Melkior Discovers New VMS Setting and Intersects 5.6 g/t Gold and 6.4 g/t Silver over 9.5 Meters , Including 0.5 Meters of 67.9 g/t Gold, 79.8 g/t Silver, 0.62% Copper and 0.27% Zinc on the Carscallen Property
Head Office: 66 Brousseau Ave., Suite 207, Timmins, ON P4N 5Y2 Canada
Melkior Discovers New VMS Setting and Intersects 5.6 g/t Gold and 6.4 g/t Silver
over 9.5 Meters , Including 0.5 Meters of 67.9 g/t Gold, 79.8 g/t Silver, 0.62%
Copper and 0.27% Zinc on the Carscallen Property
May 21, 2020 Trading Symbol:MKR
TSX Venture Exchange
Timmins, Ontario. Melkior Resources Inc. (“Melkior” or the “Company”) (TSXV:MKR)
(OTC:MKRIF) believes it has discovered a new VMS (volcanogenic massive sulphide ) hosted
environment in Carscallen Township approximately 25 kilometers west of Timmins, Ontario in
its recent drill program. The discovery occurred approximately 264 meters south of the current
deep drilling program initiated in early March of 2020. The third drill hole, CAR-20-06 tested a
mise-a-la-masse (MALM) conductor and encountered strong chalcopyrite (copper), sphalerite
(zinc) mineralization, described as clots and disseminations, as well as arsenopyrite, pyrite and
pyrrhotite mineralization with visible gold hosted within lithologies such as a previously
unknown massive rhyolite which typically hosts mineralization in VMS environments.
Drill hole CAR-20-06 intersected 5.6 g/t Au and 6.4 g/t silver over 9.5 meters from 486.5 to
496.0 meters, including 23.9 g/t Au over 0.5 meters from 486.5 to 487.0 meters and 67.9 g/t Au
with 79.8 g/t Ag over 0.5 meters from 495.0 to 495.50 meters. The final interval from 495.5 to
496.0 also returned 0.62% copper and 0.27% zinc. In addition, CAR-20-05 which intersected
25.7 g/t Gold over 6.0 meters from 357.0 to 363.0 meters, ( Melkior press release, May 7, 2020)
had previously not been analyzed for the 36 multi-element analysis and has recently returned
assays of 3.6% copper and 27.8 g/t Silver over 0.7 meters from 360.5 to 361.2 meters in
addition to the 205 g/t Au previously reported. Between 303 and 750 meters, 311 samples
were taken, which returned 100% anomalous copper, 100% anomalous zinc, and 88%
anomalous gold. Pyritic and pyrrhotitic mineralization was prevalent throughout the entirety of
the VMS environment encountered.
Highlights:
• The Carscallen Gold Project lies within the township of Carscallen, approximately 25
kilometers southwest of the City of Timmins, Ontario. It is comprised of 301 claim units
covering 47 square kilometers with 100% ownership by Melkior.
• The third drill hole, CAR-20-06, with a target depth of 600 meters, was extended an
additional 150 meters to 750 meters and terminated within pyritic and pyrrhotitic
mineralization. Melkior believes it may be within what is described as a Bimodal mafic
VMS environment as the rock types include mafic massive basalts, pillowed mafic flows
with localized hyaloclastite, subaqueous debris flow breccias and dacitic to rhyolitic
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massive flows with no pyroclastic all characteristic of this VMS classification (see
accompanying photos).
• Typical as well of this class of VMS encountered in CAR-20-06 were numerous feldspar
porphyry dikes and alteration, including chloritization, sericitization, silicification, and
epidotization.
• The drill hole intersected bands of semi-massive pyrrhotite and clusters of coarse pyrite
from 454 to 468 meters. These types of systems typically contain a significant amount of
pyrrhotite, an iron sulphide which is strongly magnetic and believed to be the principal
conductor in the MALM survey and recognized in the VTEM total magnetic intensity as
a significant elevated response.
• Significant concentrations of gold have now been established approximately 264 meters
south of the first two holes drilled with further drill testing required to establish
continuity and the possible expansion into a larger gold system. Gold and silver values
are usually highest in the fringe and cooler upper portions of VMS systems.
• In 2012, CAR-84-2012 collared approximately 275 meters northwest of CAR-20-06,
intersected iron formation consisting of centimeters thick magnetite interbedded with
chert, chlorite, pyrite, and hematite within mafic volcanics typical of the distal portion of
a VMS (Melkior press release, November 17, 2012). This historic drill hole may provide
a vector in future drilling based upon the results in CAR-20-06.
• A second MALM survey has been completed on CAR-20-06, which appears to exhibit
stronger conductivity between CAR-20-06 and the first two drill holes CAR-20-04 and
CAR-20-05. These first two holes in the program also returned strong copper
disseminations within a chlorite-rich alteration of a possible copper-rich VMS stringer
zone.
• Further TDEM (time-domain electromagnetic) borehole surveys are planned to be
conducted on CAR-20-06 and CAR-20-04. Drill grid patterns have also been planned to
reflect the potential for both the gold-bearing system between these drill holes and the
recognized VMS system, but may be modified pending the results of the TDEM surveys.
Jonathon Deluce, CEO of Melkior, remarks, “We are excited with the last of our results from
our March 2020 drill program. We are very encouraged to intercept high-grade gold veins in
our 264-meter step-out hole with indications of metals found within a VMS environment. We
believe the Carscallen Project has a lot of potential for both the high-grade gold system and the
increased likelihood of being in a VMS environment as well. Hole CAR-20-06 demonstrated
consistent anomalous mineralization over 447 meters, and that consistency combined with
strong down-hole conductive readings supports us potentially being on the fringe of a VMS
system.”
LOCATIONS, DIPS, AZIMUTHS AND HOLE LENGTHS 2020 DRILL HOLES
Hole ID Easting
UTM
Northing
UTM
Length (m) DIP Azimuth
CAR-20-04 451927 5358046 600.0 -78 240
CAR-20-05 451957 5358091 600.0 -76 240
CAR-20-06 451957 5357827 750.0 -65 240
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RESULTS FROM CAR-20-06
Hole ID From
(m)
To (m) Length
(m)
Au
(g/t)
Cu
(%)
Zn
(%)
Ag
(g/t)
CAR-20-05 360.50 361.20 0.7 205 3.6 27.8
CAR-20-06 217.50 218.0 0.5 3.31
373.50 374.0 0.5 .22
445.0 449.0 4.0 1.19
Including 445.0 446.0 1.0 3.51
486.50 496.0 9.5 5.63 .05 .026 6.4
Including 486.50 487.0 0.5 23.9 .06 .03 17.7
And 495.0 495.50 0.5 67.9 .62 .27 79.8
620.0 620.5 0.5 4.96 2.6
640.0 642.0 2.0 2.12
Including 640.0 640.50 0.5 4.45
* Stated lengths are core lengths as drilled. True widths are estimated to be 80% of
reported core length intervals.
Figure 1 Silicified and sericitized massive rhyolite with 9.5 meters of 5.68 g/t gold, 6.4 g/t silver, and
0.5 meters of .62% copper and .27% zinc from 486.50 to 496.0 meters
**The photos are of selected intervals and are not necessarily indicative of the mineralization
hosted on the property.
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Figure 2 Clots and disseminations of chalcopyrite and sphalerite within quartz vein crosscutting
rhyolite. 67.9 g/t Au, 79.8 g/t Ag, .62% copper and .27% zinc over 0.5 meters from 495.0 to 495.50
meters
**The photos are of selected intervals and are not necessarily indicative of the mineralization
hosted on the property.
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Figure 3 Banded semi-massive pyrrhotite and blebby subhedral pyrite within brecciated chloritic
and sericitic mafic volcanic.
**The photos are of selected intervals and are not necessarily indicative of the mineralization
hosted on the property.
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Figure 4 Brecciated volcaniclastic quartz silica zone grading into subaqueous volcanic debris flow
with subrounded silica clasts within chloritized matrix.
**The photos are of selected intervals and are not necessarily indicative of the mineralization
hosted on the property.
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Figure 5 Visual representation cross-section of a typical volcanogenic massive sulphide (VMS) ore
deposit
QA/QC and Core Sampling Protocols
The program was carried out under the supervision of Peter Caldbick, P.Geo and a consultant for
Melkior Resources Inc., the qualified person responsible for this news release. The drill core was
split with half sent to Actlabs in Timmins, On and fire assayed with an AA and gravimetric finish.
Whole metallic assays are performed on samples greater than 10 g/t gold and samples containing
visible gold. In addition, all three drill holes were treated with the 1E3 36 element multi element
package with aqua regia analyses. Duplicates, standards and blanks were inserted into the sample
stream.
Qualified Person
All technical information in this press release has been reviewed and approved by Peter Caldbick,
P.Geo. Mr. Caldbick is a consultant for Melkior and a Qualified Person for the purposes of
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National Instrument 43-101.
ON BEHALF OF THE BOARD
Jonathon Deluce, CEO
For more information, please contact:
Melkior Resources Inc.
E-mail: [email protected]
Tel: 226-271-5170
The reader is invited to visit Melkior's web site www.melkior.com.
Neither 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.