HighGold Drills 74.1m of 17.9 g/t Gold, 0.5% Copper, 7.3% Zinc at Johnson Tract Project, Southcentral Alaska, USA
Including 14.0 meters at 53.2 g/t gold
Vancouver, British Columbia--(Newsfile Corp. - September 9, 2020) - HighGold Mining Inc. (TSXV: HIGH) (OTCQX: HGGOF) ("HighGold" or the "Company") is pleased to report assay results for the first two holes of a 15,000 meter drill program currently underway at its flagship Johnson Tract Gold Project in Alaska. Results are reported for drill holes that targeted the lower and northeast side of the JT Deposit. Wide intervals of high-grade mineralization were intersected in both holes (Table 1 and Figure 1). A complete list of assay sample results for the JT20-092 intersection is provided in Table 2.
Table 1. Significant new JT Deposit expansion drill intersections
Notes: Estimated true width ("ETW") is the width of the mineralized interval measured perpendicular to average dip of the zone. Length-weighted intervals are uncapped and calculated based on a 2 g/t gold equivalent cut-off. Gold equivalent ("AuEq") is calculated by the same formula and assumptions used to report the JT Deposit NI43-101 Resource (effective date April 29, 2020) with metal prices of $1350/oz gold, $16/oz silver, $2.80/lb copper, $1.20/lb zinc, $1.00/lb lead and does not consider metal recoveries.
"HighGold's 2020 drill program has started right where we left off last season with the intersection of exceptional widths of high-grade mineralization," commented President and CEO Darwin Green. "These intersections continue to confirm and expand the mineralized zone and, more importantly, include higher-grade mineralization than the closest neighboring drill holes. The results also support our exploration model which suggests that the lower part of the known JT Deposit, the thickest and highest-grade portion, is open to expansion. One drill rig continues to systematically test this resource expansion target, while two other drill rigs remain focused on surrounding targets including the high-priority NE Offset area."
Discussion of Drill Results
Drill hole JT20-092 tested an area below the last hole of the 2019 season with the objective of better defining the down-dip extent of the JT Deposit and confirming a subzone of very high-grade gold. Hole JT20-092 successfully intersected 74.1 meters grading 17.89 g/t gold, 7.1 g/t silver, 0.48% copper, 7.28% zinc and 1.31% lead (23.8 g/t AuEq; estimated true width 37.1m). The gold grade of this intersection (17.89 g/t) is 79% higher than JT19-90, located approximately 15 to 20 meters up-dip, which returned 75.1 meters grading 10.01 g/t gold, 6.0 g/t silver, 0.57% copper, 9.36% zinc and 1.11% lead (estimated true width 40.6m). The zone of thick high-grade mineralization is open to expansion and remains a focus of ongoing drilling.
Hole JT20-093 intersected strong base metal grades along the open northeast edge of the JT Deposit, including 43.5 meters grading 1.98% copper, 8.45% zinc and 1.35 g/t gold (9.9 g/t AuEq; estimated true width of 28.0m). This drill intersection expanded both the width and up-dip extent of the mineralized zone in the area that was tested.
Location of the new drill intersections are presented on a long section in Figure 1.
Drill Progress Update
A total of 8,000 meters (15 holes) out of a planned minimum 15,000 meters has been completed to date. This includes the completion of eight drill holes at the JT Deposit expansion targets, four drill holes at the NE Offset target, and three drill holes at the North Trend target. Assay results are pending for all but the first two drill holes reported in this news release. Assay turnaround times are significantly longer than normal due to a large increase in sample volumes at sample preparation facilities and analytical labs following a rapid industry-wide resurgence in mineral exploration, further compounded by impacts related to government and industry mandated Covid-19 policies. The Company is working with its commercial laboratory contractors to shorten turn-around times; however, neither the Company nor the labs can give accurate guidance on timing for the receipt of future assay results.
HighGold is a mineral exploration company focused on high-grade gold projects located in North America. HighGold's flagship asset is the high-grade Johnson Tract Gold (Zn-Cu) Project located in accessible Southcentral Alaska, USA that contains an Indicated Resource of 2.14 Mt grading 10.93 g/t gold equivalent (AuEq) for 750,000 ounces AuEq and an additional Inferred Resource of 0.58 Mt grading 7.16 g/t gold equivalent for 134,000 ounces AuEq (for additional details see notes below and Technical Report titled "Initial Mineral Resource Estimate for the Johnson Tract Project, Alaska" dated June 15, 2020) along with excellent exploration potential indicated by several other prospects over a 12-kilometer strike length. 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.
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.
On Behalf of HighGold Mining Inc.
President & CEO
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
To view an enhanced version of Figure 1, please visit:
Table 2. Complete list of sample results for drill hole JT20-092 intersection of 74.1 meters grading 17.89 g/t gold, 7.1 g/t silver, 0.48% copper, 7.28% zinc, 1.31% lead (Part 1)
Table 2. Complete list of sample results for drill hole JT20-092 intersection of 74.1 meters grading 17.89 g/t gold, 7.1 g/t silver, 0.48% copper, 7.28% zinc, 1.31% lead (Part 2)
* Gold equivalent ("AuEq") is calculated by the same formula and assumptions used to report the JT Deposit NI43-101 Resource (effective date April 29, 2020) with metal prices of $1350/oz gold, $16/oz silver, $2.80/lb copper, $1.20/lb zinc, $1.00/lb lead and does not consider metal recoveries.
Starting azimuth and dip for drill holes JT19-092 and 093 are 306/-79.2 and 310/-82. Samples of drill core were cut by a diamond blade rock saw, with half of the cut core placed in individual sealed polyurethane bags and half placed back in the original core box for permanent storage. Sample lengths typically vary 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. Drill core samples are shipped by air and transport truck in sealed woven plastic bags to ALS Minerals sample preparation facility in Fairbanks, Alaska for sample preparation and from there by air 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 is determined by fire-assay fusion of a 50 g sub-sample with atomic absorption spectroscopy (AAS). Samples that return values >100 ppm gold from fire assay and AAS are determined by using fire assay and a gravimetric finish. Samples with visible gold or suspected of having exceptionally high grade are submitted for metallic screen gold analysis on a larger sub-sample. Various metals including silver, gold, copper, lead and zinc are analyzed by inductively-coupled plasma (ICP) atomic emission spectroscopy, following multi-acid digestion. The elements copper, lead and zinc are determined by ore grade assay for samples that return values >10,000 ppm by ICP analysis. Silver is determined by ore grade assay for samples that return >100 ppm.
The Company has a robust QAQC program that includes the insertion of blanks, standards and duplicates.
The Indicated Resource of 2.14 Mt grading 10.93 g/t gold equivalent (AuEq) is comprised of 6.07 g/t Au, 5.8 g/t Ag, 0.57% Cu, 0.80% Pb and 5.85% Zn. The Inferred Resource of 0.58 Mt grading 7.16 g/t gold equivalent is comprised of 2.05 g/t Au, 8.7 g/t Ag, 0.54% Cu, 0.33% Pb, and 6.67% Zn. Gold Equivalent ("AuEq") is based on assumed metal prices and 100% recovery and payabilities for Au, Ag, Cu, Pb, and Zn. Assumed metal prices are US$1350/oz for gold (Au), US$16/oz for silver (Ag), US$2.80/lb for copper (Cu), US$1.00/lb for lead (Pb), and US$1.20/lb for zinc (Zn) and are based on nominal 3-year trailing averages as of April 1, 2020.
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 the Company's currently ongoing drill program and pending assays 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.
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