American CuMo Mining Corporation (TSXV:MLY)announces that drilling at its Calida Gold project continues with five holes completed and a sixth hole currently being drilled. The five completed holes have intersected altered and mineralized zones over significant widths. Holes one and two were reported previously in the Company’s news release dated July 17, 2017.
The third hole (C17-03) was drilled to intersect the main vein approximately 100 feet west of intersections in holes C17-01 and C17-02 from the same pad. C17-03 intersected two mineralized zones: 3-meters (10 feet) width between 15.2 meters (50 feet) and 18.2 (60 feet) and 25 meters (82 feet) between 26.8 meters (88 Feet) and 51.8 meters (170 feet). The fourth hole (C17-04), drilled from the same pad at a steeper angle, also intersected two zones: 7 meters (23 feet) between 18 meters (59 feet) and 25 meters (82 feet) and 12.1 meters (40 feet) between 28.7 meters (94 feet) to 40.8 meters (134 feet).
The fifth hole (C17-05) was collared approximately 300 meters (1000 feet) west of the initial holes and drilled into a fault zone with only a single 5.2-meter intersection (17 feet) intersection between 32.3 meter (106 feet) and 37.5 meters (123 feet). The sixth hole (C17-06) is currently being drilled at an angle to avoid the fault intersected in C17-05. It has intersected an upper mineralized zone between 4.9 meters (16 feet) and 15.2 meters (50 feet) and is currently drilling within a second intersection at 78.3 meters (257 feet).
Overall, the intersections are visually similar to those reported by the previous drilling in 1983. The core is being processed and sent for assaying and results will be published as soon as they are received.
In other news, the TSX Venture Exchange has conditionally accepted the proposed US$3 million private placement of 11,000,000 shares at a price of CAD$0.34091 per share (USD$0.27273) between the Company and Millennia Minerals Pte Ltd. (Millennia). The proceeds from the private placement will be used to repay the CAD$1,500,000 debenture owed to IEMR(HK) due October 25, 2017 and the USD$1,500,000 debenture also owed to IEMR(HK) due November 25, 2017.
Finally, the Company has applied to the TSX Venture Exchange for conditional approval of the proposed strategic financial partnership with Millennia, and the Company’s lawyers continue to work with Millennia’s lawyers to finalise the detailed legal agreements covering the partnership. Currently, there are no additional agreements in place to extend the due diligence and exclusivity periods, which expired in July.
Mr. Shaun M. Dykes, M.Sc. (Eng), P.Geo., President and CEO of the Company is the designated qualified person for the CuMo Project and Calida Gold, and prepared the technical information contained in this news release.
About CuMoCo
CuMoCo is focused on advancing its CuMo Project towards feasibility. CuMoCo is also advancing its newly-acquired Calida Gold Project. Management is continuing to build an even stronger foundation from which to move the Company and its projects forward. For more information, please visitwww.cumoco.com,www.idahocumo.comandwww.cumoproject.com.
For further information, please contact:
American CuMo Mining Corporation
Shaun Dykes, President and Chief Executive Officer
Tel: (604) 689-7902
Email:info@cumoco.com
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this new release.
Forward-looking information
This news release contains forward-looking information within the meaning of applicable Canadian securities legislation including, but not limited to, statements that address activities, events or developments that the Company expects or ant