Continental Gold Drills Highest Grade Intercept to Date in BMZ1 at Buriticá, Averaging 19.90 Metres at 89.08 g/t Gold Equivalent

  • Broad Mineralized Zone 1 (“BMZ1”) drilling continues to intercept high-grade gold over broad widths at lower elevations approaching the Higabra Tunnel.
  • BUUY421 intercepted the highest grade X thickness of gold mineralization to date in BMZ1 as follows:
    • 19.90 metres @ 89.08 g/t gold equivalent, including a spectacular sub-interval of 0.50 metres @ 3,194.51 g/t gold equivalent (1,267 metre-elevation).
  • Multiple additional drill-holes in BMZ1, covering approximately 250 vertical metres of elevation, intercepted high-grade gold over excellent thicknesses with results as follows:
    • 40.60 metres @ 16.64 g/t gold equivalent (BUUY425, 1,331 metre-elevation)
    • 15.65 metres @ 15.51 g/t gold equivalent (BUUY430, 1,262 metre-elevation)
    • 17.40 metres @ 12.28 g/t gold equivalent (BUUY427, 1,288 metre elevation)
    • 23.00 metres @ 10.32 g/t gold equivalent (BUUY430, 1,307 metre-elevation)
    • 5.60 metres @ 48.77 g/t gold equivalent (BUUY377, 1,495 metre-elevation).
  • BMZ1’s vertical extent now totals more than 400 metres and the drill results reported herein highlight the potential for future mineral resource expansion.
  • A single drill hole was completed from a chamber in the Higabra Tunnel (lower elevation) and intercepted high-grade gold in multiple intercepts, all of which are located outside of the January 2019 mineral resource estimate block model, with highlight results as follows:
    • 1.10 metres @ 244.51 g/t gold equivalent (BUUY414, 1,163 metre-elevation)
    • 1.05 metres @ 22.89 g/t gold equivalent (BUUY414, 1,157 metre-elevation).
  • Given the close proximity of the high-grade gold intercepted in this hole to the future processing plant currently under construction, additional drilling will be carried out to ascertain if a new high-grade pay-shoot can be outlined for potential mining in early production years.

Toronto, Ontario, February 12, 2019 – Continental Gold Inc. (TSX:CNL; OTCQX:CGOOF) (“Continental” or the “Company”) is pleased to announce additional high-grade assay results from 12 holes drilled into the Yaraguá system as part of the drilling program at its 100%-owned Buriticá project in Antioquia, Colombia. The Company plans to drill up to 73,500 metres in 2019, consisting of approximately 55,000 metres of capitalized definition drilling and approximately 18,500 metres of exploration-led infill drilling primarily targeting the broad mineralized zones (“BMZ”).

“Buriticá continues to impress. Last week, we announced an updated mineral resource estimate, which delivered significant across-the-board growth and ranks our Buriticá deposit alongside a very scarce list of deposits globally in terms of size and grade. The Buriticá global mineral resource inventory now sits at slightly greater than 12 million gold equivalent ounces at over 10 grams per tonne (see Table 2). The drill intercepts reported today remind us that the Buriticá system is far from defined and will continue to grow well into the future. We look forward to receiving results from the combined 73,500-metre definition and infill drilling program planned for 2019,” said Ari Sussman, CEO. “Most importantly, construction of the Buriticá mine remains on schedule for first gold pour in H1 2020.”

Ten drill holes tested BMZ1, with all holes successfully intercepting high-grade gold over broad thicknesses. The highest grade drill intercept (grade X thickness) achieved to date in BMZ1 was encountered on the western flank of the zone at a median elevation of 1,267 metres, assaying:

  • 19.90 metres @ 88.91 g/t gold and 13 g/t silver, including an ultra high-grade sub-interval of 0.50 metres @ 3,190 g/t gold and 338 g/t silver (BUUY421).

Three of the drill holes testing BMZ1 were designed to step-out along the eastern edge of the plunge of the zone in an area with no prior drilling. All three holes intercepted high-grade gold over excellent widths as follows:

  • 40.60 metres @ 16.55 g/t gold and 7 g/t silver (BUUY425, 1,331 metre elevation)
  • 15.65 metres @ 15.36 g/t gold and 10.4 g/t silver (BUUY430, 1,262 metre elevation)
  • 17.40 metres @ 11.99 g/t gold and 21.6 g/t silver (BUUY427, 1,288 metre elevation)
  • 23.00 metres @ 10.20 g/t gold and 8.3 g/t silver (BUUY430, 1,307 metre elevation)

Table I: Drill Hole Results

Hole ID From

(m)
To

(m)
Intercept

Interval*

(m)
Gold**

(g/t)
Silver**

(g/t)
Gold

Equivalent**

(g/t)
Mid-Point

Elevation

(m)
BUUY374 16.80 18.00 1.20 13.09 56.5 13.84 1497
  47.90 51.80 3.90 7.43 7.7 7.53 1493
incl 47.90 48.50 0.60 20.70 18.0 20.94 1494
and 51.30 51.80 0.50 22.80 3.1 22.84 1493
  122.70 123.25 0.55 13.65 97.9 14.96 1484
  144.70 146.50 1.80 12.24 7.9 12.34 1481
incl 144.70 145.20 0.50 30.20 15.1 30.40 1481
  148.50 148.80 0.30 35.59 53.4 36.30 1481
  156.20 157.80 1.60 2.18 4.2 2.24 1480
  180.70 184.40 3.70 3.11 8.2 3.22 1477
  207.00 210.00 3.00 7.44 20.8 7.71 1474
incl 207.00 207.60 0.60 22.00 58.4 22.78 1474
BUUY377 17.50 18.00 0.50 11.10 36.1 11.58 1499
  41.70 42.20 0.50 10.35 8.2 10.46 1498
  126.70 128.50 1.80 6.84 31.1 7.25 1495
incl 126.70 127.30 0.60 17.40 78.6 18.45 1495
  138.80 140.80 2.00 10.01 6.6 10.10 1495
incl 138.80 139.40 0.60 22.10 13.4 22.28 1495
  143.50 144.10 0.60 15.65 38.8 16.17 1495
(BMZ1) 148.70 154.30 5.60 48.03 55.7 48.77 1495
incl 148.70 151.20 2.50 101.34 121.0 102.96 1495
BUUY405 Failed to Reach Target
Depth Due to Faulting
     
BUUY407 46.60 49.30 2.70 1.86 1.5 1.88 1455
  94.50 95.00 0.50 11.30 7.5 11.40 1413
  204.70 206.75 2.05 24.22 45.0 24.82 1314
incl 204.70 205.25 0.55 83.40 26.4 83.75 1315
  211.30 212.30 1.00 7.75 6.3 7.83 1309
  235.00 236.15 1.15 12.25 11.4 12.41 1288
  242.10 246.00 3.90 1.38 3.2 1.42 1280
  249.60 251.90 2.30 6.13 8.3 6.24 1264
incl 249.60 250.30 0.70 10.95 4.9 11.02 1276
  261.90 263.60 1.70 3.91 2.5 3.94 1264
(BMZ1) 269.40 285.20 15.80 5.25 36.8 5.74 1245
incl 274.00 274.50 0.50 20.00 15.4 20.21 1255
and 275.10 275.60 0.50 29.00 101.0 30.35 1254
and 281.20 282.20 1.00 15.20 10.1 15.33 1248
and 284.70 285.20 0.50 16.00 790.0 26.53 1245
  296.00 297.50 1.50 5.53 39.0 6.05 1234
incl 296.50 297.00 0.50 10.70 4.3 10.76 1235
  342.10 343.20 1.10 6.86 35.9 7.34 1197
incl 342.10 342.60 0.50 10.95 59.5 11.74 1197
  361.50 363.00 1.50 6.45 28.9 6.84 1180
incl 362.00 362.50 0.50 13.65 70.6 14.59 1180
BUUY409 50.10 51.35 1.25 4.31 7.7 4.41 1452
  53.80 55.80 2.00 2.89 28.5 3.27 1448
  87.25 87.80 0.55 11.65 18.9 11.90 1418
  190.50 191.00 0.50 30.40 21.7 30.69 1324
  197.00 197.80 0.80 5.18 12.1 5.34 1318
  227.80 228.90 1.10 5.10 12.6 5.26 1290
  238.10 246.55 2.35 1.66 3.6 1.67 1274
(BMZ1) 273.50 286.10 12.60 2.40 4.0 2.45 1238
(BMZ1) 295.50 306.45 10.95 3.05 4.1 3.10 1218
incl 300.95 301.45 0.50 10.70 6.1 10.78 1224
  334.10 335.75 1.65 2.85 6.2 2.93 1193
  337.30 339.00 1.70 9.28 89.7 10.48 1190
incl 338.40 339.00 0.60 20.10 231.0 23.18 1190
  388.85 393.00 4.15 13.22 224.0 16.21 1142
incl 390.90 391.45 0.55 62.40 1220.0 78.67 1143
and 392.50 393.00 0.50 24.50 100.0 25.83 1142
BUUY414 61.20 62.30 1.10 236.57 596.0 244.51 1163
incl 61.20 61.75 0.55 465.00 452.0 471.03 1164
  92.00 93.05 1.05 20.15 205.5 22.89 1157
  104.60 105.75 1.15 8.25 6.1 8.34 1155
incl 104.60 105.25 0.65 13.25 5.8 13.33 1155
  135.00 137.20 2.20 4.38 10.3 4.52 1149
BUUY417 36.20 37.30 1.10 3.73 7.5 3.83 1455
  139.00 141.40 2.40 12.15 73.1 13.12 1376
incl 139.00 139.50 0.50 49.50 315.0 53.70 1377
  160.00 161.70 1.70 5.67 4.7 5.73 1360
  173.20 173.90 0.70 11.15 7.9 11.26 1351
  193.35 199.65 5.70 6.22 10.7 6.36 1326
incl 197.20 199.65 2.45 10.37 15.0 10.57 1331
  202.70 207.30 4.60 4.65 6.8 4.74 1326
  219.20 223.00 3.80 6.71 4.1 6.76 1314
incl 219.20 219.70 0.50 33.20 5.0 33.27 1316
  227.60 229.80 2.20 1.70 15.1 1.90 1309
  234.90 236.25 1.35 7.84 7.3 7.94 1304
  251.70 252.30 0.60 8.47 5.0 8.54 1291
(BMZ1) 281.35 284.40 3.05 19.16 29.2 19.55 1265
incl 281.35 281.90 0.55 87.70 137.0 89.53 1269
  293.40 295.60 2.20 4.68 6.5 4.77 1259
incl 295.00 295.60 0.60 10.35 4.1 10.40 1259
  313.40 315.10 1.70 45.50 40.7 46.04 1245
incl 314.60 315.10 0.50 144.00 127.0 145.69 1245
  320.00 321.10 1.10 4.69 7.4 4.79 1237
  323.30 325.80 2.50 1.32 28.6 1.71 1237
  327.50 329.30 1.80 2.23 4.3 2.29 1235
  343.30 344.80 1.50 3.05 4.4 3.11 1223
  380.50 381.00 0.50 20.00 12.7 20.17 1197
  387.90 390.50 2.60 13.38 10.4 13.52 1190
incl 387.90 388.40 0.50 26.20 18.4 26.45 1192
and 389.50 390.50 1.00 21.00 16.7 21.22 1190
BUUY421 34.85 36.35 1.50 4.46 6.0 4.54 1458
  57.10 62.45 5.35 5.43 33.1 5.87 1440
incl 61.00 61.95 0.95 14.29 143.0 16.20 1441
  132.35 132.85 0.50 15.60 196.0 18.21 1394
  174.60 179.45 4.85 10.82 16.4 11.03 1361
incl 175.80 176.35 0.55 23.00 23.1 23.31 1365
and 178.00 179.45 1.45 20.91 29.8 21.31 1364
  222.75 226.90 4.15 47.26 129.9 48.99 1332
incl 223.50 224.50 1.00 97.10 220.0 100.03 1334
  240.15 240.80 0.65 8.26 5.6 8.33 1323
  243.60 246.50 2.90 1.61 2.1 1.64 1320
  260.70 270.10 9.40 5.48 7.8 5.58 1305
incl 261.30 261.90 0.60 23.00 15.8 23.21 1310
and 268.20 268.90 0.70 27.30 57.8 28.07 1305
  280.60 282.40 1.80 3.08 3.7 3.13 1297
(BMZ1) 323.50 343.40 19.90 88.91 13.0 89.08 1270
incl 328.55 329.05 0.50 3190.00 338.0 3194.51 1267
and 340.25 340.80 0.55 150.00 50.4 150.67 1260
  344.60 345.70 1.10 3.57 5.1 3.64 1257
BUUY422 133.05 135.90 2.85 37.93 38.3 38.44 1200
incl 133.05 133.55 0.50 180.50 206.0 183.25 1200
  140.65 142.30 1.65 3.14 4.7 3.21 1201
  171.90 174.10 2.20 5.70 5.3 5.77 1207
incl 173.55 174.10 0.55 10.65 11.0 10.80 1207
  193.50 196.15 2.65 1.30 30.4 1.70 1211
  200.40 202.70 2.30 5.71 214.7 8.57 1213
incl 200.40 202.00 0.50 17.80 882.0 29.56 1212
  220.00 221.10 1.10 4.22 4.2 4.28 1216
BUUY425 65.50 66.80 1.30 3.44 33.3 3.89 1435
  71.85 73.90 2.05 43.30 15.1 43.50 1429
incl 72.90 73.40 0.50 118.00 29.5 118.39 1429
  91.80 92.35 0.55 10.70 24.0 11.02 1416
  102.35 103.00 0.65 10.55 128.0 12.26 1408
  110.00 114.85 4.85 5.02 136.0 6.83 1399
incl 114.20 114.85 0.65 11.10 1.6 11.12 1399
  118.15 118.70 0.55 28.10 77.3 29.13 1396
  138.30 141.40 3.10 2.12 6.3 2.20 1380
  143.50 146.95 3.45 1.46 4.6 1.52 1376
(BMZ1) 167.90 208.50 40.60 16.55 7.0 16.64 1331
incl 169.50 170.00 0.50 458.00 104.0 459.39 1359
and 174.35 175.70 1.35 238.00 39.7 238.53 1355
  213.80 214.45 0.65 9.08 3.8 9.13 1326
  220.25 222.45 2.20 12.37 19.7 12.64 1321
incl 220.80 221.90 1.10 21.37 36.2 21.85 1321
and 220.80 221.30 0.50 32.80 51.6 33.49 1321
  342.00 344.50 2.50 14.04 34.4 14.50 1234
incl 342.50 343.00 0.50 27.90 25.5 28.24 1235
and 343.50 344.00 0.50 29.30 52.0 29.99 1234
BUUY427 85.10 87.25 2.15 3.29 10.3 3.43 1413
  97.65 98.25 0.60 35.10 12.5 35.27 1404
  103.30 105.90 2.60 1.62 4.7 1.69 1398
  112.80 115.05 2.25 6.29 43.5 6.87 1391
incl 114.35 115.05 0.70 11.35 36.4 11.84 1391
  116.10 117.90 1.80 15.13 11.4 15.28 1389
incl 116.10 116.70 0.60 26.80 14.1 26.99 1389
  181.00 185.50 4.85 9.05 7.8 9.15 1288
incl 181.00 181.70 0.70 45.90 23.4 46.21 1339
(BMZ1) 220.10 237.50 17.40 11.99 21.6 12.28 1288
incl 221.40 222.90 1.50 34.27 54.7 35.00 1307
and 229.80 230.80 1.00 55.85 75.9 56.86 1301
  253.10 253.60 0.50 21.10 39.6 21.63 1284
  266.70 269.70 3.00 6.15 10.7 6.29 1272
incl 266.70 267.20 0.50 31.00 42.3 31.56 1274
  322.00 323.50 1.50 7.01 9.3 7.14 1232
incl 323.00 323.50 0.50 17.60 20.5 17.87 1232
  331.50 332.00 0.50 38.10 8.8 38.22 1226
  338.60 339.10 0.50 7.99 7.2 8.09 1221
BUUY430 47.50 48.00 0.50 21.40 16.2 21.63 1442
  78.20 81.60 3.40 2.58 2.3 2.61 1415
  89.20 91.10 1.90 32.33 348.9 37.32 1407
incl 90.20 91.10 0.90 66.70 733.0 77.17 1406
  93.80 98.20 4.40 12.01 18.5 12.27 1399
incl 95.80 96.90 1.10 32.23 38.4 32.78 1402
  164.70 165.80 1.10 5.08 16.6