Otis Initiates Fieldwork and Expands Land Position at Oakley Project
VANCOUVER, British Columbia, May 23, 2018 (GLOBE NEWSWIRE) -- Otis Gold Corp. (“Otis” or the “Company”) (TSX-V:OOO) (OTC:OGLDF) is pleased to announce the commencement of a surface exploration program at its Oakley Project (“Oakley”). Oakley is a gold-silver exploration prospect located 21 km south of Oakley, Idaho, and 3 km north of the Idaho-Utah state line along the western flank of the Albion Mountains, part of the Albion-Raft River-Grouse Creek Metamorphic Core Complex. Oakley contains three primary targets located approximately 6 km apart, comprising the Blue Hill Creek and Matrix Creek targets located at the southern end of the project (see Regional Geology map), and the Cold Creek target to the north.
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The initial fieldwork consists of a systematic program of geologic mapping and sampling of the entire project area, which currently covers approximately 5,120 acres. Phase 1 of the program is focused on Cold Creek, which to-date has received very little exploration by Otis. Future phases will target the Blue Hill Creek and Matrix Creek target areas. This information gathered will be added to the existing project database and integrated into a new geologic model which will then be used to develop targets for an exploration drill program.
The Company is also pleased to announce that it has expanded its footprint at Oakley through the staking of 56 federal lode mining claims and has made an application for additional Idaho State Leases totaling 960 acres (see Oakley Land Tenure map). Dependent on the results of ongoing exploration, additional land may be acquired.
Otis Vice President of Exploration Alan Roberts stated: “We are pleased to announce the start of this year’s exploration program at Oakley; our hope is that enhanced understanding of the overall geologic controls will allow us to develop a coherent ore deposit model for the Oakley Project. Oakley’s current geologic map is both historical in nature and incomplete; the ongoing field work marks the next phase in a comprehensive exploration program that will ultimately lead to the generation of drill targets for testing.”
The qualified person under National Instrument (NI 43-101) Standards of Disclosure for this News Release is Alan Roberts, CPG, and Vice President of Exploration, who has reviewed and approved its technical contents.
About the Oakley Project
The Oakley Project hosts gold-silver, epithermal hot spring-type mineralization at two targets: Blue Hill Creek and Cold Creek, and detachment-related gold-silver mineralization at Matrix Creek. Blue Hill Creek (Technical Report dated August 8, 2016) contains an Inferred Resource of 163,000 ounces gold in 9.97 million tonnes at a grade of 0.51 g/t Au. The Blue Hill Creek resource is hosted in rocks of the Tertiary Salt Lake Formation within a northwest-trending Tertiary graben that is part of a north trending, five-mile-long by one-mile-wide zone of low-sulphidation, hot spring-type gold occurrences along the western margin of the Albion Mountains.
Matrix Creek is located 1.5 km southeast of the Blue Hill Creek resource. The black matrix breccia (BMB) mineralization at Matrix Creek is distinctive from the epithermal mineralization at Blue Hill Creek in terms of style, host rock lithology and structural controls, however, both occur within the Tertiary graben setting. The BMB from outcrop section observations is at least 12 m thick and consists of quartzite fragments in a black to dark-grey matrix of fine-grained quartz and pyrite. The host rocks are part of a lower Paleozoic package of quartzite and limestone that occurs throughout eastern Nevada, western Utah, and southern Idaho.
In 2014, an Otis-Radius Gold joint venture at Blue Hill Creek intercepted gold mineralization in 3 out of 5 core holes drilled. These gold intercepts (Otis News Release dated February 5, 2015) were: 123 m averaging 0.691 g/t Au in drill hole BHC 14-01, 41.1 m averaging 0.705 g/t Au in drill hole BHC 14-03, and 113.9 m averaging 0.405 g/t Au in drill hole BHC 14-04. All three holes also contained silver intercepts that were not reported and these intercepts included: 148 m averaging 5.54 g/t Ag, 61.9 m averaging 6.03 g/t Ag, and 101.7 m averaging 4.18 g/t Ag, respectively. At Otis request, ALS Minerals performed 48-hour bottle-roll tests on the BMB with the results showing gold recoveries up to 82%, and silver recoveries up to 93%.
About the Company
Otis is a resource company focused on the acquisition, exploration, and development of precious metal deposits in Idaho, USA. Otis is currently developing its flagship property, the Kilgore Project, located in Clark County, Idaho and the Oakley Project, located in Cassia County, Idaho.
ON BEHALF OF THE BOARD
“Craig T. Lindsay”
President & CEO
For additional information, please contact:
Mr. Tony Perri – Corporate Development
Tel: (604) 424-8100 Email: tony@otisgold.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The forward-looking information contained in this press release is made as of the date hereof and Otis undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
This News Release does not constitute an offer to sell or a solicitation of an offer to sell any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “US Securities Act”) or any State securities laws, and may not be offered or sold within the United States or to US Persons unless registered under the US Securities Act and applicable State securities laws, or an exemption from such registration is available.
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