Contango Ore Provides Update and 2024 Drill Results for the Johnson Tract Project, Alaska, USA
Contango ORE (NYSE American: CTGO) has announced results from its 2024 surface drill campaign at the Johnson Tract polymetallic gold project in Alaska. The project's JT Deposit has an Indicated Resource of 1.05 million ounces at 9.39 g/t gold equivalent. The 2024 program completed 3,000 meters of drilling across 18 infill holes and three hydrogeological test holes.
Key highlights include exceptional drill results such as 223.5m at 11.5 g/t AuEq in GT24-008 and 93.0m at 9.1 g/t AuEq in GT24-007. The company received a 404 Permit for constructing a 2.6-mile access road and is advancing towards feasibility studies and mine development using their DSO approach.
Contango ORE (NYSE American: CTGO) ha annunciato i risultati della campagna di perforazione superficiale 2024 presso il progetto di oro polimetallico Johnson Tract in Alaska. Il giacimento JT del progetto ha una Risorsa Indicata di 1,05 milioni di once a 9,39 g/t di equivalente oro. Il programma del 2024 ha completato 3.000 metri di perforazione su 18 fori di infill e tre fori di test idrogeologici.
Tra i principali risultati si segnalano eccezionali risultati di perforazione come 223,5 m a 11,5 g/t AuEq in GT24-008 e 93,0 m a 9,1 g/t AuEq in GT24-007. L'azienda ha ricevuto un Permesso 404 per la costruzione di una strada di accesso di 2,6 miglia e sta procedendo verso studi di fattibilità e sviluppo della miniera utilizzando il loro approccio DSO.
Contango ORE (NYSE American: CTGO) ha anunciado los resultados de su campaña de perforación de superficie 2024 en el proyecto de oro polimetálico Johnson Tract en Alaska. El Depósito JT del proyecto tiene un Recurso Indicado de 1,05 millones de onzas a 9,39 g/t de equivalente en oro. El programa de 2024 completó 3,000 metros de perforación en 18 agujeros de relleno y tres agujeros de prueba hidrogeológicos.
Los puntos destacados incluyen resultados de perforación excepcionales como 223,5 m a 11,5 g/t AuEq en GT24-008 y 93,0 m a 9,1 g/t AuEq en GT24-007. La empresa recibió un Permiso 404 para construir una carretera de acceso de 2.6 millas y avanza hacia estudios de viabilidad y desarrollo de mina utilizando su enfoque DSO.
Contango ORE (NYSE American: CTGO)는 알래스카의 Johnson Tract 다중 금속 금 프로젝트에서 2024년 표면 드릴 캠페인의 결과를 발표했습니다. 프로젝트의 JT 매장량은 1,050,000 온스의 금 equivalente이 9.39 g/t 인 표시된 자원이 있습니다. 2024년 프로그램에서는 18개의 인필 홀과 3개의 수리 수리 시험 홀에서 3,000미터의 시추를 완료했습니다.
주요 하이라이트로는 GT24-008에서 11.5 g/t AuEq의 223.5m 및 GT24-007에서 9.1 g/t AuEq의 93.0m과 같은 뛰어난 시추 결과가 포함됩니다. 회사는 2.6마일의 접근 도로 건설을 위한 404Permit을 받았고, 자신의 DSO 접근 방식을 사용하여 타당성 연구 및 광산 개발로 나아가고 있습니다.
Contango ORE (NYSE American: CTGO) a annoncé les résultats de sa campagne de forage de surface 2024 sur le projet de gold polymétallique Johnson Tract en Alaska. Le gisement JT du projet a une Ressource Indicative de 1,05 million d'onces à 9,39 g/t d'équivalent or. Le programme 2024 a complété 3 000 mètres de forage à travers 18 trous de remplissage et trois trous de test hydrogéologique.
Les points forts incluent des résultats de forage exceptionnels tels que 223,5 m à 11,5 g/t AuEq dans GT24-008 et 93,0 m à 9,1 g/t AuEq dans GT24-007. L'entreprise a reçu un permis 404 pour la construction d'une route d'accès de 2,6 miles et avance vers des études de faisabilité et le développement de la mine en utilisant leur approche DSO.
Contango ORE (NYSE American: CTGO) hat die Ergebnisse seiner 2024er Oberflächenbohrkampagne im Johnson Tract polymetallischen Goldprojekt in Alaska bekannt gegeben. Das JT-Vorkommen des Projekts hat eine angezeigte Ressource von 1,05 Millionen Unzen bei 9,39 g/t Goldäquivalent. Das Programm 2024 hat 3.000 Meter Bohrungen über 18 Nachbohrlöcher und drei hydrogeologische Testlöcher abgeschlossen.
Wichtige Highlights sind außergewöhnliche Bohrergebnisse wie 223,5 m bei 11,5 g/t AuEq in GT24-008 und 93,0 m bei 9,1 g/t AuEq in GT24-007. Das Unternehmen erhielt eine 404 Genehmigung zum Bau einer 2,6 Meilen langen Zufahrtsstraße und schreitet auf dem Weg zu Machbarkeitsstudien und Bergbauentwicklungen unter Verwendung seines DSO-Ansatzes voran.
- Received Section 404 permit for construction of portal access road and expanded airstrip
- Strong drill results with high-grade intercepts (GT24-008: 223.5m at 11.5 g/t AuEq)
- JT Deposit shows substantial Indicated Resource of 1.05M oz at 9.39 g/t AuEq
- Project advancing toward feasibility study and mine development
- Several drill holes reported no significant intercepts (JT24-160, 161, 164, 165, 172, 173)
- Deeper parts of deposit require underground access for proper drilling angles
Insights
The 2024 drill results from Johnson Tract Project demonstrate exceptional high-grade mineralization, particularly highlighted by intercepts including
The receipt of the 404 Permit for access road construction marks a important regulatory milestone, streamlining the path toward development. The planned 1.6km exploration tunnel will enable more precise definition drilling of the deposit's higher-grade zones, potentially expanding the current Indicated Resource of 1.05 million ounces.
The comprehensive metallurgical, hydrological and environmental studies being conducted suggest a methodical approach toward feasibility, reducing technical risks. The polymetallic nature of the deposit (gold, silver, copper, lead, zinc) provides valuable diversification and potential revenue streams, though this complexity may impact processing costs.
The extensive environmental and technical studies being conducted demonstrate a thorough approach to project development. The installation of monitoring wells and vibrating wire piezometers provides important hydrological data necessary for both immediate exploration needs and long-term mine planning.
The completion of wetlands mapping, fish habitat assessment and cultural studies indicates strong environmental stewardship and regulatory compliance. The Clean Water Act Section 404 permit approval for the access road and airstrip expansion represents significant regulatory progress, suggesting positive relationships with regulatory bodies.
The ongoing metal leaching and acid rock drainage characterization studies are particularly important for understanding potential environmental impacts and developing appropriate management strategies. This proactive approach to environmental considerations strengthens the project's development pathway.
The 2024 exploration program drilled approximately 3,000 m (9,842 feet) in 18 holes drilled to infill the upper one-third of the near vertical resource and three holes drilled for hydrogeological testing and monitoring to characterize the overall hydrology and water quality around the JT Deposit. A number of the holes will also be used for further metallurgical testing and geometallurgical characterization. Contango continued advancing field studies to support permitting and engineering of an exploration drift to access the deeper, high-grade portion of the JT Deposit for infill and exploration drilling.
HIGHLIGHTS OF THE 2024 PROGRAM
- Receipt of a 404 Permit for construction of a 2.6 mile (4 km) access road from the camp to the proposed portal and laydown site.
- Twenty-one drillholes yield thick, high-grade intercepts typical of the JT Deposit, with highlights including:
- GT24-008 - 223.5 m at 11.5 g/t AuEq (drilled down plunge for hydrogeologic purposes), including
- 55.5 m at 30.3 g/t AuEq
- GT24-007 – 93.0 m at 9.1 g/t AuEq, including
- 22.1 m at 20.7 g/t AuEq, and
- JT24-159 30.2 m at 6.3 g/t AuEq, including
- 14.7 m at 10.6 g/t AuEq
- GT24-008 - 223.5 m at 11.5 g/t AuEq (drilled down plunge for hydrogeologic purposes), including
See Table 1 for complete list of results.
- Hydrogeologic and geotechnical testing of three drillholes and installation of additional monitoring wells (MW) and vibrating wire piezometers (VWP).
- Ongoing field studies related to permitting and engineering for the exploration drift and for a future Feasibility Study.
Rick Van Nieuwenhuyse, President & CEO said: "We are excited to report results from Contango's first drill program since acquiring the Johnson Tract Project in July. The infill drilling serves as a reminder of the exceptional grade, continuity, and width of the JT Deposit. We are focused on advancing the Project towards feasibility and a mine development decision using our DSO approach. Right now, that means advancing geotechnical, hydrologic, and other environmental and engineering studies in preparation for permitting an approximately 1.6 km (1 mile) exploration tunnel to support definition drilling of the deeper 2/3rds of the JT Deposit. We are pleased to have received a Section 404 permit from the US Army Corps of Engineers for construction of a portal access road and expanded airstrip. We plan to continue permitting the portal site with the Alaska Department of Natural Resources Office of Project Management and Permitting (OPMP). Planning is underway for a 2025 program."
2024 DRILL RESULTS
The results from the 2024 drill program are reported below. A total of 21 HQ diamond drillholes (including one failed hole) for a total of 3,092.3 m were completed, including three hydrogeologic/geotechnical holes (924.7 m) and 18 shallow infill holes (2,167.6 m). Table 1 lists the drill results for all metals analyzed (gold-silver-copper-lead-zinc, as well as gold equivalent calculations). Please note the formula for calculating gold equivalent. Figures 1 and 2 show a plan map location for the drilling and pierce points for the drill holes on a long section through the mineralized zone.
Infill holes targeted the top third of the deposit from surface at 25 m spacing with the purpose of upgrading the 2022 Mineral Resource Estimate (MRE) to the Measured and Indicated categories. Deeper, higher-grade parts of the deposit are increasingly difficult to intersect at appropriate angles from surface due to topographic constraints and are planned to be drilled from underground following the development of the exploration drift.
Hydrogeologic holes were drilled to add two VWPs and one MW in addition to hydrogeologic packer testing to characterize the hydrology of the Dacite Fault, the JT Deposit, and immediate host rocks west of the Dacite Fault. Work was done in 2023 to characterize the hydrology of the exploration drift development rock west of the Dacite Fault. Hydrogeologic data from 2023 and 2024 will be modeled for planning and permitting of the exploration drift and future mine development.
In addition to standard assays, samples were also selected for specific gravity from the 2024 drillholes to improve density calculations in future mineral resource estimates. Additional sampling was completed for metal leaching and acid rock drainage (ML/ARD) characterization of the mineralized and altered rocks in and around the resource. This ML/ARD work began in 2022 and is ongoing. Work was also begun towards geometallurgical modeling of the JT Deposit.
2024 EXPLORATION AND DEVELOPMENT ACTIVITIES
A 1 mile (1,600 m) exploration tunnel at the JT Deposit is planned to provide a platform for cost-effective, tightly spaced definition drilling of the highest-grade portions of the JT Deposit and support future engineering and mine planning work for a Feasibility Study. The tunnel will also be designed for potential future mine access and haulage, and to support further deep exploration targets.
In support of the exploration tunnel and a future Feasibility Study, Contango completed a comprehensive field program in 2024 consisting of hydrogeological test work, engineering, and numerous environmental and cultural studies, including surface hydrology work, surface and groundwater sampling, fish habitat assessment and biomonitoring, wetlands mapping, nesting raptor surveys, and meteorological data collection. A Clean Water Act Section 404 permit was received on September 10, 2024, from the US Army Corps of Engineers, to construct a 2.6 mile (4 km) portal access road and expanded airstrip. Planning is underway for a 2025 program.
Drill Hole | From | To | Length | Au | Ag | Cu | Pb | Zn | AuEq1 |
(m) | (m) | (m) | (g/t) | (g/t) | % | % | % | (g/t) | |
GT24-007 | 229 | 322 | 93 | 6.65 | 7.66 | 1.14 | 0.36 | 2.23 | 9.1 |
incl | 254 | 271 | 17 | 21.3 | 7.75 | 1.16 | 0.2 | 3.66 | 24.32 |
GT24-008 | 5.9 | 229.4 | 223.5 | 8.89 | 6.06 | 0.45 | 0.88 | 4.42 | 11.5 |
incl | 141.4 | 196.9 | 55.5 | 27.61 | 8.31 | 0.73 | 0.97 | 3.54 | 30.25 |
GT24-009 | 62 | 136.8 | 74.8 | 2.08 | 5.12 | 0.64 | 0.72 | 6.87 | 5.88 |
JT24-157 | 47.5 | 94.5 | 47 | 0.96 | 3.67 | 0.35 | 0.08 | 5.6 | 3.72 |
incl | 71 | 94.5 | 23.5 | 1.72 | 4.3 | 0.46 | 0.15 | 8.89 | 5.97 |
JT24-158 | 45 | 93.6 | 48.6 | 1.95 | 4.81 | 0.42 | 0.58 | 4.32 | 4.41 |
JT24-159 | 42.5 | 72.7 | 30.2 | 3.63 | 4.23 | 0.48 | 0.24 | 4.95 | 6.31 |
incl | 49.5 | 64.2 | 14.7 | 6.27 | 5.92 | 0.53 | 0.47 | 8.6 | 10.58 |
JT24-160 | No Significant Intercepts | ||||||||
JT24-161 | No Significant Intercepts | ||||||||
JT24-162B | 4.7 | 78.1 | 73.4 | 0.95 | 12.62 | 0.17 | 0.28 | 6.65 | 4.06 |
incl | 45.4 | 67.2 | 21.8 | 1.64 | 8.03 | 0.3 | 0.17 | 12.96 | 7.4 |
JT24-163 | 7.6 | 15.9 | 8.3 | 3.12 | 3.49 | 0.18 | 0.13 | 4.15 | 5.09 |
AND | 106.2 | 113.6 | 7.4 | 0.32 | 12.56 | 0.09 | 0.12 | 8.19 | 3.92 |
JT24-164 | No Significant Intercepts | ||||||||
JT24-165 | No Significant Intercepts | ||||||||
JT24-166 | 36.5 | 39 | 2.5 | 0.3 | 5.34 | 0.08 | 0.34 | 8.33 | 3.92 |
JT24-167 | 125.9 | 145.9 | 20 | 1.49 | 4.43 | 0.29 | 0.17 | 8.27 | 5.29 |
JT24-168 | 49.2 | 67.3 | 18.1 | 1.86 | 5.87 | 0.28 | 0.83 | 5.26 | 4.6 |
JT24-169 | 6.9 | 50.5 | 43.6 | 0.46 | 3.15 | 0.13 | 0.06 | 8.63 | 4.17 |
JT24-170 | 59.1 | 71.1 | 12 | 6.07 | 3.22 | 0.4 | 0.05 | 2.46 | 7.6 |
AND | 80.1 | 145.4 | 65.3 | 4.97 | 3.76 | 0.37 | 0.62 | 5.46 | 7.83 |
JT24-171 | 4.5 | 50.9 | 46.4 | 0.4 | 8.03 | 0.18 | 0.2 | 9.32 | 4.53 |
JT24-172 | No Significant Intercepts | ||||||||
JT24-173 | No Significant Intercepts | ||||||||
Footnote: |
1. Assumed metal prices are |
AuEq equals = Au g/t + Ag g/t × 0.01 + Cu% × 1.20 + Pb% × 0.24 + Zn% × 0.41 |
ABOUT JOHNSON TRACT
The JT Deposit is located two hundred kilometers (125 miles) southwest of
WEBINAR
A live interview to discuss the results from the 2024 drill program at the Johnson Tract Project will be recorded and available to watch early next week. A link will be sent out and also available on our media page at www.contangoore.com/our-media/interviews.
QUALIFIED PERSONS
Dave Larimer, CPG, Exploration Manager, a qualified person under S-K 1300, has approved the scientific and technical information related to exploration contained in this news release.
ABOUT CONTANGO
Contango is a NYSE American listed company that engages in exploration for gold and associated minerals in
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements regarding Contango that are intended to be covered by the safe harbor for "forward-looking statements" provided by the Private Securities Litigation Reform Act of 1995, based on Contango's current expectations and includes statements regarding future results of operations, quality and nature of the asset base, the assumptions upon which estimates are based and other expectations, beliefs, plans, objectives, assumptions, strategies or statements about future events or performance (often, but not always, using words such as "expects", "projects", "anticipates", "plans", "estimates", "potential", "possible", "probable", or "intends", or stating that certain actions, events or results "may", "will", "should", or "could" be taken, occur or be achieved). Forward-looking statements are based on current expectations, estimates and projections that involve a number of risks and uncertainties, which could cause actual results to differ materially from those, reflected in the statements. These risks include, but are not limited to: the risks of the exploration and the mining industry (for example, operational risks in exploring for and developing mineral reserves; risks and uncertainties involving geology; the speculative nature of the mining industry; the uncertainty of estimates and projections relating to future production, costs and expenses; the volatility of natural resources prices, including prices of gold and associated minerals; the existence and extent of commercially exploitable minerals in properties acquired by Contango or the Peak Gold JV; ability to realize the anticipated benefits of the Peak Gold JV; potential delays or changes in plans with respect to exploration or development projects or capital expenditures; the interpretation of exploration results and the estimation of mineral resources; the loss of key employees or consultants; health, safety and environmental risks and risks related to weather and other natural disasters); uncertainties as to the availability and cost of financing; Contango's inability to retain or maintain its relative ownership interest in the Peak Gold JV; inability to realize expected value from acquisitions; inability of our management team to execute its plans to meet its goals; the extent of disruptions caused by an outbreak of disease, such as the COVID-19 pandemic; and the possibility that government policies may change, political developments may occur or governmental approvals may be delayed or withheld, including as a result of presidential and congressional elections in the
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SOURCE Contango Ore
FAQ
What were the key drilling results from Contango ORE's (CTGO) 2024 Johnson Tract program?
What permits did Contango ORE (CTGO) receive for the Johnson Tract project in 2024?
What is the current resource estimate for Contango ORE's (CTGO) JT Deposit?
