Eldorado Gold Announces Maiden Inferred Mineral Resource of 803,000 Ounces at 9.5 g/t Gold at the Ormaque Deposit in Quebec
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NEWS RELEASE
TSX: ELD NYSE: EGO February 22, 2021
Eldorado Gold Announces Maiden Inferred Mineral Resource of 803,000
Ounces at 9.5 g/t Gold at the Ormaque Deposit in Quebec
VANCOUVER, BC – Eldorado Gold Corporation, (“Eldorado” or the “Company”) is pleased to announce
a maiden resource estimate for the recently -discovered Ormaque deposit near its Lamaque operations
(Figure 1) in Quebec. Inferred Mineral Resources total 2,620,000 tonnes at a grade of 9.53 grams per
tonne gold, for 803,000 ounces of contained gold.
“This early exploration success at Ormaque highlights the outstanding growth potential at Lamaque,” said
George Burns, President and CEO. “The short time frame from initial discovery to maiden inferred resource
is a testament to the drive of our team and the strong exploration potential within our land package in the
Abitibi Greenstone Belt. The strike continuity, vein orientation and dimension s of the Ormaque deposit
exhibit important similarities to parts of the nearby historically mined Sigma deposit and Mine #2 . It is
ideally positioned along the ore haulage decline now under construction connecting the Lamaque-Triangle
Mine with the Sigma Mill. Our focus in 2021 is on in-fill and expansion drilling as the deposit remains open
in multiple directions. We are encouraged by these positive results and look forward to further work to
determine the ultimate scale of this exciting early stage project.
“Taken together with our recently -announced friendly transaction to acquire QMX, Eldorado is well -
positioned in Quebec to create additional value for our stakeholders.”
Ormaque Deposit Geology and Inferred Mineral Resource
The Ormaque deposit is located approximately midway between the Lamaque-Triangle Mine and the
Sigma Processing Facility. It is immediately adjacent to the ore haulage decline currently under
construction linking the two, with the upper part of the deposit at the same elevation as the decline (Figure
2). At current development rates the decline will reach a position adjacent to the Ormaque deposit in Q3 of
2021.
High grade gold at Ormaque occurs within subhorizontal to gently south -dipping lenses consisting of
quartz+carbonate+tourmaline extension veins and vein arrays and tourmaline -altered wallrock, similar in
style to those historically mined in parts of the nearby Sigma Deposit (historical production of 4.5M ounces
gold) and Mine #2 Deposit (over 237,000 ounces gold produced between 1950 and 1955). The extension
veins are concentrated along an east -west corridor defined by a series of steeply north -dipping brittle-
ductile shear zones. Nearly all of the deposit ou tlined to date occurs within an irregular diorite intrusion
known locally as the “C-Porphyry”, which is also the dominant host rock at Sigma and Mine #2.
Inferred Mineral Resources are based on results of 37 diamond drillholes totalling 22,602 meters, most of
which were completed since May 2018. This drilling has outlined a volume of mineralization measuring
approximately 550 metres east-west, 300 metres north-south, and extending from 150 to 600 metres depth
from surface. The geological model of the mineralized lenses was generated by 1) converting individual
assays to composites of drill core intervals averaging > 0.5 g/t Au and a minimum length of 0.5m; 2) creating
form interpolants using vein orientations of the dominant mineralized vein sets measured from oriented drill
core; and 3) employing the form interpolants to correlate composites between drillholes. This process
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generated 23 gently -dipping mineralized lenses, with individual lenses measuring up to 15 metres thick
and up to 400 metres in lateral extent (Figure 3). Individual lenses were then trimmed to exclude volumes
more than 50 metres from drillhole intercepts.
A grade estimation block model wa s generated using ordinary kriging of drillhole assays composited into
1m lengths and capped at 70 g/t Au to limit the influence of high-grade outliers. A 3.5 g/t cut-off grade was
applied to incorporate areas of mineralization with reasonable prospects of eventual economic extraction.
The cut-off grade was derived from actual cost and metallurgical performance of the Triangle deposit and
includes the following forward-looking assumptions:
• Gold price = $US 1800/oz
• $CAD / $US exchange rate = 1.3
• Minimum mining height = 3 metres
• Mining recovery = 95%
• Mining dilution = 20% with no contained gold value
• Metallurgical recovery = 96%
Mineralized domains were edited to excluded volumes that did not meet or exceed a diluted cut-off grade
of 3.5 g/t Au over the minimum mining height of 3 metres. Isolated cells above cut-off were also discarded.
The resulting inferred resource totals 2,620,000 tonnes at a grade of 9.53 g/t Au, for 803,000 contained
ounces of gold. Over 60% of the resource is in the upper part of the deposit within 400 metres of surface.
Exploration Outlook
Most of the mineralized lenses are open laterally in one or more directions, and the deposit itself is open
to the east, west, and at depth. Drilling for the first half of 2021 will include infill holes within several of the
upper lenses to confirm continuity of grade and thickness of the inferred resource, step-out holes targeting
open extensions to these lenses, and wider step-out holes testing for longer extensions and new lenses in
areas adjacent to the deposit. Some of the more prospective targets for the latter include 1) the untested
area below the Fortune Zone immediately east of Ormaque, where shallow drillholes have intersected
similar vein styles to those found at Ormaque, and 2) gaps in previous drilling between the Ormaque deposit
and the Parallel deposit to the west (Figure 4).
Lamaque Operations Background and Regional Strategy
The Lamaque Operations is home to a number of large prolific gold mines, including the historic Sigma and
Lamaque mines that together produced almost 10 million ounces of gold. Today, it hosts Proven and
Probable gold reserves of over 1 million ounces, Measured and Indicated Mineral Resources of 1.8 million
ounces of gold , and Inferred Mineral Reso urces of 2.8 million ounces of gold at the Triangle, Plug #4,
Parallel, and Ormaque deposits.
Our strategy in the region is designed to add a pipeline of organic opportunities within and proximal to the
Lamaque-Triangle Mine, which can be exploited by leveraging existing infrastructure and Eldorado’s strong
operational, exploration and stakeholder expertise. We aim to achieve this by increasing our footprint in
the Abitibi Greenstone Belt and through providing additional ore sources to optimize the Sigma Mill, which
has a permitted capacity of 5,000 tonnes per day, far exceeding current usage of 2,200 tonnes per day.
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Figure 1: Location map showing Lamaque Operations.
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Figure 2: Geological map showing the surface projection of the Ormaque deposit and traces of drillholes
incorporated in the new resource.
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Figure 3: Cross section 295675E through the center of the Ormaque deposit showing the geometry of
mineralized lenses used in resource estimation, localization within a corridor defined by steeply north -
dipping shear zones and intrusive contact.
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Figure 4: East-West longitudinal section through the Ormaque deposit looking north showing extent of
mineralized lenses and areas untested by previous drilling along strike and at depth. Section represents a
70° north-dipping slice 300m wide through the center of the deposit
About Eldorado Gold
Eldorado is a g old and base metals producer with mining, development and exploration operations in
Turkey, Canada, Greece, Romania, and Brazil. The Company has a highly skilled and dedicated
workforce, safe and responsible operations, a portfolio of high-quality assets, and long-term partnerships
with local communities. Eldorado's common shares trade on the Toronto Stock Exchange (TSX: ELD) and
the New York Stock Exchange (NYSE: EGO).
Contacts
Investor Relations
Jeff Wilhoit, Interim Head of Investor Relations
604 376 1548 or 1 888 353 8166 [email protected]
Media
Louise Burgess, Director Communications & Government Relations
604 616 2296 or 1 888 363 8166 [email protected]
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Qualified Persons
Mr. Sean McKinley P.Geo., Eldorado Senior Geologist Resource Development and Mr. Jacques Simoneau, P.Geo., Eldorado Exploration Manager
Eastern Canada are the qualified persons as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101") for
this press release. Mr Simoneau is responsible for, and has verified and approved, the scientific and technical disclosure contained in this press
release related to geological data collection and interpretation and QA/QC procedures . Mr McKinley is responsible for, and has approved, the
scientific and technical disclosure cont ained in this press release related to resource modelling. Eldorado operates its exploration programs
according to industry best practices and employs rigorous quality assurance and quality control procedures. All results are b ased on half -core
samples of diamond drill core. Ormaque drill core samples were prepared and analyzed at Bourlamaque Laboratories in Val d’Or, Quebec. All Au
assays are based on fire assay analysis of a 30gm charge followed by an atomic absorption finish. Samples with Au grades above 5.0 g/t were
re-assayed and completed with a gravimetric finish.
Cautionary Note about Forward-looking Statements and Information
Certain of the statements made and information provided in this press release are forward -looking statements or information within the meaning
of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. Often, these forward -looking
statements and forward-looking information can be identified by the use of words such as "plans", "expects", "is expected", "budget", “continue”,
“projected”, "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or the negatives thereof or varia tions of such words and
phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved.
Forward-looking statements or information contained in this release include, but are not limited to, statements or information with respect to: 2021
plans for drilling at the Ormaque Deposit and prospective targets; develo pment rates at the new decline at the Triangle Mine, forward looking
assumptions used relating to the resources estimates; our ability to increase landholdings in the Abitibi Greenstone Belt; our expectations regarding
establishment of resources through our continued exploration programs, the timing and quantity of annual gold production; our strategy with respect
to non-core assets; mineral reserves and resources, our guidance and outlook, including expected production and recoveries of gold, planned
capital and exploration expenditures; our expectation as to our future financial and operating performance, expected metallurgical recoveries, gold
price outlook; and our strategy, plans and goals, including our proposed exploration, development, construction, permitting a nd operating plans
and priorities, including timelines and schedules.
Forward-looking statements and forward -looking information by their nature are based on assumptions and involve known and unknown risks,
uncertainties and other factors which may cause the actual results, performance or achievements of the Company to b e materially different from
any future results, performance or achievements expressed or implied by such forward-looking statements or information.
We have made certain assumptions about the forward-looking statements and information, including assumptions about: the completion and results
of our exploration programs,; mineral reserves and resources and metallurgical recoveries, the geopolitical, economic, permitting and legal climate
that we operate in; the future price of gold and other commodities; the global concentrate market; exchange rates; anticipated costs and expenses;
production, the impact of acquisitions, dispositions, suspensions or delays on our business and the ability to achieve our goals. In particular,
except where otherwise stated, we have assumed a continuation of existing business operations on substantially the same basis as exists at the
time of this release.
Even though our management believes that the assumptions made and the expectations represented by such statements or informat ion are
reasonable, there can be no assurance that the forward -looking statement or information will prove to be accurate. Many assumptions may be
difficult to predict and are beyond our control.
Furthermore, should one or more of the risks, uncertainties or other factors materialize, or should underlying assumptions prove incorrect, actual
results may vary materially from those described in forward-looking statements or information. These risks, uncertainties and other factors include,
among others: global outbreaks of infectious diseases, including COVID -19; timing and cost of construction and exploration, geopolitical and
economic climate (global and local), risks related to the updating of our resource and reserve models and life of mine plans; mineral tenure and
permits; gold and other commodity price volatility; information technology systems ris ks; continued softening of the global concentrate market,
recoveries of gold and other metals; results of test work; revised guidance; risks regarding potential and pending litigation and arbitration
proceedings relating to the Company’s, business, proper ties and operations; expected impact on reserves and the carrying value; mining
operational and development risk; financing risks; foreign country operational risks; risks of sovereign investment; regulato ry risks and liabilities
including, regulatory envi ronment and restrictions, and environmental regulatory restrictions and liability; discrepancies between actual and
estimated production, mineral reserves and resources and metallurgical testing and recoveries; additional funding requirement s; currency
fluctuations; community and non-governmental organization actions; speculative nature of gold exploration; dilution; share price volatility and the
price of our common shares; competition; loss of key employees; and defective title to mineral claims or proper ties, as well as those risk factors
discussed in the sections titled “Forward-Looking Statements” and "Risk factors in our business" in the Company's most recent Annual Information
Form & Form 40 -F. The reader is directed to carefully review the detailed risk discussion in our most recent Annual Information Form filed on
SEDAR and EDGAR under our Company name, which discussion is incorporated by reference in this release, for a fuller understan ding of the
risks and uncertainties that affect the Company’s business and operations.
Forward-looking statements and information is designed to help you understand management’s current views of our near and longer term
prospects, and it may not be appropriate for other purposes.
There can be no assurance that forward-looking statements or information will prove to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly, you should not place undue reliance on the forward-looking statements or
information contained herein. Except as required by law, we do not expect to update forward -looking statements and information continually as
conditions change and you are referred to the full discussion of the Company's business contained in the Company's reports filed with the securities
regulatory authorities in Canada and the U.S.
Mineral resources that are not mineral reserves do not have demonstrated economic viability. Inferred mineral resources are considered too
speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves.