Ethos Completes First Deep Drilling at Iron Point, Nevada, Encounters Significant Anomalous Gold Mineralization in Lower Plate Stratigraphy
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Ethos Completes First Deep Drilling at Iron Point, Nevada, Encounters
Significant Anomalous Gold Mineralization in Lower Plate Stratigraphy
Vancouver, BC – October 2, 2019, Ethos Gold Corp. (“ Ethos ” or the “ Company ”) (TSXV:ECC)
(OTCQB: ETHOF) is pleased to announce results from its Phase 1 drill program at Iron Point, 22
miles east of Winnemucca, Nevada. While Iron Point has received considerable previous drilling to
depths of up to approximately 300 m, mainly in stra ta belonging to the Upper Plate (“UP”) above
the Roberts Mountain Thrust (“RMT”), this is the fi rst program to test more favourable Lower Plate
(“LP”) strata for Carlin-Type gold mineralization to depths of up to 700 m.
The Phase 1 drilling focused on two primary areas a long the 5 km north-south target area defined
by strong gold (“Au”), mercury (“Hg”), arsenic (“As ”), and antimony (“Sb”) soil and rock
geochemical anomalies coincident with the surface t race of a range front fault (see Ethos’ May 17
and June 18, 2019 press releases). The more southe rly area (the “ South Target Area ”), centered
approximately 2 km north of Interstate 80, was test ed by two deep vertical core holes (EG-1 and
EG-5) collared approximately 700 m apart (see Figur e 1). The more northerly area (the “ North
Target Area ”), centered approximately 5 km north of Interstate 80, was tested with two deep angle
RC holes (EG-3a and EG-3b) drilled at south-west an d south east orientations off the same drill pad
(see Figure 1). Note that the spatial distribution of gold and other metals is unknown and
therefore the drill intervals noted may not represent true widths.
South Target Area Highlights
• The first deep drill hole (EG-5) at Iron Point in t he South Target Area was successful in
penetrating through the RMT at a depth of approxima tely 422 m and intersected a wide
interval of highly altered LP stratigraphy with sig nificant intervals of anomalous Au (up to
0.22 g/t). Pathfinder elements including As, Sb, Hg and Tl also occur at elevated levels.
Interestingly, a 17 m interval grading 101.4 g/t si lver (“Ag”) including 1.5 m grading 543.6
g/t Ag occurs immediately above the RMT plane. Impo rtantly, the bottom 6 m of this hole
grades 0.17 g/t Au suggesting the system may be int ensifying at depth. LP rocks display
variable degrees of decalcification, sooty black su lfides, and silicification with bedding
varying from near horizontal to near vertical, indi cating a high degree of folding.
Figure 1. Surface geology and drill hole locations
• Similarly, based on geochemistry, the second deep h ole (EG-1) appeared to penetrate into
interpreted LP rocks at a depth of approximately 39 3 m. Unlike EG-5, hole EG-1
encountered a mix of porphyritic intrusive rocks an d intensely skarn-altered interpreted UP
and LP rocks to the bottom of the hole at 552 m. Lo cally anomalous Au values up to 0.15
g/t are present and pathfinder elements are elevate d. Immediately above the interpreted
RMT, an 18 m long interval grading 0.31 g/t Au including 1.5 m grading 1.16 g/t Au occurs in
porphyritic intrusive rocks.
North Target Area Highlights
• Drilling in the North Target Area also intersected significant intervals of anomalous gold in
LP strata. Unlike the South Target Area, no UP rock s are present in the North Target Area.
Holes were collared in LP Comus Formation.
• Hole EG-3A, oriented southeasterly and inclined 60 degrees, encountered several intervals
of strongly anomalous Au including 0.22 g/t from 17-26 m, 0.23 g/t from 96-107 m, 0.14 g/t
from 114-130 m and 0.21 g/t from 236-251 m. Rocks d isplay variable degrees of
decalcification, sooty black sulfides, and silicification, and pathfinder elements are all highly
elevated.
• Hole EG-3B, oriented southwesterly and inclined 60 degrees, encountered LP rock
displaying variable degrees of decalcification, soo ty black sulfides, and silicification, and
somewhat elevated Au values up to 0.10 g/t as well as pathfinder elements.
• The strongly anomalous Au in hole EG-3A is interpre ted to indicate that the system is
gaining strength to the east or southeast from the drill pad.
Summary
These first deep holes at Iron Point have provided valuable new geological information about the
structure and potential ore bearing lithologies tha t are evidenced on surface with some of the
strongest Carlin-type gold pathfinder element geoch emistry in Nevada. Importantly, Ethos now
has confirmation that LP rocks underlie most of the property. Ethos and Victory Metals will use
this data, as well as assay pertinent Victory Metal drill holes for gold and pathfinder metals, to
optimise the geological model at depth and vector t owards potential higher grade gold as a basis
for targeting Phase 2 drilling.
Stated Craig Roberts, P.Eng., President & CEO of Et hos: “We are very encouraged by the broad
intervals of highly altered and folded lower plate stratigraphy with significant intervals anomalous
gold encountered in this first pass drilling of pro spective lower plate rocks at Iron Point. Our next
phase of work will include compilation and three di mensional modelling of the new data in
combination with the historical data with the intention of vectoring towards potential higher grade
mineralisation in Phase 2 drilling.”
Stated Dr. Quinton Hennigh: “In Carlin systems, gold grades can go from anomalous to ore grade in
a short distance. We saw this pattern in a drill p rogram I ran at Carlin for Evolving Gold Corp. We
have proven that highly prospective and altered LP rocks occur at depth at Iron Point, and I am
excited that we can now move toward the next phase of vectoring towards higher grade gold
mineralization.”
Phase 2 Planning
• Phase 2 work will initially comprise compilation, a nalysis, and three dimensional modelling
of the geology, alteration, and metal zonation aime d at vectoring towards higher
concentrations of gold utilizing previous and new drill and other exploration results.
• Victory Metals has now completed an extensive vanad ium resource definition drill program
in Upper Plate rocks in the South Target Area. Eth os will soon initiate an assay program on
samples from these holes to test for gold, mercury, arsenic, antimony and other elements
to be utilized in the Phase 2 targeting study.
• Lithological studies will also be undertaken on the new deep holes to assess the
stratigraphic intervals in more detail.
• This work will focus on defining high priority target areas for a Phase 2 drill program.
QA/QC
RC and core samples are being transported to Americ an Assay Laboratories (AAL) in Sparks,
Nevada. AAL will conduct analysis by 30 g Fire Ass ay, 35 element ICP-OES using 5 acid-digestion,
and Hg ICP-MS analysis. Quality control entails in sertion of company standards, blanks, and
duplicates into the sample stream. In addition, AA L routinely inserts blanks and standards into the
sample stream at the assay laboratory.
Qualified Person
Work targeting Carlin style gold at Iron Point is b eing supervised by Dr. Quinton Hennigh, Technical
Advisor to the Company. He is a Qualified Person as defined under National Instrument 43-101 and
has read and approved this release. Jo Price, M.Sc ., MBA, P.Geo., VP Exploration of the Company
and a Qualified Person as defined under National In strument 43-101 has also reviewed and
approved this release.
Earn In and Joint Venture Terms
Ethos can earn a 50% interest in all precious metal rights at Iron Point by spending a minimum of
C$5.0 million over three years, with minimum expenditures of C$1.0 million in the first year. Based
on the Phase 1 program expenditures Ethos has now c ompleted the first year earn-in expenditure
requirements. Following the earn-in a 50-50 joint v enture will be formed between Ethos and
Victory. Victory will maintain 100% title to the I ron Point claims and on completion of its earn-in
Ethos would have a contractual right to 50% of any precious metal discovery. The vanadium
mineralization is near surface with significant spa tial separation from the conceptual deeper gold
target. Victory maintains the right to ensure that any precious metal exploration and development
plans do not interfere with development of its vanadium project.
About Ethos Gold
Ethos’ strategy is to earn into potentially large, drill ready gold projects that can be drill tested over
a shorter time frame with a relatively modest budget. Ethos’ current projects include:
Iron Point (earning 50% from Victory Metals Inc: TS X-V: VMX) is a Lower Plate hosted Carlin-style
gold target, located 22 miles east of Winnemucca, N evada. Phase 1 drilling supervised by Dr.
Quinton Hennigh has now been completed with data co mpilation, analysis three dimensional
modeling proceeding towards targeting for a Phase 2 drill program.
Carlin East, Swift and Selena . Ethos also owns approximately 8% of the equity o f Carlin Type
Holdings Ltd., a private British Columbia company w hose wholly owned US subsidiary, Ridgeline
Minerals Corporation, is earning into 100% ownershi p of three Nevada gold exploration projects,
including two deep Carlin-type targets. Ridgeline has now completed its initial drill program and
results are anticipated shortly.
Ligneris (earning up to 70% from Vior Inc: TSXV:VIO ) is located 110 km north of Val-d’Or, Quebec.
The project has a large mineralized surface express ion, and approximately 200 holes drilled to
approximately 300 m depth, with some significant go ld drill intercepts. The project rocks and
mineralization bear many similarities to Agnico’s L aRonde complex. Ethos plans to drill test these
targets commencing in late October 2019.
Perk-Rocky (earning 100%) is a large copper-gold porphyry target located 220 miles east of
Williams Lake, British Columbia. A significant air borne geophysics survey along with ground
sampling and mapping has now been completed, with i nterpretation of the geophysics anticipated
shortly.
For additional information please contact Tom Marti n at E: [email protected] P: 1-250-516-
2455 or view the Company’s website, www.ethosgold.c om and the Company’s SEDAR profile at
www.sedar.com.
Ethos Gold Corp.
Per: " Craig Roberts "
Craig Roberts, P .Eng., President & CEO
Forward-Looking Statement Cautions:
This press release contains certain "forward-lookin g statements" within the meaning of Canadian securi ties
legislation. Although the Company believes that suc h statements are reasonable, it can give no assuran ce
that such expectations will prove to be correct. Fo rward-looking statements are statements that are no t
historical facts; they are generally, but not alway s, identified by the words "expects," "plans," "ant icipates,"
"believes," "intends," "estimates," "projects," "ai ms," "potential," "goal," "objective," "prospective ," and similar
expressions, or that events or conditions "will," " would," "may," "can," "could" or "should" occur, or are those
statements, which, by their nature, refer to future events. The Company cautions that forward-looking
statements are based on the beliefs, estimates and opinions of the Company's management on the date th e
statements are made and they involve a number of ri sks and uncertainties. Consequently, there can be n o
assurances that such statements will prove to be ac curate and actual results and future events could d iffer
materially from those anticipated in such statement s. Except to the extent required by applicable secu rities
laws and the policies of the TSX Venture Exchange, the Company undertakes no obligation to update thes e
forward-looking statements if management's beliefs, estimates or opinions, or other factors, should ch ange.
Factors that could cause future results to differ m aterially from those anticipated in these forward-l ooking
statements include the risk of accidents and other risks associated with mineral exploration operation s, the
risk that the Company will encounter unanticipated geological factors, or the possibility that the Com pany
may not be able to secure permitting and other agen cy or governmental clearances, necessary to carry o ut
the Company's exploration plans, and the risk of po litical uncertainties and regulatory or legal chang es in the
jurisdictions where the Company carries on its busi ness that might interfere with the Company's busine ss
and prospects. The reader is urged to refer to the Company's reports, publicly available through the
Canadian Securities Administrators' System for Elec tronic Document Analysis and Retrieval (SEDAR) at
www.sedar.com for a more complete discussion of such risk factors and their potential effects
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts respo nsibility for the adequacy or accuracy of this
release.