Condor Gold PLC (LON:CNR) (TSE:COG) told investors it has mobilised a second rig for its new 4,000 metres infill drill programme targeting planned 'starter pits' for the La India gold project in Nicaragua.
The drill campaign began in December, 2020, the company noted in an update.
It aims to tighten the drill hole spacing within the planned high-grade starter pits on the principal La India Vein.
To date, six drill holes have been drilled in the programme and assay results are pending. The addition of a second rig will soon accelerate progress.
Results will yield necessary sample density to finalize pit designs and mine schedules, ahead of the mine’s production start-up. It will make the mine’s starter pits ‘shovel ready’, Condor noted.
The programme will also enable the company to upgrade its prior gold resource – with the more accurate diamond drill results replacing reverse circulation results used in the current resource statement. As such findings of the new drilling are expected to improve the geological model and sample quality.
Additionally, some drill holes will target near-by inferred mineral resources to potentially upgrade the target to an indicated mineral resource. This could allow more ounces to move into the mine plan.
“As Condor progresses towards production it has been decided to initiate mine production with high-grade starter pits within the permitted main La India open pit and the permitted high-grade Mestiza open pit,” said Mark Child, Condor chief executive in a statement.
“The drill program within the La India starter pits will close-up the sample density to 25-metre by 25-metre spacing and is the final drilling ahead of extraction. Mining the higher grade will bring forward cashflow, shorten the payback period and enhance project economics."