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Velocity Minerals Enters into Option Agreement for the Makedontsi Gold Project, Southeast Bulgaria
VANCOUVER, British Columbia, May 28, 2019 (GLOBE NEWSWIRE) -- Velocity Minerals Ltd. (TSXV: VLC) (“Velocity” or the “Company”) announces that it has entered int
About this update from Velocity Minerals Ltd.
[{"type":"text","content":" VANCOUVER, British Columbia, May 28, 2019 (GLOBE NEWSWIRE) -- Velocity Minerals Ltd. (TSXV: VLC) (“Velocity” or the “Company”) announces that it has entered into an option agreement (the “Agreement”) with Bulgarian partner, Gorubso Kardzhali A.D., (“Gorubso”) to acquire a 70% interest in the 194-hectare Nadezhda property (the “Property”), which includes the Makedontsi gold project (“Makedontsi” or the “Project”); a geological resource registered on the Bulgarian State balance. Under the terms of the option agreement, Velocity can earn a 70% interest by delivering a mineral resource estimate prepared under National Instrument 43-101 (“NI 43-101”). Makedontsi Gold Project The Makedontsi deposit is located in southeast Bulgaria, approximately 10km by road from Gorubso’s modern CIL processing plant (Figure 1). The deposit is open for expansion and requires systematic exploration to investigate its full potential and to deliver a mineral resource estimate prepared under NI 43-101. Concurrent with and building upon the Company’s Rozino prefeasibility activities, a program of modern integrated exploration is planned in order to assess ‘blind’ mineralization amenable to open pit mining under a thin post mineralization limestone cover sequence. The resource which is registered with the Ministry of Energy in Bulgaria (Table 1) is based on historical exploration, including approximately 250 drill holes (11,500m) and 5,000m of trenching completed by Gorubso. Table 1: Historical Resources for Makedontsi1, calculated by Gorubso using the Bulgarian classification system. Please review cautionary language below with respect to Historical Resources. Cut-off Grade (g/t gold) Tonnes (Mt) Gold Grade (g/t gold) Contained Gold (ounces gold) Bulgarian Resource Category 0.5 5,954,349 1.0 210,745 C1 + C2 0.5 2,653,814 0.9 84,814 C3 Note 1. Historical resources at Makedontsi were calculated by Gorubso using the Bulgarian classification scheme, based on manual polygonal methods of resource classification. Resources were submitted to and accepted by the Bulgarian government, Dragiev H, 2013 \"Mlechino Prospecting License, Geological Report at the Nadezhda Prospect, with Resource and Reserve Recalculations of ‘Au Ores’ at the Makedontsi, Dangovo and Kalina deposits”. Additional work will be required in ...