KALO GOLD Confirms Presence of a Large Epithermal GOLD System ON the Vatu Aurum GOLD Project
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Kalo Gold Corp.
Suite 1430, 800 West Pender Street
Vancouver, British Columbia
V6C 2V6, Canada
www.kalogoldcorp.com
(TSX.V: KALO)
NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH UNITED STATES NEWSWIRE SERVICE
KALO GOLD CONFIRMS PRESENCE OF A LARGE EPITHERMAL GOLD SYSTEM
ON THE VATU AURUM GOLD PROJECT
VANCOUVER, BRITISH COLUMBIA, CANADA: 23 JUNE 2022, KALO GOLD CORP. (“Kalo”, “Kalo Gold ” or the “ Company”)
provides the results of a 992.5 meter (“m”), three-hole diamond drilling program completed within the Qiriyaga Hill Prospect
on the 100% owned Vatu Aurum Gold Project (the “Project”) located in the Republic of Fiji. The district scale Project covers
367 square kilometers (“km 2”) and hosts a minimum of seven volcanic arc related calderas ranging between 1 kilometer
(“km”) to 10 km in diameter (see figure 1) in a geological setting analogous to the alkaline related low sulphidation
epithermal gold deposits of both the neighbouring Vatukoula and Tuvatu Gold Deposits.
Highlights:
● New diamond drill holes KGD -06 and KGD -07, drilled to test geophysical anomalies at the Qiriyaga Hill Prospect,
both intersected pervasive argillic alteration. Argillic alteration can be found associated with epithermal gold veins.
KGD-06 and KGD-07 have been presented in a geological model in figure 2 and are interpreted to have been drilled
within the alteration envelope surrounding the Vuinubu Ridge Gold Deposit and high-grade epithermal gold
mineralization of the Qiriyaga Hill Gold Deposit (see Table 1).
● Both KGD-06 and KGD-07 have outlined a large 3km by 1.5km argillic alteration zone that indicates the presence of
a low sulphidation epithermal gold system.
● The Qiriyaga Hill and Vuinubu Ridge Gold Deposits sit within this argillic alteration zone and both gold deposits are
open along strike and down dip.
● The Qiriyaga Hill Prospect sits on the boundary of the interpreted Qiriyaga Caldera (see Figure 1), in an analog ous
geological setting as the alkaline related low sulphidation epithermal Vatukoula Gold Deposit which has produced
over 7 million ounces of gold since 1937.
Terry L. Tucker, P.Geo. CEO of the Kalo Gold stated “Alteration halos to the zones of gold ore, particularly in epithermal gold
vein deposits, include a variety of temperature -sensitive clay minerals that help to indicate locations of paleo fluid flow
which is essential to understand to make a gold discovery. Work to date has identified a large argillic alteration zone on the
Qiriyaga Hill Prospect associated with high grade epithermal gold mineralization and related to a caldera margin. The
presence of at least six other analogous caldera features of similar scale at the Qiriyaga Caldera, includin g that of the
Wainikora Complex, Mouta and Coqeloa, has important indications for gold and present an excellent opportunity for the
discovery of potentially economic low sulphidation epithermal gold deposits.”
Detailed Results:
KGD-06, targeting a geophysical anomaly, was drilled 1000m southeast of the Qiriyaga Hill Gold Deposit and 500m southeast
of the Vuinubu Ridge Gold Deposit, intersected pervasive and intensive argillic alteration which confirms the presence of a
large epithermal gold system surrounding both the Qiriyaga Hill and Vuinubu Ridge Gold Deposits (see Figure 3). Both gold
deposits are open along strike and down dip. No significant gold mineralization was encountered in the hole, however KGD-
06 intersected both potassic and propylitic alteration suggesting that a porphyry is nearby, probably located to the west and
below its location (see Figure 2 model). The alteration assemblage in the upper part (140m), dominated by chlorite -clay-
quartz-albite and the presence of hydrothermal K -feldspar, implies that alteration is transitional between argillic and
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potassic. Interestingly, trace chalcocite was observed in pyrite in about one of the large amygdule infillings. The alteratio n
in the lower part (250m) is transitional between propylitic and argillic. The alteration is characterized by the presence of
fine-grained quartz, albite, patchy carbonate, chlorite and finely granular epidote, and with an overprint of fine grained,
turbid clay (e.g., kaolinite).
KGD-07, also tar geting a geophysical anomaly, was drilled 850m northeast of the Qiriyaga Hill Gold Deposit (see Figure 2
and 3). KGD-07 intersected massive limestone from 19m -115m, followed by polymictic breccia (PBX) down to the bottom
of the hole (451m) with porphyritic basalt intersected between 289.1m -407.7m. Both the PBX and basalt are pervasively
argillic altered (illite -kaolinite+chlorite-smectite) with trace epidote, local quartz -calcite veining and 1 -2% pyrite
disseminations. The veins are mostly dominated by fine grained, locally crustiform texture calcite, and one has infill
chalcedonic quartz and rims of calcite and chalcedonic quartz. Traces of chalcopyrite are observed in some amygdule fillings
and at altered plagioclase sites. While no significant gold and ba se metal values were encountered in the hole, it confirms
the presence of pervasive alteration.
KGD-05 successfully confirmed the continuity of the structure hosting the Vuinubu Ridge Gold Deposit between two
mineralized centers located 210m apart (see Fi gure 4). KGD -05 intersected two thick structures of 30m (from 120 -150m)
and 43.5m (from 150 -193.5m) respectively, characterized by the presence of quartz -carbonate veinlets and 1 -2% pyrite in
argillized fiamme breccia host rock with minor gold mineralization.
Qiriyaga Hill Prospect Mineralization
Although KGD -06 and KGD -07 did not return significant gold values they did intersect wide zones of extensive argillic
alteration typical of peripheral zones of epithermal gold systems. Along with surface geologic al mapping, see Figure 1, this
information has provided important information to guide future exploration work on the Vatu Aurum Gold Project.
Modelling of the Qiriyaga Hill Gold Deposit indicates there are a minimum of five high grade (see Table 1) parallel veins that
have been modelled within this large argillic alteration zone. The Qiriyaga Hill Prospect has excellent potential for the
discovery of additional gold mineralization and expansion of the existing Qiriyaga Hill and Vuinubu Ridge Gold Deposits,
both of which are open along strike and down dip, and the discovery of new gold deposits within the defined and expanded
argillic alteration zone.
Observations by Kalo in the field have focussed on geologic setting and structural controls, alteration min eralogy and
textures, geophysical and geochemical anomalies which have been compiled and when combined with identification of the
zones of paleo fluid flow, will help to identify ore targets. Future work could include processing of high -resolution satellite
imagery, ground geophysics, trenching, geochemical sampling, geological and structural mapping and diamond drilling. The
Company owns two diamond drill rigs and has maintained a qualified operating team in Fiji which will be important to ensure
the continued advancement of the Project.
Hole From (m) To (m) Interval (m)* Gold (g/t)
FCD08 0.00 4.00 4.00 10.79
KCD02 73.00 83.00 10.00 13.36
KCD14 47.00 50.00 3.00 10.00
KCD17 61.25 70.00 8.75 36.02
including 61.25 66.00 4.75 64.12
and 76.00 86.00 10.00 27.18
including 80.00 83.00 3.00 69.03
KCD18 64.00 70.00 6.00 15.88
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and 68.00 70.00 2.00 27.98
KCD20 51.00 57.00 6.00 9.41
KCD22 26.00 46.00 20.00 6.92
including 30.00 35.00 5.00 17.40
Table 1 – Selection of Qiriyaga Hill Gold Deposit High Grade Gold Intersections *Not true width
About Kalo Gold Corp.
Kalo Gold Corp, a gold exploration company, is focused on exploration for low sulphidation epithermal gold deposits of the
Vatu Aurum Gold Project on the island of Vanua Levu (North Island) in the Republic of Fiji. Kalo holds a 100% interest in two
Special Prospecting Licenses, covering 367 km 2. Historical exploration work includes 11,423 m of diamond drilling,
concentrated on the Qiriyaga Hill and Vuinubu Ridge Gold Deposits and the identification of over fourteen priority
epithermal gold exploration targets.
Both Viti Levu, (South Island), and Vanua Levu are on the prolific Pacific “Ring of Fire”, a trend that has produced numerous
large deposits, including Porgera, Lihir and Grasberg and on Viti Levu, the exceptional Vatukoula Gold Mine. The island of
Viti Levu also hosts Namosi, with a publ ished Proven and Probable Reserves of 1.3 billion tonnes at 0.37% Cu and 0.12 g/t
Au (5.2M ounces Au and 4.9M tonnes Cu). Lion One Metals is developing its Tuvatu Project, with Indicated Resources of
1.00 million tonnes at 8.48 g/t Au (274,600 ounces Au), and Inferred Resources of 1.33 million tonnes at 9.0 g/t Au (384,000
ounces Au) reported at a 3.0 g/t Au lower cut-off. The Vatukoula Gold Mine has produced in excess of 7 million ounces since
1937.
Qualified Person
The technical disclosure in this news release has been approved by Terry L. Tucker, P.Geo. a Qualified Person as defined by
National Instrument 43-101 of the Canadian Securities Administrators.
On behalf of the Board of Directors of Kalo Gold Corp.
Terry L. Tucker, P.Geo
President and Chief Executive Officer
and
Kevin Ma, CPA, CA
Executive Vice President, Capital Markets, and Director
For more information contact, please write to [email protected]
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the
Exchange) accepts responsibility for the adequacy or accuracy of this press release.
Forward Looking Statements Disclaimer
Certain statements in this release are forward -looking statements, which are statements that are not purely historical,
including any statements regarding beliefs, plans, expectations or intentions regarding the future. Forward looking
statements in this news release include statements relating to the timing for receipt of results from the Company’s current
exploration program, and the Company’s plans for future exploration on the Project. Forward -looking statements are often
identified by terms such as “wi ll”, “may”, “should”, “anticipate”, “expects” and similar expressions. All statements, other
than statements of historical fact, included in this release, including statements regarding the timing for receipt of result s
from the Company’s current explorati on program, and the Company’s plans for future exploration on the Project, are
forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove
to be accurate and actual results, and future events c ould differ materially from those anticipated in such statements.
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Important factors that could cause actual results to differ materially from the Company’s expectations include quality and
quantity of any mineral deposits that may be located, the Company’s inability to obtain any necessary permits, consents or
authorizations required for its activities, the Company’s inability to raise the necessary capital to be fully able to implem ent
its business strategies, and other risks and uncertainties disclosed in the Company’s filing statement dated February 9, 2021
and latest interim Management Discussion and Analysis filed with certain securities commissions in Canada.
The reader is cautioned that assumptions used in the preparation of any forward-looking statements herein may prove to be
incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous
known and unknown risks, uncertainties, and other factors, many of which are beyond the control of t he Company. The
reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered
reasonable by management at the time of preparation, may prove to be incorrect, and actual results may differ material ly
from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary
statement. The forward-looking statements contained in this news release are made as of the date of this news release and
the Company will update or revise publicly any of the included forward-looking statements as expressly required by Canadian
securities law.
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Figure 1 – Vatu Aurum Gold Property – caldera features associated with alteration and rock and so il geochemistry results
Figure 2 – Qiriyaga Hill and Vuinubu Ridge Epithermal Gold Deposit Model modified from Corbett (2012). Surface profile is
approximate.
Qiriyaga Caldera
KGD-07
KGD-06
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Figure 3 – KGD-05, KGD-06 and KGD-07 Drill Hole Locations on Qiriyaga Zone
Figure 4 – KGD-05 - Vuinubu Ridge Soil Gold Geochemistry