Labrador GOLD Doubles Number of Drill Rigs to Four and Increases Drilling Program to 50,000 Metres at Kingsway
NEWS RELEASE
June 17, 2021
LABRADOR GOLD DOUBLES NUMBER OF DRILL RIGS TO FOUR AND INCREASES DRILLING PROGRAM
TO 50,000 METRES AT KINGSWAY
TORONTO, ON, June 17, 2021 – Labrador Gold Corp. (TSX.V: LAB | OTCQX: NKOSF | FNR: 2N6) (“LabGold” or the
“Company”) is pleased to announce that it is expanding the current drill program from 20,000 metres to 50,000
metres and plans to increase the number of drill rigs to four.
Highlights
• The decision to increase the current drill program to 50,000 metres was made following a review of the
multiple targets along the 7.5 km quartz vein corridor adjacent to the 12 km strike length of the
Appleton Fault Zone.
• Approximately 4,000 metres of drilling has been completed at Big Vein.
• The Company currently has $36 million in working capital and is well funded for the expanded program.
• The core facility has been upgraded to meet the demands of the increased program.
• Assay results from two holes containing visible gold are expected in the coming weeks.
“We are very encouraged by the initial results of our drilling at Kingsway and feel like we are on the cusp of a
discovery”, said Roger Moss, President and CEO of LabGold. “The additional drills will enable more rapid testing
of the high-grade target at Big Vein as well as along the enclosing quartz vein corridor that shows multiple areas
requiring follow up drilling. We expect an exciting summer at Kingsway with good news flow on results from
drilling and systematic exploration along the Appleton Fault Zone.”
Qualified Person
Roger Moss, PhD., P.Geo., President and CEO of LabGold, a Qualified Person in accordance with Canadian
regulatory requirements as set out in NI 43-101, has read and approved the scientific and technical information
that forms the basis for the disclosure contained in this release.
The Company gratefully acknowledges the Newfoundland and Labrador Ministry of Natural Resources’ Junior
Exploration Assistance (JEA) Program for its financial support for exploration of the Kingsway property.
About Labrador Gold
Labrador Gold is a Canadian based mineral exploration company focused on the acquisition and exploration of
prospective gold projects in Eastern Canada and is well capitalized to fund its exploration with working capital of
approximately $36 million.
In early March 2020, Labrador Gold acquired the option to earn a 100% interest in the Kingsway pr oject in the
Gander area of Newfoundland. The three licenses comprising the Kingsway project cover approximately 16km of
the Appleton fault zone which is associated with gold occurrences in the region, including the New Found Gold
discovery. Infrastructure in the area is excellent located just 18km from the town of Gander with road access to
the project, nearby electricity and abundant local water. LabGold recently began a diamond drill program
targeting high grade gold mineralization associated with the visible gold showing at Big Vein.
The Hopedale property covers much of the Hunt River and Florence Lake greenstone belts that stretch over 80
km. The belts are typical of greenstone belts around the world but have been underexplored by comparison. Initial
work by Labrador Gold during 2017 show gold anomalies in soils and lake sediments over a 3 kilometre section of
the northern portion of the Florence Lake greenstone belt in the vicinity of the known Thurber Dog gold showing
where grab samples assayed up to 7.8g/t gold. In addition, anomalous gold in soil and lake sediment samples
occur over approximately 40 kilometres along the southern section of the greenstone belt (see news release dated
January 25th 2018 for more details). Labrador Gold now controls approximately 57km strike length of the Florence
Lake Greenstone Belt.
The Ashuanipi gold project is located just 35 km from the historical iron ore mining community of Schefferville,
which is linked by rail to the port of Sept Iles, Quebec in the south. The claim blocks cover large lake sediment gold
anomalies that, with the exception of local prospecting, have not seen a systematic modern day exploration
program. Results of the 2017 reconnaissance exploration program following up the lake sediment anomalies show
gold anomalies in soils and lake sediments over a 15 kilometre long by 2 to 6 kilometre wide north -south trend
and over a 14 kilometre long by 2 to 4 kilometre wide east- west trend. The anomalies appear to be broadly
associated with magnetic highs and do not show any correlation with specific rock types on a regional scale (see
news release dated January 18th 2018). This suggests a possible structural control on the localization of the gold
anomalies. Historical work 30 km north on the Quebec side led to gold intersections of up to 2.23 grams per tonne
(g/t) Au over 19.55 metres (not true width) (Source: IOS Services Geoscientifiques, 2012, Exploration and
geological reconnaissance work in the Goodwood River Area, Sheffor Project, Summer Field Season 2011). Gold
in both areas appears to be associated with similar rock types.
The Company has 150,477,206 common shares issued and outstanding and trades on the TSX Venture Exchange
under the symbol LAB.
For more information please contact:
Roger Moss, President and CEO Tel: 416-704-8291
Or visit our website at: www.labradorgold.com
@LabGoldCorp
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies
of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements: This news release contains forward-looking statements that involve risks
and uncertainties, which may cause actual results to differ materially from the statements made. When
used in this document, the words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticip ate”,
“believe”, “estimate”, “expect” and similar expressions are intended to identify forward- looking
statements. Such statements reflect our current views with respect to future events and are subject to risks
and uncertainties. Many factors could cause our actual results to differ materially from the statements
made, including those factors discussed in filings made by us with the Canadian securities regulatory
authorities. Should one or more of these risks and uncertainties, such as actual results of current
exploration programs, the general risks associated with the mining industry, the price of gold and other
metals, currency and interest rate fluctuations, increased competition and general economic and market
factors, occur or should assumptions under lying the forward looking statements prove incorrect, actual
results may vary materially from those described herein as intended, planned, anticipated, or expected.
We do not intend and do not assume any obligation to update these forward-looking statements, except as
required by law. Shareholders are cautioned not to put undue reliance on such forward-looking statements.