Canagold Summarizes Results of 30,000 m Infill Drill Program at New Polaris Project, BC, Highlights Include 13.6 gpt Over 25.1 m __________________________________________________________________
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Canagold Summarizes Results of 30,000 m Infill Drill Program at
New Polaris Project, BC, Highlights Include 13.6 gpt Over 25.1 m
__________________________________________________________________
Vancouver, Canada – July 12, 2022 – Canagold Resources Ltd. (TSX: CCM, OTC -QB: CRCUF,
Frankfurt: CANA) summarizes the results of the recently completed infill drill program at its 100% owned
New Polaris Gold project located in northwestern British Columbia, 100 kilometers (km) south of Atlin
and 60 km northeast of Juneau, Alaska.
Highlights:
• The infill drill holes delivered gold grades and mineralized widths that support and potentially
improve on the current resource estimate at downhole depths as predicted by the geological model.
• Results confirmed the continuous, sheet-like, high-grade nature of the C-West Main (“CWM”)
deposit (Table 1).
Table 1: Top 10 CWM Gold Mineralized Intercepts from the Infill Drill Program:
Hole-ID From (m) To (m) Length
(m) Au (gpt) Vein
21-1800E3 362.1 387.2 25.1 13.6 CWM
21-1700E3 362.7 369.3 6.6 34.4 CWM
21-1783E2 378.0 391.0 13.0 15.8 CWM
21-1783E1 323.0 329.6 6.6 24.2 CWM
21-1783E5 433.6 437.5 3.9 30.8 CWM
21-1750E1 299.0 308.0 9.0 12.0 CWM
22-1844E2W2A 571.8 577.9 6.1 16.0 CWM
22-1665E1 466.1 468.1 2.0 42.5 CWM
21-1675E1A 410.5 414.8 4.3 19.3 CWM
21-1700E1A 300.5 304.3 3.8 20.7 CWM
• Directional drilling methods proved successful in locating pierce points on the CWM at the required
infill spacing of 20 – 25 m especially at depth 300 m to 600 m below surface.
• 15 Drill intercepts on the new C-9 and C-10 veins should add additional new resources at New
Polaris (Table 2).
Table 2: Highlight Gold Mineralized Intercepts for the C-9 and C-10 Veins:
Hole-ID From (m) To (m) Length
(m) Au (gpt) Vein
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21-1844E3 414.4 423.3 8.9 11.0 C9
21-1905E2 353.6 363.5 9.9 8.10 C9
21-1905E2 380.9 398.7 17.8 11.1 C10
21-1890E1 343.0 351.4 8.4 17.1 C10
22-1844E2W2A 453.2 475.8 22.6 5.27 C10
• Multiple observations of visible gold in the drill core compared to previous drill programs.
• Step out deep exploration drill holes successfully confirmed the proof of concept that the CWM
extends to depth down dip from the end of the known resource at 600 m below surface to at least
1,000 m depth highlighting the blue-sky potential of the project.
• The exploration holes also returned gold mineralized intercepts of shallower veins never before
intersected by previous drilling, including 13.9 gpt Au over 4.2 m from 333.1 m down hole 21 -
2025E1W1.
• Other deeper drill holes intersected new gold mineralized veins (Table 3) similar and parallel
to the CWM that correlate with previous deeper drill intercepts further to the east.
Table 3: Highlight Gold Mineralized Intercepts for Deeper Veins:
Hole-ID From (m) To (m) Length
(m) Au (gpt) Vein
22-1844E2W1A 679.8 698.4 18.6 7.54 Unnamed
22-1844E2 578.5 580.8 2.3 12.3 Unnamed
• Inclusion of the data from the 2021 -22 30,000 m infill drill program into an updated interim
resource estimate by Moose Mountain Technical Services is already underway.
Scott Eldridge, Canagold CEO, s aid, “The 30,000 metre, 54 diamond drill hole program was a great
success for New Polaris. We experienced great outcomes led by Troy Gill, our VP Exploration, where we
have seen some of the highest grade and longest width results ever for the project including 13.6 grams per
tonne over 25.1 metres.”
“Most of the results were spectacular in the context of our goal of converting inferred resources up
category. In addition to resource definition drilling, we also observed areas for potential resource
expansion in the C9, C10 and a newly discovered vein at greater depths than the maximum depth of current
resources. Next steps at New Polaris are to update the resource calculation and we’ve already commenced
that process.”
Bradford Cooke, Canagold Chairman and Founder, commented, “Make no mistake, our success at New
Polaris is the main reason why Sun Valley launched their hostile creeping takeover attempt to control your
board, company and project. With results like these, h ow they can claim the project is stagnant is simply
ignorant of the facts. Since 1994, we have invested CA$33.6 million advancing New Polaris to discover a
1.1 million oz gold deposit, complete resource estimates, preliminary economic assessments, initial
environmental baseline studies and extensive metallurgical testwork. Their criticism that the project should
have reached the feasibility stage long ago defies belief. Apparently, they prefer to rewrite history rather
than learn from it.”
Infill Drill Program
The 2021-22 infill drill program was designed primarily to in-fill drill the Inferred Resources of the CWM
vein system within the currently defined resources in the PEA*. The infill drill holes range in depth from
300 to 650 m and are designed to provide greater density of drill intercepts (20 – 25 m spacing) in areas of
Inferred Resources between 150 and 600 m below surface. The improved drill density will be used to
upgrade parts of the Inferred Resources to Indicated Resources for inclusion in a future feasibility study.
The infill drill program was completed by the end of February 2022 for a total of 30,000 m in 54 drill holes.
Assay results have now been received for all 52 holes in which sampling was undertaken . The samples
collected from the mineralized zone in all of those holes were submitted to the ALS Geochemistry lab in
Whitehorse, YT for gold analysis. No samples were taken from the two abandoned drill holes . Drilling
equipment is being stored on site ready for the start of the next drilling campaign in the summer of 2022.
*The New Polaris resource is contained within a preliminary economic assessment (“PEA”) report which was prepared by Moose Mountain
Technical Services in the format prescribed by NI43-101 Standards of Disclosure for Mineral Projects, and filed on Sedar April 18, 2019.
New Polaris Overview
Canagold’s flagship asset is the 100% owned New Polaris Gold Mine project located in northwestern
British Columbia about 100 kilometers south of Atlin, BC and 60 kilometers northeast of Juneau, Alaska.
The property consists of 61 contiguous Crown-granted mineral claims and one modified grid claim covering
850 hectare s. New Polaris lies within the Taku River Tlingit First traditional territory. Canagold is
committed to providing employment and business opportunities that help support the local economies in
the vicinity of its exploration projects.
The New Polaris gold deposit is an early Tertiary, mesothermal gold-bearing vein system occupying shear
zones cross-cutting late Paleozoic andesitic volcanic rocks. It was mined by underground methods from
1938 to 1942, and again from 1946 to early 1951, producing approximately 245,000 oz gold from 740,000
tonnes of ore at an average grade of 10.3 g pt gold. Three main veins (“AB, C and Y”) were mined to a
maximum depth of 150 m and have been traced by drilling for up to 1,000 m along strike and up to 800 m
down dip, still open for expansion. The gold occurs dominantly in finely disseminated arsenopyrite within
quartz-carbonate stock-work veins and altered wall -rocks. Individual mineralized zones extend up to 250
meters in length and 14 meters in width. Average widths more commonly range from 2 to 5 meters.
Qualified Person
Garry Biles, P.Eng, President & COO for Canagold Resources Ltd, is the Qualified Person who reviewed
and approved the contents of this news release.
Drill Core Sampling and Quality Assurance – Quality Control Program
Drill core is geologically logged to identify the gold mineralized zones that are allocated unique sample
number tickets and marked for cutting using a purpose-built diamond blade rock saw . Half core samples
are collected in labelled bags and the other half remains in the original core box stored on site. Quality
control (QC) samples including certified reference material standards, blanks and duplicates are inserted
into the sample sequence at intervals of one in ten on a rotating basis to monitor laboratory performance
and provide quality assurance (QA) of the assay results. Several sample bags are transported together in
rice bags with unique n umbered security tags attached and labelled with Company and lab contact
information to ensure sample security and chain of custody during shipment to the lab.
The samples are submitted to the ALS Geochemistry lab in Whitehorse, YT for preparation and assaying.
The entire sample is crushed to 70% passing -2 millimeters and a 250 gram aliquot is split and pulverized
to 85% passing -75 microns. Analysis for gold is by 30 gram fire assay and gravimetric finish. A suite of
30 other elements including arsenic, antimony, sulfur and iron are analyzed by aqua-regia digestion
Inductively Coupled Plasma Atomic Emission Spectroscopy (ICP-AES). ALS Canada Ltd. is accredited by
the Standards Council of Canada and is an ISO/IEC 9001:2015 and 17025:2017 certified analytical
laboratory in North America.
"Scott Eldridge”
____________________
Scott Eldridge, Chief Executive Officer
CANAGOLD RESOURCES LTD.
About Canagold - Canagold Resources Ltd. is a growth-oriented gold exploration company focused on
generating superior shareholder returns by discovering, exploring and developing strategic gold deposits in
North America. Canagold shares trade on the TSX: CCM and the OTCQB: CRCUF.
For More Information - Please contact: Knox Henderson, VP Corporate Development
Toll Free: 1-877-684-9700 Tel: (604) 604-416-0337 Cell: (604) 551-2360
Email: [email protected] Website: www.canagoldresources.com
Cautionary Note Regarding Forward-Looking Statements
This news release contains “forward -looking statements” within the meaning of the United States p rivate securities litigation
reform act of 1995 and “forward -looking information” within the meaning of applicable Canadian securities legislation.
Statements contained in this news release that are not historical facts are forward -looking information that involves known and
unknown risks and uncertainties. Forward-looking statements in this news release include, but are not limited to, statements with
respect to the future performance of Canagold, and the Company's plans and exploration programs for its mi neral properties,
including the timing of such plans and programs. In certain cases, forward-looking statements can be identified by the use of words
such as "plans", "has proven", "expects" or "does not expect", "is expected", "potential", "appears", "bud get", "scheduled",
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phrases or state that certain actions, events or results "may", "could", "would", "should", "might" o r "will be taken", "occur" or
"be achieved".
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results,
performance or achievements of the Company to be materially different from any fut ure results, performance or achievements
expressed or implied by the forward -looking statements. Such risks and other factors include, among others risks related to the
uncertainties inherent in the estimation of mineral resources; commodity prices; changes in general economic conditions; market
sentiment; currency exchange rates; the Company's ability to continue as a going concern; the Company's ability to raise fund s
through equity financings; risks inherent in mineral exploration; risks related to opera tions in foreign countries; future prices of
metals; failure of equipment or processes to operate as anticipated; accidents, labor disputes and other risks of the mining industry;
delays in obtaining governmental approvals; government regulation of mining operations; environmental risks; title disputes or
claims; limitations on insurance coverage and the timing and possible outcome of litigation. Although the Company has attempted
to identify important factors that could affect the Company and may cause actual actions, events or results to differ materially from
those described in forward -looking statements, there may be other factors that cause actions, events or results not to be as
anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual
results and future events could differ materially from those anticipated in such statements. Accordingly, do not place undue reliance
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to update or alter any forward-looking statements except as required under applicable securities laws.