Vanstar's Partner IAMGOLD Continues to Intersect Wide Zones of Gold Mineralization at the Nelligan Gold Project, Quebec

2018-09-11 / @nasdaq

 

LA PRAIRIE, Quebec, Sept. 11, 2018 (GLOBE NEWSWIRE) -- Vanstar Mining Resources Inc. (“Vanstar”) is pleased to report that IAMGOLD Corporation (“IAMGOLD” or the “Company”) today announced first assay results from its ongoing 2018 drilling program completed at its Nelligan joint venture project (IAMGOLD Corporation: 51%, Vanstar Mining Resources Inc. (“Vanstar”): 49%), located 60 kilometres southwest of Chibougamau, Quebec, Canada. The company is reporting assay results from 12 diamond drill holes, totaling 4,471 metres.  Results are pending from a remaining 20 drill holes, totaling 8,889 metres, and will be reported once the results are received, validated and compiled.

Figure 1
Nelligan drill hole plan map and highlighted 2018 assay results


The assay results reported herein are provided in Table 1 below and include the following highlights:
(A drill hole plan map is attached to this news release.)

Liam Zone: 

  • Drill hole NE-18-71:  7.6 metres grading 2.39 g/t gold
    • Includes 1.86 metres grading 6.68 g/t Au

  • Drill hole NE-18-74: 39.9 metres grading 1.38 g/t gold
    • Includes 1.50 metres grading 8.91 g/t Au

Renard Zone: 

  • Drill hole NE-18-69: 56.6 metres grading 1.81 g/t gold
    • Includes 30.8 metres grading 2.66 g/t gold

  • Drill hole NE-18-73: 28.1 metres grading 1.40 g/t gold
    • Includes 3.8 metres grading 4.65 g/t gold
      and 32.3 metres grading 0.89 g/t gold

  • Drill hole NE-18-75: 23.3 metres grading 1.51 g/t gold 
    and 23.1 metres grading 2.59 g/t gold
    • Includes 2.0 metres grading 5.91 g/t gold
      and 22.1 metres grading 2.08 g/t gold
      and 66.3 metres grading 1.18 g/t gold
    • Includes 0.8 metres grading 17.05 g/t gold

  • Drill hole NE-18-79: 33.9 metres grading 1.76 g/t gold

The 2018 diamond drilling program was designed to evaluate the resource potential of the recently discovered mineralization system, referred to as the Renard Zone, located immediately north of the previously known Liam and Dan zones.  The drilling continues to intersect wide zones of hydrothermal alteration characterized by variable carbonatization, sericite, phlogopite and pervasive silicification affecting the hosting meta-sedimentary sequence. Disseminated pyrite is associated with the alteration zones and varies from 1% to more than 15% locally. Trace molybdenite and rarely visible gold are also observed.

Craig MacDougall, Senior Vice President, Exploration for IAMGOLD, stated: “The 2018 exploration drilling program continues to delineate wide zones of alteration and mineralization, allowing us to advance a preliminary deposit model and evaluate the resource potential of this large hydrothermal system. The results are encouraging and we are optimistic that we can advance this project to an initial resource estimate in the future.”

Guy Morissette, CEO of Vanstar stated: “We are very pleased with these results from the winter program and we can’t wait to receive the drill results from the current summer campaign. Our partner is doing an excellent job and we remain very optimistic for the future of the project.”

Next Steps

An additional 20 diamond drill holes, totaling 8,889 metres have been completed for which assay results are pending and will be reported once they are received, validated and compiled. These results, coupled with ongoing geochemical and structural studies, will continue to support the development and refinement of a geological and deposit model. The objective of the 2018 drilling program is to evaluate the resource potential of the project with the aim of declaring an initial National Instrument 43-101 (“NI 43-101) compliant resource estimate.

About the Nelligan Project

The Nelligan project covers a small area of the large Caopatina segment belonging to the North Volcanic Zone of the Abitibi Belt of the Superior Province. The property is centered on the E-W Druillette synclinal with sediments of the Caopatina Formation bounded to the north and to the south by volcanic rocks of the Obatogamau Formation. The North and South portions of the property are occupied by granodioritic to tonalitic intrusions. The project is affected by several structures and deformed zones.

Gold showings of the area can be grouped according to their style of mineralization: Quartz-sulphide vein type mineralization and disseminated pyrite mineralization. On the local scale, the Nelligan project contains several interesting gold showings including Liam and Dan Zones discovered by drilling in 2013 and 2014 and the historical Lake Eu showing. New gold zones were intersected to the north of the known gold showings and revealed the widespread presence of gold over a strike length of more than 1.0 kilometre, over a width of a few hundred metres and a depth of over 300 vertical metres (Zones 36 and Renard). These prospective showings appear to fall within a structural corridor with a potential strike length of several kilometres associated to the Guercheville Deformed Corridor located 5 km north of the property.

The Nelligan Project is held under an earn-in option to joint venture agreement with Vanstar. The Company holds an undivided 51% interest in the property, and holds an option to earn a further 24% undivided interest in exchange for cash payments totaling C$2,750,000 to Vanstar and the delivery of an NI 43-101 compliant Resource Estimate Technical Report before March 2022.  Once vested to an undivided 75% interest, IAMGOLD will have a further option to acquire an additional interest of 5%, to hold an 80% interest in the Nelligan project by completing and delivering a Feasibility Study. Vanstar would then retain a 20% undivided non-contributory carried interest until the commencement of commercial production, after which: (1) the 20% undivided interest becomes participating; and (2) Vanstar will pay its attributable portion of the total development and construction costs to the commencement of commercial production from 80% of its share of any ongoing distributions from the Joint Venture. Vanstar will also retain a 1% NSR royalty on selected claims of the project.

Technical Information and Quality Control Notes

The drilling results contained in this news release have been prepared in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects.

The "Qualified Person" responsible for the supervision of the preparation and review of this information is Marie-France Bugnon, P. Geo., General Manager Exploration. Marie-France is considered a "Qualified Person" for the purposes of National Instrument 43-101 with respect to the technical information being reported on. The technical information has been included herein with the consent and prior review of the above noted Qualified Person. The Qualified person has verified the data disclosed, and data underlying the information or opinions contained herein. This press release was also read and approved by Gilles Laverdière, Vanstar’s Geologist and Qualified Person under NI-43-101.

The sampling of, and assay data from, the drill core is monitored through the implementation of a quality assurance - quality control (QA-QC) program designed to follow industry best practice. Drill core (NQ size) samples are selected by the IAMGOLD geologists and sawn in half with a diamond saw at the project site. Half of the core is retained at the site for reference purposes. Sample intervals may vary from half a metre to one and a half metres in length depending on the geological observations.

Samples are transported in sealed bags to ALS Minerals Laboratory (“ALS”) located in Val-d’Or, Québec. Samples are coarse crushed to a -10 mesh and then a 1,000 gram split is pulverized to 95% passing -150 mesh. ALS processes analytical pulps directly at their facilities located in Val-d’Or which is ISO / IEC 17025 certified by the Standards Council of Canada. Samples are analyzed using a standard fire assay with a 50 gram charge with an Atomic Absorption (AA) finish. For samples that return assay values over 5.0 grams per tonne, another pulp is taken and fire assayed with a gravimetric finish. Core samples showing visible gold or samples which have returned values greater than 10.0 grams per tonne are re-analyzed by pulp metallic analysis. IAMGOLD inserts blanks and certified reference standards in the sample sequence for quality control.

Forward Looking Statement

This news release contains forward-looking statements. All statements, other than of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding expected, estimated or planned gold production, cash costs, margin expansion, capital expenditures and exploration expenditures and statements regarding the estimation of mineral resources, exploration results, potential mineralization, potential mineral resources and mineral reserves) are forward-looking statements. Forward-looking statements are generally identifiable by use of the words “will”, “should”, “continue”, “expect”, “anticipate”, “estimate”, “believe”, “intend”, “to earn”, “to have’, “plan” or “project” or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Company’s ability to control or predict, that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements.  Factors that could cause actual results or events to differ materially from current expectations include, among other things, without limitation, failure to meet expected, estimated or planned gold production, cash costs, margin expansion, capital expenditures and exploration expenditures and failure to establish estimated mineral resources, the possibility that future exploration results will not be consistent with the Company's expectations, changes in world gold markets and other risks disclosed in IAMGOLD’s most recent Form 40-F/Annual Information Form on file with the United States Securities and Exchange Commission and Canadian provincial securities regulatory authorities. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement.

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.

THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES FOR DISSEMINATION IN THE UNITED STATES

Source :Guy Morissette   
 CEO Vanstar Mining Resources Inc.
 gmvanstar@vanstarmining.com 
 819-763-5096

Table 1 

Table 1  Nelligan Project Drilling Results - 2018 Drilling program
Hole No.UTM NAD83 Zone18AZDIPEOHfromToIntervalTrue Width (1)Au (2)NOTE
 EastingNorthingElevation(°)(°)(m)(m)(m)(m)(m)(g/t)   
NE-18-68523,426.05,473,820.4368.2335-50486.00183.00187.204.203.440.87ZONE 36
       225.76241.2015.4411.830.65ZONE RENARD 
Including (3)      234.35237.002.652.031.41 
       360.50367.587.085.800.72ZONE RENARD 
       387.86393.305.443.850.94ZONE RENARD 
       430.00457.5027.5021.070.47ZONE RENARD 
Including (3)      440.36445.505.143.940.87 
Including (3)      456.00457.501.501.231.33 
NE-18-69523,183.05,473,742.1371.9330-45466.00305.20312.507.306.326.84ZONE RENARD 
Including (3)      308.20309.701.501.3629.30 
       318.40375.0056.6049.021.81ZONE RENARD 
Including (3)      318.40349.2030.8026.672.66 
Including (3)      326.90328.401.501.3015.45 
Including (3)      344.70346.201.501.306.08 
       385.50396.0010.509.090.54ZONE RENARD 
       409.50435.5026.0022.520.65ZONE RENARD 
NE-18-70523,331.65,473,729.6372.3335-50264.0037.8040.502.702.070.81ZONE LIAM 
       203.89212.708.817.220.59ZONE 36 
       227.90232.144.243.001.75ZONE 36 
NE-18-71523,245.05,473,705.6371.7335-50234.0031.1038.667.566.552.39ZONE LIAM
Including (3)      36.8038.661.861.616.68 
       174.15187.4013.2510.150.78ZONE 36
       225.22230.645.424.440.88ZONE 36
NE-18-72523,281.75,473,845.6369.1330-50414.0032.5034.001.501.2312.20ZONE 36
       189.80212.7022.9017.541.30ZONE RENARD
Including (3)      196.35202.906.555.023.02 
       228.80238.8010.007.661.08ZONE RENARD
Including (3)      232.81234.311.501.152.90 
       273.46294.7021.2416.270.88ZONE RENARD
Including (3)      273.46284.7011.248.611.23 
       311.30348.9037.6030.800.87ZONE RENARD
Including (3)      334.33340.826.496.102.67 
NE-18-73523,176.75,473,951.9368.9330-52297.0037.5048.2210.727.581.31ZONE RENARD 
Including (3)      37.5040.503.002.122.85 
       57.2268.3211.107.850.79ZONE RENARD 
       144.00145.501.501.1514.90ZONE RENARD 
       153.37181.5028.1321.551.40ZONE RENARD 
Including (3)      153.37157.133.762.884.65 
Including (3)      179.27181.502.231.583.82 
       213.87223.489.616.801.17ZONE RENARD 
Including (3)      220.57223.482.912.062.42 
       235.22267.5032.2820.750.89ZONE RENARD 
Including (3)      241.22244.803.582.741.80 
Including (3)      250.20253.203.002.302.33 
       276.50283.156.655.091.24ZONE RENARD 
NE-18-74523,376.85,473,639.4368.3335-50387.0041.4746.505.033.560.70ZONE DAN
       76.5079.503.002.301.98ZONE DAN
       122.15162.0039.8532.641.38ZONE LIAM
Including (3)      131.32133.502.182.053.71 
Including (3)      148.80151.803.002.302.63 
Including (3)      160.50162.001.501.308.91 
       280.90287.006.104.672.21ZONE 36 
Including (3)      283.50286.002.501.924.13 
             
Table 1 Nelligan Project Drilling Results - 2018 WINTER Drilling program
Hole No.UTM NAD83 Zone18AZDIPEOHfromToIntervalTrue Width (1)Au (2)NOTE
 EastingNorthingElevation(°)(°)(m)(m)(m)(m)(m)(g/t)   
NE-18-75523,007.35,473,691.6375.6330-52498.00105.35111.736.384.100.86ZONE 36 
       139.64149.109.467.250.65ZONE 36 
Including (3)      147.90149.101.200.922.53 
       233.00256.2523.2520.141.51ZONE RENARD
Including (3)      234.50250.4515.9513.071.81 
       296.90320.0023.1020.942.59RENARD ZONE
Including (3)      297.90299.902.001.645.91 
Including (3)      309.70310.701.000.9415.65 
       326.65348.7522.1016.932.08ZONE RENARD
Including (3)      341.30343.952.652.0311.53 
       355.75375.8020.0515.361.09ZONE RENARD
       395.75462.0066.2550.751.18ZONE RENARD
Including (3)      398.25399.000.750.5717.05 
Including (3)      444.00445.501.501.068.42 
NE-18-76523,179.75,473,947.0368.8330-56399.0052.5861.078.496.500.55ZONE RENARD
       70.6088.5017.9013.710.54ZONE RENARD
       92.6596.003.353.047.14ZONE RENARD
       122.20136.9014.7013.320.70ZONE RENARD
       168.50196.0027.5021.071.89ZONE RENARD
Including (3)      188.40189.200.800.6912.75 
       228.65233.805.153.951.47ZONE RENARD
Including (3)      231.65233.802.151.652.70 
       246.20253.707.505.750.71ZONE RENARD
       277.30307.9030.6021.640.84ZONE RENARD
Including (3)      300.50302.201.701.202.14 
NE-18-77522,510.25,473,762.2372.2335-50285.0070.4078.808.405.400.61ZONE RENARD
       83.9091.007.105.820.94ZONE RENARD
       105.80117.0011.208.582.03ZONE RENARD
Including (3)      110.50112.001.501.2310.90 
       126.00146.6020.6016.870.48 
       198.70212.5013.8011.301.69ZONE RENARD
Including (3)      202.50210.307.806.392.67 
       237.00238.501.501.416.86ZONE RENARD
       258.00279.0021.0019.730.95ZONE RENARD
NE-18-78523,100.85,473,898.7372.8330-50339.0051.0059.078.077.310.67ZONE RENARD
       95.75106.1010.357.931.23ZONE RENARD
       129.00153.0024.0020.780.96ZONE RENARD
Including (3)      135.50147.0011.509.961.30 
       165.00199.9534.9526.770.84ZONE RENARD
Including (3)      174.00175.501.501.361.81 
Including (3)      181.15199.9518.8017.041.12 
       235.85300.8164.9649.760.82ZONE RENARD
Including (3)      243.70274.5630.8623.641.01 
Including (3)      283.08287.344.263.491.14 
Including (3)      299.36300.811.451.112.77 
       326.60339.0012.409.500.53ZONE RENARD
NE-18-79522,427.95,473,660.5374.8335-45402.00285.94296.1010.167.780.69ZONE RENARD
       353.10387.0033.9025.971.76ZONE RENARD
Including (3)      376.50387.0010.508.043.33 

 Notes:

  1. True widths are estimated at 70 to 94% of the core interval.
  2. Drill hole intercepts are calculated with a lower cut of 0.50 g/t Au and may contain lower grade interval of up to 5 metres in length. They are generally reported with a minimum g*m (or Metal factor) of 5.        
  3. Assays are reported uncut but high grade sub-intervals are highlighted.

To view Figure 1: Nelligan drill hole plan map and highlighted 2018 assay results, please visit the following link: http://www.globenewswire.com/NewsRoom/AttachmentNg/b7f18333-e8ac-4794-b4c1-b713aca1c5d2

20120425-VanstarMining_200.jpg

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