Canamex receives extension on Bruner notice of intent

Nov 8, 2017

2017-11-08 12:40 ET – News Release

Mr. David Vincent reports

COMPANY NAME CHANGE AND BRUNER GOLD PROJECT UPDATE

Further to its news release of Oct. 25, 2017, Canamex Gold Corp. has changed its name to Canamex Gold Corp., effective immediately. The company’s trading symbol remains as CSQ on the TSX Venture Exchange. The new Cusip number for the company’s common shares is 13711B108 and the ISIN (international securities identification number) is CA13711B1085. The company’s common shares commenced trading under the new name effective at the opening of trading on Wednesday, Nov. 8, 2017. Furthermore, the company is pleased to launch its new website and adopt a new company logo to reflect the name change to Canamex Gold.

Bruner gold project update

The company is pleased to announce that the U.S. Bureau of Land Management (BLM) has recently extended the notice of intent on the Bruner gold project for a further two years, until Oct. 18, 2019. The BLM has also accepted an increased bond amount to drill water well this month. The water well will provide the water for the Bruner gold project’s development path into production.

BLM notice of intent extended

The notice of intent with the BLM has been extended for two years until Oct. 18, 2019. The notice of intent covers surface disturbance for exploration drilling of approximately 2.87 acres. Disturbance under a notice of intent can be up to five acres before a plan of operations is required. The extension allows the company to continue to drill around the Penelas resource area for extensions to that resource, and with additional amendments and increased bonding, to disturb up to the maximum five acres allowed in order to quantify the extent of the Penelas resource and other exploration targets on BLM-administered unpatented mining claims.

Amendment to notice of intent to drill water well

The company was granted water rights for up to 350 gallons per minute of water from the State of Nevada in April, 2014, subject to perfecting that water right by drilling a well before year-end 2017. The company has selected a water well site on unpatented mining claims along the access corridor to the Bruner gold project. The BLM has amended the notice of intent and approved an increased bond amount to cover the surface disturbance and reclamation associated with drilling this well. The amendment and bond have been approved, and the company has entered into an agreement with Harris Exploration Drilling, a licensed water well driller in the state of Nevada, to drill the water well. Drilling is expected to commence in mid-November to late November and be completed by mid-December, 2017. The completion of the well will allow the company to perfect its water right for up to 350 gallons per minute of groundwater. The well will be used to supply water for all additional drilling on the Bruner gold project and, ultimately, should be able to supply makeup water for development of the gold resources on the Bruner gold project.

NV Energy study for delivery of grid power to the Bruner gold project

The company has agreed to enter into an engineering study agreement (ESA) with NV Energy regarding the delivery of grid power from NV Energy’s substation at Gabbs, Nev., located about 20 miles by road from the patented claims of the Bruner gold project, where the preliminary economic assessment (PEA) completed by Welsh Hagen Associates in 2016 had recommended the location of a heap-leach processing site. Two alternatives for delivery of grid power to the Bruner gold project appear to be potentially available to the company, and the ESA will quantify the costs and logistics of the two currently identifiable options.

Updated resource and updated preliminary economic assessment

Welsh Hagen Associates is making steady progress on the updated resource and concurrent updated PEA, with a target completion before year-end 2017. The updated resources and updated PEA will be made public after receipt by the company. This is expected to be next month.

Comments by Canamex management

David Vincent, chief executive officer of the company, stated:

“The company name change, website change and logo change are being implemented in order to better reflect the new strategy of the company and to improve its communications with current and future shareholders in the company.

“A number of key milestones are now being completed at the Bruner gold project:

“Updated resources and updated PEA;
“Provision of a water supply for further project development;
“Energy study for the later provision of grid power to the project;
“And extension to the notice of intent, in order to conduct stepout drilling at the planned Penalas pit area and other planned pit areas in order to further improve the economics and further increase the economic gold resources.

“Next year, 2018 is shaping up as a very busy year for the company as it moves closer towards development of the Bruner gold project in mining-friendly Nevada.”

Greg Hahn, CPG No. 7122, is the qualified person responsible for the technical information disclosed in this press release.

About Canamex Gold Corp.

Canamex Gold is engaged in fast-tracking toward development of the Bruner gold project in the prolific gold jurisdiction of Nye county, Nevada. The Bruner gold property is surrounded by multimillion-ounce gold deposits, including Paradise Peak, Round Mountain and Rawhide. The company’s growth strategy includes developing sufficient resources for production on patented claims first, shortening the time to permit in order to move quickly to gold production operations. Near-term cash flow generation will allow Canamex to build value for shareholders by minimizing dilution risk whilst further growing the resource through drilling.

http://canamexgold.com/news/