AntioquiaGold Inc

Antioquia Gold Cisneros Operations Update 03/05/2019

CALGARY, ALBERTA – (May 3, 2019) – Antioquia Gold Inc. (“Antioquia Gold” or the “Corporation”) (TSX VENTURE:AGD)(OTCQX:AGDXF) is pleased to provide an update on its Cisneros mining operation where significant improvements have been made.

Since its last update, the Corporation continues to achieve process improvements in the commissioning of its Cisneros plant. Some of the achievements are:

  • Metallurgical recovery has reached 95%, which exceeds the original design specifications.
  • While the Corporation continues to draw down lower grade stockpiles accumulated during construction of the mine, the percentage of contained gold continues to increase. This increase is a result of contributions from higher grade narrow veins. Further improvements are expected as the lower grade stockpile is consumed.
  • Plant throughput continues to increase reaching an average of 499 tonnes per day during April.

Since the commencement of production on March 1, 2019 this activity has resulted in sales of 544 tonnes of flotation concentrate and 41 tonnes of gravimetric concentrate. 

  January FebruaryMarchApril
Worked Days 11283130
Mineralized Material ProcessedTonnes1,6559,66611,89014,967
Mineralized Material Processed Average Per Day TPD150345.2383.6499.0
Feed Gradeg/t Au2.
Total Recovery%91.689.294.295.9
Gold ProducedOunces1126101,0441,306

Readers are cautioned that the Corporation’s decision to move forward with the construction and production of the Cisneros Mine is not based on the results of any pre-feasibility study or feasibility study of mineral resources demonstrating economic or technical viability. Readers are referred to the Cisneros Report for details on independently verified mineral resources on the Cisneros Project. Since 2013, the Corporation has undertaken exploration and development activities; and after taking into consideration various factors, including but not limited to: the exploration and development results to date, technical information developed internally, the availability of funding, the low starting costs as estimated internally by the Corporation’s management, the Corporation is of the view that the establishment of mineral reserves, the commissioning of a pre-feasibility study or feasibility study at this stage is not necessary, and that the most responsible utilization of the Corporation’s resources is to proceed with the development and construction of the mine. Readers are cautioned that due to the lack of pre-feasibility study or feasibility study, there is increased uncertainty and higher risk of economic and technical failure associated with the Corporation’s decision. In particular, there is additional risk that mineral grades will be lower than expected, the risk that construction or ongoing mining operations will be more difficult or more expensive than management expected. Production and economic variables may vary considerably, due to the absence of a detailed economic and technical analysis in accordance with NI 43-101. Project failure may materially adversely impact the Corporation’s future profitability, its ability to repay existing loans, and its overall ability to continue as a going concern.

In order to maximize operations, the Corporation has taken a series of actions that seek to increase production and improve gold grade by raising the contribution of high-grade narrow veins:

  • Preparation of an additional level of production at the Guaico mine at level 1208 (production will start in May).
  • Preparation of an additional level of production at the Guayabito mine at level 1401 (production will start in July)
  • Increase the treatment capacity of the processing plant from 500 TPD to 1,000 TPD, that is expected to be reached before the end of the year.

Management is committed to continuous improvement in the key operating indicators of the mine in the near term.

Qualified Persons

Roger Moss, Ph.D., P.Geo., Consultant to Antioquia Gold, is the qualified person as defined by National Instrument 43-101 and has reviewed and approved the technical information provided in this news release.

For further information on Antioquia Gold Inc. contact:
Antioquia Gold Inc.

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 press release.

Reader Advisory Forward-Looking Statements:

This press release contains “forward-looking information” within the meaning of Canadian securities legislation. This information and these statements, referred to herein as “forward-looking statements”, are made as of the date of this press release and the Corporation does not intend, and does not assume any obligation, to update these forward-looking statements, except as required by law.

Forward-looking statements relate to future events or future performance and reflect current expectations or beliefs regarding future events. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “anticipates”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategy”, “goals”, “objectives”, “schedule” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements.

Forward-looking statements are made based upon certain assumptions by the Corporation and other important factors that, if untrue, could cause the actual results, performances or achievements of Antioquia to be materially different from future results, performances or achievements expressed or implied by such statements. Such statements and information are based on numerous assumptions regarding present and future business prospects and strategies and the environment in which Antioquia will operate in the future, including the accuracy of any resource estimations, the price of gold, anticipated costs and Antioquia’s ability to achieve its goals, anticipated financial performance, regulatory developments, development plans, exploration, development and mining activities and commitments. Although management considers its assumptions on such matters to be reasonable based on information currently available to it, they may prove to be incorrect. Additional risks are described in Antioquia’s most recently filed Annual Information Form, annual and interim MD&A and other disclosure documents available under the Corporation’s profile at:

By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that estimates, forecasts, projections and other forward-looking statements will not be achieved or that assumptions do not reflect future experience. We caution readers not to place undue reliance on these forward-looking statements as a number of important risk factors could cause the actual outcomes to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates, assumptions and intentions expressed in such forward-looking statements.