GGD.TO · 2022-01-21 12:00:00

GoGold Announces Filing of Technical Report for Initial Mineral Resource Estimate at Los Ricos North

Resource Estimates Technical Reports (NI 43-101)

GoGold Announces Filing of Technical Report for Initial Mineral Resource

Estimate at Los Ricos North

Shares Outstanding: 278,301,117

Trading Symbols: TSX: GGD

OTCQX: GLGDF

HALIFAX, NS

Jan. 21, 2022

/CNW/ -

GoGold Resources Inc.

(TSX: GGD) (OTCQX: GLGDF)

("GoGold", "the Company")

is pleased to announce the

filing of a National Instrument 43-101 Technical Report and Initial Mineral Resource Estimate (the "Technical Report") for their Los Ricos North Project located

in Jalisco State, Mexico. The highlights of the Technical Report were previously announced in a news release dated

December 7, 2021

, and the effective

date of the Technical Report is

December 1, 2021

Highlights of the Mineral Resource Estimate:

Indicated Mineral Resource at Los Ricos North of 87.8 million ounces silver equivalent ("AgEq") grading 122 g/t AgEq contained in 22.3 million tonnes

("Mt") (Table 1)

Inferred Mineral Resource at Los Ricos North of 73.2 million ounces AgEq grading 111 g/t AgEq contained in 20.5 Mt (Table 1)

Sensitivity analysis of pit constrained Mineral Resources at higher cut-off of 50 g/t AgEq show an Indicated Mineral Resource of 80.3 million ounces

AgEq grading 147 g/t AgEq and an Inferred Mineral Resource of 60.7 million ounces AgEq grading 129 g/t AgEq (Figure 1) (Table 2)

Los Ricos North Mineral Resource is calculated as a pit constrained Mineral Resource forming 96% of the Mineral Resource Estimate, with 4% being

out-of-pit Mineral Resource (Indicated 0.9 million ounces AgEq grading 163 g/t AgEq and Inferred 6.4 million ounces grading 178 g/t AgEq)

Total Los Ricos Measured & Indicated Mineral Resources of 151.5 million ounces AgEq (Table 3)

Total Los Ricos Inferred Mineral Resource of 93.1 million ounces AgEq (Table 3)

Total Company Measured & Indicated Mineral Resources of 187.5 million ounces AgEq (Table 4)

Total Company Inferred Mineral Resources of 93.1 million ounces AgEq (Table 4)

In Los Ricos North, an additional 100,000 metres of exploration drilling targeting additional Mineral Resource ounces is planned for 2022

"The initial Mineral Resource Estimate at Los Ricos North represented the first 100,000 metres of drilling at Los Ricos North, and established the Los Ricos

District as a very significant project in the silver industry. Combining Los Ricos North and South, the district shows a Measured and Indicated Mineral

Resource of 151 million ounce AgEq and an Inferred Mineral Resource of 93 million ounces AgEq," said

Brad Langille

, President and CEO. "This year, we've

begun our next 100,000 metres of drilling which is primarily focused on continued expansion of the Mineral Resources. We look forward to many more

excellent drilling results, particularly at El Favor East, Mololoa, and our new Gran Cabrera target, which we recently began drilling. We anticipate that in 2022

we will continue to grow the ounces in the Los Ricos District significantly as we did in 2021."

The Los Ricos North Mineral Resource Estimate by deposit is provided below in Table 1.

Table 1: Los Ricos North Mineral Resource Estimate

(1-11)

Deposit

Tonnes

Average Grade

Contained Metal

AuEq

AgEq

AuEq

AgEq

(Mt)

(g/t)

(%)

(g/t)

(koz)

(Mlb)

(koz)

Indicated:

El Favor

7.7

0.27

1.61

119

24,413

399

29,454

Casados

3.2

0.42

124

2.09

154

12,871

218

16,061

La Trini

3.1

0.54

1.54

114

7,428

155

11,424

Mololoa

0.4

0.36

130

2.12

157

1,788

2,161

Silver-Gold

Oxide Zone

14.5

0.37

100

1.71

127

171

46,500

801

59,100

El Orito Sulfide

Zone

7.8

0.06

0.11

0.88

1.33

1.55

114

7,011

151

229

389

28,708

Total Indicated

22.3

1.66

122

186

53,510

1,190

87,808

Inferred:

El Favor

12.4

0.27

1.47

108

106

35,505

587

43,350

Casados

1.8

0.35

108

1.82

135

6,323

106

7,843

La Trini

0.1

0.43

108

1.89

139

201

260

Mololoa

0.7

0.39

1.66

122

2,102

2,739

Silver-Gold

Oxide Zone

15.0

0.28

1.52

112

136

44,131

734

54,191

El Orito Sulfide

Zone

5.5

0.06

0.12

0.74

1.20

1.46

108

4,888

146

258

19,007

Total Inferred

20.5

1.51

111

148

49,019

992

73,198

El Orito is a silver-base metal sulfide zone, all other deposits are silver-gold oxide zones.

Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability. The estimate of Mineral Resources

may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.

The Inferred Mineral Resource in this estimate has a lower level of confidence than that applied to an Indicated Mineral Resource and

must not be converted to a Mineral Reserve. It is reasonably expected that the majority of the Inferred Mineral Resource could be

upgraded to an Indicated Mineral Resource with continued exploration.

The Mineral Resources in this news release were estimated in accordance with the Canadian Institute of Mining, Metallurgy and

Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines (2014) prepared by the CIM Standing

Committee on Reserve Definitions and adopted by the CIM Council and CIM Best Practices (2019).

Historically mined areas were depleted from the Mineral Resource model.

Approximately 98.9% of the indicated and 91.3% of the Inferred contained AgEq ounces are pit constrained, with the remainder out

-of-pit. See tables 4 and 6 for details of the split between pit constrained and out-of-pit deposits.

The pit constrained AgEq cut-off grade of 29 g/t Ag was derived from US$1,550/oz Au price, US$21/oz Ag price, $3.66$/lb Cu, $0.90

$/lb Pb, $1.26 $/lb Zn, 93% process recovery for Ag and Au, 90% process recovery for Cu, 80% process recovery for Pb and Zn,

US$18/tonne process and G&A cost. The constraining pit optimization parameters were $2.00/t mineralized mining cost, $1.50/t waste

mining cost and 50-degree pit slopes.

The out-of-pit AuEq cut-off grade of 119 g/t Ag was derived from US$1,550/oz Au price, US$21/oz Ag price, $3.66$/lb Cu, $0.90 $/lb

Pb, $1.26 $/lb Zn, 93% process recovery for Ag and Au, 90% process recovery for Cu, 80% process recovery for Pb and Zn, $57/t mining

cost, US$18/tonne process and G&A cost. The out-of-pit Mineral Resource grade blocks were quantified above the 119 g/t AgEq cut

-off, below the constraining pit shell within the constraining mineralized wireframes and exhibited sufficient continuity to be considered

for cut and fill and longhole mining

No Mineral Resources are classified as Measured.

10.

AgEq and AuEq calculated at an Ag/Au ratio of 73.8:1.

11.

Totals may not agree due to rounding

Figure 1: Los Ricos North Block Model Visualization (CNW Group/GoGold Resources Inc.)

Figure 2: AgEq Cut-off Sensitivities – Pit Constrained Mineral Resource (CNW Group/GoGold Resources Inc.)

Table 2: Cut-off Sensitivities – Pit Constrained Mineral Resource

Cut-off

(AgEq)

Tonnes

Average Grade

Contained Metal

Pit

Constrained

AuEq

AgEq

AuEq

AgEq

(g/t)

(Mt)

(g/t)

(koz)

Indicated

17.0

0.31

1.99

147

170

48,811

1,088

80,288

19.5

0.28

1.81

134

177

51,061

1,138

83,951

22.1

0.26

1.65

122

183

52,886

1,177

86,862

23.7

0.24

1.57

116

185

53,681

1,194

88,106

Inferred

14.7

0.26

1.74

129

121

40,312

823

60,735

17.2

0.23

1.58

116

128

42,834

872

64,380

19.4

0.21

1.45

107

133

44,456

905

66,814

20.8

0.20

1.38

102

135

45,181

921

67,951

See Table 1 notes for assumptions

Mineral Resource Estimate Methodology – Los Ricos North

A total of 503 drill holes totalling 106,982 metres were used in the Mineral Resource Estimate. The nearest neighbour mean distance between drill hole

collars is 23 metres.

P&E Mining Consultants Inc. ("P&E") collaborated with GoGold personnel to develop the mineralization models, grade estimates, and reporting criteria for the

Mineral Resources at Los Ricos North. Mineralization models were initially developed by GoGold and were reviewed and modified by P&E. A total of 21

individual mineralized domains have been identified through drilling and surface sampling. The modelled mineralization domains are constrained by individual

wireframes based on a 29 g/t AgEq cut-off.

Mineralization wireframes were used as hard boundaries for the purposes of grade estimation.

2.5m

three-dimensional block model was used for the Mineral Resource Estimate. The block model consists of estimated Au and Ag grades,

estimated bulk density, classification criteria, and a block wireframe volume inclusion percent factor. Ag equivalent block grades were subsequently calculated

from the estimated Au and Ag grades. The average bulk density by deposit was assigned for the Mineral Resource Estimate.

Assay samples were composited to a

1.00m

standard length. Au and Ag grades were estimated using Inverse Distance Cubed weighting of between 4 and

12 composites, with a maximum of 3 composites per drill hole. Composites were capped prior to grade estimation by mineralization domain. Composites

were selected within an anisotropic search ellipse oriented parallel to the axes of the modelled domains.

Classification criteria were determined from observed grade, geological continuity, and variography. Indicated Mineral Resources are informed by 3 or more

drill holes within

50m

P&E's Qualified Persons are of the opinion that the Mineral Resource Estimates are suitable for public reporting and are a reasonable representation of the

mineralization and metal content of the Los Ricos North Deposits.

Table 3: Los Ricos Mineral Resources – Los Ricos North ("LRN") & Los Ricos South ("LRS")

(1-7)

Deposit

Tonnes

Average Grade

Contained Metal

AuEq

AgEq

AuEq

AgEq

(Mt)

(g/t)

(%)

(g/t)

(koz)

(Ml

)

(Ml

)

(Ml

)

(koz)

LRS Measured

1.1

1.10

152

2.84

249

5,464

102

8,917

Indicated:

LRN Oxide

14.5

0.37

100

1.71

127

171

46,500

801

59,100

LRS (Oxide)

2-6

8.8

0.89

115

2.20

193

253

32,588

626

54,765

LRN Sulfide

7.8

0.06

0.11

0.88

1.33

1.55

114

7,011

151

229

389

28,708

Total Indicated

31.1

1.93

143

439

86,099

1,816

142,573

Measured &

Indicated

32.2

1.98

146

478

91,563

1,918

151,490

Inferred:

LRN Oxide

15.0

0.28

1.52

112

136

44,131

734

54,191

LRS (Oxide)

2-6

3.3

0.88

112

2.17

190

11,781

227

19,884

LRN Sulfide

5.5

0.06

0.12

0.74

1.20

1.46

108

4,888

146

258

19,007

Total Inferred

23.8

1.65

122

240

60,800

1,219

93,082

See Table 1 notes for assumptions

See GoGold press release #29-2020 dated July 29, 2020 for full details regarding Los Ricos South Mineral Resource

estimate.

The LRS pit constrained AuEq cut-off grade of 0.43 g/t Au was derived from US$1,400/oz Au price, US$16/oz Ag price,

93% process recovery, US$18/tonne process and G&A cost. The constraining pit optimization parameters were

$2.00/t mineralized mining cost, 1.50/t waste mining cost and 50-degree pit slopes.

The LRS out-of-pit AuEq cut-off grade of 1.4 g/t Au was derived from US$1,400/oz Au price, US$16/oz Ag price, 93%

process recovery, $40/t mining cost, US$18/tonne process and G&A cost. The out-of-pit Mineral Resource grade

blocks were quantified above the 1.4 g/t AuEq cut-off, below the constraining pit shell and within the constraining

mineralized wireframes. Out–of-Pit Mineral Resources are restricted to the Los Ricos and Rascadero Veins, which

exhibit historical continuity and reasonable potential for extraction by cut and fill and longhole mining methods.

No out-of-pit Mineral Resources are classified as Measured at LRS.

AgEq and AuEq calculated at an Ag/Au ratio of 87.5 for LRS.

Totals may not agree due to rounding.

Table 4: Company Wide Mineral Resources

(1-3)

Deposit

Tonnes

Average Grade

Contained Metal

AuEq

AgEq

AuEq

AgEq

(Mt)

(g/t)

(%)

(g/t)

(koz)

(Mlb)

(koz)

Measured:

LRS

1.1

1.10

152

2.84

249

5,464

102

8,917

Parral

6.8

0.35

0.77

6,897

168

12,532

Esmerelda

5.7

0.26

0.82

8,985

151

13,194

Total Measured

13.6

0.37

1.07

163

21,346

421

34,643

Indicated:

LRN Oxide

14.5

0.37

100

1.71

127

171

46,500

801

59,100

LRS (Oxide)

8.8

0.89

115

2.20

193

253

32,588

626

54,765

LRN Sulfide

7.8

0.06

0.11

0.88

1.33

1.55

114

7,011

151

229

389

28,708

Parral

6.0

0.35

0.81

6,525

157

11,554

Esmerelda

0.1

0.00

0.77

112

Total Indicated

37.2

1.75

129

507

92,704

1,974

154,239

Measured &

Indicated

50.8

1.57

116

670

114,050

2,395

188,882

Inferred:

LRN Oxide

15.0

0.28

1.52

112

136

44,131

734

54,191

LRS (Oxide)

3.3

0.88

112

2.17

190

11,781

227

19,884

LRN Sulfide

5.5

0.06

0.12

0.74

1.20

1.46

108

4,888

146

258

19,007

Total Inferred

23.8

1.65

122

240

60,800

1,219

93,082

See Table 2 for LRN and LRS assumptions.

Parral Mineral Resources are inclusive of Mineral Reserves – see GoGold press release #2021-43 dated December 7,

2021 for details.

Esmerelda Mineral Resources are based on US$1,400/oz Au, US$16/oz Ag, operating costs of US$10.14/t and Au and

Ag process recoveries of 50% resulting in a AgEq cut-off grade of 41 g/t, calculated at an Ag/Au ratio of 87.5:1.

Table 5 –

Los Ricos North Mineral Resource Estimate – Pit Constrained

(1)

Deposit

Tonnes

Average Grade

Contained Metal

AuEq

AgEq

AuEq

AgEq

(Mt)

(g/t)

(%)

(g/t)

(koz)

(Mlb)

(koz)

Indicated:

El Favor

7.7

0.28

1.60

118

24,366

398

29,395

Casados

3.2

0.42

123

2.09

154

12,782

216

15,957

La Trini

3.0

0.54

1.51

112

6,970

146

10,781

Mololoa

0.4

0.37

129

2.12

156

1,770

2,139

Silver-Gold

Oxide Zone

14.3

0.37

100

1.72

127

168

45,888

789

58,272

El Orito Sulfide

Zone

7.8

0.06

0.11

0.89

1.32

1.55

114

6,997

151

227

387

28,591

Indicated

22.1

1.66

122

168

45,888

1,176

86,863

Inferred:

El Favor

11.7

0.25

1.41

104

32,053

529

39,051

Casados

1.8

0.35

107

1.79

132

6,014

101

7,464

Mololoa

0.6

0.37

1.52

112

1,619

2,134

Silver-Gold

Oxide Zone

14.1

0.27

1.45

107

122

39,686

659

48,649

El Orito Sulfide

Zone

5.3

0.07

0.12

0.73

1.17

1.44

106

4,768

137

246

18,162

Inferred

19.4

1.45

107

140

44,454

905

66,811

See Table 1 notes for assumptions

Table 6 –

Los Ricos North Mineral Resource Estimate – Out-of-Pit

(1,2)

Deposit

Tonnes

Average Grade

Contained Metal

AuEq

AgEq

AuEq

AgEq

(kt)

(g/t)

(%)

(g/t)

(koz)

(Mlb)

(koz)

Indicated:

El Favor

0.45

131

2.23

164

0.2

0.8

Casados

0.38

154

2.46

182

0.2

1.4

105

La Trini

126

0.62

113

2.16

159

2.5

458

8.7

643

Mololoa

0.51

188

3.05

225

0.3

Silver-Gold

Oxide Zone

158

0.57

120

2.21

163

2.9

611

11.2

829

El Orito Sulfide

Zone

0.03

0.18

0.75

2.89

2.20

162

1.6

118

Indicated

181

2.20

163

2.9

625

12.8

947

Inferred:

El Favor

736

0.49

146

2.46

182

11.5

3,452

58.3

4,299

Casados

0.51

167

2.77

205

0.9

310

5.1

379

La Trini

0.44

111

1.95

144

0.8

199

3.5

257

Mololoa

103

0.50

145

2.47

182

1.7

482

8.2

605

Silver-Gold

Oxide Zone

953

0.49

145

2.45

181

14.9

4,443

75.1

5,540

El Orito Sulfide

Zone

163

0.03

0.27

1.05

2.23

2.19

161

0.1

121

11.4

845

Inferred

1,116

2.41

178

15.0

4,564

86.5

6,385

See table 1 notes for assumptions

Qualified Persons

The independent Qualified Person for the Mineral Resource and Mineral Reserve disclosure for the project is

Eugene Puritch

, P.Eng., FEC, CET, President of

P&E, who has reviewed and approved the technical contents of this news release. Mr.

David Duncan

, P. Geo. is the Qualified Person for GoGold as defined

by National Instrument 43-101 and is responsible for the technical information of this news release.

VRIFY Slide Deck and 3D Presentation

VRIFY is a platform being used by companies to communicate with investors using 360° virtual tours of remote mining assets, 3D models and interactive

presentations. VRIFY can be accessed by website and with the VRIFY iOS and Android apps. Access the GoGold Company Profile on VRIFY at:

https://vrify.com

The VRIFY Slide Deck and 3D Presentation for GoGold can be viewed at:

https://vrify.com/decks/10437

and on the Company's website at:

www.gogoldresources.com

Los Ricos District Exploration Projects

The Company's two exploration projects at its Los Ricos District are in

Jalisco

state,

Mexico

. The Los Ricos South Project began in

March 2019

and an initial

Mineral Resource was announced on

July 29, 2020

which disclosed a Measured & Indicated Mineral Resource of 63.7 million ounces AgEq grading 199 g/t

AgEq contained in 10.0 million tonnes, and an Inferred Mineral Resource of 19.9 million ounces AgEq grading 190 g/t AgEq contained in 3.3 million tonnes.

An initial PEA on the project was announced on

January 20, 2021

indicating an NPV

US$295M

The Los Ricos North Project was launched in

March 2020

and an initial Mineral Resource was announced on

December 7, 2021

, which disclosed an Indicated

Mineral Resource of 87.8 million ounces AgEq grading 122 g/t AgEq contained in 22.3 million tonnes, and an Inferred Mineral Resource of 73.2 million ounces

AgEq grading 111 g/t AgEq contained in 20.5 million tonnes. The Company has a drill program in place for an additional 100,000 metres of drilling in 2022.

About GoGold Resources

GoGold Resources (TSX: GGD) is a Canadian-based silver and gold producer focused on operating, developing, exploring and acquiring high quality projects

in Mexico. The Company operates the Parral Tailings mine in the

state of Chihuahua

and has the Los Ricos South and Los Ricos North exploration projects in

the state of

Jalisco

. Headquartered in

Halifax, NS

, GoGold is building a portfolio of low cost, high margin projects. For more information visit

gogoldresources.com

About P&E Mining Consultants Inc.

P&E Mining Consultants Inc., established in 2004, provides geological and mine engineering consulting reports, Mineral Resource Estimate Technical Reports,

Preliminary Economic Assessments and Pre-Feasibility Studies. In addition, they are affiliated with major

Toronto

based consulting firms for the purposes of

joint venturing on Feasibility Studies. Their experience covers over 400 NI 43-101 Technical Reports on diamonds and metallic mineral deposits including gold,

silver, base metals, PGM and iron for both open pit and underground operations.

CAUTIONARY STATEMENT:

The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities

Act"), or any state securities laws, and may not be offered or sold within

the United States

or to, or for the benefit of, U.S. persons (as defined in Regulation

S under the U.S. Securities Act) except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities laws or

pursuant to exemptions therefrom. This release does not constitute an offer to sell or a solicitation of an offer to buy of any of GoGold's securities in

the

United States

This news release may contain "forward-looking information" as defined in applicable Canadian securities legislation. All statements other than statements of

historical fact, included in this release, including, without limitation, statements regarding the Parral tailings project, the Los Ricos projects, future operating

margins, future production and processing, and future plans and objectives of GoGold, constitute forward looking information that involve various risks and

uncertainties. Forward-looking information is based on a number of factors and assumptions which have been used to develop such information but which may

prove to be incorrect, including, but not limited to, assumptions in connection with the continuance of GoGold and its subsidiaries as a going concern, general

economic and market conditions, mineral prices, the accuracy of mineral resource estimates, and the performance of the Parral project There can be no

assurance that such information will prove to be accurate and actual results and future events could differ materially from those anticipated in such forward-

looking information.

Important factors that could cause actual results to differ materially from GoGold's expectations include exploration and development risks associated with

GoGold's projects, the failure to establish estimated mineral resources or mineral reserves, volatility of commodity prices, variations of recovery rates, and

global economic conditions. For additional information with respect to risk factors applicable to GoGold, reference should be made to GoGold's continuous

disclosure materials filed from time to time with securities regulators, including, but not limited to, GoGold's Annual Information Form. The forward-looking

information contained in this release is made as of the date of this release.

View original content to download multimedia:

https://www.prnewswire.com/news-releases/gogold-announces-filing-of-technical-report-for-initial-mineral-resource-estimate-at-los-ricos-north-301465627.html

SOURCE

GoGold Resources Inc.

View original content to download multimedia:

http://www.newswire.ca/en/releases/archive/January2022/21/c3033.html

%SEDAR: 00029249E

For further information:

Steve Low, Corporate Development, GoGold Resources, T: 416 855 0435, E: [email protected]

CO: GoGold Resources Inc.

CNW 08:45e 21-JAN-22

← Back to feed