Ethos to drill Carlin style gold target at Iron Point, Nevada in 50% Earn -In with Victory Metals and adds Dr. Quinton Hennigh as Technical Consultant
Suite 1430 – 800 West Pender Street, Vancouver, BC V6C 2V6
Ethos to drill Carlin style gold target at Iron Point, Nevada
in 50% Earn -In with Victory Metals
and adds Dr. Quinton Hennigh as Technical Consultant
Vancouver, BC – May 17, 2019, Ethos Gold Corp. (“Ethos ” or the “ Company ”) (TSXV:ECC)
(OTCQB: ETHOF) is pleased to announce that it has executed an earn -in agreement with Victory
Metals Ltd. (“Victory”) (TSXV:VMX) under which Ethos will drill a Carlin style gold target at Victory’s
Iron Point vanadium project, located 22 miles east of Winnemucca, Nevada. Ethos is further
pleased to announce that Dr. Quinton Hennigh will b e joining Ethos as a technical consultant and
will oversee this drill campaign.
Highlights
• Ethos can earn a 50% undivided interest in the gold and silver rights at the 13,300 acre Iron
Point property by spending CDN$ 5 million over thre e years, including a minimum
expenditure of CDN $1.0 million in the first year. Following the earn -in, a 50 -50 joint venture
will be formed between Ethos and Victory, exclusive to the gold and silver rights. Victory
Metals will retain a 100% interest in the near surf ace, widespread vanadium rights at Iron
Point, which were demonstrated in Victory’s recent drilling.
• Iron Point is located at the intersection of the Ba ttle Mountain and Getchell Gold Trends,
and on trend from several high -grade, world -class gold mines including Twin Creeks,
Getchell/Turquoise Ridge, and Marigold (see Figure 1 below).
• Recent fossil analysis has established that the Com us Formation at Iron Point previously
mapped as Upper Plate is definitively Lower Plate a nd correlatable with the Roberts
Mountain and Popovich Formations, units highly prospective for large Carlin style deposits.
• Previous drilling by Dr. Hennigh in the 1990’s at I ron Point intersected anomalous gold
values across Upper and Lower Plate stratigraphy near a recumbent fold hinge, as well as
Carlin type gold mineralization at the interpreted range front, possibly smeared fault gouge.
Significant gold has also been sampled in surface trenches, interpreted to be leakage from
deeper levels. Further some of the strongest gold p athfinder element geochemistry in
Nevada is present at Iron Point.
• Based on this work a Lower Plate hosted Carlin styl e target has been identified by Dr.
Hennigh at Iron Point. Ethos plans to commence a drill program shortly to test this target.
Figure 1: Iron Point is located at the intersection of the Cortez/Battle Mountain Trend and the
Getchell Trend, which have combined historic production of 200 million oz of gold.
Stated Dr. Quinton Hennigh, “I think Iron Point is one of the most prospective locations for
undiscovered Carlin style gold mineralization left in Nevada. I explored the project in the 1990’s,
but the downturn in gold prices at that time cut th at effort short. It is a pleasure to join Ethos and
have a renewed shot at testing the compelling targets on this exciting project.”
Stated Craig Roberts, P.Eng., President & CEO of Et hos: “We are delighted to have come to an
agreement with Victory to pursue a drill program ta rgeting Carlin style gold mineralization at Iron
Point based on a new interpretation to target Carli n style mineralization, and as well to have Dr.
Hennigh on board to guide this exploration program. We anticipate commencing drilling at Iron
Point in the near future and will announce our plans for this drill program shortly.”
Stated Paul Matysek, Executive Chairman of Victory: “On behalf of the Board of Directors we are
pleased to be working with Ethos to develop and tes t the gold potential at Iron Point. The
geological setting with Lower Plate stratigraphy, historic drill intersections of gold mineralization and
the presence at surface of both gold and associated mineralogy make this a very compelling drill
target. This earn -in agreement provides Victory shareholders with tre mendous optionality on both
vanadium and gold.”
Figure 2: North looking cross section, illustrating the new geological interpretation at Iron Point,
including the conceptual Carlin style gold target.
As illustrated in Figure 2, the Upper Plate Ordovic ian Vinini Formation overlies the interpreted
Silurian/Devonian Roberts Mountain and Popovich Formations, separated by a thrust fault dipping
at a shallow angle to the west. Subsequent north -south striking normal faulting has down -dropped
the stratigraphy to the east along a range front. Drilling has confirmed a recumbent Zed fold parallel
and to the west of the range front fault. The exploration target is for Carlin style gold mineralization
in this interpreted, folded Roberts Mountain and Popovich Formation stratigraphy.
A similar model including recumbent Zed folding alo ng a range front fault is the focus of
mineralization at Newmont’s Twin Creeks mine, located approximately 25 miles north of Iron Point.
At Iron Point, anomalous gold has been encountered along the range front fault over a strike length
of about 5 km.
Based on this interpretation Dr. Hennigh has located three holes which would be drilled vertically to
target depths of between 500 and 800 meters (concep tually shown on Figure 2 above). These
holes are planned to penetrate through upper plate stratigraphy to the west of the north south
striking normal range front fault and into lower plate stratigraphy.
Appointment of Dr. Quinton Hennigh as Technical Advisor
Ethos is pleased to announce that Dr. Quinton Henni gh has agreed to join Ethos as a technical
advisor. Dr. Hennigh is an economic geologist with more than 25 years of exploration experience
with major gold mining firms including Homestake Mi ning, Newcrest Mining and Newmont Mining,
with much of that work focused on exploration for C arlin style deposits in Nevada. Quinton is
Chairman and President of Novo Resources Corp., fou nder and Director of Irving Resources Inc.
and Executive Chairman of Miramont Resources Corp. Dr. Hennigh obtained a Ph.D. in
Geology/Geochemistry from the Colorado School of Mines.
Earn In and Joint Venture Terms
Ethos can earn a 50% interest in the gold and silve r rights at Iron Point by spending a minimum of
CDN$ 5 million over three years, with minimum expen ditures of CDN $1.0 million in the first year.
Following the earn-in a 50-50 joint venture will be formed between Ethos and Victory. Victory will
maintain 100% title to the Iron Point claims and on completion of its earn-in Ethos would have a
contractual right to 50% of any gold or silver disc overy. The vanadium mineralization is near
surface with significant spatial separation from the conceptual deeper gold target. Victory maintains
the right to ensure that any gold exploration and d evelopment plans do not interfere with
development of its vanadium project.
Qualified Person, and Contact
Work targeting Carlin style gold at Iron Point will be 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.
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.com .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, including statements regarding the Com pany’s planned gold and silver exploration program at
Iron Point. Although the Company believes that such statements are reasonable, it can give no assuranc e
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, iden tified by the words "expects," "plans," "anticipate s,"
"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 responsibility for the adequacy or accuracy of this
release.