Melkior Drilling Update

2017-09-12 / @thenewswire

(TheNewswire)

Timmins, Ontario / TheNewswire / September 12, 2017 - Melkior Resources Inc. ("Melkior") is pleased to provide an update to ongoing exploration in the Target "G" Area of the Carscallen Project in Timmins, Ontario, henceforth referred to as the "Behemoth Zone". Drilling is ongoing, with sixteen holes (~3,000m) completed to date. The drill program has generally been implemented as described in the 2017 Exploration Plan available on the Melkior website (http://www.melkior.com/wp-content/uploads/MKR-2017-Exploration-Plan.pdf).

This news release focuses on initial observations from the Behemoth Zone.

CAR-17-13 (Az 250 -45, UTM NAD83 Zone 17 451735E 5356571N) was drilled to final depth of 565 m.

CAR-17-14 (Az250/ -50), CAR-17-15 (Az250/ -70) were both drilled from the same setup 50 m north of CAR-17_13 to 195 m and 164 m, respectively.

The most recently completed drill hole, CAR-17-16, was collared 50 m south of CAR-17-13 (Az 250/-52) and drilled to a depth of 550 m.

These four drill holes have collectively identified 100 m of strike length of a north-south trending mineralized fault zone. This mineralized structure was encountered at shallow depths (<100m) in close proximity to Melkior's eastern boundary. This structure is on-strike with the Zamzam Zone, located 1.8 km to the north. Visual observations are encouraging, assays are expected in about one month.

The "Behemoth Zone", a second and larger area of interest, has been encountered by both CAR-17-13 and CAR-17-16 at depths ranging from 225 m to 425 m downhole. The Behemoth Zone is comprised of multiple distinct mineralized zones in both of these drill holes. Observations indicate that the mineralization in these two drill holes is related to a broad complex (north-south trending?) structure that has experienced multiple periods of deformation. There seems to be a general commonality to the zones where the granite has been crushed, circulating hydrothermal fluids produce a pronounced silicified zone marginal and within these cataclastic zones. Multiple periods of deformation have locally produced further cataclastic deformation, brittle failure with associated quartz veining, brecciation with associated intense silicification and shearing. Pyrite is commonly associated with these cataclastic zones and later silicifying and mineralizing events. Visible gold was observed in one location in CAR-17-13 within a structural zone.

Of note is the newly documented surficial gold occurrence within the swampy area overlying the Behemoth Zone that assayed 9.5 g/ton gold. The mineralization observed in the outcrop is within a silicified cataclastic zone in the granite that hosts a multi-episodic quartz vein (Az 290, -70E) up to 30 cm wide. One of the interesting sections observed in CAR-17-13 is thought to be the 200 m down dip extension of this new gold showing.

Of special note is that the Behemoth Zone appears to be co-located with an interpreted IP chargeability anomaly with a north-south trend. Historically it has been difficult to correlate IP anomalies on the Carscallen project to gold occurrences due to the narrow width of the mineralized zones. The correlation of the Behemoth Zone to an IP anomaly would be considered to be a positive development.

Also of special note is that within the central portion of the Behemoth Zone is a lamprophyry dyke several meters wide. Lamprophyrs are indicative of deep seated structural breaks. The magnetic signature lamprophyre indicates its trend is subparallel to the surficial gold bearing whaleback outcrop and the adjacent regional diabase dyke to the west. The colocation of these individual intrusive members with the Behemoth Zone reinforces the potential for a large and complex north-south trending structural zone.

Jim Deluce, CEO of Melkior comments, "Visible gold within the Behemoth Zone is encouraging however its significance needs to be established through assays. I anticipate a pause in drilling to allow us to assess the assay results. We hope that the assays will support our continued drilling."

Wade Kornik, P.Geo., has approved the information contained in this release. Mr. Kornik is the Exploration Manager of the Company and is Qualified Person as defined by National Instrument 43-101.

ON BEHALF OF THE BOARD

Keith James Deluce, CEO

For more information, please contact:

Melkior Resources Inc.

E-mail: info@melkior.com

Tel: 705-267-4000

The reader is invited to visit Melkior's web site www.melkior.com.

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