TORONTO, ON–(Marketwired – June 20, 2017) – NewCastle Gold Ltd. (TSX: NCA) (“NewCastle Gold” or the “Company”) is pleased to report new assay results from the upper portions of the additional drilling in the JSLA open pit area at the Castle Mountain gold project (the “Project”) located in San Bernardino County, California. These results are for the holes that penetrated the backfill in the former JSLA pit, and form part of the Phase II definition drill program (the “Program”) in the JSLA pit area, that totaled 111 holes/39,700 metres of reverse circulation (“RC”) and diamond core drilling.
The JSLA pit, mined from 1991-1996, was subsequently backfilled with blasted Run-of-Mine (“ROM”) ‘waste’ and was below the historical cut-off grade of 0.5 grams per tonne gold (“g/t Au”) material from the later mined Jumbo and Oro Belle pits, located to the north. The Company will be required to remove part of this material in its initial pre-stripping activity and is currently assessing the viability of processing some, or all of it as described further below.
Assays results from RC Hole CMM-215, drilled within 100 metres of the approximate centre of the former mined pit returned an encouraging 0.46 g/t Au over 155.4 metres, including 1.94 g/t Au over 18.3 metres. This result suggests that pockets of higher grade material may be present within the backfill.
Gerald Panneton, President and CEO commented: “We are very pleased with the additional results obtained in the upper portions of the drilling through the JSLA backfill. With all 60 holes drilled through the backfill, we have been able to demonstrate the potential of a substantial volume of low-grade material, which would be part of the pre-stripping activities in a potential start-up. With the completion of these 60 holes, we are planning to include a ‘target potential’ resource for the backfill supported by metallurgical work that is scheduled for release at the same time as our mineral resource update in September of…