Dsm Syndicate Discovers Extensive High-Grade Vein System Assaying up to 110 Grams PER Tonne GOLD (3.21 OZ/T)
DSM SYNDICATE DISCOVERS EXTENSIVE HIGH-GRADE VEIN SYSTEM ASSAYING UP TO 110
GRAMS PER TONNE GOLD (3.21 oz/t)
Vancouver, British Columbia – November 6th, 2018 – Juggernaut Exploration Ltd. (JUGR.V)
(the “Company” or “Juggernaut”) is pleased to report channel, chip, and grab sample assay
results of up to 110 grams per tonne gold (3.21 ounces per ton gold) from the Big Show Zone
Vein system, measuring 2 km by 1 km. It remains open in all directions, containing multiple large
en-echelon gold-bearing mineralized quartz veins . The Big Show Zone is located on the Gold
Standard property , four kilometres north of Bella Coola , British Columbia. The Gold Standard
property is 100% owned by the DSM Syndicate, a private precious metals project generator in
British Columbia that holds a total of six properties to date , of which Juggernaut Exploration
Ltd. owns a 20% interest.
2018 Highlights Include:
• Extensive n ew bedrock discovery in area of recent snowpack and glacial abatement
with no historic work recorded in the area.
• Discovery of the Big Show Zone : a large zone of prolific quartz veining that contains
multiple large en-echelon quartz veins that outcrop within a 2 km by 1 km zone that
remains open in all directions (link to video).
o Seven large shear zone hosted mineralized vein systems containing consistent
high-grade gold mineralization have been discovered to date.
o Vein Highlights include:
1. Vein system 1 (Kraken) assays up to (link to image):
• 71.8 g/t Au (2.1 oz/t ), 64.4 g/t Ag , 72. 6 g/t AuEq (0.5 Chip
Sample)
2. Vein system 2 (Goldzilla) assays up to (link to image):
• 110 g/t Au (3.21 oz/t), 934 g/t Ag, 121.8 g/t AuEq (Grab Sample)
• 10.8 g/t Au, 85.5 g/t Ag, 11.85 g/t AuEq (2m Chip Sample)
3. Vein system 3 (Leviathan) assays up to (link to image):
• 96.8 g/t Au (2.8 oz/t), 429 g/t Ag, 106.7 g/t AuEq (Grab Sample)
• 26.9 g/t Au, 70.4 g/t Ag, 27.79 g/t AuEq (1.5 m Chip Sample)
o Multiple other large veins were also discovere d have yet to be sampled
providing for excellent additional gold potential.
• The Big Show Zone is s ituated within a large regional high strain zone, a corridor of
brittle and ductile deformation
o A channel sample grab of chlorite-schist from within a 15 -metre-wide shear
zone returned 0.28 g/t Au over 0.15 meters (link to image).
• The geological setting and style of mineralization: large gold-bearing mineralized veins
and shear zones are consistent with a mesothermal/orogenic system. These systems
are often deep rooted and are mined to depths in excess of 1 to 3 kilometres (link to
image).
• Approximately 67 % of Canadian gold production comes from this world class geologic
setting, with examples including the nearby Bralorne Pioneer Camp in British
Columbia (4.17 M/oz) and many regions within the Canadian shield including Kirkland
Lake (>40 Moz), Timmins (>70 M oz), Val d’Or/Noranda (>69 Moz) and Red Lake gold
camps (>29 Moz). (link to image)
• Based on the discovery of multiple new gold mineraliz ed veins the c laim block was
recently expanded from 690 Ha to 1774 Ha.
o The Gold Standard property is a n original discovery area located in a World
Class Geologic al setting that remains largely unexplored , providing for
tremendous untapped gold potential.
The Property was generated and staked by the DSM Syndicate in 2017 following positive results
from a brief reconnaissance exploration program . A limited follow-up program i n 2018 was
carried out to systematically prospect the other unexplored regions of the claim block and
expand on the 2017 mineralized zones. This resulted in the discovery of seven new shear-zone
hosted en-echelon large quartz vein systems , which remain open, confirming the tremendous
untapped gold potential of the largely unexplored Gold Standard property.
This mineralized system is part of a regional high strain zone, a brittle and ductile, sub-vertical
shear zone system . Localization of high strain zones within the system are associated with
sheeted, oxidized, sulphide-bearing quartz veins that have been identified in outcrop within a
2 km by 1 km zone, which remains open in all directions. Discrete quartz veins trend up to 350
meters in length and are up to 5 meters thick. They host variable amounts of oxidized pyrite
and disseminated pyrite with chalcopyrite. Additionally, the shear zones are typically
demarked by chlorite schist of up to 15 metres wid e, where a channel grab from a chlorite
within a shear zone assayed 0.28 g/t Au over 0.15 meters. To date on the Big Show, all seven
large vein systems identified and sampled contain gold mineralization
During the brief program a total of 15.2 metres of channel sampling was completed . Highlights
are reported in Table 1 and include a 0.5 metre channel sample containing 32 .00 g/t AuEq
(31.00 g/t Au, 83.9 0 g/t Ag) . Additionally, thirty chip sample were taken with highlights
including a 0.5 metre chip sample of 72.57 g/t Au Eq (71.80 g/t A u, 64.4 0 g/t Ag) with six
samples assaying over 10 g/t Au. Fifty-two grab samples were collected with highlights
including 121 .84 g/t AuEq (110.00 g/t Au, 934 .00 g/t Ag) and 106.68 g/t Au Eq (96.80 g/t Au,
429.00 g/t Ag).
Table 1 – Gold Standard Property Highlights
Sample # Channel/Chip/Grab1 Length
(metres)2
Gold
(g/t)
Silver
(g/t)
Copper
%
Gold
Eq3
(g/t)
Vein
System
Number
Vein
System
Name
W388888 Grab 110.00 934.00 0.42 121.84 2 Goldzilla
W496703 Grab 96.80 429.00 2.97 106.68 3 Leviathan
W495957 Chip 0.50 71.80 64.40 0.00 72.57 1 Kraken
W496900 Grab 40.50 117.00 0.70 43.02 3 Leviathan
W496949 Chip 0.50 39.00 300.00 0.24 42.97 2 Goldzilla
W496702 Grab 31.90 112.00 0.72 34.39 2 Goldzilla
W497438 Channel 0.50 31.00 83.90 0.00 32.00 2 Goldzilla
W386026 Chip 26.90 70.40 0.03 27.79 3 Leviathan
W495976 Grab 21.80 96.50 0.07 23.07 3 Leviathan
W494953 Chip 0.50 19.15 49.10 0.02 19.77 2 Goldzilla
W386031 Grab 17.40 75.40 0.66 19.36 3 Leviathan
W495987 Channel 0.25 16.15 72.20 0.37 17.61 3 Leviathan
W496948 Chip 0.50 15.85 118.00 0.11 17.44 2 Goldzilla
W495975 Grab 13.35 195.00 8.97 30.02 3 Leviathan
W386024 Chip 2.00 10.80 85.50 0.02 11.85 2 Goldzilla
W496898 Grab 9.20 31.20 0.00 9.57 2 Goldzilla
W500355 Grab 8.33 20.00 0.00 8.57 2 Goldzilla
W497436 Channel 0.22 6.87 48.70 0.10 7.61 2 Goldzilla
W495959 Chip 0.50 5.38 27.10 0.00 5.70 1 Kraken
W495955 Chip 0.50 4.94 6.20 0.01 5.03 1 Kraken
W386028 Float 4.20 21.00 0.07 4.56 3 Leviathan
W495958 Chip 0.50 4.19 8.40 0.00 4.29 1 Kraken
W386027 Float 3.68 28.60 0.70 5.14 3 Leviathan
W495983 Channel 0.40 3.46 22.40 0.00 3.73 3 Leviathan
W496701 Grab 3.30 18.50 0.59 4.46 3 Leviathan
W495954 Chip 0.50 3.24 14.20 0.01 3.43 2 Goldzilla
W497437 Channel 0.24 2.97 8.40 0.00 3.07 2 Goldzilla
W495979 Channel 0.50 2.93 11.60 0.30 3.55 3 Leviathan
W495981 Channel 0.30 2.90 14.00 0.01 3.08 3 Leviathan
W495984 Channel 0.50 2.51 12.90 0.03 2.71 3 Leviathan
W495952 Chip 0.50 2.38 12.10 0.00 2.52 2 Goldzilla
W500354 Grab 2.38 9.40 0.00 2.49 2 Goldzilla
W497446-7 Channel 0.44 2.22 6.24 0.02 2.33 2 Goldzilla
W495966 Chip 1.00 2.14 40.80 0.85 3.99 4 Titanoboa
W495968 Chip 0.50 2.12 11.90 0.58 3.19 4 Titanoboa
W495963 Grab 1.95 42.10 0.67 3.52 4 Titanoboa
W497444 Channel 0.22 1.89 5.00 0.00 1.95 2 Goldzilla
W495985-6 Channel 1.50 1.88 22.15 0.89 3.57 3 Leviathan
W496994 Grab 1.75 5.50 0.00 1.82 5 Hydra
W495988 Channel 1.00 1.71 23.80 1.70 4.71 4 Titanoboa
W496893 Grab 1.69 14.30 4.22 8.60 2 Goldzilla
W491657 Grab 1.65 3.80 0.00 1.70 2 Goldzilla
W497440 Channel 0.93 1.61 4.70 0.06 1.76 2 Goldzilla
W496894 Grab 1.46 7.20 0.71 2.68 2 Goldzilla
W496950 Chip 0.50 1.43 9.10 0.12 1.73 2 Goldzilla
W491656 Grab 1.39 5.00 0.00 1.45 2 Goldzilla
W497439 Channel 0.50 1.32 4.40 0.01 1.39 2 Goldzilla
W497435 Channel 0.44 1.31 4.60 0.00 1.37 2 Goldzilla
W497443 Channel 0.22 1.12 3.10 0.00 1.16 2 Goldzilla
W497433 Channel 0.46 1.11 215.00 0.00 3.68 2 Goldzilla
W500353 Grab 1.03 14.70 0.14 1.43 2 Goldzilla
W495977-8 Channel 1.50 0.86 2.60 0.07 1.00 3 Leviathan
1Grab samples are selective in nature and collected to determine the presence or absence of mineralization and are not intended to be
representative of the material sampled
2True thickness of mineralized zone not known
3AuEq metal values are calculated using: Au $1222.9/oz, Ag $14.63/oz, Cu $2.8499/lb
Gold Standard is situated within a regional corridor of brittle and ductile deformatio n that is
proximal to the boundary between the Intermontane and Insular superterranes, demarked by
the Coast Shear Zone. The focus of p rolonged faulting and shearing within this structural
corridor on the Gold Standard property provided extensive conduits for mineralizing fluids and
favourable sites for mineralization (link to image). Within the Big Show Zone , veins occur in an
en echelon pattern to the regional north-northwest orientation of the major shear zones .
These mesothermal/orogenic characteristics are consistent with gold-bearing mineralized veins
and shear zones. Deposits of this nature are found at the nearby Bralorne Pioneer Mining Camp
in British Columbia (4.15 Moz) and many regions within the Canadian Shield including the
Timmins, Val d’Or /Noranda, and Red Lake gold camps. Typically, deep-rooted mines in these
camps extend to depths in excess of 1 to 3 kilometers (link to image).
Based on very positive results on the Gold Standard property, a follow-up exploration program
consisting of comprehensive prospecting, mapping , and systematic reconnaissance
geochemical sampling, ground magnetics, and drone mapping is recommended. This surface
program is in preparation for an inaugural drill program to test th is extensive high-grade gold
system both along strike and to depth. The property is in an alpine area with abundant bedrock
exposure due to recent glacial and snowpack ab atement and is located only four kilometres
from Bella Coola, BC , 1 km to tidewater and logging roads providing for excellent proximity to
infrastructure for cost effective exploration.
Juggernaut Exploration Ltd. (TSX-V: JUGR) owns a 20% interest in the DSM Syndicate.
Amended Option Agreements and ROFRs
Juggernaut has entered into agreements (the " Agreements") with The J2 Syndicate (the
"Optionor"), pursuant to which the parties have agreed to further amend the terms of the
Company's option on each Empire and Midas properties (the “Amendments”) as follows:
• Share issuances originally to be made by Juggernaut on February 1, 2019, consisting of
an aggregate of 8,200,000 common shares of the Company (each, a " Common Share"),
will be extended to March 30, 2020.
• Annual exploration expenses originally to be m ade by Juggernaut by December 31,
2019, consisting of an aggregate of $2,000,000, will be reduced to $1,200,000.
• Optional share issuances originally to be made by Juggernaut on May 1, 2019, consisting
of an aggregate of 8,200,000 Common Shares, will be extended to March 30, 2021.
• Optional cash payments originally to be made by Juggernaut on May 1, 2019, 2020,
2021, 2022 and 2023, consisting of an aggregate of $1,000,000 on each such payment
date, will be extended to March 30, 2021, 2022, 2023, 2024 and 2025, respectively.
• Optional share issuances originally to be made by Juggernaut on December 15, 2024,
consisting of an aggregate of 8,200,000 Common Shares, will be extended to March 30,
2025.
• Optional cash payments originally to be made by Juggernaut on Dece mber 15, 2024,
consisting of an aggregate of $1,000,000, will be extended to March 30, 2027.
• Optional cash payments originally to be made by Juggernaut on May 1, 2027, consisting
of an aggregate of $1,000,000, to be paid March 30, 2027.
The Amendments are subject to Juggernaut satisfying certain conditions pursuant to the
Agreements, including, but not limited, to the Company: (a) completing a private placement of
securities of Juggernaut on or prior to March 30, 2019 for minimum net proceeds of
$1,500,000; (b) incurring aggregate exploration expenditures of a minimum of $1,200,000 on
the Midas and/or Empire properties during 2019; (c) incurring aggregate exploration
expenditures of $300,000 (the " Exploration Commitments ") on certain properties of the
Optionor and The DSM Syndicate (“ DSM”) during 2019; and (d) entering into agreements with
the Optionor and DSM (the " Funding Agreements"), pursuant to which, inter alia, Juggernaut
will agree to provide the Exploration Commi tments in consideration for a right of first refusal in
favour of the Company on each of the Bullion and Goldstandard properties, respectively. The
Company expects to finalize the Funding Agreements within the next 30 days.
Qualified Person
Stephen Roach P. Geo is the qualified person as defined by National Instrument 43 - 101, for
Juggernaut Exploration projects, and supervised the preparation of, and has reviewed and
approved, the technical information in this release.
Other
All rock, channel and talus fine samples were crushed and pulverized at ALS Canada Ltd.'s lab in
Vancouver, BC. ALS is either Certified to ISO 9001:2008 or Accredited to ISO 17025:2005 in all of
its locations. The resulting sample pulps were analyzed for gold by fire assay in Vancouver , BC.
The pulps were also assayed using multi -element aqua regia digestion at ALS Canada Ltd.'s lab
in Vancouver, BC. The coarse reject portions of the rock samples, as well as the pulps, were
shipped to DSM Syndicate's storage facility in Terrace, BC. All samples were analyzed using ALS
Canada Ltd.'s assay procedure ME -ICP41, a 1:1:1 aqua regia digestion with inductively -coupled
plasma atomic emission spectrometry (ICP -AES) or inductively -coupled plasma mass
spectrometry (ICP-MS) finish for 35 elements as well as the Au -AA24 lead collection fire assay
fusion procedure with atomic absorption spectroscopy (AAS) finish. Any results greater than
100 ppm for silver or 10,000 ppm copper, lead and zinc were additionally assayed using ALS's
OG46 method particular to each element. This method used an HNO3-HCl digestion followed by
ICP-AES (or titrimetric and gravimetric analysis). Gold values of greater than 10 ppm Au were
assayed by the Au -GRA22 method which includes a fire -assay fusion procedure with a
gravimetric finish. QA/QC samples including blanks, standards, and duplicate samples were
inserted regularly into the sample sequence.
The reader is cautioned that grab samples are spot samples which are typically, but not
exclusively, constrained to mineralization. Grab samples are selective in nature and collected to
determine the presence or absence of mineralization and are not intended to be representative
of the material sampled.
For more information please contact:
Juggernaut Exploration Ltd.
Mr Dan Stuart
President and Chief Executive Officer
Tel: (778) 223-0293
mailto:[email protected]
Website: https://www.juggernautexploration.com
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FORWARD LOOKING STATEMENT
Certain disclosure in this release may constitute forward -looking statements that are subject to
numerous risks and uncertainties relating to Juggernaut’s operations that may cause future
results to differ materially from those e xpressed or implied by those forward -looking
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