Discovery–Corp and Scramble Report Drill Results Confirming Near-Surface Mineralization at NewFind, including 21.70 g/t Au Over 1.00 m and Provide Transaction Update
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Discovery-Corp 125A–1030 Denman Street, Suite 553, Vancouver, BC, Canada V6G 2M6 [email protected]
News Release for immediate release
May 29, 2023
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES
Discovery–Corp and Scramble Report Drill Results Confirming Near-Surface Mineralization at NewFind,
including 21.70 g/t Au Over 1.00 m and Provide Transaction Update
Vancouver – Discovery–Corp Enterprises Inc. (“Discovery” or the “Company”) (TSXV: DCY) and Scramble Resources
Corp. (“Scramble”) announce encouraging results from the confirmation drill program completed at the NewFind Gold
Project (“NewFind”). The 500 metre (m) Clifford target was confirmed to host high grade gold mineralisation within a
multi-metre anomalous gold-bearing halo associated with increasing silica , sericite and disseminated sulphide mineral
content. The Clifford target was evaluated across three drill fences roughly spaced 250 m apart and evaluated to an
average depth of approximately 50-60 m below surface; the target is open along strike and down dip.
Highlights:
• Mid confirmation drill fence hole 21LNDD005 intersected two anomalous
structures, one 2.95 m anomalous interval with 0.48 m of 57.75 grams per tonne
(‘g/t’) gold and another 3.60 m interval hosting 1.00 m of 21.70 g/t gold.
• South confirmation drill fence hole 21LNDD009 intersected a 5.15 m anomalous
gold interval hosting a high-grade core of 0.78 m at 31.40 g/t gold.
• Clifford target confirmed to be gold bearing with strong grades within lower grade
halo located on the inferred northeastern sheared fold limb with the southwestern
sheared fold limb exhibiting a yet-to-be-evaluated 2,000 m gold-in-soil anomaly.
“We are excited to get some subsurface geological feedback confirming our initial ideas on the Clifford structure ,”
commented Paul Koros, President and CFO of Scramble. He further stated , “The team looks forward to be ing able to
expand our exploration thesis at Clifford and across the rest of the target pipeline of priority targets at the NewFind Gold
Project.”
Discovery’s CFO Iain Brown commented, “We note that these successful results support our initial internal review of the
promise of the NewFind Gold Project that the Scramble team identified as a significa nt exploration area with multiple
high quality, high potential targets.”
Exploration Summary
The initial drill program on the NewFind Gold Project was a confirmation or due -diligence-type program on the most
advanced target, the historic Mt Clifford Mine, a 500 m long section of the Clifford Structure. This work was undertaken
to determine the style(s) and tenure of mineralization that could be expected within large scale gold-in-soil anomalies on
major structures in the area associated with mapped folds . Previous work at Clifford included small scale underground
mining, and rotary air blast (RAB) and reverse circulation (RC) drilling. As this is a structurally controlled gold target ,
diamond drilling (DD) was used to better identify lithology, alteration, structure , and mineralization styles controlling the
values in the historical results.
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The confirmation drill program evaluated three fences across the Clifford Target each separated by approximately 250
m. The program, designed to test and step -out from select historical drillhole locations (FIGURE 1), was successful in
its objective; returning consistent, and in some cases, better results tha n previous drilling (TABLE 1) , and providing
confidence in continuity of mineralization. Additional drilling will be required to follow-up the potential extent of the Clifford
Target mineralization, as well as drill testing of the full pipeline of targets that were developed , based on thorough
geological investigation using field mapping, geophysical surveys and geochemical surveys across the core area of the
tenements.
The Clifford Mid confirmation drill fence consisted of three holes, 21LNDD005-006, and 010 (FIGURE 2). All holes cut a
strongly deformed, folded and sheared, package of mixed sedimentary units and ultramafic rocks. Elevated gold values
(up to 57.75g/t Au) are associated with quartz- carbonate veined, carbonate- albite- silica- sericite altered volcaniclastics
interfolded with pyritic black shales within or adjacent to parasitic fold hinges in high strain zones. In this section, an ~3.5
m interval of disseminated sulphide (pyrite- arsenopyrite- pyrrhotite) bearing porphyry cut by late extensional quartz -
carbonate veining yielded a section grading 3.60 g/t Au. 21LNDD005 confirmed the high-grade interval in WILRC9712
and identifies continuity of two other zones in historic drill hole RC055. 21LNDD006 confirmed the intervals within historic
hole RC055 and 21LNDD010 stepped approximately 40 m down dip and intercepted the target zone and the upper
sections of the drill hole indicate potential for a new mineralized zone developing.
The Clifford South confirmation drill section consisted of three holes, 21LNDD007-009 (FIGURE 3), all cutting the corridor
of strongly deformed mixed sedimentary and ultramafic rock units. As with the other sections , the best grades are
associated with quartz-carbonate veining and disseminated sulphides within an alteration zone of in silica - carbonate-
sericite- (±albite). More specifically the best intervals are closely associated with the high strain zones exhibiting inferred
mylonitic breccia and parasitic fold hinges. Hole 21LNDD008 confirmed the mineralization in historical hole WILRC9709;
however, the diamond drilling indicates the mineralized zones are more discreet. Hole 21LNDD009, an approximate 25
m undercut of 21LNDD008, intercepts a wider section of anomalous gold bearing stratigraphy; the mineralization appears
to be down dip and trending to the southeast.
The Clifford North confirmation drill section (FIGURE 4) consisted of four drill holes, 21LNDD001 – 004. Three of four
holes intersected the structural zone of interest. Elevated gold values appear to be associated with very fine -grained
disseminated pyrite and arsenian pyrite within strong silica - sericite- carbonate altered and stockwork veined folded
volcaniclastic sedimentary sequence with local sheared quartz -carbonate veining. This alteration and mineralization
appears to be spatially associated with porphyritic intrusive units and associated with folds wit hin higher strain portions
of the structural corridor.
Transaction Status
As previously announced, Discovery and Scramble entered into an arrangement agreement dated October 13, 2022
with respect to a proposed reverse takeover (the “ Transaction”) of Disc overy by Scramble, which is intended to
constitute a reverse takeover of Discovery under the rules and policies of the TSX Venture Exchange (“TSXV”).
As described in the news release dated April 3, 2023, Discovery has submitted a draft j oint management information
circular and related initial documentation to the TSXV for approval in connection with the Transaction. The Transaction
remains subject to the ongoing review and approval of the TSXV , which will include a concurrent financing , the details
of which are in the process of being arranged. The parties to the Transaction continue to work diligently towards receiving
conditional approval of the Transaction from the TSXV and will continue to provide further details in respect of the
Transaction in due course by way of news release . Pursuant to the rules and policies of the TSXV, Discovery’s shares
will remain halted from trading.
The dates of the annual and special meetings of each of Scramble and Discovery will be announced once the
Transaction has received conditional approval from the TSXV. For additional information relating to Discovery,
Scramble, the resulting issuer and the Transaction, please see the news release dated October 13, 2022 under the
Company’s profile at www.sedar.com.
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About the NewFind Gold Project
The NewFind Project was first identified by Scramble in late 2019 after reviewing numerous projects across a number
of jurisdictions. Recognition of significant gold bearing structures with a series of multi -million ounce deposits already
in production alo ng with a number of historical small gold mines along the same corridor. Scramble has 100%
ownership interest in four tenements comprising 379 hectares (ha), and has the right to 100% interest in two additional
land packages of 1078 ha, that all together comprise the 1,456 ha NewFind Gold Project. NewFind lies along the
same structural corridor as, and between two of the top 20 gold deposits in Australia. In a December 202 2 property
visit Paul Koros remarked, “I am encouraged by how well-endowed the region is. Driving the 2 75 km north from the
mining centre of Kalgoorlie, you can see mine after mine not far from the hard-surfaced well-travelled highway. Walking
on our property, repeated quartz blowouts can be seen at regular interval s. I was also struck by the many historical
workings across the NewFind Gold Project, where the old -timers followed high grade mineralization, but were stopped
by the water table at very shallow levels. We fully expect the structurally controlled mineraliz ation to extend below the
water table."
Technical Disclosure
The scientific and technical information contained in this news release has been reviewed and approved by Darren
Lindsay, P.Geo ., a “qualified person” within the meaning of National Instrument 43-101 – Standards of Disclosure for
Mineral Projects (“NI 43 -101”). This review included the verification of the data disclosed, including sampling,
analytical and test data underlying the information contained in this news release.
All drill core samples were dispatched to Bureau Veritas for offsite sample preparation an d analysis . Samples were
assigned a unique sample ID. Core is sawn in half with half retained in the core box while the other half becomes the
sample. Certified Reference Materials are inserted into all sample dispatches. Samples are collected by Des Taylo r
Services Leonora and dispatched to Bureau Veritas in Canning Vale, WA. Samples were prepared by Bureau Veritas
by crushing and pulverisation (PR001, PR103, PR302) followed by 40 g fire assay gold analysis with inductively -
coupled plasma (“ ICP”) quantific ation (FA002) and select intervals (drill holes 21LNDD001 and 004) were also
analysed for multi -elements using a mixed acid digest with ICP -mass spectrometer quantification (MA102).
The drilling program for the NewFind Gold Project and compilation of results employ a strict quality assurance and
quality control program consistent with NI 43 -101 and industry best practices.
It should be noted that the potential quantity and grade of the exploration targets disclosed in this n ews release is
conceptual in nature, that there has been insufficient exploration to define a mineral resource and that it is uncertain
if further exploration will result in the target being delineated as a mineral resource as per the NI 43 -101 reporting
standards.
About Discovery-Corp Enterprises Inc.
Discovery a junior exploration company based in Vancouver, Canada that is focused on finding high quality gold and
copper properties. Discovery’s properties include the Galaxy, located in the New Afton camp in Kamloops, British
Columbia and the Rock Creek Ranch, loc ated in North Central Nevada at the intersection of the Getchell and Battle
Mountain-Eureka gold trends .
About Scramble Resources Corp.
Scramble is a geologist-founded private mineral exploration company incorporated under the laws of British Columbia,
and based in Vancouver, British Columbia Canada. Scramble’s focus has been in identifying potential overlooked or
unevaluated gold assets in greenfield and brownfield areas in top -rated mining jurisdictions globally. The NewFind
Gold Project, in the Abitibi-like prolific Eastern Goldfields of Western Australia, is located in the northern portion of the
Leonora gold camp which is currently undergoing a re -emergence with recent publicly disclosed consolidation
discussions and agreements that include St. Barbara Limited, Genesis Minerals Limited and Red5 Limited.
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On Behalf of the Board of Directors
“Paul Koros”, President and CFO
Scramble Resources Corp.
E: [email protected] P: 778 686 7285
On Behalf of the Board of Directors
“Iain Brown”, Director and CFO
Discovery–Corp Enterprises Inc.
Additional Information
All information contained in this news release with respect to Discovery and Scramble was supplied, for inclusion
herein, by each respective party and each party and its directors and officers have relied on the other party for any
information concerning such other party. Completion of the Transaction is subject to certain con ditions including,
but not limited to, receipt of all applicable shareholder, court and regulatory approvals, including that of the TSXV.
The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed Transaction and has
neither approve d nor disapproved the contents of this news release. Investors are cautioned that, except as
disclosed in the Joint Circular prepared in connection with the Transaction, any information released or received
with respect to the Transaction may not be accura te or complete and should not be relied upon. Trading in the
securities of Discovery should be considered highly speculative. Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the policies of the TSXV) accep ts responsibility
for the adequacy or accuracy of this news release.
Disclaimer for Forward-Looking Statements
This news release contains certain forward-looking statements which involve known and unknown risks, delays, and uncertainties not
under the parties’ control which may cause actual results, performance or achievements of Discovery’s, Scramble’s or the resulting
issuer’s following the Transaction to be materially different from the results, performance or expectation implied by these f orward-
looking statements. Certain statements set out in this news release constitute forward-looking statements. Forward-looking statements
(i) are often, but not always, identified by the use of words such as “expect”, “may”, “could”, “anticipate”, or “will”, and similar
expressions; and (ii) are subject to a variety of known and unknown risks and uncertainties and other factors that could caus e actual
events or outcomes to differ materially from those anticipated or implied by such forward-looking statements.
Forward-looking statements reflect the expectations of management regarding the parties’ completion of the Transaction and related
transactions. Forward -looking statements consist of statements that are not purely historical, including any statements regar ding
beliefs, plans, expectations or intentions regarding the future, including but not limited to, Discovery and Scramble completing the
Transaction, calling of the annual and special meetings of shareholders of each of Discovery and Scramble to approve, among other
matters, the Transaction, obtaining conditional approval for the Transaction from the TSXV , the anticipated expansion of Scramble’s
exploration thesis at Clifford and across the rest of the target pipeline of priority targets at the NewFind Gold Project, and the anticipated
drilling and drill testing required to follow-up the potential extent of the Clifford Target mineralization . Such statements are subject to
assumptions, risks and uncertainties that may cause actual results, performance or de velopments to differ materially from those
contained in the statements, including risks related to factors beyond the control of Discovery and Scramble. The risks include the
following: the requisite corporate and shareholders approvals of the directors and shareholders of Discovery or Scramble, as applicable,
in respect of the Transaction may not be obtained; the TSXV may not approve the Transaction on conditions acceptable to the parties
or at all; that the parties may be unable to satisfy the closing conditions in accordance with the terms and conditions of the arrangement
agreement dated October 13, 2022 between Discovery and Scramble ; risks customary with mineral exploration projects; and other
risks that are customary to transactions of this nature. The ongoing dispute between the sovereign state of Ukraine and Russi a also
continues to pose risks that are currently indescribable and immeasurable. No assurance can be given that any of the events anticipated
by the forward-looking statements will occur or, if they do occur, what benefits the parties will obtain from them. The reader is cautioned
not to place undue reliance of any forward-looking statements. Such information, although considered reasonable by management of
the applicable party at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated.
Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward -looking
statements contained in this news release are made as of the date of this news release. Each of Discovery and Scramble disclaims
any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or
otherwise, except as required by law.
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Table 1: Confirmation drill results NewFind Gold Project Clifford Target.
Target HoleID from_m to_m Length_m Au g/t note
Clifford 21LNDD001 42.30 50.80 8.50 0.42 NorthClifford
includes 43.64 45.50 1.86 0.55
includes 49.60 50.80 1.20 0.75
Clifford 21LNDD002 nsi NorthClifford
Clifford 21LNDD003 15.70 31.02 15.32 0.43 NorthClifford
includes 22.00 26.10 4.10 0.96
which includes 0.98 1.40
Clifford 21LNDD004 12.40 14.00 1.60 1.08 NorthClifford
And 18.10 21.70 3.60 0.21
Clifford 21LNDD005 66.85 69.80 2.95 9.48 MidClifford
includes 68.22 68.70 0.48 57.75
And 77.90 81.50 3.60 7.25
includes 80.50 81.50 1.00 21.70
Clifford 21LNDD006 44.26 45.70 1.44 0.20 MidClifford
And 51.80 54.32 2.52 2.80
incudes 53.20 53.96 0.76 8.62
and 57.45 61.42 3.97 0.52
includes 60.10 61.03 0.93 1.14
Clifford 21LNDD007 8.25 10.26 2.01 0.11 SouthClifford
And 32.08 34.56 2.48 1.47
includes 32.52 33.81 1.29 2.54
and includes 32.52 32.95 0.43 4.02
And 37.87 38.61 0.74 3.73
Clifford 21LNDD008 16.76 21.67 4.91 0.26 SouthClifford
And 35.00 35.89 0.89 2.91
And 38.97 42.50 3.53 0.97
includes 40.45 41.15 0.70 3.08
And 46.67 48.25 1.58 0.88
52.49 55.50 3.01 0.13
Clifford 21LNDD009 42.81 47.96 5.15 5.27 SouthClifford
includes 44.09 44.87 0.78 31.40
And 57.84 60.87 3.03 1.37
includes 58.69 59.56 0.87 4.01
And 73.01 75.06 2.05 0.89
And 83.08 83.92 0.84 0.99
And 90.00 93.43 3.43 0.52
includes 90.69 91.26 0.57 2.54
Clifford 21LNDD010 24.80 26.80 2.00 0.34 MidClifford
And 29.38 31.19 1.81 0.27
And 97.95 100.49 2.54 0.49
includes 99.39 100.49 1.10 0.94
And 107.54 112.53 4.99 1.07
includes 109.90 111.03 1.13 3.60
And 115.05 115.49 0.44 1.37
And 117.00 118.15 1.15 0.54
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Notes
1. Intervals are presented in core length; holes are generally planned to intersect mineralization as close to perpendicular
to strike as possible; true widths are estimated to be 75% - 90% of downhole length when hole and mineralized horizons
orientations are considered.
2. Assay results presented are not capped. Intercepts occur within geological confines of major zones but have not been
correlated to individual structures/horizons within these zones at this time.
3. Vertical depth is measured from the surface to the mid-point of the reported interval.
Table 2: Drill Hole Locations GDA94 Zone 51
Hole ID Easting (m) Northing (m) Elevation (m) Length
(m)
Azimuth
(degrees)
Dip
(degrees)
21LNDD001 309923 6849934 444 70.08 225 -60
21LNDD002 309961 6849957 444 138.69 235 -60
21LNDD003 309924 6849907 444 66.32 235 -60
21LNDD004 309906 6849875 444 57.4 235 -60
21LNDD005 310065 6849698 448 126.63 232 -70
21LNDD006 310067 6849673 448 66.10 232 -65
21LNDD007 310136 6849515 448 45.06 230 -65
21LNDD008 310166 6849502 448 77.08 230 -70
21LNDD009 310168 6849539 452 101.81 230 -70
21LNDD010 310105 6849694 451 126.33 232 -70
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Figure 1: Drill hole locations at Clifford Target
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Figure 2: Vertical Section of the Mid drill fence looking NNW.