Newcore Gold Drilling Intersects 3.28 g/t Gold over 11.0 Metres, Including 6.57 g/t Gold over 4.0 Metres at the Enchi Gold Project, Ghana Drilling at Nyam Continues to Intersect High-Grade Mineralization and Metallurgical Testwork
NEWS RELEASE
Suite 1560 - 200 Burrard Street www.newcoregold.com
Vancouver, British Columbia V6C 3L6 [email protected]
Newcore Gold Drilling Intersects 3.28 g/t Gold over 11.0 Metres,
Including 6.57 g/t Gold over 4.0 Metres at the Enchi Gold Project, Ghana
Drilling at Nyam Continues to Intersect High-Grade Mineralization and Metallurgical Testwork
Returns 91.7% Average Gold Recoveries in the Upper Portions of the Sulphide Mineralization
August 16, 2023 TSX-V: NCAU, OTCQX: NCAUF
Vancouver, BC – Newcore Gold Ltd. ("Newcore" or the "Company") (TSX-V: NCAU,
OTCQX: NCAUF) is pleased to announce an update on exploration and development activities
underway at the Company’s 100% owned Enchi Gold Project ("Enchi" or the "Project") in
Ghana. Diamond Drilling ("DD") at the Nyam Gold Deposit ("Nyam"), targeting high-grade
mineralization in the upper portions of the sulphide mineralization, intersected 3.28 grams per
tonne gold ("g/t Au") over 11.0 metres ("m"), within a broader zone of 1.58 g/t Au over 26.3 m.
Nyam is one of the currently identified deposits at Enchi where drilling continues to highlight
the potential for longer -term resource growth from delineating high-grade underground
resources in the sulphide mineralization. In addition to drilling, results of metallurgical testing
on sulphide mineralization from Nyam confirmed excellent gold recoveries averaging 91.7%.
Additional exploration work underway at Enchi includes trenching on several kilometre-scale
gold anomalies which continues to advance early-stage targets towards the drill testing stage,
and further metallurgical testwork of both the oxide and sulphide mineralization.
Highlights from Diamond Drilling and Metallurgical Testwork at Nyam
• Drilling targeting high-grade mineralization in the upper portions of the sulphides
continues to highlight the potential for resource growth at Enchi.
o Hole NBDD063 intersected 1.58 g/t Au over 26.3 metres , including 3.28 g/t Au over
11.0 m and 6.57 g/t Au over 4.0 m; and
o Hole NBDD064 intersected 1.16 g/t Au over 36.4 m, including 2.03 g/t Au over 17.4 m.
• Drilling followed-up on two northerly plunging high-grade zones identified at Nyam.
o Five holes tested the down dip and lateral extensions to high-grade gold mineralization
previously identified at Nyam in two shoots (central and southern); and
o To date, the Nyam deposit has only been tested to a maximum vertical depth of
350 metres and remains open for further expansion to depth.
• Results of met allurgical testing on sulphide material from the Nyam Gold Deposit
confirms excellent recoveries from cyanidation averaging 91.7%.
o 14 composite samples were analysed by a series of bottle roll tests and returned an
average gold recovery of 91.7% (ranging from 82.7% to 98.0%).
Greg Smith, VP Exploration of Newcore stated, "This latest drilling at our Enchi Gold Project
continues to prove out our geological model that includes resource growth from the higher-
grade mineralization at depth. Drilling followed-up on two previously identified high -grade
shoots at Nyam, which remain open to depth and along strike , and highlight the resource
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growth potential of the high-grade mineralization in the sulphides. We continue to advance
our understanding of the significant size and scale potential at Enchi, which is located on a
prolific gold belt in southwest Ghana that hosts a number of multi-million-ounce gold mines."
Luke Alexander, President and CEO of Newcore stated, "We continue to advance and de-risk
the development of our Enchi Gold Project in Ghana. Recently completed metallurgical
testwork on sulphide minerali zation at Nyam has confirmed strong recoveries averaging
91.7%, continuing to highlight the longer -term pot ential for resource growth from higher-
grade sulphide minerali zation at depth . We look forward to continuing to advance the
development of Enchi with additional metallurgical testwork as we prioritize targets for our
next phase of drilling to commence later this year."
This news release reports results for 5 DD holes totalling 2,155 m (NBDD060 to NBDD064)
targeting the Nyam Gold Deposit. All holes intersected gold mineralization.
Select assay results from the 5 holes of the drill program reported in this release are below:
Table 1 - Enchi Gold Project Drill Highlights
Hole ID Zone/Deposit From (m) To (m) Length (m) Au (g/t)
NBDD060 Nyam 359.2 368.6 9.4 1.30
including 359.2 361.0 1.8 2.28
NBDD063 Nyam 482.5 509.3 26.3 1.58
including 489.0 500.0 11.0 3.28
and incl. 496.0 500.0 4.0 6.57
NBDD064 Nyam 217.2 253.6 36.4 1.16
including 219.2 236.6 17.4 2.03
Notes:
1. See detailed table for complete results;
2. Intervals reported are hole lengths with true width estimated to be 75 - 85%; and
3. Length-weighted averages from uncut assays.
A plan map showing the drill hole locations can be viewed at:
https://newcoregold.com/site/assets/files/5823/2023_08-ncau-nr-enchi-nyam-plan-map.pdf
A long section of the Nyam Gold Deposit can be viewed at:
https://newcoregold.com/site/assets/files/5823/2023_08-ncau-longsection-nyam.pdf
A cross section showing drill results and highlights for hole NBDD063 can be viewed at:
https://newcoregold.com/site/assets/files/5823/2023_08-ncau-crosssection-nbdd063.pdf
A complete list of the drill results in this release, including hole details, can be viewed at:
https://newcoregold.com/site/assets/files/5823/2023_08-ncau-enchi-2023-drill-results.pdf
Drilling at Nyam
Diamond drilling at Nyam consisted of five holes (2,155 metres) following-up on high -grade
intercepts intersected in the upper portions of the sulphide mineralization. A series of holes
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tested the down dip and lateral extensions to the high -grade gold mine ralization. Holes
NBDD060 and NBDD061 tested the southern high -grade shoot. Holes NBDD062, NBDD063
and NBDD064 tested extensions to the central high-grade shoot located 200 to 500 metres to
the north. To date, the deposit has only been tested to a maximum vertical depth of 350 metres
and remains open to depth and along strike.
Hole NBDD063, which tested the central high-grade shoot, stepped out 75 m down dip from
previously drilled hole NBDD052 which intersected 3.21 g/t Au over 15.0 m from 321.0 m.
NBDD063 intersected 1.58 g/t Au over 26.3 m from 482.5 m , including 3.28 g/t Au over
11.0 m from 489.0 m . Hole NBDD064 is a lateral step out extending the high -grade zone
intersected in previously drilled hole NB RC045 (1.57 g/t Au over 40.0 m from 179.0 m),
intersecting 1.16 g/t Au over 36.4 m from 217.2 m, including 2.03 g/t Au over 17.4 m from
219.2 m.
Hole NBDD060 is a down dip step out on the southern high-grade shoot and was drilled 90 m
down dip of previously drilled hole NBDD048 which intersected 4.51 g/t Au over 13.0 m from
236.0 m. NBDD060 intersected 0.70 g/t Au over 19.7 m from 358.3 m, including 1.30 g/t Au
over 9.4 m from 359.2 m.
Metallurgical Testwork on Sulphide Mineralization from Nyam
A series of 14 composite samples of sulphide material drilled at the Nyam Gold Deposit were
analysed by a series of bottle roll tests and returned an average gold recovery of 91.7%
(ranging from 82.7% to 98.0%). This testwork was completed at Intertek Labs in Tarkwa, Ghana,
located approximately four hours by paved road from the Enchi Gold Project.
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A graph showing the metallurgical testwork results can be viewed at:
https://newcoregold.com/site/assets/files/5823/2023_08-ncau-nr-met-graph.pdf
The 14 samples included gold mineralized material from each of the five diamond drill holes
completed at Nyam, with gold contents ranging between 0.62 and 9.34 g/t Au and averaging
2.08 g/t Au. There is no relationship between recovery and gold grade.
The h ead grade for each composite was determined with two 50-gram fire assays , with all
samples analysed by 48 hour optimized leach bottle roll and assays completed on solutions
and tails. The crushed sub splits were milled in the mild steel laboratory rod mill at 50% solids
at suitable milling times to achieve a target grind size of 85% less than 45µm. Some composites
were conditioned with 50 g/t lead nitrate and/or 20 ppm dissolved oxygen for two hours. After
which the pH was conditioned with lime to a pH of 10.5 and sodium cyanide concentration
adjusted to 1000 ppm with the addition of 1 g of sodium cyanide. The samples were rolled for
48 hours and 10 mls of solutions picked at 4, 8, 24 and 32 hours to check residual cyanide and
pH and adjust accordingly to original levels.
The 14 composite sample are from a larger set of 27 composite samples created from 73
original coarse reject samples which include samples from each of the five diamond drill holes
recently completed on the Nyam Gold Deposit. The samples are a representative set of gold
mineralized material with a total weight of 225 kg. The gold content for the composites ranged
between 0.56 g/t Au and 11.14 g/t Au with an average of 2.10 g/t Au.
Results of the initial bottle rolls on the larger set o f 27 composite samples confirmed the
amenability to direct cyanidation with an average recovery of 79% in a range between 63% and
90%. The crushed sub splits were milled in the mild steel laboratory rod mill at 50% solids at
suitable milling times to achie ve a coarser target grind of 85% less than 75µm. The Kinetic
Bottle Roll test included 30 mls solutions picked at 2, 4, 8, 12, 16, 20, 24, 32 and 48 hours. The
solutions were analyzed for Au, cyanide and pH. Levels of cyanide concentration and pH were
maintained throughout the test by being readjusted to their originals if below, after every pick
and 30 mls of tap water was added after every pick to maintain the density throughout the test.
The initial average recovery at the coarser grind for the samples selected for optimization
testing was 81.4% increasing by +10.3% to 91.7% through the variable application of
additional grinding, inclusion of lead nitrate, and oxygen.
The 27 samples contain essentially no silver with only two samples reporting above the
detection limit of 0.5 g/t Ag with 0.6 and 1.0 g/t Ag and showing no correlation with the go ld
grades. All samples reported low values for lead, zinc, and copper averaging 35, 66, 30 ppm
respectively and mildly elevated arsenic averaging 233 ppm with no relationship with gold
grade.
Five samples were subjected to diagnostic leach and showed cons istent results with total
additive recoveries averaging 94.9%. The total gold that was leached by direct cyanidation with
and without carbon averaged 71.0% and 69.8% respectively for the samples corresponding to
a very low preg rob index of 1.2% with one o utlier. Treatment via mild oxidative pre -leach
averaged an additional 4.6%, with sulphuric acid treatment adding an average of a further
2.7%, and an additional 7.1% of the gold became soluble after pre-treatment with HNO3, and
an average of a further 3.5% of the gold was extracted via complete oxidation by roasting.
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Another five representative samples (different samples than were tested by diagnostic leach)
were selected for bond index determination. Samples were sent from Intertek to Jet -Com
Engineering in Tarkwa, Ghana and included a range of recoveries and gold grades. The five
as-received samples were crushed to 100% passing 3.35 mm and from this a 700 cm3 volume
was measured and weighed to be used as feed for the bond mill. The grindability of the
samples ranged from 1.78 g/rev to 2.04 g/rev with bond work indices between 9.54 KWh/t and
10.50 KWh/t indicative of low-medium hardness.
Additional Metallurgical Testwork Underway
Newcore continues to de-risk the Project wit h additional metallurgical testwork designed to
optimize and improve the understanding of processing options available for Enchi. This
additional metallurgical testwork for oxide and transition mineralization includes larger sized
samples for column testing and a bulk-sized, bench-scale test with a pilot heap testing 15 tonne
samples from the two largest deposits at Enchi, Boin and Sewum ("Pilot Tests").
Material for this testwork was sourced from trenches recently completed at Boin and Sewum,
both of which encountered wide mineralized intervals.
Table 2 - Enchi Gold Project Trenching Results Highlights
Hole ID Deposit From (m) To (m) Length (m) Au (g/t)
KBTR_MET_001 Boin 1.0 45.0 44.0 1.43
and 5.0 34.0 29.0 1.97
SWTR_MET_001 Sewum 15.0 107.0 92.0 1.18
including 27.0 40.0 13.0 2.70
including 58.0 81.0 23.0 1.78
Notes:
1. Intervals reported are trench lengths with true width estimated to be 75 - 85%; and
2. Length-weighted averages from uncut assays.
Five 60 kg composite samples were collected and delivered to the independent commercial
Intertek Laboratory in Tarkwa, Ghana - four hours by road from the Project. The metallurgical
work underway is comprised of bottle rolls as well as c olumn tests following -up on recent
positive recoveries from a series of column tests on oxide and transitional material from the
Sewum and Boin Gold Deposits. The recent tests continued to have excellent recoveries with
an average gold recovery of 92.4% and showed low reagent consumptions (see news release
dated October 12, 2022). The additional tests will focus on further defining the optimal reagent
level with a goal of lowering potential processing costs while maintaining high recoveries. The
five 60 kg composites have been created from representative material sourced to reflect a
range of gold grades with individual composites averaging 0.57 to 1.79 g/t Au.
The Pilot Tests are being designed and overseen by the technical personnel from the University
of Mines and Technology ( "UMaT") located in Tarkwa, Ghana. The bulk-scale testing will be
completed on 15 tonne composite samples from oxide material identified and sampled in the
trenches completed for the 60 kg composites . The Pilot Tests will be completed on site at
UMaT. The tests will use the optimized reagent levels as determined by the result s of the
additional, on-going column testwork at UMaT and Intertek.
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Enchi Gold Project Mineral Resource Estimate
The Enchi Gold Project hosts an Indicated Mineral Resource of 41.7 million tonnes grading
0.55 g/t Au containing 743,500 ounces gold and an Inferred Mineral Resource of 46.6 million
tonnes grading 0.65 g/t Au containing 972,000 ounces (see Newcore news release date d
March 7, 2023). Mineral resource estimation practices are in accordance with CIM Estimation
of Mineral Resource and Mineral Reserve Best Practice Guidelines (November 29, 2019) and
follow CIM Definition Standards for Mineral Resources and Mineral Reserves (May 10, 2014),
that are incorporated by reference into National Instrument 43-101 ("NI 43-101"). The Mineral
Resource Estimate was prepared by independent qualified person Todd McCracken, P. Geo.
of BBA E&C Inc. The technical report, titled "Mineral Resource Estimate for the Enchi Gold
Project" has an effective date of January 25, 2023, and is available under the Company’s profile
on SEDAR at www.sedar.com.
Nyam Gold Zone
Nyam is one of the five deposits which comprise the Mineral Resource Estimate at Enchi
(Indicated Mineral Resource of 7.8 million tonnes grading 0.65 g/t Au containing 1 62,000
ounces and Inferred Mineral Resource of 2.7 million tonnes grading 1.21 g/t Au containing
104,700 ounces). Nyam is located 15 kilometres east of the town of Enchi, with nearby roads
and power and further access provided by a series of drill roads. An airborne ge ophysical
anomaly coincident with the Nyam Gold Deposit shows a complex series of linear high
conductivity trends, reflective of the multiple sub -parallel gold -bearing structures. To date,
approximately 30% of the gold-in-soil anomaly is untested by drilling.
Drill Hole Locations
Table 3 - Enchi Gold Project Drill Hole Location Details
Hole ID UTM East UTM North Elevation Azimuth ° Dip ° Length (m)
NBDD060 530429 637176 99 300 -55 425.2
NBDD061 530496 637216 121 300 -50 469.8
NBDD062 530653 637504 120 300 -53 449.4
NBDD063 530818 637672 159 300 -62 532.5
NBDD064 530550 637597 124 300 -56 278.1
Table 4 - Enchi Gold Project Trench Location Details
Hole ID UTM East UTM North Elevation Length (m)
SWTR_MET_001 521264 627822 131 107.0
KBTR_MET_001 518939 633495 141 61.3
Newcore Gold Best Practice
Newcore is committed to best practice standards for all exploration, sampling and drilling
activities. Drilling was completed by an independent drilling firm using industry standard RC
and Diamond Drill equipment. Analytical quality assurance and quality control procedures
include the systematic insertion of blanks, standards and d uplicates into the sample strings.
Samples are placed in sealed bags and shipped directly to Intertek Labs located in Tarkwa,
Ghana for 50 gram gold fire assay.
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Qualified Person
Mr. Gregory Smith, P. Geo, Vice President of Exploration at Newcore, is a Qualified Person as
defined by NI 43 -101, and has reviewed and approved the technical data and information
contained in this news release. Mr. Smith has verified the technical and scientific data disclosed
herein and has conducted appropriate verification on the underlying data including
confirmation of the drillhole data files against the original drillhole logs and assay certificates.
About Newcore Gold Ltd.
Newcore Gold is advancing its Enchi Gold Project located in Ghana, Africa’s largest gold
producer (1). The Project currently hosts an Indicated Mineral Resource of 743,500 ounces of
gold at 0.55 g/t and an Inferred Mineral Resource of 972,000 ounces of gold at 0.65 g/t (2).
Newcore Gold offers investors a unique combination of top -tier leadership, who a re aligned
with shareholders through their 20% equity ownership, and prime district scale exploration
opportunities. Enchi’s 216 km 2 land package covers 40 kilometres of Ghana’s prolific Bibiani
Shear Zone, a gold belt which hosts several 5 million -ounce g old deposits, including the
Chirano mine 50 kilometers to the north. Newcore’s vision is to build a responsive, creative and
powerful gold enterprise that maximizes returns for shareholders.
On Behalf of the Board of Directors of Newcore Gold Ltd.
Luke Alexander
President, CEO & Director
For further information, please contact:
Mal Karwowska | Vice President, Corporate Development and Investor Relations
+1 604 484 4399
www.newcoregold.com
(1) Source: Production volumes for 2022 as sourced from the World Gold Council
(2) Notes for Mineral Resource Estimate:
1. Canadian Institute of Mining Metallurgy and Petroleum ("CIM") definition standards were followed for the
resource estimate.
2. The 2023 resource models used ordinary kriging (OK) grade estimation within a three-dimensional block model
with mineralized zones defined by wireframed solids and constrained by pits shell for Sewum, Boin and Nyam.
Kwakyekrom and Tokosea used Inverse Distance squared (ID2).
3. Open pit cut-off grades varied from 0.14 g/t to 0.25 g/t Au based on mining and processing costs as well as the
recoveries in different weathered material.
4. Heap leach cut-off grade varied from 0.14 g/t to 0.19 g/t in the pit shell and 1.50 g/t for underground based on
mining costs, metallurgical recovery, milling costs and G&A costs.
5. CIL cut off grade varied from 0.25 g/t to 0.27 g/t in a pit shell and 1.5 0 g/t for underground based on mining
costs, metallurgical recovery, milling costs and G&A costs.
6. A US$1,650/ounce gold price was used to determine the cut-off grade.
7. Metallurgical recoveries have been applied to five individual deposits and in each case three material types
(oxide, transition, and fresh rock).
8. A density of 2.19 g/cm3 for oxide, 2.45 g/cm3 for transition, and 2.72 g/cm3 for fresh rock was applied.
9. Optimization pit slope angles varied based on the rock types.
10. Reasonable mining shapes constrain the mineral resource in close proximity to the pit shell.
11. Mineral Resources that are not mineral reserves do not have economic viability. Numbers may not add due to
rounding.
12. The resource estimate was prepared by Todd McCracken, P. Geo, of BBA E&C Inc. in accordance with National
Instrument 43-101 Standards of Disclosure for Mineral Projects. Todd McCracken is an independent qualified
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person ("QP") as defined by National Instrument 43 -101. A full technical report, prepared in accordance with
National Instrument 43 -101 Standards of Disclosure for Mineral Projects and is available under Newcore’s
SEDAR profile at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined
in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy
of this release.
Cautionary Note Regarding Forward-Looking Statements
This news release includes statements that contain "forward -looking information" within the meaning of
the applicable Canadian securities legislation ("forward -looking statements"). All statements, other than
statements of historical fact, are forward -looking statements and are based on expectations, estimates
and projections as at the date of this news release. Any statement that involves discussion with respect to
predictions, expectations, beliefs, plans, projections, objectives, assumptions, future even ts or
performance (often, but not always using phrases such as "plans", "expects", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including
negative variations) of such words and phras es, or state that certain actions, events or results "may",
"could", "would", "might" or "will" be taken, occur or be achieved) are not statements of historical fact
and may be forward-looking statements. In this news release, forward -looking statements relate, among
other things, to: statements about the estimation of mineral resources; results of metallurgical testwork,
results of drilling, magnitude or quality of mineral deposits; anticipated advancement of mineral
properties or programs; and future exploration prospects.
These forward-looking statements, and any assumptions upon which they are based, are made in good
faith and reflect our current judgment regarding the direction of our business. The assumptions
underlying the forward -looking statements a re based on information currently available to Newcore.
Although the forward -looking statements contained in this news release are based upon what
management of Newcore believes, or believed at the time, to be reasonable assumptions, Newcore
cannot assure its shareholders that actual results will be consistent with such forward-looking statements,
as there may be other factors that cause results not to be as anticipated, estimated or intended. Forward-
looking information also involves known and unknown ris ks, uncertainties and other factors which may
cause the actual results, performance or achievements of the Company to be materially different from
any future results, performance or achievements expressed or implied by the forward -looking
information. Such factors include, among others: risks related to the speculative nature of the Company’s
business; the Company’s formative stage of development; the Company’s financial position; possible
variations in minerali zation, grade or recovery rates; actual result s of current exploration activities;
fluctuations in general macroeconomic conditions; fluctuations in securities markets; fluctuations in spot
and forward prices of gold and other commodities; fluctuations in currency markets (such as the Canadian
dollar to United States dollar exchange rate); change in national and local government, legislation,
taxation, controls, regulations and political or economic developments; risks and hazards associated with
the business of mineral exploration, development and mining (including environmental hazards, unusual
or unexpected geological formations); the presence of laws and regulations that may impose restrictions
on mining; employee relations; relationships with and claims by local communities; the speculative
nature of mineral exploration and development (including the risks of obtaining necessary licenses,
permits and approvals from government authorities); and title to properties.
Forward-looking statements contained herein are made as of the date of this news rel ease and the
Company disclaims any obligation to update any forward-looking statements, whether as a result of new
information, future events or results, except as may be required by applicable securities laws. There can
be no assurance that forward -looking information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking information.