Gold Terra begins drilling Yellowknife City
Gold Terra Resource Corp. has commenced a 10,000-metre drilling program testing high-grade gold targets at its wholly owned Yellowknife City gold project (YCG) in Northwest Territories.Read More
- Mobilization to site completed with one diamond drill turning;
- Upcoming drill program targeting high-grade Crestaurum deposit;
- Additional drilling planned targeting the Campbell Shear regional structure;
- Commencing drilling with a strong cash position following an equity raise of $7.1-million;
- COVID-19 protocols in place for drilling program.
David Suda, president and chief executive officer, stated: “The company is well funded and we are very excited to start drilling on the Crestaurum high-grade gold deposit, which has considerable potential for expansion along strike and at depth. Following Crestaurum, our drilling activities will focus on testing multiple new high-grade targets along the prolific Campbell Shear structure.”
This first phase of drilling, consisting of seven holes totalling 3,700 m, will cover a strike length of approximately one kilometre to test the depth extension of the Crestaurum deposit to 400 m below surface, approximately 200 m below the current resource limit, and to test the Daigle fault offset, which displaces the deposit to the south. Following the first phase of drilling, the company is planning to test the Crestaurum deposit deeper between 400 m and 600 m (refer to news release dated July 21, 2020).
Gold Terra has received a mineral incentive program (MIP) grant of $86,000 from the government of Northwest Territories for exploration work on its YCG project. The proposed work program totalling $240,000 will mainly include ground geophysical surveys (induced polarization) to cover the extension of the Campbell Shear zone onto the north belt of the YCG property, immediately north of the Giant mine.
The company is also planning to drill a number of targets on the high-grade Campbell Shear structure, which extends on the company’s property both north and south of the former Con and Giant mines, which have produced over 14 million ounces of gold (refer to news release dated June 2, 2020).
Following the completion of the Crestaurum drilling program, the company plans to update its mineral resource estimate for the YCG project at year-end. Currently, the project hosts a National Instrument 43-101 inferred mineral resource estimate of 735,000 ounces of gold (12.8 million tonnes averaging 1.79 grams per tonne Au) based on a gold price of $1,300 (U.S.) per ounce (refer to news release dated Nov. 4, 2019).
The technical information contained in this news release has been approved by Joseph Campbell who is a qualified person as defined in NI 43-101 — Standards of Disclosure for Mineral Projects.
Orca Gold to revise feasibility study for Block 14
Detailed engineering work since delivery of a feasibility study (see company’s news release on Nov. 7, 2018) on Orca Gold Inc.’s 70-per-cent-owned Block 14 gold project in Sudan has identified improvements that are likely to enhance the already strong economics of the project. Orca expects to file a revised study in September, 2020, reflecting these improvements, updating capital costs to Q2 2020 and highlighting the impact of current gold pricing on valuation.Read More
NOVEMBER, 2018, BLOCK 14 FEASIBILITY STUDY SUMMARY Probable reserves 79.94 Mt at 1.11 g/t for 2.85 Moz Average annual production First seven years 5.8 Mtpa at 1.49 g/t averaging 228,000 oz Au/year Life of mine 167,000 oz Au/year Mine life 13.6 years Production costs Years 1 to 7 LOM Cash costs $689/oz $707/oz All-in sustaining costs $789/oz $783/oz After-tax net present value Discount rate: 5%; Gold price: $1,250/oz $403-million After-tax internal rate of return 24.2% Payback period 3.9 years Preproduction capital $328-million Sustaining capital $181-million
Also in September, 2020, the company will update shareholders on the current drilling program under way at the Kone prospect, Morondo concession, in Ivory Coast, which is owned and operated by Montage Gold Inc., a subsidiary of Orca. The objective of the current drilling at Kone is to demonstrate the potential for a multimillion-ounce inferred resource. Upon achieving this objective, Montage will initiate a further 50,000-metre drill program toward the delivery of a feasibility study.
Southern Silver closes $10M, 4M private placements
In conjunction with the previously announced transaction to acquire an additional 60-per-cent indirect working interest (for a 100-per-cent indirect ownership interest) in Southern Silver Exploration Corp.’s flagship Cerro Las Minitas project, the company has closed the $10-million brokered offering of subscription receipts and has issued a total of 50 million brokered subscription receipts at a price of 20 cents per brokered subscription receipt for gross proceeds of $10-million and has closed the non-brokered $4-million private placement of subscription receipts and has issued a total of 19,047,620 non-brokered subscription receipts at a price of 21 cents per non-brokered subscription receipt for gross proceeds of $4-million. The Brokered Offering was led by Red Cloud Securities Inc. (“Red Cloud”) on behalf of a syndicate of agents (together with Red Cloud, the “Agents”). The Offerings included a lead order from Palisades Goldcorp Ltd. for $1.0 million.Read More
Each Subscription Receipt for the Offerings is exchangeable, for no additional consideration, into one unit of the Company (each, a “Unit”) upon satisfaction of certain escrow release conditions (the “Escrow Release Conditions”). Each Unit of the C$10 million Brokered Offering will consist of one common share and one-half of one share purchase warrant, with each full warrant exercisable to purchase one additional common share at a price of C$0.25 during the first year, increasing to C$0.30 in year two and to C$0.35 in year three following the closing date of the Brokered Offering. Each Unit of the C$4 million Non-Brokered Offering will consist of one common share and one-half of one share purchase warrant, with each full warrant exercisable to purchase one additional common share at a price of C$0.28 during the first year, increasing to C$0.33 in year two and to C$0.38 in year three following the closing date of the Non-Brokered Offering.
The net proceeds raised under the Offerings will be used to fund the cash payment for the Transaction and for general working capital purposes inclusive of funding costs associated with the continued exploration and development of the Cerro Las Minitas polymetallic mineral property in Durango, Mexico. Up to 10,000 metres of new drilling is planned on the property, commencing in mid-September.
The Subscription Receipts, and the common shares and warrants issuable upon satisfaction of the Escrow Release Conditions, carry a legend restricting trading of the securities until December 15, 2020. The Subscription Receipts, the common shares and warrants issuable upon satisfaction of the Escrow Release Conditions, and the common shares issuable upon exercise of the warrants, have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws. Accordingly, such securities may not be offered or sold within the United States unless registered under the U.S. Securities Act and applicable state securities laws, or pursuant to exemptions from the registration requirements of the U.S. Securities Act and applicable state securities laws. This news release does not constitute an offer to sell or a solicitation of an offer to buy any securities of Southern Silver in any jurisdiction in which such offer, solicitation or sale would be unlawful. Purchasers are advised to consult their own legal advisors in this regard.
In connection with the closing of the Brokered Offering, the Company paid fees to the Agents consisting of (i) an aggregate of $312,080 in cash and (ii) an aggregate of 1,560,400 non-transferable compensation options (“Compensation Options”). The Company also paid the Agents a corporate finance fee consisting of (i) a cash payment of $237,920 including applicable taxes and (ii) an aggregate of 1,189,600 corporate finance options (the “Corporate Finance Options”). Each Compensation Option and Corporate Finance Option entitles the holder to purchase one common share at a price of $0.20 for a period of three years from the closing date of the Offerings.
The Company has also agreed to pay finder’s fees consisting of 7% finder’s units and 7% non-transferable finder’s warrants (upon the same terms as the Units and underlying warrants contained in the Offerings) on a portion of the Offerings.
The Offerings are subject to certain conditions including, but not limited to, the receipt of all necessary approvals of the TSX Venture Exchange.
The Company has entered into a definitive agreement with Electrum Global Holdings L.P. (“Electrum”) to acquire Electrum’s 60% ownership interest in Southern Silver Holdings Limited (“SSHL”) for current and future cash and share payments totaling US$15.0 million (the “Transaction”). SSHL is a holding company that wholly owns Minera Plata del Sur S.A. de C.V. (“MPS”). MPS holds title to the Cerro Las Minitas property in Durango State, Mexico. The Company shall use its commercially reasonable efforts to complete the Transaction. The conditions of the closing of the Transaction are as follows:
on the closing date of the Transaction, the payment by the Company to Electrum of US$5,000,000 in cash and the issue and delivery of US$2,000,000 (adjusted by a credit of C$1,350,000 paid on execution of the definitive agreement), in common shares of the Company;
receipt of the approval of the Company’s shareholders at a meeting convened for September 4, 2020; and
receipt of all required approvals from the TSX Venture Exchange as well as all other relevant regulatory bodies with closing scheduled on or about September 9, 2020.
The securities referred to in this news release have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements. This news release does not constitute an offer for sale of securities for sale, nor a solicitation for offers to buy any securities.
Cerro Las Minitas Project
The Cerro Las Minitas project is an advanced exploration stage polymetallic Ag-Pb-Zn-Cu Skarn/CRD project located in southern Durango, Mexico.
The Cerro Las Minitas project as of May 9th, 2019 contains a Mineral Resource Estimate, at a 175g/t AgEq cut-off, of(1)Indicated – 134Moz AgEq: 37.5Moz Ag, 40Mlb Cu, 303Mlb Pb and 897Mlb ZnInferred – 138Moz AgEq: 45.7Moz Ag, 76Mlb Cu, 253Mlb Pb and 796Mlb Zn
A total of 133 drill holes for 59,000 metres have now been completed on the CLM Project with exploration expenditures of approximately US$18.5 million equating to exploration discovery costs of approximately C$0.07 per AgEq ounce to the end of 2019.
Southern Silver has identified a further 10,000 metres in exploration drilling for 2020, targeting specific step-outs from strongly silver-enriched mineral intercepts in the Las Victorias, South Skarn and the Mina La Bocona targets. The targeting is designed to increase the current mineral resource estimate by approximately 30%. The CLM Project remains one of the larger undeveloped silver-lead-zinc projects in the world. It is fully permitted to continue exploration on the property, with a strong potential resource growth profile.
Drilling is scheduled to start in mid-September.
Millrock begins drilling 64North, CFO to resign
Millrock Resources Inc.’s drilling at the Echo target on the West Pogo block of the 64North gold project in Alaska has now begun. A heliportable drill rig is being used to test a strong CSAMT geophysical survey conductor in the down-dip direction from the nearby Goodpaster gold deposit located on the neighbouring claims held by Northern Star Resources Ltd. In its Aug. 13, 2020, press release, Northern Star indicated its intention to do definition drilling necessary to calculate an initial resource estimate for its Goodpaster deposit with $21-million (Australian) being allocated for the work.Read More
At the Echo target, the planned depth of hole 20EC005 is 300 metres. Next to be drilled is the Reflection target. A hole at this location is designed to pierce a CSAMT conductive zone located just above the interpreted location of the same magnetic intrusive rock that hosts the Goodpaster deposit, along a west-northwest-trending fault, which passes very close to both the Goodpaster deposit and the Pogo mine. Work on the project is being financed by Resolution Minerals Ltd.
Also, Keith Granberry, chief financial officer, has indicated his intention to resign from Millrock to pursue another opportunity in Alaska. A search for a replacement CFO is under way. Mr. Granberry has expressed his commitment to a smooth transition over the coming weeks. Millrock wishes Mr. Granberry well. Starting as controller, but then moving to the CFO position rapidly, he has been employed by Millrock for close to a decade.
Millrock president and chief executive officer Gregory Beischer commented: “Keith has been an integral part of the Millrock team and has helped the company grow through the years. We will miss his support and wish him great success in his new career.”
The scientific and technical information disclosed within this document has been prepared, reviewed and approved by Mr. Beischer, president, CEO and a director of Millrock Resources. Mr. Beischer is a qualified person as defined in NI 43-101.
Treasury Metals begins search for new CEO
Treasury Metals Inc. has planned a leadership change following the recently completed transaction to acquire the Goldlund gold project and a priority to accelerate studies into the development phase of an integrated Goliath-Goldlund project. The newly constituted board of directors has commenced a formal search for a chief executive officer appropriate to the in-tandem development of the gold projects.Read More
Greg Ferron will continue to serve as chief executive officer while the search is under way.
The board would like to thank Mr. Ferron in particular for his leadership over the past two years as chief executive officer and previously for his role as vice-president, corporate development.
Bill Fisher, chairman of the company’s board of directors, commented: “I am happy to see Treasury conclude this logical and valuable acquisition and look forward to the next phase of development. The board recognizes with gratitude Greg’s leadership and successful delivery of several key company milestones. We also appreciate his establishment of constructive relationships with multiple stakeholders, including equity and debt holders, employees, permitting regulators, public stakeholders, and indigenous communities.”
Greg Ferron, chief executive officer of Treasury Metals, added: “My objectives over the past several years were to see completion of the federal environmental assessment and to work closely with our dedicated employees and shareholders, and, ultimately, to consolidate the district, creating one of the largest undeveloped gold assets in Canada. I am thrilled with our success, and it has been a pleasure working with all stakeholders. I now look forward to seeing a successful transition and integration into the next critical phase of construction and production.”
Norzinc’s June 30 working capital at negative $2.6M
Norzinc Ltd. has released its interim financial results and development activities for the second quarter ended June 30, 2020.Read More
Q2 2020 Results & Recent Highlights
Financial and Corporate
- Received second tranche of C$4.1M (US$3M) unsecured loan from the Company’s largest shareholder RCF VI CAD LLC (Jun)
- Cash and short-term investments at June 30, 2020 – $2.3M (Jun)
- Loss for Q2 2020 – $1.3M
- Continued focus for 2020 and 2021 on activities related to possible significant (Apr-Jun):
- Increase in throughput;
- Increase in reserves;
- The Company is strongly focussing on Prairie Creek’s silver production profile (Jun)
- Concentrated efforts (Stage 1) detailing the workplan to achieve the possible additional throughput and reserves (Apr-Jun)
- Continued discussions with regulators advancing project permitting, including new exploration and throughput plans (Apr-Jun)
- Implemented commitment tracking software in support of all permitting activities and Indigenous community relations (Jun)
- Continued process to renew Mine Operations permits (Jun)
The Company’s activities are primarily focused on the development of the Company’s Prairie Creek zinc-lead-silver mine in Canada’s Northwest Territories. In its news release of April 22, 2020 the company announced a two stage process focussed, over 18-24 months, on plans for a possible significant:
- Increase in production throughput; and
- Increase in reserves
at the Prairie Creek Mine (the “Mine”), formerly the Cadillac Silver Mine developed by the Hunt Brothers in the 1980s. The changing price of Silver has also meant an increased focus on Silver production (See Outlook and Factors Affecting Performance below).
Stage 1 of the plan, which consists of a thorough planning process to define and establish the scope of all elements required to ready the project for Stage 2, was commenced in April 2020. Stage 1 is nearing completion and the Company plans to make further announcements regarding the program and the financing plans for Stage 2, including the possible rights offering discussed in April, in the coming weeks. In order to optimize the permitting timeline the company has already initiated discussions with the regulators and local communities on Stage 2 exploration activities and throughput plans.
Stage 2 includes an exploration drilling program, site infrastructure redesign, mine design and economics, engineering, permitting and project execution plans. Stage 2 is intended to support all the work necessary to satisfy project financing, silver stream financing and equity financing at the increased throughput and with increased reserves. See COVID-19 below with regard to timing of Stage 2.
On the throughput front, the Company has continued its internal expansion design plans and has commenced discussions with the regulators and local communities on a potential 50% increase in throughput from the 2017 Feasibility Study1.
The Company’s plan for an early commencement of the Stage 2 exploration program in 2020 is unlikely to proceed on the planned schedule, due to ongoing concerns with COVID-19, both with regard to safety and market concerns. Recognizing there have been no active COVID-19 cases in the NWT since April 2020, and zero incidence of cases in the local communities, the Company worked with both the Government of the NWT and the local communities on special measures to ensure they were satisfied with the strict protocols for the safety of staff and the local communities. The agreement and implementation of those measures with all parties delayed the safe opening of the site by over 2 months, with only limited staff getting to site by mid-July.
While there are no guarantees, the company still expects to finish its exploration program within the 24-month window previously announced, but not on the schedule that would have been possible without COVID-19.
As the pandemic persists, Norzinc will continue to follow the highest health and safety standards and update stakeholders on a regular basis.
Review of Financial Results
For the three months ended June 30, 2020 the Company reported a net loss and comprehensive loss of $1.3M compared to a net loss and comprehensive loss of $3.3M for the three months ended June 30, 2019.
At June 30, 2020, the Company had cash and cash equivalents and short-term investments totaling $2.3M and a negative working capital balance of $2.6M. In April, the Company received the first $2.1M (US$1.5M) tranche of the US$3.0M unsecured loan. In June, the Company received the second $2.0M (US$1.5M) tranche of the unsecured loan. At December 31, 2019, the Company had cash and cash equivalents of $2.5M, short-term investments of $32,000 and a positive working capital balance of $0.8M.
1 Refer to “Prairie Creek Property Feasibility Study NI 43-101 Technical Report” filed Oct 31, 2017 on SEDAR.
Outlook and Factors Affecting Performance
Norzinc’s focus for 2020 and 2021 is on its goal of achieving a significant increase in production throughput and increase in reserves through the completion of the Stage 1 and Stage 2 plans announced in April. During the quarter, the Company actively worked towards a timely completion of Stage 1 activities. This has included discussions and engagement with prospective consultants and vendors in getting the appropriate supplemental expertise to define and establish all elements required for Stage 2.
The Company continues to work with the respective Regulators in ensuring compliance with all licenses and permits. As previously mentioned, while there are no guarantees, Norzinc is optimistic that under the assumption of obtaining additional funding, Stages 1 and 2 can be achieved in the coming 18-24 months.
The changing dynamics of the Silver market is expected to have a significant effect on the Mine. The Mine was originally the Cadillac Silver Mine developed by the Hunt Brothers in the 1980s. The current reserves and resources contain significant quantities and grades of Silver. The current reserve consists of 8.1 million tonnes at 8.6% Zinc, 8.1% Lead and 124 grams per tonne (g/t) Silver 1, and the inferred resources that are the focus of the Stage 2 exploration plan consist of 5.3 million tonnes of Main Quartz Vein material at 12.9% Zinc, 8.7% Lead and 199 g/t Silver 1. At current prices with existing reserves the silver net revenue represents over 26% of total net revenue from the Mine1 even with the high revenue from the very high grades of Zinc and Lead. Annual Silver production in the first 9 years averages 2 million ounces per year at the 2017 Feasibility Study throughput. If the Company achieves its goals of increasing throughput and reserves, the potential for silver production is expected to increase correspondingly.
The Company is continually assessing various options for financing the development of Prairie Creek, these include alternative project financing, silver streaming, discussions with strategic investors, governmental supported funding, leases and other financing mechanisms.
Unless otherwise indicated, all scientific and technical information relating to the Company’s mineral projects contained in this news release has been reviewed and approved by Kerry Cupit, P. Geo., who by reason of education, membership in professional associations (as defined in NI 43-101) and past relevant work experience, fulfills the requirements of a qualified person as defined in NI 43-101. Mr. Cupit is a Project Geologist employed by the Company, with a B.Sc. in Earth Sciences (Geology).
Brixton Metals flow-through, NFT private placement
The TSX Venture Exchange has accepted for filing documentation with respect to a non-brokered private placement announced July 24, 2020.Read More
Shares: 12,689,000 shares; 8,319,400 flow-through shares
Price: 25 cents per share; 27 cents per flow-through share
Warrants: 12,689,000 share purchase warrants to purchase 12,689,000 shares
Exercise price: 35 cents for a three-year period
Insider: Spartan Holdings Ltd. (Cale Moodie) 120,000
Finder’s fees: Red Cloud Securities Inc. — $189,685.92 and 712,164 warrants; Canaccord Genuity Corp. — $10,800 and 43,200 warrants; PI Financial Corp. — $2,250 and 9,000 warrants; Leede Jones Gable Inc. — $1,680 and 6,000 warrants; warrants are exercisable into common shares at 25 cents per share to Aug. 12, 2022.
Eclipse Gold to start drilling at Hercules next week
Eclipse Gold Mining Corp. will commence the next phase of drilling at its Hercules gold project in Nevada’s Walker Lane trend.Read More
The company has secured a drill rig and has begun mobilization for its phase 2 drill program. Drilling will commence next week and is planned to include up to 18 reverse circulation holes, totalling approximately 6,750 metres.
Drilling will test:
- Potential extensions of known gold mineralization to the east of Cliffs;
- The newly defined Hercules structural zone that runs north-south through the Northeast and Hercules targets;
- Geophysical targets generated by the company’s recent IP (induced polarization) geophysical program between the Cliffs and Hercules targets.
Dr. Warwick Board, vice-president of exploration for the company, commented: “With our new geophysical data refining the geological model of the Hercules gold system we are excited to begin this phase of drilling, testing high-priority targets on the property. The new data indicates that the Hercules system may be a large-scale epithermal gold system where only the outer edges have been tested by drilling to date.”
Eclipse is the first to aggregate data and look at Hercules through a district-scale lens using a systematic, science-focused approach. The company has created an 85-square-kilometre, district-scale land package, through claim staking and ownership consolidation, that is known to host a low sulphidation epithermal gold-silver system of undefined size.
Recent drilling has highlighted the strength and continuity of the mineralized system at Hercules, intersecting broad intervals of near-surface oxide gold-silver mineralization in all target areas tested to date, some greater than 50 metres. Results from a recent ground IP survey identified a new Hercules structural zone, a potential feeder structure, that extends more than 2,000 metres along strike and remains open for expansion. Of note, phase 1 drilling has shown an apparent increase in thickness and grade of mineralization of the low sulphidation epithermal gold-silver system to the south, indicating the property-wide system could be larger than previously imagined.
This phase 2 program may be further refined based on the results of the helicopter-based EM (electromagnetic) survey that is currently being completed, as further described in the company’s news release dated Aug. 4, 2020.
The company is pleased to report it has purchased two patented claims within the Hercules land package. The acquisition further consolidates ownership of this prospective district and will allow for more effective exploration in the Sirens target area, where historic drill hole BR0806 returned 38 metres of 0.64 gram per tonne gold and ended in mineralization.
Eclipse has engaged Departures Capital for a three-month contract to create a cross-platform social media and video marketing program. Total contract value is $30,000 (U.S.) with approximately 30 per cent allocated to digital advertising.
Evergold drills 0.7 m of 20.8 g/t Au at Snoball
First-ever drilling high on Pyramid Peak, on Evergold Corp.’s Snoball property in Northern British Columbia, Canada, has tapped into a significant new high-grade vein system, returning multiple intercepts of vein-hosted gold and silver, including local high grades. The company notes it is very early days in the unfolding of the discovery, and it may require time to understand the controls on mineralization and determine where to go next. Nonetheless the company is excited to continue exploration and to see where the work in planning may lead, as the evidence suggests that the system that lies beneath Pyramid Peak and Snoball Ridge has vertical extent, deep roots and strong potential for high grades in multiple structures.Read More
In the interest of delivering to shareholders some early sense of the system potential, sections of drill core from several holes, selected on the basis of strong mineralization and high XRF (X-ray flourescence) readings for gold pathfinder elements, were rushed for laboratory assays. The results of these assays are presented below. Assays for the remainder of each of these holes, and other significant intercepts in the program, will be released when they have been received, compiled and evaluated.
Early results as the company starts to unravel the geometry of the system (true widths are presently unknown):
- 20.8 grams per tonne gold 54.54 g/t silver over 0.70 metre from 134.30 to 135.00 metres in hole SB20-006;
- 12.90 g/t Au and 54.24 g/t Ag over 1.44 metres from 47.75 to 49.19 metres in hole SB20-005:
- Within 3.19 g/t Au and 28.37 g/t Ag over 9.62 metres from 42.00 to 51.62 metres;
- 11.40 g/t Au and 4.51 g/t Ag over 1.50 metres from 33.00 to 34.50 metres in hole SB20-002;
- 2.01 g/t Au and 27.85 g/t Ag over 6.64 metres from 42.84 to 49.48 metres in hole SB20-001;
- 1.31 g/t Au and 38.17 g/t Ag over 5.30 metres from 46.00 to 51.30 metres in hole SB20-008.
Phase 1 drilling from the Apex pad has now wrapped up for a total of 2,799 metres in 13 holes, exceeding the targeted 2,400 metres.
“Our team has done a really fine job, in very challenging weather conditions, executing the first-ever drilling at Pyramid Peak, and in the process delivered an exciting early stage discovery in the heart of some of the most prospective geological real estate in the world,” said Kevin Keough, president and chief executive officer. “It’s a high-grade system that warrants perseverance. Our plan now is to get better positioned with new pads downslope from the Apex pad and to the west along Snoball Ridge, where our modelling suggests the potential for multiple mineralized structures. Weather allowing, we anticipate being able to complete construction of these new drill pads this season and possibly bring the drill back on. While we await the remaining Snoball assays, drilling continues to the east at our Golden Lion property, and that story too is starting to look rather exciting, as noted below. It’s early in the discovery process at both these properties, but we remain highly confident in their potential to generate strong returns for shareholders as we move forward.”
Golden Lion property update
The company is pleased to report that drilling on the company’s Golden Lion property, located to the east of Snoball in the Toodoggone region, has returned broad intercepts of epithermal-style mineralization at the GL1 Main target. To date in excess of 2,500 metres of phase 1 drilling in 15 holes have been completed, distributed across six different targets on the GL1 and GL2 target areas as shown in the associated table.
GL1 E-W anomaly one hole: GL20-001 GL1 Main nine holes: GL20-002/3/6/7/8/9/11/12/13 GL1 North Ridge one hole: GL20-004 GL2 skarn two holes: GL20-005/14 GL2 EP zone one hole: GL20-015 GL3 8300 one hole: GL20-010
Drilling is continuing. Significant assays will be reported when received, compiled and evaluated.
Quality assurance and quality control
Andrew J. Mitchell, PGeo, vice-president, exploration, for Evergold and a qualified person as defined by National Instrument 43-101, has reviewed and approved the technical information in this news release.
Samples of NRQ-diameter drill core were cut by a diamond blade rock saw, with half of the cut core placed in individual sealed polyurethane bags and half placed back in the original core box for permanent storage. Sample lengths typically vary from a minimum 0.5-metre interval to a maximum 2.5-metre interval, with an average 1.5-metre sample length. One standard and two blanks were inserted per 50 samples. Drill core samples were then delivered by truck in sealed woven plastic bags to one of two laboratories: (1) the ALS Geochemistry facility in Terrace, B.C., for sample preparation with final analysis at the ALS geochemistry analytical lab facility in North Vancouver, B.C., or (2) the MSA Labs facility in Terrace, B.C., for sample preparation with final analysis at the MSA analytical lab facility in Langley, B.C. Both the ALS geochemistry facilities and the MSA Labs facilities are accredited to the International Standards International Organization for Standardization/International Electrotechnical Commission 17025:2017 and ISO 9001:2015 standards. Gold was determined by fire assay fusion of a 50 g subsample with atomic absorption spectroscopy (AAS). Various metals including silver, gold, copper, lead and zinc are analyzed by inductively coupled plasma (ICP) atomic emission spectroscopy, following multiacid digestion.
The following company-wide analytical protocols are in place for samples with base and precious metal values that exceed certain thresholds. Samples returning values greater than 10 parts per million gold from fire assay and AAS are determined by using fire assay and a gravimetric finish. Samples with visible gold or suspected of having exceptionally high grades are submitted for metallic screen gold analysis on a larger subsample. The elements copper, lead and zinc are determined by ore-grade assay for samples that return values greater than 10,000 ppm by ICP analysis. Silver is determined by ore-grade assay for samples that return greater than 100 ppm.
Evrim Resources, Renaissance Gold complete merger
Evrim Resources Corp. and Renaissance Gold Inc. have completed their previously announced merger of equals in which Evrim acquired all of the outstanding common shares of Renaissance through a share exchange transaction pursuant to a plan of arrangement.Read More
Concurrently with the completion of the arrangement Evrim changed its name to Orogen Royalties Inc. Orogen will begin trading on the TSX Venture Exchange under the symbol OGN on Aug. 20, 2020.
As part of the transaction, Robert Felder and Tim Janke, former directors of Renaissance, have joined the board of directors of the company and Paddy Nicol and John Thompson have resigned as directors. Mr. Nicol remains the president and chief executive officer of Orogen and Robert Felder, the former CEO of Renaissance, will take on the role of senior vice-president of Orogen.
Orogen’s mission and strategy
Orogen’s mission is to create and acquire precious metal royalties using its strengths as a prospect generator as well as its established business relationships across the mining industry. Organic royalty generation will be driven by existing joint ventures and alliances and through generative exploration that leads to new opportunities to create value for Orogen’s shareholders and its exploration partners, the hallmarks of each of Evrim and Renaissance prior to the transaction. Strategic royalty acquisition will be supported by Orogen’s industry knowledge and geological expertise in critical types of deposits.
Underpinning Orogen’s strategic royalty focus are two organically created cornerstone assets: (i) a 2-per-cent net smelter return royalty (NSR) on the Ermitano West gold-silver deposit in Sonora, Mexico, where production by First Majestic Silver Corp. is slated to begin in 2021 (1); and (ii) a 1-per-cent net smelter royalty on the Silicon gold project in Nevada, United States, which is being advanced by AngloGold Ashanti SA.
Evrim and Renaissance shares
The common shares of the company will commence trading on the TSX Venture Exchange under the symbol OGN on Aug. 20, 2020, to reflect the new name of the company.
The common shares of Renaissance have been halted and are expected to be delisted on or about Aug. 18, 2020. Renaissance shareholders will receive 1.2448 common shares of Orogen for each common share of Renaissance held. Each Renaissance warrant and option will become exercisable for Orogen common shares, as adjusted in accordance with the exchange ratio.
Galway Metals drills 12.95 m of 13.4 g/t Au at Clarence
Galway Metals Inc.’s previously reported intersect of a 14.4-metre massive quartz vein containing 29 splashes of visible gold (VG) in hole CL20-65 (see July 29, 2020, press release) returned 13.4 grams per tonne gold over 12.95 metres. This hole is the first in a newly drilled area, located 320 metres northeast of a previously reported new vein intersection of 11.4 g/t Au over 2.0 m, including 43.5 g/t Au over 0.5 m in hole CL20-58. The intersection in hole 58 had been discovered 75 metres north of the George Murphy zone (GMZ) at the Clarence Stream gold project in southwestern New Brunswick:Read More
- Hole CL-65 intersected 13.4 grams per tonne (g/t) Au over 12.95 metres (m), including 40.15 g/t Au over 1.0 m, 26.0 g/t Au over 0.55 , 78.85 g/t Au over 0.8 m, 16.0 g/t Au over 0.5 m and 32.9 g/t Au over 0.95 m, starting at a vertical depth of 172 m. The new vein appears to be associated with a strong magnetic low and with a line of coincident soil anomalies, both located close to the interpreted location of the main structure on the property — the Sawyer Brook fault. This trend is subparallel to and north of the GMZ, Richard and Jubilee zones.
“Galway is very pleased with results from the new discovery in hole 65. The initial interpretation is that the intersect is not part of the 3.5 km trend that hosts the George Murphy, Richard and Jubilee zones, or the other new discovery of 186.5 g/t Au over 0.6 metre about one km southwest of Jubilee. These are all on the south side of the local intrusive in the area. Instead, it appears as if the gold mineralization in hole 65 trends along the north side of the intrusive, which would confirm Galway’s view that the intrusive is ringed on both sides with mineralization. The north side contains gold-in-till and soil anomalies in the same metasediment host rocks that exist on the south side, and the main structure that runs throughout the district, the Sawyer Brook fault, is also interpreted to be on the north side of the intrusive. This fault is thought to be the main conduit for gold-bearing fluids to flow.
“Galway is currently drilling follow-up holes to the new discovery with the aim of turning it into a new deposit, and will soon conduct a similar follow-up drill program at the other new discovery located 3.7 km to the southwest. With over $20-million in cash, Galway is fully funded through the end of 2021 to complete its 75,000-metre drill program at Clarence Stream. The local intrusive that is thought to control the three deposits and two new discoveries is just one of many intrusives across Galway’s 65 km land position, and they all have associated gold anomalies. We believe this underscores the potential of Clarence Stream as an important new gold district in North America,” said Robert Hinchcliffe, president and chief executive officer of Galway Metals.
The GMZ is 730 m long to date (excludes the new discovery), with multiple structures over 310 m horizontal thickness (width), and with all veins open in every direction. The new intersect that returned 13.4 g/t Au over 12.95 m in hole 65 appears to be associated with a strong magnetic low and with a line of coincident soil anomalies, both located close to the interpreted location of the main structure on the property — the Sawyer Brook fault. It directly underlies a soil anomaly that gave a grade of 19 parts per billion. The anomaly is present on the next line 100 m to the east that gives it a strike along the magnetic low. It also lines up nicely with another soil anomaly located an additional 320 m east that grades 53 ppb. The anomalies extend for another 1.6 km east beyond that. They also extend 1.0 km southwest of the vein, north of the local intrusive in the area. Soil anomalies, in conjunction with glacial till and stream sediment anomalies, led to the discovery of all five known gold deposits at Clarence Stream, and the property hosts many other as-of-yet-untested gold anomalies.
On June 24 (June 24, 2020, press release), Galway announced a different new discovery that returned 186.5 g/t Au over 0.6 m, located 950 m southwest and along strike of the westernmost intersection of the Jubilee zone. That Jubilee intersection had returned 1.9 g/t Au over 43.3 m (35.7 m true width (TW)), including 21.2 g/t Au over 2.35 m, starting at a vertical depth of 36 m below surface (Sept. 5, 2019). Another similar vein to the discovery is located 13 m farther downhole and returned 2.2 g/t Au over 0.7 m. Galway plans on following up on this discovery in coming days.
These two new discoveries are in addition to Galway’s previous discoveries of the George Murphy and Richard zones, initially reported December, 2017, and January, 2019, respectively.
ASSAY RESULTS Hole ID From To Intercept Intercept TW Au (m) (m) (m) (m) (g/t) GMZ North trend GWM20CL-65 0 241.00 pending 243.50 256.45 12.95 13.4 incl. 246.00 246.50 0.50 29.8* incl. 246.50 247.00 0.50 50.5* VG incl. 250.85 251.40 0.55 26.0* incl. 252.40 253.20 0.80 78.9* VG incl. 255.50 256.45 0.95 32.9 259.10 260.75 1.65 0.5 260.75 580.70 pending VG equals visible gold. The company use 0.42 g/t Au for the bottom cut-off. True widths are unknown if not noted. * This indicates screen metallic assays.
New Brunswick junior mining assistance program
Galway would like to acknowledge financial support from the New Brunswick junior mining assistance program, which partially funded drilling of the GMZ, Jubilee zone and Richard zone.
Geology and mineralization
The recent discovery of the Richard zone in hole 12 contains elevated levels of bismuth, arsenopyrite and antimony, in multiple quartz veins, with tungsten in the vicinity. This is similar to other Clarence Stream deposits, which can be characterized as intrusion-related quartz-vein hosted gold deposits. The Richard zone contains multiple zones of quartz veining with sulphides and sericite alteration. In general, mineralization at Clarence Stream consists of 10 to 70 per cent quartz stockworks and veins with 1 to 5 per cent fine pyrite plus pyrrhotite plus arsenopyrite plus stibnite in sericite altered sediments. The Jubilee mineralization consists of 2 to 5 per cent disseminated pyrite, sphalerite, galena, arsenopyrite, chalcopyrite and pyrrhotite in sediments with white to smoky grey quartz veining. Locally there is up to 10 per cent sphalerite and semi-massive galena veinlets. The 2.5 km trend that hosts the GMZ, Richard zone and Jubilee zone contains a mineralized mafic intrusive locally — similar to the South zone, which currently hosts most of the property’s last reported gold resources (September, 2017). A more complete description of Clarence Stream’s geology and mineralization can be found at the company’s website.
Review by qualified person, quality control and reports
Michael Sutton, PGeo, director and vice-president of exploration for Galway Metals, is the qualified person who supervised the preparation of the scientific and technical disclosure in this news release on behalf of Galway Metals. All core, chip/boulder samples and soil samples are assayed by Activation Laboratories, 41 Bittern St., Ancaster, Ont., Canada, which has ISO/IEC 17025 accreditation. All core is under watch from the drill site to the core processing facility. All samples are assayed for gold by fire assay, with gravimetric finish, and other elements assayed using ICP. The company’s QA/QC program includes the regular insertion of blanks and standards into the sample shipments, as well as instructions for duplication. Standards, blanks and duplicates are inserted at one per 20 samples. Approximately 5 per cent of the pulps and rejects are sent for check assaying at a second lab with the results averaged and intersections updated when received. Core recovery in the mineralized zones has averaged 99 per cent.
Defiance Silver arranges $7-million placement
Defiance Silver Corp. has entered into an agreement with Red Cloud Securities Inc., as lead agent and sole bookrunner, on its own behalf and, if applicable, on behalf of a syndicate of agents in connection with a best efforts private placement of up to 20.59 million units of the company at a price of 34 cents per unit for gross proceeds of up to $7,000,600.Read More
Each unit will comprise one common share of the company and one-half of one common share purchase warrant. Each warrant shall be exercisable to acquire one common share at a price of 48 cents per warrant share for a period of 24 months from the closing of the offering.
The agents will have an option to offer for sale up to an additional 8,825,000 units at the offering price for additional gross proceeds of up to $3,000,500, which is exercisable, in whole or in part, at any time up to 48 hours prior to the closing of the offering.
The company intends to use the net proceeds from the offering for exploration and general working capital purposes.
The securities to be issued under the offering will be offered by way of private placement in each of the provinces of Canada and such other jurisdictions as may be determined by the company, in each case pursuant to applicable exemptions from the prospectus requirements under applicable securities laws.
The offering is scheduled to close on or about the week of Sept. 15, 2020, or such date as agreed upon between the company and the lead agent and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the exchange. The units to be issued under the offering will have a hold period of four months and one day from closing.
Anaconda drills 15 m of 4.37 g/t Au at Stog’er Tight
Anaconda Mining Inc. has released results of a continuing drill program along strike from the Stog’er Tight mine and deposit, located approximately three kilometres east of the company’s operating Pine Cove mill and tailings facility in Newfoundland. The Drill Program to date consists of 1,727 metres in 22 diamond drill holes (BN-20-319 to -340) and was initiated to follow up on the recent drill discovery of mineralization announced on July 7, 2020, which included 5.54 grams per tonne ("g/t") gold over 20.0 metres. To date the Drill Program has successfully expanded mineralization northwestward in the down-dip direction to 170 metres and has added 180 metres of strike (Exhibit B).Read More
Highlights of the Drill Program include:4.37 g/t gold over 15.0 metres (98.0 to 113.0 metres), including 10.41 g/t gold over 5.0 metres in diamond drill hole BN-20-338;3.32 g/t gold over 8.0 metres (38.0 to 46.0 metres); including 11.80 g/t gold over 1.0 metre in diamond drill hole BN-20-326;2.40 g/t gold over 9.0 metres (27.0 to 36.0 metres); including 13.50 g/t gold over 1.0 metre in diamond drill hole BN-20-323;3.86 g/t gold over 5.0 metres (12.0 to 17.0 metres) in diamond drill hole BN-20-333; and2.15 g/t gold over 8.0 metres (81.0 to 89.0 metres), including 6.37 g/t gold over 1.0 metre in diamond drill hole BN-20-335.
Selected intersections from the Drill Program at Stog'er Tight are shown in Table 1 below.
"Our recent drilling has successfully expanded mineralization at Stog'er Tight down-dip to 170 metres and added 180 metres of strike. Importantly, this mineralization is less than 75 metres below surface and remains open for expansion with geological and geophysical evidence indicating more immediate drill targets. We have therefore expanded the drill program to 4,000 metres with the goal of further outlining this growing deposit. Located only a few kilometres from the Pine Cove Mill and Tailings Facility, the continuing growth of the Stog'er Tight Deposit represents excellent potential for future mining at Point Rousse."
~ Kevin Bullock, President and CEO, Anaconda Mining Inc.
The results of the Drill Program indicate that a significant zone of gold mineralization extends at least 650 metres west of, and represents a strike extension of, the Stog'er Tight Mine sequence. Mineralization at Stog'er Tight now extends over a total strike length of 1,200 metres and is open along strike to the southwest and down-dip on its western half. Gold mineralization is hosted within a shallowly northwest dipping gabbro sill and has been tested to a vertical depth of 75 metres.
The highest grades and thicknesses intersected thus far are associated with a geophysical anomaly (an IP chargeability high associated with all gold deposits at Point Rousse) that extends 250 metres northward, parallel with a similar IP anomaly associated with the Stog'er Tight Deposit. A second IP chargeability anomaly, of similar extent and associated with surface gold mineralization, is located 250 metres further southwest along strike, highlighting additional potential for expansion (Exhibit C). Both geophysical anomalies trend beneath a shallow pond (generally less than a few metres) known as Camp Pond (Exhibit B and C). Fox Pond, located east of Camp Pond, was similarly underlain by the Stog'er Tight Deposit which was successfully mined in 2018 and 2019 by partial dewatering of the pond under appropriate Provincial and Federal Government permits.
Highlighted composited assays from diamond drill holes BN-20-319 to BN-20-340 DrillholeFrom (m)To (m)Length (m)Gold (g/t) BN-20-32327.0 36.0 9.0 2.40 including29.0 30.0 1.0 13.50 BN-20-32433.0 36.0 3.0 1.01 BN-20-32522.0 28.0 6.0 1.94 BN-20-32638.0 46.0 8.0 3.32 including43.0 44.0 1.0 11.80 BN-20-32832.0 33.0 1.0 0.86 BN-20-32956.0 57.0 1.0 2.45 and 64.0 74.0 10.0 0.61 BN-20-33037.0 38.0 1.0 0.98 and 50.0 55.0 5.0 1.79 BN-20-33117.0 18.0 1.0 1.08 and 67.0 68.0 1.0 0.89 BN-20-33219.0 20.0 1.0 2.08 and 23.8 24.8 1.0 0.58 BN-20-33312.0 17.0 5.0 3.86 and 46.0 47.0 1.0 2.75 BN-20-33420.6 21.6 1.0 0.60 and 37.8 38.8 1.0 1.10 BN-20-33581.0 89.0 8.0 2.15 Including86.0 87.0 1.0 6.37 BN-20-33681.0 82.0 1.0 4.42 BN-20-33898.0 113.0 15.0 4.37 including108.0 113.0 5.0 10.41 and 112.0 113.0 1.0 45.70
1 – Diamond drill holes BN-19-319 to -322, -327 and BN-20-339 to – 340 have no significant assays.
2 – Interval expressed as core length only; true thickness is estimated to be 50-90% of interval length due to local drilling conditions that does not always allow for drilling orthogonally to the apparent dip of mineralization.
About Stog'er Tight
The Stog'er Tight Deposit, located three (3) kilometres east of the Pine Cove Mill adjacent to existing road networks, has been defined over a strike length of 650 metres to date. Anaconda produced a total of 17,102 ounces of gold from 349,942 tonnes of ore from the Stog'er Tight Mine between June 2018 and January 2020. Gold from Stog'er Tight was recovered through the Pine Cove Mill with an average head grade of 1.75 g/t gold at an overall recovery of approximately 87%. Anaconda is currently assessing the potential for expanding the Stog'er Tight Deposit and developing additional resources along strike.
This news release has been reviewed and approved by Paul McNeill, P. Geo., VP Exploration with Anaconda Mining Inc., a "Qualified Person", under National Instrument 43-101 Standard for Disclosure for Mineral Projects.
Mineralized intervals referred to in this press release are reported as drill intersections and are apparent widths only. True widths reported in this press release are estimated to be approximately 50-90% of drill intervals.
All samples and the resultant composites referred to in this release were collected using QA/QC protocols including the regular insertion of certified standards and blanks within each sample batch sent for analysis and completion of check assays of select samples. Diamond drill core and percussion samples were analyzed for Au at Eastern Analytical Ltd. in Springdale, NL ("Eastern"), using standard fire assay (30 g) pre-concentration and Atomic Absorption finish methods. Eastern is a fully accredited firm within the meaning of NI 43-101 for provision of this service.
Asante Gold Appoints Non-Executive Director and Incentive Stock Options Announced
VANCOUVER, British Columbia, Aug. 18, 2020 (GLOBE NEWSWIRE) — Asante Gold Corporation (CSE:ASE/ FRANKFURT:1A9/U.S.OTC:ASGOF) (“Asante” or the “Company”) is pleased to announce that Dr. Roger Norwich has been appointed as a non-executive Director of the Company, and has been granted 350,000 incentive stock options for a five-year term at a price of $0.10 per share.Read More
Dr. Norwich trained as a Geologist at Manchester University, United Kingdom, and is a significant shareholder in Asante. He has a track record developed over the last twenty years of assisting smaller precious metal companies grow into much larger scale producing enterprises.
As the founding director of Mexican Silver Mines Ltd., Dr. Norwich was involved in its merger into Rio Alto Mining and its development into a serious gold producer at the La Arena property in Peru including assisting in its TSX and NYSE listings and eventual sale in 2015 to Tahoe Resources Inc. for $1.12Billion.
Dr. Norwich was until very recently a director of Otis Gold Corp. (TSX-V:OOO) and helped develop a significant gold resource at its Kilgore property in Idaho, USA and is now on the Board of Excellon Resources Inc. (TSX:EXN) following the successful merger of the two companies in April 2020. Dr. Norwich is resident in the Channel Islands.
Dr. Norwich states: “My driving spirit is to help small gold companies become large ones and I am excited at the opportunity to engage with my new colleagues at Asante to expand and develop in the near term what I believe to be very prospective gold assets.”
On behalf of the Board, we heartily welcome Dr. Norwich to assist us in our growth in this new 2020 bull gold market. We also take this opportunity to extend our sincere wishes that all our shareholders, employees and their families remain healthy and safe in these difficult times.
“Douglas R. MacQuarrie”
President and CEO
Japan Gold talks sampling work in Hokkaido
Japan Gold Corp. has provided a progress report on the Barrick alliance project activities in northeast Hokkaido, Japan.Read More
Bulk leach extractable gold (BLEG) and rock float samples are being collected across the Sanru Project
The Sanru Project (318km2) is the Company’s largest project and covers a 25-kilometer strike length from the Sanru Mine in the southwest to the boundary of Irving Resources (CSE:IRV) Omu Project in the north (Figure 1)
The Kitami Region of northeast Hokkaido is one of Japan’s major epithermal gold provinces with more than 40 historic mines and prospects, including:
Konomai Mine, Japan’s third largest gold mine (historic production of 2.35Moz at an average grade of 6.4g/t Au)Sanru Mine (historic production of 225,000oz at an average grade of 7.4g/t Au)
Japan Gold has 9 projects with applications and prospecting rights covering 737 km2 of prospective ground within the region, 8 of which are included in the Barrick Alliance (531.9 km2) (Figure 1)
Barrick Alliance field teams relocated from southern Kyushu to northeast Hokkaido in late July and are currently undertaking regional sampling on the Sanru Project collecting bulk leach extractable gold (BLEG) and rock float samples across the extensive, 31,822.4-hectare project area. This regional phase of BLEG and rock sampling is expected to be completed at the Sanru Project by the end of August. Following completion of this program, the Company’s teams will move south to the Aibetsu Project and then onto the eastern Kitami Region projects with the aim of completing the regional phase of work programs in northeast Hokkaido before the onset of winter.
Klondike Gold drills 10.5 m of 7.57 g/t Au at Stander
Klondike Gold Corp. has released the results of phase 2 and phase 3 diamond drilling at the Stander zone and Stander zone extensions on the company’s wholly owned 586-square-kilometre Klondike District property, Yukon. The drill program successfully constrained the geometry and boundaries of gold mineralization and the consistency in grade of gold mineralization contributing information towards resource delineation. Information obtained from results will be used to prioritize next phases of drilling scheduled to commence in late August.Read More
At the Stander Zone, EC20-350 intersected 7.57 g/t Au over 10.5 meters from 48.0 meters within a larger envelope of 3.93 g/t Au over 21.0 meters from 46.0 meters, and EC20-349 intersected 3.04 g/t Au over 2.5 meters from 8.5 meters among others.
Phase 2 drilling showed the geometry of gold-bearing quartz vein arrays is sub-horizontal (previously one of two different possibilities), and the drilling also constrains the position of the Nugget Fault as shown in Figure 1. The short five-hole program all intersected near-surface gold mineralization and successfully identified areas for further drilling.
Phase 3 drilling tested for possible parallel structural repeats of the Stander Zone to explain down-slope gold-geochemical anomalies generated from GT-Probe deep overborne sampling. Three of four holes contained weakly gold-mineralized quartz veins with the best, EC20-356, assaying 0.40 g/t Au over 1.5m from 4.5 meters. The GT-Probe anomalies remain unexplained.
Peter Tallman, President and CEO of Klondike Gold stated "The drilling has answered a question about the gold veining orientation required to frame a resource model; it is sub-horizontal, and this result also contributes important information for future targeting of the Stander Zone and adds confirmation to the Company's guiding geologic and structural model of gold mineralization in the Klondike. The Nugget Fault is now interpreted to have multiple horizontal gold-bearing quartz vein arrays generated adjacent to the fault, allowing the Company to explore the Nugget Fault along strike for high grade quartz vein areas at surface as part of the overall objective to move beyond exploration and towards resource delineation".
PHASE 2 STANDER ZONE DRILLING RESULTS
The Company has received assays from all five holes of the Phase 2 diamond drilling program targeting a 100-meter length of the Stander Zone along the Nugget Fault. The short five-hole program all intersected near-surface gold mineralization in all holes and successfully identified areas for further drilling. The best result from the second hole drilled, EC20-350, intersected 7.57 g/t Au over 10.5 meters from 48.0 meters within a larger envelope of 3.93 g/t Au over 21.0 meters from 46.0 meters downhole.
The longitudinal section below shows three &#8216;levels' of quartz veining with depth, with individual gold intersections in each drill hole ascribed a "Level" (counting from surface) in Summary of Phase 2 Results in Table 1.Image: https://www.accesswire.com/users/newswire/images/602077/image-20200817144843-1.jpeg
Figure 1: Longitudinal Section of Gold Mineralization with Phase 2 Drill Holes at Stander Zone (see Figure 2 plan map and location of "Stander Zone Lone Section" section line).
Table 1: Summary of Phase 2 Results:Hole ID From (m)To (m)Au (g/t)Interval (m)QV Level EC20-349 8.50 11.00 3.04 2.50 1 and also 15.00 16.00 3.10 1.00 1 EC20-350 15.00 17.00 3.63 2.00 1 and also 46.00 67.00 3.93 21.00 2 Including48.00 58.50 7.57 10.50 2 EC20-351 40.10 42.40 0.44 2.30 2 EC20-352 7.00 10.50 1.92 3.50 1 and also 36.60 37.20 3.10 0.60 2 EC20-353 42.00 44.00 0.33 2.00 2 and also 62.00 64.00 0.61 2.00 3
EC20-349 tested Level 1 only and successfully showed that the at-surface quartz veining to the East has continuity to the near surface quartz veining to the west of the hole, and that the &#8216;Level 1' quartz veining is horizontal in orientation and easily accessible from surface.
EC20-350 tested Level 1 and Level 2 quartz veining and intersected both. The &#8216;Level 2' intersection of 7.57 g/t Au over 10.5 vertical meters is within the main near-surface area of gold mineralization. Due to topography, the &#8216;Level 2' quartz veins shallow towards surface to the west.
EC20-351, EC20-352, and EC20-353 all successfully tested Level 1 and Level 2 quartz veining. EC20-353 also encountered gold-bearing quartz veining at 62.0 meters consistent with correlation to the &#8216;Level 3' veining.
Figure 2 below is a similar view as Figure 1, but shows geology and the localization of gold along the "Felsic Schist" and "Intermediate Schist" contact termed the Nugget Fault within the Stander Zone. All the gold so far has been intersected at or near surface. The Stander Zone remains open.Image: https://www.accesswire.com/users/newswire/images/602077/image-20200817143724-2.png
Figure 2: Stander Zone Compilation Longitudinal Section of Gold Mineralization. The pink zones are mineralized intercepts from 2015-2019, and the red are intercepts reported here. (See Figure 2 plan map and location of "Stander Zone Lone Section" section line).
Five short drill holes within the Stander Zone tested the near-surface sub-area where gold mineralization outcrops over a 100-meter strike length shown in Figure 1. Intersections are assumed to be approximately true thickness however work is ongoing and this interpretation may change. A total of 280.27 meters of core was drilled. All holes had a -90 degree angle from surface as noted in the following Drill Hole Summary Table.
Table 2: Drill Hole Summary , Phase 2 Stander Zone, 2020Hole ID EastingNorthingAzimuthDipDepth (m) EC20-349585069 7085676 - 90 22.86 EC20-350585051 7085678 - 90 70.10 EC20-351585033 7085698 - 90 63.77 EC20-352585017 7085677 - 90 52.51 EC20-353585009 7085683 - 90 71.03 Total 280.27
Figure 3: Plan Map of Phase 2 Drilling at Stander Zone (2020 drilling only) showing Stander Fault (dashed line) and location of section line for the Stander Zone longitudinal section (solid line) in Figure 1 and 2.
STANDER ZONE GEOLOGY SUMMARY
The Stander Zone is comprised of gold-bearing quartz veining localized adjacent to the northwest trending "D3" Nugget Fault. Typically, gold occurs as visible 1mm size grains or larger, and can occur in massive cm-scale clots and seams associated with carbonate, as example 1,009.5 g/t Au over 1.0 meter intersected in EC19-267 in 2019, located in &#8216;Level 3' of Figure 1. Stander Zone gold mineralization has been traced by sampling gold-bearing outcrop and local floats in northwest-southeast direction for approximately five kilometers. The Nugget Fault is associated with gold-in-soil anomalies and presents a distinct signature in both very low frequency electromagnetic ("VLF-EM") and magnetics surveys. The Nugget Fault is interpreted as a major &#8216;second-order' ("D3") thrust fault, possibly a splay from the &#8216;first-order' Bonanza Fault, cutting an anticlinal hinge that has subsequently been reactivated to create extension and brittle gold-bearing quartz veins.
Gold mineralization at the Stander Zone is hosted by quartz vein arrays immediately adjacent to the Nugget Fault within competent, brittle felsic schist lithology. The Phase 2 drilling described here has established the geometry of the quartz vein arrays as horizontal, and that multiple horizontal gold-bearing vein arrays are developed approximately every 20 vertical meters adjacent the Nugget Fault within the area tested. The Nugget Fault is approximately 45-degree dipping and parallels the topographic slope down towards Eldorado Creek. These quartz vein arrays form repeating parallel flat zones of gold mineralization, as evident in the &#8216;longitudinal section' sketch Figure 1 where three horizontal &#8216;levels' of gold-bearing quartz veining have been identified by drilling to date.
PHASE 3 RESULTS
Four holes EC20-354 to EC20-357 tested for possible parallel structural repeats of the Stander Zone to explain down-slope gold-geochemical anomalies generated from GT-Probe deep overborne sampling. Three of four holes contained weakly gold-mineralized quartz veins with the best, EC20-356, assaying 0.40 g/t Au over 1.5 meters from 4.5 meters downhole. The GT-Probe anomalies remain unexplained.
These results plus subsequent analysis suggests potential for additional mineralization lies along-strike of the Stander Zone and structural repeats of this Zone across strike are interpreted to have lower potential.Image: https://www.accesswire.com/users/newswire/images/602077/image-20200817143724-4.jpeg
Figure 4: Location Map of Phase 2 and 3 Stander Zone area 2020 Drilling.
All 2020 drill holes referenced in this release produced NTW (5.71cm dia.) drill core. Assay samples from drill core are cut using a diamond saw. Half the core sample interval is bagged, tagged, and sealed; the other half is returned to the core box with a corresponding tag and retained for reference. Two gold reference standards, two blank samples (a coarse and a fine), and a coarse sample duplicate per 100 samples, are routinely inserted as part of Klondike Gold's quality assurance / quality control ("QA/QC") program, independent of and additional to the laboratory QA/QC program.
Sample bags are aggregated into rice bags, sealed, and submitted by Klondike Gold personnel to Bureau Veritas Mineral Laboratories ("BV Labs") preparation facility in Whitehorse, YT with chemical analysis of sample pulps completed in Vancouver, British Columbia. Bureau Veritas Labs is an accredited ISO 9001:2008 full-service commercial laboratory.
At BV Labs each drill core sample is crushed to 70% passing 2 mm size. A 500 g subsample is pulverized to 85% passing 75 microns size (200 mesh)(Code PRP70-500). All samples of 500 g were sieved to 106 microns (140 mesh) for "metallic screen" assaying. The +140 mesh fraction is weighed and assayed for gold by fire assay ("FA") fusion with a gravimetric finish (Code FS631). A 30 g subsample of the -140 mesh fraction is assayed for gold by fire assay ("FA") fusion with an atomic absorption ("AA") finish (Code FA430). All over-limit results in excess of 10 ppm (10 g/t) for both silver and gold are re-assayed using a 30 g subsample and assayed by FA with a gravimetric finish (Code FA530-Au/Ag). Total gold grade is then calculated using a weighted average of the plus and minus fraction assay results.
QUALIFIED PERSONS REVIEW
The technical and scientific information contained within this news release has been reviewed and approved by Ian Perry, P.Geo., Vice-President Exploration of Klondike Gold Corp. and Qualified Person as defined by National Instrument 43-101 policy.
C-Suite At The Open: Fred Davidson, President & CEO, IMPACT Silver Corp. tells his Company’s Story.Read More
The C-Suite At the Open video interview series highlights the unique perspectives of listed companies on Toronto Stock Exchange and TSX Venture Exchange. Videos provide insight into how company executives think in the current business environment. To see the latest C-Suite At The Open videos visit https://www.tmxmoney.com/en/csuite.html.
About IMPACT Silver Corp. (TSXV: IPT)
IMPACT Silver Corp. is a successful silver-gold explorer-producer with two processing plants on adjacent districts within its 100% owned mineral concessions covering 211km2 in central Mexico with excellent infrastructure and labor force. Over the past 15 years, IMPACT has produced over 10 million ounces of silver, generating revenues over $194 million, with no long-term debt. At the Royal Mines of Zacualpan Silver District three underground silver mines and one open pit mine feed the central Guadalupe processing plant. To the south, in the Mamatla District the Capire processing pilot plant is adjacent to an open pit silver mine with a mineral resource of over 4.5 million oz silver, 48 million lbs zinc and 21 million lbs lead (see IMPACT news release dated January 18, 2016 for details) that is awaiting higher silver prices to be restarted. With over a decade of exploration successes leading to production cash flows, IMPACT has shown the Zacualpan District to be endowed with many high grade epithermal silver-gold zones. Additional information about IMPACT and its operations can be found on the Company website at www.impactsilver.com
American Creek expands D1-McBride by 2,600 hectares
American Creek Resources Ltd. has significantly expanded its D1-McBride property located in the northeast corner of British Columbia’s Golden Triangle. The new claim block encompasses an area of approximately 2,600 hectares immediately adjacent to and surrounding the Corporation’s original 34-hectare D1-McBride property. The Corporation holds a 100% interest in the property.Read More
The D1-McBride property is located in the Liard Mining Division, about 64 km southeast of Dease Lake and 60 km northeast of the Red Chris mine (Imperial Metals / Newcrest Mining). This area of the Stikine Mountain Range has a history of placer gold and Jade mines. It is quickly becoming a hotbed of activity as companies are starting to recognize the potential it holds.
According to BC MINFILE No 104-093, the property is host to a galena and gold bearing quartz/calcite vein system. According to Assessment Report 35096, work on the property in 2014 included limited rock sampling of a vein subcrop from the Discovery Showing which returned high grade assays of 43.1 g/t gold, 240 g/t silver, 1.8% lead and 1.98% zinc and 13.1 g/t gold, 16 g/t silver, 2.32% lead and 3.02 zinc. Previous sampling of veins returned assays of 161.32 g/t gold, 1,110.9 g/t silver, 3.17% lead and 2.1% zinc across 10 centimeters and 115.89 g/t gold, 589.72 g/t silver, 12.3% lead and 11.04 oz/t zinc across 25 centimeters (Assessment Report 14004). The vein strikes 030 degrees with a vertical dip and has been traced, through prospecting and trenching, for 30 meters on surface. The overburden-covered lineament in which the vein occurs can be traced for 300 meters (MINFILE N0 104-093).The additional claims expand the property to cover the projected trace of the exposed veining system, the fault system believed to be related to the mineralization, and regional faults. The property now spans 2,600 hectares, making it the Corporation’s largest single property. Very limited past exploration has taken place on the property.
This most recent expansion of the D1-McBride is part of the Corporation’s ongoing strategy of adding shareholder value by increasing its gold and silver property portfolio in key exploration and mining camps such as the Golden Triangle. The Golden Triangle is quickly becoming one of the world’s premiere exploration jurisdictions. While there is a strong history of mining in the northeast part of the Triangle, the vast majority of this portion of the Triangle is still relatively untouched and awaiting exploration.
Qualified PersonThe Qualified Person for this news release for the purposes of National Instrument 43-101 is Jim McCrea, P.Geo. He has read and approved the scientific and technical information that forms the basis for the disclosure contained in this news release.