Endomines to Start Production At Pampalo Open Pit and Reports Encouraging Drilling Results from Friday Mine
level at S4500. Drilling results have been very encouraging as out of 8 holes for a total of 342 m drilled in the campaign, 5 drill holes intersected high-grade (over 8g/t) gold mineralisation extending up to 60m vertically below the current mining level. More drilling will have to be done to better define the continuity and shape of the gold mineralised structures for future mine planning purposes. All underground drilling has been carried out by American Drilling, using a Hagby 1000/Sandvik DE130 with NQ tubes, resulting in core of 47.6mm in diameter. Drill hole locations, start azimuths and inclinations have been surveyed by using mine survey equipment. Holes were generally less than 100m and no downhole surveying was conducted. Recovery was in excess of 90%. All holes were pressure-grouted for abandonment. Assay and QA/QC procedures The drill cores have been logged and sampled by Endomines own personnel and contract geologists. The preparation (crushing, pulverizing and splitting) of the underground drillings core samples was carried out at Endomines laboratory at the Oro Grande Production Facility in Elk City, Idaho. Firms contracted for analysis include American Analytical Services (Osburn, Idaho), Skyline Laboratories (Tucson, Arizona) and Bureau Veritas (Vancouver, Canada). Fire assaying was used for gold analysis. Normal QA/QC (Quality Assurance/Quality Control) procedures have been adhered to on all the samples, with multiple standards (from CDN Resource Labs, Canada) and duplicates routinely submitted as part of the sampling program. The quality of sample preparation, security integrity and chemical assays was equal to, or exceeded, current industrial standards and the requirements of the JORC-code.