Gammon Lake Resources Inc -
Gammon Lake results from Ocampo's 571.9-ton bulk sample
Gammon Lake Resources Inc
GAML
Shares issued 8,301,962
1999-04-27 close $1.45
Wednesday Apr 28 1999
Mr. Terence Donahoe reports
The company has received the results of the March 571.9-ton bulk sample
extracted from the Brenda mine claims at Ocampo, Chihuahua State, Mexico. The
head grade was 6.4 grams per ton of gold and 204 grams per ton silver as fire
assayed by the Brenda mine laboratory, the Ocampo project's on-site facility.
Using a factor of 1.8 grams of gold as being equivalent to 100 grams of silver the
head grade is equivalent to 10.1 grams per ton gold.
The ore was obtained from a width of two to six metres at the 42-metre level with
the total amount being delivered to the flotation mill in order to obtain a true
average grade. The mill was able to concentrate 85.8 per cent of the gold and
75.6 per cent of the silver for a shipment of concentrate to the Minera Penoles
smelter, an arm's-length facility. Initial tests have indicated cyanide leaching may
recover more gold and silver than the current flotation method. The company
expects to have another bulk sample report within the next seven days as a
continuation of its bulk sampling program.
Gammon Lake began a 1,000-metre diamond drill program on April 19, to
explore the alteration zone from which the company's geological staff obtained a
65-metre continuous chip sample of 2.97 g/t gold equivalent as previously
reported.
The 25-square-kilometre Ocampo mining district is on the northern edge of a
2.5-kilometre wide northwest-trending gold and silver zone. This area is part of a
gold and silver belt that trends north-northwest through Sonora and Chihuahua
states that contains multimillion ounce deposits such as Francisco Gold's El Sausel
deposit, Penole's Penos Altos and Placer Dome's Mulatos. The Ocampo district
has past production estimated as high as 4.8 million ounces of gold (Behre
Dolbear report - 1997). It has only recently had modern exploration methods
applied to determine the nature and extent of the deposits.
The Brenda mine claims have had underground work to the 60-metre level that
has identified the Jesus Maria, Veta Tierra, Balvanera, San Amado and La Zorra
structures. The El Penol structure is located at surface, 1,000 metres southeast of
the Brenda mine. |
