ATLANTIC GOLD REPORTS ADDITIONAL RESOURCE DRILLING RESULTS FROM THE COCHRANE HILL GOLD DEPOSIT
HIGHLIGHTS INCLUDE: 30M @ 3.93 G/T FROM 73M
January 3, 2017
Vancouver, British Columbia - Atlantic Gold Corporation (TSX-V: AGB) ("Atlantic" or the "Company") is pleased to report assay results received from an additional thirteen holes of the resource definition Diamond drilling program being undertaken at its Cochrane Hill Gold Project in Nova Scotia, Canada.
Cochrane Hill is a key gold deposit located near the Company's Moose River Consolidated (MRC) project with gold resources of 251,000 ounces of gold in 4.5 million tonnes @ 1.8 g/t in the Indicated category and 298,000 ounces of gold in 5.6 million tonnes @ 1.6 g/t in the Inferred category, but not yet included in the MRC life of mine plan.
A 2014 Preliminary Economic Assessment entitled "NI 43-101 Technical Report Preliminary Economic Assessment Nova Scotia, Canada" dated October 14, 2014 indicated that both total life of mine gold production and annual production could be significantly increased at MRC. The technical report can be viewed here.
Drilling Results:
These results support and continue to define a fairly discrete, tabular, 70o north-dipping zone of disseminated mineralization having a true width of approximately 25m in this part of the deposit.
Two drilling rigs have been deployed and have now ceased operations for 2016 with 12,888m in 89 holes having now been drilled as the first phase of the program. The final second phase of drilling will be completed in early 2017.
The accompanying cross section and drill progress plan can be viewed here: http://media3.marketwire.com/docs/Atlantic_CH_Drill_Plan_and_Sections.pdf
Subsequent Results of the 2016 infill drilling are tabulated below and highlighted in blue:
|
Hole id
|
Easting
|
Northing
|
Dip
|
Az.
|
Depth (m)
|
Significant Intervals (≥0.5g/t Au and up to 3m internal
dilution)
|
|
From (m)
|
To (m)
|
Width (m)
|
Grade (g/t Au)
|
|
CH-16-048
|
3225
|
3100
|
-45
|
171
|
71*
|
51
|
71
|
20
|
2.19
|
|
CH-16-049
|
3225
|
3190
|
-60
|
171
|
242
|
163
|
169
|
6
|
1.84
|
|
and
|
178
|
206
|
28
|
1.35
|
|
CH-16-050
|
3225
|
3120
|
-60
|
171
|
161
|
82
|
112
|
30
|
2.06
|
|
CH-16-051
|
3225
|
3140
|
-60
|
171
|
191
|
113
|
144
|
31
|
1.10
|
|
CH-16-052
|
3200
|
3160
|
-60
|
171
|
227
|
141
|
159
|
18
|
2.52
|
|
and
|
163
|
168
|
5
|
1.32
|
|
and
|
172
|
180
|
8
|
0.76
|
|
CH-16-053
|
3275
|
3105
|
-60
|
171
|
140
|
58
|
96
|
38
|
0.71
|
|
CH-16-054
|
3275
|
3150
|
-70
|
171
|
221
|
139
|
144
|
5
|
1.01
|
|
and
|
150
|
160
|
10
|
1.77
|
|
and
|
166
|
173
|
7
|
0.75
|
|
and
|
196
|
203
|
7
|
3.78**
|
|
(incl.
|
202
|
203
|
1
|
22.3)**
|
|
CH-16-055
|
3200
|
3120
|
-57
|
171
|
161
|
89
|
95
|
6
|
1.67
|
|
and
|
99
|
116
|
17
|
0.98
|
|
and
|
135
|
138
|
3
|
1.66
|
|
CH-16-057
|
3200
|
3078
|
-60
|
171
|
107
|
33
|
34
|
1
|
9.86
|
|
and
|
40
|
71
|
31
|
2.29
|
|
and
|
86
|
89
|
3
|
5.70
|
|
CH-16-058
|
3275
|
3080
|
-60
|
171
|
107
|
31
|
64
|
33
|
1.08
|
|
and
|
86
|
90
|
4
|
1.79
|
|
CH-16-059
|
3175
|
3150
|
-60
|
171
|
212
|
137
|
162
|
25
|
0.91
|
|
CH-16-060
|
3275
|
3050
|
-45
|
171
|
62
|
5
|
19
|
14
|
0.62
|
|
and
|
38
|
49
|
11
|
7.37
|
|
(incl.
|
41
|
42
|
1
|
76.8)
|
|
CH-16-061
|
3275
|
3060
|
-60
|
171
|
80
|
7
|
16
|
9
|
0.64
|
|
and
|
20
|
40
|
20
|
1.71
|
|
and
|
65
|
66
|
1
|
266
|
|
CH-16-062
|
3175
|
3110
|
-60
|
171
|
152
|
70
|
75
|
5
|
1.64
|
|
and
|
93
|
107
|
14
|
0.69
|
|
CH-16-063
|
3300
|
3070
|
-45
|
171
|
89
|
27
|
40
|
13
|
0.71
|
|
CH-16-067
|
3175
|
3065
|
-60
|
171
|
92
|
20
|
54
|
34
|
1.60
|
|
CH-16-070
|
3250
|
3110
|
-60
|
171
|
164
|
73
|
103
|
30
|
3.93
|
|
(incl.
|
87
|
88
|
1
|
79.5)
|
|
and
|
108
|
112
|
4
|
1.32**
|
|
and
|
137
|
138
|
1
|
18.95**
|
|
CH-16-072
|
3225
|
3100
|
-60
|
171
|
122
|
55
|
56
|
1
|
7.17
|
|
and
|
63
|
87
|
23
|
2.24
|
|
and
|
110
|
113
|
3
|
10.25**
|
|
(incl.
|
112
|
113
|
1
|
29.4)**
|
|
CH-16-073
|
3325
|
3100
|
-60
|
171
|
152
|
68
|
72
|
4
|
3.76
|
|
and
|
76
|
82
|
6
|
1.26
|
|
and
|
86
|
99
|
13
|
1.14**
|
|
CH-16-074
|
3325
|
3100
|
-45
|
171
|
110
|
44
|
48
|
4
|
1.05
|
|
and
|
57
|
72
|
15
|
0.82
|
|
CH-16-076
|
3325
|
3075
|
-45
|
171
|
86
|
26
|
45
|
19
|
0.80
|
|
and
|
51
|
52
|
1
|
5.61
|
|
CH-16-087
|
3425
|
3085
|
-60
|
171
|
122
|
53
|
62
|
9
|
0.58
|
|
and
|
69
|
80
|
11
|
1.09
|
*Hole abandoned in underground workings
**Wholly or partly includes 50g fire assay on pulverised whole-sample (to be screen fire assayed).
The objective of this Diamond drilling program is to bring the resources at the Company's Cochrane Hill deposit to measured and indicated status and thereby adding to the existing mine life at MRC.
The current resource estimate for Cochrane Hill is tabulated below:
|
Category
|
Tonnes (millions)
|
Grade (g/t) Au
|
Contained Au (oz.)
|
|
COCHRANE HILL
|
|
Indicated Resource
|
4.5
|
1.8
|
251,000
|
|
Inferred Resource
|
5.6
|
1.6
|
298,000
|
|
Resources that are not reserves do not have demonstrated economic viability
|
The Mineral Resource estimate for Cochrane Hill is quoted at a cut-off grade of 0.5g/t. It has an effective date of August 1, 2014 and was prepared as part of a technical report in accordance with NI 43-101 by Mr. Neil Schofield, a principal of FSSI (Australia) Pty Ltd, released on August 14, 2014 on SEDAR.
Elsewhere, at the Company's Fifteen Mile Stream Gold Project, seven holes for 577m have now been completed and additionally, eight holes for 944m have been drilled on a regional exploration target, the Plenty prospect, located just to the south of Fifteen Mile Stream.
Results and updates from these drilling programs will be reported progressively. Technical Disclosure
All core drilled is assayed. All assays are conducted on 1m whole-sampled pulverized samples of sawn, half NQ core and, where mineralization is expected, assayed by total sample screen fire assay with 2x fines fire assays, and insertion of standards and blind blanks. In the hangingwall and footwall of expected mineralization samples are assayed by 50g charge fire assay with any mineralized samples (generally >0.5g/t), and adjacent samples as appropriate, returned for screen fire assay. Sample preparation and assaying is conducted at the Sudbury and Vancouver laboratories of ALS Canada Ltd, an entity having no other relationship with the Company. Core recovery is estimated for each metre and averages >98%. Standards and blanks assay results are acceptable.
True width of the mineralization is approximately 80% of the down-hole width.
The individual drill hole assay results underlying the mineralized intersections listed in the table above have been verified by detailed checking against the original assays sheets. The lengths and average grades of each intersection have also been checked against the drill hole assay logs.
Wally Bucknell, Director of Exploration to the Company and a Qualified Person as defined by National Instrument 43-101 ("NI 43-101") has reviewed and approved the contents of this news release.
Further updates will be provided in due course. On behalf of the Board of Directors,
Steven Dean
Chairman and Chief Executive Officer
For further information about Atlantic, please contact:
Maryse Bélanger (COO)
+1 604 689-5564
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements:
This release contains certain "forward looking statements" and certain "forward-looking information" as defined under applicable Canadian and U.S. securities laws. Forward-looking statements and information can generally be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "estimate", "anticipate", "believe", "continue", "plans" or similar terminology. Forward-looking statements and information are not historical facts, are made as of the date of this press release, and include, but are not limited to, statements regarding discussions of future plans, guidance, projections, objectives, estimates and forecasts and statements as to management's expectations with respect to, among other things, the activities contemplated in this news release and the timing and receipt of requisite regulatory, and shareholder approvals in respect thereof. Forward-looking statements in this news release include, without limitation, statements related to proposed exploration and development programs, grade and tonnage of material and resource estimates. These forward looking statements involve numerous risks and uncertainties and actual results may vary. Important factors that may cause actual results to vary include without limitation, the timing