(TheNewswire)
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Hole MK-21-025 returns 10.21 g/t Auover 2 meters
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Hole MK-21-028 returns 74m of 0.65g/t Au
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Includes 13m of 1.15 g/t Au and 7m of1.06 g/t Au
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Strike length now over 475meters
Vancouver, Canada - TheNewswire - February 15, 2022 - Nexus GoldCorp. (“ Nexus ” or the “ Company ”)(TSXV:NXS ) ( OTC:NXXGF ) ( FSE:N6E) is pleased to report additional assay results from its second round ofphase two diamond drilling on its 100% owned McKenzie Gold Projectlocated at Red Lake, Ontario.
This second round of drilling, completed in December2021, was designed to test gold anomalies occurring in and aroundhistoric trenches identified earlier in the fall by prospecting teamsemployed by the Company. The program was also testing the potentialstrike extension of mineralization identified in the first round ofphase two drilling in the spring of 2021. The program consisted ofeight drill holes totaling 2000 meters (full summary of the four holesreceived is tabled below).
Highlights from the final four holes from the Decemberdrill program include:
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MK-21-025 returned 2 meters (“m”) of 10.21grams-per-tonne (“g/t”) gold (“Au”), which includes .8m of23.7 g/t Au
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MK-21-028 returned 0.65 g/t Au over 74m, including 7mof 1.16 g/t Au, 6m of 0.94 g/t Au, and 13m of 1.15 g/t Au
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MK-21-029 returned multiple intercepts, including 133mof 0.52 g/t Au, which includes 11m of 1.01 g/t Au, 7m of 1.37 g/t Au,2m of 1.61 g/t Au among others, and 48m of 0.48 g/t Au (see tablefollowing)
Seven of the eight holes drilled in Decembersuccessfully intersected gold mineralization. To date Nexus hasdrilled 30 holes at McKenzie, with 27 returning gold values of 1gram-per-tonne gold or better (visit nxs.gold for a complete drilltable under the McKenzie Gold Project tab). Data generated shows amineralized trend that develops south of Perch Lake and continues in anorth/north-westerly direction.
All drill holes were collared in the Dome Stock andsuccessfully cored through granitic rock displaying zones of potassic(“K”) alteration with zones of silica and sericitic alteration;sulphide mineralization consisting primarily of pyrite with lesserchalcopyrite; and occasional molybdenite and sphalerite hosted inquartz carbonate stringers and veins, which was reported occurring inboth alteration styles but in greater amounts in the siliceoussericitically altered granite.
The following table includes results from the finalfour holes drilled in December 2021:
DRILL HOLE | UTM_E | UTM_N | ELEV (m) | AZIMUTH | DIP | FROM | TO | LENGTH | Au g/t |
MK-21-023 | 437725 | 5653016 | 366 | 240 | -45 | 107 | 108 | 1 | 1.32 |
MK-21-025 | 437608 | 5652926 | 362 | 130 | -45 | 66 | 68 | 2 | 10.21 |
Includes | 66 | 67 | .8 | 23.70 | |||||
MK-21-028 | 437718 | 5652729 | 360 | 230 | -45 | 203 | 276 | 74 | 0.65 |
Includes | 207 | 214 | 7 | 1.06 | |||||
And | 220 | 226 | 6 | 0.94 | |||||
And | 260 | 273 | 13 | 1.15 | |||||
Includes | 272 | 273 | 1 | 4.65 | |||||
MK-21-029 | 437725 | 5652342 | 380 | 290 | -70 | 40 | 88 | 48 | 0.48 |
Includes | 47 | 48 | 1 | 3.43 | |||||
And | 53 | 54 | 1 | 1.36 | |||||
And | 58 | 60 | 2 | 1.52 | |||||
And | 80 | 81 | 1 | 1.00 | |||||
115 | 116 | 1 | 1.78 | ||||||
132 | 265 | 133 | 0.52 | ||||||
Includes | 141 | 142 | 1 | 2.57 | |||||
And | 163 | 165 | 2 | 1.61 | |||||
And | 168 | 170 | 2 | 1.49 | |||||
And | 178 | 180 | 2 | 1.47 | |||||
And | 200 | 211 | 11 | 1.01 | |||||
And | 227 | 228 | 1 | 1.82 | |||||
And | 231 | 232 | 1 | 2.67 | |||||
And | 243 | 250 | 7 | 1.37 | |||||
Includes | 243 | 244 | 1 | 6.77 | |||||
And | 264 | 265 | 1 |
“This round of drilling has shown that the longergold intercepts hosted in the silicious and sericitic altered graniteis trending to the north west, towards the historic Trench 3 found inour recent prospecting program,” said VP Exploration, Warren Robb. “We clipped this zone in hole 27 but clearly intersected it inhole 28 adding an addition 50 meters to this zone’s strike extent. The drilling north of Perch Lake has intersected a higher gradingquartz vein which was intersected by holes 24 and 25 and we havetraced it now for 50 meters,” continued Mr. Robb.
“The drilling we’ve done so far at McKenzie hasresulted in the discovery of a well mineralized gold system, combininghigher grade gold in quartz veins with lengthy, near 1-gram interceptsthat permeate out into the intrusives,” said President and CEO, AlexKlenman. “The vast majority of the holes we’ve drilled havereturned positive results. We’ve established almost 500 meters ofstrike length. We are now planning a follow up drill program topursue the mineralization to the north west and extend the knownstrike,” continued Mr. Klenman.
Initial holes from the December drill program,previously reported (NR dated February 9, 2022):
DRILL HOLE | UTM_E | UTM_N | ELEV (m) | AZIMUTH | DIP | FROM | TO | LENGTH | Au g/t |
MK-21-024 | 437725 | 5652960 | 360 | 300 | -45 | 54 | 76 | 22 | 2.19 |
includes | 65 | 66 | 1 | 21.00 | |||||
and | 70.5 | 72 | 1.5 | 24.50 | |||||
MK-21-026 | 437608 | 5652980 | 362 | 190 | -50 | NSR | |||
MK-21-027 | 437718 | 5652792 | 360 | 195 | -45 | 13 | 14 | 1 | 1.64 |
234 | 235 | 1 | 2.54 | ||||||
247 | 270 | 23 | 0.59 | ||||||
includes | 234 | 265 | 1 | 2.76 | |||||
and | 269 | 270 | 1 | 6.31 | |||||
MK-21-030 | 437725 | 5652342 | 380 | 350 | -50 | 75 | 100 | 25 | 0.52 |
includes | 76 | 77 | 1 | 1.84 | |||||
90 | 91 | 1 | 1.14 | ||||||
97 | 100 | 3 | 1.41 | ||||||
107 | 117 | 10 | 0.58 | ||||||
Includes | 111 | 112 | 1 | 3.57 | |||||
135 | 136 | 1 | 1.75 | ||||||
153 | 154 | 1 | 1.12 | ||||||
165 | 187 | 22 | 0.52 | ||||||
Includes | 173 | 179 | 6 | 1.07 | |||||
251 | 263 | 12 | 0.63 | ||||||
Includes | 253 | 259 | 6 | 1.17 | |||||
Includes | 256 | 258 | 2 | 2.41 |
Drill core is logged and sampled in a secure corestorage facility located in Red Lake, Ontario. Core samples from theprogram are cut in half, using a diamond cutting saw, and are sent toActivation Laboratories in Ontario, an accredited independent mineralanalysis laboratory, for analysis. All samples are analyzed for goldusing standard Fire Assay-AA techniques. Certified gold referencestandards, blanks and field duplicates are routinely inserted into thesample stream, as part of Nexus’s quality control/quality assuranceprogram (QA/QC).
Drilling at McKenzie GoldProject
This 2000-meter drill program commenced with the firsthole being drilled to test the northern extent of gold mineralizationidentified by earlier drilling conducted by the Company in April2021 which included holes MK-21-018 and MK-21-019, both of which returned significantgold intercepts (see Company news releases dated May 25 and June 1,2021), and to test gold mineralization recentlyidentified during a fall targeting and prospecting program conductednorth of Perch Lake.
Selective grab samples obtained during the fall programreturned gold assays of ^13.40 grams-per-tonne (“g/t”) gold(“Au”), 7.70 g/t Au, 6.83 g/t Au, 3.54 g/t Au, and 3.51 g/t Au,respectively, confirming mineralization in this new area.
Three historical trenches and a new showing were alsoidentified during the prospecting program (see image 1). The trenches are comprised of quartz veinscontaining clots and patches of semi massive chalcopyrite, pyrite andmolybdenite. The veins are hosted in granite which displays strongpervasive silica flooding. Local discrete shearing in both trenchestrend at approximate attitudes of 330° and dip 70° to 80° to theeast, displaying similar trends and lithologies established in theCompany’s previous drill campaigns.
This second round of diamond drilling was planned toexpand on the results obtained in the Company’s previous drillprograms. These programs outlined a broad zone of goldmineralization in the St. Paul’s Bay area, located in thesouthernmost section of the claim block below Perch Lake.
Significant results from these drill programsinclude:
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MK-20-RC-006: 2.75m of 13.25grams-per-tonne (“g/t”) gold (“Au”) ,including 1m of 36.20 g/t Au (68.75m to 70.5m)
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MK-20-RC-008: 55.5m of 1 g/tAu (67.5m to 123m), including 16m of 1.42 g/tAu, 6m of 2.37 g/t Au, and 9m of 1.14 g/t Au
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MK-21-DD-018: 56m of 1.01 g/tAu (13m to 69m), including 21.5m of 1.84 g/t Au,10m of 3.30 g/t Au, and 1m of 23.1 g/t Au. Other intercepts included37.6m of 2.78 g/t Au (77m to 115m), including 24.7m of 4.05 g/t Au,14m of 7.01 g/t Au, and 1m of 94.2 g/t Au.
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Th e entire length of MK-21-DD-018averaged .99 g/t Au over 198m
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MK-21-DD-019: 136m of 1.25 g/tAu (148m to 285m), including 44.9m of 3.00 g/tAu, 15.5m of 5.25 g/t Au, 29.4m of 1.82 g/t Au, and 6m of 5.45 g/t Au. High-grade intercepts included 1m of 59.8 g/t Au, 1m of 15.5 g/t Au,and 1m of 26.7 g/t Au.
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Hole MK-21-DD-19 ended in mineralization at 285 meters,with an average grade of the hole returning .74g/t Au over 283.4m
See Company news releases, September 3, 2020, May 25,2021, and June 1, 2021, for more details on previous diamond drillprograms.
All reported holes were drilled entirely in a graniticrock of the Dome stock and displayed patchy moderate-to-strong silicaalteration. Silica altered intervals are typically associated withhigh density micro-fracturing and increased molybdenite andchalcopyrite mineralization. Fine-grained fluorescent scheelite wasalso observed. The granite was strongly magnetic, containing 2-3%fine-grained disseminated magnetite.
Figure 2: McKenzie Gold Project, RedLake, Ontario, with nearby advanced prospects, producers, and pastproducers
About the McKenzie GoldProject
The 100%-owned McKenzie Gold Project is anapproximately 1,400-hectare gold exploration project located in theheart of the historic Red Lake gold camp, in western Ontario, Canada. Areas of high-grade gold mineralization have been established withinthe northern portion of the claim block (McKenzie Island), withsignificant gold values having been drilled along a 600-meter strikein the southern portion of the property (St. Paul’s Bay area).
Significant results from the Company’s initial drillprogram in August 2020 include hole MK-20-006 which returned 2.75meters of 13.25 g/t Au, including 1m of 36.2 g/t Au; hole MK-20-007which returned 117.4m of 0.33 g/t Aum including 9.4m of 1.26 g/t Au,and 1.5m of 4.64 g/t Au; and hole MK-20-007, which returned 117.5m of.62 g/t Au, including 55.5m of 1.00 g/t Au, which included 16m of 1.42g/t Au (including 6m of 2.37 g/t Au and 2m of 4.28 g/t Au), and 9m of1.14 g/t Au. See the Company website – www.nxs.gold – for the completeMcKenzie project drill table.
Results from the Company’s initial summer 2020 drillprogram returned values similar to historic drilling in the area,which have been typically higher-grade intercepts over narrow widths(i.e., 0.5m to 1m of > 5 g/t Au). In addition, holes 007 and 008identified a second style of gold mineralization on the McKenzieproperty. These lengthy (> 100m) disseminated, sub and nearone-gram gold intercepts more closely resemble the type ofmineralization being explored at the Hasaga Project, locatedapproximately 5kms to the south-east of the McKenzie project ground.
The Hasaga property is host to the past-producingHasaga and Gold Shore Mines and is strategically located proximal tothe Balmer-Confederation regional unconformity, recognized as animportant geologic feature at the multi-million ounce past andcurrently producing Red Lake area mines. The deposits on the HasagaProject are estimated as hosting an Indicated mineral resource of42.294 million tonnes at a grade of 0.83 g/t gold representing1,123,900 ounces of gold (Indicated)*.
Nexus Amends Dorset OptionAgreement
Nexus Gold Corp. (the“Company”) is pleased to announce that it has reached an agreement(the “Amended Agreement”) with Leocor Gold Inc. (“Leocor”)(CSE: LECR), dated February 8, 2022, pursuant to which it has agreedto amend the terms by which Leocor can acquire the Dorset Gold Project(the “Project”) located in the Province of Newfoundland. TheAmended Agreement replaces the existing property option agreement (the“Option Agreement”) entered into between the Company and Leocor,dated April 22, 2020.
Under the terms of the Amended Agreement, Leocor willcontinue to hold a right to acquire up to a one-hundred percentinterest in the Project. Consideration for the acquisition will nowconsist of the following:
Deadline | Cash Payment | Common Shares |
Initial | $100,000 (Paid) | Nil |
Year 1 | $50,000 (Paid) | Nil |
February 28, 2022 | $200,000 | 333,333 |
February 28, 2023 | $200,000 | 333,333 |
February 28, 2024 | Nil | 333,334 |
Total | $550,000 | 1,000,000 |
Leocor will also assume responsibility for a twopercent net smelter returns royalty on the Project, currently held byUnited Gold Inc. and Margaret Duffitt. All common shares of Leocorissued to the Company will be subject to statutory restrictions onresale for a period of four-months-and-one-day following issuance inaccordance with applicable securities laws.
Alex Klenman is a director and senior officer of boththe Company and Leocor, however the Amended Agreement and the OptionAgreement are not considered related party transactions within themeaning of MultilateralInstrument 61-101, Protection of Minority Security Holders in SpecialTransactions . The Company and Leocor areconsidered to be “non-arms’ length parties” under the policiesof the TSX Venture Exchange, and as a result the Amended Agreement issubject to review by the TSX Venture Exchange.
The Amended Agreement and the Option Agreement havebeen reviewed and approved by the independent directors of each of theCompany and Leocor, but the acquisition of any interest in the Projectby Leocor, under the terms of the Amended Agreement, remains subjectto the approval of the TSX Venture Exchange.
Nexus Appoints Brian Shin to theBoard of Directors
The Company is also please to announce the appointmentof Mr. Brian Shin as a Director of the Company effective immediately.
Mr. Shin specializes in providing financial reporting,corporate finance, auditing, corporate strategy, risk management andother accounting services to both public and private companies invarious industries. He holds the professional designation of CharteredProfessional Accountant (CPA) in B.C. and Canada and CertifiedManagement Consultant (CMC). Mr. Shin has had extensive experience asa consultant, controller and auditor for numerous publicly traded andprivate corporations in several industries in multiple countries suchas Canada, Hong Kong and South Korea.
Alex Klenman, President and CEO of Nexus Gold states,"On behalf of Nexus Gold's Board of Directors, I am very pleasedto welcome Brian Shin to the Company. We are confident that Brian’sexperience and perspective will be of great value to Nexus Gold as theCompany grows."
* Reported lengths are interceptsand are not true widths
^ Grab samples are selected samplesand are not necessarily representative of mineralization hosted on theproperty. All samples were sent to Activation Laboratories in Ontario, anaccredited mineral analysis laboratory, for analysis.
Drill core is logged and sampled ina secure core storage facility located in Red Lake Ontario. Coresamples from the program are cut in half, using a diamond cutting saw,and are sent to Activation Laboratories in Ontario, an accreditedmineral analysis laboratory, for analysis. All samples are analyzedfor gold using standard Fire Assay-AA techniques. Certified goldreference standards, blanks and field duplicates are routinelyinserted into the sample stream, as part of Nexus’s qualitycontrol/quality assurance program (QA/QC). No QA/QC issues werenoted with the results reported herein.
* NI 43-101 Technical Report, HasagaProject, Red Lake Mining District, Ontario, Canada, NTS Map Sheets 52K/13 and 52N/04 by Vincent Jourdain (Ph.D., P.Eng.), John Langton (M.Sc., P. Geo.)& Abderrazak Ladidi (P.Geo.) , February 24 th , 2017.
Warren Robb P.Geo.,Vice President, Exploration, is the designated Qualified Person andhas reviewed and approved the technical information contained in thisrelease. Any historic drill and sample data contained in thisrelease was verified by the QP by comparing reported assay data withCertificates of Analysis documented. The QP has verified mineralshowings and areas of select sampling and the collars of reportedhistoric drill hole locations. It is the QP’s opinion that thedata as presented is adequate and can be relied upon for use in thispress release.
About the Company
Nexus Gold is a Canadian-based gold exploration anddevelopment company with an extensive portfolio of projects in Canadaand West Africa. The Company’s primary focus is on its 100%-owned,98-sq km Dakouli 2 Gold Concession in Burkina Faso, West Africa, andthe approximately 1400-ha McKenzie Gold Project, located in Red Lake,Ontario. The Company is focusing on thedevelopment of its core assets while seeking joint-venture, earn-in,and strategic partnerships for other projects in its portfolio.
For more information, please visit nxs.gold
On behalf of the Board of Directors of
NEXUS GOLD CORP.
Alex Klenman
President & CEO
604-558-1920
info@nexusgoldcorp.com
www.nexusgoldcorp.com
Neither the TSX Venture Exchange norits Regulation Services Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accepts responsibility for theadequacy or accuracy of this release. This news release may containforward-looking statements. These statements are based on currentexpectations and assumptions that are subject to risks anduncertainties. Actual results could differ materially because offactors discussed in the management discussion and analysis section ofour interim and most recent annual financial statement or otherreports and filings with the TSX Venture Exchange and applicableCanadian securities regulations. We do not assume any obligation toupdate any forward-looking statements, except as required byapplicable laws.
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