(TheNewswire)
The Eby-Otto property is located in aprime geological setting with mineralized veins identified at surface,and is proximal to both the Cadillac-Larder Lake Break and an existinghigh-grade gold mine.
Coquitlam, BC – TheNewswire - May 10, 2022 - Canada Silver Cobalt Works Inc. (TSXV:CCW) (OTC:CCWOF) (Frankfurt: 4T9B) (the"Company" or "Canada Silver Cobalt") announcesthat it has recently completed a drone magnetic geophysical survey andhas entered Phase 1 of its 2022 exploration plan for the Eby-Otto goldproperty near the town of Kirkland Lake.
The Company has outlined the planned three explorationphases at the property as follows:
Phase 1: Thefirst phase will consist of an initial site assessment to determinethe logistics of future operations and will provide the Company timeto receive any pending surface exploration work permits that will benecessary. Surveying will be completed for key Standard Iron Bars(SIB), legacy claim posts, and access points to refresh selectexisting cut line grids. An overall geological assessment will becompleted based on field work consisting of geological mapping,stripping key outcrops, and possibly further MMI geochemical ortargeted and detailed ground geophysics if the technical team deems itnecessary.
As part of Phase 1, the Company has recently concludeda drone magnetic survey on the entire claim package conducted byEarthEx Geophysical Solutions Inc. The DroneMag system they useprovides an extremely high-resolution end-product and uses aproprietary automatic obstacle avoidance system which provides asmooth flight path to drape over taller trees and avoid obstacles.This allows the drone to fly as low as possible to achieve the highestpossible resolution. It uses a proprietary navigation system thatallows for longer range RTK (real-time kinematic) controlled autonomywhich results in high quality, clean magnetic imagery. The survey wascompleted at a 25m line spacing which should allow for smallerstructures, such as vein systems, to be resolved and visible.
Phase 2: Thesecond phase of exploration will be based on the results from Phase 1and will expand to include diamond drilling to intercept specificregional structures based on the initial geophysical data provided bythe drone magnetic survey, historic geological data, regionalgeophysics, geological mapping, and existing electromagnetic (EM)surveys completed by geologist Doug Robinson prior to the Company’sacquisition of the property.
Phase 3: Thethird phase of exploration will expand on the drilling and field workoutlined in Phase 2. Once the 3D inversion of the drone mag survey isreceived and the data has been interpreted, the technical team willcorrelate this data with known mineralization that has been identifiedvia field work to better refine the targets, and adjust theexploration accordingly.
The Company now has option agreements on contiguousproperties covering 1,000 ha at Eby-Otto and the area, importantly,includes approximately 5km of strike length along the Eby-Otto Faultand along a major alteration trend (OGS OFR 6184). The property iswithin the Kirkland Lake gold district in northeastern Ontario and islocated within 5km of Agnico-Eagle’s producing, high-grade MacassaGold Mine.
Matthew Halliday, P.Geo., President of Canada SilverCobalt Works, states, “Our geological team is excited to get bootson the ground at Eby-Otto. It is a very promising land package closeto a producing mine with outcropping mineralized veins alreadyidentified. With the recent drone-borne magnetic survey justcompleted, we will assimilate this information with known data and putour existing and pending exploration permits to use. We believehaving a highly prospective precious metals play underway will beconducive in the current market to adding value for shareholders.”
Figure 1: Location of property showing the overallclaim package and locations of existing and pending drill permits.
Qualified person
The technical information in this news release wasprepared under the supervision of Mr. Matthew Halliday, P.Geo., (PGO),President, COO and VP Exploration of Canada Silver Cobalt Works Inc.,a qualified person in accordance with National Instrument43-101.
About Canada Silver Cobalt WorksInc.
Canada Silver Cobalt Works Inc. recently discovered amajor high-grade silver vein system at Castle East located 1.5 km fromits 100%-owned, past-producing Castle Mine near Gowganda in theprolific and world-class silver-cobalt mining district of NorthernOntario. The Company has completed a 60,000m drill program aimed atexpanding the size of the deposit with an update to the resourceestimate underway.
In May 2020, based on a small initial drill program,the Company published the region’s first 43-101 resource estimatethat contained a total of 7.56 million ounces of silver in Inferredresources, comprising very high-grade silver (8,582 grams per tonneun-cut or 250.2 oz/ton) in 27,400 tonnes of material from two sections(1A and 1B) of the Castle East Robinson Zone, beginning at a verticaldepth of approximately 400 meters. Note that mineral resources thatare not mineral reserves do not have demonstrated economic viability.Please refer to Canada Silver Cobalt Works Press Release May 28, 2020,for the resource estimate. Report reference: Rachidi, M. 2020, NI43-101 Technical Report Mineral Resource Estimate for Castle East,Robinson Zone, Ontario, Canada, with an effective date of May 28,2020, and a signature date of July 13, 2020.
The Company also has: (1) 14 battery metals propertiesin Northern Quebec where it has recently completed a nearly10,000-metre drill program on the Graal property; and (2) theprospective 1,000-hectare Eby-Otto gold property close to AgnicoEagle’s high-grade Macassa Mine near Kirkland Lake, Ontario where itwill be exploring in 2022.
Canada Silver Cobalt’s flagship silver-cobalt Castlemine and 78 sq. km Castle Property feature strong exploration upsidefor silver, cobalt, nickel, gold, and copper. With underground accessat the fully owned Castle Mine, an exceptional high-grade silverdiscovery at Castle East, a pilot plant to produce cobalt-rich gravityconcentrates, a processing facility (TTL Laboratories) in the town ofCobalt, and a proprietary hydrometallurgical process known as Re-2Ox(for the creation of technical-grade cobalt sulphate as well asnickel-manganese-cobalt (NMC) formulations), Canada Silver Cobalt isstrategically positioned to become a Canadian leader in thesilver-cobalt space. More information at www.canadasilvercobaltworks.com
“Frank J. Basa”
Frank J. Basa, P. Eng.
Chief Executive Officer
For further information, contact:
Frank J. Basa, P.Eng.
Chief Executive Officer
416-625-2342
Neither the TSX Venture Exchange norits Regulation Service Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accepts responsibility for theadequacy or accuracy of this release.
Caution RegardingForward-Looking Statements
This news release may containforward-looking statements which include, but are not limited to,comments regarding future financings, if any, pursuant to the shortform base shelf prospectus referred to above, and comments thatinvolve future events and conditions, which are subject to variousrisks and uncertainties. Except for statements of historical facts,comments that address resource potential, upcoming work programs,geological interpretations, receipt and security of mineral propertytitles, future financings, availability of funds, and others areforward-looking. Forward-looking statements are not guarantees offuture performance and actual results may vary materially from thosestatements. General business conditions are factors that could causeactual results to vary materially from forward-looking statements. Adetailed discussion of the risk factors encountered by Canada SilverCobalt is available in the Company’s Annual Information Form datedJuly 19, 2021 for the fiscal year ended December 31, 2020 availableunder the Company’s profile on SEDAR at www.sedar.com.
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