KORE Mining Discovers Gold in Dry Stream Beds on Newly Staked Ground Between Imperial and Picacho Deposits New Staking Opens Eastern Half of Mesquite-Imperial-Picacho Gold District for New Deposit Discovery
KORE Mining Discovers Gold in Dry Stream Beds on Newly Staked Ground
Between Imperial and Picacho Deposits
New Staking Opens Eastern Half of Mesquite-Imperial-Picacho Gold District for New Deposit Discovery
VANCOUVER, BC
,
April 13, 2021
/CNW/ - KORE Mining Ltd. (TSXV: KORE) (OTCQX: KOREF) ("
KORE
" or the "
Company
") is pleased to announce additional
positive sampling and mapping program results from Mesquite-Imperial-Picacho District ("
District
") exploration on the Imperial Gold project ("
Imperial
"), located
14 km southeast from Equinox Gold's (TSX: EQX) Mesquite gold mine ("
Mesquite
") and 14 km from the historic Picacho gold mine ("
Picacho
"). KORE also
announces staking of an additional 4,600 acres of claims, bringing KORE's total to approximately 31,000 acres in the District. The new staking extends KORE's
control of the prolific historic mining district and captures a trend including several dry stream bed gold anomalies associated with a regional fault. Work continues
with the systematic exploration programs announced
March 9, 2021
with more results expected throughout Q2 2021.
Highlights:
Discovered gold in several dry stream beds between
Imperial
and Picacho
Highlights from sampling include 1.0 g/t and 0.6 g/t gold
Several additional outcrops discovered with anomalous gold rock chip samples
Further evidence that the 28-kilometer district from Mesquite-Imperial-Picacho District could host multiple gold discoveries similar in scale to Mesquite and
Imperial
Additional exploration underway including:
Satellite multispectral survey to identify alteration associated with gold mineralization
Additional ground geophysics surveys to extend structural interpretation
Further mapping and geochemical sampling on new targets
Currently permitting an exploration drill program to start testing targets in H2 2021
KORE's CEO
Scott Trebilcock
stated: "With systematic exploration, the immense potential of the Mesquite-Imperial-Picacho District is starting to emerge. KORE
controls 100% of the District which was split between major gold companies in the 1990's. With the Mesquite mine, the last in
Imperial County
, nearing the end
of its life, KORE's
Imperial
project and surrounding District may be the last chance to extend the 140-year gold mining history of
Imperial County
to future
generations and provide much needed employment and economic development."
KORE is committed to operate within the stringent environmental and labour standards of
California
and plans to concurrently reclaim drill pad locations and
ensure measures are taken to mitigate any impacts to biological and cultural resources. KORE has designed the drill programs to maximize the use of existing
public road/trail network in the area so as to limit any new disturbances, and the Company will be adjusting our drill pad locations as needed to avoid any sensitive
sites should any be encountered.
Figure 1
shows the dry stream bed and rock chip sampling locations. The sampling generated anomalous gold assays in multiple new targets areas. There are
government mapped faults associated with several of the anomalies, increasing the prospectively of targets.
Figure 2
show the District claim area with location
of the Mesquite,
Imperial
and Picacho deposits along with the newly staked claims.
Future geophysics and other exploration techniques are expected to further define these anomalies. Having the intact
Imperial
deposit to "tune" or "fingerprint"
geophysical signatures, greatly enhances our confidence to target new discoveries under the alluvium along the trend. Details of the work were released
January 7, 2020
,
April 29, 2020
and
December 8, 2020
.
Sampling and Mapping Program Details
Discovery of gold in the dry stream beds (also called "
arroyos
" or "
washes
") on the target areas are several kilometers from Picacho and
Imperial
and not
downstream from either, indicating that gold is likely being generated from another source. KORE intends to explore and discover those sources.
In the course of collecting the District samples and mapping the area, KORE encountered more outcrop than originally anticipated. This is positive as it indicates
the alluvial cover is shallow in those areas, making a new oxide gold discovery easier and more attractive. KORE also found evidence of historic small scale
mining activities in the District including hand and bulldozer trenches, an exploration shaft and signs of historic placer mining activity.
KORE's exploration team collected 497 stream bed and 178 rock chip samples over the last three months of prospecting the District. All assays, except 11 rock
chip samples, have now been received and are disclosed. Samples collected averaged 4.75 kilogram in size and were taken at an average depth of 0.4 meters
below surface. Of the 497 stream samples, 322 assayed over the gold detection limit of 5 parts per billion and 10 assayed over 100 parts per billion (0.1 g/t).
Sample locations and assays for the eastern area from
Imperial
to Picacho are depicted on
Figure 1
.
Next Steps
As disclosed
March 9
2021
, the ongoing exploration program for H1 2021 incudes further detailed soil sampling grids, detailed geological mapping, additional IP
geophysics and a satellite multispectral survey of the entire claim area. Drilling on several of the western targets is planned in H2 2021 with permitting underway.
About the Imperial Gold Project
KORE owns 100% of the Mesquite-Imperial-Picacho District which consists of 30,900 acres of claims capturing the entire 28-kilometer trend from the operating
Mesquite mine (Equinox Gold - TSX:EQX) to the closed Picacho mine and including KORE's
Imperial
project as depicted on
Figure 2
. In the District, gold is
hosted in local fault structures related to a series of regional faults connecting the known District deposits. Those three District deposits (Mesquite-Imperial-
Picacho) were discovered in exposed outcrops and from placer workings. The rest of the District is covered by alluvium and has never been systematically
explored.
The Mesquite-Imperial-Picacho District centers on KORE's
Imperial
project.
Imperial
is a structurally controlled intermediate sulfidation epithermal gold deposit.
The 100% oxide gold deposit is currently defined at 2.44 kilometer long and up to 0.75 kilometer wide and is open both along strike and downdip. It is hosted in a
shallowly southwest dipping, amphibolite grade metamorphic rock suite along a west-northwest trending low-angle regional thrust fault system which controls the
regional geometry of mineralization. East-west striking, post-mineralization normal faults control the property scale geometry of mineralization. Geophysical
characterization of the deposit and regional controlling structures is an essential component of exploration for additional resources.
Imperial
has a mineral resource estimate and a positive preliminary economic assessment
effective
April 6, 2020
with the following highlights:
Robust economics:
US$ 343 million
NPV5% post-tax with 44% IRR at
US$ 1,450
per ounce gold
Low capital intensity project with only
US$ 143 million
pre-production capital cost
Average 146,000 ounces gold per year over 8 years for 1.2 million ounces total production
Technically simple project: shallow open pit, run-of-mine heap leach with existing infrastructure
Value enhancement through Mesquite-Imperial-Picacho District exploration and resource expansion
The Company's NI 43-101 compliant resource and preliminary economic assessment is titled "Preliminary Economic Assessment – Technical Report Imperial Gold
Project" effective as of
April 6, 2020
and issued on
May 19, 2020
, prepared by
Terre Lane
and
Todd Harvey
of Global Resource Engineering and
Glen Cole
of
SRK Consulting (
Canada
) Inc.
About KORE Mining
KORE is 100% owner of a portfolio of advanced gold exploration and development assets in
California
and British Columbia. KORE is supported by strategic
investor
Eric Sprott
who owns 26%. KORE management and Board are aligned with shareholders, owning an additional 38% of the basic shares outstanding.
KORE is actively developing its Imperial Gold project and is aggressively exploring across its portfolio of assets.
Further information on
Imperial
and KORE can be found on the Company's website at
www.koremining.com
or by contacting us as
or by
telephone at (888) 407-5450.
On behalf of KORE Mining Ltd
"Scott Trebilcock"
Chief Executive Officer
(888) 407-5450
Technical information with respect to the District and Imperial Gold Project contained in this news release has been reviewed and approved by Marc Leduc,
P.Eng, who is KORE's COO and is the qualified person under National Instrument 43-101 responsible for the technical matters of this news release.
Neither the 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.
Cautionary Statement Regarding Forward-Looking Information
This news release contains forward-looking statements relating to the future operations of the Company and other statements that are not historical facts.
Forward-looking statements are often identified by terms such as "will", "may", "should", "anticipate", "expects", "intends", "indicates" and similar expressions. All
statements other than statements of historical fact, included in this release, including, without limitation, statements regarding the future plans and objectives of the
Company are forward-looking statements. Forward-looking statements in this news release include, but are not limited to, statements with respect to: final
results of future exploration work, including further mapping and sampling and the timeline for completion, the results of the PEA, including future Project
opportunities, , the projected NPV, , permit timelines, and the ability to obtain the requisite permits, the market and future price of and demand for gold, , and the
ongoing ability to work cooperatively with stakeholders, including the all levels of government. Such forward-looking statements, and any assumptions upon which
they are based, are made in good faith and reflect our current judgment regarding the direction of our business. Management believes that these assumptions are
reasonable. Forward looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or
achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking
information.
Additional risks and uncertainties are described in the "Risks" section of the Company's management discussion and analysis for the year ended
December 31,
2019
prepared as of
April 27, 2020
available under the Company's issuer profile on
www.sedar.com
.
Forward-looking statements contained herein are made as of the date of this news release and the Company disclaims any obligation to update any forward-
looking statements, whether as a result of new information, future events or results, except as may be required by applicable securities laws. There can be no
assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such
statements. Accordingly, readers should not place undue reliance on forward-looking information.
There is no certainty that all or any part of the mineral resource will be converted into mineral reserve. It is uncertain if further exploration will allow improving the
classification of the Indicated or Inferred mineral resource. Mineral resources are not mineral reserves and do not have demonstrated economic viability.
FIGURE 1: DRY STREAM / “ARROYO” SAMPLING - GOLD ANOMALY MAP (CNW Group/Kore Mining)
FIGURE 2: IMPERIAL GOLD PROJECT CLAIMS MAP (CNW Group/Kore Mining)
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For further information:
Investor Relations: Arlen Hansen, KIN Communications, 1-888-684-6730, [email protected]
CO: Kore Mining
CNW 08:00e 13-APR-21