TriStar Gold Inc. Presents Update on Castelo de Sonhos
Successful completion of 2015 priorities:
On November 18th, 2015, TriStar announced plans to strengthen and complement its senior management team and to raise funds through a non-brokered private placement. These plans, which were the centerpiece of the Company’s strategy for advancing the Castelo de Sonhos project, have been completed. The additions to the Company's management include a core group of individuals with a track record of advancing projects from exploration through to feasibility study. This new group is led by Mr. Nick Appleyard whom has assumed the position of President and CEO. TriStar also raised sufficient funds to make upcoming land payments under the option agreement that earns TriStar 100% ownership of the project. The Company will also continue field work activities on Castelo de Sonhos.
Development Plans for 2016:
TriStar is launching a new website: www.TriStarGold.com that will be live on January 10, 2016. The new look is part of improving the investing public's understanding of the potential of the Castelo de Sonhos property and the capabilities of the management group.
TriStar will be publishing an updated NI 43-101 Technical Report that discloses the Exploration Target at Castelo de Sonhos (“CDS”); this revised Technical Report will be the result of a Quantitative Risk Assessment (“QRA”) that is being conducted to establish the range of the property’s resource potential. The results of the QRA are expected to be published in January, with the technical report being filed on SEDAR in February.
In Q1 and Q2 the field programs will be aimed at gathering available information from the 16 kilometers of continuously mineralized strike length of the main mineralized conglomerate band at CDS. Nearly the entire exposed conglomeratic band has some level of historical artisanal mining, meaning there is now good exposure of the host rocks available for detailed mapping and sampling to better understand the controls on mineralization and to extend the preliminary metallurgical test work.
Land payments will be made in January and July to secure 100% ownership of CDS.
In Q1 and Q2, TriStar will seek to obtain the financing needed for a drill program that is planned to begin in Q3. This program will be aimed at confirming the assumptions used to generate the results of the QRA and the published Exploration Target. Limited metallurgical testing will be conducted to confirm and build on the excellent gold recoveries reported in preliminary metallurgical studies.
On December 18, 2015, the Company completed a non-brokered Private Placement of 7,994,989 Common Shares of Tristar at a price of C$0.15 per share, to raise gross proceeds of C$1,199,248. The Company also has previously announced an early warrant exercise program (the “Incentive Program”) that has been extended to January 15, 2016, in order to encourage the early exercise of up to 19,682,250 outstanding common share purchase warrants (see press release dated December 2, 2015). Additional funding will be necessary to commence the third quarter drill program and to continue planned field programs.
TriStar Gold is an exploration and development company focused on previous metal properties in the Americas that have potential to become significant producing mines. The Company’s current flagship property is Castelo de Sonhos in Pará state Brazil. The Company’s shares are listed on the TSX Venture Exchange under the symbol TSG-V. Further information is available at www.TriStarGold.com.
For further information, please contact:
TriStar Gold Inc.
President and CEO
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. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
Certain statements contained in this press release may constitute forward-looking statements under Canadian securities legislation which are not historical facts and are made pursuant to the "safe harbour" provisions under the United States Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based upon the Company's reasonable expectations and business plan at the date hereof, which are subject to change depending on economic, political and competitive circumstances and contingencies. Readers are cautioned that such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause a change in such assumptions and the actual outcomes and estimates to be materially different from those estimated or anticipated future results, achievements or position expressed or implied by those forward-looking statements. Risks, uncertainties and other factors that could cause the Company's plans to change include changes in demand for and price of gold and other commodities (such as fuel and electricity) and currencies; changes or disruptions in the securities markets; legislative, political or economic developments in Brazil; the need to obtain permits and comply with laws and regulations and other regulatory requirements; the possibility that actual results of work may differ from projections/expectations or may not realize the perceived potential of the company’s projects; risks of accidents, equipment breakdowns and labour disputes or other unanticipated difficulties or interruptions; the possibility of cost overruns or unanticipated expenses in development programs; operating or technical difficulties in connection with exploration, mining or development activities; the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of reserves and resources; and the risks involved in the exploration, development and mining business. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
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