Northstar Gold Corp. reports the Company has acquired by way of purchase agreement the Rosegrove Property, situated 16 km south of the town of Kirkland Lake and Kirkland Lake Gold’s Macassa SMC gold mine, and 1.5 kilometres northwest of Northstar’s flagship Miller Gold Property, where the Company recently completed a 5,023 metre, 28 hole diamond drill program targeting near-surface high-grade and bulk-tonnage …
Northstar Gold Corp. (CSE: NSG) (“Northstar” or the “Company”) reports the Company has acquired by way of purchase agreement the Rosegrove Property, situated 16 km south of the town of Kirkland Lake and Kirkland Lake Gold’s Macassa SMC gold mine, and 1.5 kilometres northwest of Northstar’s flagship Miller Gold Property, where the Company recently completed a 5,023 metre, 28 hole diamond drill program targeting near-surface high-grade and bulk-tonnage gold-telluride mineralization. The purchase price is $10,000 (Cdn.) and the issuance of 50,000 common shares of Northstar.
About the Rosegrove Property
The Rosegrove Property consists of 19 contiguous mining claims containing 52 cells, represents an area of about 1,200 ha and is situated immediately north of the historic Boston Creek Gold Camp. The acquisition of the Rosegrove Property more than doubles Northstar’s Boston Creek area land package, which now totals 2,300 ha – see Figure 1 below.
Figure 1. Northstar Gold Corp. Kirkland Lake Properties
To view an enhanced version of Figure 1, please visit:
The Rosegrove claims overlay the same northwest-orientated mafic and intermediate volcanic rock package that hosts significant gold-telluride mineralization at the Miller Gold Property, including a belt of tuffaceous and volcanic fragmental rocks and evidence of syenite and porphyry intrusives. The Property has several shear zones, faults and splays which may be related to the highly prospective First Order Catharine Fault Structure and the Pacaud and Boston Faults.
The Rosegrove claims are overlain by clay, sand and glacial deposits that has hampered previous exploration efforts in the area. Previous work on an adjacent property in 1981 by Marshall Boston Iron Mines Limited reported drill intersections as high as 0.60 oz/ton over 2.62 feet. This mineralized zone is apparently open to the south and may extend onto the Rosegrove Property.
The Rosegrove Property is situated over a geological and structural setting known to host significant gold-telluride mineralization and as such, represents a quality exploration property acquisition. Modern day remote sensing and geophysical survey techniques represent a proven means to detect blind gold deposits masked by glacial cover in similar settings. Northstar plans to conduct a drone magnetometer and LIDAR survey over the Rosegrove Property in early 2021.
The technical content in this news release was read and approved by Brian P. Fowler, P.Geo, President and CEO of Northstar, who is the Qualified Person as defined by NI 43-101.
MI 61-101 Disclosure
The transaction contemplated by the purchase agreement constitutes “related party transaction” for the purposes of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101“) of the Canadian securities regulators. Specifically, the Rosegrove Property is owned by an associate of an insider of Northstar and the transaction is therefore considered a “related party transaction” under MI 61-101 (the “Related Party Transactions”).
MI 61-101 imposes certain requirements on “related party transactions” for the protection of minority shareholders. Northstar has relied on exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101 in respect of related party participation in the transaction as neither the fair market value (as determined under MI 61-101) of the subject matter of, nor the fair market value of the consideration for, the transaction, insofar as it involved the related parties, exceeded 25% of Northstar’s market capitalization (as determined under MI 61-101). Further details will be included in a material change report to be filed by the Northstar.
About Northstar Gold Corp.
Prior to going public on the CSE on January 2, 2020 by way of a $3 million Initial Public Offering, Northstar operated for the past 11 years as a private company focused primarily on gold exploration in the prolific Kirkland Lake District in northeastern Ontario (>24.5 million ounces gold produced from 7 mines since 1915). Northstar has an accomplished Board, Special Advisor and Management Group comprised of professionals highly experienced in exploration, mining, finance and investment banking on a global basis.
The Company’s flagship property is the 100% owned Miller Gold Property, situated 18 km southeast of Kirkland Lake and Kirkland Lake Gold’s Macassa SMC gold mine. Northstar has just completed a 5,023 metre, 28-hole drill program and integrated 3D IP, gravity and magnetic survey on the Miller Gold Property, making a number of new gold discoveries. This includes the near-surface Allied Syenite Gold Zone, returning intercepts that include 19.4 g/t Au over 4.4m within 1.4 g/t Au over 118.5m and 4.7 g/t Au over 8m within a 107.3m interval averaging 1.2 g/t Au. Northstar is positioning to resume drilling at the Miller Gold Property in late November, 2020 with a 4,000 metre, 15 hole Phase II drill program.
Northstar also has two additional 100%-owned exploration projects in Northern Ontario. The 5,090 hectare Bryce Property is an intrusive-gold / PME VMS project and the Temagami-Milestone Cu-Ni-Co Property is located in Strathcona Township. Northstar intends to advance both projects through joint venture partnerships or otherwise.
On behalf of the Board of Directors,
Mr. Brian P. Fowler, P.Geo.
President, CEO and Director
For further information, please contact:
Cautionary Note Regarding Forward-Looking Statements
This news release contains certain forward looking statements which involve known and unknown risks, delays, and uncertainties not under the control of Northstar Goldcorp. which may cause actual results, performance or achievements of Northstar Gold Corp to be materially different from the results, performance or expectation implied by these forward looking statements. By their nature, forward looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/67254
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