Redstar Gold Commences Three Drill Rig, 8,000 Metre Exploration Program at Unga, Alaska
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Redstar Gold Commences Three Drill Rig, 8,000 Metre
Exploration Program at Unga, Alaska
Vancouver, Canada, September 10, 2020 - Redstar Gold Corp. (TSX.V: RGC, US: RGCTF, FRA: RGG) ("Redstar" or
the "Company") is pleased to announce that drilling has commenced at its flagship Unga project in Alaska. The
company is planning to complete a C$6,000,000 exploration program on the property from September to late
November, 2020.
Redstar CEO, Charles Funk, commented “Commencing drilling at Unga is another significant milestone for Redstar
Gold as we complete our transformation into a leading exploration company. A field camp has been established
and the company will use three drill rigs to complete an 8,000 metre program expanding the SH-1 resource area
and test three other attractive gold targets, namely Apollo, Centennial and Aquila. The company looks forward
to providing consistent news flow over the coming months as we test the potential of Unga to host a large high-
grade gold resource.”
Exploration Program
With an exploration camp established, one drill rig on site and two more arriving next week , Redstar has
commenced its 2020 exploration program at Unga. The company has designed the program to meet all COVID-
19 guidelines and protocols, and is committed to safely managing the exploration program with a focus on health
and safety for our employees, contractors and local communities.
In August the company entered into a new surface access agreement, for a three year period, with the Unga
Corporation to allow for the continuation of exploration on Unga Island.
Four targets will be drilled during the 2020 exploration program (Figure 1).
Figure 1: Unga project with 2020 drill targets marked with green boxes and labelled.
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SH-1 Resource area
The SH-1 target has been the focus of significant d rilling in recent years , with wide veins and high gold grades
intersected. Initial drilling will be shallow to infill gaps between the first down-dip intersections and the surface
(Figure 2).
Figure 2: Longitdunal section through SH-1 Resource area with infill targets show in green boxes and expansion areas with green arrows.
Outside of the main mineralized zone, drill spacing varies between 100 -300 metres which is too sparse for drill
definition of a higher confidence mineral resource in an epithermal vein system. Infill holes will be completed to
improve estimation of a future resource.
The deepest holes at SH-1 show significant mineralization, and extension drilling is planned to add further depth
and strike extent to these open intersections.
Apollo
The Apollo gold mine was Alaska’s first underground gold mine and operated until 1922. The mine is reported
to have produced an estimated 150,000 ounces of gold at approximately 10 grams per tonne, although this has
not been verified by the company . Mining took advantage of free milling gold in the first 200 vertical metres
before ore transitioned, with increasing depth, from gold-dominant to gold, silver, and base metal-rich, for which
processing technology of the time was not able to profitably recover the gold . The company will be the first to
drill the extension of the historic orebody , where shafts and tunnels defined polymetallic ore over significant
widths and strike extent (Figure 3).
409 West Granville Street, Suite 1500, Vancouver, BC V6C 12M, Canada -- Tel 604.488.0051 | Toll Free 1.877.488.0046
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Figure 3: Modified historic longitudinal section from Apollo Mine with interpreted extensions to mineralization from tunnels and shafts
shown in red. These areas will be the focus of drilling in 2020.
Centennial
Battle Mountain Gold discovered a n outcropping, flat-lying body of gold mineralization on Popof island in the
1980’s, where permeable tuff units are a preferential host to epithermal mineralization. Drilling and geophysics
suggest higher grade feeder zones exist within this mineralization and these feeders will be the focus of drilling
in 2020.
Aquila
Battle Mountain Gold also discovered mineralization at Aquila on Unga Island in the 1980’s, where mapping and
trenching defined gold mineralization in outcropping veins. Limited drilling was unsuccessful and abandoned in
large part due to poor drill recoveries. Redstar will drill use modern drilling techniques with aim of obtaining
high core recovery to better test the Aquila target.
About Redstar Gold Corp.
Redstar is a well-financed junior exploration and development company with a portfolio of high-grade projects
in Alaska and Mexico. The company’s flagship asset is the 100% controlled Unga Gold Project on Unga and Popof
Islands in Alaska. The project hosts an intermediate sulfidation epithermal gold deposit, located within the
district-scale property that encompasses 240km 2 across the two islands . Additional targets on the property
include porphyry, high sulphidation and intermediate sulphidati on epithermal veins. On Unga Island, priority
targets include: the SH-1 and Aquila high-grade gold zones, both on the Shumagin Trend, the former Apollo-Sitka
mine, which was Alaska’s first underground gold mine and the Zachary Bay porphyry gold -copper district. The
gold mineralization at the Centennial Zone is located on neighbouring Popof Island , within four kilometres of
infrastructure and services at Sand Point.
In Mexico, the company owns 100% of three early stage epithermal projects in Sonora that are highly prospective
for gold and silver. Cumaro forms a key piece of the El Picacho district, while the Oso Negro and La Lola projects
are also prospective for epithermal gold-silver mineralization.
409 West Granville Street, Suite 1500, Vancouver, BC V6C 12M, Canada -- Tel 604.488.0051 | Toll Free 1.877.488.0046
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Redstar is asking shareholders at the company’s AGM on September 29th, 2020 to approve a 15:1 consolidation
of the outstanding Redstar shares and approve a name change to Heliostar Metals Ltd.
For additional information please contact:
Charles Funk
Chief Executive Officer
Redstar Gold Corp.
Email: [email protected]
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.
Forward-Looking Information. This release includ es certain statements that may be deemed "forward -looking
statements". Forward-looking statements are statements that are not historical facts and are generally, but not
always, identified by the words "expects", "plans", "anticipates", "believes", "inten ds", "estimates", "projects",
"potential" and similar expressions, or that events or conditions "would", "may", "could" or "should" occur.
Forward-looking statements in this press release include Redstar’s expectations that the transactions
contemplated in the Agreement will be approved by the TSX Venture Exchange and completed and that it can
obtain shareholder approval for its proposed post-closing share consolidation, name change and the election of
both the Redstar nominees and the Heliodor nominees at its next general meeting of shareholders, that it can
successfully raise at least C$6 million and, if so, the number of Redstar shares that would be issued in the offering,
and, finally, that it can commence exploration at its Unga project in late August and that it can achieve its 2020
exploration plans. Although the Company believes the expectations expressed in such forward -looking
statements are based on reasonable assumptions, such statements are not guaranteeing of future performance
and actual results may differ materially from those in the forward -looking statements. Factors that could cause
the actual results to differ materially from those in forward-looking statements include market prices, exploitation
and exploration successes, and 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 statements.
Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on
the date the statements are made. Except as required by applicable securities laws, the Company undertakes no
obligation to update these forward -looking statements in the event that management's beliefs, estimates or
opinions, or other factors, should change.