VANCOUVER, Dec. 18, 2018
- Initial work program at Prinsep returns a grab sample of 8 g/t gold
- Unconstrained gold in soil anomalies at the Eagle and Hawk prospects
- Crow area returns anomalous gold and copper values
VANCOUVER, Dec. 18, 2018 /CNW/ - NxGold Ltd. ("NxGold" or the "Company"), (TSXV: NXN) is pleased to provide additional results from its most recently completed field program at the Mt. Roe Project located in the Pilbara region of Western Australia. Results are now available from gridded soil sampling and prospecting samples from follow-up work on anomalous stream sediment samples as part of the continuing systematic approach to target area identification and drill target refinement at Mt Roe. Results from an initial program at Prinsep are also available. On-going metal detecting work has also identified additional nuggets consistent with our targeting approach.
A total of 7 stream sediment samples were collected and a soil grid with 80 m line spacing and 80 m sample spacing was taken for a collection of 60 samples. This was an initial work program focused on historical areas worked by prospectors using metal detectors. No significant stream sample values were returned. Soil sample results ranged from detection limit to a high of 180 parts per billion ("ppb") gold, with areas of weak base metal and silver anomalies. However, eleven selective rock grab samples were collected which returned values from detection limit to 8.6 g/t Au. Expanded soil grids and additional prospecting is required to better understand the controls on mineralisation at Prinsep.
Soil sampling (86 samples) has defined a possible intersection of a north-northwest trending feature and a northeast trending feature associated with the core of the magnetic high feature previously identified. The anomalous zone is approximately 500 m long and varies from 60 m to 120 m in width and may explain only a small portion of the +1.2 km long section of anomalous stream samples previously reported. The soil samples returned gold values ranging from detection limit to 244 ppb gold with the anomalous zone defined by values greater than the 80th percentile value (17 ppb gold). The anomalous zone is not constrained to the north or southwest. Expanding the soils lines to the northwest and southwest in an effort to identify the ultimate extents of anomaly along with selective infill sampling to better define the core anomaly may be included as part of the next field program.
Soil sampling (26 samples) has identified a roughly 100 m by 300 m anomalous area that is still open to the northwest and southwest. The soil samples returned gold values ranging from detection limit to 828 ppb gold with the anomalous zone defined by values greater than the 80th percentile value (17 ppb gold). This anomalous zone explains the previously reported highly anomalous stream sediment samples. Next steps for this area include adding additional soils lines to close off the soil anomaly to the northeast, southeast and southwest and detailed prospecting and sampling of surface exposures.
Following up on anomalous stream samples, three rock grab samples were collected from sub-cropping vein material and float vein material. These samples returned anomalous gold, copper, and silver values as presented in the table below and may explain the single high value stream sample previously reported from this area.
veins amygdaloidal basalt with coarse epidote.
vein breccia, chalcopyrite, chalcocite, malachite and limonite.
Float vein breccia, chalcopyrite, chalcocite, malachite and limonite, 40 cm wide.
Additional prospecting and a detailed soil grid program will assist in further identifying a target in this area.
Soil sampling (27 samples) has identified a roughly 100 m by 300 m anomalous area that is still open to the northeast and southwest; additionally, a single sample on the edge of the grid indicates the potential for a second soil anomaly to the west of the Swan Area which could correspond to a previously reported anomalous stream sample. The soil samples returned gold values ranging from detection limit to 152 ppb gold with the anomalous zone defined by values greater than the 80th percentile value (17 ppb gold). This anomalous zone explains the previously reported highly anomalous stream sediment samples. Next steps may include additional soil lines to the northeast and west to identify the extents of the current soil anomalies, trenching across the known Swan Area structure on strike from previous trenching or scout drilling across and at depth of the known auriferous structure.
Christopher McFadden, Chief Executive Officer commented, "It is pleasing that in a relatively short period of time our team has evaluated the property for different mineralisation styles and advanced to the drill target delineation stage through the systematic exploration of the Mt Roe tenements. This systematic approach will also be used to evaluate the Prinsep tenements which are showing interesting targets and the newly granted tenements at Mt. Roe."
Neither TSX Venture Exchange nor its Regulations Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
NxGold is a Vancouver-based exploration company. The Company owns 80% of the Mt. Roe gold project located in the Pilbara region of Western Australia. The Company has also entered into an earn-in agreement with Meliadine Gold Ltd. to earn up to a 70% interest in the Kuulu Project (formerly known as the Peter Lake Gold Project) in Nunavut.
The on-going sampling programs of stream sediments, soils, rocks and chip samples involve a quality assurance and quality control (QA/QC) program that includes the collection of field duplicates and insertion of certified reference materials at frequency of roughly one in ten samples. Rock samples, stream samples and some chip samples are selective in nature and are not representative of mineralisation on the property. All samples have been sent to Intertek Genalysis in Perth, WA for preparation and analysis. Rock and chip samples were analysed using a 50g fire assay for gold and a 10g aqua regia, 32-element inductively coupled plasma optical emission spectroscopy ('ICP-OES'). Samples with visible gold or returning >10 g/t gold by fire assay are subject to a screen fire assay analysis. Stream sediment samples were analysed using 1000g bulk leach extractable gold analysis with Leachwell accelerant followed by ICP-MS with a 10g sample split for aqua regia 32 element ICP-OES analyses.
Stream samples were field screened fine fraction (minus 80 mesh) with a collected mass of 10-12kgs. Soil samples were field screened to minus 4mm with a collected mass of approximately 4kg. All samples were split by a two-tier riffle splitter in a secure storage facility into a laboratory sample and a retained reference sample.
Surface material was scraped away, followed by loosening of material with a prospector's pick and lifting the material onto a sieve screen with a plastic scoop. Samples where sieved down in the field to minus 4 mm, directly into a sample bag. 4 kg of sieved material was collected for each sample. Sample depths went down to approximately 25 cm at each site. Samples were sealed in a cloth bag until split by a two-tier riffle splitter in a secure storage facility. Locations of each sample were recorded by a handheld GPS.
NxGold advises that the Mt Roe Gold project is an early stage exploration project utilising an evolving gold deposit model for a paleo-placer style of mineralisation. Abundant exploration work is required to understand the previously unrecognised sedimentary geology and confirm if the source(s) of the coarse gold is located within NxGold Ltd.'s tenements. There is no certainty of the discovery nor definition of a mineral resource.
The scientific and technical information in this news release has been prepared or approved by Darren Lindsay, P.Geo., Vice President Exploration and Development, of the Company, a "qualified person" within the meaning of National Instrument 43-101 – Standards of Disclosure for Mineral Projects.
Cautionary Statement Regarding "Forward-Looking" Information
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. "Forward-looking information" includes, but is not limited to, statements with respect to activities, events or developments that the Company expects or anticipates will or may occur in the future including whether the proposed acquisition will be completed. Generally, but not always, forward-looking information and statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or the negative connotation thereof or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative connotation thereof.
Such forward-looking information and statements are based on numerous assumptions, including among others, that general business and economic conditions will not change in a material adverse manner, that financing will be available if and when needed and on reasonable terms, and that third party contractors, equipment and supplies and governmental and other approvals required to conduct the Company's planned exploration activities will be available on reasonable terms and in a timely manner. Although the assumptions made by the Company in providing forward-looking information or making forward-looking statements are considered reasonable by management at the time, there can be no assurance that such assumptions will prove to be accurate.
Forward-looking information and statements also involve known and unknown risks and uncertainties and other factors, which may cause actual events or results in future periods to differ materially from any projections of future events or results expressed or implied by such forward-looking information or statements, including, among others: negative operating cash flow and dependence on third party financing, uncertainty of additional financing, no known mineral reserves or resources, reliance on key management and other personnel, potential downturns in economic conditions, actual results of exploration activities being different than anticipated, changes in exploration programs based upon results, and risks generally associated with the mineral exploration industry, environmental risks, changes in laws and regulations, community relations and delays in obtaining governmental or other approvals.
Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information or implied by forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information. The Company undertakes no obligation to update or reissue forward-looking information as a result of new information or events except as required by applicable securities laws.
SOURCE NxGold Ltd.
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