Columbus Gold Receives US$4.2 Million Payment from Nord Gold; Updates Drilling
VANCOUVER, BRITISH COLUMBIA - May 23, 2014 - Columbus Gold Corporation (TSX VENTURE:CGT) ("Columbus Gold") is pleased to announce that it has received the US$4.2 million payment from Nord Gold N.V. ("Nord Gold") required to be paid pursuant to their option to earn a 50.01% interest in certain licences at Columbus Gold's 100% owned Paul Isnard Gold Project in French Guiana, that host the Montagne d'Or gold deposit (the "Project").
Nord Gold may earn a 50.01% interest in the Project by completing a bankable feasibility study and by expending not less than US$30 million in 3 years in staged work expenditures, which included a requirement for Nord Gold to pay Columbus Gold the US$4.2 million in cash no later than May 21, 2014.
Phase II drilling is presently underway at Montagne d'Or. Fifty-five (55) drill holes (106 to 159) have been completed, for a total of 7,018 metres, as part as of a 26,600 metre drilling program. In addition, six (6) large diameter HQ-calibre core holes (1,000 m) were completed for detailed metallurgical testing as part of a preliminary economic assessment study (PEA). A second track-mounted diamond drill rig has been shipped from Canada and is expected to arrive on site in early June with the aim of completing the Phase II program in September.