Prize Mining Intersects High Grade Gold Mineralization at the Toughnut Property in Southeastern British Columbia

 

CALGARY, Feb. 20, 2018 /CNW/ - PRIZE MINING CORPORATION ("Prize" or the "Company") (TSXV:PRZ) (OTCQB:PRZFF) (MQSP:GR:FRANKFURT) is pleased to announce it has now received final assay results from its initial drilling program on the Toughnut Property located in southeastern, BC.

A total of 1672 meters of diamond drill core was obtained from 10 holes. The purpose of the program was to test a 1-kilometer strike length within the Gold Eagle Zone. Drill targets were established using a combination of soil geochemical anomalies, elevated surface rock sample results, geophysical indicators, and historical drilling records (see Prize news release on August 29 and September 12, 2017).

Analytical results are encouraging with 38 significant results over 1.0 g/t Au returned, including a best intercept of 25.0 g/t over 1.00 meter. Significant gold intercepts were encountered in 9 out of 10 of the 2017 holes with gold mineralization controlled by sheeted quartz veins and sulphide laden shears straddling contacts between porphyritic intrusions and mafic volcanic rocks. Past and present drilling results at the Gold Eagle zone define an along-strike gold mineralized trend more than 750 meters. Mineralization encountered to date occurs near surface (16 to 165 meters) that is open to depth and along strike to the southeast.

Additional highlights from the 2017 Toughnut drilling program include:

• Hole TN17004 returned multiple intercepts, with a highlight of 3.96 g/t Au over 1.65m.
• Hole TN17005 was drilled from the same location as hole 4 to test the continuity of mineralization. Results include 2.65 g/t Au over 3.26m (inc. 6.68 g/t Au over 0.7m); and 1.33 g/t Au over 7.79m.
• Hole TN17006 stepped out 500m along strike to the northwest to test the porphyry/volcanic contact. Results include 7.3 g/t Au over 0.7m and 2.95 g/t Au over 5.45m.
• Holes TN17009, 010, and 011 were collared from the same pad located 200m along strike to the southeast of holes 4 and 5. At least 4 mineralized horizons were intercepted from this location. Highlights include TN17009 which returned 1.04 g/t Au over 17.68m; and TN17011 with 25 g/t Au over 1.0m and 5.58 g/t Au over 2.0m.

Michael McPhie Prize's President and CEO commented "These results confirm the presence of meaningful high-grade gold and silver mineralization over a significant strike length within the Gold Eagle zone on our Toughnut Property.  This is our first attempt to begin to delineate the potential of this property and we're very encouraged with these initial results."

A detailed map outlining the results can be found on Prize's website at the following link:

https://www.prizemining.com/site/assets/files/1/19-02-2018-001.jpg 

Toughnut Drilling Results

The following table sets out a summary of notable assay results.

 

Diamond Drilling and Sampling Procedures

The Company engaged TerraLogic Exploration Inc. ("TerraLogic") of Cranbrook, B.C. as contractor to carry out the drill program recently completed on each of the Daylight and Toughnut Properties

All samples were assayed by Bureau Veritas, in Vancouver BC. Analytical packages utilized a strong acid ICP analysis (MA250) and gold fire-assay analysis on a large 50g split (FA450). Gravimetric analysis (FA550) were carried out on any over detection gold assays greater than 10 g/t.   

Quality Control

The Company follows a rigorous Quality Assurance/Quality Control program over the chain-of-custody of samples and the insertion of standards, blanks and duplicates into the sample stream submitted to the laboratory for analysis.  TerraLogic personnel maintained a rigorous and independent QA/QC program throughout the duration of the core sampling program. Standards were inserted every 20 samples and duplicate samples of suspected highgrade intervals were always followed by blanks to ensure smearing effect was not an issue.

Bureau Veritas is wholly independent of Prize Mining and TerraLogic and is accredited under CAN-P-4E (ISO/IEC 17025): General Requirements for the Competence of Testing and Calibration Laboratories ISO/IEC 17025-2005

Jarrod Brown, P.Geo., of TerraLogic, a Qualified Person under NI 43-101, is the Company's nominated qualified person responsible for monitoring the supervision and quality control of the programs completed on the Company's properties.  Mr. Brown has approved and verified the scientific and technical information in this news release based through his experience with the Toughnut Property in general.

About the Toughnut and Daylight Property

For additional information regarding Prize's Toughnut and Daylight Properties, please refer to the independent technical report entitled "Technical report for the Kena Project, Nelson, BC" dated June 2, 2017, a copy of which is available on SEDAR under the Company's profile at www.sedar.com. Information regarding the results of the summer 2017 fieldwork completed by Prize on the Daylight Property can be found in Prize's news releases of November 9, 2017, August 29, 2017, August 15, 2017, July 26, 2017 and June 28, 2017.

About Prize Mining Corp.

Prize is a Calgary-based junior mining issuer with offices in Calgary, Alta., and is listed on the TSX Venture Exchange.  Prize is engaged in the acquisition, exploration and development of mining properties. 

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Reader Advisory

Forward-Looking Statements. This news release contains forward-looking statements. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "scheduled", "potential", or other similar words, or statements that certain events or conditions "may", "should" or "could" occur.

The forward-looking statements are based on certain key expectations and assumptions made by Prize, including the results of the 2017 drilling program on Prize's Daylight Property and the timing for the release of the assay results of the 2017 drilling program on Prize's Toughnut Property. Although Prize believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Prize can give no assurance that they will prove to be correct. There is no assurance that the result of these exploration programs will be successful. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, exploration risks and that required regulatory and third-party approvals and consents are not obtained on terms satisfactory to the parties within the timelines provided.

The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable by the Company at the time of preparation, may prove to be incorrect and readers are cautioned not to place undue reliance on forward-looking information, which speaks only as of the date hereof. The Company does not undertake any obligation to release publicly any revisions to forward-looking information contained herein to reflect events or circumstances that occur after the date hereof or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.

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 or accuracy of this release.

SOURCE Prize Mining Corporation

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