Sterling Metals Discovers High Grade Polymetallic Mineralization, Expands Drill Program and Earns 100% Ownership of the Sail Pond Silver and Base Metal Project
Sterling Metals Discovers High Grade Polymetallic Mineralization, Expands Drill Program
and Earns 100% Ownership of the Sail Pond Silver and Base Metal Project
September 27, 2021 – Toronto, Ontario – Sterling Metals Corp. (TSXV: SAG) (“Sterling
Metals” or the “Company”) is pleased to report the first assays from its maiden drilling program
on the Silver-Copper-Lead-Zinc Sail Pond Project (“Sail Pond” or the “Project”) located on the
Great Northern Peninsula of Newfoundland, Canada. The company completed 16 drill holes in its
Phase 1 program and from the data gathered launched a Phase 2 program focused on the South
Zone of the Project. The first and only series of ass ay results the company has received to date
from its Phase 2 program pertain to hole SP-21-018 and include the following highlights:
• 73.84 g/t AqEq over 11.1 m, including 1,096.59 g/t AgEq over 0.25 m
• 97.56 g/t AgEq over 10.05 m, including 1,854.02 g/t AgEq over 0.4 m
• 91.18 g/t AgEq over 14.6 m, including 895.86 g/t AgEq over 0.25 m.
Further results from drilling are presented in Table 1, including results for Phase 1 hole SP-21-
008 that intercepted up to 1.05 m of 649.77g/t AgEq, including 0.55 m of 1039.63g/t AgEq and
from hole SP21-004 that intercepted 7 m of 84.57g/t AgEq. Downhole meterages for all intervals
noted above are included in Table 1. Images of high grade polymetallic drillcore from the Project
appear in Figure 1 and drillhole locations are presented in Figures 2 & 3.
The company is also pleased to announce an expansion of its current drilling program from 7,500
to 8,500 metres, which will target extensions of visually identified, well developed polymetallic
mineralization present in hole SP-21-018. Sterling has now completed 36 drill holes and has 3,110
core samples in total awaiting analysis at the Eastern Analytical Limited laboratory in Springdale,
Newfoundland. The Company is also pleased to announce that is has completed it ’s earn -in
requirements from Altius Resources Inc. to gain 100% ownership of the Sail Pond Project.
Mathew Wilson , CEO of Sterling Metals, commente d: “ This is a very exciting discovery and
confirms that the Sail Pond Project has the potential to host a significant silver -bearing
polymetallic mineral deposit. With a treasury of $3 million and assays for tens of holes still to
come, the company is in a very strong position as we advance our exploration at our now 100%
owned Sail Pond Project.”
Kelly Malcolm, technical advisor to Sterling Metals, commented: “As we continue to advance the
geological understanding of the polymetallic Sail Pond Project, our targeting and significant hit
ratio has become much more consistent. We have been seeing thicker concentrations of
polymetallic sulfide mineralization proximal to the footwall contact of the host rock sequence.
We’re looking forward to receipt of many assays from our Phase 2 drilling program as we continue
to advance this unique silver and base metal project in mining-friendly Newfoundland.”
Sail Pond Drilling
Sterling’s Phase 1 drilling program was designed to test several regional targets defined by soil
sampling, trenching, prospecting, and geophysics along ~12 km of prospective strike length. The
primary host rock for mineralization identified to date is a thick sequence of highly altered and
often brecciated dolostone of the Cambro -Ordovician S aint George Group. Mineralization
encountered to date typically consists of tetrahedrite -tennantite, chalcocite, sphalerite, galena,
pyrite, and potentially additional sulfosalt minerals. Quartz veining and associated mineralization
are ubiquitous t hroughout the dolostone unit, but included metallic mineralization is best
developed in areas of combined brecciation and veining, especially towards the western contact of
the host dolostone and an underlying argillite sequence. Phase 1 drilling was succe ssful in
intercepting mineralization of interest over narrow widths across the Project, as presented in Table
1, and 232 samples from 8 Phase 1 drillholes are still pending.
Phase 2 drilling is focused specifically on the South Zone of Sail Pond, where Phase 1 drilling
identified the highest concentration of sulfides and sulfosalts. The second drillhole from Phase 2,
SP-21-018, intersected a broad zone of silver -copper-zinc-lead-antimony mineralization , with
several intervals of higher concentration and higher grade being present, as identified in Table 1.
As drill density increased in the South Zone, 3D modelling showed that a structural jog or flexure
at the contact between the host dolostone and footwall argillite is associated with the zone of
highest mineralization intensity. This feature appears to have locally focused fluid flow related to
deposition of the polymetallic mineralization and is also marked by an increase in quartz vein
thickness and intensity of associated mineralization . This co ntact and the associated structural
flexure are discernible in existing property -wide IP chargeability data, and these factors have
recently contributed significantly to definition of new regional drill targets. Several additional
Phase 2 drillholes, for w hich assays are pending, intersected thick sections of quartz veining and
breccia showing variably developed polymetallic mineralization. A total of 2,878 core samples
from 17 drillholes from Phase 2 are awaiting analysis at the date of this press release.
Table 1: Assay results from the South Zone of the Sail Pond Project, Newfoundland. Core
lengths are presented and true widths are unknown at this time. The silver equivalency
calculation used in this press release is described below under separate heading.
Note: See AgEq calculation details under separate heading below
Drillhole From (m) To (m) Length (m) Ag_Eq (g/t) Ag (g/t) Au (g/t) Cu (%) Pb (%) Sb (%) Zn (%)
SP-21-001 21.5 21.92 0.42 83.04 37.30 0.01 0.15 0.45 0.04 0.04
SP-21-002 138 139 1 30.62 1.80 0.01 0.01 0.01 0.00 0.61
and 141.5 142.5 1 43.91 22.60 0.01 0.06 0.15 0.02 0.10
and 152.5 153.5 1 71.17 40.80 0.01 0.12 0.17 0.03 0.03
SP-21-003 101 106.8 5.8 34.92 11.70 0.00 0.04 0.19 0.01 0.21
including 102 103 1 114.17 42.40 0.01 0.15 0.42 0.03 0.70
SP-21-004 46 53 7 84.57 23.54 0.01 0.09 0.49 0.03 0.60
including 50 51 1 380.25 97.40 0.05 0.34 2.35 0.17 2.87
and 110 111 1 84.86 23.60 0.02 0.07 1.37 0.01 0.11
SP-21-005 88.32 89.32 1 30.94 14.50 0.00 0.07 0.05 0.02 0.06
SP-21-006 65 66 1 20.73 6.10 0.01 0.01 0.23 0.00 0.10
SP-21-007 109 110 1 14.90 3.20 0.00 0.01 0.00 0.00 0.22
SP-21-008 50.7 51.7 1 338.36 171.00 0.04 0.72 0.14 0.28 0.21
and 57.5 58.5 1 58.19 31.30 0.01 0.14 0.00 0.03 0.03
and 70.79 73.8 3.01 121.05 5.73 0.00 0.03 0.01 0.01 2.50
including 70.79 71.24 0.45 577.23 0.80 0.00 0.00 0.00 0.00 13.10
and 118.72 119.22 0.5 221.17 38.50 0.03 0.13 1.07 0.08 2.58
and 174.05 175.1 1.05 649.77 214.67 0.05 0.61 8.07 0.19 1.22
including 174.55 175.1 0.55 1039.63 320.00 0.08 0.79 15.10 0.25 1.66
SP-21-018 3.9 15 11.1 73.84 21.79 0.01 0.06 0.14 0.03 0.74
including 4.75 5 0.25 1096.59 171.40 0.13 0.50 0.07 0.23 18.20
and including 12.84 13.08 0.24 538.26 201.00 0.05 0.56 1.43 0.26 3.66
and 74.3 88.9 14.6 91.18 34.63 0.01 0.13 0.43 0.04 0.36
including 74.3 74.55 0.25 895.86 418.00 0.07 2.14 0.15 0.49 1.88
and including 84 84.55 0.55 519.71 260.00 0.02 1.04 1.00 0.30 0.60
and including 86 86.6 0.6 506.82 223.20 0.03 0.72 3.85 0.29 0.10
and including 88.5 88.9 0.4 647.86 123.00 0.08 0.36 3.57 0.13 7.50
and 114.45 124.5 10.05 97.56 31.6 0.012 0.12 0.29 0.04 0.73
including 114.45 114.85 0.4 1854.02 612.00 0.20 2.26 3.35 0.86 14.70
Figure 1: Drill core from the South Zone of the Sail Pond Project. A: Quartz -vein hosted sulfide and sulfosalt mineralization,
including tetrahedrite-tennantite, galena, and sphalerite at 174.55 m in hole SP -21-008. The sample returned 1039.63 g/t AgEq
comprised of 320.00 g/t Ag, 0.08 g/t Au, 0.79 % Cu, 15.10 % Pb, 0.25 % Sb, & 1.66% Zn over 0.55 metres. B: Quartz-vein hosted
sulfide and sulfosalt mineralization, including tetrahedrite -tennantite, sphalerite, galena, and chalcocite at 114.45 m in hole SP-
21-018. The sample returned 1,854.02 g/t AgEq comprised of 612 g/t Ag, 0.2 g/t Au, 2.26 % Cu, 3.35 % Pb, 0.86 % Sb, & 14.7 %
Zn over 0.4 metres
Figure 2: North Zone and South Zone of the Sail Pond project showing copper-in-soil sample values underlain by regional
geology.
Figure 3: Drillhole locations and traces of released and pending holes from the South Zone of the Sail Pond Project, underlain
by satellite imagery and previous grab sample results
Silver Equivalent Calculation
Silver Equivalent (AgEq) values were calculated using the following formula:
((Ag_oz*$USAg_price/oz)+(Au_oz*$USAu_price/oz)+(Cu_lb*$USCu_price/lb)+(Pb_lb*$USP
b_price/lb)+(Sb_lb*$USSb_price/lb)+(Zn_lb*$USZn_price/lb))/$USAg_price/oz.
Silver equivalent grade calculations are based on the current spot metal prices and are provided
for comparative purposes only . This approach reflects the polymetallic nature of the
mineralization. Recovery factors of 100% have been assumed for all metals. M etallurgical tests
will be required to establish recovery levels for each element reported . Metal spot prices as at
September 20, 2021 were applied and include : Ag - $US 22.19/oz; Au - $US1,760.50/oz as
reported by www.Kitco.com and, Cu - $US4.13/lb; Zn – $US1.37/lb; Pb - $US 0.99/lb as reported
by www.Kitcometals.com. The Sb - $US 5.45/lb price applied was sourced from Argus Media, a
recognized provider of energy and commodity price benchmarks.
Qualified Person
David Murray, P.Geo., Senior Project Geologist at Mercator Geological Services, an Independent
Qualified Person within the meaning of National Instrument 43 -101 Standards of Disclosure for
Minerals Projects, has reviewed and approved the technical information presented herein.
Laboratory Technical Note
Analytical services were provided by Eastern Analytical Limited (Eastern) of Springdale
Newfoundland, which is an independent, CALA -accredited analytical services firm registered to
ISO 17025 standard. Drill core was halved by sawing at the Sterling core facility and half-core
samples were securely stored at the facility until being delivered to Eastern by commercial
transport. Samples were crushed to 80% passing 10 mesh, split to 250g, and pulverized to 95%
passing 150 mesh. Au assays were conducted on 30g of pulverized material using the Fire Assay
method with an AA finish. Multi-element analyses, including base metals, were conducted on
pulverized material using the ICP method for 34 elements. Laboratory over -limits analysis
methods were applied as required. A systematic QAQC protocol was employed that includes
systematic insertion in the sample stream of certified reference materials and blank samples, plus
analysis of duplicate pulp splits.
About Sterling Metals
Sterling Metals (TSXV: SAG) is a mineral exploration company focused on Canadian exploration
opportunities. The company is currently exploring for silver and base metals at the Sail Pond
project in Northwestern Newfoundland. Sterling has recently fulfilled its obligations to acquire
100% of the 13,500 Ha Project from Altius Resources, Inc.
For more information, please contact:
Sterling Metals Corp.
Mathew Wilson, President & CEO
Tel: (416) 643-3887
Email: [email protected]
Website: www.sterlingmetals.ca
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this release.
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actual events or results to differ materially from those projected in the forward-looking
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