(TheNewswire)
Vancouver, BC / TheNewswire / October 11, 2017 - Durango Resources Inc. (TSX.V-DGO), (the "Company" or "Durango") is pleased to announce that it has acquired a 100% interest, subject to a gross revenue royalty, in a gold occurrence located in Timmins, Ontario, which was discovered by drilling by Dome Exploration in 1973. The Baby-Baby Property covers the gold occurrence identified by Dome Exploration as Project 44.
The Baby-Baby Property covers 520 hectares, located approximately 4.5 kilometres north of the city of Timmins, Ontario. The property has been subject to historical drilling, and hosts a historical occurrence, known as the 44 Zone (also known as Dome Exploration Project 44).
In 1973, Dome Exploration drilling intersected gold values in two out of three holes drilled at the 44 Zone (DDH 44-1 and 44-3), over 270 metres apart, while drill testing a broad northeast-striking Turam electromagnetic (EM) anomaly, as described in a 1972 exploration report. (1)(2)
DDH 44-1 intersected a sulphide-bearing carbonate stringer, containing arsenopyrite, in intermediate volcanics which returned 6.86 g/t Au over 0.61 metres at 119.6 metres depth. Approximately 270 metres to the east, DDH 44-3 intersected a graphitic section of a basic tuff which returned 0.42 g/t Au over 8.23 metres at 94.9 metres depth. Specific details pertaining to sampling or assay methods were not included in the Dome Exploration logs. (1)
A third hole, DDH 44-4, drilled 385 metres to the north, was not submitted for assay. However, geological descriptions included intervals lithologically similar to gold-enriched intervals in DDH 44-1 and 44-3, and therefore may be potentially favourable for gold mineralization. These intervals included brecciated intermediate volcanics, quartz-carbonates, carbonate stringers, and graphitic sediments, with sulphides reported in many intervals. (1)
The 1972 geophysical survey report also mentions that the conductors of a broad northeast anomaly lie near surface at the north end of the property and at a moderate depth to the south end. (2)
Dome Exploration was the exploration arm of Dome Mines, which owned the Dome Mine located southeast of the city of Timmins. The Dome Mine is located approximately 21 kilometers southeast of the Baby-Baby prospect. In August 2017, Porcupine Gold Mines, a subsidiary of Goldcorp Inc, announced that the Dome Mine will be closing in December 2017.
Several companies drilled holes several hundred metres to the north and south of the 44 Zone. These holes intersected intervals of hyaloclastite, conglomerates and other sediments to the south. The most recent drilling, which was completed in 2008 by Lakeshore Gold, included one hole which was located approximately 450 metres northeast of the 44 Zone and was described as intersecting mafic volcanics, metasedimentary rocks, wacke-argillites, and minor sections of conglomerates, however no gold assays were completed. Lakeshore also drilled a hole approximately 900 metres south of the 44 Zone. (3)
Ranging approximately 400 to 1,200 metres north from the 44 Zone, several other companies from 1970 to 1999 drilled several holes, with no samples submitted for assay. Logs from these holes reported metasediments, carbonates and andesites with calcite, quartz and sulphides. Several holes were drilled nearby by Hollinger in the 1960s which also did not report assays but also contained conglomerates and hyaloclastite.
In 1999, the Ontario Geological Survey published a compilation of several of the Timmins gold mines geological descriptions (4). This compilation included a compilation by Placer Dome and several other mine operators and included descriptions of gold-hosting geology. The drill log descriptions on and around the Baby-Baby prospect from the 1960s to 1980s mention breccia, mafic volcanics, grey-wacke, metasediments, and carbonate veining. Carbonate veining from these historical reports may potentially be associated with ankerite (calcium-iron-magnesium-manganese carbonate), which is associated with gold-bearing units at the Dome Mine.
Marcy Kiesman, CEO of Durango stated, "In the early 1970's, exploration generally focused on high-grade gold rather than low-grade bulk-tonnage. It is possible that Dome Exploration's selective assay methods potentially missed significant intervals. In recent years many historic gold deposits in Timmins have been upgraded in grade and tonnage by new operators with a fresh perspective. One example being, in 2016, Lakeshore Gold's additional discoveries were located around previously mined open pits and underground mines east of Timmins."
To obtain 100% of the Baby-Baby Property Durango has agreed to pay $60,000 on signing and issue 3M shares to two arms length vendors subject to TSX Venture Exchange approval. The property is subject to a 1% gross revenue royalty and a finders' fees of 250,000 shares may be payable subject to TSX Venture Exchange approval.
About Durango
Durango is a natural resources company engaged in the acquisition and exploration of mineral properties. The Company has a 100% interest in the Mayner's Fortune limestone property and the Golden Triangle properties in northwest British Columbia, the D?(C)couverte and Trove gold properties in the Abitibi Region of Quebec, and certain lithium properties near the Whabouchi Mine and the Buckshot graphite property near the Miller Mine in Qu?(C)bec, the Dianna Lake silver project in northern Saskatchewan, the Whitney Northwest property near Timmins, Ontario.
The technical contents of this release were approved by Case Lewis, P.Geo, a Qualified Person as defined by National Instrument 43-101. The property has not yet been the subject of a National Instrument 43-101 report.
Sources
(1)Dome Exploration (Canada) Limited, 1972. Drilling Report (42A11SW0040).
(2)Dome Exploration (Canada) Limited, 1972. Turam Electromagnetic and Magnetic Surveys, Project 44, Jessop Twp, Timmins Area, Ontario (42A11SW0021).
(3)McKenzie, J., 2009. Assessment Work Report for Lake Shore Gold Corp on the Diamond Drill Program of the Jessop Property, Jessop and Jamieson Townships, Porcupine Mining District.
(4)Ontario Geological Survey, 1999. Open File Report 5985, Special Project: Timmins Ore Deposit Descriptions.
For further information on Durango, please refer to its SEDAR profile at www.sedar.com.
Marcy Kiesman, Chief Executive Officer
Telephone: 604.428.2900 or 604.339.2243
Facsimile: 888.266.3983
Email: durangoresourcesinc@gmail.com
Website: www.durangoresourcesinc.com
Forward-Looking Statements
This document may contain or refer to forward-looking information based on current expectations, including commencement and completion of future exploration, raising of capital to complete exploration and the impact on the Company of these events. Forward-looking information is subject to significant risks and uncertainties, including market conditions, as actual results may differ materially from forecasted results. Forward-looking information is provided as of the date hereof and we assume no responsibility to update or revise them to reflect new events or circumstances. For a detailed list of risks and uncertainties relating to Durango, please refer to its prospectus filed on its SEDAR profile at www.sedar.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.
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