CSRNF - Canstar Discovers New Visible Gold Occurrences and Commences Drilling at Golden Baie Project in Newfoundland
(TheNewswire)
Toronto, Ontario – TheNewswire - June 8, 2021– CANSTAR RESOURCES INC. (TSXV:ROX ) & ( OTC:CSRNF) (“ Canstar” or the “Company ”) is pleased to announce thatdiamond drilling has commenced at its Golden Baie Project in southernNewfoundland. The Company is also pleased to report that itsrecently commenced field exploration activities have already yieldedseveral new significant discoveries on the Golden Baie Project.
Commencement of Diamond DrillProgram
Canstar contracted Majors Contracting Ltd. of DeerLake, Newfoundland, for a phase 1 drill program that will consist of aminimum of 2,500 metres of diamond drilling using a track mounted rig. Drilling has now commenced and will test for the verticalcontinuation of gold mineralization identified at or near surface andalso to aid with structural analysis and interpretation. Initialassay results from the drill program are anticipated in lateJuly.
Rob Bruggeman, President & CEO of Canstar, stated:“The Golden Baie Property is large and very prospective for orogenicgold mineralization. Our 2021 exploration program is already yieldingnew gold occurrences along the Little River Trend. We are alsoexcited about the commencement of drilling, as this will be the firstdrill testing at Golden Baie in over a decade.”
Visible gold discoveries along theLittle River Trend.
At the Blow Out Prospect a flake of loose gold wasrecently found on a quartz vein (Figure 1) in an enlarged andre-washed exploration trench where historic assays of 30 g/t gold wereobtained from quartz veins in arsenopyrite bearing metasediments. Inbetween the Kendell and Blowout prospects, the Company’s prospectorsalso discovered two float boulders with visible gold. The gold occursin recrystallized quartz very similar to that seen at the KendellProspect, located about 2 km to the southwest. The source of theauriferous float samples has not yet been determined and assay resultsare pending.
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Figure 1 - New visible goldoccurrences identified at the Blow Out Prospect (left) and in floatsamples between the Kendell and Blow Out Prospects (right)
New Hillside Showing
Recent prospecting work along the Little River Trend,between the Kendell and Blow Out prospects, also identified a newtarget that has been named the Hillside Showing. The HillsideShowing consists of sheared metasedimentary rocks with abundant quartzveining and coarse arsenopyrite (Figure 2) that is northeast-strikingwith a west-dipping fabric, which mirrors structural elements observed at the Kendell and Blow Outprospects. Assays are pending but it is expected that the HillsideShowing will be one of multiple gold occurrences that will be drilltested at the on the Little River Trend in the next two months.
Figure 2 . Coarse arsenopyritemineralization in metasediments at the Hillside Showing.
Expansion of Trenches at the KendellProspect
In the fall of 2020, the Company conducted trenching atthe Kendell Prospect. Trench TGB-20-01 yielded a grab sampleassaying 211 g/t gold and the best channel sample intercepts on theGolden Baie Property to date, including 10.2 g/t gold over 3.0 metresand 6.2 g/t gold over 5.0 metres (see newsrelease dated Nov. 30, 2020). InMay 2021, the trench was extended along strike (NE-SW). The trenchwas also expanded perpendicular to strike in the northwest direction,where a thick section (~4m) of abundant, visible gold bearing quartzveins in strongly sheared metasediments was identified. The grabsamples from the newly identified quartz veins assayed up to 34 g/tgold and this will be one of the early targets in the current drillprogram ( Note: the reader is cautioned that rockgrab samples are selective by nature and values reported may notrepresent the true grade or style of mineralization across theproperty.)
Focus on the Blow Out Prospect andKendell Prospect Area
There are over 20 known gold occurrences at surface onthe Golden Baie Property but the current exploration program isfocusing primarily on the area from the Kendell Prospect to the BlowOut Prospect (Figure 3). The Blow Out Prospect consists of stronglysheared-mylonitic fabrics within duplex packages, similar to thethrust system identified at the Kendell Prospect where multiplevisible gold occurrences were identified in 2019 and 2020.
Until recently all gold occurrences along the LittleRiver Trend had been disseminated mineralization associated withsulphides. The 2019 discovery of coarse free gold at the KendellProspect and now at two other points up to 2.1 km to the northeast isa very positive development as it indicates the right conditionsexisted for the deposition of both disseminated and potentially higher grade free gold bearing quartz veinsalong this trend. Mesoscopic to large scale foldand thrust systems have been identified with associated gold bearingquartz veins, including visible gold. Secondary, dextral shearing ofearlier quartz veins has also been identified as hosting visible goldat the Kendell prospect.
Figure 3 - Golden Baie Propertywith key gold occurrences noted and 2021 drill target area in redellipse.
QA/QC:
All rock and soil samples were collected by companypersonnel and sent to Eastern Analytical of 403 Little Bay Road,Springdale, NL, a commercial laboratory that is ISO/IEC 17025accredited and completely independent of Canstar Resources Inc. Mostrock samples were crushed to 10 mesh (2000 ?m) and a 250g splitpulverized to 150 mesh (89 ?m). The 2020 channel samples wereentirely pulverized to 150 mesh (89 ?m). Splits of the pulverizedsamples were analyzed for gold using fire assay (30g) with AA finishand an ICP-34, four acid digestion followed by ICP-OES analysis for 34additional elements. Soil samples were dried and sieved to 80 mesh(177 ?m) and a split analyzed for gold using fire assay (30g) with AAfinish and an ICP-34, four acid digestion followed by ICP-OES analysisfor 34 additional elements. In addition to Eastern Analytical’squality control program of standards, blanks and duplicates, Canstarutilizes its own reference materials to ensure data quality.
Qualified Person
Bob Patey, B.Sc., P.Geo, Senior Geologist of Canstar,and a Qualified Person as defined by National Instrument 43-101 -Standards of Disclosure for Mineral Projects, is responsible for thescientific and technical data presented herein and has reviewed andapproved this release.
About Canstar Resources Inc.
Canstar is focused on the discovery and development ofeconomic mineral deposits in Newfoundland and Labrador, Canada.Canstar has an option to acquire a 100% interest in the Golden BaieProject, a large claim package (62,175 hectares) with recentlydiscovered, multiple outcropping gold occurrences on a majorstructural trend in south Newfoundland. The Company also holds theBuchans-Mary March project and other mineral exploration properties in Newfoundland. Canstar Resources is based inToronto, Canada, and is listed on the TSX Venture Exchange under thesymbol ROX and trades on the OTCPK under the symbol CSRNF.
For further information, pleasecontact:
Rob Bruggeman, President & CEO
Email: rob@canstarresources.com
Phone: 1-416-884-3556
Website: www.canstarresources.com
Forward-Looking Statements
Neither TSX Venture Exchange nor itsRegulation Services Provider (as that term is defined in the policiesof the TSX Venture Exchange) accepts responsibility for the adequacyor accuracy of this release.
This News Release includes certain"forward-looking statements" which are not comprised ofhistorical facts. Forward looking statements include estimates andstatements that describe the Company’s future plans, objectives orgoals, including words to the effect that the Company or managementexpects a stated condition or result to occur. Forward lookingstatements may be identified by such terms as “believes”,“anticipates”, “expects”, “estimates”, “may”,“could”, “would”, “will”, or “plan”. Sinceforward-looking statements are based on assumptions and address futureevents and conditions, by their very nature they involve inherentrisks and uncertainties. Although these statements are based oninformation currently available to the Company, the Company providesno assurance that actual results will meet management’sexpectations. Risks, uncertainties and other factors involved withforward-looking information could cause actual events, results,performance, prospects and opportunities to differ materially fromthose expressed or implied by such forward-looking information.Forward looking information in this news release includes, but is notlimited to, the Company’s objectives, goals or future plans,statements, exploration results, potential mineralization, theestimation of mineral resources, exploration and mine developmentplans, timing of the commencement of operations and estimates ofmarket conditions. Factors that could cause actual results to differmaterially from such forward-looking information include, but are notlimited to failure to identify mineral resources, failure to convertestimated mineral resources to reserves, the inability to complete afeasibility study which recommends a production decision, thepreliminary nature of metallurgical test results, delays in obtainingor failures to obtain required governmental, environmental or otherproject approvals, political risks, inability to fulfill the duty toaccommodate First Nations and other indigenous peoples, uncertaintiesrelating to the availability and costs of financing needed in thefuture, changes in equity markets, inflation, changes in exchangerates, fluctuations in commodity prices, delays in the development ofprojects, capital and operating costs varying significantly fromestimates and the other risks involved in the mineral exploration anddevelopment industry, an inability to predict and counteract theeffects of COVID-19 on the business of the Company, including but notlimited to the effects of COVID-19 on the price of commodities,capital market conditions, restriction on labour and internationaltravel and supply chains, and those risks set out in the Company’spublic documents filed on SEDAR. Although the Company believes thatthe assumptions and factors used in preparing the forward-lookinginformation in this news release are reasonable, undue reliance shouldnot be placed on such information, which only applies as of the dateof this news release, and no assurance can be given that such eventswill occur in the disclosed time frames or at all. The Companydisclaims any intention or obligation to update or revise anyforward-looking information, whether as a result of new information,future events or otherwise, other than as required by law.
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