Chesapeake Gold Corp. (TSXV:CKG, OTCQX:CHPGF) has unveiled a corporate update on its world class, Metates gold-silver project located in Durango State, Mexico, together with planned technical work and objectives in 2022.
“2021 was a transformational year for Chesapeake with new management members and technical team focused on testing a sulphide heap leach technology that could significantly improve Metates’ project economics as a low cost, scalable mine,” CEO Alan Pangbourne said.
“The positive results of the PEA demonstrated an alternative mine plan with an ~90% decrease in development capital compared to an autoclave process flowsheet. In 2022, we plan to advance the metallurgical and technical work that will be key value drivers for the company.
During 2021, Randy Reifel, the Founder, Chairman and President of the company, has been instrumental in assisting in the transition of the new management and technical team. Effective January 1, 2022, Mr. Reifel will step down as President and continue as Executive Chairman of the Board of Directors. Mr. Pangbourne will assume the duties of the President.
Presently, Chesapeake is well funded with C$32 million in cash and marketable securities.
Infill Drill Programme
The five-hole PQ diameter core drill programme completed in June for metallurgical test work returned on average, a 19% increase in grade over the block model predicted grades. In November, two diamond drill rigs commenced a 16-hole infill programme that will drill both up and down dip as well as along strike between the June 2021 holes. The company expects to release results in early 2022 once assays have been received.
An overall increase in grade could have a significant impact on the PEA geological model and further improve project economics. Once the assays are received, an updated block model inputting all 21 holes will be the basis for a revised resource estimate, mine planning and future technical studies.
Metallurgical Testwork Programme
The company is also pleased to report that selected 2021 drill core samples from Metates for metallurgical testwork are in a Vancouver lab and 16 columns are oxidising. Following oxidation, conventional cyanide leaching will be undertaken for precious metal recovery.
The metallurgical testwork will be in two phases. Phase 1 will concentrate on composite sample tests to determine the best parameters for processing the Metates mineralisation. Phase 2 will include individual variability testing to develop a detailed geo-metallurgical model. Results from Phase 1 will be incorporated into a prefeasibility study, expected to be delivered in late 2022.
For further information please visit: https://chesapeakegold.com/
