An access drive on the fourth (1060) level has intersected the Kearney vein ahead of schedule. The intersection shows strongly developed mineralization. The north and south faces of the vein were channel sampled. The average of the two channels was 8.35 g/t gold over an average true width of 2.65 metres.

The vein intersection is expected to allow in-vein development both north and south on the fourth (1060) level. Development on the fourth level is anticipated to produce increased feed tonnage to the processing plant, which produces a concentrate sold under an off-take contract.

Development on the third (1072) level continues southwards with gold grades within the expected range.

A drivage  from the 1072 access has been taken northwards, in-vein, for approximately 40 metres (July 19, 2019). Mineralisation beyond the first 20 metres is currently excluded from the geological model, due to paucity of data. The mineralization was shown to be persistent and has been followed in an in-vein development.

Two channel samples taken across the face as the drivage was developed at 24.1m and 27.6m into the third level (1072) north development showed a grade of 6.2g/t gold and 16.3 g/t gold respectively, each with a true width of 3 metres.

The vein will continue to be followed northwards on the third (1072) level and elevates potential for additional mineralisation to be added to the resource model if discovered on the adjacent first (1096), second (1084) and fourth (1060) levels, which have not yet accessed this area.

To June 30, 2019 approximately 1623 metres of drivage have been completed since underground development commenced. The in-vein portion of the development is designed to form lower and upper access to future stoping blocks for production. Detailed geological information collected during in-vein development allows the geotechnical design of the various blocks to be optimized and the geological model to be refined.

A second shift was added to the processing plant operations, as planned, early in the second quarter of 2019. An expansion to three shifts is planned for the third quarter.

Roland Phelps, President & CEO, Galantas Gold Corporation, said, “Development continues on or better than target. I look forward to increases in concentrate output that are expected to be the result of the latest development. The potential for an expansion of the Omagh gold resource remains very high. It is the intention to continue the drilling program as cash flow permits. The program, which will be mainly conducted underground, will be focused on targets accessible for mining.”

Routine channel samples are taken as part of geological assessment procedures designed to enhance statistical assessment for mining and are not reported except in the context of a specific event. The channel samples described followed a standard sampling methodology as outlined on August 29th, 2018. The analyses reported are by fire assay method and were carried out in an in-house laboratory. All widths reported are true widths.

Source: Company Press Release