Japan Gold Reports Encouraging Results from the 2017 Exploration Program at the Aibetsu Project in North Hokkaido
TSX-V: JG
OTCQB: JGLDF
Japan Gold Corp.
Suite 650 – 669 Howe Street, Vancouver, BC V6C 0B4 Canada
Phone: +1 778-725-1491
www.japangold.com
NEWS RELEASE
Japan Gold Reports Encouraging Results from the 2017 Exploration Program at the
Aibetsu Project in North Hokkaido
February 28, 2018 – Vancouver, BC – Japan Gold Corp. (TSX-V: JG) (“Japan Gold ” or the
“Company”) is pleased to report results from its 2017 exploration program at the Aibetsu Epithermal
Gold-Silver Project. Results confirm the presence of high-grade gold mineralization within and around
the historic Tokusei mine workings and emphasize significant potential for extensions to the epithermal
vein system at the Tokusei mine.
Chairman and CEO, John Proust, stated, “The potential for high -grade gold vein mineralization at
deeper levels below and surrounding the historic Tokusei mine workings is largely untested at Aibetsu.
The occurrence of sedimentary basement rocks at shallow levels beneath the gold workings also
presents a target for high-grade mineralization proximal to the basement unconformity, similar in style
to the Hishikari deposit in Kyushu.”
The 2017 Exploration Program
The 2017 exploration program at the Aibetsu Project included rock chip sampling, detailed mapping
and a soil grid geochemical survey over three historic gold-silver and mercury mines within its 7,035
hectare project. The project location is shown in Figure 1.
Rock Chip Results
Assay results were received for 237 selective grab and chip samples collected from mine dumps,
workings and creek float in the Tokusei mine area. Sample locations and significant gold results (>0.5
g/t Au) are presented in Figure 2 and Table 1. Forty-one of these samples from the Tokusei gold
workings gave gold and silver results ranging from 1.24 to 78.4 g/t Au and 2.87 to 255 g/t Ag,
respectively (refer to Table 1). The samples are also anomalous in the epithermal pathfinder elements
arsenic, antimony and mercury.
Most of the higher-grade gold and silver results (>10 g/t Au and >50 g/t silver) are from vein outcrops,
float and dump material found on and adjacent to the historic underground mine workings, where the
upper parts of the Tokusei vein system are exposed.
The highest grade assay (78.4 g/t gold and 255 g/t Ag) was obtained from a chip channel sample
(SAM01954) taken across a 20-cm wide banded chalcedony-quartz-adularia vein containing traces of
disseminated fine-grained black sulfides. This vein is partly exposed at the entrance of a collapsed
tunnel; the entire width of the vein is uncertain because the tunnel could not be accessed. Chip channel
samples from an exposure of an adjacent parallel vein returned results of 7.36 g/t Au & 38 g/t Ag and
14 g/t Au & 79.4 g/t Ag from two 0.7-m chip channel samples (SAM01957 and SAM01958, Photo 1)
across a 1.4 -m wide banded chalcedony -quartz-adularia vein containing traces of disseminated fine -
grained black sulphides.
Nine vein float samples taken in creeks surrounding the Tokusei workings returned encouraging gold
and silver results ranging from 10.6 to 33.3 g/t Au and 60.9 to 150 g/t Ag, respectively. These samples,
like the vein outcrops, show well -developed colloform-crustiform textures (Photo 2) with occasional
bands containing disseminated fine-grained black sulphide mineralization (‘ginguro’ bands’).
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Maruyama Ridge, located above the Tokusei mine workings, is capped by cherty silicified laminated
mudstone interbedded with volcanic (rhyolitic-) sandstone, silica sinter and possible eruption breccias,
representing an epithermal paleosurface and subsequently preserved nature of the vein system. These
rocks are strongly anomalous in epithermal pathfinder metals including arsenic, antimony and mercury.
Selective sampling of these rocks returned up to 205 ppm As, 275 ppm Sb and 12.4 ppm Hg,
respectively. A high gold result of 11.15 g/t Au was returned in one grab sample of interlayered
mudstone and sinter float cut by a narrow-bladed quartz vein, which probably represents the very upper
parts of Tokusei epithermal system.
Four samples from the Motoyama mercury workings, located about 3km south of Tokusei , returned
gold and silver results ranging from 1.04 to 7.05 g/t Au and 13.9 to 91.7 g/t Ag, respectively (See Table
2). The samples were also anomalous arsenic, antimony and mercury with maximum results of 740 ppm
As, 184 ppm Sb and 1065 ppm Hg, respectively. Base metal results are very low.
The rock chip results reported in this announcement support the gold and silver grades in historic mine
records and emphasize the presence of high-grade mineralization in the Tokusei mine area.
Soil Sampling Results
Geochemical soil sampling was completed over a large portion of the western side of the project area.
Six hundred and sixty soil samples were collected at 50 m sample intervals along eight 500 m spaced
north-south oriented gridlines. The grid lines were located to infill a previous soil survey completed by
Nittetsu Mining Co. Ltd. (“ Nittetsu”) in 2000 and reported in the Metal Mining Agency of Japan
(“MMAJ”) database. These two surveys provide a soil sampling density of 250 m by 50 m over the
Tokusei mine area and broader 500 m spaced coverage further south over other historic workings.
Results over the Tokusei mine area highlight a large -coincident 2 by 1.5 km northeast -southwest
elongate area of anomalous gold (>26 ppb), arsenic (>42.6 ppm), antimony (>5 .97 ppm) and mercury
(>1.58 ppm) in soils adjacent to and along strike of the Tokusei vein system, refer to Figures 3, 4, 5, 6
and 7.
As expected anomalism is high over the Tokusei vein system where it is exposed at surface, however,
coincident gold, silver and pathfinder element anomalism (Hg, As, and Sb) are continuous along strike
of the vein system to the northeast and southwest and may be indicative of blind mineralization not
exposed at surface. Drilling reported by the MMAJ 500 m along strike to the northeast of the Tokusei
vein system reported significant intercepts of 0.95 m @ 69 g/t Au, 263 g/t Ag (13MAHB-1) and 0.16
m @ 11.8 g/t gold and 7 g/t Ag (13MAHB-2) 4, a wider gold intercept of 7.5 m @ 1.92 g/t Au and 11
g/t Ag (14MAHB-1) was recorded from drill hole 14MAHB-15. As part of this drill campaign drill hole
12MAHB-1 was sited to the southeast of the Tokusei mine workings to test below the vein system. The
hole drilled at an inclination of -60 degrees to a depth of 70 2 m, 4 weakly gold and silver anomalous
quartz veins between 0.7 to 0.9 m in length downhole were intersected between depths of 250 and 500m
below surface and the Mesozoic basements sediments were met at around 520 m below the workings.
These drill results show that mineralizing structures are persistent to depth and along strike and require
further exploration drill testing.
Sampling Methods
Rock results presented herewith are from 1-2 kg selected grab and chip samples taken from creek float
and outcrops, historic mine exposures and dumps. Where in-situ quartz veins were exposed these were
chip channel sampled. The grab samples of float and dump material reported in this announcement are
believed to originate from the underlying bedrock and are therefore representative of the mineralization
hosted on the property. Sample preparation and assaying were done by ALS Chemex, Guangzhou,
China. Gold was analyzed by 50-charge Fire Assay and AAS finish. 48 multielement analysis including
silver were done by four-acid digest and ICP-AES/MS determination.
Soil results presented herewith are from 0.5-1 kg of unsieved clay/saprolite samples collected from soil
C-horizon’s at the bedrock interface. The samples were taken using a crow -bar and shovel by first
removing the organic-rich top soil and then digging down about 20 -30 cm to collect the clay/saprolite
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sample. Duplicate samples were taken at every 25th sample site. Sample preparation and assaying were
done by ALS Chemex, Perth, Australia. Gold was analyzed by 2 5g-charge aqua regia digest and ICP-
MS finish. 48 multielement analysis including silver were done by aqua regia digest and ICP-AES/MS
determination.
The laboratory inserts its own blank, standards & sub -split pulp duplicates for Quality Control and
reports these results accordingly. Results fall within acceptable levels of accuracy and precision.
The Aibetsu Project
Overview
The Aibetsu Project comprises 22 prospecting rights application blocks covering an area of 7,035
hectares. This project lies within the N -S oriented Omu-Kamikawa Zone of the Kitami Metallogenic
Region in northern Hokkaido and is underlain Late Miocene andesitic to rhyolitic volcano-sedimentary
rocks and metasedimentary basement rocks, intruded by rhyolites that are interpreted to have a spatial
and temporal association with epithermal gold-silver and mercury mineralization in the region.
Historic mine work ings are located within the applications area and these were developed on low -
sulfidation type epithermal quartz veins associated with hot -spring related paleosurface features such
as silica sinters, fine-grained sediment silicification and eruption hydrothermal breccias.
History
Vein outcrops at Tokusei were discovered by a local prospector, Mr. Tokuzou Abe, in 1930. The main
mining activity was done by Nippon Mining Company between 1932 and 19431. Gold mining in Japan
was suspended 1943 under a government regulation aimed at focusing resources to more strategic
commodities during World War II. Many of the historic workings that were active in the area stopped
in ore and never reopened. The project area has seen only minor exploration since that time.
The historic Aibetsu gold field consists of at least three (3) known hard rock and eluvial gold and
mercury workings; Tokusei (Au), Motoyama (Hg) and Yamamezawa (Hg). The largest of these was the
Tokusei gold mine, which is reported to have produced about 38,000 ounces gold and 474,000 ounces
silver from underground development between 1930 and 19432.
Historic production at Tokusei was from an array of at least 20 parallel/subparallel ENE-WSW to NE-
SW trending veins hosted in andesitic volcanic rocks. The veins were reported to be banded chalcedony-
adularia-carbonate-chlorite veins containing electrum, silver sulfides and pyrite. The historic workings
consist of numerous shallow diggings, pits, and collapsed tunnels on the eastern side and northern slope
of Maruyama Ridge. The veins were apparently mined down to a vertical depth of at least 200 m beneath
Maruyama Ridge, however, historic production records and maps of the underground workings are
scant. The individual productive veins varied in length from about 22 to 425 m, and in average thickness
from about 0.17 to 0.8 m, with near-vertical dips. Averaged gold and silver grades from individual veins
were variable from <1 to 16.2 g/t Au and 9 to 198 g/t Ag, respectively. One exceptional vein, the
Sanjinhi vein, averaged 6.4 m in width over a 140 m strike -length and averaged 17.7 g/t Au and 20.4
g/t Ag3.
Previous Exploration
Nittetsu, formerly part of the mining division of Nippon Steel Corporation, h eld the Tokusei and
Aibetsu mine areas as part of eight mining concessions totalling 26 km² during 1998-2002.
MMAJ undertook regional surveys of the Aibetsu area as part of a larger metallogenic study of northern
Hokkaido in the 1990’s. These included a g round-based gravity survey and airborne electromagnetics
survey. Regional stream sediment sampling, geological mapping and surface rock sampling were
carried out by MMAJ and Nittetsu in 1999, highlighting coincident gold -arsenic-mercury anomalies
within and surrounding the historic mine areas. Prospect evaluation work was done over the Tokusei
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mine prospect area from 2000 to 2002 by MMAJ and Nittetsu. This included a grid soil survey, surface
rock sampling, alteration mapping, petrological studies and an IP -resistivity survey. Coincident
geochemical anomalies and resistivity highs associated with alteration features mapped over the
Tokusei gold and Motoyama mercury workings were returned from this work.
Five inclined scout diamond holes were drilled during 2000-2002 testing coincident geological,
geophysical and geochemical targets. Narrow high -grade gold and silver intercepts were returned in
two drill holes targeted beneath a mercury soil anomaly located about 500 m northeast of the Tokusei
mine workings; 0.95 m @ 69 g/t Au & 263 g/t Ag from 468 m down -hole in 13MAHB-1, and 0.16 m
@ 11.8 g/t gold and 7 g/t Ag from 525 m down-hole in 13MAHB-2, at about 300 m and 450 m below
surface respectively. The other three holes returned narrow low-grade intercepts or no significant gold
intercepts.
Reference
1 Metal Mining Agency of Japan, March 1990, Geological Survey Report for Fiscal Year 1989,
Northern Hokkaido Area B - Metalliferous Deposits Overview.
2 Fujiwara, T., Konoya, M., and Matsui, K. (1960). Geology and mineral deposits in the Aibetsu area,
Hokkaido Chikashigen Chosashiryo 59: pp. 1-20 (in Japanese).
3 Watanabe, Y. (1996). Genesis of vein-hosting fractures in the Kitami region, Hokkaido, Japan,
Resource Geology 46 (3): pp. 151-166.
4 Metal Mining Agency of Japan, Geological Survey Report for Fiscal Year 2002, North Hokkaido
Area.
5 Metal Mining Agency of Japan, Geological Survey Report for Fiscal Year 2003, North Hokkaido
Area.
Qualified Person
The scientific and technical disclosure in thi s news release has been reviewed and approved by Japan
Gold’s President & Chief Operating Officer, Dr . Mike Andrews, PhD, FAusIMM, who is a Qualified
Person as defined by National Instrument 43-101.
On behalf of the Board of Japan Gold Corp.
“John Proust”
Chairman & CEO
About Japan Gold Corp.
Japan Gold Corp. is a Canadian mineral exploration company focused solely on gold and copper -gold
exploration in Japan. The Company holds 32 prospecting rights and 178 prospecting rights applications
in Japan for a combined area of 69,505 hectares (695 square -km) over 17 separate projects. These
prospecting rights and applications cover areas with known gold occurrences and a history of mining,
and are prospective for both high -grade epithermal gold mineralization and gold-bearing lithocaps,
which could indicate the presence of porphyry mineralization. Japan Gold’s leadership team has
decades of resource industry and business experience, and the Company has recruited geologists and
technical advisors with experience exploring and operating in Japan. More information is available at
www.japangold.com or by email at [email protected].
Japan Gold Contacts
John Proust
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Chairman & CEO
Phone: 604-609-6143
Email: [email protected]
Cautionary Note
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
This news release contains forward-looking statements relating to expected or anticipated future events
and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks
and uncertainties, such as general economic, market and business conditions, competition for qualified
staff, the regulatory process and actions, technical issues, new legislation, uncertainties resulting from
potential delays or changes in plans, uncertainties resulting from working in a new political jurisdiction,
uncertainties regarding the results of exploration, uncertainties regarding the timing and granting of
prospecting rights, uncertainties regarding the Company’s ability to execute and implement future
plans, and the occurrence of unexpected events. Actual results achieved may vary from the information
provided herein as a result of numerous known and unknown risks and uncertainties and other factors.
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Figure 1: Aibetsu Project – Prospecting Rights Applications Boundary on Simplified Geology
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Figure 2: Tokusei Mine Area – Maruyama Ridge Showing Rock Chip Sample Locations &
Significant Gold Results
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Figure 3: Aibetsu Gold in Soil Results Compilation