ST. JAMES GOLD CORP. Files Technical Report on the Quinn Lake Property in Central Newfoundland
ST. JAMES GOLD CORP. Files Technical Report on the Quinn Lake
Property in Central Newfoundland
VANCOUVER, BC
,
Feb. 2, 2021
/CNW/ --
St. James Gold Corp.
(TSXV: LORD) (OTC: LRDJF) (FSE: BVU3), the "Company" is pleased to announce
the completion of a National Instrument 43-101 Standards of Disclosure for Mineral Projects ("
NI 43-101
") technical report entitled "Geological Report
on the Quinn Lake Property, Central Newfoundland NTS 12A/07,
Newfoundland
and
Labrador
", with an effective date of
January 29, 2021
(the
"Technical Report"). The Technical Report was prepared by
Christopher Baldys
, P. Eng, a "Qualified Person" as defined by NI 43-101 and independent
of the Company.
The Technical Report is available for review on SEDAR (
www.sedar.com
) and on the Company's website (
www.stjamesgold.com
).
The Technical Report presents the results of the details of land tenure, summarizes historical work performed, and recommends a two-phased
exploration program to evaluate the potential for gold mineralization. The mineral licences representing 1,730 acres are situated approximately 40 km
south of the community of
Millertown
and were acquired with the purpose of conducting systematic exploration of gold targets emerging from recent
discoveries on adjacent properties and geological mapping surveys conducted by Geological Survey of
Newfoundland
and
Labrador
.
The Quinn Lake property is strategically situated in the middle of a very prospective gold corridor extending from Marathon Gold's Valentine Lake
project in the southwest to Wilding Lake project recently acquired by Canterra Minerals in the northeast. The Property straddles the Valentine Lake
Shear Zone and Rogerson Lake Conglomerate which are district-scale geological components of orogenic gold systems that recently gained
prominence and are considered prime targets for gold mineralization.
Exploration campaigns over the past decade at Valentine Lake project have led to discoveries of significant gold deposits: Marathon, Victory,
Leprechaun and Sprite with a combined measured-indicated resource of 54.9 million tonnes grading 1.75 g/t gold for a total of 3.09 million contained
ounces. These new deposits span a strike length of 15 kilometers and are situated only 12 kilometers to the southwest of the Quinn Lake property.
Adjacent and east of the property at the Wilding Lake project area, gold occurrences show that mineralization can be hosted within volcanic and
epiclastic rocks that are in fault contact with the Rogerson Lake Conglomerate.
Most recent exploration successes with the adjacent Valentine Lake project include a new 1.5-kilometre-long, Berry zone that was tested by Marathon
Gold with a 59-hole drilling program in 2020. Highlights of the drilling results include 3.70 g/t gold over 42 metres and 4.66 g/t gold over 17 meters. This
new discovery is expected to produce a maiden resource for the Berry zone in Q1 of 2021.
Based on technical information on projects bordering the Quinn Lake project and recent discoveries nearby, the Technical Report proposes a 2-phase
exploration program in 2021. St James Gold Corp. is currently planning geochemical soil sampling and mobile-metal ion surveys, excavator stripping
and bedrock mapping and sampling. This phase will be followed up with up to a 1,500 metre diamond drill testing program to test the best targets and
structure related to the Valentine Lake Shear Zone that crosses the property. The work will commence in the spring of 2021 with till sampling over the
entire 7 square kilometre area of licences.
As commented by
George Drazenovic
, CEO of St. James Gold Corp.,
"We are delighted to receive the NI 43-101 report and its recommendations
therein. Recent discoveries nearby and along the Rogerson Lake Conglomerate corridor have continued to provide opportunities for St. James Gold
shareholders to participate in the new gold rush in
Newfoundland
.
Marathon Gold's recently announced drill results along this corridor at the Berry
Zone and Narrows Prospect have reinforced the potential of our Quinn Lake Property, and we are keen to build on these developments. As we move
forward, we will continue to monitor their developments, further
develop
the geological model, and pursue a work program to provide shareholder
value."
In spite of the prospective geological setting, the Quinn Lake area had seen relatively limited scope of historical exploration work. One of Noranda's till
sampling lines from a 1989 work program in the region crossed the current Property area and identified anomalous values up to 528 ppb gold. Similar
magnitude of gold anomalies in tills were documented by Noranda just outside the current property area with a peak value of 3009 ppb gold just 2 km
northwest of the Quinn Lake property. Follow up work by Paragon Minerals in 2013 was not successful in locating the source of gold in the 1989
reported results, though a review of airborne electromagnetic-magnetic survey data, prospecting, line cutting and a ground IP geophysical survey
identified possible targets for further exploration. Their report concluded that glacial cover, numerous lakes and ponds, and extensive bog covered
areas severely hampered prospecting efforts aimed at ground-truthing of geophysical anomalies. Since that time, despite recognition of the geological
setting and some induced polarization surveys, not much work was conducted and the licenses were allowed to lapse.
Historic information on the Quinn Lake project, notably in regard to historical exploration, adjacent companies and recent discoveries, and governmental
geological compilations provide an indication of the potential of the project, but may not be representative of expected results.
Dr.
Stewart Jackson
, P.Geo., Senior Technical Advisor Geologist and Qualified Person within the meaning of National Instrument 43-101 Standards of
Disclosure for Minerals Projects, has reviewed and approved the technical and scientific information presented herein as accurate and approved this
news release.
About St James Gold Corp.
St. James Gold Corp. is a publicly traded company listed on the TSX Venture Exchange under the ticker "LORD". The company is focused on
creating shareholder value through the discovery and development of economic mineral deposits by acquiring prospective exploration projects with
well delineated geological theories, integrating all available geological, geochemical and geophysical datasets, and funding efficient
exploration
programs. The Company
currently holds an option to acquire a 100% interest in 29 claims covering 1,791 acres in the Gander gold district in north-
central
Newfoundland
adjacent to New Found Gold Corp.'s Queensway North project, and an option to acquire a 100% interest in 28 claims covering
1,730 acres in central
Newfoundland
adjacent to Marathon Gold's Valentine Lake property.
George Drazenovic
, CPA, CGA, MBA, CFA
CEO
St. James Gold Corp.
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
St. James Gold Corp.
For further information, please contact:
George Drazenovic
, Chief Executive Officer
Tel:
1 (800) 278-2152
Email:
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SOURCE
St. James Gold Corp.
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CO: St. James Gold Corp.
CNW 08:30e 02-FEB-21