Stakeholder Gold Corp. (TSXV:SRC) (“Stakeholder Gold” or the “Company”) is pleased to announce further assay and geochemical results confirming the discovery of the new “Trail Hill” Midas-style gold-silver zone in its first core drill hole on the Goldstorm property in Nevada.
Stakeholder Gold Corp. (TSXV:SRC) (“Stakeholder Gold” or the “Company”) is pleased to announce further assay and geochemical results confirming the discovery of the new “Trail Hill” Midas-style gold-silver zone in its first core drill hole on the Goldstorm property in Nevada. The property is located 17 km northwest of the Midas Mine of Klondex Mines Ltd., which is being acquired by Hecla Mining Company, and 18 km northeast of the Twin Creeks Mine of Newmont Mining Corporation.
Gold-silver mineralization in the basal “S Fault” contact zone of the Trail Hill gold-silver target area was re-assayed with narrower, more select samples. The rocks above this fault zone were oxidized and quartz-silica-pyrite altered and mineralized from a core hole depth of approximately 7 metres to 138 metres. The drillhole, inclined at -57 degrees, evidenced strong silica-pyrite flooding with local spots of an unidentified black, oxidized mineral across much of this zone. Stakeholder re-assayed the fault contact zone on both sides of the S Fault. The upper 0.43 m basal limonitic fault breccia, between 137.68 m and 138.11 m, assayed 18 ppb gold and a strongly anomalous 3.39 g/t silver. The first interval below the fault, between 138.11 m and 138.72 m, contained an abundant amount of the black mineral in brecciated, altered, dark gray basalt and sedimentary rock that assayed 54 ppb gold, 137 ppm (4 ounces per ton) silver (a Goldstorm project high for silver) and 109 ppm arsenic, with elevated copper, molybdenum and antimony–indicating that the S Fault could be a feeder to gold-silver mineralization. The third, basal 0.91 m interval, down to 139.63 m, assayed a high 110 ppb gold, 2.16 ppm silver and 183 ppm arsenic in medium-gray fractured mudstone and tuff.
These data indicate that the rocks on both sides of the S Fault are mineralized, thus the fault may be a feeder to gold-silver mineralization. These data are interpreted as being suggestive of a silver halo around gold mineralization, similar to rocks around the Hollister Mine of Klondex/Hecla and the adjacent Silver Cloud property. We interpret that any main boiling zone for gold-silver mineralization in the Trail Hill Zone at Goldstorm would be at greater depths than those reached in this drill hole.
The targets for drilling at Goldstorm are the Trail Hill, Clayton, and Prochnau vein systems, below the 1,830 m elevation level. This is the approximate level of the paleo-water-table extant 15.4 million years ago in the Miocene Epoch when the gold mineralization has been interpreted to have occurred in the Midas Gold Trend at Goldstorm and at the Midas, Hollister and Silver Cloud mines.
See Figures 1 and 2 to view the exploration model and the limiting spatial characteristics envisioned for this gold-silver system. Phase 2 drilling is planned to begin as soon as weather permits, and will test the vein systems below the 1,830 m elevation.
Figure 1: Midas Gold Trend Gold Zones Depth Comparison Section Looking Northerly
Figure 2: Midas Mine Ore Zones — Long Section, Projected Goldstorm Holes
The drill core was submitted under chain-of-custody procedures to ALS Chemex Laboratory in Elko, Nevada. The samples were processed using 50-gram aliquots for fire assay analyses with gravimetric finish for gold and silver determinations. Multi-element ICP geochemical analyses of pulps were run after using a 4-acid dissolution technique.
“The Trail Hill Zone is interpreted to be a significant Midas-style gold-silver target on the basis of structure, pathfinder metals and location. Key characteristics reflect similar structural manifestations above gold and silver mineralization at the significant Midas and Hollister mines, which are bounded by elevation at the approximate height of the paleo-water-table of the Miocene Epoch. Follow-up in the near term will include a new test of the Trail Hill Zone at greater depths,” stated Rick Redfern.
The Company’s combined ground position now encompasses 3,806 contiguous acres. The enhanced land position surrounds both the Clayton Veins and the Prochnau Veins systems, and includes their respective strike extensions. Success with drilling would open up the prospect of considerable expansion on strike and depth extensions.
Richard R. Redfern, C.P.G. and M.S. (Geology), Geological Consultant for Stakeholder Gold, is the Qualified Person for the Company, as defined by NI 43-101, who has reviewed and approved the contents of this press release.
About Stakeholder Gold
Stakeholder Gold Corporation is a Canadian mineral exploration company headquartered in Toronto, Canada. The primary focus of the Corporation during 2018 is to explore the Goldstorm property in Elko County, Nevada (USA). Stakeholder is also exploring on its 100% owned Ballarat Gold Project located in the White Gold District of the Yukon Territory, Canada.
For further information on the content of this release or about Stakeholder Gold, please contact:
Christopher J. Berlet BSc (Mining), CFA
President & CEO
416 525 – 6869
Forward Looking Information
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