Generation Mining discovers high density seismic target beneath Sally Palladium- Copper Deposit
Generation Mining discovers high density
seismic target beneath Sally Palladium-
Copper Deposit
Toronto, Ontario – February 25, 2020 – Generation Mining Limited (CSE:GENM) (“Gen
Mining” or the “Company”) is pleased to announce the discovery of a large, high velocity seismic
anomaly that extends at depth from the Sally Deposit. The anomaly continues into the Archean
footwall which constitutes a previously unexplored area for platinum group elements (“PGE”) and
copper mineralization. The velocity anomaly when projected to surface coincides with a reversely
polarized magnetic trend which is used as an exploration tool to identify prospective lithologies.
Gen Mining staked 215 new claim blocks in August 2019 (previously announced on A ugust 21st,
2019). 76 of the new claim blocks are situated north of the Sally Deposit and the Boyer zone. This
area has multiple reversely polarized magnetic trends which are typically indicative of the Eastern
Gabbro series rocks which host PGE and copper mineralization. The high density seismic target
identified in the Archean footwall north of Sally is the first of these magnetic anomalies to be
modeled at depth and targeted for additional exploration work.
The anomaly has a narrow neck extending down f rom the direction of the Sally Deposit which
opens at depth into a flat lying intrusion. The depth to the top of the anomaly is approximately
850 m and the underside of the flat lying intrusion is at depth of about 1,500 m. The main body
of the intrusion is 500 m wide, 400 m thick and almost 2,000 m in length.
Mafic and ultramafic lithologies which host PGE-Cu mineralization on the Marathon Property are
dense relative to the Archean footwall and are resolved by seismic velocity. Seismic wave
velocities are controlled by the density of the medium it passes through. Consequently, high
seismic velocities are a proxy for dense and, in this instance, PGE-Cu prospective lithologies.
The anomaly has a similar shape, strike length and direction to that of pyroxenites, a type of dense
ultramafic lithology, mapped at surface. These pyroxenites in turn host mineralized apatitic
pyroxenites which have returned assay results from three fist sized surface grab samples
(previously announced on July 25th, 2019) and a near surface 0.25 m interval of massive sulphide
from a drillhole (at a depth of 12.35 m) completed in 2017 (SL -17-58). Assay results from the
aforementioned surface grab samples and shallow drill hole core are tabulated immediately below.
Sample Type Number Au g/t Pt g/t Pd g/t Cu % Ni %
Surface grab K008054 2.59 0.48 185 9.11 0.60
Surface grab C375601 0.13 0.94 18.35 1.14 0.03
Surface grab C375603 3.87 0.19 227 5.52 1.46
Short 0.25 m interval of massive
sulphide from DDH SL-17-58 at a
depth of 12.35 m below surface
K008911 0.16 0.56 4.38 2.16 0.87
If the anomaly represents a mafic -ultramafic conduit then it may represent the feeder zone to the
Sally Deposit and may also host massive sulphides with potentially higher- grade mineralization
than the disseminated mineralization. Surface sample results, as shown in the table above, are a
compelling reason to test for potential massive sulphide mineralization at depth.
The Company is in the process of developing an exploration program to evaluate the seismic target.
https://genmining.com/site/assets/files/3707/sally_surface_plan_velocity_anomaly_pr_feb24.jpg
https://genmining.com/site/assets/files/3707/claims_topo_sl_drill_area_pr_2020feb.jpg
https://genmining.com/site/assets/files/3707/e538380_velocity_anomaly_pr_feb24.jpg
About the Sisprobe Passive Seismic Survey
The passive (also known as noise -based) seismic survey was completed by Sisprobe which is a
European-based geophysical company specializing in the environmentally benign acquisition and
processing of ambient seismic noise to produce subsurface images. The survey used 3 component
geophones to increase resolution relative to the survey completed at Ma rathon (see press release
of July 25th, 2019 for survey details). The survey covered an area of 3 km by 4.5 km comprising
the majority of the prospective ground around the Sally Deposit. The velocity model produced by
the survey images velocity anomalies to a depth of approximately 2 km.
About the Sally Deposit
The Sally Deposit is one of three deposits, the other two are the Marathon and Geordie deposits,
on the Marathon Property for which there are NI 43-101 compliant resource estimates available.
Details concerning the Sally Deposit resource are provided in a NI 43 -101 & NI 43- 101F1
Technical Report titled “Technical Report, Updated Mineral Resource Estimate and Preliminary
Economic Assessment of the Marathon Deposit, Thunder Bay Mining District No rthwestern
Ontario, Canada 48° 45’ N Latitude, 86° 19’ W Longitude”. The aforementioned technical report
was completed by P&E Mining Consultants Inc. for Gen Mining and was recently filed on SEDAR
as per the Company’s press release of February 20 th, 2020. The Sally Pit Constrained Mineral
Resource Estimate provided in Table 14.39 of the technical report is reproduced immediately
below.
TABLE 14.1
SALLY PIT CONSTRAINED MINERAL RESOURCE ESTIMATE (1-5)
Classification Tonnes
(k)
Pd
(g/t)
Pt
(g/t)
Cu
(%)
Au
(g/t)
Ag
(g/t)
PdEq
(g/t)
Pd
(koz)
Pt
(koz)
Cu
(Mlb)
Au
(koz)
Ag
(koz)
Indicated 24,801 0.35 0.20 0.17 0.07 0.7 0.96 278 160 93 56 567
Inferred 14,019 0.28 0.15 0.19 0.05 0.6 0.86 124 70 57 24 280
Notes:
1. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.
2. The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation,
socio-political, marketing, or other relevant issues.
3. The Inferred Mineral Resource in this estimate has a lower level of confidence than that applied to an Indicated
Mineral Resource and must not be converted to a Mineral Reserve. It is reasonably expected that the majority
of the Inferred Mineral Resource could be upgraded to an Indicated Mineral Resource with continued
exploration.
4. The Mineral Resources in this report were estimated using the Canadian Institute of Mining, Metallurgy and
Petroleum (CIM), CIM Standards on Mineral Resources and Res erves, Definitions and Guidelines prepared
by the CIM Standing Committee on Reserve Definitions and adopted by the CIM Council.
5. The Mineral Resource Estimate was based on metal prices of US$3.00/lb copper, US$1,300/oz gold, US$16/oz
silver, US$1,100 /oz palladium, and US$900/oz platinum, and an NSR cut-off value of CDN$15/t.
Qualified Person
Rod Thomas, P.Geo., Company Vice -President, Exploration and a Director has reviewed and
approved the scientific and technical information contained in this news release. Mr. Thomas is a
Qualified Person for the purposes of National Instrument 43 -101 Standards of Disclosure for
Mineral Projects.
For further information please contact:
Jamie Levy
President and Chief Executive
Officer
(416) 640-2934
(416) 567-2440
Forward-Looking Information
This news release includes certain information that may be deemed “forward-looking information” under
applicable securities laws. All statements in this release, other than statements of historical facts, that
address acquisition of the Property and future work thereon, M ineral Resource and Reserve potential,
exploration activities and events or developments that the Company expects is forward-looking
information. Although the Company believes the expectations expressed in such statements are based on
reasonable assumptions, such statements are not guarantees of future performance and actual results or
developments may differ materially from those in the statements. There are certain factors that could
cause actual results to differ materially from those in the forward- looking information. These include the
results of the Company’s due diligence investigations, market prices, exploration successes, continued
availability of capital and financing, and general economic, market or business conditions.
Investors are cautioned that any such statements are not guarantees of future performance and actual
results or developments may differ materially from those projected in the forward-looking information.
For more information on the Company, investors are encouraged to review the Company’s public filings
at www.sedar.com. The Company disclaims any intention or obligation to update or revise any forward-
looking information, whether as a result of new information, future events or otherwise, other than as
required by law.