Nevada Sunrise Commences Drilling at Coronado VMS Project
Nevada Sunrise Commences Drilling at
Coronado VMS Project
TSX Venture Exchange: NEV
VANCOUVER
,
Dec. 6, 2018
/CNW/ - Nevada Sunrise Gold Corporation ("Nevada Sunrise" or the
"Company") (TSXV: NEV) is pleased to announce that a diamond drilling program has commenced
at the Coronado VMS property ("Coronado", or the "Project"), located in the Tobin and Sonoma
Range of
Pershing County, Nevada
, approximately 30 miles (48 kilometers) southeast of
Winnemucca
.
Drilling is underway at the Coronado South target and is designed to test a large electromagnetic
("EM") anomaly detected in an airborne survey carried out by the Company in July 2018. Two
anomalous responses, Coronado North and Coronado South, were observed from the airborne
survey in the southern part of the Project. The Coronado South target has a 1400 metres x 700
metres (4,600 feet x 2,300 feet) footprint and is interpreted as a northwest-southeast striking cuboid
body with estimated dimensions of approximately 900 metres x 300 metres x 150 metres (2,950
feet x 980 feet x 490 feet). The width, thickness and depth vary along strike, suggesting that the
zone is broken into sections by cross-faulting.
The initial drill test at Coronado South consists three diamond drill holes totaling approximately 2,500
feet (762 metres). The U.S. Bureau of Land Management has approved nine drill hole locations at
Coronado
, where each location can host multiple holes. The current drilling plan for the Coronado
South anomaly calls for up to six holes totaling 5,225 feet (1,608 metres), and at the Coronado
North anomaly an additional six holes are planned, totaling 4,750 feet (1,462 metres). Additional
drilling at the Project will be dependent upon results from the 2018 drilling program. Maps and
sections of the initial drill holes can be viewed at:
http://www.nevadasunrise.ca/projects/coronado-vms-project/
About the Coronado North and South targets
In
July 2018
, Nevada Sunrise pioneered the use of a Versatile Time Domain Electromagnetic
(VTEM™) helicopter-borne survey at
Coronado
, which is a leading-edge airborne survey method
developed by Geotech Ltd. of
Aurora, Ontario, Canada
. Interpretation of the survey results outlined
the presence of several strong EM anomalies that display the geophysical hallmarks of volcanogenic
massive sulphide ("VMS") deposits located along trend to the historic, past-producing Big Mike
copper mine ("Big Mike"). Primary drill targets at the Coronado North and South anomalies were
developed from the integration of the VTEM™ results with geological observations and geochemical
data obtained from a site visit carried out by Nevada Sunrise in
September 2018
.
The Company's ground geological investigations within the areas of the best VTEM™ conductive
anomalies confirmed the presence of sulphides on surface and other geological features consistent
with the surface expression of a buried VMS deposit. Most of the surface area of the Project is
covered with locally-derived overburden. At the Coronado South anomaly, rare outcrops exposing a
section of thin bedded to laminated chert exhalite and cherty tuffaceous sediments containing fine-
grained oxidized (Fe-stained) sulfide casts and locally relict anhedral pyrite grains (up to 1%) were
mapped and sampled. In addition, samples of highly altered, gossanous (oxidized disseminated
sulfide casts) chert and chert breccia were collected from nearby exploration trenches. These
samples occur within a structural zone that appears to intersect the northwest end of the Coronado
South anomaly. Analytical results show anomalous values of arsenic, sulphur, silver, and most
importantly, mercury. The presence of sulphides in the chert exhalite beds and anomalous mercury
values within the structural zone located immediately adjacent to the Coronado South anomaly
suggest a spatial relation to the EM conductor. Of particular importance is that this exhalite section
is comparable to those found within the Big Mike mine sequence and the historic open pit located
approximately 2.9 miles (4.5 kilometres) to the southeast, where peripheral mercury anomalies were
also noted during geochemical exploration in the late 1960s. The presence of a number of EM
anomalies along trend with Big Mike suggests district-scale potential and a typical clustering of VMS
deposits.
To view a brief video presentation on the Coronado VMS project and the Coronado North and South
VTEM™ target, please click here:
https://player.vimeo.com/video/291807706
.
About
Coronado
Coronado
currently consists of 225 located unpatented claims totaling approximately 4,500 acres
(1,821 hectares) located over an interpreted trend adjacent to Big Mike that lies within the
Middle Pennsylvanian to Late Permian-age Havallah volcanic-sedimentary sequence. Big Mike was
discovered in the 1930s when a shallow, oxidized portion (gold-bearing gossan) of the deposit was
located by prospectors. The area was explored further in the late 1960s by Cerro Corp. and a
deeper (greater than 300 feet, or 91 meters) high-grade, massive sulphide lens was discovered by
diamond drilling. The deposit was considered a supergene-enriched,
Cyprus
-type VMS occurrence.
In 1969, Cerro Corp. published a historical resource estimate of 634,000 tons grading 3.41%
copper, which included 74,000 tons of massive sulphide ore grading 11.78% copper, and 380,000
tons of oxide and mixed ore grading 3.16% copper. This historical estimate, which is dated
February 21, 1969
, uses categories that are not consistent with National Instrument 43-101 ("NI 43-
101") and cannot be readily compared to NI 43-101 categories. A qualified person has not done
sufficient work to classify the estimate as a current resource and Nevada Sunrise is not treating the
estimate as a current resource estimate. A portion of the ground on which this estimate was based
was subsequently mined, and thus this estimate cannot be relied upon. The estimate is relevant to
guiding the Company's exploration plans and provides geological information regarding the type of
mineralization that could be present in the
Coronado
area.
In 1970, Ranchers Exploration and Development Company ("Ranchers") developed the high-grade
portion of the deposit with an open pit mine that produced approximately 25 million pounds of copper
in 100,000 tons of ore grading 10.5% copper, which was shipped directly to smelters in
West
Germany
and
Japan
. Heap leaching of lower-grade disseminated copper ore was also carried out
by Ranchers; approximately 300,000 tons of mineralized rock was treated. Historical sampling also
shows the presence of cobalt at Big Mike, with values in the deposit ranging up to 2,500 parts per
million (0.25%) cobalt (Rye
et al
, Economic Geology, Vol. 79, 1984). Big Mike was mined out in
1970.
Theodore DeMatties
, CPG, PG, is the Company's designated Qualified Person for this news release
within the meaning of NI 43-101 and has reviewed and approved the technical information contained
herein. Readers are cautioned that some of the technical information described in this news release
is historical in nature; however, the information is deemed credible and was produced by
professional geologists of the eras discussed. Mineralization located on adjacent properties by
historical exploration may not be present on
Coronado
.
About Nevada Sunrise
Nevada Sunrise is a junior mineral exploration company with a strong technical team based in
Vancouver, BC
,
Canada
, that holds interests in gold, cobalt, copper and lithium exploration projects
located in the
State of Nevada, USA
.
The Company's key gold asset is a 21% interest in a joint venture with Liberty Gold Inc. (TSX: LGD)
at the Kinsley Mountain Project near
Wendover
, with the property subject to a 3.0% production
royalty.
Nevada Sunrise has an option to earn a 100% interest in the historic Lovelock Cobalt Mine and
Treasure Box copper properties, located approximately 100 miles (150 kilometers) east of
Reno
,
which are currently the subject of a proposed transaction with Global Energy Metals Corp. (TSXV:
GEMC). In
March 2018
, the Company announced an option to earn a 100% interest in historic
Boyer Mine copper property, located adjacent to the Treasure Box claims. In
September 2018
, the
Company acquired the right to earn a 100% interest in the Coronado VMS Project, located in
Pershing County
, approximately 30 miles (48 kilometers) southeast of
Winnemucca
.
Nevada Sunrise owns 100% interests in the Neptune,
Jackson Wash
and Aquarius lithium projects, a
50% interest in the Gemini lithium project (Kore Mining Ltd., (TSXV: KORE), formerly Eureka
Resources Inc., holds a 50% interest), and a 100% interest in the Atlantis lithium project, currently
under option to American Lithium Corp. (TSXV: LI), all of which are located in
Esmeralda County
.
Forward Looking Statements
All statements in this release, other than statements of historical fact, are "forward-looking
information" with respect to Nevada Sunrise Gold Corporation ("Nevada Sunrise") within the
meaning of applicable Canadian securities laws, including statements that address future mineral
production, reserve potential, exploration drilling, the future price of gold and other metals,
potential quantity and/or grade of minerals, potential size of a mineralized zone, potential
expansion of mineralization, the timing and results of current or future mineral resource estimates
or other studies, proposed exploration and development of our exploration properties and the
estimation of historical mineral resources on the Company's mineral properties, including the
Coronado
property. Forward-looking information is often, but not always, identified by the use of
words such as "seek", "anticipate", "plan", "continue", "estimate", "expect", "project", "predict",
"potential", "targeting", "intends", "believe", "potential", and similar expressions, or describes a
"goal", or variation of such words and phrases or state that certain actions, events or results "may",
"should", "could", "would", "might" or "will" be taken, occur or be achieved. These statements
involve known and unknown risks, uncertainties and other factors which may cause the actual
results, performance or achievement of Nevada Sunrise to differ materially from those anticipated
in such forward-looking information.
Such factors include, among others, risks related to the actual results of drilling and other
exploration at the
Coronado
property, reliance on technical information provided by third parties on
any of our exploration properties, including access to and interpretation of historical information on
the
Coronado
property as well as specific historical data associated with drill results and sampling
from adjacent areas to the
Coronado
property; information from the public domain, current
exploration and development activities; changes in project parameters as plans continue to be
refined; current economic conditions; future prices of commodities; possible variations in grade or
recovery rates; failure of equipment or processes to operate as anticipated; the failure of
contracted parties to perform; failure of Nevada Sunrise or its contractors to complete anticipated
work programs; labor disputes and other risks of the mining industry; delays in obtaining
governmental approvals, financing or in the completion of exploration, as well as those factors
discussed in the section entitled "Risk Factors" in the Company's Management Discussion and
Analysis for the Nine Months ended
June 30, 2018
, which is available under Company's SEDAR
profile at
www.sedar.com
Although Nevada Sunrise has attempted to identify important factors that could cause actual
actions, events or results to differ materially from those described in forward-looking information,
there may be other factors that cause actions, events or results not to be as anticipated, estimated
or intended. There can be no assurance that such information will prove to be accurate as actual
results and future events could differ materially from those anticipated in such statements. Nevada
Sunrise disclaims any intention or obligation to update or revise any forward-looking information,
whether as a result of new information, future events or otherwise. Accordingly, readers should not
place undue reliance on forward-looking information.
Forward-looking statements are made as of the date hereof and accordingly are subject to change
after such date. Except as otherwise indicated by Nevada Sunrise, these statements do not reflect
the potential impact of any non-recurring or other special items or of any dispositions,
monetizations, mergers, acquisitions, other business combinations or other transactions that may
be announced or that may occur after the date hereof. Forward-looking statements are provided for
the purpose of providing information about management's current expectations and plans and
allowing investors and others to get a better understanding of our operating environment. Nevada
Sunrise does not undertake to update any forward-looking statements that are included in this
document, except in accordance with applicable securities laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined
in the policies of TSX Venture Exchange) accepts responsibility for the adequacy of
accuracy of this release. The Securities of Nevada Sunrise Gold Corporation have not been
registered under the United States Securities Act of 1933, as amended, and may not be
offered or sold within
the United States
or to the account or benefit of any U.S. person.
SOURCE
Nevada Sunrise Gold Corporation
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/December2018/06/c1581.html
%SEDAR: 00026824E
For further information:
Warren Stanyer, President and Chief Executive Officer, Telephone: (604)
428-8028, Facsimile: (604) 684-9365, email: [email protected]
CO: Nevada Sunrise Gold Corporation
CNW 08:30e 06-DEC-18