HighGold Mining Reports 22.1 g/t Au, 178 g/t Ag, 1.1% Cu and 20% Pb over 1.5 meters in Surface Chip Channel Sample & New Vein Zone Discovery at Johnson Tract, Alaska, USA
Vancouver, British Columbia--(Newsfile Corp. - February 5, 2020) - HighGold Mining Inc. (TSXV: HIGH) (OTCQB: HGGOF) ("HighGold" or the "Company") is pleased to report surface rock sampling and historic drill core re-sampling results from the Difficult Creek Prospect ("DC Prospect") at the Company's flagship Johnson Tract Gold (Cu-Zn) property ("Johnson" or the "Property") in Southcentral Coastal Alaska, USA. The sampling was part of the 2019 regional exploration program completed outside of the main JT Deposit area where recent drill hole results included 17.8 g/t gold equivalent ("AuEq") over 75.1 meters (see HighGold news release dated December 19, 2019).
The purpose of the 2019 surface exploration program was to: (i) evaluate and extend known prospects within the Property; (ii) identify new zones of alteration & mineralization, and (iii) develop other drill targets for 2020. New results are highlighted below.
DC Prospect Highlights
- 1.5 m chip channel sample grading 22.1 g/t Au, 178 g/t Ag, 1,1% Cu and 20% Pb
- 1.5 m chip channel sample grading 23.3 g/t Au, 74 g/t Ag, 0.2% Cu, 0.4% Zn and 5.9% Pb
- 4.0 m chip channel sample grading 5.3 g/t Au and 61 g/t Ag
- Grab sample* grading 50.1 g/t Au, 97 g/t Ag, 5.2% Cu, 6.0% Zn and 20% Pb
*Note - grab samples are selected samples and are not necessarily representative of the mineralization hosted on the property.
New Vein Zone Discovery
- Grab sample grading 2.58 g/t Au and 102 g/t Ag
- Grab sample grading 1.34 g/t Au and 178 g/t Ag
- Grab sample grading 0.97 g/t Au and 221 g/t Ag
Re-sampling of 1983 DC Prospect Drill Core
- 4.6 meters at 9.33 g/t Au, 4.5% Zn and 0.5%Cu from drill hole DC83-002, within 36.5 meters grading 3.04 g/t Au, 1.9% Zn and 0.2% Cu
"High-grade mineralization at Difficult Creek is similar in character to the main Johnson Tract Deposit located 4.5 km to the southwest and highlights the potential for multiple deposits on the district-scale land package," commented HighGold President & CEO, Darwin Green. "We are particularly encouraged by the discovery of a new vein zone and the widespread extent of mineralization. We look forward to testing the DC Prospect along with other major drill targets located in and around the Johnson Tract Deposit during the 2020 field season, which we anticipate will begin in late May to early June. HighGold is well-financed for an aggressive field program at Johnson and will issue more detail when plans have been finalized. Meanwhile, HighGold anticipates drills to be turning on its Timmins, Ontario gold properties before month-end."
Discussion of Surface Sampling Results
The DC Prospect is characterized by a series of large gossan alteration zones similar in style to the JT Deposit. The prospect area is divided into four main zones: (i) Upper Difficult Creek (UDC); (ii) Middle Difficult Creek (MDC); (iii) Lower Difficult Creek (LDC); and iv) East Difficult Creek (EDC) that extend over a 2 km x 3 km area. Mineralization and pervasive clay/anhydrite alteration appear to be preferentially developed within dacitic to rhyolitic tuffaceous rocks that underly a capping sequence of lesser altered massive andesites. The widespread extent of mineralization exposed in erosional 'windows' through the andesite supports potential for a large and partially blind mineralized system linking the various DC Prospect zones together.
Work at the DC Prospect consisted of reconnaissance level prospecting and sampling to evaluate historic showings and to explore for new zones of mineralization. Rock chip channel samples, grab samples, and an orientation soil sample line were collected. Results of the surface sampling program are presented in Figure 1, Figure 2 and Table 2.
A new vein zone discovery was made 850 meters to the south-southeast of the Middle DC mineralized zone (Photo 1). The new zone is a previously unrecognized raw prospect that is characterized by a swarm of anastomosing sub-vertical quartz veins with low-sulphidation epithermal textures, hosted within the capping andesite unit. The vein zone trends east-west and is exposed in outcrop over a 100-meter section with talus-scree slopes covering the extension of the vein on either side. Rock chip sampling results show consistent anomalous gold and silver values across the lateral extent of the showing, and higher silver to gold ratios than the Middle DC mineralized zone, with several samples in excess of 100 g/t Ag. The veins are interpreted as high-level within the mineral system and are targets at depth where they project into underlying dacite tuffs that host most of the high-grade gold mineralization elsewhere on the Property.
The results of the new rock sampling at the Middle DC mineralized zone are similar to historic assays that reported anomalous Au, Ag, Pb, Cu and Zn, including a high of 50.1 g/t Au. The results of soil sampling across the zone identified a 100-meter long zone of +100 ppb Au that remains open to the south and east, with individual highs up to 3.06 g/t Au.
Several other anomalies across the DC Prospect were identified during the 2019 exploration program and will be followed-up in the 2020 field program.
Discussion of Drill Core Re-Sampling
In addition to the surface exploration work, drill core re-sampling was done on historic drillhole DC83-002. Between 1983 and 1984, a total of 1,344 meters of drilling was completed at Difficult Creek which successfully intersected significant mineralization at shallow depth. New assay results for the ¼ cut drill core validates the historic assay data (Table 1). The potential to expand the zone with additional drilling is considered to be good.
Table 1. Results of drill core re-sampling, Difficult Creek prospect
**Reported as drilled length; true width unknown. Gold equivalent ("AuEq") is calculated by the same formula and assumptions used to report intersections for the Johnson Tract NI43-101 Technical Report (dated June 27, 2019) with metal prices of $1250/oz gold, $16/oz silver, $3.00/lb copper, $1.20/lb zinc, $1.00/lb lead and does not consider metal recoveries.
Next Steps at Johnson Tract
Development of a three-dimensional ("3D") geological model for the JT Deposit is underway with the purpose of completing an initial NI43-101 mineral resource estimate in the next 2 to 3 months. The Company will also be reviewing all data to prepare a detailed drilling plan for the 2020 field season. Major drill priorities are expected to include:
i) Expansion of the main JT Deposit,
ii) Testing the NE Fault Offset target, which is interpreted to be the fault-displaced depth continuation of the JT Deposit,
iii) Follow-up on the New Footwall Zone Discovery, from drilling in 2019
iv) Difficult Creek Prospect, and
v) Other property-wide prospects.
About Johnson Tract Property
The 21,000-acre Johnson Tract property is located near tidewater, 125 miles (200 kilometers) southwest of Anchorage, Alaska, USA. It includes the very high-grade Johnson Tract Gold (Zn-Cu) deposit along with excellent exploration potential indicated by several other prospects over a 12-kilometer strike length. This project was last explored in the mid-1990s by a mid-tier mining company that evaluated direct shipping material from Johnson to the Premier Mill near Stewart, British Columbia. HighGold acquired Johnson through a lease agreement with Cook Inlet Region, Inc. ("CIRI") an Alaska Native regional corporation that is the largest private landowner within the Cook Inlet region.
HighGold is a mineral exploration company focused on premier high-grade gold projects located in North America. HighGold's flagship asset is the high-grade Johnson Tract Gold (Zn-Cu) Project located in south-central Alaska, USA. The Company also controls a portfolio of quality gold projects in the greater Timmins gold camp, Ontario, Canada that includes the Munro-Croesus Gold property, which is renowned for its high-grade mineralization, and the large Golden Mile and Golden Perimeter properties. HighGold's experienced Board and senior management team, are committed to creating shareholder value through the discovery process, careful allocation of capital, and environmentally/socially responsible mineral exploration.
On Behalf of HighGold Mining Inc.
President & CEO
Ian Cunningham-Dunlop, P.Eng., VP Exploration for HighGold Mining Inc. and a qualified person ("QP") as defined by Canadian National Instrument 43-101, has reviewed and approved the technical information contained in this release.
Surface chip and grab samples were collected using a rock hammer and chisel. Chip sample lengths typically varied from a minimum 0.5 meter interval to a maximum 2.0 meter interval, with an average 1.0 to 1.5 meter sample length. Surface rock samples were shipped by transport truck in sealed woven plastic bags to ALS Minerals laboratory facility in Fairbanks, Alaska for sample preparation, and then to ALS Minerals laboratory facility in North Vancouver, BC for analysis. ALS Minerals operate according to the guidelines set out in ISO/IEC Guide 25. Gold was determined by fire-assay fusion of a 50 g sub-sample with atomic absorption spectroscopy (AAS). Samples that returned values >100 ppm gold from fire assay and AAS were determined by using fire assay and a gravimetric finish. Various metals including silver, gold, copper, lead and zinc were analyzed by inductively-coupled plasma (ICP) atomic emission spectroscopy, following multi-acid digestion. The elements copper, lead and zinc were determined by ore grade assay for samples that returned values >10,000 ppm by ICP analysis. Silver was determined by ore grade assay for samples that returned >100 ppm.
For further information, please visit the HighGold Mining Inc. website at www.highgoldmining.com, or contact:
Darwin Green, President & CEO or Naomi Nemeth, VP Investor Relations
Phone: 1-604-629-1165 or North American toll-free 1-855-629-1165
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.
Forward looking statements: This news release includes certain "forward-looking information" within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively "forward looking statements"). Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "forecast", "expect", "potential", "project", "target", "schedule", "budget" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding future Johnson Tract exploration, the Company's Canadian gold projects and other future plans, objectives or expectations are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company's expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements.
Figure 1 - DC Prospect area location map
To view an enhanced version of Figure 1, please visit:
Figure 2 - DC Prospect significant results of 2019 surface sampling
To view an enhanced version of Figure 2, please visit:
Photo 1 - DC Prospect new vein zone discovery consisting of anastomosing swarm of epithermal style quartz veins (photo looking northwest). Veins traced in outcrop over 100m strike length, projecting beneath talus and overburden cover at either end. Select grab sample results include 2.58 g/t Au and 102 g/t Ag, and 1.34 g/t Au and 178 g/t Ag.
To view an enhanced version of Photo 1, please visit:
Table 2 - DC Prospect - Significant results of 2019 Surface Sampling
|Prospect||Sample||Sample Type*||Au (g/t)||Ag (g/t)||Cu (%)||Pb (%)||Zn (%)|
|Middle DC Zone||535112||Rock Grab||50.10||97||5.17||20.00||6.01|
|535081||Rock Chip Channel||23.30||74||0.17||5.93||0.39|
|535080||Rock Chip Channel||22.10||178||1.07||20.00||3.26|
|535078||Rock Chip Channel||5.50||67||0.09||1.95||0.23|
|535079||Rock Chip Channel||5.10||55||0.16||2.01||0.10|
|New Vein||535106||Rock Grab||2.58||102||0.04||0.26||0.94|
|534802||Rock Chip Channel||0.43||72||0.00||0.02||0.04|
|535094||Rock Chip Channel||0.16||12||0.00||0.01||0.01|
|535095||Rock Chip Channel||0.13||11||0.02||0.13||0.22|
|Other DC Prospects||534803||Rock Grab||1.53||177||0.01||0.02||0.04|
|535102||Rock Chip Channel||1.15||26||0.00||0.04||0.00|
|535162||Rock Grab Float||0.92||26||1.68||0.03||0.01|
|534853||Rock Chip Channel||0.71||6||0.16||0.05||0.05|
|535101||Rock Chip Channel||0.48||7||0.01||0.00||0.00|
|535159||Rock Grab Float||0.34||37||0.09||0.01||0.00|
|535160||Rock Grab Float||0.21||49||0.02||0.35||4.84|
|535167||Rock Grab Float||0.17||52||0.00||0.01||0.03|
|535169||Rock Grab Float||0.13||123||0.01||2.60||2.51|
|535099||Rock Chip Channel||0.11||2||0.01||0.00||0.01|
|535059||Rock Grab Float||0.10||91||0.04||0.03||0.00|
*Grab samples are selected samples and are not necessarily representative of the mineralization hosted on the property.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/52120