The former Granada underground mine had produced more than 50,000 oz. of gold at an average grade of 9.7 g/t gold from two shafts before a fire destroyed the surface buildings. Bulk samples taken from the surface in the 1990s and since then have graded in the 3-5 g/t range. Last activity at Granada was the mining of approximately 2,200 oz. of gold in 2000.
Following its acquisition in 2006, Granada Gold has been looking to revitalize the deposit to the first stage of production – what it calls a high-grade “rolling start”. Drilling has been conducted since 2009 on unexplored areas near the past-producing pit, with the aim of expanding the resource and demonstrating its open pit and underground potential. To date, only about 20% of the property has been explored.
The new resource estimate, which combines both in-pit constrained and underground resources, incorporates results of the 30,000-metre drill program recently completed…
