Category: Junior Mining

Categories
Base Metals Energy Junior Mining Project Generators

Millrock Enters Into Exploration Agreement Concerning Apex Gold Project, Southeast Alaska

August 12, 2021

Highlights

  • Millrock has executed an agreement with Coeur Explorations, Inc., a wholly-owned subsidiary of Coeur Mining, Inc. concerning claims controlled by Millrock at the Apex gold project, located approximately 70 kilometers from Juneau in Southeast Alaska.
  • Coeur Explorations may exercise an option to earn a 100% interest in the claims through staged payments and exploration expenditures.
  • Upon earning 100% interest, a Net Smelter Returns royalty with an advanced minimum royalty provision and buyback option will be granted to Millrock.
  • Initial exploration is underway; drill permits have been approved.


VANCOUVER, BRITISH COLUMBIA, August 12, 2021 – Millrock Resources Inc. (TSX-V: MRO, OTCQB: MLRKF) (“Millrock” or the “Company”) is pleased to announce that it has entered into an agreement with Coeur Explorations, Inc., a wholly-owned subsidiary of Coeur Mining, Inc. (“Coeur”), concerning the Apex gold project in Southeast Alaska. The project is located on Chichagoff Island, three kilometers north of the village of Pelican and 70 kilometers southwest of Juneau, Alaska.

 Millrock President & CEO Gregory Beischer commented: “We are pleased to enter into this agreement with Coeur Explorations and will work diligently with their exploration team to explore the claims. From historic documents, we know that high-grade gold ore was previously mined, but there has never been a single exploratory hole drilled. It seems likely that the known high-grade gold-bearing quartz veins will continue along strike and in the down-dip direction. The claims have been completely dormant since the 1980s. We’ll start with surface geochemical sampling and detailed structural mapping this year and look to drill in 2022.” 

The Apex project targets high-grade, mesothermal, gold-bearing quartz vein deposits. The claims cover the former-producing Apex and El Nido gold mines which operated intermittently from the 1920s through to the 1940s and reportedly produced approximately 34,000 ounces of gold by underground mining methods. Nearly 1,200 meters of workings on four levels were used to extract ore (United States Geological Survey Alaska Resource Data File). Ore was hand-cobbed and milled on site. Surface exploration was done by WGM Inc. in the 1980s, but no drilling was done and the property has been dormant since. Millrock secured an option on the core claim group in 2016 from Apex El Nido Gold Mines Inc. Subsequently, Millrock staked surrounding lands, compiled information, and secured drilling permits. At surface, above the caved portal to the Apex Mine, a swarm of quartz veins can be observed over a width of more than 200 meters. Within the swarm, four thicker veins were the subject of the historic mining efforts. Geological and geochemical features suggest the vein system has continuity along strike to the northeast beneath Cann Creek, toward the tidewater of Lisianski Inlet, two kilometers away. The gold-bearing vein system has never been drill tested along strike or below the historic workings.

Figure 1. Apex Gold Project Location Map
Figure 1. Apex Gold Project Location Map

Under the agreement, Millrock will assign its rights under the existing option agreement with Apex El Nido Gold Mines to Coeur Explorations. Coeur Explorations will be responsible for making cash payments and funding exploration expenditures to keep the option agreement with Apex El Nido Gold Mines in good standing. Millrock will execute exploration under a services agreement on behalf of Coeur. Coeur Explorations may determine not to proceed to exercise the option at any time, but if it makes all the payments and expenditures, it will vest with a 100% interest in the underlying claims. Upon exercising the option to purchase the Apex El Nido Gold Mine claims, Millrock will also transfer the claims it owns outright to Coeur Explorations, and the entire project will become subject to a net smelter returns (“NSR”) royalty in favour of Millrock. The royalty payable is a 2.5% NSR with an advanced minimum royalty (“AMR”) provision. Coeur Explorations may reduce the NSR to 1.0% by paying Millrock US$3.0 million. The initial AMR payment will be US$50,000 and will increase by US$50,000 annually until production occurs.  AMR payments are deductible from NSR payments. The property will revert to Millrock in the event that Coeur elects to discontinue AMR payments.

Typical of Southeast Alaska, the terrain is steep and challenging, as pictured in Figure 2. The former producing Apex and El Nido mine entries are at tree level, approximately 360 meters above sea level. A soil sampling crew has been mobilized to the project and is presently working out of accommodations in Pelican, using boat access. The goal of the program is to trace the mineralized structure and refine vein locations in anticipation of a 2022 drilling program.

Figure 2. Apex Gold Project Terrain
Figure 2. Apex Gold Project Terrain

Qualified Person
The scientific and technical information disclosed within this document has been prepared, reviewed, and approved by Gregory A. Beischer, President, CEO, and a director of Millrock Resources. Mr. Beischer is a qualified person as defined in NI 43-101.

About Millrock Resources Inc.
Millrock Resources Inc. is a premier project generator to the mining industry. Millrock identifies, packages, and operates large-scale projects for joint venture, thereby exposing its shareholders to the benefits of mineral discovery without the usual financial risk taken on by most exploration companies. The company is recognized as the premier generative explorer in Alaska, holds royalty interests in British Columbia, Canada, and Sonora State, Mexico, is a significant shareholder of junior explorer ArcWest Exploration Inc. and owns a large shareholding in Resolution Minerals Limited. Funding for drilling at Millrock’s exploration projects is primarily provided by its joint venture partners. Business partners of Millrock have included some of the leading names in the mining industry: Coeur Explorations, EMX Royalty, Centerra Gold, First Quantum, Teck, Kinross, Vale, Inmet and, Altius as well as junior explorers Resolution, Riverside, PolarX, and Felix Gold.

ON BEHALF OF THE BOARD
“Gregory Beischer”
Gregory Beischer, President & CEO

FOR FURTHER INFORMATION, PLEASE CONTACT:
Melanee Henderson, Investor Relations
Toll-Free: 877-217-8978 | Local: 604-638-3164
Twitter | Facebook | LinkedIn

Some statements in this news release may contain forward-looking information (within the meaning of Canadian securities legislation) including without limitation the intention to mount further exploration including drilling in 2022. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements.

Categories
Base Metals Energy Junior Mining Project Generators

Skyharbour Receives $1.2 Million from Warrant Exercise and Partner Company Valor Announces Radiometrics Reveal New Anomalies at Hook Lake Project with On-Ground Work Underway


VANCOUVER, British Columbia, Aug. 11, 2021 (GLOBE NEWSWIRE) — Skyharbour Resources Ltd. (TSX-V: SYH) (OTCQB: SYHBF) (Frankfurt: SC1P) (the “Company”) is pleased to announce that partner company Valor Resources Limited (“Valor”) has provided an update on results from the recently completed high-resolution airborne radiometric survey and the commencement of on-ground work at the Hook Lake Project (previously the North Falcon Point Project). The radiometric survey was completed in late July and covered the northeastern third of the Hook Lake Project including the Hook Lake/Zone S historical high-grade uranium occurrence. Numerous anomalies have been identified from the survey (see Figure 1 below). Total count radiometric anomalies were ranked with the highest priority anomalies being strongly correlated with the uranium channel count.

Hook Lake (Formally North Falcon Point) Project:
https://skyharbourltd.com/_resources/projects/Falcon-Point-Project.jpg

The survey was flown by Special Projects Inc. (“SPI”) from Calgary, Alberta who are considered an industry-leading provider of high-resolution airborne radiometric surveying. SPI flew the radiometric survey that delineated Fission Uranium’s PLS boulder field which eventually led to the discovery of the high-grade uranium Triple R deposit.

The Hook Lake Project consists of 16 contiguous mining claims covering 25,846 hectares, located 60 km east of the Key Lake Uranium Mine in northern Saskatchewan. Skyharbour signed a Definitive Agreement with Valor Resources on the Hook Lake Uranium Project whereby Valor can earn-in 80% of the Project through $3,500,000 in total exploration expenditures, $475,000 in total cash payments over three years and an initial share issuance of 233,333,333 shares of Valor.

Highlights:

Airborne Radiometric survey highlights several new targets:

North-western area identified as new area of interest with a cluster of Priority 1 and 2 anomalies

Several other Priority 1 and 2 anomalies identified away from known historical occurrences

Hook Lake/Zone S historical high-grade uranium occurrence confirmed as Priority 1 target

On-ground work underway to:

Follow up and confirm historical uranium occurrences

Follow up areas of interest from the recent Airborne magnetic and VLF-EM survey

Follow up anomalies identified in recently completed Radiometric Survey

Figure 1: Hook Lake Airborne Radiometrics Ternary Plot – Priority Anomalies
https://www.skyharbourltd.com/_resources/maps/20210805-Figure1.jpg

Of note is the cluster of Priority 1 and 2 anomalies identified in the northwest of the Project area where no uranium occurrences have previously been identified. The historical high-grade uranium occurrence at the Hook Lake (or Zone S) prospect was confirmed as a Priority 1 radiometric anomaly, with a Priority 2 anomaly located approximately 3km to the northeast along strike. There are additional Priority 1 and 2 anomalies away from known occurrences that require on-ground follow- up.

On-ground follow-up work has commenced which is being conducted by Dahrouge Geological Consulting Ltd. This work is focused on validating and developing the geological understanding of the historic uranium occurrences, such as the Hook Lake (or Zone S) prospect. The field crew will also follow-up on the new targets generated from the magnetic/VLF-EM survey completed in April and the priority anomalies identified from the recently completed airborne radiometric survey. A field crew supported by a helicopter is carrying out the field program over a period of 2-3 weeks.

About Hook Lake (previously North Falcon Point) Project:

Valor has the right to earn an 80% working interest in the Hook Lake Uranium Project located 60 km east of the Key Lake Uranium Mine in northern Saskatchewan. Covering 25,846 hectares, the 16 contiguous mineral claims host several prospective areas of uranium mineralization including:

Hook Lake / Zone S – High grade surface outcrop with reported grades in grab samples up to 68% U3O8; a bio-geochemical survey carried out over the trenches in 2015 responded positively with along-strike anomalies 2 km to the northeast

Nob Hill – Fracture-controlled vein-type uranium mineralization on surface outcrop with up to 0.130% – 0.141% U3O8 in grab samples; diamond drilling intersected anomalous uranium in several drill holes with values up to 422 ppm U over 0.5 m

West Way – Vein type U mineralization within a NE-trending shear zone; grab samples taken from the surface showing contained variable uranium values including up to 0.475% U3O8 and drilling of the structure intersected the altered shear zone at depth, along with anomalous Cu, Ni, Co, As, V, U, & Pb

Grid T – Fracture-hosted secondary uranium mineralization in sheared calc-silicates and marbles in a 100 m x 20 m zone of anomalous radioactivity with grab samples having up to 800 ppm U

Alexander Lake Boulder Field – 30 biotite-quartz-k-feldspar pegmatite boulders NE of Alexander Lake; the best results include 360 ppm U, 1,400 ppm U and 1,600 ppm U respectively

Thompson Lake Boulder Field – Numerous radioactive boulders and blocks of pegmatized meta-arkose, pegmatite, and granite; the best value obtained was 738 ppm U from a granite boulder

NE Alexander Lake – Several calc-silicate, plagioclase-quartz granulite, quartzite, and meta-arkose boulders with up to 4,800 ppm U, 7,600 ppm Mo and 1,220 ppm Ni

The Project area is in close proximity to two all-weather northern highways and grid power. Historical exploration has consisted of airborne and ground geophysics, multi-phased diamond drill campaigns, detailed geochemical sampling and surveys, and ground-based prospecting culminating in an extensive geological database for the Project area.

Warrant Exercises:

Skyharbour also announces that it has received an aggregate $1,204,713 from the exercise of share purchase warrants recently. A total of 4,461,900 warrants have been exercised since late June with a strike price of 27 cents with this batch of warrants expiring on August 10th. Skyharbour is fully funded for its ongoing and expanded drill program at its flagship Moore Lake Uranium Project with a total of over CAD $8.5 million in cash and in shares of partner companies. Partner companies Azincourt, Orano and Valor Resources are funding the bulk of the exploration programs at the Preston, East Preston and Hook Lake (previously North Falcon Point) Projects, respectively.

Qualified Person:

The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed and approved by Richard Kusmirski, P.Geo., M.Sc., Skyharbour’s Head Technical Advisor and a Director, as well as a Qualified Person.

About Valor Resources Ltd:

Valor Resources Limited (ASX: VAL) is an exploration company focused on creating shareholder value through acquisitions and exploration activities.

About Skyharbour Resources Ltd.:

Skyharbour holds an extensive portfolio of uranium exploration Projects in Canada’s Athabasca Basin and is well positioned to benefit from improving uranium market fundamentals with six drill-ready Projects covering over 240,000 hectares of land. Skyharbour has acquired from Denison Mines, a large strategic shareholder of the Company, a 100% interest in the Moore Uranium Project which is located 15 kilometres east of Denison’s Wheeler River Project and 39 kilometres south of Cameco’s McArthur River uranium mine. Moore is an advanced stage uranium exploration property with high grade uranium mineralization at the Maverick Zone that returned drill results of up to 6.0% U3O8 over 5.9 metres including 20.8% U3O8 over 1.5 metres at a vertical depth of 265 metres. The Company is actively advancing the Project through drill programs.

Skyharbour has a joint-venture with industry-leader Orano Canada Inc. at the Preston Project whereby Orano has earned a 51% interest in the Project through exploration expenditures and cash payments. Skyharbour now owns a 24.5% interest in the Project. Skyharbour also has a joint-venture with Azincourt Energy at the East Preston Project whereby Azincourt has earned a 70% interest in the Project through exploration expenditures, cash payments and share issuance. Skyharbour now owns a 15% interest in the Project. Preston and East Preston are large, geologically prospective properties proximal to Fission Uranium’s Triple R deposit as well as NexGen Energy’s Arrow deposit.

The Company also owns a 100% interest in the South Falcon Uranium Project on the eastern perimeter of the Basin, which contains a NI 43-101 inferred resource totaling 7.0 million pounds of U3O8 at 0.03% and 5.3 million pounds of ThO2 at 0.023%. Skyharbour has signed a Definitive Agreement with ASX-listed Valor Resources on the Hooke Lake (previously North Falcon Point) Uranium Project whereby Valor can earn-in 80% of the Project through $3,500,000 in total exploration expenditures, $475,000 in total cash payments over three years and an initial share issuance.

Skyharbour’s goal is to maximize shareholder value through new mineral discoveries, committed long-term partnerships, and the advancement of exploration Projects in geopolitically favourable jurisdictions.

Skyharbour’s Uranium Project Map in the Athabasca Basin:
http://skyharbourltd.com/_resources/maps/SYH-Athabasca-Map.jpg

To find out more about Skyharbour Resources Ltd. (TSX-V: SYH) visit the Company’s website at www.skyharbourltd.com.

SKYHARBOUR RESOURCES LTD.

“Jordan Trimble”

Jordan Trimble
President and CEO

For further information contact myself or:
Riley Trimble
Corporate Development and Communications
Skyharbour Resources Ltd.
Telephone: 604-687-3376
Toll Free: 800-567-8181
Facsimile: 604-687-3119
Email: info@skyharbourltd.com

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.

This release includes certain statements that may be deemed to be “forward-looking statements”. All statements in this release, other than statements of historical facts, that address events or developments that management of the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. The Company undertakes no obligation to update these forward-looking statements if management’s beliefs, estimates or opinions, or other factors, should change. Factors that could cause actual results to differ materially from those in forward-looking statements, include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see the public filings of the Company at www.sedar.com for further information.

Categories
Junior Mining Precious Metals

Rover Metals August Corporate Update

Rover Metals Stands in Support of Local Community

Local employment showcased during Phase 2 Exploration at Cabin Gold Project
Local employment showcased during Phase 2 Exploration at Cabin Gold Project
Local employment showcased during Phase 2 Exploration at Cabin Gold Project

VANCOUVER, British Columbia, Aug. 10, 2021 (GLOBE NEWSWIRE) — Rover Metals Corp. (TSXV: ROVR) (OTCQB: ROVMF) (FRA:4X0) (“Rover” or the “Company”) discusses the positive impact of the Cabin Gold project on the local community: https://rovermetals.com/landingpages/aug2021corporateupdate.html

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/ffc80748-bc7e-4058-88a9-bed31aa9d731

About Rover Metals
Rover is a precious metals exploration company specialized in North American precious metal resources, that is currently advancing the gold potential of its existing projects in the Northwest Territories of Canada (60th parallel). The Company commenced Phase 2 Exploration at its Cabin Gold Project this summer.

Stock Option Grants
The Company has re-engaged Momentum PR (“Momentum”) to provide another six months of investor relations services. Pursuant to the renewal of the Momentum contract, the Company has granted 750,000 stock options with a four year life on the following terms: 175,000 options vesting September 30, 2021 with an exercise price of $0.125; 175,000 options vesting December 31, 2021 with an exercise price of $0.150; 175,000 options vesting March 31, 2022 with an exercise price of $0.175; and 175,000 options vesting June 30, 2022 with an exercise price of $0.200. The Company has also granted 52,400 stock options to a consultant. The 52,400 options are fully vested on grant, have a life of four years, and have an exercise price of $0.15.

You can follow Rover on its social media channels:
Twitter: https://twitter.com/rovermetals
LinkedIn: https://www.linkedin.com/company/rover-metals/
Facebook: https://www.facebook.com/RoverMetals/
for daily company updates and industry news, and
YouTube: https://www.youtube.com/channel/UCJsHsfag1GFyp4aLW5Ye-YQ?view_as=subscriber
for corporate videos.
Website: https://www.rovermetals.com/

ON BEHALF OF THE BOARD OF DIRECTORS
“Judson Culter”
Chief Executive Officer and Director

For further information, please contact:
Email: info@rovermetals.com
Phone: +1 (778) 754-2617

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OF THIS RELEASE.

Categories
Junior Mining Uncategorized

Lakewood Exploration to Acquire the Eliza Silver Project in the Historic Hamilton District and the Silverton Silver Mine in Nevada’s Prolific “Silver Alley”

Mon, August 9, 2021,

Figure 1

Longwave infrared Aster image of central Nevada, showing same thermal response as Round Mountain mine (left) and Silverton project area (right).
Longwave infrared Aster image of central Nevada, showing same thermal response as Round Mountain mine (left) and Silverton project area (right).
Longwave infrared Aster image of central Nevada, showing same thermal response as Round Mountain mine (left) and Silverton project area (right).

Figure 2

Silverton area map including other mines in the area.
Silverton area map including other mines in the area.

https://s.yimg.com/rq/darla/4-8-0/html/r-sf-flx.html

Silverton area map including other mines in the area.

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

VANCOUVER, British Columbia, Aug. 09, 2021 (GLOBE NEWSWIRE) — Lakewood Exploration Inc. (CSE: LWD) (the “Company” or “Lakewood”) is pleased to announce that it has entered into a share purchase agreement dated effective August 9, 2021 between the Company, 1304562 B.C. Ltd. (“BCCO”) and the sole shareholder of BCCO (the “Definitive Agreement”), pursuant to which the Company will acquire 100% of the issued and outstanding shares of BCCO (the “Proposed Transaction”). BCCO owns a 100% interest in the Eliza Silver Project and the Silverton Silver Mine.

The Eliza Silver Project

The Eliza Silver Project is located along strike of the Hamilton Mining District, Nevada’s highest-grade silver district, which produced 40 million (M) ounces (oz) silver with grades up to 25,000 grams per tonne (g/t) between 1876-1890.

Surface samples collected at the nearby California Mine grading 24,956 g/t silver (Ag)* and information gained from a detailed geologic map, indicate that Eliza and the Hamilton District contain high-grade Ag mineralization hosted by the same formation; however, no significant work or drilling has been done on the project in over half a century.

The Lakewood team plans to deploy a new geologic model, which will explore the down-thrown side of the Eberhardt Fault, which separates the Hamilton District from the Eliza Property. The California Mine, which mined ore grading between 5,621 to 18,737 g/t silver equivalent (AgEq)* in the 1870s is also located south of the Eberhardt Fault, indicating that very high-grade mineralization can be found within the Eliza fault block.

The Silverton Silver Mine

The past-producing Silverton Silver Mine is located in East Nevada’s “Silver Alley” with high-grade historic production of up to 933 g/t silver. Despite significant surface exposures and grab samples grading up to 499 g/t Ag and 1.99 g/t Au, no modern-day drilling or subsurface exploration techniques have been conducted on the project since the 1920s. The first modern work is currently underway, including satellite imaging which has shown similar colour anomalies to Kinross’ 15M oz Au Round Mountain mine (see Figure 1).

https://www.globenewswire.com/NewsRoom/AttachmentNg/566d4af5-cba9-44eb-807c-da01dda7daa2

Figure 1: Longwave infrared Aster image of central Nevada, showing same thermal response as Round Mountain mine (left) and Silverton project area (right).

Numerous large deposits are located in the “Silver Alley,” including the 174 Moz Tonopah silver project and the Tybo project, which produced 100 Moz AgEq (see Figure 2).

https://www.globenewswire.com/NewsRoom/AttachmentNg/15d9675a-7da9-4f0b-b918-7e2814980820

Figure 2: Silverton area map including other mines in the area.

1) NBMG Report 22600014
2) MRDS Record 10072150
3) NBMG Report 11300005
4) NBMG Report 49700037, inflation-adjusted
5) VR Resources company reports
6) Bida, 1961 inflation-adjusted

“The geology of the Eliza project suggests that it could be a down-dropped extension of the 40 Moz Hamilton Silver project,” stated President, Morgan Lekstrom. “The addition of Eliza and Silverton, two highly prospective silver projects in two of the most prolific silver districts in the USA, complement our growing portfolio of western US focused silver assets, which includes the past producing Silver Strand mine in Idaho. The acquisition of these projects reaffirms our strategy of adding shareholder value by acquiring silver assets that have both large exploration upside and near-term production potential.”

The Transaction

Pursuant to the terms of the Definitive Agreement, upon the closing of the Proposed Transaction, Lakewood will acquire 100% of the issued and outstanding securities of BCCO in consideration for: (i) the issuance of 3,370,000 common shares of the Company (the “Payment Shares”) to the sole shareholder of BCCO, and (ii) a cash payment of $20,000. In addition, the Company will issue 300,000 common shares to certain arm’s length third party finders in connection with the Proposed Transaction (the “Finders’ Shares”). The Payment Shares and Finders’ Shares will be subject to voluntary hold periods, with 25% of the shares released on the date that is 3 months following the Closing Date and an additional 25% released every 3 months thereafter until all shares have been released.

The Proposed Transaction remains subject to certain closing conditions including, without limitation, (a) the receipt by the Company of all necessary corporate and regulatory approvals; and (b) each party’s representations and warranties in the Definitive Agreement being true and correct in all aspects as of the Closing Date, and each party meeting its terms and conditions and completing its covenants and obligations as contained therein. There can be no guarantees that the Proposed Transaction will be completed as contemplated or at all. The Proposed Transaction is anticipated to close on or before October 31, 2021.

About Lakewood Exploration Inc.

Lakewood Exploration Inc. is a junior resource company that controls the Lacy Gold Project in British Columbia, Canada, the past-producing Silver Strand Mine in the Coeur d’Alene Mining District in Idaho, USA, and both the Eliza Silver project and the Silverton Silver mine in one of the world’s most prolific mining jurisdictions in Nevada. The Company is rapidly advancing towards an initial drill program at Silver Strand with the aim of defining a large silver resource within a belt that has produced more than 1.2 billion ounces of silver to-date. Geologic studies indicate that the Silver Strand Mine is hosted by the Revett formation, suggesting the potential for significant down dip extensions as demonstrated by other major mines in the district. Previous operators were solely interested in developing the known shallow mineralization, with the mine’s lowest level extending only 90 metres below surface. Lakewood strives to become a multi-mine silver producer. Mineralization hosted on adjacent and/or nearby properties is not necessarily indicative of mineralization hosted on the Company’s property.

On Behalf of the Board of Lakewood Exploration Inc.

Morgan Lekstrom, President

Corporate Office: 551 Howe Street, Vancouver, British Columbia V6C 2C2, Canada
Contact: Kristina Pillon, President, High Tide Consulting Corp.
604.908.1695 / investors@silverhammermining.com
The CSE does not accept responsibility for the adequacy or accuracy of this release.

The Canadian Securities Exchange has not in any way passed upon the merits of the Proposed Transaction and has neither approved nor disapproved the contents of this press release.

The securities to be issued in connection with the Proposed Transaction have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “1933 Act”), or under any state securities laws, and may not be offered or sold, directly or indirectly, or delivered within the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the 1933 Act) absent registration or an applicable exemption from the registration requirements. This news release does not constitute an offer to sell or a solicitation to buy such securities in the United States.

This press release includes “forward-looking information” that is subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Company. Forward-looking statements may include but are not limited to, statements relating to the Company’s ability to complete the Proposed Transaction on the terms announced or at all. Such statements are subject to all of the risks and uncertainties normally incident to such events. Investors are cautioned that any such statements are not guarantees of future events and that actual events or developments may differ materially from those projected in the forward-looking statements. Such forward-looking statements represent management’s best judgment based on information currently available.

Notes:
*Nevada Bureau Mines Report 52900017
**Humphry (1960)

Categories
Breaking Exclusive Interviews Junior Mining Uncategorized

Labrador Gold – Kingsway Gold Project, String of Golden Pearls

Maurice Jackson:

Joining us for a conversation is Roger Moss, the CEO of Labrador Gold (TSX.V: LAB | OTCQX: INOKF). It’s a pleasure to be speaking with you sir, as you have some very encouraging news coming from the Kingsway Gold Project, this time in the form of pristine gold grains. Before we begin, Dr. Moss, who is Labrador Gold, and what is the opportunity the company presents to shareholders?

Dr. Roger Moss:

Labrador Gold is a junior mining company based in Canada, and we’re currently exploring in Newfoundland on our flagship Kingsway Gold Project. We’ve done quite a bit of work on there over the last year, and this Spring we embarked on a 50,000-meter drill program.  We made a discovery late last year of visible gold in quartz grain boulders. And we’ve been drilling for a few months with some nice high-grade hits. We are quite excited about the potential before us, and our recent press releases seem to indicate that we may be onto something.  And today’s news adds even more to the story.

Maurice Jackson:

Dr. Moss take us to the Kingsway Gold Project, which is along a structure highway known for gold-bearing fluids, please acquaint us with the primary structures.

Dr. Roger Moss:

One of the things that interested me about Kingsway when I first heard about it and we moved to acquire it, was the fact that we had these major crustal structures running through it. And we know that the kinds of gold deposits that we’re looking at here, orogenic and epigenetic gold deposits, they are associated with these major crustal structures. If you have them, it’s great, you can find gold along them. And we are fortunate enough to have two, the Appleton Fault Zone and Dog Bay Line. Most of our work to date has been along the Appleton Fault Zone, and it’s almost a no brainer because down to the south of us where New Found Gold are exploring, they’ve been having incredible success exploring along the Appleton Fault Zone with their great intersections at Keats and Lotto, and most recently at the Golden Joint, so they have three occurrences down there along the Appleton Fault Zone, and ours is just starting, and our Big Vein target is also located along the Appleton Fault Zone. It seems to be a pretty prospective structure that’s running through the property.

Maurice Jackson:

Speaking of the Big Vein in the Appleton Fault Zone, at the conclusion of our last interview, you stated that, “the Big Vein may be the first of many occurrences and that the ideal situation is finding a string of pearls along the Appleton Fault Zone.” Let’s see if the ideal has the potential to come to fruition. Let’s visit the Appleton Fault Zone as earlier today, Labrador Gold announced till results of pristine gold grains. Dr. Moss, what can you share with us?

Dr. Roger Moss:

Labrador recently conducted a pretty big till sampling survey over the lowermost, southernmost two licenses of the Kingsway Project. And I think there was 57 till samples in total, and we got some nice results and the key here, and I think you said it twice, I’m going to say it again, is pristine. Pristine gold grains and that means that these grains haven’t traveled very far from their source, and that’s what we see here in these results.

Dr. Roger Moss:

If I may just digress a little bit so that I can explain why these pristine grains are so important. We’re looking at rocks and grains that have been dumped out of glaciers as they melt and recede, so when the glaciers move across the rock, they scrape and scour the bedrock and they entrain all the material that they’re scouring and they carry it with them, and when they recede and melt, they start dropping that material all the way back to the source, so the more pristine the gold grains are, the closer to the source they would have been because you can’t transport these very flaky gold grains very far without completely modifying their shape.

Dr. Roger Moss:

And so, in terms of gold grain morphology for till sampling, we talk about pristine, closest to the source. Modified, further away, maybe around half a kilometer or more, and then reshaped where the gold grains are totally bent onto themselves and more rounded, and that’s furthest away from the source and probably up to over a kilometer away from the source. So, the pristine grains that we have, they indicate that those grains are very close to the source of mineralization that they came from.

Maurice Jackson:

Identifying the source, mode of transportation, along with pristine gold is a huge success. Does today’s release bode well on the ideal of having a string of pearls along the Appleton Fault Zone?

Dr. Roger Moss:

Oh, absolutely! To give you an example, and this is where it gets really exciting because we had a till sample that was taken right next to Big Vein, and it had something like 165 grains of gold in total and something like 80% of them were pristine. That’s great. So, it hadn’t come very far from the source, but we know that Big Vein has visible gold in there. We found a big boulder last year of quartz vein with visible gold in it, so it’s not a big jump to say that, “Well yeah, sure. That till sample came from Big Vein.” It seems to be a reasonable idea, but the results that we announced today, there are two samples, another one with 165 grains of gold, somewhere just over 90% of them pristine, very close to the source and the other one, 311 grains of gold, just over 80% pristine.

Dr. Roger Moss:

311 grains of gold is almost double the number of grains of gold that we found in the sample next to Big Vein and that occurs 700 to 800 meters northeast of Big Vein, so that means that the gold grains in those samples did not come from Big Vein. They came from somewhere much closer to the sample locations, so this goes back to my pearls on a string story, and we’re just adding pearls to the string with these till samples. It’s very exciting. It means that Big Vein is likely not the only occurrence that we’re going to be drilling, and there’s definitely more to be found along this Appleton Fault Zone.

Maurice Jackson:

Speaking of extending the string, Labrador Gold has embarked on a 50,000-meter drill program this spring. What work is currently being conducted on-site, and do you have any updates on when we may expect more assays?

Dr. Roger Moss:

Oh, that’s what everybody asks, of course. You got to ask it at some point and the answer is always the same. The labs are backed up, we’re getting results, but they’re much slower, and it seems like as every week goes by the turnaround time gets longer. One of our guys was at the lab yesterday and he came back, and he said, “Roger, you won’t believe the number of samples that are in that lab waiting to be assayed.” He said, “There are bags and bags and bags, just waiting to be assayed.”

Dr. Roger Moss:

I said, “Man, you should have taken a photograph, and that could be my answer when I get asked that question. ‘Look, folks this is what it’s like, the labs are jampacked”. We are getting results in, we will be putting out more results from the drilling. It’s going well, and yeah, I know patience is not the biggest trait of some investors, but you know what? I think that we’re going to be there. When these results come in, it’s going to be good, and I think we’ve got a long way to go yet, so yeah, I think patience is definitely required here.

Maurice Jackson:

Leaving the Kingsway Gold Project, let’s get into some numbers. Sir, please provide the capital structure for Labrador Gold.

Dr. Roger Moss:

Right now, we have around 150 million shares outstanding, and probably another 50 million warrants and options, so just over 200 million are fully diluted. We have 35 million in the bank. We don’t have any debt. So yeah, I think we’re in a pretty good position to keep on with this exploration that we’re doing and to keep going.

Maurice Jackson:

In closing, Dr. Moss, what would you like to convey to shareholders?

Dr. Roger Moss:

Well, earlier in the season when we were drilling, and it can be frustrating sometimes when we’re not hitting as often as we would like or we don’t see the results that we would like, but of course not every hole is going to hit, but I just tell myself, “Don’t stop believing,” and that’s the name of the game here. You have to believe as a geologist in this industry, you got to believe that you’re going to find the deposit that you’re looking for. And I think all indications right now are that we’re on the right track, and it’s a matter of time before we see something significant.

Maurice Jackson:

Dr. Moss for readers that wants to get more information about Labrador Gold, please share the contact details.

Dr. Roger Moss:

Yeah, you can email info@labradorgold.com, www.labradorgold.com is our web address. And I would recommend people look at our Twitter feed @LabGoldCorp. We post a lot of information on Twitter. YouTube is another channel, our YouTube channel, lots of videos there, so there’s a lot of information out there besides what’s on the website, but yeah, Twitter and YouTube both are channels that we use fairly extensively.

Maurice Jackson:

Dr. Moss, it’s been a pleasure speaking with you. Wishing you and Labrador Gold the absolute best, sir.

And as a reminder, I am a licensed representative to buy and sell precious metals through Miles Franklin Precious Metals Investments, where we have several options to expand your precious metals portfolio, from physical delivery of gold, silver, platinum, palladium, and rhodium, to offshore depositories, and precious metals IRA’s. Give me a call at 855.505.1900 or you may email: Maurice@MilesFranklin.com.  Finally, please subscribe to www.provenandprobable.com, where we provide: Mining Insights and Bullion Sales, subscription is free.

Categories
Junior Mining

NV Gold Reviews Upcoming Programs and Reports Board Change

August 6, 2021

VANCOUVER, BC / ACCESSWIRE / August 6, 2021 / NV Gold Corp. (TSXV:NVX)(OTCQB:NVGLF)(FSE:8NV) announced today that Dr. Quinton Hennigh is retiring as a director of the Company. Dr. Hennigh has generously served as an NV Gold board member since its inception in 2009. Dr. Hennigh is resigning from all of his numerous board positions to fully focus on his new position with CRESCAT Capital. He will, however continue as a Board Advisor to the NV Gold. “The management and fellow directors of NVX join me in wishing Quinton well in his new position and sincerely thank him for his extensive contributions to our Company,” says John Watson, Chairman and CEO.

Mr. Watson also reported that work is moving forward on several of its Nevada projects in preparation for multiple drilling programs over the next 6 months. Notices of Intent are being submitted for drilling programs on the Slumber, Discovery Bay and Pickhandle projects. While drilling equipment remains difficult to procure, the Company expects to be able to begin its drilling campaigns in late September or early October. Equipment and drilling personnel remain in short supply, making exact timing uncertain.

NVX’s singular focus is exploration in Nevada, USA, one of the most prolific gold producing regions in the world. The Company has over 20 property holdings in this highly-competitive region, several of which are advanced and are drill ready. The next year promises to be very exciting, with news and progress on several projects.

About NV Gold Corp.

NV Gold is a well-financed exploration company with a strong treasury and no debt. The company is based in Vancouver, B.C., and is focused on delivering value through mineral discoveries in Nevada, United States, leveraging its highly experienced in-house technical team and strong property position. 2021 and 2022 promise to be NV Gold’s busiest exploration years to date.

On behalf of the Board of Directors,

John E. Watson
President & CEO

For further information, visit the Company’s website at www.nvgoldcorp.com or contact:

John E. Watson, President & CEO
Phone: 1-888-363-9883 
Email: peter@nvgoldcorp.com

Neither the TSX Venture Exchange nor its Regulation Service 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 statements or information. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the Company’s planned exploration activities, the potential for a discovery at its properties, and acquisition of new gold projects 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. Important factors that could cause actual results to differ materially from the Company’s plans or expectations include regulatory issues, market prices, availability of capital and financing, general economic, market or business conditions, timeliness of government or regulatory approvals, the extent to which mineralized structures extend on to the Company’s Projects and other risks detailed herein and from time to time in the filings made by the Company with securities regulators. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as otherwise required by applicable securities legislation.

Categories
Breaking Energy Junior Mining Uncategorized

Hot Chili Limited | $40M Funding Arranged to Acquire Cortadera & Deliver Rapid Resource Growth

Hot Chili Limited (ASX: HCH) (OTCQB: HHLKF) (“Hot Chili” or the “Company”) is pleased to announce that it has successfully arranged a $40 million funding through the issue of new shares at 3.2 cent per share (the “Placement”).

Highlights:

  • Fully underwritten A$5M share purchase plan, and A$35M private placement corner-stoned by mining major Glencore and underpinned by several domestic and overseas institutional investors, as well as some of Hot Chili’s largest shareholders
  • Glencore will emerge as Hot Chili’s largest shareholder with a 9.99% interest
  • New funds secure the final acquisition payment of US$15M for a 100% interest in the Company’s world-class Cortadera copper-gold discovery in Chile – payment to be made immediately
  • Fully funded to deliver a major resource upgrade and Pre-feasibility study for Costa Fuego, current resource standing at 2.9Mt copper, 2.7Moz gold and 9.9Moz silver and 64kt molybdenum (as announced to ASX on 12th October 2020)
  • Further updates expected as the Company advances its drilling, development studies and expected TSXV dual-listing later this year

Ownership of Cortadera, strong cash position, rapid resource growth and backing by Glencore provide a compelling foundation ahead for the Company’s plans to dual list on the TSXV in Canada later this year.

Hot Chili’s Managing Director Christian Easterday said “the $40 million funding secures ownership of Cortadera, and Glencore’s investment and involvement is a strong endorsement of our future”

To access the announcement please click on the link below.Download full announcement here

Cortadera Copper Project

Cortadera’s maiden Mineral Resource positions Hot Chili with the largest copper Mineral Resource and one of the largest gold Mineral Resources for an ASX-listed emerging company. 

The Cortadera maiden Mineral Resource of 451Mt at 0.46% copper equivalent (CuEq) takes the total Mineral Resource estimate for Costa Fuego (Cortadera, Productora & El Fuego) to 724Mt at 0.48% CuEq for 2.9Mt copper, 2.7Moz gold, 9.9Moz Silver and 64kt molybdenum. Cortadera also contains a higher grade component of 104Mt at 0.74% CuEq, and this has strong potential to continue growing rapidly with further drilling.View the Cortadera Project

Hot Chili Limited
Head Office (Perth)
First Floor, 768 Canning Highway,
Applecross, Western Australia 6153

Categories
Junior Mining

Labrador Gold Announces Till Results Including 311 Mostly Pristine Gold Grains

TORONTO, Aug. 05, 2021 (GLOBE NEWSWIRE) — Labrador Gold Corp. (TSX.V: LAB | OTCQX: NKOSF | FNR: 2N6) (“LabGold” or the “Company”) is pleased to announce the results of a till sampling program recently completed along the Appleton Fault Zone on its 100% controlled Kingsway project Newfoundland. The Kingsway project is located within the highly prospective Gander Gold District.

Highlights from the sampling program include:

  • Results of 59 till samples taken over the southern Kingsway property show contained gold grains ranging from 0 to 311 grains. Twelve of the 59 samples contain more than 50 gold grains, of which four contain more than 100 grains.
  • A sample containing 165 gold grains, of which 153 (93%) are pristine, occurs just down ice of Big Vein which is the likely source of the grains in this till sample.
  • Two samples containing 165 (96% pristine) and 311 (83% pristine) gold grains occur approximately 700 metres northeast (down ice) of Big Vein. The large number of pristine grains in these samples indicates a short transport distance suggesting a source other than Big Vein closer to the sample locations.
  • Similarly, a sample containing 101 gold grains, 28 of which are pristine, occurs a further 2.3km to the northeast, again suggesting a separate source.

The results from these till samples, together with anomalous soil geochemistry from the 2020 sampling survey, demonstrate the potential for the discovery of further gold mineralization along the Appleton Fault Zone.

“We are very excited by the possibility of additional gold occurrences to the northeast of Big Vein along the Appleton Fault Zone demonstrated by these sample results,” said Roger Moss, President and CEO of Labrador Gold. “While our primary focus remains to drill the Big Vein target and find more high-grade gold mineralization, our field crews will follow up these till results in the coming weeks to generate targets for drilling later this year.”

Figure 1. Results of till sampling along the Appleton Fault Zone (AFZ).
https://www.globenewswire.com/NewsRoom/AttachmentNg/8de89de5-83a2-4239-9763-4de2d9e99d7f

Labrador Gold Webinar

The Company is pleased to announce that President and CEO Roger Moss will be presenting an update from the Kingsway project in a live webinar taking place on Thursday, August 12th, 2021, at 1 p.m. PT / 4 p.m. ET. The webinar will be hosted by Focus Communications Investor Relations (“FCIR”) and Cory Fleck of the Korelin Economics Report. Participants are encouraged to submit any questions for the company prior to the event by emailing FCIR at info@fcir.ca .

EVENT DETAILS
Date: Thursday, August 12th
Time: 1pm PT / 4pm ET
Registration: https://event.webinarjam.com/channel/LAB

QA/QC

Till samples comprised of 10kg of material were collected, placed in plastic bags and sealed with single use ties. Samples were shipped by transport truck in plastic totes to Overburden Drilling Management (ODM) of Nepean, Ontario for processing. ODM uses custom gravity concentration including shaking tables and micro-panning of the resulting heavy mineral concentrates to recover gold grains from the samples. Any gold grains present are extracted for microscopic study to determine the morphology and dimensions of the grains.

Roger Moss, PhD., P.Geo., President and CEO of LabGold, a Qualified Person in accordance with Canadian regulatory requirements as set out in NI 43-101, has read and approved the scientific and technical information that forms the basis for the disclosure contained in this release.

The Company gratefully acknowledges the Newfoundland and Labrador Ministry of Natural Resources’ Junior Exploration Assistance (JEA) Program for its financial support for exploration of the Kingsway property.

About Labrador Gold

Labrador Gold is a Canadian based mineral exploration company focused on the acquisition and exploration of prospective gold projects in Eastern Canada.

In early March 2020, Labrador Gold acquired the option to earn a 100% interest in the Kingsway project in the Gander area of Newfoundland. The property is along strike to the northeast of New Found Gold’s discovery of 92.86 g/t Au over 19.0 metres on their Queensway property. (Note that mineralization hosted on adjacent or nearby properties is not necessarily indicative of mineralization hosted on the Company’s property). In early July 2020, the Company signed an option agreement to acquire a third license to add to the property package which now covers approximately 77 km 2 . Infrastructure in the area is excellent located just 18km from the town of Gander with road access to the project, nearby electricity, and abundant local water.

The Hopedale gold property covers much of the Florence Lake greenstone belt that stretches over 60 km. The belt is typical of greenstone belts around the world but has been underexplored by comparison. Initial work by Labrador Gold has identified a 3 kilometre mineralized section of the northern portion of the belt in the vicinity of the known Thurber Dog gold showing where grab samples assayed up to 7.8g/t gold.

The Ashuanipi gold project is located just 35 km from the historical iron ore mining community of Schefferville, which is linked by rail to the port of Sept Iles, Quebec in the south. The claim blocks cover large lake sediment gold anomalies that, with the exception of local prospecting, have not seen a systematic modern day exploration program. Results of the exploration to date show gold anomalies in soils and lake sediments over a 15 kilometre long by 2 to 6 kilometre wide north-south trend and over a 14 kilometre long by 2 to 4 kilometre wide east-west trend.

The Company has 150,577,206 common shares issued and outstanding and trades on the TSX Venture Exchange under the symbol LAB.

For more information please contact:

Roger Moss, President and CEO      Tel: 416-704-8291

Or visit our website at: www.labradorgold.com

Twitter: @LabGoldCorp

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release .

Forward-Looking Statements: This news release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such as actual results of current exploration programs, the general risks associated with the mining industry, the price of gold and other metals, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements, except as required by law. Shareholders are cautioned not to put undue reliance on such forward-looking statements.

Categories
Junior Mining

Novo Appoints Michael Spreadborough, Highly Credentialled Executive, as Executive Co-Chairman

VANCOUVER, British Columbia, Aug. 05, 2021 (GLOBE NEWSWIRE) — Novo Resources Corp. ( “Novo” or the “Company” ) (TSX: NVO, NVO.WT & NVO.WT.A) (OTCQX: NSRPF) is pleased to announce that Mr. Michael Spreadborough, currently one of the Company’s independent directors ( refer to the Company’s news release dated January 13, 2021 ), has been appointed by Novo’s board of directors to the role of executive co-chairman.
 

Dr. Quinton Hennigh, the Company’s long-serving chairman and president, is transitioning to non-executive co-chairman of the Company and will remain actively involved with Novo’s exploration teams as efforts continue across the Pilbara and with Novo’s Victorian joint venture partners. Dr. Hennigh will also continue to engage with Novo’s shareholders and stakeholders.

Mr. Rob Humphryson continues in his longstanding role as Chief Executive Officer and director, reporting to the executive co-chairman. Mr Humphryson has successfully transitioned Novo from a pure-play explorer to its exciting new phase as a producer and explorer, and he will continue in his role to drive progress across operations and including a heightened focus on Novo’s mechanical sorting programs.

The change to the executive team structure will drive the next phase of Novo’s growth as the premier producer and explorer in the Pilbara region, along with the full exploitation of Novo’s interests in Victoria, Australia.

Novo remains focused on sustaining long-life production using its Golden Eagle processing facility, developing mechanical sorting technology to transform the exploitation of Novo’s nuggety conglomerate deposits, and to continue its focused exploration programs on the highly prospective 14,000 km 2 Pilbara exploration tenements.

“Mr. Spreadborough joined the Company in January 2021 and immediately became an integral part of the team,” commented Dr. Hennigh. “Michael brings a wealth of Australian resource industry operational experience and international executive public company experience with both TSX and ASX-listed issuers to Novo. As the Company transitions to steady state operations, Michael’s operational expertise and guidance will be invaluable. The other directors and I look forward to advancing Novo’s operational efforts and future growth.”

“Dr. Hennigh has guided the Company from exploration to production in just over a decade, which is a rare feat in the industry,” commented Mr. Michael Spreadborough. “I would like to thank Quinton, the Board, and Novo’s management team for their support and I look forward to guiding the Company to operational excellence.”

About Novo

Novo is commissioning its flagship Beatons Creek gold project while exploring and developing its prospective land package covering approximately 14,000 square kilometres in the Pilbara region of Western Australia. In addition to the Company’s primary focus, Novo seeks to leverage its internal geological expertise to deliver value-accretive opportunities to its shareholders. For more information, please contact Leo Karabelas at (416) 543-3120 or e-mail leo@novoresources.com .

On Behalf of the Board of Directors,

Novo Resources Corp.

“ Quinton Hennigh ”

Quinton Hennigh

Non-Executive Co-Chairman

Categories
Junior Mining Uncategorized

Record Monthly Production From Nullagine Gold Project

HIGHLIGHTS

  • Continuing excellent safety record with no LTIs recorded at the Company’s Beatons Creek conglomerate gold project (the “ Nullagine Gold Project ”)
  • Record monthly gold production of 8,589 oz Au in July , a 46% increase over June
  • 7,899 ounces of gold sold in July, generating revenue of C$17.8 million 1 (A$19.2 million) , a 50% increase over June
  • Record number of grade control assays processed in July (> 68,000 PhotonAssays) , expecting to clear the assay backlog by October 2021
  • Exploration drilling ongoing at near-mine and East Pilbara conglomerate and orogenic basement targets
  • July month-end cash balance of C$49 million , representing 6% growth since June
  • Fair value of Novo’s investments of approximately C$170 million 2
     

“I’m delighted with the continuing positive trajectory of the Nullagine Gold Project as the team adjusts to mining and processing this completely new style of conglomerate gold mineralization,” commented Rob Humphryson, CEO and a director of the Company. “The site team is functioning cohesively as they perfect the geological and mining methods required to underpin a sustained and successful operation.”

VANCOUVER, British Columbia, Aug. 05, 2021 (GLOBE NEWSWIRE) — Novo Resources Corp. ( “Novo” or the “Company” ) (TSX: NVO, NVO.WT & NVO.WT.A) (OTCQX: NSRPF) is pleased to provide an operations update from the Nullagine Gold Project after another record month of growth. Subsequent updates will be provided on a quarterly basis.

NULLAGINE GOLD PROJECT

Gold Production

Gold production at the Nullagine Gold Project for July 2021 was a record month of 8,589 ounces produced during July 2021 ( Figure 1 ).

Figure 1 available at https://www.globenewswire.com/NewsRoom/AttachmentNg/2ca66d77-f304-4d7a-ad47-c07238b102d8

Processing

Mill throughput continued to increase month-on-month. As anticipated in the Company’s news release dated June 8, 2021 , the processing plant’s annualized rate is increasing towards 1.8 mtpa ( Figure 2 ). A total of 148 kt of gold-bearing conglomerate material was processed in July. Recovery rates are also stabilizing around 95%. July’s processing head grade was 1.94 g/t Au.

Mining

Mined mineralized and waste material was lower in July with some of the Company’s contract mining fleet allocated to assist with initial preparatory works for an upcoming tailings storage facility expansion.

Figure 2 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/9b2532ea-2d9e-405f-8d1e-6f1db0f81245

Operational Improvements

Intertek Testing Services (Australia) Pty Ltd (“ Intertek ”) has now fully commissioned two Chrysos PhotonAssay machines at its Maddington (Perth) facility ( Figure 3 ) ( refer to the Company’s news release dated May 18, 2021 ) and processed a total of 68,235 PhotonAssays (including QA/QC samples) in July. This compares favourably against average sample returns per month over the past six months. Assuming that July’s processing rates continue, the Company expects that its backlog of grade control samples will be cleared by the end of October 2021 which will significantly improve the Company’s ability to optimize recovery of mineralized material at the Nullagine Gold Project.

Figure 3 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/ecab7496-1b94-4a0a-b84b-8549698fbcd2

Intertek have also been selected to design and manage a site-based sample preparation laboratory at the Nullagine Gold Project. The lab setup is proceeding rapidly, with commissioning expected to be completed by mid-August. To date the crusher/dryer facility, ducting refurbishment, and pad extensions have all been completed, with lab personnel expected to arrive on site early next week.

Exploration

Exploration works at the Nullagine Gold Project accelerated during June as reverse circulation (“ RC ”) drilling was completed at several conglomerate (Beatons Extended and Skyfall) and orogenic basement (Margies, Cutlass and AU81 north) targets, all located within a 50 km radius of the Company’s Golden Eagle processing facility. A series of additional high priority targets more recently delineated within the Nullagine Gold Project area by detailed geological mapping, rock chip sampling and soil sampling are also scheduled for drill testing in the latter half of 2021 (Daisy Central, Red Ensign, GENNE, Parnell, Vulture).

Further afield, RC drilling commenced in July at one of Novo’s high priority orogenic vein targets at the Talga Project ( Figure 4 ), testing strike and depth potential, and grade continuity of the mineralised lode systems at McPhees and NW Australian. Rock samples collected by Novo combined with detailed mapping define a mineralized corridor approximately three kilometres long and include assay results with best grades of 81.4 g/t Au, 46.9 g/t Au, 35.1 g/t Au and 30.0 g/t Au (refer to the Company’s news release dated June 3, 2021 ). These results are not necessarily representative of mineralization at Talga Talga. This prospect is located some 30 km to the north of the town of Marble Bar (150km north of Nullagine) and is suitable for haulage to the Company’s Golden Eagle processing facility at the Nullagine Gold Project.

Figure 4 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/98935ffd-3258-41e4-b5ba-22f594d488d1

Novo Financial Position

Novo’s cash position and working capital remains robust, with cash reserves of C$49 million as at July 31, 2021 as compared to cash reserves of C$46.3 million as at June 30, 2021. Operational cash inflows accounted for most of this increase, with only approximately C$0.6 million attributable to stock option exercises and asset dispositions.

In addition to its cash reserves, the Company’s portfolio of investments held a fair value of approximately C$170 million 2 as at July 31, 2021. Volatility in the value of the Company’s portfolio is mostly attributable to the Company’s 9.83% holdings in New Found Gold Corp. (TSXV: NFG).

Dr. Quinton Hennigh (P.Geo.) is the qualified person, as defined under National Instrument 43-101 Standards of Disclosure for Mineral Projects, responsible for, and having reviewed and approved, the technical information contained in this news release. Dr. Hennigh is a director of Novo and its president and chairman.

Cautionary Statement

The decision by the Company to produce at the Nullagine Gold Project was not based on a feasibility study of mineral reserves demonstrating economic and technical viability and, as a result, there is an increased uncertainty of achieving any particular level of recovery of minerals or the cost of such recovery, including increased risks associated with developing a commercially mineable deposit. Historically, such projects have a much higher risk of economic and technical failure. There is no guarantee that that anticipated production costs will be achieved. Failure to achieve the anticipated production costs would have a material adverse impact on the Company’s cash flow and future profitability.

About Novo

Novo is commissioning its flagship Beatons Creek gold project while exploring and developing its prospective land package covering approximately 14,000 square kilometres in the Pilbara region of Western Australia. In addition to the Company’s primary focus, Novo seeks to leverage its internal geological expertise to deliver value-accretive opportunities to its shareholders. For more information, please contact Leo Karabelas at (416) 543-3120 or e-mail leo@novoresources.com .

On Behalf of the Board of Directors,

Novo Resources Corp.

“ Quinton Hennigh ”

Quinton Hennigh

Chairman and President

Forward-looking information

Some statements in this news release contain forward-looking information (within the meaning of Canadian securities legislation) including, without limitation, planned mining and processing activities; that the backlog of PhotonAssays is expected to be cleared by October 2021; and that the processing plant’s annualized rate is expected to reach 1.8 mtpa. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, without limitation, customary risks of the resource industry and the risk factors identified in Novo’s annual information form for the 11-month fiscal year ended December 31, 2020, which is available under Novo’s profile on SEDAR at www.sedar.com. Forward-looking statements speak only as of the date those statements are made. Except as required by applicable law, Novo assumes no obligation to update or to publicly announce the results of any change to any forward-looking statement contained or incorporated by reference herein to reflect actual results, future events or developments, changes in assumptions or changes in other factors affecting the forward-looking statements. If Novo updates any forward-looking statement(s), no inference should be drawn that the Company will make additional updates with respect to those or other forward-looking statements.

1 Converted to Canadian dollars using the July 1 – 31, 2021 average foreign exchange rate of 0.9294.

2 This value excludes the fair value of warrants held in GBM Resources Ltd. and Kalamazoo Resources Limited. Novo’s ability to dispose of its investments is subject to certain thresholds pursuant to its senior secured credit facility with Sprott Private Resource Lending II (Collector), LP. Please refer to the Company’s management’s discussion and analysis for the 11-month fiscal year ended December 31, 2020, which is available under Novo’s profile on SEDAR at www.sedar.com. Novo’s investment in New Found Gold Corp. is subject to escrow requirements pursuant to National Instrument 46-201 Escrow for Initial Public Offerings . The value of Novo’s holdings in Elementum 3D, Inc. (“ E3D ”) is based on E3D’s most recent financing price of US$2.50 per share. Except for its investment in E3D, the fair value of Novo’s investments is based on closing prices of its investments and relevant foreign exchanges rates as at July 31, 2021.