Metallis Expands Gold-Rich Mineralization at Cole Porphyry-Epithermal System on the Kirkham Property
Metallis Expands Gold-Rich Mineralization at
Cole Porphyry-Epithermal System on the
Kirkham Property
VANCOUVER
,
March 24, 2020
/CNW/ -
Metallis Resources Inc.
(TSX-V: MTS; OTCQB:
MTLFF)
(the "Company" or "Metallis") is pleased to announce assay results from the Cole-Etta
Porphyry-Epithermal system (the "Cole") clustered on the northern end of the 7.5km-long Hawilson
Monzonite Complex at its 100%-owned Kirkham Property (the "Property"). The Property is situated
within the prolific Golden Triangle in northwest
British Columbia
, an area known for hosting world-
class deposits such as the past producing Eskay Creek and Snip gold mines along with Seabridge's
major KSM porphyry deposits and Pretium's Brucejack mine.
The 2019 drilling program (the "Program") included a test of the continuity of high-grade gold
mineralization at the Cole target, where the Company in 2018 had tested epithermal style
veins returning assays of
7.7m
@ 11.18 g/t Au including 137 g/t Au over 0.6m (News Release
Nov
29, 2018
). The 2019 program consisted of six drill holes totalling 2,617 meters testing the porphyry
to epithermal transition of the Cole Porphyry system.
Drilling Highlights
High-grade gold intervals ranging from
1.34 g/t AuEq*
to
2.85 g/t AuEq*
in the 2019 drill holes
(See Table 1) along with the
137 g/t
in KH18-19 from the 2018 program (MTS News Release
Nov 29, 2018
), have now confirmed the presence of multiple sub-parallel epithermal gold zones
along the Adam fault;
The broad drilling intercepts with up to
0.47
g/t AuEq*
(See Table 1)
correlate with pervasive
green and grey sericitic altered and silicified monzonite dikes highlighting the strong
potential of substantial porphyry-type mineralization at depth (
Click here to view map
);
Field mapping and 3D geological modelling has illustrated multiple sub-parallel porphyry
intrusions striking N15°E and dipping ~60° to the east, demonstrating that untested
areas are open laterally and vertically
(
Click here to view long section
); and
Remnants of hydrothermal magnetite identified in holes KH19-31 and KH19-33 are now believed
to be linked to a very large (2km x 2km) magnetic anomaly at the King East target, coincident
with low resistivity and anomalous Cu, Au and Mo from soil and rock samples from previous
programs
(
Click here to view image
).
Cole Porphyry – Epithermal Gold Potential
The drilling results from the Program identified the Cole target as a structurally controlled porphyry
system that transitions westward into epithermal gold veins and breccia bodies. Multiple sub-parallel
porphyry intrusions and hydrothermal breccias along faults result in an extensive (
800m
x
300m
)
footprint of sericitic alteration including a linear (
300m
x
50m
) zone of gold-bearing pyrrhotite-pyrite
and quartz-carbonate veins.
The high-grade gold mineralization including
1.34 g/t AuEq*
to
2.85 g/t AuEq*
in the 2019 drill holes
(Table 1) and
137 g/t Au
in KH18-19 assayed from the 2018 program (MTS News Release
Nov
2018
), confirmed the emplacement of multiple epithermal gold veins along the Adam fault. These
veins mainly occur along the footwall of the Adam fault and remain open at depth and to the south.
The on-going advanced porphyry vectoring coupled with field observations and drill logs show both
porphyry-type copper-gold and epithermal-type gold potential at the Cole target. The Company is
planning an exploration and drilling program that will test the expansion of near surface epithermal
gold mineralization whilst simultaneously targeting the deeper porphyry copper-gold mineralization.
Cole/King East – Porphyry Potential
Drill holes KH19-31 and KH19-33 tested a magnetic anomaly on the eastern fringe of the Cole
porphyry system. Significantly, KH19-33 intersected a section of mineralized monzonite
with hydrothermal biotite and magnetite. This magnetic feature is linked to the King East target,
which represents a very large coincident magnetic-high and resistivity-low anomaly extending over an
area of 2km x 2km. The calculated vertical gradient ('CVG") magnetic data shows multiple north-
south trending magnetic lineaments at King East, which reflect the structurally controlled porphyry
intrusions and dikes propagated between the Cole and King East targets (
Click here to view map
).
Moving forward, exploration efforts will aim to test mineralization in both the high-mag and low-mag
zones in between. Several gold showings, monzonite dykes and gold-in-soil anomalies have also
been documented near the southern margin of King East target which highlights the presence of
porphyry style mineralization to be tested with future exploration and drilling programs.
Table 1: Summary of the 2019 Assay Results at Cole Porphyry System
Hole_ID
Depth
(m)
From
(m)
To
(m)
Length
(m)
AuEq*.
(g/t)
Au
(g/t)
Cu
(%)
Mo
(g/t)
KH19-23
307.0
59.9
105.0
45.1
0.38
0.36
0.03
5.1
including
62.4
63.4
1.0
2.03
1.92
0.09
68.6
KH19-23
228.0
237.0
9.0
0.47
0.44
0.02
4.8
KH19-24
445.0
30.5
33.0
2.5
1.34
0.44
0.56
67.2
KH19-24
224.0
272.6
48.6
0.21
0.11
0.06
31.6
KH19-24
379.0
392.0
13.0
0.43
0.31
0.07
39.3
KH19-25
461.0
34.6
55.6
21.0
0.47
0.36
0.07
30.5
including
41.2
42.0
0.8
2.45
2.38
0.01
15.2
including
54.8
55.6
0.8
2.85
2.67
0.10
19.0
KH19-25
210.0
289.5
79.5
0.20
0.11
0.05
19.2
KH19-31
451.0
No significant values
KH19-32
255.0
76.7
112.0
35.3
0.35
0.32
0.01
1.7
KH19-33
316.0
No significant values
*Gold Equivalent Formula: Au g/t+(Cu%*1.27) +(Mo g/t*0.0005)
Metal Prices Used: Gold - US$ 1470/oz, Copper - US$ 2.75/lb, Molybdenum - US$10/lb
Metallis' Chief Geologist, Dr. Razique stated "Field mapping and drill data has provided us with
significant information to reconstruct the anatomy of faults, porphyry intrusions and alteration
patterns, which vector toward the core zones of the Cliff and Cole porphyry systems. These
systems have a vertical extent of approximately
1,000m
." adding "We have now outlined a robust
magmatic-hydrothermal complex with porphyry copper-gold systems clustered over a strike length of
7.5km. We have a much better understanding of the control of mineralization which will allow us to
delineate the high-grade zones in future exploration and drilling programs."
Fiore Aliperti
, Metallis' CEO stated, "Although the 2019 program at Cole was unable to replicate the
excellent grades of 2018, we continue to be extremely encouraged by the Program which deepens
our understanding of the geological model." He went on to add "the assays along with the invaluable
work of Dr. Bouzari support the technical team's theory that we are still very high in the porphyry
system at Cole with holes 31 & 33 pointing towards a transition to a larger system at depth to the
southeast, something we hope to test this year."
Errata
The Company would also like to clarify certain prior reporting which included five table errors in the
News Release of
January 17, 2020
(
Click here to view News Release
) and of
February 20, 2020
(
Click here to view News Release
). The changes are not material in nature and the Company advises
there are no regulatory reasons to report these errors. However, Metallis Resources is committed to
the highest technical standards and believes in full transparency. The Company has taken additional
steps to ensure its disclosures in the future are free from any errors or misstatements.
The table of drill core assays in the News Release of
January 17, 2020
reported these results:
Hole ID
From (m)
To (m)
Length
KH17-06
174
176.9
6.9
KH17-08
86
166
90
KH18-11
203.5
276
74.5
The length intervals are not equal to the differences between To and From, and the corrected values
(*) are tabulated below:
Hole ID
From (m)
To (m)
Length (m)
AuEq (g/t)**
Au_g/t
Cu%
Mo g/t
KH17-06
174.0
176.9
2.9*
0.48
0.21
0.20
40.9
KH17-08
86.0
166
80.0*
0.80
0.44
0.27
33.7
KH18-11
203.5
276.0
72.5*
0.37
0.12
0.19
17.6
**Metal Prices Used: Gold = US$ 1470/oz., Copper = US$ 2.75/lb., Molybdenum = US$ 10/lb
The table of drill core assays in the News Release of
February 20, 2020
reported this result:
Hole ID
From (m)
To (m)
Length (m)
KH19-27
130.5
164.0
31.5
The interval length is not equal to the difference between To and From, and the corrected value (*) is
shown below:
Hole ID
From (m)
To (m)
Length (m)
AuEq (g/t)**
Au_g/t
Cu%
Mo g/t
KH19-27
130.5
164.0
33.5*
0.48
0.20
0.17
60.4
**Metal Prices Used: Gold = US$ 1470/oz., Copper = US$ 2.75/lb., Molybdenum = US$ 10/lb
QAQC Procedure
Metallis Resources has implemented a rigorous quality assurance / quality control (QA/QC) program
to ensure best practices in sampling and analysis of diamond drill core. All assays are performed by
ALS Canada Ltd., with sample preparation carried out at the ALS facility in
Terrace, BC
, and assays
at the
North Vancouver
laboratory. Assay values are uncut. For gold, fire assays are performed as
per ALS method Au-AA26 (0.01- 10.00 g/t Au) using 50 grams of sample measured by atomic
absorption (AA). Assays equal to or greater than 10 g/t Au are reanalyzed gravimetrically by method
Au-GRA22. Silver and copper are analyzed by ALS method ME-MS61 with a 4-acid digestion
followed by ICP-MS analysis.
Qualified Person
David G. Dupre
, P.Geo., Vice President, Exploration for Metallis Resources Inc. and a Qualified
Person as defined by NI 43-101, has reviewed and approved the technical information in this press
release.
About the Kirkham Property
The 106 sq. km Kirkham Property totals 10,610 Hectares and is located about 65 km north of
Stewart, B.C.
, in the heart of the Golden Triangle's prolific
Eskay Camp
. The Property is 100%
owned by the Company and is prospective for multiple mineral deposit types. The property 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 northern border of Kirkham is contiguous to Garibaldi Resources' E&L Nickel Mountain Project.
The northeast corner of Kirkham is within 12 km of the Eskay Creek mine while the eastern border is
within 15 - 20 km of Seabridge Gold's KSM deposits and Pretium Resources' 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. Metallis trades under the symbol MTS on the TSX Venture Exchange and currently
has 36,155,767 shares issued and outstanding.
On behalf of the Board of Directors:
/s/ "Fiore Aliperti"
Chief Executive Officer, President and Director
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. Should one or more of these risks or uncertainties materialize, or should
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SOURCE
Metallis Resources Inc.
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For further information:
Tel: 604-688-5077, Email: [email protected], Web:
www.metallisresources.com
CO: Metallis Resources Inc.
CNW 09:00e 24-MAR-20