Metallis Confirms Breakthrough Geological Model at Cliff- Miles Porphyry Corridor Which Leads to Impressive Final Hole at Miles Target
METALLIS CONFIRMS BREAKTHROUGH GEOLOGICAL MODEL AT CLIFF-
MILES PORPHYRY CORRIDOR WHICH LEADS TO IMPRESSIVE FINAL
HOLE AT MILES TARGET
VANCOUVER, BC, Feb. 1, 2022 /CNW/ - Metallis Resources Inc. (TSXV: MTS) (OTCQB: MTLFF) (FSE: 0CVM) (the "Company" or "Metallis") is pleased to
announce the results from its 2021 drill program (the "Program") at its 100%-owned Kirkham Property (the "Property") situated in the heart of prolific Eskay
mining camp of the Golden Triangle in northwestern British Columbia. The Eskay mining camp is well-known for its diverse metallogeny highlighted by the past
producing Eskay Creek and Snip gold mines, Seabridge's KSM porphyry deposits and Pretium's Brucejack gold mine, which has recently been sold to Newcrest
Mining Ltd. for $3.5 billion.
Fiore Aliperti, Metallis' President and CEO stated, "Results from the 2021 program are the leap forward we were looking for and provide a fundamental
breakthrough in the geological model representing the Cliff-Miles Porphyry Corridor. Most importantly, significant progress has been made by our team in defining
a substantial gold system sitting near surface at the Cliff-Miles Porphyry Corridor. This improved understanding has led the technical team to model a significant
600 meter deep, half-graben structure which features a silicified, gold-rich sub-vertical feeder zone along the Adam Fault with laterally extensive, semi-
conformable, gold-bearing branches which now expands the corridor even further to the east than previously thought."
Program Summary and Highlights
The Program consisted of 7 deep drill holes comprising a total of 4,785 meters ("m"). The holes were designed to expand the large, 2 km long mineralized Cliff-
Miles porphyry system. Specifically, the Program targeted the cluster of Induced Polarization ("IP") anomalies and the depth potential of the mineralization. (See
News Release September 8, 2020). Significantly, all drill holes intersected long intervals of well mineralized porphyritic monzonite and a succession of silicified
siliciclastic rocks carrying high-grade gold (See Table-1 below).
Intercepts of high-grade gold mineralization constrained within stockwork fractured porphyry intrusions and host rocks were encountered (e.g., KH21-45 returned
1.05 g/t AuEq over 43 m from surface). The geological interpretation helped identify a new model of the Cliff-Miles porphyry system sitting within a fault-bounded
half-graben structure with multiple sub-blocks (Click to view plan map). The graben structure is attributed to the extensional tectonics in the Golden Triangle -
responsible for hosting some of the well-known porphyry and epithermal gold deposits such as the world-renowned KSM porphyry cluster and Valley of the Kings
gold deposit (Board et al., 2020). The down-dropped block within the half-graben is made up of volcanoclastic, flows and limestones belonging to the Hazelton
Group. The fertile Texas Creek monzonite stocks intrude this pile and bring the mineralized hydrothermal fluids. The mineralization in each block is represented by
a sub-vertical feeder (or "Trunk") zone and laterally extensive branches hosted within a gently east-dipping stratigraphy. Refer to cross sections linked below.
Dave Dupre, VP of Exploration remarked, "Guided by the classic zonal model, our initial objective of the 2021 program was to test for improved porphyry
copper/gold grades at depth. Midway through the program, the geological team pivoted their focus to the gold rich overprinted siliceous zones. This led to the
impressive results obtained from drill hole KH21-45." He went on to add, "We are extremely pleased with the successful application of our new geological model
which shows four Cliff-Miles structural sub-blocks and an eastward expansion of the near surface gold mineralization. Work is currently underway to advance our
understanding and evaluation of the individual blocks for their vertical and lateral expansion this coming season".
The siliceous gold zones display remarkable continuity. The gold zone at the Miles sub-block is ~150 m wide, at least 1,000 m long and 600 m deep. It is open
along strike and down-dip. The Miles sub-block shows broad zones of gold-rich mineralization highlighted by:
KH21-45 with 0.43 AuEq over 220.7 m - from surface
Incl. 1.05 g/t AuEq over 43.0 m - from surface
KH20-37 with 0.42 g/t AuEq over 175.0 m - 400 m below surface
Incl. 1.24 g/t AuEq over 32 m - 400 m below surface
MD09-05 with 0.36 g/t AuEq over 86.5 m - 200 m below surface
Significant drill intersections from the 2021 drill program are presented below (Table 1), and all the Cliff-Miles holes are included on the website. (
Click Here to View Full Composite Table).
Table 1
H ole_ID From (m) To (m) Length (m) AuE q* (g/t)Au (g/t) Cu (% ) Ag (g/t) Mo (ppm)
KH 21-39 231.80 316.70 84.90 0.27 0.13 0.10 0.76 17.45
414.00 444.80 30.80 0.24 0.15 0.06 0.29 22.13
KH 21-40 181.40 235.00 53.60 0.24 0.21 0.02 0.49 13.35
374.75 552.00 177.25 0.34 0.29 0.02 0.96 16.43
incl. 374.75 396.85 22.10 0.49 0.47 0.01 0.31 3.70
incl. 519.60 552.00 32.40 0.82 0.78 0.01 1.64 2.10
KH 21-41 51.10 375.00 323.90 0.24 0.14 0.07 0.45 38.09
incl. 51.10 96.30 45.20 0.36 0.31 0.03 0.89 24.63
KH 21-42 78.00 169.50 91.50 0.38 0.33 0.03 0.38 17.05
incl. 78.00 108.00 30.00 0.63 0.60 0.02 0.22 10.98
436.00 644.00 208.00 0.36 0.18 0.13 0.93 38.27
incl. 451.00 565.60 114.60 0.38 0.18 0.15 0.98 33.28
KH 21-43 79.10 254.80 175.70 0.23 0.17 0.04 0.37 27.28
incl. 79.10 119.80 40.70 0.55 0.51 0.03 0.38 16.31
584.00 660.00 76.00 0.30 0.27 0.01 0.20 8.73
incl. 584.00 589.60 5.60 4.01 3.69 0.20 2.75 118.53
KH 21-44 77.00 423.70 346.70 0.25 0.13 0.08 0.69 31.85
KH 21-45 5.30 226.00 220.70 0.43 0.34 0.06 0.90 19.19
incl. 5.30 63.00 57.70 0.78 0.74 0.02 1.60 6.76
Incl. 8.00 51.00 43.00 1.05 1.00 0.02 2.14 9.07
358.00 504.00 146.00 0.30 0.24 0.04 0.48 11.66
*Gold equivalent grades ('AuEq.") are for comparative purposes only. Calculations are uncut and recovery is assumed to be 100% as no metallurgical data are available. The metal prices including: U S$1700/oz Gold, U S$20/oz Silver, U S$3.0/lb. Copper & $9.0/lb. Mo. w ere used for
(AuEq g/t). Drilling data to date is insufficient to determine true w idth of the mineralized zone. Composites are determined using a notional 0.20 g/t AuEq cut-off, a maximum of ten meters of internal dilution for porphyry-style mineralization and no top cut is applied.
Cliff-Miles Porphyry Corridor Geology:
For the first time, the Company drilled three oriented core holes which are used to help measure directional properties in rock and is routinely utilized to measure
features such as bedding, fractures, and veins. This technique helped the Company constrain the geometries of the faults, porphyry intrusions and
lithostratigraphic units. The latest 3D modeling and interpretation of the 2021 drilling assays have revealed that the overprinted gold mineralization discovered near
surface offers significant upside potential for the Company and future exploration programs.
The entire 4 km-long Cliff-Miles porphyry corridor is now divided into 4 sub-blocks characterized by similar patterns of alteration and mineralization all along the
plutonic rocks and east-dipping Hazelton Group rocks. The feeder (trunk) zone to the west and multiple horizons of gold-rich mineralization are constrained along
the early medium porphyry ("MP") dikes and sills. The late-mineral porphyry ("CP") exists as a singular dike on the Western-most margin of the system; however,
KH21-40 and previous drill holes intersected a second CP dike on the East, suggesting the presence of additional well-mineralized porphyry dikes and sills to the
East and at depth.
Miles Block
The northernmost
Miles Block
is identified as a half-graben structure where drill hole KH21-45 cut a substantial intercept of gold-rich mineralization highlighted by
220.7 m
of 0.43 g/t AuEq
including
43 m
of 1.05 g/t AuEq.
(
Click to View Miles Block Cross Sections
). The gold-rich mineralization in KH21-45 is associated with
highly silicified limey siltstone, sandstone and stockwork fractured porphyry intrusions confirming a
600 m
vertical extent of the gold zone, discovered in KH20-37,
which returned
1.21 g/t Au over
32 m
within a broader intercept of
0.68 g/t Au
over
83 m
. (See News Release
February 10
th
, 2021). The gold zone at this block
is ~150 m wide and remains open to the north for another
500 m
where historic drill holes and trench samples assayed
0.5 to 2.5
g/t Au
confirming the vertical
and lateral continuation of the gold zone to be tested in follow-up programs.
Block-3
The porphyry intrusions in the central Block-3 were emplaced along the curviplanar Adam Fault to the west. The later epithermal gold overprint (characterized by
0.49 g/t AuEq
over
22.1 m
in KH21-40 and
0.63 g/t AuEq
over
30.0 m
in KH21-42) is associated with the syn-mineral faults and bedding-parallel permeability in
the east-dipping Hazelton Group host rocks. KH21-42 intersected the deepest known Quartz A-Vein stockwork mineralization to date, running
0.36 g/t AuEq
over
208.0 m
, and leaves it open to depth, along strike to the south and southwest where drill hole KH20-34 intersected
1.13 g/t AuEq*
over
54 m
within a broader
interval of
0.64 g/t AuEq
over
141 m
(
Click to View Block 3 Cross Sections
).
Block-2
Block-2 is expanded to the east where KH21-39 and KH21-40 drilled broad intercepts of gold mineralization including
84.9 m
of
0.27 g/t AuEq
and
177.25 m
of
0.34 g/t AuEq
respectively. Both holes intersected multiple sub-parallel porphyry sills varying in thickness from meters to hundreds of meters extending eastward
from their feeder dykes. The feeder dykes to the west are represented by typical porphyry style mineralization as intersected in KH20-36, which returned
490.8 m
of
0.33 g/t AuEq,
including a
56 m
zone of
0.50 g/t AuEq
. (
Click to View Block 2 Cross Sections
).
Block-1
Block-1 defines the southern tip of the graben structure truncated by an east-west sinistral fault. This block is dominated by multiple crosscutting Coarse-Porphyry
("CP") and Medium-Porphyry ("MP") dikes characterized by relatively higher-grade copper-gold mineralization. The best intercepts reported from this block (i.e.,
115.0 m
of
0.81 g/t AuEq
in KH18-16 and
90.0 m
of 0.80 g/t AuEq
in KH17-08) are from within the Medium-Porphyry ("MP") stock which remains open at depth
and along strike (
Click to View Block 1 Cross Section
).
Future Exploration Plans
The very encouraging 2021 results has led to a ramped-up exploration plan for 2022. Early-stage planning envisages an extensive program of closely spaced
holes to define the near surface gold targets and simultaneously evaluate the high-grade porphyry copper-gold targets at depth.
Building on the assay results and latest 3D modeling, Metallis' technical team is currently evaluating the morphology and distribution of the well-mineralized bodies
in each structural block. The on-going 3D Voxel modeling of the IP and ZTEM resistivity anomalies is being used to help with generating additional drill targets
focused on the depth potential of the porphyry system, already tested down
600 m
from surface.
QAQC and Analytical Protocols
Metallis has implemented a rigorous quality assurance / quality control (QA/QC) program to ensure best practices in sampling and analysis of diamond drill core
and surface rocks and soils. The drilling samples including 1-
3 m
intervals of HQ and NQ drill core were delivered to ALS Global prep facilities in
Terrace
and
Langley BC
, where the samples were crushed to 70% pass 2mm fraction, and then a 250g split was pulverized to better than 85% passed a 75-micros screen.
The geochemical analyses were performed by ALS Global in
Vancouver
using multi-element 4-Acid digest ICP-MS package (ME-MS61). Gold was analyzed by
fire assay technique Au-ICP21. Gold grades ≥10 g/t were analyzed by fire assay and gravimetric finish. In addition to the internal QAQC program by ALS, Metallis
inserted 10% lab certified standards, field blanks and duplicates into the overall sampling stream.
ALS is a global testing, inspection and certification business and is an ISO/IEC 17025:2005 accredited laboratory independent of the Company.
Qualified Person
David Dupre
, P. Geo, Vice President - Exploration and the Qualified Person, as defined by National Instrument 43-101, has reviewed, and approved the technical
information contained in this release.
About the Kirkham Property
The wholly owned 106 sq. km Kirkham Property is located about 65 km north of
Stewart, B.C.
, in the heart of the Golden Triangle's prolific
Eskay Camp
. The
Property is prospective for multiple mineral deposit types and is located along a strategic geological boundary – the "Red-line" exposed on the western margin of
the Eskay Rift system in the Golden Triangle, northwestern
British Columbia
.
The Kirkham Property is contiguous to Garibaldi Resources Corp.'s E&L Nickel Mountain Project in the north and Eskay Mining Corp. to the east. The property is
within 12 km of the Eskay Creek mine and within 12 – 20 km of Seabridge Gold's KSM deposits and Newcrest Mining's newly acquired Brucejack mine.
About Metallis
Metallis Resources Inc. is a
Vancouver
-based company focused on the exploration of gold, copper, nickel, and silver at its 100%-owned Kirkham Property
situated in northwest
British Columbia's
Golden Triangle region. Metallis trades under the symbols MTS on the TSX Venture Exchange, MTLFF on the OTCQB
Exchange, and 0CVM on the Frankfurt Stock Exchange. The Company currently has 52,839,878 common shares issued and outstanding.
On behalf of the Board of Directors:
/s/ "Fiore Aliperti"
Chief Executive Officer, President and Director
CAUTION REGARDING FORWARD-LOOKING STATEMENTS
This Press Release may contain statements which constitute 'forward-looking' statements, including statements regarding the plans, intentions, beliefs and current
expectations of the Company, its directors, or its officers with respect to the future business activities and operating performance of the Company. The words
"may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions, as they relate to the Company, or its
management, are intended to identify such forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of
future business activities or performance and involve risks and uncertainties, and that the Company's future business activities may differ materially from those in
the forward-looking statements because of numerous factors. Such risks, uncertainties and factors are described in the periodic filings with the Canadian
securities' regulatory authorities, including quarterly and annual Management's Discussion and Analysis, which may be viewed on SEDAR at
www.sedar.com
.
Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results
may vary materially from those described herein as intended, planned, anticipated, believed, estimated, or expected.
Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be
others that cause results not to be as intended, planned, anticipated, believed, estimated, or expected. The Company does not intend, and does not assume any
obligation, to update these forward-looking statements.
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. The TSX-V Stock Exchange has neither approved nor disapproved the contents of this news release.
View original content to download multimedia:
https://www.prnewswire.com/news-releases/metallis-confirms-breakthrough-geological-model-at-cliff-miles-porphyry-corridor-which-leads-to-impressive-final-hole-at-miles-target-301472754.html
SOURCE
Metallis Resources Inc.
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/February2022/01/c6178.html
%SEDAR: 00025829E
For further information:
Tel: 604-688-5077, Email: [email protected], Web: www.metallisresources.com
CO: Metallis Resources Inc.
CNW 09:30e 01-FEB-22