Happy New Year to you all and I believe that is about enough said!
At Royal Road we continue to adapt in order to ensure progress as best we can in light of the pandemic and the dynamic environment in which we find ourselves. Again, appreciation and gratitude for the dedication and flexibility of our teams in Colombia and Nicaragua.
Northeastern Nicaragua is recovering from the effects of hurricanes ETA and IOTA. Our social and environmental teams are collaborating with local authorities and assisting in the provision of supplies to hurricane-affected communities in the vicinity of our projects, cleaning water wells and making general repairs. The loss of habitat has had heartbreaking consequences for local wildlife and the Company has embarked on a comprehensive relief and recovery strategy commencing with the immediate provision of food for mammals and birds in food baskets suspended in what remains of the forest canopy.
Food baskets being installed for the immediate relief of local wildlife in northeastern Nicaragua and a normally nocturnal Cuyu taking advantage of their contents. Food and water supplies for local communities and cleaning of potable water in the aftermath of Hurrican Iota.
Our drilling activities at the Caribe gold project were largely unaffected by the hurricanes and despite some practical difficulties drilling through bands of clay, we have managed now to follow the breccia body to beyond 200m downhole depths. Interestingly, we are also intersecting what appear to be strongly altered porphyritic dyke-like bodies one-of which returned up to 18.8g/t gold across a 1 meter intersection. We have a lot yet to learn about Caribe and particularly in relation to its overall geometry and lateral extents. The drilling program is revealing soil and laterite cover of up to about 40 meters depth in some cases and so we are currently exploring options for RAB/RC drilling later in the year. The drilling at Caribe is technically difficult, but our main frustration just now relates to the laboratories and the turnaround-time for drilling results. In some cases it is now up to two-months before we receive preliminary gold analyses. We again appeal for your patience in regards to news flow!
We are also currently drilling two deep scout holes seeking underlying copper or gold mineralization at the Los Andes “lithocap” prospect in western Nicaragua. This is a highly conceptual drilling program but initial observations from drill core appear encouraging.
Elsewhere in Nicaragua we have completed deep auger soil sampling at the Yuoya skarn project and a ground magnetic survey at Aguas Calientes in the northeast of the country.
Altered porphyritic dyke (?) from drill intersection returning 18.8 g/t gold at Caribe. Pyrite-rich breccia from drill core beneath the Los Andes lithocap. Deep auger soil sampling at Yuoya, Nicaragua. Reconnaissance stream-sediment sampling in Colombia.
Exploration work in Colombia has been focused on our northern block in the prolific middle Cauca belt. At Guintar-Niverengo we are in the process of permitting this year’s upcoming drilling program which is aimed at testing the deep (sub-skarn) porphyry potential of the project. We are awaiting the final results from a soil sampling program across the Margaritas gold-breccia project and stream sediment reconnaissance teams have completed regional sampling from throughout our extensive application and title package. Our aim in the northern block for this year is to drill at Guintar-Niverengo and Margaritas and to rationalize and prioritize our title package, reducing it to two or three high potential project areas on-which we can focus our efforts.
In southern Colombia we are working with government in respect of finalizing our formalization projects and with aspects of the international community in relation to some innovative social initiatives we are hoping to deploy in mining districts where security remains an issue.
In December we announced a transaction on our 50% of Luna Roja in Nicaragua which we believe exemplifies our target criteria and our business model. The transaction sees the Company well-capitalized and well-positioned in respect of advancing its exploration initiatives over the coming years.
Respectfully Yours, Tim Coughlin, President & CEO
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Mines and Money Online Connect ( Jan 27 - 29)
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