earliest we could start is in the autumn of 2021. Then, it’s 12 to 24 months to build out,” said Bullock. “I don’t think we could have a better time to start building than next year because I think the peak price will be a year after that.” The startup phase of a mine on the Goldboro property is expected to create 300 jobs, and the mine itself would likely employ around 200 workers once in operation, he said. Anaconda, which trades on the Toronto Stock Exchange under the symbol ANX, closed at 27 cents a share at the end of last week and has a market capitalization of roughly $36.6 million. In mid-May, the junior miner announced it had boosted its gold production by 20 per cent, to 4,997 ounces during the first quarter of this year compared with the same period in 2019. The company’s cash costs per ounce sold at its Point Rousse project in the Baie Verte mining district of Newfoundland and Labrador rose by roughly 19.2 per cent during that quarter. But its earnings before interest, taxes, depreciation and amortization improved by 18.4 per cent, rising to $4.5 million for the first quarter of this year compared to $3.8 million for the same period in 2019 for the Point Rousse project. Anaconda’s net income for that quarter was also up by 25 per cent, to $1.5 million from $1.2 million for the same period last year. COVID and the gold industry When the pandemic hit Canada, Anaconda Mining laid off roughly two per cent of its workforce. Those jobs were on the exploration side of the operation in the Baie Verte mining district. “The exploration work would have required contractors to come in from outside the province and we didn’t want anything coming into the Baie Verte operation,” said Bullock. With precautionary measures that include fogging, disinfecting, increasing cleaning and staggering shifts, Anaconda has been able to prevent COVID-19 cases among its workforce. Other gold producers have also taken precautionary measures. Atlantic Gold, a subsidiary of Australia-based St. Barbara Ltd., operates the Moose River mine in Nova Scotia and has three proposed sites. Since the start of the pandemic, Atlantic Gold has gotten some staff to work from home, restricted social gatherings and enforced social distancing. It has also upped its cleaning schedule, provided mental health services and has employees working closely wear masks. “Due to the implementation of these measures, we are proud to confirm that there have been zero cases of COVID-19 identified at the Moose River gold mine,” said Atlantic Gold spokesman Dustin O’Leary. The company employs more than 300 people in Moose River and is meeting its production targets. Atlantic Gold is expected to soon submit an environmental impact statement for its Fifteen Mile Stream project, about 95 kilometres northeast of Halifax. It is also preparing a similar report for a proposed open-pit mine on its Cochrane Hill site in Guysborough County. Even with the pandemic and safety precautions, Anaconda is hoping to resume some exploration on the Baie Verte peninsula at Tilt Cove, 30 kilometres from its main mining operations. “It would be a totally different location,” said Bullock. “People would be dedicated and stay there and be self-contained and not be going in and out.”
great results from Anaconda, varying from 5 to18 grams of gold per tons. Article released today, the stock went up, great selection for long term! ANACONDA MINING EXPANDS THE STOG'ER TIGHT DEPOSIT, INTERSECTING 5.45 G/T GOLD OVER 20.0 METRES, 18.42 G/T GOLD OVER 5.0 METRES AND 10.14 G/T GOLD OVER 7.0 METRES TORONTO, ON / ACCESSWIRE / July 7, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX)(OTCQX:ANXGF) is pleased to announce initial results of an ongoing drill program (the "Drill Program") along strike from the Stog'er Tight Mine and Deposit ("Stog'er Tight"), located approximately three (3) kilometres east of the Company's operating Pine Cove Mill and tailings facility in Newfoundland (Exhibit A). The Drill Program comprises 1,354-metres in 26 diamond drill holes (BN-19-293 to 302 and BN-20-303 to 318) and 329 metres in 27 percussion drill holes (BNP-19-164 to BNP-20-190). The Drill Program was initiated to extend the previously mined Stog'er Tight Deposit and associated gold-mineralized alteration system westward, since previous exploration work indicated that the Stog'er Tight Deposit remained open for expansion (Exhibit B). Highlights of the Drill Program include: 5.45 g/t gold over 20.0 metres (44.0 to 64.0 metres), including 33.90 g/t gold over 1.0 metre in diamond drill hole BN-20-311; 18.42 g/t gold over 5.0 metres (48.0 to 53.0 metres), including 74.40 g/t gold over 1.0 metre in diamond drill hole BN-20-309; 10.14 g/t gold over 7.0 metres (28.0 to 35.0 metres), including 33.90 g/t gold over 1.0 metre in diamond drill hole BN-20-310; and 5.55 g/t gold over 8.0 metres (25.0 to 33.0 metres), including 39.70 g/t gold over 1.0 metre in diamond drill hole BN-19-295. Highlights of previous exploration (see news release dated October 27, 2016) include: 1.28 g/t gold over 8.8 metres (21.0 to 29.8 metres) in diamond drill hole BN-16-278; 3.81 g/t gold over 3.0 metres (49.9 to 52.9 metres); in diamond drill hole BN-16-279; and 7.10 g/t gold over 3.5 metres in a channel sample. Selected intersections from the Drill Program at Stog'er Tight are shown in Tables 1 and 2 below. Assays are pending for an additional 16 drill holes (BN-20-319 to 334) completed to date and will be released once assays have been received and reviewed. "We are pleased to discover that the gold system at the Stog'er Tight Mine not only continues westward by 650 metres along strike, but also includes shallow zones of high-grade, thick mineralization. This new discovery coupled with the associated geophysical footprint could indicate that the zone continues northward down-dip for 250 metres. A second geophysical anomaly with the same orientation is located 250 metres to the southwest and is also associated with high-grade surface mineralization identified in historical channel samples. Further, our observations of the style of mineralization indicates that it is very similar to both the Stog'er Tight and Argyle gold deposits. Based on the success of this Drill Program we are initiating a further 1,500 metres of diamond drilling to test the down-dip extension of the gold mineralization as well as testing the second geophysical anomaly along strike with the goal of expanding the Stog'er Tight Deposit for future development. We look forward to announcing the remaining results from this program followed by updates on the new drilling which will commence shortly." ~ Kevin Bullock, President and CEO, Anaconda Mining Inc. The results of the Drill Program indicate that a significant zone of gold mineralization extends at least 650 metres west of, and represents a strike extension of, the Stog'er Tight Mine sequence. Mineralization at Stog'er Tight now extends over a total strike length of 1,200 metres and is open along strike to the southwest and down-dip on its western half. Gold mineralization is hosted within a shallowly northwest dipping gabbro sill and is tested to a vertical depth of 75 metres. The highest grades and thicknesses intersected thus far are associated with a geophysical anomaly (IP chargeability high associated with all gold deposits at Point Rousse) that extends 250 metres northward, parallel with a similar IP anomaly associated with the Stog'er Tight Deposit. A second IP chargeability anomaly, of similar extent and associated with surface gold mineralization, is located 250 metres further southwest along strike, highlighting additional potential for expansion (Exhibit C). Both geophysical anomalies trend beneath a shallow pond (generally less than a few metres) known as Camp Pond (Exhibit B and C). Fox Pond, located east of Camp Pond, was similarly underlain by the Stog'er Tight Deposit which was successfully mined in 2018 and 2019 by partial dewatering of the pond under appropriate Provincial and Federal Government permits. Exhibit A. A map showing the location of the Stog'er Tight Deposit in the central part of the Scrape Trend; A geological trend that is host to the Stog'er Tight Mine, Argyle Deposit and Pine Cove Mine and Mill Complex, Point Rousse Project. Exhibit B. A map showing the location of diamond and percussion drill holes completed during the Drill Program referenced in the press release with highlight assays. Exhibit C. A map showing the location of the Stog'er Tight Deposit, the area of the recent Drill Program and the IP geophysical anomalies and exploration targets. The location of Camp Pond and Fox Pond and associated IP anomalies are also shown. SOURCE: Anaconda Mining Inc. https://www.anacondamining.com/prviewer/release_only/id/4376828
Interesting interview with Anaconda mining's CEO. I find it interesting to read and they are pointing to actual facts with the development they've had in the past few years. As he also mentioned in another article, the prices haven't been that high since the 70's for gold so it's a great time to invest. http://www.metalsnews.com/Metals+Ne...xploration+Company+in+the+Prolific+Mining.htm Anaconda Mining Inc. (TSX: ANX, OTCQX:ANXGF): Production, Development, and Exploration Company, in the Prolific Mining District of Newfoundland: Interview with Kevin Bullock, President and CEO By Dr. Allen Alper, PhD Economic Geology and Petrology, Columbia University, NYC, USA on 7/10/2020 Anaconda Mining Inc. (TSX:ANX, OTCQX:ANXGF) a production, development, and exploration Company, with mining and milling operations, in the prolific Baie Verte Mining District of Newfoundland, which includes the fully-permitted Pine Cove Mill, tailings facility and deep-water port, as well as ~11,000 hectares of highly prospective mineral lands, including those adjacent to the past producing, high-grade Nugget Pond Mine at its Tilt Cove Gold Project. Anaconda is also developing the Goldboro Gold Project in Nova Scotia, a high-grade resource and the subject of an on-going feasibility study. We learned from Kevin Bullock, who is President and CEO of Anaconda Mining that they are producing between 18 and 19,000 ounces of gold per year in Newfoundland, with positive cash flow, and currently have approximately $7 million in cash. They are starting a 5,500 meter drilling program at Nova Scotia, to convert about 100,000 ounces, of currently inferred resources, into indicated resources and thereby allowing them to be used in the feasibility study. Anaconda also keeps ongoing exploration, around its producing mine in Newfoundland, continuously increasing the mine life. Anaconda Mining Inc. Dr. Allen Alper: This is Dr. Allen Alper, Editor-in-Chief of Metals News, interviewing Kevin Bullock, who is President and CEO of Anaconda Mining. Kevin, I wonder if you could give our readers/investors an overview of your Company and what differentiates your Company from others? Kevin Bullock: Thanks. I’m happy to be here, Allen. I think that we're a unique Company in the sense that for a market cap that's under 50 million, we have production, development, exploration, and growth, and you don't generally find that with small companies like us. We are producing between 18 and 19,000 ounces of gold per year, with positive cash flow at today's prices, especially in Canadian dollars, which is where we operate and our costs are associated. We're making quite a bit of money, free cash flow. We have a development project in Nova Scotia, which is going through a feasibility right now. We're identifying a lot of opportunities for optimization with that and have started a drill program, which was announced this morning. We’ll be doing 5,500 meters of drilling to convert currently inferred resources into indicated resources and thereby allowing them to be used in the feasibility study. There're 160,000 ounces identified, in and around areas that we plan on developing, within the feasibility that are currently inferred. At historic conversion rates that would convert to around 100,000 ounces to add. With gold trading at $2,300 an ounce Canadian, that's another $450 million to add to the revenue side, should we be successful in conversion. That is started and is going to be a couple of month’s program, with announcements along the way. The mine currently continues to operate in Newfoundland, which is our producing mine. We're also exploring in and around our producing mine and finding some very interesting and exciting intersections that will be announced over the next few weeks. So it's quite a unique Company, with a lot of attributes and a lot of positive things happening over the next few months. Dr. Allen Alper: Sounds excellent! Sounds like this year, in the coming months, will be an exciting time for the core investors and stakeholders of Anaconda Mining. Kevin Bullock: Absolutely. We've turned a corner. We've made a lot of changes internally and externally, in all our projects. We're sitting on approximately $7 million of cash now, which is building weekly by our positive free cash flow, while we're carrying out all our work that's currently funded by that as well. So I think it is onwards and upwards from here. Dr. Allen Alper: Sounds excellent! Could you tell our readers/investors a little bit about yourself and your Team? Kevin Bullock: Yeah, certainly we've been able to retain some good people for the small company that we are. I think it's because we don't plan to remain a small company. We will grow into the people that we have. I'm a mining engineer. I've been in the business over 35 years. I have successes to my name in the past, I helped start and revamp Kirkland Lake Gold from a shell company and was part of the team that negotiated the purchase of the Macassa Mine. That's now a multibillion-dollar company. I was also involved with Iamgold Corporation, when it was private through it going public, which is now a multibillion-dollar company. I started my own company called Volta Resources, which eventually became purchased by B2Gold after a discovery of 10 million ounces of gold equivalent in West Africa. I'm currently on the Board of Directors of B2Gold, because of that transaction. That's a multibillion-dollar company, and Anaconda is my next one. We also have a CFO, Rob Dufour, who has been with the larger companies or helped some of the other companies grow into larger companies like Newmarket Gold and Crocodile Gold. He is very, very good with budgets and keeping track of expenditures and making sure that we're always pulling in money as opposed to putting it out. So quite a good team of people, we've just converted the consultant that's doing our feasibility study at the Goldboro project in Nova Scotia to a Company called Nordmin. Nordmin Engineering is a group that I've worked with in the past. The principal of it and I worked together, as co-managers, in an engineering company years back. Very, very good at narrow-vein underground deposits and doing a very good, exciting job finding opportunities in our feasibility study for the Goldboro project. So we have the right people in place. We have an exploration team of people that have been in the East Coast their entire careers, and have discoveries under their belt, that are doing the exploration for us. It's exciting times ahead, with the help of these people that are second to none. Dr. Allen Alper: Oh, that's great. You have a great Team and you have a great background. So that sounds excellent. Could you tell us a little bit about your corporate structure? Kevin Bullock: Yes. We're very much into safety and environment as well as technology. And therefore, over the last few years, as we've been trying to develop new methods to mine narrower ore bodies, and to get our costs down, we've developed subsidiaries of which we hold pieces. Corporately, we're on the Toronto Stock Exchange, but we do have a very large interest in a Company called Novamera, which we just spun out a couple of months ago, which is in technology to do narrow-vein mining. We've managed to get an investor to fund it and take it outside of the Company so that there's no longer any drain of funds from us, but we retain about a 35% interest in that Company. And that continues to move forward. Venture capitalists have invested two million into that. We also have a set of exploration properties that are grassroots and not going to develop into development properties in the near-term, but we have a lot of interest in the potential of discovery in them and managed to spin them out into a separate company called Magna Terra which is also listed, Magna Terra Minerals. That deal is currently halted at the moment, raising its funds as part of the transaction. We think it will close near the end of the month. Once that starts trading again, we'll have about a 35% interest in Magna Terra, a pure grassroots exploration company. So we've managed to spin off Companies for our own development and benefit from that. Now we'll continue to benefit the future without it costing us. We're completely focused on gold discovery, development and production. Dr. Allen Alper: That sounds excellent. Could you tell us a little bit about your shareholders? Kevin Bullock: We're particularly a retail company. We don't have a large institutional investor base. The way this Company was started and funded over the last 10 years, it's become a retail company. However, there's a lot of new interest from some funds and some institutions that are starting to pick up. About 8% of the Company is held by insider's Management and Directors. We have a couple of larger shareholders, a family house, investment house out of Florida and a couple of other institutions. The rest is all retail. It's about 70% retail held. Dr. Allen Alper: It sounds very good. Sounds like an opportunity for our readers/investors. Could you tell us a little bit about your symbol and shares outstanding, et cetera? Kevin Bullock: We currently have about 130 million shares issued and outstanding. We're trading at about 28, 29 cents Canadian, which gives us a market cap of just under 40 million Canadian. The facilities that we have at Point Rousse, where our operating mine has permitted tailings for 15 years and a port and a 1300 tonne a day mill, along with a project that's in feasibility now that looks like it's going to be well over 100 million net present value. There's a lot of value in this Company that hasn't been recognized yet. And that's what we're going to draw out over the next little while. So yeah, it's on the Toronto Stock Exchange, symbol is A-N-X. We're a highly liquid company. We've gone from about 13 or 14 cents a couple of months ago to our current value of 28, 29 cents. We continue to have momentum. It's quite an interesting time for us, without many shares outstanding. Dr. Allen Alper: Excellent! Kevin Bullock: We continue to fund our programs with cashflow. So there's not a high amount of dilution involved in the Company. Dr. Allen Alper: Well, that's excellent. Very few companies could do that. That's very good. Kevin Bullock: We're very fortunate to have a producing mine. Dr. Allen Alper: That's excellent to have a producing mine and also the opportunity to increase your resources through exploration. So that's excellent. Could you tell our readers/investors a little bit more your mineral resources? Kevin Bullock: Yeah. We currently have the largest single deposit in the province of Nova Scotia, the Goldboro deposit, which is just under a 1.5-million-ounce resource base at the moment. That will probably turn into somewhere between 350 and 450,000 ounces of minable material in this feasibility. We also have about 50,000 ounces at Point Rousse, which is the operating mine, which is about a two-and-a-half-year life, but that mine has had a two-and-a-half-year mine life for the last 10 years. We keep discovering more and we're still drilling around it. So global resource, one and a half million ounces, quality ounces, the Goldboro deposit averages over six grams per ton for that million and a half ounces. Dr. Allen Alper: That's sounds excellent. Could you tell our readers/investors, the primary reasons they should consider investing in Anaconda Mining? Kevin Bullock: It is early days, and if you are familiar with the Lassonde Curve, which is the curve from going through discovery to development, to production. We're at the point where we are in final feasibility about to develop a mine in Nova Scotia, while we have current free cashflow. Puts us in a very unique position on that curve. It should move towards being much more valuable over the next little while, as we jump the hurdles of permitting and feasibility and fundraising, and building the mine. That combined with a significant opportunity for discovery, creates a Company that has a lot of news that will be out over the next few months, that will be positive in putting and adding value to the current share price. So that's number one, investing in something that's about to move not already after it has moved. You're betting on a Team of Management people that have done this several times in the past. Bet on Management with good projects. Generally, that's a good ratio for a win. Dr. Allen Alper: Well, that sounds like excellent reasons to invest in Anaconda Mining. Is there anything else you would like to add, Kevin? Kevin Bullock: We’ll stay the course. We do not hope for a rise in the gold price as part of our strategy, although we'll take it when it happens. We are planning and building things that can make it at today's price of gold or much less. We're mitigating the downside risk, while trying to get the best bang for our buck on the revenue, while the gold price is high. Dr. Allen Alper: Well, that sounds excellent. We’ll publish your press releases as they come out so our readers/investors can follow your progress. https://www.anacondamining.com/ Kevin Bullock President and CEO (647) 388-1842 [email protected]
ANACONDA MINING RAMPS UP EXPLORATION PROGRAM AT TILT COVE GOLD PROJECT, INCLUDING IP GEOPHYSICAL SURVEY AND 10,000 METRES OF DIAMOND DRILLING https://www.anacondamining.com/prviewer/release_only/id/4391039 TORONTO, ON / ACCESSWIRE / July 21, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX) (OTCQX:ANXGF) is pleased to announce the initiation of a 35-line kilometre geophysical survey and 10,000 metre diamond drill program at the Tilt Cove Gold Project ("Tilt Cove"), located within the Baie Verte Mining District in Newfoundland, approximately 45 kilometres by road from the Company's Pine Cove Mill and tailings facility (Exhibit A). Tilt Cove is a significant, recently consolidated land package encompassing the same geological trend as the past producing, high-grade Nugget Pond Mine, which had an average recovered grade of 9.85 grams per tonne ("g/t") gold. Tilt Cove covers a 20-kilometre strike extent of the Betts Cove Complex, a highly prospective geological terrane including the Nugget Pond Horizon ("NPH"), the iron-rich sedimentary unit that hosts the past-producing Nugget Pond Mine (Exhibit A). "As a result of the recently announced $5.51M private placement, we are immediately and aggressively executing on our goal of discovering a high-grade deposit at our prospective Tilt Cove Gold Project. With the success of previous field work, all within sight of a past producing high-grade gold mine, we are confident that Tilt Cove has more high-grade gold to offer. We have commenced a 35-line kilometre ground magnetic and IP geophysical survey with crews now mobilized in the field. Furthermore, we will be testing at least five priority targets over the next six months with 10,000 metres of diamond drilling. The recent financing and the ability to accelerate our work at Tilt Cove makes this an exciting time for Anaconda and is consistent with our strategy to leverage the Pine Cove Mill and permitted tailings facility, fast-tracking the period from discovery to production and realizing full shareholder value from new discoveries." ~ Kevin Bullock, President and CEO, Anaconda Mining Inc. Tilt Cove Project Advancements to Date To date, Anaconda has made the following advances at Tilt Cove: Discovered the new Growler Showing with channel samples that include 2.75 g/t gold over 5.2 metres and 1.78 g/t gold over 5.0 metres (see Table 1 below for full results); Discovered an additional 2 kilometres of prospective strike in the Growler area that includes the NPHwhich is host to two significant showings: the Growler Showing and the Betts Big Pond Showing which has historic grab samples up to 60.66 g/t gold and chip samples of 8.19 g/t gold over 2.3 metres. These Nugget Pond-style showings are within 400 metres of each other and are broadly considered part of the new Growler target area (Exhibit B); Discovered a new prospective iron-rich horizon, the Red Cliff Horizon, in the footwall of the Nugget Pond Horizon with a 6 kilometre strike, establishing two potential host rocks for Nugget Pond-style gold mineralization in this area (Exhibits A and C); Developed multiple drill targets associated with coincident structures that cross the Nugget Pond and Red Cliff Horizons, with coincident magnetic lows and gold-in-soil anomalies located along the southeast trend of historic glacial movement ("down-ice") (Exhibit C); Identified a broad gold-in-soil anomaly down-ice from the Red Cliff Pond Target (Exhibit C); Found 154 rock grab and float samples with anomalous gold (82 samples greater than 0.50 g/t gold, 31 greater than 3.00 g/t gold and 14 high-grade samples ranging from 5.16 g/t gold to 216.10 g/t gold) and two visible gold occurrences (previously announced; see press release dated November 27, 2019); Conducted a LiDAR survey over the entire property and a detailed drone magnetic survey (453 line-kilometres) covering the NPH; and Conducted 2,975 metres of diamond drilling in 18 drill holes at the Red Cliff Pond, East Pond, West Pond and Growler targets and intersected prospective host rocks, anomalous gold, geological structures and quartz veins with associated sulfides, all typically associated with Nugget Pond-style gold mineralization (Exhibits B and C). Geophysical crews are now mobilized at Tilt Cove to conduct a combined 35-line kilometre ground magnetic and IP geophysical survey. This work will be coincident with a mapping and prospecting program, which will be followed by a 10,000-metre diamond drill program at highly prospective targets including the Scarp, West Pond, Growler, East Pond and Betts Cove targets (collectively referred to as the "2020 Tilt Cove Program"). The 2020 Tilt Cove Program The 2020 Tilt Cove program will test the top five priority targets on the Tilt Cove Project as well as collect data from other targets to advance them to the drill stage. The top five priority targets include the Scarp Zone, West Pond, Betts Cove, Growler and East Pond (Exhibit A). 35-line kilometres of ground geophysics (magnetics and IP) and 10,000 metres of diamond drilling will test the priority targets as follows: The Scarp Zone - This target is characterized by more than a kilometre of exposed NPH coincident with a similar strike length consisting of 107 gold bearing rock grab and float samples over 0.5 g/t gold (Exhibit D). The area is also characterized by a strong deformation zone adjacent to the Nugget Pond Horizon which dips shallowly northwest beneath younger Silurian rocks. This target will be tested with 6.2 kilometres of ground magnetic and IP geophysics as well as 2,500 metres of diamond drilling and 500 metres of percussion drilling. West Pond Target - This target is characterized by a 1.3-kilometre long zone beneath West Pond that is up-ice from a very strong gold-in-soil anomaly very similar in character and dimension to the gold-in-soil anomaly associated with the discovery of the high-grade Nugget Pond Deposit as well as a coincident break in magnetic intensity where a north-westerly trending lineament intersects the NPH. West Pond will be tested using 2,000 metres of diamond drilling that will be drilled either from shore or from a barge. Betts Cove Target - At the Betts Cove Mine disseminated to massive pyrite and chalcopyrite +/- gold mineralization is hosted at the contact between gabbroic sills and pillow basalts, particularly within a chlorite schist unit that may represent a sheared alteration zone; a similar setting to the Tilt Cove Mine 20 kilometres to the northeast along strike. Historic drilling at the Betts Cove Mine has returned significant gold intercepts that include: 4.48 g/t gold over 4.0 metres (from 52.0 to 56.0 metres), including 11.20 g/t gold over 1.1 metres in hole BC-89-01; 6.77 g/t gold over 5.0 metres (from 63.1 to 68.1 metres) in hole BC-89-02; 1.87 g/t gold over 13.0 metres (from 63.5 to 76.5 metres) including 7.50 g/t gold over 0.5 metres and 8.82 g/t gold over 1.0 metre in hole NBC-96-01; and 4.59 g/t gold over 1.5 metres (from 63.5 to 65.0 metres) in hole NBC-96-02. 17.6-line kilometres of IP geophysics and up to 1,500 metres of diamond drilling will test this area. Growler Target - The Growler Target is a newly recognized zone of prospectivity with a strike of 2 kilometres underlain by the NPH and associated with two large shear zones adjacent to the NPH contact. The area also includes recently discovered surface mineralization with channel samples at the Growler Showing assaying 2.75 g/t gold over 5.2 metres and 1.78 g/t gold over 5.0 metres as well as historic chip samples at the Betts Big Pond Showing assaying 8.19 g/t gold over 2.3 metres. 11.1-line kilometres of IP geophysics and up to 2,500 metres of diamond drilling will test this area. East Pond - East Pond is characterized by an 800-metre strike length of the NPH coincident with reduction in magnetic intensity and cross cutting lineaments. The target also includes historic drilling, which intersected footwall mineralization similar to the Nugget Pond Mine including 5.74 g/t gold over 0.5 metres (RCP-97-01); 10.30 g/t gold over 0.5 metres (RCP-97-02); 1.16 g/t gold over 3.4 metres (RCP-97-02); and 4.90 g/t gold over 0.5 metres (RCP-98-01). 1,500 metres of drilling is designed to test the East Pond target. The Winter Program On November 27, 2019 and February 27, 2020, the Company announced an exploration program at Tilt Cove that intended to include 4,000 metres of diamond drilling in addition to a trenching program at Growler (collectively the "Winter Program"). A large portion of the Winter Program was not completed due to concerns over ice conditions required for drilling on the ponds and other factors related to the COVID-19 pandemic. The Company was able to complete the trenching at Growler and 2,975 metres of diamond drilling in 18 holes across four targets at Tilt Cove. Growler Exploration - During late fall 2019, the Company completed a short trenching program exposing the Growler Showing based on results of grab sampling earlier that summer. Trenching exposed an area of altered and pyrite mineralized sediments that the Company interprets to be a thrust repeated section of the NPH. A total of 47 channel samples averaging 1.0 metre in length were cut in various orientations across the Growler exposure (Exhibit B). The best channel sample results include 2.75 g/t gold over 5.2 metres and 1.78 g/t gold over 5.0 metres (Table 1).
ANACONDA MINING REPORTS SECOND QUARTER 2020 RESULTS; GENERATES $5.8 MILLION OF CASH FLOW FROM OPERATING ACTIVITIES IN THE FIRST HALF OF 2020 TORONTO, ON / ACCESSWIRE / July 30, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX)(OTCQX:ANXGF) is pleased to report its financial and operating results for the three and six months ended June 30, 2020 ("Q2 2020"). The condensed interim consolidated financial statements and management discussion & analysis documents can be found at www.sedar.com and the Company's website, www.anacondamining.com. All dollar amounts are in Canadian dollars unless otherwise noted. Second Quarter 2020 Highlights Anaconda sold 3,712 ounces of gold in Q2 2020, generating metal revenue of $8.4 million at an average realized gold price* of $2,249 (US$1,624) per ounce sold. As at June 30, 2020, the Company had 470 ounces of gold in gold doré inventory, which was subsequently sold in July. Operating cash costs per ounce sold* at the Point Rousse Project in Q2 2020 were C$1,372 (US$991), compared to C$1,421 (US$1,062) in the three months ended June 30, 2019. Higher operating cash costs compared to Q1 2020 were the result of lower grade. All-in sustaining cash costs per ounce sold* were C$1,828 (US$1,320) for Q2 2020, a 20% improvement over Q2 2019 when the Company sold fewer ounces and had increased development activity on the pushbacks to the Pine Cove pit. The Company invested $1.4 million in its growth projects during Q2 2020, including $0.8 million on the Goldboro Gold Project and $0.6 million on exploration programs at the Tilt Cove Project and Point Rousse Project. The Point Rousse Complex generated EBITDA* of $3.3 million in Q2 2020 and $7.8 million in the first half of 2020, compared with $0.7 million and $4.5 million for the respective 2019 periods. Net income for the three months ended June 30, 2020 was $2.0 million, or $0.01 per share, compared to a net loss of $1.6 million, or $0.01 per share, for the three months ended June 30, 2019. The improved net income for the period was due to a $2.3 million increase in mine operating income and a $1.9 million gain recognized on the spin-out of Novamera Inc. The Company initiated a 5,500-metre infill diamond drill program at the Goldboro Gold Project, to convert priority Inferred Mineral Resources, considered proximal to planned development under the ongoing feasibility study, into Indicated Mineral Resources. On July 16, 2020, Anaconda announced a non-brokered private placement for up to $5.5 million, which will accelerate its highly prospective exploration and diamond drill programs in Atlantic Canada. As at June 30, 2020, the Company had a cash balance of $5.5 million, working capital* of $5.8 million, and additional available liquidity of $0.3 million from an undrawn revolving line of credit facility. *Refer to Non-IFRS Measures section below. A full reconciliation of Non-IFRS Measures can be found in the Management Discussion and Analysis for the three and six months ended June 30, 2020. "During the second quarter, amid the ongoing uncertainty related to the COVID-19 pandemic, Anaconda sold 3,712 ounces of gold to generate metal revenue of $8.4 million. The Point Rousse operation has continued to operate uninterrupted in a safe and responsible manner and remains on track to produce and sell between 18,000 and 19,000 ounces of gold in 2020. Due to variability to the block model that has impacted tonnes and grade, we are revising our operating cash costs per ounce sold guidance to between C$1,150 and C$1,250 and expect the record high Canadian gold prices to more than offset the higher costs per ounce sold. We are continuing to advance the development of Argyle and expect to announce further details on the mineral resource and reserve soon, with the potential to accelerate the contribution of ore from Argyle to production. The second quarter also saw the announcement of strong drill results at Stog'er Tight and the initiation of a 5,500 metre drill program at the Goldboro Gold Project. Our $5.5 million of cash combined with our private placement of up to $5.51 million, which is expected to close on July 31, 2020, gives us the financial wherewithal to execute our growth strategy." ~Kevin Bullock, Chief Executive Officer, Anaconda Mining Inc. Updated Guidance - Anaconda is maintaining its guidance to produce and sell between 18,000 and 19,000 ounces of gold in 2020. Mill feed in 2020 continues to be primarily from mining in the Pine Cove Pit, with mill feed expected to transition to mining from Argyle in the fourth quarter of 2020. As a result of lower grades experienced in the second quarter (see operational review below) and its resulting impact on operating cash costs per ounce, the Company is revising its operating cash costs per ounce guidance to between C$1,150 and C$1,250 per ounce of gold sold (US$850 - US$950 at an approximate exchange rate of 0.75), an increase from initial guidance of between C$1,050 and C$1,100 per ounce sold (US$775 - US$825 at an approximate exchange rate of 0.75). The impact of higher costs per ounce sold is expected to be more than offset by the significantly higher gold price per ounce, both in US and Canadian dollar terms. https://www.accesswire.com/599546/A...perating-Activities-in-the-First-Half-of-2020 Operational Overview - Anaconda produced 3,657 ounces of gold in the second quarter of 2020, a 26% increase over Q2 2019, due to better mill availability and resulting higher throughput. Low mill availability in Q2 2019 was due to planned maintenance on the main ball mill and unplanned maintenance for the regrind mill. However, gold production in Q2 was down 37% from the first quarter of 2020 due to lower grade, as the mine operation has observed some variability in grade and tonnage in certain lower levels of the Pine Cove pit. Year-to-date production of 8,654 ounces is consistent with the mine plan and the Company remains on track to meet guidance and produce and sell between 18,000 and 19,000 ounces of gold. In light of recent Argyle drill results and advancement of the related development plan, the Company is exploring opportunities to accelerate the development of Argyle in the second half of 2020. During the second quarter of 2020, the mine operations produced 111,167 tonnes of ore from the Pine Cove Pit, a 42% increase from Q2 2019, which reflects the higher mining rate at the Pine Cove Pit compared to the lower tonnage profile of mining at Stog'er Tight, which was the main mining area in the prior period. The Company ended the second quarter with an ore stockpile of over 36,000 tonnes. The mine operations achieved a strip ratio of 5.1 waste tonnes to ore tonnes at the Pine Cove Pit, a decrease compared to Q1 2020 as the operation moves into the bottom levels of the Pine Cove Pit. The Pine Cove Mill processed 118,333 tonnes during Q2 2020, an increase of 22% compared to the second quarter of 2019. Since the challenges experienced in the second quarter of 2019, the mill has operated consistently and effectively, maintaining high levels of mill availability and throughput since. Average grade during Q2 2020 was 1.11 g/t, an 11% decrease over the second quarter of 2019, when mill feed was primarily from the higher-grade Stog'er Tight Mine, and a decrease of 31% from Q1 2020 as the mine experienced variability to the block model in certain lower areas of the pit. The mill achieved an average recovery rate of 86.4%, an increase from 74.7% achieved in Q2 2019 despite the lower grade profile in Q2 2020. The higher throughput and better recovery resulted in gold production of 3,657 ounces, an increase of 26% compared to the second quarter of 2019. Financial Results - Anaconda sold 3,712 ounces of gold during the second quarter of 2020, generating gold revenue of $8.3 million at an average realized gold price of C$2,249 per ounce (US$1,624). Operating expenses for the three months ended June 30, 2020 were $5,101,316, compared to $4,337,552 in the three months ended June 30, 2019. Operating expenses for Q2 2020 included mining costs of $2,589,012 and were higher than the comparative period primarily due to the 33% increase in material mined at Pine Cove compared to Stog'er Tight in Q2 2019. Processing costs of $2,466,037 in Q2 2020 were also higher than the comparative period due to the 22% increase in ore tonnes milled during the period. Operating cash costs per ounce sold in the first half of 2020 were C$1,252 (US$918), higher than the upper range of the initial guidance provided for operating cash costs per ounce sold, due to lower than planned grades in the second quarter of 2020. The Company has now revised its operating cash costs per ounce guidance to between C$1,150 and C$1,250 per ounce of gold sold (US$850 - US$950 at an approximate exchange rate of 0.75). There was no royalty expense for Q2 2020 compared to $145,436 in Q2 2019, as production in the prior year was predominantly from Stog'er Tight, which carries a 3% net smelter royalty. Depletion and depreciation for the three months ended June 30, 2020 was $825,045, consistent with $878,403 recognized in Q2 2019. Mine operating income for Q2 2020 was $2,429,727, compared to $124,304 in the corresponding period of 2019, with higher comparable operating costs during Q2 2020 being more than offset by higher revenue resulting from significantly higher gold prices. Corporate administration costs were $771,640 for Q2 2020, a decrease of 28% from Q2 2019, as the Company has streamlined corporate costs over the second half of 2019. The Company also recorded a one-time gain of $1,902,894 associated with the spin-out of Novamera and its narrow vein mining technology. Finance expense for the quarter was $52,521 for Q2 2020, compared to $156,346 for the three months ended June 30, 2019. Finance costs in the prior year were higher as a result of a gold loan that was delivered into in Q2 2019. In Q2 2020, the Company recorded a write-down of exploration and evaluation assets of $15,310 due to the termination of an option agreement. Net comprehensive income for the three months ended June 30, 2020, was $1,981,864, or $0.01 per share, compared to a net loss of $1,638,464, or $0.01 per share. The improvement compared to the three months ended June 30, 2019 was the result of higher mine operating income and the gain of $1,902,894 related to the spin-out of Novamera. These factors were offset by a higher net income tax expense, as the Company recorded a current income tax expense of $235,000 relating to provincial mining tax and a deferred income tax expense of $1,275,000 during the three months ended June 30, 2020 (three months ended June 30, 2019 - recovery of $20,000 and an expense of $54,000, respectively). Financial Position and Cash Flow Analysis As at June 30, 2020, the Company had working capital of $5,778,954, which included cash and cash equivalents of $5,534,687. Trade and other payables have decreased since the prior year mainly due to severance payments and timing of payables. Current taxes payable reflect the Newfoundland mining taxes payable for 2019 and an estimate for the taxes for the first half of 2020. Working capital as at period end was impacted by net assets held for sale of $1,437,120 related to the sale of ExploreCo. Subsequent to June 30, 2020, mining taxes of $563,126 relating to 2019 were paid. The current portion of loans includes $1,444,874 outstanding from a $5.0 million term loan with the Royal Bank of Canada ("RBC"), entered into in March 2019. The term loan carries a fixed interest rate of 4.6% and performance guarantee fee by Export Development Canada ("EDC") of 1.85%, payable quarterly based on the proportional amount outstanding. Anaconda generated $1,443,864 in operating cash flows during the three months ended June 30, 2020, after accounting for corporate administration costs of $771,640. The Point Rousse Project generated EBITDA of $3,176,968, based on gold sales of 3,712 ounces at an average gold price of C$2,249 per ounce sold and operating cash costs of C$1,372 per ounce sold. The Company's operating cash flows were impacted by the $850,243 reduction in accounts payable and accrued liabilities during Q2 2020. During Q2 2020, the Company continued to invest in its key growth projects in Newfoundland and Nova Scotia. The Company spent $1,391,057 on exploration and evaluation assets (adjusted for amounts included in trade payables and accruals at June 30, 2020), primarily on the continued advancement of the Goldboro Gold Project and exploration activities at Tilt Cove, and invested $530,983 into capitalized stripping at the Pine Cove Pit and sustaining capital for the Pine Cove Mill. During the three months ended June 30, 2020, the Company also generated $113,570 in net proceeds from the sale of marketable securities. Financing activities during the three months ended June 30, 2020 were limited to the repayment of loans and lease obligations, including the RBC term loan. The Company also received $87,500 from the exercise of stock options. Non-IFRS Measures Anaconda has included in this press release certain non-IFRS performance measures as detailed below. In the gold mining industry, these are common performance measures but may not be comparable to similar measures presented by other issuers. The Company believes that, in addition to conventional measures prepared in accordance with IFRS, certain investors use this information to evaluate the Company's performance and ability to generate cash flow. Accordingly, it is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Operating Cash Costs per Ounce of Gold - Anaconda calculates operating cash costs per ounce by dividing operating expenses per the consolidated statement of operations, net of silver sales by-product revenue, by the gold ounces sold during the applicable period. Operating expenses include mine site operating costs such as mining, processing and administration as well as royalties, however excludes depletion and depreciation and rehabilitation costs. All-In Sustaining Costs per Ounce of Gold - Anaconda has adopted an all-in sustaining cost performance measure that reflects all of the expenditures that are required to produce an ounce of gold from current operations. While there is no standardized meaning of the measure across the industry, the Company's definition conforms to the all-in sustaining cost definition as set out by the World Gold Council in its guidance dated June 27, 2013. The World Gold Council is a non-regulatory, non-profit organization established in 1987 whose members include global senior mining companies. The Company believes that this measure will be useful to external users in assessing operating performance and the ability to generate free cash flow from current operations. The Company defines all-in sustaining costs as the sum of operating cash costs (per above), sustaining capital (capital required to maintain current operations at existing levels), corporate administration costs, sustaining exploration, and rehabilitation accretion and amortization related to current operations. All-in sustaining costs excludes capital expenditures for significant improvements at existing operations deemed to be expansionary in nature, exploration and evaluation related to growth projects, financing costs, debt repayments, and taxes. Canadian and US dollars are noted for realized gold price, operating cash costs per ounce of gold and all-in sustaining costs per ounce of gold. Both currencies are considered relevant and the Company uses the average foreign exchange rate for the period. Average Realized Gold Price per Ounce Sold - In the gold mining industry, average realized gold price per ounce sold is a common performance measure that does not have any standardized meaning. The most directly comparable measure prepared in accordance with IFRS is gold revenue. The measure is intended to assist readers in evaluating the revenue received in a period from each ounce of gold sold. Earnings before Interest, Taxes, Depreciation and Amortization ("EBITDA") - EBITDA is earnings before finance expense, deferred income tax expense and depletion and depreciation. Point Rousse Project EBITDA is EBITDA before corporate administration and other expenses (income). Working Capital - Working capital is a common measure of near-term liquidity and is calculated by deducting current liabilities from current assets. ABOUT ANACONDA Anaconda is a TSX and OTCQX-listed gold mining, development, and exploration company, focused in Atlantic Canada. The company operates mining and milling operations in the prolific Baie Verte Mining District of Newfoundland which includes the fully-permitted Pine Cove Mill, tailings facility and deep-water port, as well as ~11,000 hectares of highly prospective mineral lands including those adjacent to the past producing, high-grade Nugget Pond Mine at its Tilt Cove Gold Project. Anaconda is also developing the Goldboro Gold Project in Nova Scotia, a high-grade resource and the subject of an on-going feasibility study. FORWARD-LOOKING STATEMENTS This news release contains "forward-looking information" within the meaning of applicable Canadian and United States securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Anaconda to be materially different from those expressed or implied by such forward-looking information, including risks associated with the exploration, development and mining such as economic factors as they effect exploration, future commodity prices, changes in foreign exchange and interest rates, actual results of current production, development and exploration activities, government regulation, political or economic developments, risks related to the COVID-19 pandemic, environmental risks, permitting timelines, capital expenditures, operating or technical difficulties in connection with development activities, employee relations, the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of resources, contests over title to properties, and changes in project parameters as plans continue to be refined as well as those risk factors discussed in Anaconda's annual information form for the year ended December 31, 2019, available on www.sedar.com. Although Anaconda has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Anaconda does not undertake to update any forward-looking information, except in accordance with applicable securities laws. FOR ADDITIONAL INFORMATION CONTACT: Anaconda Mining Inc. Kevin Bullock President and CEO (647) 388-1842 [email protected] Reseau ProMarket Inc. Dany Cenac Robert Investor Relations (514) 722-2276 x456 [email protected] Anaconda Mining Inc. Lynn Hammond VP, Corporate Affairs (709) 330-1260 [email protected] SOURCE: Anaconda Mining Inc.
*Although this is not technically supposed to be released on news network from the united states, I deemed it interesting to share with the fine readers at stockaholics.net. Please enjoy and share with others, if you'd like* Anaconda Mining (OTCQX:ANXGF +3.2%) completed a non-brokered private placement for aggregate proceeds of $5.51M consisting of 9.5M flow-through shares at $0.58/FT share; hold period of four months and a day from closing date. Proceeds will enable the company to accelerate highly prospective exploration growth programs in Atlantic Canada, including the exciting Tilt Cove Gold Project, the high-grade development Goldboro Gold Project, and other targets on trend from its fully-permitted and operating Pine Cove Mill and tailings facility in Point Rousse, Newfoundland. https://www.anacondamining.com/prviewer/release_only/id/4405679 Anaconda Mining Announces Completion of $5.51 Million Non-Brokered Private Placement View source version on accesswire.com: https://www.accesswire.com/599768/A...of-551-Million-Non-Brokered-Private-Placement
https://www.anacondamining.com/prviewer/release_only/id/4425389 Anaconda Mining Continues to Expand The Stog’er Tight Deposit, Intersecting 4.37 G/T Gold Over 15.0 Metres and 3.32 G/T Gold Over 8.0 Metres; Further Expands Drill Program TORONTO, ON / ACCESSWIRE / August 18, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX) (OTCQX:ANXGF) is pleased to announce results of an ongoing drill program (the "Drill Program") along strike from the Stog'er Tight Mine and Deposit ("Stog'er Tight"), located approximately three (3) kilometres east of the Company's operating Pine Cove Mill and Tailings Facility in Newfoundland (Exhibit A). The Drill Program to date consists of 1,727 metres in 22 diamond drill holes (BN-20-319 to -340) and was initiated to follow up on the recent drill discovery of mineralization announced on July 7, 2020, which included 5.54 grams per tonne ("g/t") gold over 20.0 metres. To date the Drill Program has successfully expanded mineralization northwestward in the down-dip direction to 170 metres and has added 180 metres of strike (Exhibit B). Highlights of the Drill Program include: 4.37 g/t gold over 15.0 metres (98.0 to 113.0 metres), including 10.41 g/t gold over 5.0 metres in diamond drill hole BN-20-338; 3.32 g/t gold over 8.0 metres (38.0 to 46.0 metres); including 11.80 g/t gold over 1.0 metre in diamond drill hole BN-20-326; 2.40 g/t gold over 9.0 metres (27.0 to 36.0 metres); including 13.50 g/t gold over 1.0 metre in diamond drill hole BN-20-323; 3.86 g/t gold over 5.0 metres (12.0 to 17.0 metres) in diamond drill hole BN-20-333; and 2.15 g/t gold over 8.0 metres (81.0 to 89.0 metres), including 6.37 g/t gold over 1.0 metre in diamond drill hole BN-20-335. Selected intersections from the Drill Program at Stog'er Tight are shown in Table 1 below. "Our recent drilling has successfully expanded mineralization at Stog'er Tight down-dip to 170 metres and added 180 metres of strike. Importantly, this mineralization is less than 75 metres below surface and remains open for expansion with geological and geophysical evidence indicating more immediate drill targets. We have therefore expanded the drill program to 4,000 metres with the goal of further outlining this growing deposit. Located only a few kilometres from the Pine Cove Mill and Tailings Facility, the continuing growth of the Stog'er Tight Deposit represents excellent potential for future mining at Point Rousse." ~ Kevin Bullock, President and CEO, Anaconda Mining Inc. The results of the Drill Program indicate that a significant zone of gold mineralization extends at least 650 metres west of, and represents a strike extension of, the Stog'er Tight Mine sequence. Mineralization at Stog'er Tight now extends over a total strike length of 1,200 metres and is open along strike to the southwest and down-dip on its western half. Gold mineralization is hosted within a shallowly northwest dipping gabbro sill and has been tested to a vertical depth of 75 metres. The highest grades and thicknesses intersected thus far are associated with a geophysical anomaly (an IP chargeability high associated with all gold deposits at Point Rousse) that extends 250 metres northward, parallel with a similar IP anomaly associated with the Stog'er Tight Deposit. A second IP chargeability anomaly, of similar extent and associated with surface gold mineralization, is located 250 metres further southwest along strike, highlighting additional potential for expansion (Exhibit C). Both geophysical anomalies trend beneath a shallow pond (generally less than a few metres) known as Camp Pond (Exhibit B and C). Fox Pond, located east of Camp Pond, was similarly underlain by the Stog'er Tight Deposit which was successfully mined in 2018 and 2019 by partial dewatering of the pond under appropriate Provincial and Federal Government permits. Exhibit A. A map showing the location of the Stog'er Tight Deposit in the central part of the Scrape Trend; a geological trend that is host to the Stog'er Tight Mine, Argyle Deposit and Pine Cove Mine and Mill Complex, Point Rousse Project. Exhibit A. A map showing the location of the Stog'er Tight Deposit in the central part of the Scrape Trend; a geological trend that is host to the Stog'er Tight Mine, Argyle Deposit and Pine Cove Mine and Mill Complex, Point Rousse Project. Exhibit B. A map showing the location of diamond and percussion drill holes completed during the Drill Program referenced in the press release with highlight assays.
Anaconda Mining Intersects 16.79 g/t Gold over 3.0 metres and 9.78 g/t Gold over 5.0 metres at Goldboro, Expands Drill Program to 15,000 metres TORONTO, ON / ACCESSWIRE / September 3, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX)(OTCQX:ANXGF) is pleased to announce initial drill results from the 5,500-metre drill program ("Drill Program") announced on June 10, 2020, at its 100%-owned Goldboro Gold Project ("Goldboro" or the "Project") in Nova Scotia, Canada. The Drill Program was designed to convert priority Inferred Mineral Resources, considered proximal to planned development in the ongoing feasibility study, into Indicated Mineral Resources. To date, the Drill Program has included 4,860 metres of diamond drilling in 20 holes with assays returned for 10 holes, including holes BR-20-105 to BR-20-114 (Exhibit A). The Drill Program has intersected 13 mineralized zones including 11 with visible gold occurrences. Critically, the mineralized zones were consistently intersected near the area projected by the geological model. *click here for the full report* https://www.anacondamining.com/prviewer/release_only/id/4444094 Selected composited highlights from the Drill Program include: 16.79 grams per tonne ("g/t") gold over 3.0 metres (113.0 to 116.0 metres) in hole BR-20-111; 9.78 g/t gold over 5.0 metres (353.0 to 358.0 metres) including 46.86 g/t over 1.0 metre in hole BR-20-114; 11.11 g/t gold over 3.7 metres (154.3 to 158.0 metres) in hole BR-20-108; 19.39 g/t gold over 1.0 metre (87.0 to 88.0 metres) in hole BR-20-107; 23.22 g/t gold over 1.0 metre (97.0 to 98.0 metres) in hole BR-20-109; 16.73 g/t gold over 1.0 metre (194.0 to 195.0 metres) in hole BR-20-112; and 27.46 g/t gold over 1.0 metre (230.0 to 231.0 metres) within a zone grading 2.54 g/t gold over 14.0 metres in hole BR-20-113. A table of selected composited intersections from the Drill Program are shown in Table 1 below. Selected composited highlights from historic* drilling in the immediate areas of the Drill Program include: 215.74 g/t gold over 3.65 metres (193.85 to 197.5 metres) in hole OSK-11-04; 206.65 g/t gold over 1.5 metres (117.0 to 118.5 metres) in hole OSK-11-02; and 6.23 g/t gold over 1.5 metres (223.0 to 224.5 metres) in hole OSK-11-04. "This drill program was initiated as we recognized a significant opportunity to optimize the value of the Goldboro Gold Project and directly impact and potentially increase the overall value of the Project and other key economic metrics. The drill results indicate the presence of mineralization and grade where predicted by the geological model, providing the confidence to upgrade these portions of the deposit. Based on the success of the drill results to date, and in response to other near-term opportunities identified by the on-going feasibility study, we have initiated a further 9,500 metres of drilling to bring the drill program to 15,000 metres. The goal of the expanded drill program remains the same - to capitalize on identified opportunities to upgrade significant resources proximal to planned development, but with emphasis on near surface, open pit resources. These drill results and those anticipated in the next couple of months will be incorporated into an updated mineral resource and used for the final mine design for the feasibility study to be released in Q4 of 2020." ~ Kevin Bullock, President and CEO, Anaconda Mining Inc. The Drill Program, including the expanded drilling, is funded using existing flow through funds, but has also benefited from a grant received from the Government of Nova Scotia through a Mineral Resources Development Fund, shared funding exploration grant MRDF-2020-SF-035. The Company has critically considered logistical matters given the ongoing COVID-19 pandemic, to ensure that this Drill Program and any other programs are executed in a way that ensures the absolute health and safety of our personnel, contractors, and the communities where we operate. https://www.anacondamining.com/prviewer/release_only/id/4444094 FOR ADDITIONAL INFORMATION CONTACT: Anaconda Mining Inc. Kevin Bullock President and CEO (647) 388-1842 [email protected] Reseau ProMarket Inc. Dany Cenac Robert Investor Relations (514) 722-2276 x456 [email protected] Anaconda Mining Inc. Lynn Hammond VP, Corporate Affairs (709) 330-1260 [email protected] Exhibit A: A map showing the location of drill holes and selected composited highlights. SOURCE: Anaconda Mining Inc.
Goldboro construction could start at end of 2021 With the price of gold remaining strong amidst the COVID-19 pandemic, a Canadian mining company is expanding its drilling program at its East Coast sites. Anaconda Mining is actively drilling in three projects in Nova Scotia and Newfoundland and Labrador. In Canada's most eastern province, Anaconda has a pair of projects located on the Baie Verte Peninsula — a region of the province where the company has some history. The Point Rousse project includes deposits at Stog'er Tight and Argyle where drilling has recently occurred. Since 2010, Anaconda has produced over 118,000 ounces of gold at its Pine Cove mining site, which is part of the same project. It is now in the process of transition mining activity away from Pine Cove to the other sites. The second project on the peninsula is Tilt Cove, an exploration-stage project located about 45 kilometres by road from the Pine Cove mill. https://www.journalpioneer.com/busi...land-sites-as-gold-price-stays-strong-495936/ An aerial view of the Goldboro, Nova Scotia Anaconda Mining site. — CONTRIBUTED - Contributed In Nova Scotia, Anaconda's main focus is the aptly-named Goldboro project in Guysborough County. Earlier this month, the company announced results for its 5,500-metre drill program, which has intersected 13 mineralized zones, 11 of which featured visible gold occurrences. Geological model projections for the area consistently lined-up with these findings. The program has now been expanded to a depth of 15,000 metres. "I think this market is going to be around for a while and the gold price is going to stay strong, so we need to do what we can within our aggressive growth strategy, and that is to build a mine internally, which is Goldboro," Anaconda president and CEO Kevin Bullock said, adding merger and acquisition opportunities are also important to the company moving forward. In those situations, Anaconda is looking for seemingly bite-sized smaller projects that hold the potential to be acted on quickly. The earliest the company can expect to have permits for construction at Goldboro would be the end of 2021, with drilling expected to continue until then. Construction work would likely continue through to the spring of 2022. Bullock expects the company will be in a good position for project financing with solid feasibility work and a strong price environment. Meanwhile in Newfoundland, the Stog'er Tight mine drilling reached a depth of over 1,700 metres as of mid-August. The company has mined there in the past but identified an extension of mineralization and found geological and geophysical evidence of more drill targets — Bullock said this site has produced some of the best results he's seen in the last 10 years in terms of width and grade. An open-pit mineral reserve was announced for the Argyle site earlier that month, and the company anticipates ore production there in the fourth quarter of 2020. The company expects that will produce for two years. Exploration at the Tilt Cove site, including a 35-line kilometre geophysical survey and 10,000 metre diamond drill program, will start at the end of September. Price factors The price of gold has been quite high of late, exceeding $2,700 per ounce in Canadian dollars early last month before more recently taking a dip below $2,600. Overall, the price is up considerably from where it has generally been over the last 10 years. With governments spending a lot of money to get through the COVID-19 pandemic, demand for gold and other precious metals has been on the rise. "Then you get these capitulation and consolidation moments where it comes back down, because people who were in earlier have made significant profits and they're seeing the stock market drop 400 or 500 points in a day, and they're covering their other losses with their winners ... gold has been doing this sphere routine in the stocks,” Bullock said. “You see it moves up, and then consolidation, and then moves up, and consolidation, and that's very healthy for the gold price. There's global issues with politics, and there's global issues with finance. I don't see any of that settling quickly, so I think the gold price is going to be strong for quite some time." In this climate, the goal for Anaconda is to increase gold production. Even weaker deposits that might not work out typically can prove to be profitable in these circumstances, he added. "In that case, we're going as fast as we can with the development of Goldboro," he said. "We've been able to approve the development of Argyle ... and we're developing that now to keep production going there."
News from the Point rousse Project of Anaconda mining. https://www.anacondamining.com/prviewer/release_only/id/4462457 September 21, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX) is pleased to announce the filing of a technical report prepared in accordance with National Instrument 43-101 ("43-101") reporting on updated Mineral Resource and Mineral Reserves estimates ("MRMR") for its 100%-owned Point Rousse Gold Project ("Point Rousse", or the "Project") in Newfoundland and Labrador, Canada. The technical report follows the previous announcement on August 4, 2020 outlining the updated MRMR for the Argyle Deposit ("Argyle") at Point Rousse (All dollar amounts are in CDN $ unless otherwise stated). Highlights of the Mineral Resource and Mineral Reserves at Point Rousse Include: Point Rousse Probable Mineral Reserve includes material from Argyle, the Pine Cove Mine and the Pine Cove Run of Mine ("ROM") stockpile and includes 706,443 tonnes at an average diluted grade of 1.90 grams per tonne ("g/t") gold containing 43,183 ounces, based on a gold price of $1,900 (US$1,425); Point Rousse combined Indicated Mineral Resource of 1,470,000 tonnes at an average grade of 2.34 g/t gold containing 110,800 ounces, and a combined Inferred Mineral Resource of 515,000 tonnes at an average grade of 3.33 g/t gold containing 55,100 ounces; Mineral Reserves from the Pine Cove Mine Pit and ROM stockpile include 170,851 tonnes at an average diluted grade of 1.40 g/t gold, which will provide mill throughput into late Q4 2020; Mineral Reserves from the Argyle Deposit include 535,592 tonnes at an average diluted grade of 2.06 g/t gold containing 35,477 ounces; and At Argyle a pre-tax net present value at a 5% discount rate ("NPV 5%") of $13.1M and an Internal Rate of Return ("IRR") of 262%, and an after-tax NPV 5% of $11.4M with an IRR of 245%, all based on a $1,900 (US$1,425) gold price. "The Point Rousse Technical Report demonstrates strong economics of continued mining at Anaconda's Point Rousse Operation. While we continue to profitably process ore from the final benches of the Pine Cove Mine, we have commenced the development of the Argyle Gold Mine, which at a conservative gold price of C$1,900 will generate after-tax cumulative free cash flow of over $12.6 million. At current Canadian gold prices, Argyle could generate an after-tax net present value of over $20 million over the next 22 months. Meanwhile we are conducting a 4,000 metre drill program to extend mineralization at Stog'er Tight where we recently announced a drill discovery of broad, high-grade mineralization, that has not yet been incorporated into the mineral resource for Stog'er Tight outlined in the technical report. Leveraging our established infrastructure and strong operating team, we continue to demonstrate our ability to fast track successful exploration to production in the Baie Vert peninsula." ~ Kevin Bullock, President and CEO, Anaconda Mining Inc. Point Rousse Mineral Reserve Estimate The total Probable Mineral Reserves for the Point Rousse Project are as follows: Argyle Mineral Reserves Economics As previously reported, total gold ounces scheduled for mining at Argyle over the 22-month life of mine is expected to be 35,477 ounces at an average grade of 2.06 g/t gold from 535,592 tonnes of ore mined (see Table 2). It is expected that Argyle ore will be mined using conventional open pit mining methods with waste rock being stored locally at site and ore being transported by truck to the Pine Cove Mill. It is expected that Argyle ore will be batch-processed at approximately 1,200 tonnes per day with additional material from Pine Cove stockpiles supplementing the mill capacity of 1,300 tonnes per day. This will be accomplished with stockpile management techniques and circuit inventory methods in the mill to account for different mill feeds. Anaconda has received material permits to initiate development at Argyle, including a release from the Environmental Assessment and receipt of a Certificate of Approval (Department of Municipal Affairs and Environment), and the acceptance of the Development, Rehabilitation and Closure plan (Department of Natural Resources). Initial development activities have commenced, including cutting, land clearing and access construction, with mining of ore expected to commence in Q4 2020. Argyle has robust economics with a pre-tax discounted NPV 5% of $13.05M with an IRR of 262%, and an after-tax NPV 5% of $11.4M with an IRR of 245%. Total initial capital requirements of $2.98M are required, mainly for pre-stripping of waste and site preparation. Argyle Gold Price Sensitivity An analysis of the Argyle economics was completed at a variety of gold selling prices, and on the base case CAD$1,900 optimized pit and Probable Mineral Reserves as outlined in Table 3. The analysis demonstrates robust economics for Argyle at CAD$1,900, with strong leverage to rising gold prices which have exceeded CAD$2,600 per ounce at times. At a gold price of CAD$2,600 per ounce (US$1,950) which is in line with recent market pricing, Argyle could produce a pre-tax NPV 5% of $32.7M and an IRR of 1,336% and an after-tax NPV 5% of $24.5M and an IRR of 1,273%. Mineral Resources were prepared in accordance with NI 43-101, the CIM Definition Standards for MRMR (2014) and 2019 CIM MRMR Best Practice Guidelines. Mineral Resources are inclusive of Mineral Reserves. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. Open Pit Mineral Resources occur within an optimized pit shell developed by Dassault Systèmes Canada Inc.; base-case optimization parameters include: mining at $4.00 per tonne, combined processing and G&A at $29.00 per tonne, and a gold price of CAD$1,900/oz (US$1,425/oz). "Open Pit" Mineral Resources are reported at a cut-off grade of 0.50 g/t gold within the optimized pit shell and are considered to have reasonable prospects for eventual economic extraction by open pit mining methods. "Out of Pit" Mineral Resources are external to the optimized pit shell and are reported at a cut-off grade of 2.00 g/t gold. They are considered to have reasonable prospects for eventual economic extraction using conventional underground mining methods based on a mining cost of $91 per tonne, processing and G&A cost of $29.00 per tonne, and a gold price of CAD$1,900/oz. "Combined" Mineral Resources are the tonnage-weighted average summation of Open Pit and Out of Pit Mineral Resources. Mineral Resources were interpolated using Ordinary Kriging methods applied to 1 metre downhole assay composites capped at 15 and 30 g/t gold (Pine Cove and Stog'er Tight) and 20 g/t gold (Argyle). An average bulk density value of 2.77 g/cm3 was applied to all Mineral Resources. Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues. Mineral Resource tonnages and troy ounces have been rounded to the nearest 1,000 and 100, respectively; totals may vary due to rounding. The following Mineral Resource Estimate Effective Dates apply: Argyle - August 4, 2020, Pine Cove - August 8, 2020, and Stog'er Tight - April 22, 2020. Technical Report Filings and Qualified Person Statements The technical report is available under the Company's profile on SEDAR at www.sedar.com and on the Company's website at www.anacondamining.com. For readers to fully understand the information in this news release, they should read the technical report in its entirety, including all qualifications, assumptions and exclusions that relate to the Mineral Resources and Mineral Reserves. The technical report is intended to be read as a whole, and sections should not be read or relied upon out of context. The technical report, entitled " NI 43-101 Technical Report, Mineral Resource and Mineral Reserve Update on the Point Rousse Project, Baie Verte, Newfoundland and Labrador, Canada " with a report date of September 18, 2020, was authored by Independent Qualified Persons Cath Pitman (P. Geo.) of Adiuvare Geology and Engineering Ltd., Michael Cullen (P. Geo) and Matthew Harrington (P. Geo) both of Mercator Geological Services Limited., , and Qualified Persons Kevin Bullock (P. Eng), Jordan Cramm (P.Eng.), Chris Budgell (P.Eng.), Paul McNeill (P.Geo.) and David Copeland (P. Geo) of Anaconda Mining. This news release has been prepared and approved by Kevin Bullock, P.Eng., President and CEO and Paul McNeill, P. Geo., VP Exploration with Anaconda Mining Inc., and Michael Cullen, P.Geo., and Matthew Harrington, P.Geo. of Mercator Geological Services Limited., and Cath Pitman of Adiuvare Geology and Engineering Ltd., all qualified persons as defined under NI 43-101. Mr. Harrington, P.Geo. is responsible for disclosure regarding the Argyle Mineral Resource Estimate. Ms. Cath Pitman, P. Geo is responsible for disclosure regarding the Pine Cove and Stog'er Tight Mineral Resource Estimate. Mr. Bullock, P.Eng. is responsible for disclosure regarding the Point Rousse Mineral Reserve Statement and related Project Economics. Mr. McNeill is responsible for all other scientific and technical information disclosed in this news release. ABOUT ANACONDA Anaconda is a TSX and OTCQX-listed gold mining, development, and exploration company, focused in Atlantic Canada. The company operates mining and milling operations in the prolific Baie Verte Mining District of Newfoundland which includes the fully-permitted Pine Cove Mill, tailings facility and deep-water port, as well as ~11,000 hectares of highly prospective mineral lands including those adjacent to the past producing, high-grade Nugget Pond Mine at its Tilt Cove Gold Project. Anaconda is also developing the Goldboro Gold Project in Nova Scotia, a high-grade resource and the subject of an on-going feasibility study. FORWARD-LOOKING STATEMENTS This news release contains "forward-looking information" within the meaning of applicable Canadian and United States securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Anaconda to be materially different from those expressed or implied by such forward-looking information, including but not limited to risks associated with the exploration, development and mining such as economic factors as they effect exploration, future commodity prices, changes in foreign exchange and interest rates, actual results of current production, development and exploration activities, government regulation, political or economic developments, environmental risks, permitting timelines, capital expenditures, operating or technical difficulties in connection with development activities, employee relations, the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of resources, contests over title to properties, and changes in project parameters as plans continue to be refined as well as those risk factors discussed in Anaconda's annual information form for the year ended December 31, 2019 and the technical report both of which are available on www.sedar.com. Although Anaconda has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Anaconda does not undertake to update any forward-looking information, except in accordance with applicable securities laws. NON-IFRS MEASURES Anaconda has included certain non-IFRS performance measures as detailed below. In the gold mining industry, these are common performance measures but may not be comparable to similar measures presented by other issuers. The Company believes that, in addition to conventional measures prepared in accordance with IFRS, certain investors use this information to evaluate the Company's performance and ability to generate cash flow. Accordingly, it is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Operating Cash Costs per Ounce of Gold - Anaconda calculates operating cash costs per ounce by dividing operating expenses per the consolidated statement of operations, net of silver sales by-product revenue, by the gold ounces sold during the applicable period. Operating expenses include mine site operating costs such as mining, processing and administration as well as royalties, however excludes depletion and depreciation and rehabilitation costs. All-In Sustaining Costs per Ounce of Gold - Anaconda has adopted an all-in sustaining cost performance measure that reflects all of the expenditures that are required to produce an ounce of gold from current operations. While there is no standardized meaning of the measure across the industry, the Company's definition conforms to the all-in sustaining cost definition as set out by the World Gold Council in its guidance dated June 27, 2013. The World Gold Council is a non-regulatory, non-profit organization established in 1987 whose members include global senior mining companies. The Company believes that this measure will be useful to external users in assessing operating performance and the ability to generate free cash flow from current operations. The Company defines all-in sustaining costs as the sum of operating cash costs (per above), sustaining capital (capital required to maintain current operations at existing levels), corporate administration costs, sustaining exploration, and rehabilitation accretion and amortization related to current operations. All-in sustaining costs excludes capital expenditures for significant improvements at existing operations deemed to be expansionary in nature, exploration and evaluation related to growth projects, financing costs, debt repayments, and taxes. Canadian and US dollars are noted for realized gold price, operating cash costs per ounce of gold and all-in sustaining costs per ounce of gold. Both currencies are considered relevant and the Company uses the average foreign exchange rate for the period. FOR ADDITIONAL INFORMATION CONTACT: Anaconda Mining Inc. Kevin Bullock President and CEO (647) 388-1842 [email protected] Reseau ProMarket Inc. Dany Cenac Robert Investor Relations (514) 722-2276 x456 [email protected] Anaconda Mining Inc. Lynn Hammond VP, Public Relations (709) 330-1260 [email protected] SOURCE: Anaconda Mining Inc.
Anaconda Mining Reports Further Drill Results From the Goldboro Gold Project, Including 17.95 G/T Gold Over 2.5 Metres and 4.16 G/T Gold Over 22.8 Metres https://www.anacondamining.com/prviewer/release_only/id/4483099 TORONTO, ON / ACCESSWIRE / October 6, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX)(OTCQX:ANXGF) is pleased to announce drill results from an ongoing 15,000-metre drill program ("Drill Program") announced on September 3, 2020, at its 100%-owned Goldboro Gold Project ("Goldboro" or the "Project") in Nova Scotia, Canada. The Drill Program is designed to convert priority Inferred Mineral Resources, considered proximal to planned development in the feasibility study, into Measured and Indicated Mineral Resources of the Goldboro Deposit. The results to date continue to confirm significant high-grade gold zones in key areas being considered in the feasibility study, but excitingly they are being found within much wider zones of gold mineralization. These indications of broader mineralized zones could positively impact the mine planning work currently being carried out as part of the optimized feasibility study by reducing inherent mine dilution and increasing the contained number of near-surface ounces. Selected composited highlights from the Drill Program include: 4.16 grams per tonne ("g/t") gold over 22.8 metres (122.2 to 145.0 metres) including 45.30 g/t gold over 0.5 metres in hole BR-20-131; 17.95 g/t gold over 2.5 metres (84.4 to 86.9 metres) including 87.50 g/t gold over 0.5 metres in hole BR-20-128; 3.55 g/t gold over 10.9 metres (234.0 to 244.9 metres) including 26.43 g/t gold over 1.0 metre in hole BR-20-120; 3.92 g/t gold over 8.2 metres (37.0 to 45.2 metres) including 24.50 g/t gold over 1.0 metre in hole BR-20-131; 59.21 g/t gold over 1.0 metre (113.0 to 114.0 metres) in hole BR-20-117; 2.28 g/t gold over 13.0 metre (289.0 to 302.0 metres) including 22.28 g/t gold over 1.0 metre in hole BR-20-116; 1.45 g/t gold over 18.0 metre (269.0 to 287.0 metres) including 9.39 g/t gold over 1.0 metres in hole BR-20-119; and 6.87 g/t gold over 4.3 metres (97.5 to 101.8 metres) including 27.30 g/t gold over 1.0 metre in hole BR-20-132. A table of selected composited intersections from the Drill Program are shown in Table 1 below. "We continue to identify significant opportunities to add value to the Goldboro Gold Project through the optimization process, who have brought fresh eyes to this exciting development project. The expanded and ongoing infill Drill Program to date has confirmed that the key areas considered in the feasibility study contain significant high-grade gold zones, and importantly we are also seeing that they are commonly found within much wider zones of gold mineralization. These indications of broader mineralized zones could positively impact the mine planning work as part of the optimized feasibility study by reducing inherent mine dilution and increasing the number of ounces per vertical metre. We currently have three drill rigs in operation to complete the 15,000 metre Drill Program and remain focused on the goal of upgrading significant resources proximal to planned near-surface development, which we believe has the potential to positively impact the economics of the feasibility study." ~ Kevin Bullock, President and CEO, Anaconda Mining Inc. To date, a total of 5,678.5 metres in 28 drill holes (BR-20-105 to BR-20-132) have been completed under the Drill Program, with assays from drill holes BR-20-105 to BR-20-114 previously reported in a news release dated September 3, 2020. Current results fordrill holes BR-20-115 to BR-20-132, 3,550.5 metres in 18 drill holes, include intersections of mineralized zones within the East Goldbrook Gold System ("EG Gold System") and drill holes BR-20-125 to BR-20-132 are within the West Goldbrook Gold System ("WG Gold System") as further detailed in Table 1 and Exhibit A. A total of nine (9) visible gold occurrences were observed in these drillholes which consistently intersected mineralized belts as predicted by the current resource model. Mineralized intersections in both the EG Gold System and within the WG Gold System commonly included narrow high-grade intercepts within broader zones of gold mineralization. The Drill Program is funded using existing flow through funds but has also benefited from a grant received from the Government of Nova Scotia through a Mineral Resources Development Fund, shared funding exploration grant MRDF-2020-SF-035. The Company has critically considered logistical matters given the ongoing COVID-19 pandemic, to ensure that this Drill Program and any other programs are executed in a way that ensures the absolute health and safety of our personnel, contractors, and the communities where we operate. *Fire Assay Only This news release has been reviewed and approved by Paul McNeill, P. Geo., VP Exploration with Anaconda Mining Inc., a "Qualified Person", under National Instrument 43-101 Standard for Disclosure for Mineral Projects. All samples and the resultant composites referred to in this release are collected using QA/QC protocols including the regular insertion of standards and blanks within the sample batch for analysis and check assays of select samples. All samples quoted in this release were analyzed at Eastern Analytical Ltd. in Springdale, NL, for Au by fire assay (30 g) with an AA finish. For drill holes BR-20-115 to BR-20-124 samples analyzing greater than 0.5 g/t Au via 30 g fire assay were re-analyzed at Eastern via total pulp metallics. For the total pulp metallics analysis, the entire sample is crushed to -10mesh and pulverized to 95% -150mesh. The total sample is then weighed and screened to 150mesh. The +150-mesh fraction is fire assayed for Au, and a 30 g subsample of the -150mesh fraction analyzed via fire assay. A weighted average gold grade is calculated for the final reportable gold grade. Drill holes BR-20-125 to BR-20-132 are reported as fire assay only. Total pulp metallics assays for these drillholes will be updated in a future news release. Reported mineralized intervals are measured from core lengths. Intervals are estimated to be approximately 70-100% of true widths. A version of this press release will be available in French on Anaconda's website (www.anacondamining.com) in two to three business days. ABOUT ANACONDA Anaconda is a TSX and OTCQX-listed gold mining, development, and exploration company, focused in Atlantic Canada. The company operates mining and milling operations in the prolific Baie Verte Mining District of Newfoundland which includes the fully-permitted Pine Cove Mill, tailings facility and deep-water port, as well as ~11,000 hectares of highly prospective mineral lands including those adjacent to the past producing, high-grade Nugget Pond Mine at its Tilt Cove Gold Project. Anaconda is also developing the Goldboro Gold Project in Nova Scotia, a high-grade resource and the subject of an on-going feasibility study. FORWARD-LOOKING STATEMENTS This news release contains "forward-looking information" within the meaning of applicable Canadian and United States securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Anaconda to be materially different from those expressed or implied by such forward-looking information, including risks associated with the exploration, development and mining such as economic factors as they effect exploration, future commodity prices, changes in foreign exchange and interest rates, actual results of current production, development and exploration activities, government regulation, political or economic developments, environmental risks, permitting timelines, capital expenditures, operating or technical difficulties in connection with development activities, employee relations, the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of resources, contests over title to properties, and changes in project parameters as plans continue to be refined as well as those risk factors discussed in Anaconda's annual information form for the year ended December 31, 2019, available on www.sedar.com. Although Anaconda has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Anaconda does not undertake to update any forward-looking information, except in accordance with applicable securities laws. FOR ADDITIONAL INFORMATION CONTACT: Anaconda Mining Inc. Kevin Bullock President and CEO (647) 388-1842 [email protected] Anaconda Mining Inc. Lynn Hammond VP, Corporate Affairs (709) 330-1260 [email protected] Reseau ProMarket Inc. Dany Cenac Robert Investor Relations (514) 722-2276 x456 [email protected]
ANACONDA MINING REPORTS THIRD QUARTER 2020 RESULTS; GENERATES $6.2 MILLION OF CASH FLOW FROM OPERATING ACTIVITIES IN Q3 2020 TORONTO, ON / ACCESSWIRE / November 5, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX)(OTCQX:ANXGF) is pleased to report its financial and operating results for the three and nine months ended September 30, 2020 ("Q3 2020"). The condensed interim consolidated financial statements and management discussion & analysis documents can be found at www.sedar.com and the Company's website, www.anacondamining.com. All dollar amounts are in Canadian dollars unless otherwise noted. https://www.anacondamining.com/prviewer/release_only/id/4518064 Third Quarter 2020 Highlights Anaconda sold 5,105 ounces of gold in Q3 2020, generating metal revenue of $12.7 million at an average realized gold price* of $2,486 (US$1,866) per ounce sold. Cash flow from operating activities in Q3 2020 were $6.2 million, a 92% increase from the corresponding period of 2019, the result of strong production and a high gold price environment. Operating cash costs per ounce sold* at the Point Rousse Project in Q3 2020 were C$901 (US$677), compared to C$1,057 (US$800) in the three months ended September 30, 2019, mainly driven by increased gold sales. All-in sustaining cash costs per ounce sold* were C$1,261 (US$947) for Q3 2020, a 22% improvement over Q3 2019 as a result of higher ounces sold and lower corporate administration costs. The Company invested $2.2 million in its growth projects during Q3 2020, including $1.5 million on the Goldboro Gold Project and $0.7 million on exploration programs at the Tilt Cove Project and Point Rousse Project. The Point Rousse Complex generated EBITDA* of $8.1 million in Q3 2020 and $15.8 million in the nine months ended September 30, 2020, compared with $3.7 million and $8.2 million for the respective 2019 periods, with the year over year increase in driven by the strong gold price and increase in ounces sold over the comparative periods. Net income for the three months ended September 30, 2020 was $4.0 million, or $0.03 per share, compared to $1.1 million, or $0.01 per share, for the three months ended September 30, 2019. The improved net income for the period was driven by a 45% increase in revenue. On July 31, 2020, Anaconda completed a non-brokered flow-through private placement for $5.5 million, which will accelerate its highly prospective exploration and diamond drill programs in Atlantic Canada, particularly at the Goldboro Gold Project and the Tilt Cove Gold Project. As at September 30, 2020, the Company had a cash balance of $14.8 million and working capital* of $12.3 million. *Refer to Non-IFRS Measures section below. A full reconciliation of Non-IFRS Measures can be found in the Management Discussion and Analysis for the three and nine months ended September 30, 2020. "We are pleased to report a successful quarter of production and financial results, with Anaconda generating $6.2 million in cash flow from operations on 5,105 ounces of gold sold. We ended the third quarter with a treasury balance of $14.8 million and continue to generate free cash flow at the Point Rousse operation, which allows us to aggressively pursue our growth strategy. Anaconda continues to provide a unique opportunity to investors in a strong gold market, providing immediate leverage to higher gold prices through free cash flow generation, gold production growth through development at the Goldboro Gold Project, and exposure to significant exploration upside at prospective properties in Newfoundland and Nova Scotia, including the Tilt Cove Gold Project." ~Kevin Bullock, President and CEO, Anaconda Mining Inc. Consolidated Results Summary Financial Results Three months ended September 30, 2020 Three months ended September 30, 2019 Nine months ended September 30, 2020 Nine months ended September 30, 2019 Revenue ($) 12,703,630 8,778,562 31,594,739 23,040,960 Cost of operations, including depletion and depreciation ($) 5,540,360 5,954,877 18,368,320 17,770,962 Mine operating income ($) 7,163,270 2,823,685 13,226,419 5,269,998 Net income ($) 3,982,777 1,083,438 7,436,040 602,825 Net income per share ($/share) - basic and diluted ($) 0.03 0.01 0.05 0.00 Cash generated from operating activities ($) 6,183,727 3,217,085 12,007,716 4,581,431 Capital investment in property, mill and equipment ($) 387,383 523,237 1,577,708 2,048,287 Capital investment in exploration and evaluation assets ($) 2,150,374 2,595,838 4,638,061 9,492,019 Average realized gold price per ounce* US$1,866 US$1,428 US$1,672 US$1,327 Operating cash costs per ounce sold* US$677 US$800 US$830 US$837 All-in sustaining cash costs per ounce sold* US$947 US$1,208 US$1,121 US$1,238 September 30, 2020 December 31, 2019 Total assets ($) 77,257,235 63,757,965 Non-current liabilities ($) 5,778,074 6,903,274 *Refer to Non-IFRS Measures section for reconciliation Operational Overview - The Point Rousse operation produced 5,444 ounces of gold in Q3 2020, an increase of 16% compared to the third quarter of 2019 due to higher throughput and better recovery. The Pine Cove Mill processed 120,359 tonnes during Q3 2020, an increase of 5% compared to the third quarter of 2019 due to better mill availability. Average grade during Q3 2020 was 1.59 g/t, a 7% increase over the third quarter of 2019 and an increase of 43% from Q2 2020 when the mine experienced variability to the block model in certain lower areas of the pit. The mill achieved an average recovery rate of 88.5%, an increase from 85.6% achieved in Q3 2019 as a result of the higher-grade profile in Q3 2020. During the third quarter of 2020, the mine operations produced 187,185 tonnes of ore from the Pine Cove Pit, a 39% increase from Q3 2019, which reflects the lower strip ratio at the lower levels at the Pine Cove Pit compared to the comparative period where the focus was on pushbacks to the Pit. The Company ended the third quarter with an ore stockpile of 100,000 tonnes, which will provide mill throughput in the fourth quarter as the development of Argyle is completed. The Pine Cove Pit has now transitioned to a fully permitted in-pit tailings facility, with over 15 years of capacity at current throughput rates. During the third quarter, the Company received required permits to initiate development at Argyle. Initial development activities have commenced, including cutting, land clearing and access construction, which allowed for the mining of ore to commence in the middle of October 2020. Financial Results - Anaconda sold 5,105 ounces of gold during the third quarter of 2020, generating gold revenue of $12.7 million at an average realized gold price of C$2,486 per ounce (US$1,866). Operating expenses for the three and nine months ended September 30, 2020 were $4,616,353 and $15,657,270, respectively, compared to $4,916,099 and $14,140,265 in the three and nine months ended September 30, 2019. Operating expenses for Q3 2020 included mining costs of $2,432,583 and were lower than Q3 2019 primarily due to the 16% decrease in material mined during the quarter. Mining costs of $7,494,140 for the first nine months of 2020 were higher than the comparative 2019 period due to a 24% increase in material mined at Pine Cove in 2020 compared to Stog'er Tight in 2019. Processing costs of $2,264,310 in Q3 2020 were lower than the comparative period due to a one-time hydro credit of approximately $100,000 from the province of Newfoundland. Operating cash costs per ounce sold in the first nine months of 2020 were C$1,124 (US$830), and the Company is on track to meet its revised operating cash costs per ounce guidance of C$1,150 and C$1,250 per ounce of gold sold (US$850 - US$950 at an approximate exchange rate of 0.75). There was no royalty expense for Q3 2020 compared to $6,769 in Q3 2019 when production included a small amount of ore from Stog'er Tight, which carries a 3% net smelter royalty. Depletion and depreciation for the three months ended September 30, 2020 was $924,007 compared with $1,032,009 recognized in Q3 2019. Mine operating income for the three months ended September 30, 2020 was $7,163,270, compared to $2,823,685 in the corresponding period of 2019, with higher revenue resulting from significantly higher gold prices driving the increase in mine operating income. Corporate administration costs were $1,010,599 for Q3 2020, a decrease of 39% from Q3 2019, as a result of one-time severance costs incurred in the comparative period as part of the Company's effort to streamline corporate overhead. The Company also recorded an after-tax gain of $296,353 (pre-tax loss of $547,647) associated with the spin-out of the Great Northern and Cape Spencer Projects to Magna Terra Minerals Inc. Finance expense for the quarter was $47,153 for Q3 2020 and $171,714 for the nine months ended September 30, 2020, compared to $111,165 and $303,667 for the three and nine months ended September 30, 2019, respectively. Finance costs in the prior year were higher as a result of a gold loan that was delivered into in Q2 and Q3 2019. Net comprehensive income for the three months ended September 30, 2020, was $3,982,777, or $0.03 per share, compared to a net income of $1,083,438, or $0.01 per share. The improvement compared to the three months ended September 30, 2019 was the result of higher mine operating income which was partially offset by a higher net income tax expense, as the Company recorded a current income tax expense of $973,000 relating to provincial mining tax and a deferred income tax expense of $688,000 during the three months ended September 30, 2020 (three months ended September 30, 2019 - expense of $351,000 and a recovery of $693,000, respectively). For the nine months ended September 30, 2020, net income was $7,436,040, or $0.05 per share, compared to $602,825, or $0.00 per share for the first nine months of 2019, similarly due to the higher period over period mine operating income, partially offset by a higher net income tax expense, predominantly driven by a significantly higher gold price environment. Financial Position and Cash Flow Analysis As at September 30, 2020, the Company had working capital of $12,324,785, which included cash and cash equivalents of $14,755,538. Current taxes payable reflect an estimate of the Newfoundland mining taxes payable for the first three quarters of 2020, with mining taxes of $563,126 relating to 2019 being paid in the three months ended September 30, 2020. The current portion of loans includes $1,465,609 outstanding from a $5.0 million term loan with the Royal Bank of Canada ("RBC"). The term loan carries a fixed interest rate of 4.6% and performance guarantee fee by Export Development Canada ("EDC") of 1.85%, payable quarterly based on the proportional amount outstanding. Anaconda generated $6,183,727 in operating cash flows during the three months ended September 30, 2020, after accounting for corporate administration costs of $1,010,599. The Point Rousse Project generated EBITDA of $8,065,905, based on gold sales of 5,105 ounces at an average gold price of C$2,486 per ounce sold and operating cash costs of C$901 per ounce sold. During Q3 2020, the Company continued to invest in its key growth projects in Newfoundland and Nova Scotia. The Company spent $2,150,374 on exploration and evaluation assets (adjusted for amounts included in trade payables and accruals at September 30, 2020), primarily on the continued advancement of the Goldboro Gold Project and exploration activities at Tilt Cove, and invested $387,383 into capitalized development for Argyle and sustaining capital for the Pine Cove Mill. During the three months ended September 30, 2020, the Company also generated $216,140 in net proceeds from the sale of marketable securities. Financing activities during the three months ended September 30, 2020 included the net proceeds of $5,463,763 from a non-brokered flow-through private placement completed in July 2020, the ongoing repayment of the RBC term loan, and the repayment of other loans and lease obligations. The Company also received $330,997 from the exercise of warrants and $169,701 from the exercise of stock options. Non-IFRS Measures Anaconda has included in this press release certain non-IFRS performance measures as detailed below. In the gold mining industry, these are common performance measures but may not be comparable to similar measures presented by other issuers. The Company believes that, in addition to conventional measures prepared in accordance with IFRS, certain investors use this information to evaluate the Company's performance and ability to generate cash flow. Accordingly, it is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Operating Cash Costs per Ounce of Gold - Anaconda calculates operating cash costs per ounce by dividing operating expenses per the consolidated statement of operations, net of silver sales by-product revenue, by the gold ounces sold during the applicable period. Operating expenses include mine site operating costs such as mining, processing and administration as well as royalties, however, excludes depletion and depreciation and rehabilitation costs. All-In Sustaining Costs per Ounce of Gold - Anaconda has adopted an all-in sustaining cost performance measure that reflects all of the expenditures that are required to produce an ounce of gold from current operations. While there is no standardized meaning of the measure across the industry, the Company's definition conforms to the all-in sustaining cost definition as set out by the World Gold Council in its guidance dated June 27, 2013. The World Gold Council is a non-regulatory, non-profit organization established in 1987 whose members include global senior mining companies. The Company believes that this measure will be useful to external users in assessing operating performance and the ability to generate free cash flow from current operations. The Company defines all-in sustaining costs as the sum of operating cash costs (per above), sustaining capital (capital required to maintain current operations at existing levels), corporate administration costs, sustaining exploration, and rehabilitation accretion and amortization related to current operations. All-in sustaining costs excludes capital expenditures for significant improvements at existing operations deemed to be expansionary in nature, exploration and evaluation related to growth projects, financing costs, debt repayments, and taxes. Canadian and US dollars are noted for realized gold price, operating cash costs per ounce of gold and all-in sustaining costs per ounce of gold. Both currencies are considered relevant and the Company uses the average foreign exchange rate for the period. Average Realized Gold Price per Ounce Sold - In the gold mining industry, average realized gold price per ounce sold is a common performance measure that does not have any standardized meaning. The most directly comparable measure prepared in accordance with IFRS is gold revenue. The measure is intended to assist readers in evaluating the revenue received in a period from each ounce of gold sold. Earnings before Interest, Taxes, Depreciation and Amortization ("EBITDA") - EBITDA is earnings before finance expense, deferred income tax expense and depletion and depreciation. Point Rousse Project EBITDA is EBITDA before corporate administration and other expenses (income). Working Capital - Working capital is a common measure of near-term liquidity and is calculated by deducting current liabilities from current assets. ABOUT ANACONDA Anaconda is a TSX and OTCQX-listed gold mining, development, and exploration company, focused in Atlantic Canada. The company operates mining and milling operations in the prolific Baie Verte Mining District of Newfoundland which includes the fully-permitted Pine Cove Mill, tailings facility and deep-water port, as well as ~11,000 hectares of highly prospective mineral lands including those adjacent to the past producing, high-grade Nugget Pond Mine at its Tilt Cove Gold Project. Anaconda is also developing the Goldboro Gold Project in Nova Scotia, a high-grade resource and the subject of an on-going feasibility study. FORWARD-LOOKING STATEMENTS This news release contains "forward-looking information" within the meaning of applicable Canadian and United States securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Anaconda to be materially different from those expressed or implied by such forward-looking information, including risks associated with the exploration, development and mining such as economic factors as they effect exploration, future commodity prices, changes in foreign exchange and interest rates, actual results of current production, development and exploration activities, government regulation, political or economic developments, risks related to the COVID-19 pandemic, environmental risks, permitting timelines, capital expenditures, operating or technical difficulties in connection with development activities, employee relations, the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of resources, contests over title to properties, and changes in project parameters as plans continue to be refined as well as those risk factors discussed in Anaconda's annual information form for the year ended December 31, 2019, available on www.sedar.com. Although Anaconda has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Anaconda does not undertake to update any forward-looking information, except in accordance with applicable securities laws. FOR ADDITIONAL INFORMATION CONTACT: Anaconda Mining Inc. Kevin Bullock President and CEO (647) 388-1842 [email protected] Reseau ProMarket Inc. Dany Cenac Robert Investor Relations (514) 722-2276 x456 [email protected] Anaconda Mining Inc. Lynn Hammond VP, Corporate Affairs (709) 330-1260 [email protected] SOURCE: Anaconda Mining Inc.
ANACONDA MINING REPORTS FURTHER GOLDBORO INFILL DRILL RESULTS, INCLUDING 6.05 G/T GOLD OVER 11.7 METRES, 5.52 G/T GOLD OVER 7.2 METRES AND 6.63 G/T OVER 5.3 METRES TORONTO, ON / ACCESSWIRE / November 11, 2020 / Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX)(OTCQX:ANXGF) is pleased to announce drill results from an ongoing 15,000-metre infill drill program ("Drill Program") at its 100%-owned Goldboro Gold Project ("Goldboro" or the "Project") in Nova Scotia, Canada. The Drill Program is designed to convert priority Inferred Mineral Resources into Measured and Indicated Mineral Resources of the Goldboro Deposit as part of the ongoing feasibility study. These results continue to demonstrate that significant high-grade zones are consistent with the current resource model and, excitingly, that they are being found within much broader zones of mineralization near surface. The most recent results are from shallow drilling (<175 vertical metres) at the West Goldbrook Gold System ("WG Gold System"), near the West Goldbrook Fault (Exhibit A). These results demonstrate the presence of some high-grade gold zones within broader zones of gold mineralization in an area of conceptual open pit resources. A total of three (3) visible gold occurrences were also observed in these drill holes which intersected mineralized belts as predicted by the current resource model. Selected composited highlights from the Drill Program include: 6.05 grams per tonne ("g/t") gold over 11.7 metres (189.9 to 201.6 metres) including 12.55 g/t gold over 2.5 metres and 5.52 g/t gold over 7.2 metres (210.8 to 218.0 metres) in hole BR-20-142; 6.63 g/t gold over 5.3 metres from (35.7 to 41.0 metres) including 47.67 g/t gold over 0.5 metres in hole BR 20-134; 7.76 g/t gold over 4.4 metres (39.8 to 44.2 metres) including 22.07 g/t gold over 1.0 metre and 9.42 g/t gold over 1.0 metre in hole BR-20-135; 1.34 g/t gold over 18.7 metres (97.3 to 116.0) including 6.41 g/t gold over 1.0 metre in hole BR 20-135; 3.26 g/t gold over 7.0 metres (145.5 to 152.5 metres) including 25.20 g/t gold over 0.5 metres in hole BR 20-142; and 1.76 g/t gold over 11.7 metres (114.3 to 126.0 metres) including 6.87 g/t over 1.0 metre and 6.25 g/t gold over 1.0 metre in hole BR 20-134. A table of selected composite intersections from the Drill Program are shown in Table 1 below. "These drill results, together with those announced to date, are important to increasing our understanding of the scale of the mineral resource for the on-going feasibility study, particularly at vertical depths of less than 175 metres in areas of conceptual open pit mineral resources. The current drill results indicate a combination of broad mineralized zones supported with high-grade domains, particularly within the West Goldbrook Gold System, and will be used with other drilling information to further optimize open pits in the area of this drilling. With the infill Drill Program nearing completion we will be in a position to finalize pit designs and evaluate the economic impacts on the Project with respect to these broader zones of mineralization, which suggest there continues to be upside potential to the scale of the Project." ~ Kevin Bullock, President and CEO, Anaconda Mining Inc. To date, a total of 7,066.5 metres in 37 drill holes (BR-20-105 to BR-20-142 excluding BR-20-133) have been completed under the Drill Program, with assays from drill holes BR-20-105 to BR-20-132 previously reported in news releases dated September 3, 2020 and October 5, 2020. Current results for1,388.0 metres in nine (9) diamond drill holes (BR-20-134 to BR-20-142) include intersections of mineralized zones primarily within the WG Gold System near the West Goldbrook Fault as further detailed in Table 1 and Exhibit A. Diamond drill hole BR-20-133 was sampled out of sequence and will be reported in a later communication once assays have been received and evaluated. A total of three (3) visible gold occurrences were also observed in these drillholes. The Drill Program is funded using existing flow-through funds but has also benefited from a grant received from the Government of Nova Scotia through a Mineral Resources Development Fund, shared funding exploration grant MRDF-2020-SF-035. The Company has critically considered logistical matters given the ongoing COVID-19 pandemic, to ensure that this Drill Program and any other programs are executed in a way that ensures the absolute health and safety of our personnel, contractors, and the communities where we operate. Exhibit A: A map showing the location of drill holes and selected composited highlights referred to in this news release. To view enhanced image, click on the following link: https://storage.googleapis.com/accesswire/media/615913/ANACONDAMAP-111120.jpg SOURCE: Anaconda Mining Inc. View source version on accesswire.com: https://www.accesswire.com/615913/A...Gold-Over-72-Metres-and-663-gt-Over-53-Metres
Anaconda Mining Reports Further Near Surface Infill Drill Results at Goldboro, Including 28.52 G/T Gold Over 2.0 Metres, 3.99 G/T Gold Over 4.5 Metres and 1.85 G/T Gold Over 15.0 Metres https://www.anacondamining.com/prviewer/release_only/id/4536322 Anaconda Mining Inc. ("Anaconda" or the "Company") (TSX:ANX)(OTCQX:ANXGF) is pleased to announce drill results from an ongoing 15,000-metre infill drill program ("Drill Program") at its 100%-owned Goldboro Gold Project ("Goldboro" or the "Project") in Nova Scotia, Canada. The Drill Program is designed to convert priority Inferred Mineral Resources into Measured and Indicated Mineral Resources of the Goldboro Deposit as part of the ongoing feasibility study. The current drill results are all from shallow drilling (<175 vertical metres) at the West Goldbrook Gold System ("WG Gold System") at the western end of the Goldboro deposit and demonstrate numerous mineralized intersections consistent with the current resource model (Exhibit A). These results demonstrate that at shallow levels of the WG Gold System there are numerous mineralized zones that confirm the geometry and location of the modelled mineral resource. A total of eleven (11) visible gold occurrences were also observed in these drill holes. Selected composited highlights from the Drill Program include: 28.52 grams per tonne ("g/t") gold over 2.0 metres (125.6 to 127.6 metres) including 112.87 g/t gold over 0.5 metres in hole BR-20-146; 1.85 g/t gold over 15.0 metres (184.0 to 199.0 metres) including 29.13 g/t gold over 0.5 metres and 9.12 g/t gold over 0.5 metres in hole BR-20-147; 3.99 g/t gold over 4.5 metres (186.0 to 190.5 metres) including 26.80 g/t gold over 0.5 metres in hole BR-20-177; 8.68 gold over 1.9 metres (127.6 to 129.5 metres) including 17.60 g/t gold over 0.9 metres in hole BR-20-160; 4.29 g/t gold over 3.6 metres (27.0 to 30.6 metres) including 26.70 g/t gold over 0.5 metres in hole BR-20-158; 6.65 g/t gold over 2.0 metres (23.0 to 25.0 metres) including 17.40 g/t gold over 0.5 metres in hole BR-20-176; and 3.72 g/t gold over 3.5 metres (76.0 to 79.5 metres) including 12.70 g/t gold over 0.5 metres in hole BR-20-182. A table of selected composite intersections from the Drill Program are shown in Table 1 below. "As the current drill program progresses, we continue to increase our understanding of the Goldboro mineral resource and importantly its scale in areas of conceptual open pit resources. The shallow infill drilling in the western end of the Goldboro deposit is important as it confirms the geometry and location of the mineral resource and provides further insight into the extent to which we may be able to profitably mine within an open pit at Goldboro. The drill results from this program will allow us to refine the mineral resource model and upgrade resources to the Measured and Indicated categories at West Goldbrook and other areas of the deposit, which will be incorporated into the ongoing definitive feasibility study." ~ Kevin Bullock, President and CEO, Anaconda Mining Inc. To date, a total of 12,780.5. metres in 79 drill holes (BR-20-105 to BR-20-183) have been completed under the Drill Program, with assays from drill holes BR-20-105 to BR-20-142 previously reported in news releases dated September 3, 2020; October 5, 2020; and November 11, 2020. Current results for 5,075.0 metres in thirty-six (36) diamond drill holes (BR-20-143 to BR-20-183, excluding BR-20-157, -163, -167, -169 and -171 which were taken for comminution analysis) include intersections of mineralized zones primarily within the WG Gold System. Diamond drill hole BR-20-133 was sampled out of sequence and will be reported in a later communication once assays have been received and evaluated. The Drill Program is funded using existing flow through funds but has also benefited from a grant received from the Government of Nova Scotia through a Mineral Resources Development Fund, shared funding exploration grant MRDF-2020-SF-035. The Company has critically considered logistical matters given the ongoing COVID-19 pandemic, to ensure that this Drill Program and any other programs are executed in a way that ensures the absolute health and safety of our personnel, contractors, and the communities where we operate. Table 1. Selected Composite Highlights Within This News Release From The Drill Program. *please visit the anaconda mining website* This news release has been reviewed and approved by Paul McNeill, P. Geo., VP Exploration with Anaconda Mining Inc., a "Qualified Person", under National Instrument 43-101 Standard for Disclosure for Mineral Projects. All samples and the resultant composites referred to in this release are collected using QA/QC protocols including the regular insertion of standards and blanks within the sample batch for analysis and check assays of select samples. All samples quoted in this release were analyzed at Eastern Analytical Ltd. in Springdale, NL, for Au by fire assay (30 g) with an AA finish. For drill holes BR-20-143 to BR-20-150, samples analyzing greater than 0.5 g/t Au via 30 g fire assay were re-analyzed at Eastern Analytical Ltd. via total pulp metallics. For the total pulp metallics analysis, the entire sample is crushed to -10mesh and pulverized to 95% -150 - mesh. The total sample is then weighed and screened to 150mesh. The +150 - mesh fraction is fire assayed for Au, and a 30 g subsample of the -150 - mesh fraction analyzed via fire assay. A weighted average gold grade is calculated for the final reportable gold grade. Drill holes BR-20-151 to BR-20-183 reported as fire assay only. Total pulp metallics assays for these drillholes will be updated in a future news release. Reported mineralized intervals are measured from core lengths. Intervals are estimated to be approximately 70-100% of true widths. A version of this press release will be available in French on Anaconda's website (www.anacondamining.com) in two to three business days. ABOUT ANACONDA Anaconda is a TSX and OTCQX-listed gold mining, development, and exploration company, focused in Atlantic Canada. The company operates mining and milling operations in the prolific Baie Verte Mining District of Newfoundland which includes the fully-permitted Pine Cove Mill, tailings facility and deep-water port, as well as ~11,000 hectares of highly prospective mineral lands including those adjacent to the past producing, high-grade Nugget Pond Mine at its Tilt Cove Gold Project. Anaconda is also developing the Goldboro Gold Project in Nova Scotia, a high-grade resource and the subject of an on-going feasibility study. FORWARD-LOOKING STATEMENTS This news release contains "forward-looking information" within the meaning of applicable Canadian and United States securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Anaconda to be materially different from those expressed or implied by such forward-looking information, including risks associated with the exploration, development and mining such as economic factors as they effect exploration, future commodity prices, changes in foreign exchange and interest rates, actual results of current production, development and exploration activities, government regulation, political or economic developments, environmental risks, permitting timelines, capital expenditures, operating or technical difficulties in connection with development activities, employee relations, the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of resources, contests over title to properties, and changes in project parameters as plans continue to be refined as well as those risk factors discussed in Anaconda's annual information form for the year ended December 31, 2019, available on www.sedar.com. Although Anaconda has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Anaconda does not undertake to update any forward-looking information, except in accordance with applicable securities laws. FOR ADDITIONAL INFORMATION CONTACT: Anaconda Mining Inc. Kevin Bullock President and CEO (647) 388-1842 [email protected] Reseau ProMarket Inc. Dany Cenac Robert Investor Relations (514) 722-2276 x456 [email protected] Anaconda Mining Inc. Lynn Hammond VP, Corporate Affairs (709) 330-1260 [email protected] Exhibit A: A map showing the location of drill holes and selected composited highlights referred to in this news release. SOURCE: Anaconda Mining Inc.
The company added it continues to work on an Environmental Assessment Registration Document, which is expected to be filed in Q2 2022. More importantly, Anaconda noted that the Goldboro Deposit continues to be open in all directions and that the company believes there is further potential to expand the Goldboro Deposit along strike and at depth. "The Study demonstrates robust economics at a C$2,000 gold price (US$1,600) with an after-tax NPV5% of C$328 million, an after-tax IRR of 25.5% with a payback of 2.9 years, all in a top tier Canadian jurisdiction," said President and CEO Kevin Bullock. "This Study is a critical first step of our long-term development plan, which in the future will consider further technical studies to incorporate the high-grade underground mineral resource into the operation. Importantly, there continues to be tremendous upside potential at the Goldboro Deposit, which remains open in all directions." https://www.kitco.com/news/2021-12-...its-Goldboro-gold-project-in-Nova-Scotia.html (Kitco News) - Today, Anaconda Mining (TSX:ANX) reported positive results of the Phase I Open Pit Feasibility Study for its 100% owned Goldboro Gold Project in Nova Scotia, Canada. In a statement, the company said that the results of the Feasibility Study for Goldboro demonstrate strong economics with a mine life of approximately 11 years and average annual gold production of 100,000 ounces with average diluted grade of 2.26 grams per tonne. At a C$2,000 gold price (US$1,600), the project’s after-tax NPV5% is C$328 million and an after-tax IRR is 25.5%, with projected after-tax payback of 2.9 years. Initial capital cost is C$271 million and LOM sustaining capital is C$63.1 million. Life-of-Mine Operating Cash Cost is C$966 (US$773) per ounce and All-In Sustaining Cost is C$1,062 (US$849) per ounce. Importantly, the company said that at a gold price of C$2,200 (~US$1,760), Goldboro could generate cumulative after-tax net cash flows of approximately C$684 million, an after-tax NPV5% of over C$442 million and an after-tax IRR of 31.7%.
