KORE MINING DISCOVERS THREE NEW DRILL TARGETS AT THE IMPERIAL GOLD PROJECT Completion of Regional Mapping Program Leads to New Targets In the Mesquite-Imperial-Picacho District
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KORE MINING DISCOVERS THREE NEW DRILL TARGETS AT THE IMPERIAL GOLD PROJECT
Completion of Regional Mapping Program Leads to New Targets
In the Mesquite-Imperial-Picacho District
Vancouver, BC March 8, 2022 - KORE Mining Ltd. (TSXV: KORE | OTCQX: KOREF) (“ KORE” or the
“Company”) is pleased to announce the completion of data analysis for the 100+ person-day regional
mapping campaign at the Imperial Gold project (“Imperial”), leading to the discovery of three new
exploration drill targets (Figure 1). This brings a total of nine highly prospective drill targets identified in
the Mesquite-Imperial-Picacho District (“District”); a District that captures 28 kilometers (“km”) of strike
from Equinox Gold’s (TSX: EQX) operating Mesquite gold mine (“Mesquite”) to the historic Picacho gold
mine (“Picacho”). Various additional stream sediment and rock chip assays and analyses are pending. The
mapping program focused on establishing vectoring strategies through the Bear Canyon conglomerate, a
late alluvial unit which covers most of the property.
New Discovery Highlights:
• Discovers three new target areas: Smoketree, Ironwood, and Wolverines
• Expanded Acacia target to over 1.5 km of mineralized strike with new outcrop areas
o Highlights from surface sampling include 1.0 g/t and 0.6 g/t gold
• Expanded the existing Powerline target to over 2 km mineralized length
• Collected 123 soil and rock samples while mapping previously undiscovered mineralized outcrop
between the Imperial deposit and the Mesquite mine – assays pending
• Commissioned follow-up man-portable drill program for Q2 2022
Mapping Program Highlights:
• Established new vectoring strategy for detecting gold mineralization in areas with little or no
surface outcrop exposure
o Gold mineralization detected in numerous distinct Tertiary Bear Canyon conglomerates
• Incorporated 130,000+ acres of lithologic mapping and data into regional geologic model
• Integrated regional structural model encompassing an area over 2,300,000 acres
• Established regional hand sample library to standardize regional mapping and allow high
confidence identification of rock units
KORE’s CEO Scott Trebilcock commented, “ With nine high potential oxide gold drill targets identified to
date, KORE continues to successfully develop the knowledge and exploration strategies to target and make
new discoveries at the Mesquite-Imperial-Picacho district exploration project. The amount of outcrop and
anomalous gold at surface continues to exceed expectations.”
Regional Scale Interpretation
Gold occurrences on the Imperia l Gold Project are primarily controlled by regional scale east to west and
west-northwest to east-southeast trending thrust faults that have been interpreted across the entire 28km
strike length of the property. These thrust faults bring the sheets of the crystalline basement closer to
surface and within economically mineable depths. Along these faults, secondary and tertiary structural and
lithological controls periodically create “hot spots” of gold mineralization, each generally 1 to 2km in strike
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length. Gold grade correlates strongly with degree of brecciation in all known target areas. Brecciation is
generally tectonic in nature, although hydrothermal and volcanic mineralized breccias have been observed
in some locales. Mapping efforts have revealed th at late tertiary alluvial cover units are often mineralized
with low grade gold proximal to mineralized gneiss occurrences. This allows for the indirect detection of
mineralized gneiss occurrences that have little or no surface expression. Alteration style s observed across
all prospect areas mentioned in this report are chloritization of mafic minerals, hematite + - jarosite + -
goethite along fractures or brecciated zones, local to pervasive sericitization, kaolinite alteration,
silicification, and quartz + carbonate veining.
Powerline Area Prospects (Powerline, Smoketree, and Ironwood targets)
The Powerline prospect area outcrop consists of two east to west trending strongly brecciated thrust sheets
of mineralized conglomerate and gneiss, together totaling ~130m of exposure. WorldView -3 spectral
satellite data indicated that these outcrops were within a large chlorite alteration zone. Detailed follow up
mapping and sampling efforts have since established approximately 2km of mineralized strike length.
While the majority of the Powerline prospect area is covered by the Tertiary Bear Canyon conglomerate,
several of these outcrops are strongly altered and mineralized, indicating that they may be overlying
mineralized gneiss in the subsurface.
A person portable drill that produces nearly NQ sized core samples up to 30 feet depth will be used in Q2
2022 to further define this zone and improve geologic understanding.
Sandwich Target Area
The Sandwich zone was first identified in 2019 during early -stage reconnaissance mapping and is most
notable for having the highest intensity of alteration observed on the property. This target area has a strike
length of 1.4km and mineralization is structurally controlled by the regionally extensive, WNW trending
thrust faults. The intensity of the alteration is primarily controlled by the degree of brecciation of the host
rock. Mineralized veins were observed in the stratigraphically overlying and relatively impermeable
Winterhaven Formation, suggesting that the Winter haven may have acted as a lithocap to ascending gold
bearing fluids.
This prospect area terminates against a large-offset strike slip fault, which transported a sliver of mineralized
basement 1.5km to the south creating the “Acacia” target area.
Acacia Target Area
In April 2021, a batch of regional reconnaissance stream sediment samples yielded a 1.6km long trend of 12
samples assaying over 0.1 g/t, including one sample assaying 3.7 g/t and two additional samples over 1.0
g/t. Follow-up work led to the widespread discovery of visible gold flakes and nuggets, generally fine grained
but some as large as 4mm. Mapping has delineated a 1.8km gneiss outcrop.
The Acacia target is interpreted as a faulted sliver of the Sandwich zone transported via the dextral Gatuna
Wash fault. The mineralization in both zones is primarily controlled by E -W trending regionally extensive
thrust faults, particularly the Gatuna-Sortan, Chocolate Mountains, and Copper Basin faults.
Wolverines Target Area
SWIR Geo -enhanced imagery, which combines infrared and visible light bands to graphically display
differences in rock reflectivity spectra, revealed a ~1km long outcrop of altered and brecciated gneiss. This
area is characterized by its widespread evidence of historical mining activity, such as old vibrating screen
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apparatuses, bulldozer activity, and abandoned camp sites. The prospect area remains dramatically under
sampled, with follow up work scheduled for Q2 2022.
East Mesquite Target Area
In 2019, KORE executed a regional ground induced polarization (“IP”) survey which interpreted a continuous
regional scale structure connecting the operating Mesquite mine to the East Mesquite prospect area. The
interpreted structure was drilled by Equinox Gold in September 2021 and resulted in their “best hole drilled
year-to-date” with 78 meter of 1.2 g/t – see news September 8, 2021. Given that most of the target area is
covered by late alluvial cover units, targeting will rely heavily on geophysics.
Ogilby Target Area
The Ogilby target area is notable for returning one of the highest assays on the property at 1.4 g/t. IP sections
from Imperial to Ogilby show anomalies similar in size and character to those at the known Imperial deposit,
strongly suggesting that the geology is continuous between these zones. Anomalous samples have thus far
clustered along the northernmost line of geop hysical anomaly, which includes a 300 meter long trend of
faulted and mineralized Bear Canyon conglomerate. Follow up sampling is currently in progress and several
assays are pending.
Sampling and Mapping Program Details
KORE has established a new methodo logy for mapping the Tertiary Bear Canyon conglomerate, which
covers the majority of the property and typically overlies the host rock (gneiss) of the Imperial deposit. This
new strategy makes it possible to detect gold occurrences in prospect areas that have little to no host rock
exposure. By studying these units across the entire property, the program discovered that the Bear Canyon
conglomerate can become mineralized through two mechanisms: 1) an offshed type, consisting of
mineralized clasts of gneiss in a matrix that may or may not be altered 2) by pervasive fluid flow and/or
quartz carbonate veining, especially along faults. Leading researchers were consulted throughout the
course of the mapping effort, with one researcher making a site visit to help establish a framework for the
program. Sampling of historic core has revealed that Tertiary Bear Canyon conglomerate in close proximity
the mineralized gneiss host rock can also become mineralized contemporaneously and can achieve gold
values above cut -off grade of the Imperial gold deposit. While the Bear Canyon Conglomerate does not
appear to be as good a host rock as the gneiss, mineralized Bear Canyon conglomerate is an excellent
indictor for being within close distance to both a mineralizing source and likely mineralized gneiss host
rock.
Having the intact Imperial deposit to “tune” or “fingerprint” this method greatly enhances the Company’s
confidence to target new discoveries under the Bear Canyon conglomerate along the 28km trend. Both
types of mineralized conglomerate units are observed near the Imperial deposit, both at surface and in drill
core.
Areas that show trace gold mineralization can be followed up on by a person portable drilling system,
capable of testing targets to depths of 30 feet. This program was successfully permitted and implemented
in 2021.
In 2021, KORE’s mapping team collected 94 rock samples and 29 stream sediment samples. Stream sediment
samples collected averaged 4.0 kilogram in weight and were taken at an average depth of 0.4 meters below
surface.
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KORE is committed to operating within the stringent environmental and labour standards of California.
Figure 1 shows the new geologic model compiled from 2021 field work, scientific, and historic data,
Imperial gold resource outline, the Mesquite mine, and the 9 property wide targets.
About the Imperial Gold Project
KORE owns 100% of the Mesquite-Imperial-Picacho District which consists approximately 31,000 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 3. 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 and 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 intermed iate 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 meta morphic 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 revised
and amended on June 10, 2021, prepared by Terre Lane and Todd Harvey of Global Resource Engineering
and Glen Cole of SRK Consulting (Canada) Inc. can be found under the Company’s profile on SEDAR
(www.sedar.com) and on the Company’s website.
About KORE Mining
KORE Mining is focused on responsibly creating value from its portfolio of gold assets in California, U SA.
The Company is advancing the Imperial project towards development while continuing to explore across
both district -scale gold assets. Management and Board, along with strategic investor, Eric Sprott (26%
owner), are aligned with all KORE shareholders with the goal of creating per share value.
Further information on Imperial and KORE can be found on the Company’s website at
www.koremining.com or by contacting us as [email protected] or by telephone at (888) 407-5450.
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On behalf of KORE Mining Ltd
”Scott Trebilcock”
Chief Executive Officer
(888) 407-5450
Investor Relations
Arlen Hansen, KIN Communications
1-888-684-6730
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 Pr ovider (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: the strategy, timing and implementation of permit regional exploration drilling in the 28 -kilometer
Mesquite-Imperial-Picacho District (“ Regional E xploration Drilling ”); the timing of submitting
Environmental Assessment report(s) for one or more areas of the Imperial project; potential actions,
behavior or position of the Bureau of Land Management (the “BLM”); the underexplored and prospective
nature of the Imperial Regional Exploration Drilling area; the results of the preliminary economic
assessments for the Imperial Project, including future project opportunities, the projected NPV, permit
timelines, the current mineral resource estimate, and the ability to obtain the requisite permits; the market
and future price of and demand for gold; the opportunities of expansion at the Imperial Project; and the
ability to work cooperatively with stakeholders, including 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. In connection with the forward‐looking information
contained in this presentation, the Company has made numerous assumptions, including, among others:
there being no significant change to current geotechnical, metallurgical, hydrological and other physical
conditions at the Imperial Project; exploration, permitting, and development of the Imperial Project being
consistent with current expectations and planning; the geological, permitting and economic advice that the
Company has received is reliable and is based upon practices and methodologies which are consistent with
industry standards; and other planning assumptions. While the Company considers these assumptions to
be reasonable, these assumptions are inherently subject to significant uncertainties and contingencies.
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
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future results, performance or achievements expressed or implied by the forward‐looking information.
Known risk factors include, among others: the outcome of BLM’s review processes for permitting, including
the final outcome(s) of BLM’s mineral claim validity examination(s) and administrative review process(es)
with respect to the Imperial Zone, in cluding a change to the findings from the mineral claim validity
examination conducted in 2002 for the mill sites at the Imperial Zone, resulting in the Company having to
move its future Imperial Zone project support facilities to areas that are not within the Indian Pass mineral
withdrawal area; the possibility that BLM may require and/or conduct further mineral claim validity
examinations with respect to the Imperial project, and the outcome and final determination of such
examination could, among other things, invalidate one or more mining claims; the possibility that BLM or
other governmental authority review of the Regional Exploration Drilling program, delays or changes the
Company’s plan for Regional Exploration Drilling permitting, which could result, among other things, in
delays, additional project requirements, additional costs and uncertainty of meeting anticipated program
milestones; the exploration drill program may not be completed as planned; the need to obtain additional
financing; uncertainty as to the availability and terms of future financing; the possibility of delay in
exploration or development programs and uncertainty of meeting anticipated program milestones;
uncertainty as to timely availability of permits and other government approvals.
Additional risks and uncertainties are described in the “Risks” sections of (i) the Company’s Annual
Information Form for the year ended December 31, 2020 prepared as of April 29, 2021, and (ii) the
Company’s Management’s Discussion and Analysis for the nine months ended September 30, 2021, both
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.
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FIGURE 1: Geologic Map Aggregating 2021 Field Work Showing Nine Drills Targets in the Mesquite-Imperial-Picacho District
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