Golden Predator Drill Results Continue to Extend Oxide Mineralization to 3.1 km Along Strike at Brewery Creek Mine; Including 36 m of 1.7 g/t at Lucky Zone
VANCOUVER, British Columbia, March 11, 2020 (GLOBE NEWSWIRE) -- Golden Predator Mining Corp. (TSX.V:GPY, OTCQX:NTGSF) (the “Company”) reports continuing positive drill results from its 2019 drill program at its 100% owned and licensed Brewery Creek Mine project located 45 minutes from Dawson City, Yukon. Step-out drill holes at the Lucky Zone along Brewery Creek’s prolific Reserve Trend extended gold mineralization an additional 100 m of strike length to the southwest of the historic Lucky Pit. Nineteen of the 20 drill holes reported today encountered significant gold grades. The holes released today also confirm the down dip continuation of mineralization below the historic Lucky pit and the known resource area.
Highlights of the Lucky Zone 2019 drill program include:
- 2019 drill results to date have confirmed continuous gold mineralization over a 3.1 km strike length along the Reserve Trend. Modelling indicates that the previously separate Lucky, Fosters, Kokanee and Golden resource areas have coalesced into a single continuous mineralized zone.
- Drill highlights include:
- 36.6 m of 1.73 g/t Gold from a depth of 45.7 m in hole RC19-2673
- 13.7 m of 1.12 g/t Gold from a depth of 62.5 m in hole RC19-2674
The final 15 Lucky Zone drill hole results from the 2019 program are currently being processed and will be released as they become available.
To view Brewery Creek maps: http://www.goldenpredator.com/_resources/news/NR20-08_Lucky_Drill_Results_2020_Maps.pdf
Golden Predator CEO Janet Lee-Sheriff noted, “We continue to see previous small pits coalescing into larger continuous mineralization across the Reserve Trend. These observations are making Brewery Creek a larger and much more attractive project than previously envisioned. Our ongoing work to complete the restart feasibility study in April 2020 is also beginning to consider a much larger project going forward. A new resource estimate is also scheduled for the second quarter of 2020 to incorporate the drill data from the successful 2019 program.”
2019 Significant Results from the Lucky Zone
The 20 drill holes reported in this release totaled 2,829 m drilled. Intercepts in drill holes RC19-2550, RC19-2587, RC19-2650 and RC19-2661 define the continuation of significant mineralization along strike to the west of the historic Lucky pit for an additional 100 meters. Intercepts in RC19-2673 and RC19-2674 define the continuation of significant mineralization down dip below the historic Lucky pit and these intercepts remain open at depth. Intercepts in drill holes RC19-2587, RC19-2650 and RC19-2661 are not in the current resource model while intercepts in drill holes RC19-2550, RC19-2673 and RC19-2674 are within the current model and confirm block grades and continuity of the resource that remains open at depth. These intercepts now extend mineralization over a 3.1 km strike length through the Fosters, Kokanee, Golden and Lucky resources areas. The current data indicates the four resource areas now represent a single continuously mineralized gold zone.
Nineteen of the 20 drill holes reported encountered significant gold grades with a high of 14.7 g/t Gold over 1.5 m in drill hole RC19-2673 at a depth of 48.7 meters. Highlighted composite drill intercepts include 2.4 g/t Gold over 10.7 m from a depth of 76.2 m in drill hole RC19-2550, 4.6 g/t Gold over 3.5 m from a depth of 103.6 m in drill hole RC19-2587, 2.6 g/t Au over 3.1 m from a depth of 41.2 m in drill hole RC19-2650, 0.9 g/t Au over 16.8 m from a depth of 62.5 m in drill hole RC19-2661, 1.7 g/t Gold over 36.9 m from a depth of 45.7 m in drill hole RC19-2673 and 1.1 g/t Gold over 13.7 m at a depth of 62.3 in drill hole RC19-2674.
Gold mineralization in the Lucky resource area is localized in two sub-parallel zones developed near the upper and lower contact of a monzonite intrusive complex.
To view the Lucky Zone drill results: http://www.goldenpredator.com/_resources/maps/brewery-creek/Lucky%20Drill%20Results.pdf
2019 Brewery Creek Exploration Program
The 2019 Brewery Creek drill program focused on extending mineralized structures along the Reserve Trend in areas with little historic drilling. Mineralized structural trends were also extended down dip from previously mined zones. A total of 15,623 m of drilling was completed in 137 drill holes into five separate zones including the Camp, Fosters, Kokanee, Golden and Lucky Zones. With this release, results from 122 drill holes have now been announced. Gold mineralization in the Reserve Trend is hosted in mid-Cretaceous age monzonite intrusions over a +9 km strike length in the project area. The intrusive rocks were emplaced into the regionally extensive mid Mesozoic Robert Service Thrust Fault.
Brewery Creek 43-101 Technical Report
The Company filed the updated NI 43-101 Technical Report for the Brewery Creek project prepared by Gustavson & Associates, with an effective date of October 1, 2019, on SEDAR on January 23, 2020. The 2019 drill program results are not included in the report as they were not available at the time of the estimation, an updated NI 43-101 technical report is underway to include the additional drilling.
Sampling Methodology, Quality Control and Assurance
Analyses for drill samples were performed by SGS Canada, Inc., ALS Canada and Bureau Veritas, Canada with sample preparation in Whitehorse, YT and assaying in Burnaby, North Vancouver and Vancouver, BC respectively. Drill samples were analyzed for gold using a 30 gram fire assay with atomic absorption finish (SGS-GO FAA30V10 method, ALS-Au AA-25 method and BV-FA430 method). Quality controls standards include standard reference material, certified blank and field duplicate samples in every sample dispatch.
BREWERY CREEK PROJECT OVERVIEW
Heap Leach Reprocessing Study: Phase 1
Kappes Cassiday is currently conducting a feasibility level study to determine the parameters for the phase 1 plan to reprocess and recover gold from material on the heap leach pad. The study will include detailed analysis of all the key parameters involved in reconstructing or adding necessary infrastructure including a crushing plant, ADR plant, and assay lab. The study will estimate all projected capital and operating costs, production levels and will estimate projected economic returns. The study is focusing on remediating and reprocessing the heap leach pad as a means of fast-tracking re-development of the site. The study will include a project implementation schedule, sourcing, and economic cash flow model sufficiently detailed to move directly into procurement, development and construction if economically warranted. Any production decisions would be dependent on the outcome of this feasibility level study demonstrating positive technical and economic viability.
Brewery Creek Mine: Production History
The Brewery Creek Mine is a licensed brownfields heap leach gold mine that was operated by Viceroy Minerals Corporation from 1996 to 2002. Brewery Creek was put into Temporary Closure in 2002 following a collapse of the gold price below $300 US per troy ounce. Golden Predator’s team commenced work on the project starting in 2009. Brewery Creek is authorized to restart mining activities as defined in their Quartz Mining License and Water License. The Company intends to resume mining and processing of licensed deposits when supported by an independent economic study. In 2020 the Company will begin work with Tr’ondëk Hwëch’in and Yukon Government to expand the licensed mining to include new discoveries and mining activities contemplated for an expansion of mining beyond the existing license.
The 180 km2 property is located 55 km east of Dawson City and is accessible year-round by paved and improved gravel roads. Significant infrastructure remains in place, allowing for a timely restart schedule under existing licenses.
Brewery Creek Mine: Resources
The Company conducted exploration drilling on the Brewery Creek project from 2010 to 2013 which increased the resource significantly. The project has an Indicated oxide resource of 21,140,00 tonnes at 1.125 g/t Gold containing 765,000 ounces, plus an Inferred oxide resource of 14,120,000 tonnes at 0.967 g/t Gold containing 440,000 ounces. In addition, resources include 8,570,000 tonnes of Inferred sulfide resource at 0.985 g/t Gold containing 270,000 ounces. Materials on the heap leach pad were not included in the resource update. The resource incorporates drill results through 2014. There are 200 additional exploration drill holes to be included in an anticipated resource update.
The current NI 43-101 Technical Report is now available on SEDAR and the Company’s website. The updated report replaces the technical report dated November 19, 2014.
Brewery Creek Mine: Licenses, Permits and NI 43-101 Disclosure
The Company has a Socio-Economic Accord with Tr’ondëk Hwëch’in for the Brewery Creek Mine and is licensed to resume mining activities as permitted under the current Water License and Quartz Mining Licenses. The project also has a Class IV Mining Land Use Permit to conduct additional exploration.
The technical content of this news release has been reviewed and approved by Jeff Cary, CPG a Qualified Person as defined by National Instrument 43-101 and is employed by the Company as its Senior Project Geologist.
Golden Predator Mining Corp.
Golden Predator is advancing the past-producing Brewery Creek Mine towards a timely resumption of mining activities, under its valid Quartz Mining and Water Licenses, in Canada’s Yukon. With established resources grading over 1.0 g/t Gold and a feasibility level study currently underway by Kappes Cassiday considering the economics of a restart of heap leach operations at the Brewery Creek Mine, 2020 proves to be a pivotal year for the Company. Drilling continues to expand the open-ended resources and untested targets across the 180 km2 brownfield property located 55 km by road from Dawson City, Yukon. The Company has a Socio-Economic Accord with the Tr’ondëk Hwëch’in First Nation.
For additional information:
Janet Lee-Sheriff
Chief Executive Officer
(604) 260-8435
info@goldenpredator.com
www.goldenpredator.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This press release contains forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations that the private placement will complete as described herein, that the Project will advance through permitting and feasibility. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, the Company assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change.
