VLMZF - Volcanic Gold reports results and commencement of drilling at Holly Property
(TheNewswire)
February 3, 2022 – TheNewswire - Vancouver, British Columbia – Volcanic GoldMines Inc. (TSXV:VG) (OTC:VLMZF) reports results received from two holes drilled in October2021 at the Holly property, Guatemala.
“We are pleased to see results from the Hollyproperty which provide positive information for our team,” commentedSimon Ridgway, President and CEO of Volcanic Gold. “We lookforward to expanding the system further with the pending assay resultsand the commencement of additional drilling this month.”
2021 Drilling Summary
Drillholes HDD-21-024 and 025were drilled on the potential northern extension of the La Peña veinsystem, hosted in Paleozoic schistose rocks on the north side of theJocotan fault zone. A trail of quartz vein boulders, thought to be acombination of float and sub-crop, extended north downslope for over500m. These two holes were drilled scissor under this boulder trail toconfirm the northern extension of the La Peña vein system. Whileapparent structural zones hosting weak mineralization were intersectedin both holes, with results up to 1.53m of 207 g/t Ag in hole 024, nosignificant gold mineralization was returned from these holes.
With the continued drilling of the La Peña vein,Volcanic geologists have better defined the structure. The vein’sstrike and dip in relation to the topography would indicate the veinpasses east of the quartz float trail and drill holes HDD-21-024 and025, and therefore, remains open and untested to the north in thePaleozoic schistose rocks. However, apart from hole HDD-21-015 thatcut 15.55m @ 7.67 g/t Au and 615 g/t Ag in the schistose rocks, noother holes have returned strong mineralization in this rock unit.
Results from holes HDD-21-026 to -029 are stillpending. Like many companies in the sector, we are suffering fromsignificant laboratory turn-around times. To mitigate this, we haveshipped equipment into Guatemala in order to crush our own drill coreand surface rock samples. This allows us to ship directly to the assaylaboratory eliminating the long waits at the preparatory lab.
Upcoming Drilling Plan
Drilling will commence within the first week ofFebruary. The focus will be extending the La Peña vein system to thesouth in the younger volcanics and sediments where hole HDD-21-023 cut4.58m @ 79.84 g/t Au and 5,053 g/t Ag, 200m south of Hole HDD-21-015reported above. We will also target mineralization down dip along the200m strike so far established.
Drill holes are also planned at the El Pino vein whereprevious drilling intersected significant results up to 4.23m @ 4.0g/t Au, 136 g/t Ag from veins and veinlets at much higher elevations.Drilling is also planned at the undertested large Ipala structurewhere anomalous gold/silver has been defined in soil and rock samplesover several hundred meters.
Regional Exploration
Regional work continues to identify new target areas,especially along the Motagua Norte structural zone where prospectscontinue to demonstrate visible coarse gold in stream sediments and inrock crushed in the field and panned. The delays in laboratory turnaround time have allowed us to return to this basic method thatgenerated the gold rushes of old. Results of this work are indicatingthat this is an important target area that we have mapped over severalkilometers. The contact of serpentinite bodies with metamorphosedvolcanic rocks appears to localize the quartz bearing fluids that areassociated with free gold yielding values up to 320 g/t Au.
The Company is working with environmental consultantsto complete the studies needed to have these concessions granted withQ1 2022.
Banderas Property
At Banderas the Company continues the effort to regain the sociallicence in order to continue with the exploration work that generatedexcellent result previously. The communities at Banderas suffer fromsignificant poverty and unemployment, and a large percentage of thelocal population would like to see us return, generate employment andassist with community development and infrastructure. The Companyhas access agreements in place with the community covering the drillproject, but further consultation and work is required.
Technical Information
Bruce Smith, M.Sc. (Geology), a member of theAustralian Institute of Geoscientists, is Volcanic’s QualifiedPerson as defined by National Instrument 43-101 - Standards ofDisclosure for Mineral Projects. Mr. Smith has 27 years of mineralexploration experience and has prepared and approved the technicalinformation contained in this news release.
Quality Assurance and QualityControl
Diamond drilling at Holly project followed industrystandard procedures for core drilling and analysis. Drilling iscarried out using NQ and HQ size tooling. Drill core is cut in halfusing a rock saw with one-half of the core then taken as a sample foranalysis. Sample intervals are generally 1m intervals, producingsamples of between 2 to 9 kg. Half-core samples are delivered to theinternationally certified Bureau Veritas Mineral laboratory facilitiesin Nicaragua where the samples are prepared. Assays are completed byBureau Veritas certified laboratories. The samples are fire assayedfor Au and are analyzed for Ag and multi-elements using method codeICP following a four-acid digestion. Overlimits are analyzed usingan appropriate method. Multi-element geochemical standards andblanks are routinely entered into the drill core sample stream tomonitor laboratory performance. Quality control samples submittedwere returned within acceptable limits.
About Volcanic
Volcanic brings together an experienced and successfulmining, exploration and capital markets team focused on buildingmulti-million-ounce gold and silver resources in underexploredcountries. Through the strategic acquisition of mineral propertieswith demonstrated potential for hosting gold and silver resources, andby undertaking effective exploration and drill programs, Volcanicintends to become a leading gold-silver company. Volcanic is a member of the Gold Group of companies, led bySimon Ridgway.
For further information, visit our website at www.volgold.com .
Volcanic Gold Mines Inc.
Simon Ridgway, President and CEO
Neither the TSX Venture Exchange nor the InvestmentIndustry Regulatory Organization of Canada accepts responsibility forthe adequacy or accuracy of this release.
Forward-looking statements
Certain statements contained in this news releaseconstitute forward-looking statements within the meaning of Canadiansecurities legislation. All statements included herein, other thanstatements of historical fact, are forward- looking statements andinclude, without limitation, statements about the Company’s plansfor exploration work in Guatemala. Often, but not always, theseforward looking statements can be identified by the use of words suchas “estimate”, “estimates”, “estimated”, “potential”,“open”, “future”, “assumed”, “projected”, “used”,“detailed”, “has been”, “gain”, “upgraded”,“offset”, “limited”, “contained”, “reflecting”,“containing”, “remaining”, “to be”, “periodically”, orstatements that events, “could” or “should” occur or beachieved and similar expressions, including negativevariations.
Forward-looking statements involve known and unknownrisks, uncertainties and other factors which may cause the actualresults, performance or achievements of the Company to be materiallydifferent from any results, performance or achievements expressed orimplied by forward-looking statements. Such uncertainties and factorsinclude, among others, whether the Company’s planned explorationwork will be proceed as intended; changes in general economicconditions and financial markets; the Company or any joint venturepartner not having the financial ability to meet its exploration anddevelopment goals; risks associated with the results of explorationand development activities, estimation of mineral resources and thegeology, grade and continuity of mineral deposits; unanticipated costsand expenses; and such other risks detailed from time to time in theCompany’s quarterly and annual filings with securities regulatorsand available under the Company’s profile on SEDAR at www.sedar.com. Although the Companyhas attempted to identify important factors that could cause actualactions, events or results to differ materially from those describedin forward-looking statements, there may be other factors that causeactions, events or results to differ from those anticipated, estimatedor intended.
Forward-looking statements contained herein are basedon the assumptions, beliefs, expectations and opinions of management,including but not limited to: that the Company’s stated goals andplanned exploration and development activities will be achieved; thatthere will be no material adverse change affecting the Company or itsproperties; and such other assumptions as set out herein.Forward-looking statements are made as of the date hereof and theCompany disclaims any obligation to update any forward-lookingstatements, whether as a result of new information, future events orresults or otherwise, except as required by law. There can be noassurance that forward-looking statements will prove to be accurate,as actual results and future events could differ materially from thoseanticipated in such statements. Accordingly, investors should notplace undue reliance on forward-looking statements.
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