GFG Drills High-Grade Gold on First Drill Test at Aljo, Extends Montclerg 1 km East & Resumes Drilling in Timmins
Media Release
TSX.V: GFG | OTCQB: GFGSF
GFG Drills High-Grade Gold on First Drill Test at Aljo, Extends
Montclerg 1 km East & Resumes Drilling in Timmins
KEY HIGHLIGHTS:
• First pass drilling at the Aljo Mine Target (“Aljo”) successfully returned high-grade gold intervals at
shallow depths across multiple vein systems along with broader intervals of low-grade mineralization.
o ALJ-22-002: 3.03 grams per tonne gold (“g/t Au”) over 12.9 metres (“m”) including 59.80 g/t
Au over 0.60 m and 6.58 g/t Au over 4.3 m including 27.4 g/t Au over 1.0 m
• Hole MTC-22-044 successfully confirmed gold mineralization continues 1 km to the east of MC
Central intersecting two broad zones:
o MTC-22-044: 0.99 g/t Au over 9.7 m and 0.82 g/t Au over 7.7 m
• Since acquiring Montclerg just over a year ago, GFG has completed over 11,000 m of drilling from 47
holes and achieved approximately a 90% drilling hit rate.
• The Phase 1 2023 drill program has begun and is expected to consist of approximately 3,000 m of
drilling. The program will focus on infill and step-out drilling on and around the Montclerg Gold
Project.
• In 2023, the Company plans to complete three drill programs totalling 10-12,000 m of drilling.
Additional exploration activities are scheduled across the Goldarm Property that include regional
geophysical and geochemical surveys, mapping and significant data compilation and analysis.
April 11, 2023, Saskatoon, Saskatchewan, Canada: GFG Resources Inc. (TSXV: GFG) (OTCQB: GFGSF)
(“GFG” or the “Company”) reports continued high-grade gold assay results from its 2022 Phase 2 drill program
at the Montclerg Gold Project, located 40 kilometres (“km”) east of Timmins, Ontario. (see Tables 1-2 and Figures
1-4). Today’s results from the final five drill holes from the 2022 Phase 2 program demonstrate strong continuity
and further expansion east of the Montclerg gold system and the high-grade potential at Aljo.
Overall, the Phase 2 drill program successfully achieved its objectives of growing and demonstrating continuity at
Montclerg, extending gold mineralization at least 1 km to the east and outlining the significant opportunity present
at Aljo for a second robust gold system on the Goldarm Property.
“The final drill holes from our 2022 Phase 2 drill program were higher risk by design. We are very pleased to prove
that this underexplored region is extremely prospective and has immense potential to host multiple gold deposits,”
stated Brian Skanderbeg, President and CEO of GFG.
“Drilling east of the Montclerg gold system is very limited; so we are excited to intersect two significant zones of
gold mineralization one km away from the MC Central target. Much more work and drilling is on-going and will
be a priority in this new target area. Looking 30 km to the east at the Aljo target, our first pass drilling returned the
highest-grade assays to date on the Goldarm Property. Drilling returned high-grade intervals at shallow depths
across multiple vein systems and broader intervals of low er grade mineralization. We are very optimistic that we
can continue our previous successes as we embark on our largest drilling campaign in our history.”
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Table 1: Recent Assay Results from the 2022 Phase 2 Drill Program at the Montclerg Gold Project
Hole ID From (m) To (m) Length (m) Au g/t
MTC-22-043 72.1 79.6 7.5 2.06
and 99.0 106.0 7.0 0.67
and 154.8 157.8 3.0 1.24
MTC-22-044 283.8 293.5 9.7 0.99
and 301.0 308.7 7.7 0.82
ALJ-22-001 32.3 38.0 5.7 0.74
and 74.2 84.9 10.7 0.47
and 88.0 98.3 10.3 1.06
ALJ-22-002 25.0 32.0 7.0 0.62
and 62.1 75.0 12.9 3.03
incl. 67.5 68.1 0.6 59.80
and 79.0 93.9 14.9 1.32
incl. 85.3 86.2 0.9 10.90
and 101.0 105.3 4.3 6.58
incl. 103.2 104.2 1.0 27.40
ALJ-22-003 51.3 65.7 14.4 0.30
*Drill intercepts are presented using a 0.20 g/t Au cut-off and as drilled length. Composites include internal dilution of up to 3 m at grades
less than 0.2 g/t Au. Included intervals are calculated using a 3 g/t cut-off. True width is estimated to be 50 to 90% of drilled length.
2023 Exploration Program
In 2023, the Company’s focus will be on defining and growing the Montclerg gold deposit and testing five high-
priority gold and gold-copper targets within its Goldarm Property. For the year, the Company plans to complete 10-
12,000 m of drilling in three phases at multiple permitted and drill ready targets on the Goldarm Property. The
Phase 1 2023 drill program has started with a goal to complete approximately 3,000 m of drilling from 12-14 holes
at the Montclerg Gold Project and is expected to be completed near the end of April. In addition to the planned drill
programs, GFG will continue to complete extensive surface exploration across the Goldarm Property which covers
30 km of the Pipestone and North Pipestone deformation zones and is surrounded by significant gold mining
infrastructure. The 2023 exploration budget will be approximately C$3.0 million and is fully funded.
Commentary on Assay Results
MTC-22-043 – was drilled to test the shallow felsic mineralization 40 m west of hole MTC -21-012 (see press
release dated April 28, 2022), which intersected several zones of mineralization including 1.48 g/t Au over 22.6 m
and 8.46 g/t Au over 5.0 m. The hole successfully intersected Upper Main and Lower Main Zones with a notable
interval of 2.06 g/t Au over 7.5 m . Mineralization is hosted in massive and fractured felsic volcanics with patchy
silica, moderate to strong sericite alteration and quartz veining up to 20%. Sulphides are dominantly disseminated
with pyrite ranging from trace to 2% and arsenopyrite ranging from trace to 5%.
MTC-22-044 – was the most significant eastern step-out hole drilled to date. The hole was drilled approximately 1
km east of the MC Central area to confirm stratigraphy and test gold mineralization continuity, specifically the
high-grade Lower Footwall Zone. The hole successfully intersected two significant zones and is highlighted by
0.96 g/t Au over 9.7 m and 0.82 g/t Au over 7.7 m. The lithology and mineralization in this hole are similar in
character to the Upper Footwall Zone in the MC Central area and demonstrate prospectivity to the east. The
mineralized zone is hosted in grey- green mafic volcanic stratigraphy that exhibit s variable textures including
brecciation, flow banding and hyaloclastite intervals. Sericite and carbonate alteration are patchy to pervasive and
moderate to strong in intensity. Quartz and quartz-carbonate veining comprise up to 20% of the rock and are
irregular to chaotic in nature. Pyrite occurs as trace to 12% in veins, disseminations and in breccias. Arsenopyrite
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comprises up to 8% and is mostly proximal to or within veining. Follow-up drilling is warranted and is on-going in
the 2023 Phase1 drill program.
ALJ-22-001 – was drilled to test 35 m east of the known Aljo Mine workings . The hole successfully intersected
1.06 g/t Au over 10.3 m. Sporadic and irregular veinlets of quartz veins up to 10% and trace wispy carbonate veins
occur in clusters. Strong sericite and carbonate alteration occur as vein halos. Pyrite, pyrrhotite and chalcopyrite
occurs as disseminations throughout the host rock and within veins in trace amounts.
ALJ-22-002 – was drilled 25 m east of historical drilling which returned 83.63 g/t Au over 1.8 m (1), on the Southern
Aljo trend. The hole successfully intersected several intervals of high grade: 1) 3.03 g/t Au over 12.9 m including
59.80 g/t Au over 0.6 m; 2) 1.32 g/t Au over 14.9 m; and 3) 6.58 g/t Au over 4.3 m including 27.40 g/t Au over
1.0 m. These intervals are hosted in green to purple brecciated mafics. Silica-carbonate alteration is weak to intense
and occurs as fracture fill or vein halos. Quartz and quartz-carbonate veins and breccias comprise up to 20% of the
intervals. Sulphides are present with pyrite and pyrrhotite occurring as disseminations and veins in the host rock
from trace up to 10%.
ALJ-22-003 – was drilled to test the historically defined “grey zone” and Kingswood Shear. The hole successfully
intersected three zones of low-grade mineralization highlighted by 0.30 g/t Au over 14.4 m. Sericite-carbonate
alteration is moderate to intense. Quartz and quartz -carbonate veining occurs as fracture fill and isolated veinlets
up to 15% in brecciated rock. Pyrite is disseminated and within the veins from trace to 2% while pyrrhotite occurs
in trace amounts within the mineralized veins.
Figure 1: Regional Map of GFG Gold Projects in the Timmins Gold District
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Figure 2: Goldarm Property Plan View Map
Figure 3: Montclerg Gold Project Plan View Map
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Figure 4: Aljo Target Plan View Map(1)
Table 2: GFG Drill Hole Assay Highlights from the Montclerg Gold Project
Hole ID From (m) To (m) Length (m) Au (g/t) Zone
MTC-21-001 62.5 90.0 27.5 1.56 Upper Main
and 126.0 166.5 40.5 0.78 Lower Main
incl. 130.8 138.0 7.3 2.20
MTC-21-004 39.8 64.0 24.2 0.73 Upper Main
and 75.7 86.1 10.4 1.24 Lower Main
incl. 81.0 85.1 4.1 2.37
and 230.5 246.0 15.5 1.23 Lower Footwall
incl. 241.7 245.0 3.3 3.09
MTC-21-005 86.0 112.0 26.0 4.82 Upper Footwall
incl. 94.3 96.1 1.8 15.96
and 103.8 109.3 5.5 12.32
and 118.9 120.6 1.7 11.29
MTC-21-006 98.3 105.8 7.5 8.34 Upper Footwall
incl. 98.3 101.0 2.7 15.04
MTC-21-007 65.4 95.6 31.1 1.40 Upper Main
and 108.0 131.0 23.0 1.11 Lower Main
MTC-21-009 45.0 60.0 15.0 1.23 Upper Main
MTC-21-010 79.5 106.5 27.0 1.05 Upper Main
incl. 89.6 100.5 10.9 1.84
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MTC-22-015 24.0 57.5 33.5 1.32 MC West
incl. 24.0 28.7 4.7 5.15
MTC-22-018 52.0 57.9 5.9 3.51 MC West
incl. 53.9 56.0 2.1 7.93
MTC-22-019 112.6 118.1 5.5 4.38 Upper Footwall
incl. 112.6 116.0 3.4 6.37
MTC-22-020 22.4 34.1 11.7 1.07 Upper Main
and 97.0 105.3 8.3 4.95 Upper Footwall
incl. 102.8 105.3 2.5 12.83
MTC-22-021 50.3 72.0 21.7 1.51 Upper Main
incl. 62.2 64.0 1.8 8.17
MTC-22-023 17.6 88.0 70.4 1.60 Upper Main
incl. 35.2 42.0 6.8 2.43
incl. 76.2 81.0 4.8 4.97
and 124.5 133.2 8.7 2.46 Upper Footwall
incl. 131.4 133.2 1.8 7.75
MTC-22-029 104.4 111.5 7.1 4.98 Upper Footwall
incl. 104.4 107.6 3.2 7.02
incl. 110.4 111.5 1.1 7.79
MTC-22-030 71.0 86.0 15.0 3.40 Upper Footwall
incl. 71.0 74.0 3.0 6.21
incl. 81.9 82.9 1.0 17.50
MTC-22-031 285.2 292.6 7.4 2.78 Lower Footwall
incl. 290.3 292.6 2.3 7.83
and 300.4 302.0 1.6 4.59 Lower Footwall
and 319.5 320.5 1.0 4.80 Undefined
and 332.8 333.3 0.5 5.27 Undefined
MTC-22-034 46.4 52.5 6.1 0.94 Upper Main
and 79.5 94.6 14.5 1.37 Lower Main
incl. 85.2 86.8 1.6 3.97
and 161.7 171.0 9.3 5.26 Upper Footwall
incl. 163.9 168.3 4.4 10.77
MTC-22-035 31.2 38.8 7.5 0.79 Upper Main
and 72.0 85.2 13.2 2.31 Lower Main
incl. 77.0 82.1 5.1 4.07
and 125.3 141.3 16.0 9.85 Upper Footwall
incl. 130.3 137.8 7.5 14.99
MTC-22-036 79.0 85.0 6.0 9.63 Upper Footwall
incl. 80.5 84.0 3.5 15.40
MTC-22-039 79.8 83.3 3.3 4.32 Upper Footwall
incl. 80.7 83.3 2.6 5.74
and 88.0 98.3 10.3 3.95
MTC-22-041 76.2 81.0 4.8 4.89 Upper Footwall
incl. 81.0 80.1 1.1 14.40
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MTC-22-042 96.4 119.0 22.6 1.48 Lower Main
and 149.5 152.0 2.5 4.00
and 307.3 312.3 5.0 8.46 Lower Footwall
incl. 309.3 312.3 2.0 16.40
ALJ-22-002 25.0 32.0 7.0 0.62
and 62.1 75.0 12.9 3.03
incl. 67.5 68.1 0.6 59.80
and 79.0 93.9 14.9 1.32
incl. 85.3 86.2 0.9 10.90
and 101.0 105.3 4.3 6.58
incl. 103.2 104.2 1.0 27.40
*Drill intercepts are presented using a 0.20 g/t Au cut-off and as drilled length. Composites include internal dilution of up to 3 m at grades
less than 0.2 g/t Au. Included intervals are calculated using a 3 g/t cut-off. True width is estimated to be 50 to 90% of drilled length.
About the Goldarm Property
The Goldarm Property is a large and highly prospective land package east of the Timmins Gold Camp (see Figures
1-2). The consolidated Goldarm Property covers approximately 30 kilometres (“km”) of the Pipestone Deformation
Zone and the North Pipestone Deformation Zone. Within the Goldarm Property, there are several highly prospective
gold targets such as the Aljo Gold Mine region, the Carr target and the Montclerg Gold Project which is the most
advanced target. The Montclerg Gold Project covers 10 km of the highly prospective Pipestone Deformation Zone
and is located 48 km east of the prolific Timmins Gold Camp and is a djacent to multiple current and historic gold
mines (see Figure 1).
About GFG Resources Inc.
GFG is a North American precious metals exploration company focused on district scale gold projects in tier one
mining jurisdictions, Ontario and Wyoming. In Ontario, the Company operates three gold projects, each large and
highly prospective gold properties within the prolific gold district of Timmins, Ontario, Canada. The projects have
similar geological settings that host most of the gold deposits found in the Timmins Gold Camp which have
produced over 70 million ounces of gold. The Company also owns 100% of the Rattlesnake Hills Gold Project, a
district scale gold exploration project located approximately 100 k m southwest of Casper, Wyoming, U.S. In
Wyoming, the Company has partnered with Group 11 Technologies Inc. through an option and earn-in agreement
to advance the Company’s Rattlesnake Hills Gold Project with a technology that could revolutionize the gold
mining industry.
For further information, please contact:
Brian Skanderbeg, President & CEO
or
Marc Lepage, Vice President, Business Development
Phone: (306) 931-0930
Email: [email protected]
Website: www.gfgresources.com
Stay Connected with Us
Twitter: @GFGResources
LinkedIn: https://www.linkedin.com/company/gfgresources/
Facebook: https://www.facebook.com/GFGResourcesInc/
Footnote:
(1) Drill intercepts are historical and GFG’s QP has not verified the laboratory accreditation, analytical method,
sample size or QA/QC procedures utilized for the historic drill results. True widths have not been estimated.
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Potential quantity and grade is conceptual in nature. There has been insufficient exploration to define a Mineral
Resource on the Coulson Claims to date and it is uncertain if further exploration will result in the Coulson Claims
being defined as a Mineral Resource.
Sampling and Quality Control
All scientific and technical information contained in this press release has been prepared under the supervision of
Brian Skanderbeg, P.Geo. President and CEO of GFG, a qualified person within the meaning of National Instrument
43-101.
Drill core samples are being analyzed for gold by Activation Laboratories Ltd. in Timmins, Ontario. Gold analysis
consists of the preparation of a 500- gram pulp and an assay of a 50 -gram aliquot by Pb collection fire assay with
an Atomic Absorption Spectrometry finish (Package 1A2-50. Samples assaying above 5 ppm Au are routinely re -
run using a gravimetric finish (Package 1A3-50). Mineralized zones containing visible gold are analyzed by a screen
metallic fire assay method. Selected samples are also undergoing multi-element analysis for 59 other elements using
a four-acid digestion and an ICP -MS finish (Package MA250) by Bureau Veritas Commodities Canada Ltd. in
Vancouver, British Columbia. Quality control and assurance measures include the monitoring of results for inserted
certified reference materials, coarse blanks and preparation duplicates of drill core.
Drill intercepts are presented using a 0.20 g/t Au cut-off and as drilled length. Composites include internal dilution
of up to 3 m at grades less than 0.2 g/t Au. True width is estimated to be 50 to 90% of drilled length. Sampling
protocols, quality control and assurance measures and geochemical results related to historic drill core samples
quoted in this news release have not been verified by the Qualified Person and therefore must be regarded as
estimates.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
CAUTION REGARDING FORWARD-LOOKING INFORMATION
All statements, other than statements of historical fact, contained in this news release constitute “forward-looking information” within the meaning of applicable
Canadian securities laws and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 (referred
to herein as “forward-looking statements”). Forward-looking statements include, but are not limited to, the Company’s future exploration plans with respect
to its property interests and the timing thereof, the prospective nature of the projects, future price of gold, success of exploration activities and metallurgical
test work, permitting time lines, currency exchange rate fluctuations, requirements for additional capital, government regula tion of exploration work,
environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage. Gene rally, these forward -looking
statements can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”,
“estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate” or “believes”, or the negative connotation thereo f or variations of such words and
phrases or state that certain actions, events or results, “may”, “could”, “would”, “will”, “might” or “will be taken”, “occur” or “be achieved” or the negative
connotation thereof.
All forward-looking statements are based on various assumptions, including, without limita tion, the expectations and beliefs of management, the assumed
long-term price of gold, that the Company will receive required permits and access to surface rights, that the Company can access financing, appropriate
equipment and sufficient labour, and that the political environment within Canada and the United States will continue to support the development of mining
projects in Canada and the United States. In addition, the similarity or proximity of other gold deposits to the Company’s projects is not necessary indicative
of the geological setting, alteration and mineralization of the Rattlesnake Hills Gold Project, the Goldarm Property, the Pen Gold Project and the Dore Gold
Project.
Forward-looking statements are subject to known and unknown risks, unc ertainties and other factors that may cause the actual results, level of activity,
performance or achievements of GFG to be materially different from those expressed or implied by such forward-looking statements, including but not limited
to: actual results of current exploration activities; environmental risks; future prices of gold; operating risks; accidents, labour issues an d other risks of the
mining industry; availability of capital, delays in obtaining government approvals or financing; and other risks and uncertainties. These risks and uncertainties
are not, and should not be construed as being, exhaustive.
Although GFG has attempted to identify important factors that could cause actual results to differ materially from those contained in forward -looking
statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will
prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. In addition, forward -looking
statements are provided solely for the purpose of providing information about management’s current expectations and plans and allowing investors and others
to get a better understanding of our operating environment. Accordingly, readers should not place undue reliance on forward-looking statements.
Forward-looking statements in this news release are made as of the date hereof and GFG assumes no obligation to update any forward -looking statements,
except as required by applicable laws.