Banyan Intersects 3.02 G/T GOLD over 21.2 Metres at Powerline Deposit, Aurmac Property, Yukon and Signs Ammendments to Mcquesten Option Agreement
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BANYAN INTERSECTS 3.02 G/T GOLD OVER 21.2 METRES AT POWERLINE
DEPOSIT, AURMAC PROPERTY, YUKON AND SIGNS AMMENDMENTS TO
MCQUESTEN OPTION AGREEMENT
May 3, 2022 TSX-V: BYN | OTCQB: BYAGF
VANCOUVER, BC, May 3, 2022 – Banyan Gold Corp. (the "Company" or "Banyan") (TSXV:
BYN) ( OTCQB: BYAGF ) is pleased to announce the last of the analytical results from the
diamond drill holes completed during the Company’s 2021 exploration program at the Powerline
deposit (the “Powerline Deposit”) located on the Company’s AurMac Property.
Assay highlights include:
● 15.5 metres (“m”) of 1.31 g/t Au from 186.9 m in DDH AX-21-181
● 34.5 m of 1.29 g/t Au from 133.1 m in DDH AX-21-186
● 53.3 m of 0.76 g/t Au from 61.0 m in DDH AX-21-188
● 36.5 m of 0.56 g/t Au from 169.2 m in DDH AX-21-188
● 15.5 m of 2.18 g/t Au from 35.0 m in DDH AX-21-189
● 38.2 m of 0.60 g/t Au from 76.1 m in DDH AX-21-190
● 50.3 m of 0.46 g/t Au from 50.3 m in DDH AX-21-192
● 100.8 m of 0.37 g/t Au from 47.0 m in DDH AX-21-196
● 21.2 m of 3.02 g/t Au from surface (4.6m) in DDH AX-21-198
● 48.9 m of 0.53 g/t Au from 62.4m in DDH AX-21-203
“The 2021 drill program has demonstrated the extensive nature of gold mineralization around the
Powerline Deposit on the AurMac Property and impor tantly, defined zones of higher grade near
surface gold mineralization.” Tara Christie, President & CEO of Banyan stated. “The 2021 results
have guided the initial drill program in 2022 allow ing us to take large step outs to showcase the
regional potential of the mineralization on the AurMac Property . We are also pleased that the
purchase of Alexco’s underlying interest in the McQuesten option agreement by Victoria Gold,
has allowed Banyan to secure amendments providing additional flexibility in timing for the
Preliminary Economic Assessment (“PEA”) and removes the hard deadline for the Pre-Feasibility
Study. This provides us the optionality to design the optimal project plan for our economic studies
as we continue to grow our resource base."
Results from the final sixteen (16) 2021 drill holes are consistent with previous exploration drill
results at the Powerline Deposit (see Tables 1 and 2 and Figure 1) and the areal extent of
interpreted gold mineralization from near/on -surface continues to expand with each batch of
assay results received (see Figure 1).
Visible gold from these holes is shown in Image 1. A video to accompany this news release and
additional information is located on our website.
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Image 1: Photographs of visible gold from:
A) AX-21-195: 141.7 m to 142.6 m – 0.92 g/t Au over 0.9 m
B) AX-21-196: 217.6 m to 219.0 m – 0.10 g/t Au over 1.4 m
C) AX-21-204: 67.7 m to 68.6 m – 0.52 g/t Au over 0.9 m
D) AX-21-204: 73.2 m to 74.7 m – 0.04 g/t Au over 1. 5 m
A) AX-21-195: 141.7 m to 142.6 m – 0.92 g/t Au over 0.9 m B) AX-21-196: 217.6 m to 219.0 m – 0.10 g/t Au over 1.4 m
C) AX-21-204: 67.7 m to 68.6 m – 0.52 g/t Au over 0.9 m D) AX-21-204: 73.2 m to 74.7 m – 0.04 g/t Au over 1. 5 m
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Figure 1: Powerline Drill Hole Locations and Drill Plan Map, showing historic, completed,
and proposed diamond drill holes.
Table 1: 2021 Highlighted Powerline Diamond Drill Analytical Results. (Maps, sections and
full assay results will be available on Banyan’s website).
Hole ID From (m) To (m) Interval (m*) Au (g/t)
AX-21-178 9.1 (surface) 24.4 15.3 0.58
and 41.2 50.3 9.1 0.38
and 187.9 195.1 7.2 0.91
and 238.0 248.4 10.4 0.52
AX-21-179 109.4 118.0 8.6 0.61
AX-21-181 186.9 202.4 15.5 1.31
AX-21-183 48.8 96.4 47.6 0.28
and 125.5 151.0 25.5 0.38
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Hole ID From (m) To (m) Interval (m*) Au (g/t)
and 179.8 224.0 44.2 0.29
AX-21-184 32.0 35.0 3.0 0.36
and 102.1 134.9 32.8 0.25
AX-21-186 33.9 41.0 7.1 0.76
and 133.1 167.6 34.5 1.29
and 222.2 227.2 5.0 1.08
AX-21-188 61.0 114.3 53.3 0.76
and 169.2 205.7 36.5 0.56
AX-21-189 35.0 50.5 15.5 2.18
and 181.4 199.6 18.2 0.55
AX-21-190 76.1 114.3 38.2 0.60
and 121.0 144.1 23.1 0.33
and 163.0 183.5 20.5 0.68
and 202.6 220.6 18.0 0.43
AX-21-192 39.6 89.9 50.3 0.46
and 125.0 131.1 6.1 0.83
and 150.3 187.6 37.3 0.47
AX-21-195 39.5 73.2 33.7 0.48
and 126.3 142.6 16.3 0.50
and 190.7 200.6 9.9 0.52
AX-21-196 47.0 147.8 100.8 0.37
and 199.6 207.3 7.7 0.70
AX-21-198 4.6 (surface) 25.8 21.2 3.02
and 126.5 138.7 12.2 0.65
and 160.1 190.5 30.4 0.41
AX-21-200 70.1 111.3 41.2 0.42
and 145.6 154.7 9.1 0.46
AX-21-203 62.4 111.3 48.9 0.53
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Hole ID From (m) To (m) Interval (m*) Au (g/t)
AX-21-204 54.9 83.8 28.9 0.54
*True widths are estimated to be approximately 90% of drilled intervals.
Table 2: Drill Collar Location for Released Results
Collar ID East
NAD83_Z8 North NAD83_Z8 Elev. (m) Azimuth Dip (°) Depth (m)
AX-21-178 467798 7082602 821 359 -74 263.65
AX-21-179 466795 7083298 779 359 -61 207.26
AX-21-181 466601 7083292 758 001 -64 219.46
AX-21-183 466502 7083197 746 355 -61 224.03
AX-21-184 467902 7082600 826 359 -60 240.79
AX-21-186 466401 7083100 746 357 -61 237.74
AX-21-188 467290 7082551 807 003 -59 220.98
AX-21-189 466301 7083099 736 358 -58 201.17
AX-21-190 467247 7082602 803 002 -59 237.74
AX-21-192 466501 7082904 759 002 -57 210.31
AX-21-195 466600 7082898 765 351 -60 242.32
AX-21-196 467248 7082554 803 356 -58 235.13
AX-21-198 466600 7083000 763 000 -59 288.04
AX-21-200 466801 7082889 769 003 -56 210.31
AX-21-203 467252 7082511 804 356 -58 201.17
AX-21-204 466897 7082909 773 359 -60 89.95
Amendments to McQuesten Property Option
The Aurmac Property is comprised of the Aurex and McQuesten properties, as well as claims
staked and owned 100% by Banyan Gold. Banyan currently holds 51% of the underlying Aurex
and McQuesten Properties with original agreements where Banyan can earn 100% of each
property, subject to an NSR, from Victoria Gold Corp. and Alexco Resource Corporation,
respectively (See Company news release, May 25, 2017).
On April 26, 2022 Victoria Gold Corp. (Victoria) purchased the underlying interest on the
McQuesten property from Alexco Resource Corporation (Alexco) which will entitle Victoria to
receive payments from Banyan of $600,000 in cash or shares by December 2023 and $2 Million
cash or shares by December 2025 as well as acquire the underlying NSR royalty interest from
the original agreement with Alexco. The original option agreement was modified to remove the
requirement for a Pre-Feasibility Study by 2025 and move the requirement for the PEA from 2023
to 2025 (earn in to 100%). The standstill with Victoria Gold at 19.9% remains and all other
substantive terms of the option agreement remain unchanged.
Upcoming Events
Banyan will be attending:
● Vancouver Resource Investment Conference (Cambridge House) – May 17 & 18, 2022
o Booth and Presentation 1:30 pm PDT, May 17
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● PDAC 2022 – Toronto, Ont., June 13-15, 2022
● Invest Yukon Conference, Dawson City, Yukon, June 21-23, 2022
All events are subject to change.
2022 Exploration Program Update
Banyan started its 2022 exploration program on January 26, 2022 and has three drills operating
on the property. Seventy-one (71) drill holes and over 15,700 metres (“m”) of drilling has been
completed to expand the mineralization around the Powerline Zone by 600 m to the east and
1,000 m west. The 2022 program will include 80% of the drilling focused on expansion of the
mineralization at Powerline and connecting Aurex Hill; and 20 % focused on testing high priority
regional targets on the AurMac Property and Nitra Property.
Analytical Method and Quality Assurance/Quality Control Measures
All drill core splits reported in this news release were analysed by Bureau Ver itas Minerals of
Vancouver, B.C. utilizing the aqua regia digestion ICP-MS 36-element AQ200 analytical package
with FA450 50-gram Fire Assay with AAS finish for gold on all samples. All core samples were
split on-site at Banyan’s core processing facilities. Once split, half samples were placed back in
the core boxes with the other half of split samples sealed in poly bags with one part of a three -
part sample tag inserted within. Samples were delivered by Banyan personnel or a dedicated
expediter to the Bureau Veritas, Whitehorse preparatory laboratory where samples are prepared
and then shipped to Bureau Veritas’s Analytical laboratory in Vancouver, B.C. for pulverization
and final chemical analysis. A robust system of standards, ¼ core duplicates and blanks was
implemented in the 2021 exploration drilling program and was monitored as chemical assay data
became available.
COVID-19 Update
Banyan continues to take proactive measures to protect the health and safety of our Yukon
communities, our contractors and our employees from COVID 19. Exploration activities will
continue to have additional safety measures in place, regularly updated to follow and exceed all
the recommendations of Yukon’s Chief Medical Officer.
About Banyan
Banyan's primary asset, the AurMac Property is comprised of the Aurex and McQuesten
properties, as well as claims staked and owned 100% by Banyan Gold, and adjacent to Victoria
Gold's Eagle Gold Mine, in Canada’s Yukon Territory. The initial resource for the AurMac Property
of 903,945 oz Au (see Table 3 below) was announced in May 2020. Our major strategic
shareholders include Franklin Gold and Precious Metals Fund, Osisko Development, and Victoria
Gold Corporation. Banyan is focused on gold exploration projects that have the geological
potential, size of land package and proximity to infrastructure that is advantageous for a mineral
project to have potential to become a mine. Our Yukon based projects both fit this model and our
objective is to gain shareholder value by advancing projects in our pipeline.
The 173 sq km AurMac Property lies 30 km from Victoria Gold's Eagle Project and adjacent to
the Keno Hill Silver District operated by Alexco Resource Corp. and is highly prospective for
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structurally controlled, intrusion related gold-silver mineralization. The property is located adjacent
to the main Yukon highway and just off the main access road to the Victoria Gold open-pit, heap
leach Eagle Gold mine. The AurMac Property benefits from a 3-phase powerline, existing Yukon
Energy Corp. switching power station and cell phone coverage. Banyan optioned the properties
from Victoria Gold and Alexco, respectively, with a right to earn up to a 100% interest, subject to
royalties.
The Initial Mineral Resource Estimate for the AurMac Property was prepared in 2020 and
consisted of 903,945 ounces of gold (see Table 3). It is a near surface, road accessible pit
constrained Mineral Resource contained in two near/on-surface deposits: the Airstrip deposit and
the Powerline Deposit.
Table 3: Pit -Constrained Inferred Mineral Resources at a 0.2 g/t Au Cut -Off – AurMac
Property
Deposit Classification
Tonnage
Tonnes
Average Au
Grade
g/t
Au Content
oz
Airstrip Inferred 45,997,911 0.524 774,926
Powerline Inferred 6,578,609 0.610 129,019
Total Combined Inferred 52,576,520 0.535 903,945
Notes:
1. The effective date for the Mineral Resource is May 25, 2020.
2. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability. The estimate
of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation,
sociopolitical, marketing, changes in global gold markets or other relevant issues.
3. The CIM definitions were followed for classification of Mineral Resources. The quantity and grade of reported
inferred Mineral Resources in this estimation are uncertain in nature and there has been insufficient
exploration to define these inferred Mineral Resources as an indicated Mineral Resource and it is uncertain if
further exploration will result in upgrading them to an indicated or measured Mineral Resource category.
4. Mineral Resources are reported at a cut-off grade of 0.2 g/t Au, using a US$/CAN$ exchange rate of 0.75 and
constrained within an open pit shell optimized with the Lerchs -Grossman algorithm to constrain the Mineral
Resources with the following estimated parameters: gold price of US$1,500/ounce, US$1.50/t mining cost,
US$2.00/t processing cost, US$2.50/t G+A, 80% heap leach recoveries, and 45° pit slope.
5. The Mineral Resource Estimate was prepared in accordance with National Instrument NI 43-101, Standards
of Disclosure for Mineral Projects (“NI 43-101”) requirements by Marc Jutras, P.Eng., M.A.Sc., Principal, Ginto
Consulting Inc, with technical report filed on SEDAR on July 7,2020.
The Hyland Gold Project, located 70 km Northeast of Watson Lake, Yukon, along the Southeast
end of the Tintina Gold Belt is a sediment hosted, structurally controlled, intrusion related gold
deposit, with a large land package (over 125 sq km), with the resource contained in the Main Zone
area (900 m x 600 m) daylighting at surface and numerous other known surface gold targets. It
appears the Main Zone oxide zone would be amenable to heap leach open pit mining, with column
leach recoveries of 86%. The project has an existing gravel access road.
Table 4 shows the Hyland Main Zone Indicated Gold Resource Estimate, prepared in accordance
with NI 43 -101, at a 0.3 g/t gold equivalent cutoff, contains 8. 6 million tonnes grading 0.85 g/t
AuEq for 236,000 AuEq ounces with an Inferred Mineral Resource of 10.8 million tonnes grading
0.83 g/t AuEq for 288,000 AuEq ounces.
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Table 4: Hyland Main Zone Indicated Gold Resource Estimate
Cut-off
Grade
(AuEq g/t)
In situ
Tonnes
Au Ag AuEq
Grade
(g/t) Ozs
Grade
(g/t) Ozs
Grade
(g/t) Ozs
Indicated
0.3 8,637,000 0.78 216,000 7.04 1,954,000 0.85 236,000
Inferred
0.3 10,784,000 0.77 266,000 5.32 1,845,000 0.83 288,000
Notes:
1. Mineral resources which are not mineral reserves do not have demonstrated economic viability.
2. All figures are rounded to reflect the relative accuracy of the estimate.
3. Mineral resources are reported at a cut-off grade of 0.3 g/t AuEq. AuEq grade is based on $1,350.00/oz Au,
$17.00/oz Ag and assumes a 100% recovery. The AuEq calculation does not apply any adjustment factors for
difference in metallurgical recoveries of gold and silver. This information can only be derived from definitive
metallurgical testing which has yet to be completed.
4. Mineral Resource Estimate prepared in accordance with NI 43-101 by Robert Carne, Allan Armitage and Paul
Gray dated and filed on SEDAR on May 1, 2018.
Banyan trades on the TSX -Venture Exchange under the symbol “BYN” and is quoted on the
OTCQB Venture Market under the symbol “ BYAGF”. For more information, please vi sit the
corporate website at www.BanyanGold.com or contact the Company.
Qualified Person
Paul D. Gray, P.Geo., Vice President of Exploration for the Company, is a “qualified person” as
defined under National Instrument 43-101, Standards of Disclosure for Mineral Projects (“NI 43-
101”), and has reviewed and approved the content of this news release. Mr. Gray has verified the
data disclosed in this press release, including the sampling, analytical and test data underlying
the information
ON BEHALF OF BANYAN GOLD CORPORATION
(signed) "Tara Christie"
Tara Christie
President & CEO
For more information, please contact:
Tara Christie • 778 928 0556 • [email protected]
Jasmine Sangria • 604 312 5610 • [email protected]
CAUTIONARY STATEMENT: Neither the TSX Venture Exchange, its Regulation Services Provider (as that term
is defined in policies of the TSX Venture Exchange) nor OTCQB Venture Market accepts responsibility for the
adequacy or accuracy of this release.
No stock exchange, securities commission or other regulatory authority has approved or disapproved the
information contained herein.
FORWARD LOOKING INFORMATION: This news release contains forward -looking information, which is not
comprised of historical fact s. Such information can generally be identified by the use of forwarding -looking wording
such as “may”, “will”, “expect”, “estimate”, “anticipate”, “intend”, “believe”, “potential” and “continue” or the negative
thereof or similar variations. Forward-looking information involves risks, uncertainties and other factors that could cause
actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by
such forward-looking information. Forward looking information in this news release includes, but is not limited to, the