Connect with us

Today’s News

Osisko Announces Preliminary Q3 2021 Deliveries and Provides Asset Update

MONTRÉAL, Oct. 04, 2021 (GLOBE NEWSWIRE) — Osisko Gold Royalties Ltd (the “Corporation” or “Osisko”) (OR: TSX & NYSE) is pleased to provide…

Share this article:

Published

on

MONTRÉAL, Oct. 04, 2021 (GLOBE NEWSWIRE) — Osisko Gold Royalties Ltd (the “Corporation” or “Osisko”) (OR: TSX & NYSE) is pleased to provide an update on its third quarter deliveries, sales and operating cash margins1 and recent asset advancements.

PRELIMINARY Q3 2021 RESULTS

Osisko earned approximately 20,032 attributable gold equivalent ounces2 (“GEOs”) in the third quarter of 2021, excluding 2,452 GEOs earned from the Renard diamond stream.

Osisko recorded preliminary revenues3 of C$50.0 million during the third quarter and preliminary cost of sales3 (excluding depletion) of C$3.5 million, resulting in an operating cash margin1 of approximately C$46.5 million. Osisko’s operating cash margin was approximately 93% during the third quarter of 2021 (97% excluding the Renard diamond stream). Osisko will provide full production and financial details with the release of its third quarter 2021 results after market close on Tuesday, November 9th, 2021 followed by a conference call on November 10th at 10am EST.

Sandeep Singh, President and CEO of Osisko commented: “Our cash flowing assets continued to meet or exceed our expectations over the course of another strong quarter. Given the meaningful cash flow generated at current commodity prices, we previously announced a 10% increase to our third quarter dividend and repurchased over 1.7 million common shares in the months of August and September through our normal course issuer bid. The Corporation’s cash flow potential will only strengthen as our paid-for and peer-leading organic growth unfolds over the coming years.”

RECENT ASSET ADVANCEMENTS

Malartic Exploration Update

On September 7th, Yamana Gold Inc. (“Yamana”) provided an update on the ongoing exploration programs at Canadian Malartic. The district exploration program has discovered a deep eastern extension of the East Gouldie structure as well as a new zone located 400 meters south of East Gouldie, and intercepted further promising mineralization below the known East Amphi deposit. These results support the continued growth of Canadian Malartic as it transitions from an open pit mine to a large underground operation with a decades-long mine life. Drilling highlights in the East Gouldie infill area include the following estimated true width intercepts: 6.2 g/t gold over 61.7 meters including 10.9 g/t gold over 21.0 meters at 1,102 meters depth (MEX19-154WC).

East Amphi is located three kilometers northwest of the Canadian Malartic pit. To date, 7,900 meters of drilling have been completed at East Amphi and results indicate the presence of significant mineralization at depth below the historic workings. Two zones are being defined with new intercepts in the Nessie zone of 2.16 g/t gold over an estimated true width of 17.19 meters in drill hole EA20-4187, and 14.13 g/t gold over an estimated true width of 1.70 meters in drill hole EA21-4196. Follow up drilling of the adjacent Kraken zone, returned an intercept of 2.01 g/t gold over an estimated true width of 29.77 meters.

Osisko holds a 5% net smelter return (“NSR”) royalty on East Gouldie, Odyssey South and the western half of East Malartic and a 3% NSR royalty on Odyssey North and the eastern half of East Malartic. For more information, refer to Yamana’s press release dated September 7th, 2021 filed on www.sedar.com.

Victoria Gold Announces Record Monthly Production at Eagle

On September 12th, Victoria Gold Corp. (“Victoria Gold”) announced that it achieved record gold production of 20,744 ounces in the month of August at its Eagle mine in Yukon, Canada and stacked more than 1 million tonnes on the leach pad for each of July and August. Additionally, the company provided an update on its 15,000-meter exploration campaign. To date in 2021, Victoria Gold has completed approximately 10,000 meters of drilling, in 45 diamond drill holes, focusing on near-surface high-grade gold targets at the Raven and Lynx zones as well as the past-producing Rex-Peso silver target. For more information, refer to Victoria’s press release dated September 12th, 2021 filed on www.sedar.com.

Osisko holds a 5% NSR royalty on Victoria Gold’s Eagle project.

Upper Beaver Advancement

In September, Agnico Eagle Mines Limited (“Agnico Eagle”) submitted a project description for Upper Beaver, outlining a combined open pit and underground operation with a 16-year mine life and an approximate processing capacity of 10,000 tonnes per day. Open pit mining is expected to last four to five years, followed by underground mining with at least part of the production supported by a shaft (Figure 1). Drilling and engineering studies are ongoing to establish the assumptions and final design. More details on the project description can be found at https://iaac-aeic.gc.ca/050/evaluations/proj/82960?culture=en-CA.

On September 28th, Agnico Eagle and Kirkland Lake Gold Ltd. announced a merger transaction. The proposed transaction could provide for significant operational and strategic synergies for Upper Beaver, Upper Canada, AK and Anoki-McBean with the Macassa Mine and Holt complex.

Osisko holds a 2% NSR royalty on Agnico Eagle’s Kirkland Lake project, including Upper Beaver.

Figure 1. Cross section of the Upper Beaver project showing the open pit, underground stopes, ramps and shaft to access the deposit.
https://www.globenewswire.com/NewsRoom/AttachmentNg/024affe8-ab6b-4ee4-bfbf-c95556ccade7

Gold Extraction at Santana Underway

On September 8th, Minera Alamos Inc. (“Minera Alamos”) provided an update on the ramp-up activities at its Santana gold mine in Sonora, Mexico. Gold extraction at Santana has begun with leaching and gold recovery to loaded carbon underway. All three sets of carbon columns have been commissioned and are functional at design capacity. The company expects the scale of operations to continue to increase as access to mineralized material expands with depth. For more information, refer to Minera Alamos’ press release dated September 8th, 2021 filed on www.sedar.com.

Osisko holds a 3% NSR royalty on Minera Alamos’ Santana project.

Eldorado Expands Multiple Deposits in Québec

On September 27th, Eldorado Gold Corporation (“Eldorado”) announced multiple high grade gold intersections at their Québec operations. Infill drilling at the Ormaque deposit confirmed grade continuity within ore lenses of the inferred resource and expanded several lenses laterally. Notable step-out intercepts include 21.3 g/t gold over 2.2 meters (51.4 g/t gold uncapped) and 40.4 g/t gold over one meter. Significant drill results from the Bonnefond deposit, located 20 kilometers from the Sigma mill, included 6.0 g/t gold over 60.2 meters. Drilling on the River target, located 5.5 kilometers from the Sigma mill, included 9.8 g/t gold over 19.6 meters. For more information, refer to Eldorado’s press release dated September 27th, 2021 filed on www.sedar.com.

Osisko holds a 1% NSR royalty over the Ormaque deposit and 2.5% NSR royalty over the Bonnefond and River deposits.

Seabee Exploration Results

On September 13th, SSR Mining Inc (“SSR”) announced positive exploration results at Seabee. Drill highlights include 19.16 g/t gold over 6.98 meters at Gap Hanging Wall, 16.31 g/t gold over 3.56 meters at Santoy Hanging Wall and 25.97 g/t gold over 1.49 meters at the Joker target. The company indicated that the recent drill results at Seabee support the potential for mine life extension and/or an increase in production rates. For more information, refer to SSR’s press release dated September 13th, 2021 filed on www.sedar.com.

Osisko owns a 3% NSR royalty on SSR’s Seabee Mine.

Gold Resource Corporation Announced Intent to Acquire Aquila Resources

On September 7th, Gold Resource Corporation (“GORO”) announced a binding letter agreement with Aquila Resources Inc. (“Aquila”) for the proposed acquisition of all issued and outstanding shares of Aquila. GORO currently operates the Don David polymetallic underground mine in the state of Oaxaca, Mexico. GORO stated that it intends to become a multi-mine producer through the permitting and construction of the Back Forty project. GORO has a strong balance sheet, cash flow and significant access to capital to commit towards that objective. The proposed transaction has received voting support agreements from key Aquila shareholders as well as board approval from both companies. For more information, refer to GORO’s press release dated September 7th, 2021 filed on www.sec.gov/edgar.shtml.

Osisko holds an 18.5% gold stream and an 85% silver stream on the Back Forty project located in Michigan, USA.

G Mining Ventures Acquired Tocantinzinho from Eldorado

On August 9th, G Mining Ventures Corp. (“G Mining”) announced the acquisition of the Tocantinzinho project, located in Para State, Brazil, from Eldorado. G Mining brings leadership experience from successful mine builds including most recently at Newmont Corporation’s Merian project and Lundin Gold Inc.’s Fruta del Norte mine. In its announcement, G Mining highlighted optimization opportunities at Tocantinzinho as well as the exploration potential of the large land package. G Mining expects to close the acquisition in the fourth quarter of 2021, following which focus will be placed on project optimization and detailed engineering. For more information, refer to G Mining’s press release dated August 9th, 2021 filed on www.sedar.com.

Osisko holds an effective 0.75% NSR royalty on the Tocantinzinho project.

Osisko Development Corp.

On August 25th, Osisko Development Corp. (“Osisko Development”) announced additional results from the ongoing 200,000m drill campaign. These included 26.58g/t gold over 5.05 meters and 7.87g/t gold over 10.25 meters at Valley Zone. They also announced on August 11th drilling results including 1,965g/t gold over 0.5 meters at Mosquito Creek and 333g/t gold over 0.5 meters at Shaft. For more information, refer to Osisko Development’s press releases dated August 11th and 25th, 2021 filed on www.sedar.com.

Small scale mining is ongoing at the Bonanza Ledge II project as well a commencement of the work to allow for an underground bulk sample at the Cariboo Project. Construction of the San Antonio heap leach project has started, and preparations are underway to stack the oxide stockpile.

Osisko holds a 5% NSR royalty on Osisko Development’s Cariboo project and a 15% gold and silver stream on the San Antonio project.

Golden Bear Confirmed and Expansion at Windfall

On September 14th, Osisko Mining Inc. (“Osisko Mining”) reported that drilling had confirmed the Golden Bear discovery zone (“D1”) and also identified two new mineralized zones (“D2” and “D3”). All three zones display alteration, sulfide mineralization and local visible gold, and all three remain open up and down plunge and along strike. Drill hole OSK-UB-21-273 returned 67.10 g/t gold over 2.0 meters; this intercept occurred 60 meters up-plunge from the discovery intercept previously reported (27.40 g/t gold over 6.7 meters).

Osisko Mining also released several batches of drill results illustrating the high grade nature of the deposits at Windfall, including 2,181 g/t gold over 2.5 meters at Lynx on August 3, 2021. For more information, refer to Osisko Mining’s press releases dated August 3rd and September 14th, 2021 filed on www.sedar.com.

Osisko owns a 2% to 3% NSR royalty on Osisko Mining’s Windfall project.

King Island Scheelite Financing

On September 5th, King Island Scheelite Limited (“KIS”) announced loan funding amounting to AUD $33 million to be used for the redevelopment of the fully-permitted Dolphin Tungsten Project on King Island, Tasmania. The project contains a JORC compliant mineral reserve of 4.43 million tonnes at a grade of 0.92% WO3, with a current development plan that envisages an 8-year open cut mine followed by a 6 year underground mine producing a concentrate for supply into the ammonium paratungstate market. For more information, refer to KIS’ press release dated September 5th, 2021 filed on their website at www.kingislandscheelite.com.au

Osisko owns a 1% gross revenue royalty on the Dolphin Tungsten Project.

Additional Highlights

  1) Talisker Resources Ltd. (1.2% NSR royalty) intersects 1.98 g/t gold over 62.05 meters at Pioneer on the Bralorne property in BC.
  2) Cornish Metals Inc. (0.5% NSR royalty) intersects 5.2% copper, 1.3% tin and 77 g/t silver over 2.61 meters at United Downs in Cornwall UK.
  3)  Minera IRL Limited (1% NSR royalty) files preliminary economic assessment on the Ollachea gold project in Peru.
  4)  Aldebaran Resources Inc. (1% NSR royalty) intersects 1.4% CuEq over 111 meters at Altar in Argentina.
  5)  Red River Resources Limited (0.8% NSR royalty) continues to expand the Liontown project in Queensland Australia with 8.0 meters at 11.74 g/t Au, 0.85% Cu, 0.3% Pb, 0.8% Zn & 6.74 g/t silver.
  6)  Pacific Ridge Exploration Ltd. (1.5% NSR royalty) expands copper porphyry mineralization and identifies skarn style mineralization at the Kliyul project in BC.
  7)  Gold Bull Resources Corp. (0-5% NSR royalty) intersects 7.77 g/t gold over 6.1 meters at Sandman in Nevada.
  8)  Westhaven Gold Corp. (2% NSR royalty) intersects 2.25 g/t gold and 23.74g/t silver over 22.71 meters at the Shovelnose gold property in BC.
  9)  Aya Gold and Silver Inc. (1.5% NSR royalty) increases resources and launches a feasibility study on Tijirit project in Mauritania.
  10)  Highland Copper (3% NSR royalty) completes C$26 million private placement for general working capital and to advance the development of the Copperwood and White Pine projects.
  11) Eagle Mountain Mining (3% NSR royalty) intersects 1.37% copper over 91.5 meters and 2.34% copper over 28.9 meters in Arizona.

Q3 2021 RESULTS AND CONFERENCE CALL DETAILS

Osisko also provides notice of the third quarter 2021 results and conference call details:

Q3 2021 Results Release: Tuesday, November 9, 2021 after market close
Conference Call: Wednesday, November 10, 2021 at 10:00 am EST
Dial-in Numbers: North American Toll-Free: 1 (888) 550-4423
Local and International: 1 (438) 801-4067
Replay (available until December 10, 2021 at 11:59 pm EST): North American Toll-Free: 1 (800) 770-2030
Local and International: 1 (647) 362-9199
Access code: 1981388
  Replay also available on our website at www.osiskogr.com

Notes:

Osisko has included certain performance measures in this press release that do not have any standardized meaning prescribed by International Financial Reporting Standards (IFRS) including (i) operating cash margin in dollars and percentage and (ii) attributable gold equivalent ounces. The presentation of these non-IFRS measures is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. As Osisko’s operations are primarily focused on precious metals, the Corporation presents attributable GEOs and operating cash margins as it believes that certain investors use this information to evaluate the Corporation’s performance in comparison to other mining companies in the precious metals mining industry who present results on a similar basis. However, other companies may calculate these non-IFRS measures differently. Note that these figures have not been audited and are subject to change. 

  1. Operating cash margin (in dollars) represents revenues less cost of sales, excluding depletion (C$50.0 million – C$3.5 million = C$46.5 million). Operating cash margin (in percentage) represents the operating cash margin (in dollars) divided by revenues: (C$50.0 million – C$3.5 million) / C$50.0 million = 93%. Excluding the Renard diamond stream: [(C$50.0 million – C$5.5 million) – (C$3.5 million – C$2.1 million)] / (C$50.0 million – C$5.5 million) = 97%).
  2. GEOs are calculated on a quarterly basis and include royalties, streams and offtakes. Silver earned from royalty and stream agreements are converted to gold equivalent ounces by multiplying the silver ounces by the average silver price for the period and dividing by the average gold price for the period. Diamonds, other metals and cash royalties are converted into gold equivalent ounces by dividing the associated revenue by the average gold price for the period. Offtake agreements are converted using the financial settlement equivalent divided by the average gold price for the period.
  3. These figures have not been audited and are subject to change. As the Corporation has not yet finished its quarter-end close procedures, the anticipated financial information presented in this press release is preliminary, subject to final quarter-end closing adjustments, and may change materially. The preliminary revenues, preliminary cost of sales (excluding depletion) and preliminary operating cash margin presented include preliminary revenues, cost of sales and operating cash margin from the Renard diamond stream. During the third quarter of 2021, the Renard diamond stream generated preliminary revenues of C$5.5 million and preliminary costs of sales (excluding depletion) of C$2.1 million, resulting in an operating cash margin of C$3.4 million.

Qualified Person

The scientific and technical content of this news release has been reviewed and approved by Guy Desharnais, Ph.D., P.Geo., Vice President, Project Evaluation at Osisko Gold Royalties Ltd, who is a “qualified person” as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”).

About Osisko Gold Royalties Ltd

Osisko is an intermediate precious metal royalty company focused on the Americas that commenced activities in June 2014. Osisko holds a North American focused portfolio of over 160 royalties, streams and precious metal offtakes. Osisko’s portfolio is anchored by its cornerstone asset, a 5% net smelter return royalty on the Canadian Malartic mine, which is the largest gold mine in Canada.

Osisko’s head office is located at 1100 Avenue des Canadiens-de-Montréal, Suite 300, Montréal, Québec, H3B 2S2.

For further information, please contact Osisko Gold Royalties Ltd:
Heather Taylor
Vice President, Investor Relations
Tel: (514) 940-0670 #105
Email: [email protected]
 

Forward-looking Statements

Certain statements contained in this press release may be deemed “forwardlooking statements” within the meaning of applicable Canadian and U.S. securities laws. These forwardlooking statements, by their nature, require Osisko to make certain assumptions and necessarily involve known and unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these forwardlooking statements. Forwardlooking statements are not guarantees of performance. These forwardlooking statements, may involve, but are not limited to, statements with respect to future events or future performance, the realization of the anticipated benefits deriving from Osisko’s investments, the general performance of the assets of Osisko, and the results of exploration, development and production activities as well as expansions projects relating to the properties in which Osisko holds a royalty, stream or other interest. Words such as “may”, “will”, “would”, “could”, “expect”, “suggest”, “appear”, “believe”, “plan”, “anticipate”, “intend”, “target”, “estimate”, “continue”, or the negative or comparable terminology, as well as terms usually used in the future and the conditional, are intended to identify forwardlooking statements. Information contained in forwardlooking statements is based upon certain material assumptions that were applied in drawing a conclusion or making a forecast or projection, including, without limitation, management’s perceptions of historical trends; current conditions; expected future developments; the ongoing operation of the properties in which Osisko holds a royalty, stream or other interest by the operators of such properties in a manner consistent with past practice; the accuracy of public statements and disclosures made by the operators of such underlying properties; no material adverse change in the market price of the commodities that underlie the asset portfolio; no adverse development in respect of any significant property in which Osisko holds a royalty, stream or other interest; the accuracy of publicly disclosed expectations for the development of underlying properties that are not yet in production; and the absence of any other factors that could cause actions, events or results to differ from those anticipated, estimated or intended. Osisko considers its assumptions to be reasonable based on information currently available, but cautions the reader that their assumptions regarding future events, many of which are beyond the control of Osisko, may ultimately prove to be incorrect since they are subject to risks and uncertainties that affect Osisko and its business. Such risks and uncertainties include, among others, that the financial information presented in this press release is preliminary and could be subject to adjustments, the successful continuation of operations underlying the Corporation’s assets, the performance of the assets of Osisko, the growth and the benefits deriving from its portfolio of investments, risks related to the operators of the properties in which Osisko holds a royalty, stream or other interest, including changes in the ownership and control of such operators; risks related to development, permitting, infrastructure, operating or technical difficulties on any of the properties in which Osisko holds a royalty, stream or other interest, the influence of macroeconomic developments as well as the impact of and the responses of relevant governments to the COVID-19 outbreak and the effectiveness of such responses. In this press release, Osisko relies on information publicly disclosed by third parties pertaining to its assets and, therefore, assumes no liability for such third party public disclosure.

For additional information with respect to these and other factors and assumptions underlying the forwardlooking statements made in this press release, see the section entitled “Risk Factors” in the most recent Annual Information Form of Osisko which is filed with the Canadian securities commissions and available electronically under Osisko’s issuer profile on SEDAR at www.sedar.com and with the U.S. Securities and Exchange Commission and available electronically under Osisko’s issuer profile on EDGAR at www.sec.gov. The forward looking statements set forth herein reflect Osisko’s expectations as at the date of this press release and are subject to change after such date. Osisko disclaims any intention or obligation to update or revise any forwardlooking statements, whether as a result of new information, future events or otherwise, other than as required by law.








agnico eagle mines limited


eldorado gold corporation


newmont corporation


minera irl limited




Author: Author

Share this article:

Today’s News

Midland Issues an Update on Its Activities in Quebec and Identifies Several New Exploration Targets

MONTREAL, Oct. 27, 2021 (GLOBE NEWSWIRE) — Midland Exploration Inc. (“Midland”) (TSX-V: MD) is pleased to issue an update on its latest exploration…

Share this article:

MONTREAL, Oct. 27, 2021 (GLOBE NEWSWIRE) — Midland Exploration Inc. (“Midland”) (TSX-V: MD) is pleased to issue an update on its latest exploration activities across Quebec. Over the last few months, Midland and its partners have been very active in the field with a variety of drilling, stripping, geochemical sampling and prospecting campaigns. Several new mineral occurrences were discovered, and a number of new exploration targets were identified on various projects.

Two drilling campaigns were completed on the Casault and Gaudet-Fenelon JV projects during the summer, for a total of nearly 10,000 metres of drilling. On Casault, a new gold-bearing zone was recently identified in hole CAS-21-123 (see Midland press release dated October 21, 2021).

Overall, more than 7,000 samples were sent to the laboratory for assaying and assay results are currently pending.

Highlights:

  • New Au-bearing zone on Casault returned 6.85 g/t Au over 2.0 metres in hole CAS-21-123
  • 13 drill holes (5,295 metres) completed on the Casault project under option by Wallbridge
  • 14 drill holes (4,483 metres) completed on the Gaudet-Fenelon JV project with Probe
  • Two (2) new high-grade boulders discovered east of Mythril; 10.25 g/t Au, 8.0 g/t Ag and 7.99 g/t Au, 166 g/t Ag, 0.4% Cu, 0.07% Mo
  • Prospecting programs completed in Nunavik under our Alliances with BHP and SOQUEM
  • Stripping and channel sampling completed on the Golden Nest showing on Lewis
  • More than 7,000 assay results pending

Abitibi region

Casault project (100% Midland Under option by Wallbridge Mining)

A drilling program consisting of thirteen (13) drill holes totalling 5,295 metres was recently completed to test a series of NW-SE-trending structures interpreted from the magnetic survey. These targets are located a few kilometres north of the Sunday Lake Fault and west of the Martiniere and Bug Lake deposits.

Hole CAS-21-123, the first drill hole of the program, was testing a prominent NW-SE oriented structure interpreted from airborne magnetics and intersected 6.85 g/t Au over 2.00 metres from 254.50 to 256.50 metres. This new intersection is associated with a mineralized zone consisting of chalcopyrite, pyrite, pyrrhotite, and electrum, a gold-silver mineral phase, within deformed and heavily carbonate-altered host rocks. This NW-SE structural orientation remains untested over more than 3 kilometres on the Casault property and is known to control gold mineralization at Fenelon and Martiniere. A series of large structures of this trend also transects the Casault property. Complete assay results are pending.

Gaudet-Fenelon JV project (50% Midland – 50% Probe Metals)

Over the course of August and September, fourteen (14) drill holes totalling 4,483 metres were completed to test induced polarization anomalies coinciding with biogeochemical anomalies and structures interpreted from the magnetic survey. Assay results are pending.

La Peltrie project (100% Midland – Under option by Probe Metals)

On the La Peltrie project, three (3) induced polarization grids were surveyed this summer to cover biogeochemical anomalies identified along the perimeter of a syntectonic intrusion. The final results and interpretation of the three surveys are pending. A follow-up campaign is in preparation for 2022.

Samson project (100% Midland)

A black spruce bark biogeochemistry survey was conducted in the winter of 2021 in the vicinity of the new high-grade gold discovery at Golden Delilah, which graded up to 99.1 g/t Au over 0.40 metre (DDH SAM-20-10; 106.45-106.85 m) and 23.0 g/t Au over 1.05 metres (DDH SAM-20-15; 317.10-318.15 m). This biogeochemistry survey identified a new gold anomaly located approximately 2 kilometres southeast of the Golden Delilah showing. This new area has never been drill-tested and is located near the western contact of a felsic pluton, where identified gold anomalies are aligned along structures mainly trending NW-SE and N-S.

Adam project (100% Midland)

In the spring of 2021, a black spruce bark biogeochemistry survey covering the entire Adam property was completed. The results highlighted several areas with anomalous Au, As, Cu and Zn values, some of which are located along the same stratigraphic level as the B26 deposit, i.e., just north of the regional fault marking the contact between the Enjalran and Brouillan groups. In addition, several of these anomalies coincide with new untested helicopter-borne VTEM-type electromagnetic anomalies.

Mistaouac project (100% Midland)

A black spruce bark biogeochemistry survey was completed to cover the entire property. Several anomalies were identified, one of which is of particular interest along the contact of the Orvilliers pluton. This kilometre-scale anomaly is characterized by elevated values in Au, Ag, Cu, Mo, Sb and Te.

Lewis project (100% Midland)

Following the discovery made this past summer by prospecting at the Golden Nest showing, where grab samples yielded grades of 10.2 g/t Au and 2.1 g/t Au, mechanical stripping and channel sampling were completed in September. Approximately 50 samples are currently in the laboratory and assay results are pending.

Patris project (100% Midland)

New exploration targets were identified following a new lithogeochemical interpretation of the entire property. These new targets include the depth extension of drill holes PAT-15-05 and PAT-16-08, which identified an extensive hydrothermal alteration zone (Au-Ag-Pb-Mo-Te) more than 80 metres wide. In addition, two new target areas associated with Camflo-type alkaline intrusions were identified near the La Pause Fault, where turbidites of the Kewagama Group are in contact with volcanic rocks of the Malartic Group.

James Bay region

Mythril and Mythril Regional projects (100% Midland)

Over the course of August, a prospecting campaign led to the discovery of two new high-grade boulders on the Chisaayuu claim block of the Mythril Regional project. These gold-bearing boulders are located approximately 75 kilometres east of the Cu-Au-Ag-Mo Mythril zone, where the 3D model is currently being updated to include the results of the 2021 drilling program. These results include hole MYT-21-38 where 0.59% Cu, 0.05 g/t Au, 1.87 g/t Ag and 0.025% Mo over 28.50 metres from 56.50 to 85.00 metres, including 1.02% Cu, 0.09 g/t Au, 2.62 g/t Ag and 0.048% Mo over 10.50 metres from 56.50 to 67.00 metres, was obtained.

The two mineralized boulders discovered this summer on Chisaayuu yielded values of 10.25 g/t Au, 8.02 g/t Ag (in Boulder 1), and 7.99 g/t Au, 166 g/t Ag, 0.4% Cu and 0.07% Mo (in Boulder 2). A till sampling program is in preparation for the summer of 2022, as a follow-up and to locate the source of the boulders.

Galinée project (100% Midland)

Prospecting work carried out in August on the Galinée gold project identified several new gold-bearing boulders that yielded values in grab samples up to 1.43 g/t Au, 1.40 g/t Au and 1.08 g/t Au south of the Elsa showing. Other boulders were also discovered approximately 2 kilometres further west, grading up to 0.96 g/t Au and 0.50 g/t Au (grab samples). Several induced polarization anomalies remain unexplained to the north of these gold-bearing boulders.

Elrond project (100% Midland)

The final results of the 80 till samples collected over the summer, southwest of Harfang Exploration Inc.’s Serpent gold project, are pending.

Nunavik region

Ni-Cu Alliance with BHP in Nunavik

A three (3)-week prospecting program was completed in September and October under the Ni-Cu Alliance with BHP. This program was mainly designed as a ground follow-up of VTEM-type electromagnetic anomalies identified during the summer 2021 survey. More than 100 samples were collected, and assay results are pending.

Alliance with SOQUEM in the Labrador Trough

During the summer of 2021, two phases of prospecting totalling three weeks each were conducted in partnership with SOQUEM under the Labrador Trough Alliance. More than 900 samples were collected, and assay results are pending.

Cautionary statements

  • Grab samples are selective by nature and reported values are not necessarily indicative of mineralized zones.
  • The true thickness of reported intervals cannot be determined with the information currently available; intervals are thus reported in core length.
  • Mineralization occurring on the Fenelon Gold and Martiniere/Bug Lake projects held by Wallbridge are not necessarily indicative of mineralization that may be found on the Casault property held by Midland.

Quality Control

Drill core samples from the 2021 drill program at Casault were cut and bagged on site and transported to AGAT Laboratories Ltd. for analysis. Samples are crushed to 75% less than 2mm. A 250g riffle split is pulverized to 85% passing 75 microns. 50g samples are analyzed by fire assay and AAS. Samples >10g/t Au are automatically analyzed by fire assay with gravimetric finish or screen metallic analysis. To test for coarse free gold and for additional quality assurance and quality control, Wallbridge requests screen metallic analysis for samples containing visible gold. These and future assay results may vary from time to time due to re‒analysis for quality assurance and quality control.

Exploration program design and interpretation of results on Galinee and Chisaayuu projects is performed by qualified persons employing a Quality Assurance/Quality Control program consistent with industry best practices, including the use of standards and blanks with every 20 samples. Rock samples on the project are assayed for gold by standard 30-gram fire-assaying with inductively coupled plasma atomic emission spectroscopy (ICP-AES; Au-ICP21) or gravimetric finish (Au-GRA21) at ALS Minerals laboratories in Vancouver, British Columbia. All samples are also analysed for multi-elements, using four-acid ICP–AES method (ME-ICP61), also at ALS Minerals laboratories in Vancouver, British Columbia. Samples that exceed 1% copper, zinc, molybdenum or nickel are reanalyzed by four-acid ICP-AES optimized for high grades.

About Midland

Midland targets the excellent mineral potential of Quebec to make the discovery of new world-class deposits of gold, platinum group elements and base metals. Midland is proud to count on reputable partners such as BHP Canada Inc., Probe Metals Inc., Wallbridge Mining Company Ltd, Agnico Eagle Mines Limited, Osisko Development Corp., SOQUEM Inc., Nunavik Mineral Exploration Fund, and Abcourt Mines Inc. Midland prefers to work in partnership and intends to quickly conclude additional agreements in regard to newly acquired properties. Management is currently reviewing other opportunities and projects to build up the Corporation portfolio and generate shareholder value.

This press release was prepared by Mario Masson. P.Geo., VP Exploration for Midland and Qualified Person as defined by NI 43-101.

For further information, please consult Midland’s website or contact:

Gino Roger, President and Chief Executive Officer
Tel.: 450 420-5977
Fax: 450 420-5978
Email : [email protected]
Website: https://www.midlandexploration.com/

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This press release may contain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to vary materially from targeted results. Such risks and uncertainties include those described in Midland’s periodic reports including the annual report or in the filings made by Midland from time to time with securities regulatory authorities.

16 photos accompanying this announcement are available at: 

https://www.globenewswire.com/NewsRoom/AttachmentNg/0a574b3f-3a75-4e84-92fa-da4b9d8abccd

https://www.globenewswire.com/NewsRoom/AttachmentNg/fd47ce44-b5ec-41d1-a4a3-342a2b6458ce

https://www.globenewswire.com/NewsRoom/AttachmentNg/77f24fd9-a2db-4be1-9a0c-08e076f445de

https://www.globenewswire.com/NewsRoom/AttachmentNg/eae2b1ba-0b0f-4efb-968a-fb6c506aec81

https://www.globenewswire.com/NewsRoom/AttachmentNg/6cc77af4-9cea-4e71-97ef-051c19de2088

https://www.globenewswire.com/NewsRoom/AttachmentNg/6d4450ae-d56a-4291-8204-776a61a5afd3

https://www.globenewswire.com/NewsRoom/AttachmentNg/4bf4697b-5837-433d-b002-b0ed47211661

https://www.globenewswire.com/NewsRoom/AttachmentNg/d0f31635-fe9c-4da0-b503-ad222573084c

https://www.globenewswire.com/NewsRoom/AttachmentNg/97e0e497-9fd0-4126-b69e-e2aca59dcdee

https://www.globenewswire.com/NewsRoom/AttachmentNg/af8343ca-61a8-4b3d-9b7a-b818124cb992

https://www.globenewswire.com/NewsRoom/AttachmentNg/0dd0c620-dd6d-4923-a305-b035c2bfa1cf

https://www.globenewswire.com/NewsRoom/AttachmentNg/11bb146f-e30a-4911-8c3b-4b37cb062610

https://www.globenewswire.com/NewsRoom/AttachmentNg/165d0e16-e87c-44c0-9cd4-94fc5fc819ff

https://www.globenewswire.com/NewsRoom/AttachmentNg/a7a98280-b6b3-4559-bb1a-7fda968b8274

https://www.globenewswire.com/NewsRoom/AttachmentNg/6b27f288-fe21-4da2-bd07-360969d72573

https://www.globenewswire.com/NewsRoom/AttachmentNg/48e8c2fc-945f-430d-a944-ffcd194ec8d8








agnico eagle mines limited

Author: Author

Share this article:

Continue Reading

Today’s News

Timberline’s New Drilling at the Eureka Gold Project Significantly Expands the Water Well Zone

COEUR D’ALENE, ID / ACCESSWIRE / October 27, 2021 / Timberline Resources Corporation (OTCQB: TLRS; TSX-V: TBR) ("Timberline" or the "Company") announced…

Share this article:

COEUR D’ALENE, ID / ACCESSWIRE / October 27, 2021 / Timberline Resources Corporation (OTCQB: TLRS; TSX-V: TBR) (“Timberline” or the “Company”) announced today initial results from the 2021 drilling program at its 100%-controlled Eureka Project in Nevada. The Company commenced the program in July 2021, and recently resumed drilling after a ten-week hiatus due to lack of drill availability. These results are from the first five reverse circulation (RC) holes, comprising approximately 1,410 meters (4,626 feet). Timberline expects to complete at least an additional 5,200 meters (17,060 feet) of drilling before the end of December.

The first three (3) of these RC holes (BHSE-193 – 195) were step-outs that tested the extent of the Water Well Zone (WWZ), which is immediately east of the Company’s Lookout Mountain gold resource (Figure 1). Each of the three new drill holes in the WWZ intersected a significant thickness of gold mineralization at the base of the Dunderberg Shale, where it was expected to occur. These results have grown the WWZ appreciably, more than doubling the surface projection “footprint” of the gold mineralization.

The most significant new intercepts in these holes include:

  • 10.67 meters (m) at 2.36 grams per tonne (g/t) gold from 301.8m depth in BHSE-194;
    • including 6.01m at 2.98 g/t gold;
  • 16.76m at 1.74 g/t gold from 257.6m depth in BHSE-195;
    • including 3.05m at 4.56 g/t gold;
  • 19.81m at 1.38 g/t gold from 248.4m depth in BHSE-193.

At present, one reverse circulation drill continues work at the WWZ and Oswego Targets. The new core drilling contractor has begun mobilizing onto the Eureka Project.

Patrick Highsmith, Timberline’s President and CEO commented, “These new results are significant because they confirm an expanded footprint for this new zone of mineralization that remains open in three directions. Our 3D modeling of the Lookout Resource and the nearby targets has demonstrated that we can predict the stratigraphy much better now. The WWZ was right where we expected to encounter it. Now we are focused on developing our understanding of the controls on the +3 g/t gold mineralization that is present in every hole in the Water Well Zone so far. This is just the beginning of the 2021 drill program, so we expect to add several more holes into this new and growing zone of mineralization.”

Two additional holes tested other targets farther southwest. BHSE-197 was collared near the southwest corner of the historic Lookout Pit, and it intersected numerous intervals of low-grade gold mineralization and one significant interval of 7.62m at 0.82 g/t gold from 141.7m depth.

BHSE-196 was an exploration hole testing a new target well away from known mineralization. Other than narrow intervals of anomalous gold, it did not intercept significant mineralization.

Geology and Potential of the Water Well Zone

The WWZ is a downdip extension of the Lookout Mountain mineralization that was discovered by Timberline in 2015 (see Company news release dated February 14, 2015). Prior to this program, Timberline drilling has intercepted the zone six times, but two of the holes were at the margins or in a fault-attenuated interval (Table 1). The new drill holes in the zone are consistent with previously reported mineralization in thickness and in grade, and they extend the zone approximately 220m to the north-northeast and 150m to the northwest.

The WWZ has been a focus of considerable work in 2020 and 2021 because the gold grades are higher than the Lookout Mountain Resource, including a high-grade intercept from drill hole BHSE-187 reported in January 7, 2021. Seven holes passed through the entire thickness of the WWZ host horizon. In those holes, it averaged 18.9m thick with an average gold grade of 2.22 g/t. There were several intervals within those holes ranging from 3 to 7.7m thick in which the gold grade was higher than 4.5 g/t. The expanded footprint of the zone, if demonstrated to have continuity, has the potential to significantly grow the Lookout Mountain Resource.

Table 1 – Summary of Drillhole Intercepts in the Water Well Zone (2015 – 2021)

Significant intercepts based on a cutoff grade of 0.5 g/t Au

Drill Hole

Azimuth (°)

Inclination (°)

From (m)

To (m)

Interval* (m)

Gold (g/t)

Oxide/Sulfide

BH06-04**

0

-90

271.9

275.8

4.0

2.19

sulfide

BHSE-152**

0

-90

312.4

317.0

4.6

4.72

sulfide

BHSE-171

0

-90

301.8

323.1

21.3

2.98

sulfide

including

6.1

5.55

sulfide

BHSE-172

276

-81

272.8

286.4

13.6

3.59

sulfide

including

7.7

5.01

sulfide

BHSE-173

239

-80

286.5

306.3

19.8

2.29

sulfide

BHSE-187

0

-90

265.2

297.2

32.0

1.71

sulfide

including

7.6

4.49

sulfide

BHSE-193

0

-90

248.4

268.2

19.8

1.38

sulfide

including

4.6

2.10

sulfide

BHSE-194

0

-90

301.8

312.4

10.7

2.36

sulfide

including

4.6

3.20

sulfide

BHSE-195

0

-90

257.6

272.8

15.2

1.87

sulfide

including

3.0

4.56

sulfide

Avg Drilled Thickness at Weighted Average Grade***

18.9

2.22

italics – diamond core hole (BH06-04 and BHSE-172)

underlined – new results reported in this news release.

* – drillhole thickness, believed to be close to true thickness, but true thickness is not yet known.

** – incomplete drill testing of WWZ target horizon

*** – calculated average drill intercept of holes passing through the entire WWZ (bold intercepts)

The WWZ occupies a favorable horizon at the basal contact of the Dunderberg Shale with the Hamburg Dolomite (Figure 2). At this horizon, Timberline geologists have noted significant multi-staged collapse brecciation that likely accounts for the development of porosity and permeability. The mineralizing fluids exploited this horizon, evidenced by associated intense silicification, sulfidation, and carbonaceous replacement. The resulting jasperoid contains abundant fine sooty pyrite and oftentimes, the arsenic sulfide minerals orpiment and realgar. The shale and limestone above the gold mineralization often demonstrate calcite veining that passes into zones of argillic alteration. The dolomite below the contact is usually pervasively oxidized, weakly mineralized and decalcified and, in many areas, completely “sanded” by removal of all interstitial calcite. Jasperoid is present as irregular pods and masses of silicification along the contact with the Dunderberg Shale, replacing beds and forming locally cross-cutting veins and veinlets.

The heart of the Lookout Mountain resource occurs in the Dunderberg Shale near an easterly dipping fault termed the Highwall Fault. As the rock units also dip to the east, the mineralization in the WWZ is downdip of the main resource. From the cross-sectional view, the WWZ is open downdip to the east and it will likely tie into the main resource area updip to the west, but more drilling is needed. The Dunderberg host horizon is well understood and the 2021 drilling has successfully intercepted mineralization approximately where expected. However, the controls on the higher-grade gold in the WWZ are not yet understood. There are numerous faults crossing the area, forming a graben to the east that also hosts a large IP chargeability anomaly (Figure 1 and Figure 2). More drilling is needed to infill the WWZ and test various targets that may host the higher-grade part of the system.

A north-south long section view of the WWZ is shown in Figure 3. In this perspective, the drilled intercepts of the WWZ now span approximately 220 meters from south to north, more than double the long axis of the mineralization defined by the 2020 drilling. And the WWZ mineralization remains open to the north and south. The remainder of the 2021 drill program includes several holes testing the zone to the north, south, and west. At least two of the remaining holes in the area are planned to be drilled with core.

The gold mineralization in the WWZ is consistent with the geochemistry of Carlin-type gold deposits. It is generally highly enriched in arsenic, antimony, and thallium, but it is low in silver and only weakly enriched in zinc and lead. Mineralization is also very consistent once passing into the WWZ, rarely including gold grades of individual samples below 1.0 g/t.

Drilling Details

The current drill program will make use of both reverse circulation and diamond core drilling, but approximately 60% of the meterage will be RC drilling. Timberline has engaged a specialist drilling consultant to assist with contract negotiation, consumables, drilling muds, support equipment, and sampling procedures. The details of the first five holes are included in Table 2.

Table 2 – Details for Initial Five RC Holes of 2021 Eureka Project Drill Program

Drillhole

Inclination (degrees)

Easting

(meters)

Northing

(meters)

Total Depth*

(meters)

Estimated Step-out**

(meters)

BHSE – 193

-90

586,378

4,363,118

342.9

70

BHSE – 194

-90

586,444

4,363,054

341.4

150

BHSE – 195

-90

586,467

4,363,148

281.9

120

BHSE – 196

-90

585,825

4,362,536

227.1

n/a

BHSE – 197

-90

586,013

4,362,867

216.4

n/a

* Drilling and sampling conducted in feet. Intervals are converted from feet to meters for reporting.

** Approximate distance from collar location to northernmost WWZ drill intercept

The sample recovery during the RC drilling program to date has been very good, and the gold grades have compared well between field duplicates, with few exceptions. Most of the drilling at the Water Well Zone is below the water table, so there is the possibility for loss of fine-grained material during RC drilling, which has been shown to under-report gold grade in other studies of RC drilling in Nevada. For this reason, Timberline will be targeting more diamond core holes into the heart of the WWZ during November and December.

Sampling Methodology, Chain of Custody, Quality Control and Quality Assurance

Collection of reverse circulation samples was completed under the supervision of a Company representative. Personnel from Timberline or the drilling contractors transported the samples to Timberline’s secure Eureka facility, from which the samples were picked up by personnel from ALS USA Inc. (ALS) for sample preparation in Elko, Nevada. Quality control was monitored by the insertion of numerous blind certified standard reference materials, field duplicates, and blanks into each sample shipment. Drill samples were assayed by ALS for gold by fire assay of a 30-gram charge with an AA or ICP-ES finish (ALS code Au-AA23). The overlimits for gold samples assaying above 10 g/t were determined by a 30-gram fire assay with gravimetric finish. In addition, gold mineralized samples were submitted for multi-element analysis (33 elements) by four-acid digestion and ICP-ES determination (code ME-ICP61).

Steven Osterberg, Ph.D., P.G., Timberline’s Vice President Exploration, is a Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the technical contents of this release. Dr. Osterberg is not independent of the Company as he is an officer.

About Timberline Resources

Timberline Resources Corporation is focused on delivering high-grade Carlin-Type gold discoveries at its district-scale Eureka Project in Nevada. The Eureka Property includes the historic Lookout Mountain and Windfall mines in a total property position of approximately 24 square miles (62 square kilometers). The Lookout Mountain Resource was reported in compliance with Canadian NI 43-101 in an Updated Technical Report on the Lookout Mountain Project by Mine Development Associates, Effective March 1, 2013, filed on SEDAR April 12, 2013 (see Cautionary Note to US Investors below).

Resource Category

Tonnage

(million short tons)

Grade

(oz/ton)

Grade

(grams/tonne)

Contained Au

(troy oz)

Measured

3.04

0.035

1.2

106,000

Indicated

25.90

0.016

0.6

402,000

Inferred

11.71

0.012

0.41

141,000

The Company is also operator of the Paiute Joint Venture Project with Nevada Gold Mines in the Battle Mountain District. These properties lie on the prolific Battle Mountain-Eureka gold trend. Timberline also controls the Seven Troughs Project in northern Nevada, which is one of the state’s highest-grade former gold producers. Timberline controls over 43 square miles (111 square kilometers) of mineral rights in Nevada. Detailed maps and mineral resources estimates for the Eureka Project and NI 43-101 technical reports for its projects may be viewed at http://timberlineresources.co/.

Timberline is listed on the OTCQB where it trades under the symbol “TLRS” and on the TSX Venture Exchange where it trades under the symbol “TBR”.

On behalf of the Board of Directors,

“Patrick Highsmith”
President and CEO
Tel: 208-664-4859

Cautionary Note to U.S. Investors: The terms “mineral resource,” “measured mineral resource,” “indicated mineral resource” and “inferred mineral resource,” as used on Timberline’s website and in its news releases are Canadian mining terms that are defined in accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”). These Canadian terms are not defined terms under United States Securities and Exchange Commission (“SEC”) Industry Guide 7 and are normally not permitted to be used in reports and registration statements filed with the SEC by U.S. registered companies. The SEC permits U.S. companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. Accordingly, note that information describing the Company’s “mineral resources” is not directly comparable to information made public by U.S. companies subject to reporting requirements under U.S. securities laws. U.S. investors are urged to consider closely the disclosure in the Company’s Form 10-K which may be secured from the Company, or online at http://www.sec.gov/edgar.shtml.

Forward-looking Statements: Statements contained herein that are not based upon current or historical fact are forward-looking in nature and constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements reflect the Company’s expectations about its future operating results, performance and opportunities that involve substantial risks and uncertainties. These include, but are not limited to, statements regarding the advancement of projects, the footprint and continuity of mineralization, the growth of resources, and exploration potential. When used herein, the words “anticipate,” “believe,” “estimate,” “upcoming,” “plan,” “target”, “intend”, “growth opportunity” and “expect” and similar expressions, as they relate to Timberline Resources Corporation, its subsidiaries, or its management, are intended to identify such forward-looking statements. These forward-looking statements are based on information currently available to the Company and are subject to a number of risks, uncertainties, and other factors that could cause the Company’s actual results, performance, prospects, and opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. Factors that could cause or contribute to risks involving forward-looking statements include, but are not limited to, changes in the Company’s business and other factors, including risk factors discussed in the Company’s Form 10-K for the year ended September 30, 2020. Except as required by law, the Company does not undertake any obligation to release publicly any revisions to any forward-looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.

SOURCE: Timberline Resources Corp.

View source version on accesswire.com:
https://www.accesswire.com/669865/Timberlines-New-Drilling-at-the-Eureka-Gold-Project-Significantly-Expands-the-Water-Well-Zone








timberline resources corporation

Share this article:

Continue Reading

Today’s News

Galway Metals Drills Oak Bay for the First Time – First Hole Returns 6.0 g/t Au over 3.3m with Follow-Up Holes Extending this New Zone 110 Metres at Clarence Stream

TORONTO, ON / ACCESSWIRE / October 27, 2021 / Galway Metals Inc. (TSXV:GWM)(OTCQB:GAYMF)(the "Company" or "Galway") is pleased to report that it has begun…

Share this article:

TORONTO, ON / ACCESSWIRE / October 27, 2021 / Galway Metals Inc. (TSXV:GWM)(OTCQB:GAYMF)(the “Company” or “Galway”) is pleased to report that it has begun drilling on the Oak Bay property that was optioned in July, 2020 (Figure 1). Mineralization at Oak Bay and neighbouring Lily Hill consists of arsenopyrite-rich quartz veining in altered, silicified gabbro dykes in contact with sediments, both of which are mineralized – a similar geological setting to the South Zone. The South Zone is located 19 km to the east of Oak Bay and currently hosts the majority of Clarence Stream’s gold resource. The zone at Oak Bay has now been drill-delineated with strong consistent intersections over 110m of horizontal distance (strike length) (Figure 2). The zone is open in every direction. Most of the assays further down each hole are pending, as are holes 5-8 and 10-13.

Highlights for Galway’s initial drill program at Oak Bay include:

  • Hole OB-01 intersected 6.0 g/t Au over 3.3m, including 9.3 g/t Au over 1.1m, starting at a vertical depth of 13.8m
  • Hole OB-02 intersected 2.2 g/t Au over 0.8m, starting at a vertical depth of 18.2m
  • Hole OB-03 intersected 2.3 g/t Au over 6.65m, including 6.7 g/t Au over 0.6m, starting at a vertical depth of 5.4m
  • Hole OB-04 intersected 1.6 g/t Au over 4.65m, starting at a vertical depth of 6.2m
  • Hole OB-09 intersected 3.5 g/t Au over 4.2m, including 8.6 g/t Au over 0.6m, starting at a vertical depth of 31.8m
  • Hole OB-14intersected 5.1 g/t Au over 1.15m, starting at vertical depths of 4.2m
  • Hole OB-15 intersected 4.0 g/t Au over 2.35m, starting at a vertical depth of 3.7m
  • ** OB05-07 intersected 5.2 g/t Au over 2.5m,including 11.8 g/t Au over 0.5m,starting at a vertical depth of 13.2m
  • ** OB05-03 intersected 1.9 g/t Au over 5.5m, including 8.1 g/t Au over 0.5m, starting at a vertical depth of 50.2m

**Historic drill holes previously released by other operators

“We have been saying that Galway believes Clarence Stream is an important new gold district in North America – with every new discovery, this is becoming more self-evident. Now that drilling for the upcoming resource has been completed, Galway plans to accelerate its drilling of the many gold anomalies to further demonstrate Clarence Stream’s district scale. Galway plans to release the Clarence Stream resource update in Q4/21,” cites Robert Hinchcliffe, President and CEO of Galway Metals.

The 19 km Between Oak Bay and the South Zone is Highly Prospective

Between Oak Bay and the South Zone is a large multi-phase Gabbro Complex. The mineralized gabbro dykes at Oak Bay and the South Zone are thought to have originated from this complex. Galway has not yet drilled the gabbro complex or the 19 km between Oak Bay and the South Zone, except for the 3km trend further north that hosts the Adrian, George Murphy, Richard and Jubilee Zones (Figure 3).

The gabbro complex and the area north of it between Oak Bay and the South Zone hosts two of the three highest-grade glacial till anomalies (95 and 86 ppb Au) at Clarence Stream, extensively anomalous gold-in-soil anomalies that extend several km in both NE and NW directions, and boulders and chip samples up to 35.5 and 16.3 g/t Au. Galway plans to follow-up on the initial drill program at Oak Bay, and to drill several of the targets in this highly anomalous 19 km gap, as well as the gabbro complex in 2022.

Oak Bay and Lily Hill Host High-Grade Boulders and Chip Samples up to 43.0 g/t Au

The Oak Bay claims are host to widespread boulders with grades up to 18.0 g/t Au, while Lily Hill has chip samples to 43.0 g/t Au. Lily Hill is another optioned property just SE of Oak Bay, containing similar geology; hole LH07-01 (drilled in 2007 by previous operators) intersected 3.7 g/t Au over 3.0m, which has not been followed up since, where a 23.6m Gabbro dyke is entirely mineralized, with the zone in a contact breccia. Strong linear gold soil anomalies at Oak Bay are present grading up to 882 ppb Au, which is in the top 10 of the approximately 50,000 soil samples taken at Clarence Stream, while Lily Hill has soil values to 190 ppb Au. Cordierite alteration is present in the sediments that consist of siltstones and slate.

The Sawyer Brook Fault, the main conduit for gold-bearing fluids at Clarence Stream, is located close to the drilling at Oak Bay and Lily Hill. Oak Bay contains a 2km north-south horizontal (strike) length of drill holes (refer to August 25, 2020 press release) with mineralized gabbro along a magnetic high (gabbro is slightly magnetic whereas sediments are not), which continues north 5.0km to the Tower Hill showing that assayed as high as 89.1 g/t along a gabbro-sediment contact.

There is a 10 km+ long intrusion flanking the Oak Bay to Tower Hill area to the west; Clarence Stream is thought to be an intrusion-related gold system. All intrusions at Clarence Stream are encircled by one or more of gold-in glacial tills, soils, boulders and/or chip samples, all of which exist along this 10 km+ Oak Bay to Tower Hill trend.

Table 1. Assay Results

Hole ID

From
(m)

To
(m)

Intercept
(m)

Intercept
(m) TW

Au
g/t

GWM21OB-01

19.90

23.20

3.30

6.0

GWM21OB-02

21.00

21.80

0.80

2.2

210.00

257.70

pending

GWM21OB-03

7.80

14.45

6.65

2.3

including

7.80

8.60

0.60

6.7

including

12.95

13.80

0.85

4.9

52.55

105.25

pending

174.50

364.40

pending

GWM21OB-04

7.25

11.90

4.65

1.6

213.00

255.00

pending

GWM21OB-09

7.90

12.85

pending

21.20

29.00

pending

32.30

36.50

4.20

3.5

including

34.55

35.15

0.60

8.6

38.05

115.75

pending

154.30

212.55

pending

GWM21OB-14

6.20

7.35

1.15

5.1

8.10

240.0

pending

GWM21OB-15

5.35

7.70

2.35

4.0

45.80

320.45

pending

OB05-07

18.70

21.20

2.50

5.2 **

including

20.20

20.70

0.50

11.8 **

including

20.70

21.20

0.50

8.2 **

OB05-03

71.00

76.50

5.50

1.9 **

including

73.00

73.50

0.50

8.1 **

LH07-01

23.50

26.50

3.00

3.7 **

6.50

23.50

17.00

0.15 **

True widths are unknown if not noted (dip uncertain until drilled deeper). **Historic drill holes previously released by other operators

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, and Richard Zones.

Geology and Mineralization

The 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 sulfides and sericite alteration. In general, mineralization at Clarence Stream consists of 10-70% quartz stockworks and veins with 1-5% fine pyrite plus pyrrhotite plus arsenopyrite plus stibnite in sericite altered sediments. The Jubilee mineralization consists of 2%-5% disseminated pyrite, sphalerite, galena, arsenopyrite, chalcopyrite, and pyrrhotite in sediments with white to smoky grey quartz veining. Locally there is up to 10% sphalerite and semi-massive galena veinlets.The 2.5 km trend that hosts the GMZ, Richard and Jubilee Zones 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 www.galwaymetalsinc.com.

Review by Qualified Person, Quality Control and Reports

Michael Sutton, P.Geo., Director and VP 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 Inc. All core, chip/boulder samples, and soil samples are assayed by Activation Laboratories, located at 41 Bittern Street, Ancaster, Ontario, Canada, Agat Laboratories, located at 5623 McAdam Road, Mississauga Ontario, Canada L4Z 1N9 and 35 General Aviation Road, Timmins, ON P4P 7C3, and/or Swastika Laboratories situated in Swastika, ON. All four labs have 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 five percent (5%) 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%.

Table 2: Drill Hole Coordinates

Hole ID

Azimuth

Dip

Northing

Easting

Total Depth (m)

GWMOB-01

90

-45

5012085

641184.6

111

GWMOB-02

90

-65

5012085

641184.7

261

GWMOB-03

90

-45

5012114

641180.1

369

GWMOB-04

90

-60

5012114

641179.6

255

GWMOB-09

90

-80

5012126

641228.5

243

GWMOB-14

90

-45

5012036

641198

246

GWMOB-15

90

-60

5012036

641198

345

OB05-03

275

-45

50121080

641248

99

OB05-07

90

-45

50122100

641190

28

LH07-01

345

-45

5010878

642895.7

53

For results of all holes that Galway has drilled at Clarence Stream, go to Galway’s website at www.galwaymetalsinc.com.

Figure 1: Gold in Glacial Till and Soil at Clarence Stream

Figure 2: Tower Hill, Oak Bay and Lily Hill Plan Map

Figure 3: Oak Bay and Lily Hill Plan Map

About the Company

Galway Metals is well capitalized with two projects in Canada: Clarence Stream, an emerging gold district in New Brunswick, and Estrades, the former producing, high-grade, gold-rich VMS polymetallic mine in Quebec. The Company began trading on January 4, 2013, after its successful spinout to existing shareholders from Galway Resources following the completion of the US$340 million sale of that company. With substantially the same management team and Board of Directors, Galway Metals is keenly intent on creating similar value as it had with Galway Resources.

Should you have any questions and for further information, please contact (toll free):

Galway Metals Inc.
Robert Hinchcliffe
President & Chief Executive Officer
1-800-771-0680
Website: www.galwaymetalsinc.com
Email: [email protected]

Look us up on Facebook, Twitter or LinkedIn

CAUTIONARY STATEMENT: Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this news release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes statements made herein with respect to, among other things, the Company’s objectives, goals or future plans, potential corporate and/or property acquisitions, exploration results, potential mineralization, exploration and mine development plans, timing of the commencement of operations, and estimates of market conditions. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, exploration results being less favourable than anticipated, capital and operating costs varying significantly from estimates, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects, risks associated with the defence of legal proceedings and other risks involved in the mineral exploration and development industry, as well as those risks set out in the Company’s public disclosure documents filed on SEDAR. Although the Company believes that management’s assumptions used to develop the forward-looking information in this news release are reasonable, including that, among other things, the Company will be able to identify and execute on opportunities to acquire mineral properties, exploration results will be consistent with management’s expectations, financing will be available to the Company on favourable terms when required, commodity prices and foreign exchange rates will remain relatively stable, and the Company will be successful in the outcome of legal proceedings, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information contained herein, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.

SOURCE: Galway Metals Inc.

View source version on accesswire.com:
https://www.accesswire.com/669826/Galway-Metals-Drills-Oak-Bay-for-the-First-Time-First-Hole-Returns-60-gt-Au-over-33m-with-Follow-Up-Holes-Extending-this-New-Zone-110-Metres-at-Clarence-Stream









Share this article:

Continue Reading

Trending