El Callao boosts resource

El Callao Mining (ECM-V) has increased by half a million ounces the overall resource estimate at its Lo Increible gold property in Venezuela.

Indicated and inferred resources from six deposits now total 24.15 million tonnes grading 3.28 grams gold per tonne. The estimate is equivalent to a contained resource of 2.5 million oz.

All six deposits — La Victoria, La Cruz, El Tapon, La Sofia, La Loca and El Extranjero — remain open at depth and along strike in at least one direction.

Mineral Resource Development Inc. (MRDI) based its caluculation on 194 diamond drill holes spanning 33,639 metres, and 71 reverse-circulation drill holes over 8,192 metres. A cutoff grade of 1 gram gold per tonne was used.

A breakdown of the individual deposits is as follows:

• La Victoria — Indicated resource: 4.8 million tonnes averaging 3.04 grams gold, or 469,330 contained ounces. Inferred resource: 9.16 million tonnes grading 3.19 grams gold, or 940,880 contained ounces.
• La Cruz — Indicated: 1.8 million tonnes of 3.95 grams, or 228,970 contained ounces. Inferred: 2.5 million tonnes of 3.98 grams, or 320,580 contained ounces.
• Sofia — Indicated: 725,000 tonnes of 2.83 grams, or 65,990 contained ounces. Indicated: 1 million tonnes of 2.55 grams, or 86,470 contained ounces.
• Tapon — Indicated: 721,000 tonnes of 4.12 grams, or 95,510 contained ounces. Inferred: 743,000 tonnes of 4.13 grams, or 98,610 contained ounces.
• La Loca — Indicated: 139,000 tonnes of 3.51 grams gold, or 15,740 contained ounces. Inferred: 469,000 tonnes of 3.43 grams, or 51,800 contained ounces.
• Extranjero — Indicated: 304,000 tonnes of 2.69 grams, or 26,290 contained ounces. Inferred: 1.7 million tonnes of 2.71 grams, or 150,050 contained ounces.

El Callao is conducting a prefeasibility study of the property’s open-pit potential, which is expected to be finished by year-end.

Bema Gold (BGO-T) is the largest shareholder of El Callao, owning about 38% of its shares.