Sego Resources Plans Additional Step-Out Drilling on the Southern Gold Zone at the Miner Mountain Copper-Gold Porphyry Project, Princeton, B.C.
Sego Resources Plans Additional Step-Out
Drilling on the Southern Gold Zone at the
Miner Mountain Copper-Gold Porphyry Project,
Princeton, B.C.
Vancouver, British Columbia--(Newsfile Corp. - October 12, 2021) - Sego Resources Inc. (TSXV: SGZ)
("Sego" or "the Company") plans to extend a step-out fall-winter drill program with up to a 1,000 metre
(m) diamond drill program at the Southern Gold Zone bulk tonnage target at the Miner Mountain Project
near Princeton, BC.
The newly discovered Southern Gold Zone, exposed at surface, intersected gold
mineralization in five out of the six 2021 drill holes. Four diamond drill holes grade between 0.60 to 1.08
grams per tonne (gpt) gold over 59 to 93 m (Table 1) located on three sections spaced at 50 m apart
(Figure 1).
Bench-scale metallurgical gravity and leaching tests recovered 95.8% of the contained gold
in a representative drill core sample. The Southern Gold Zone mineralization has no deleterious
elements and very low values of base metals as confirmed by metallurgical testing (see NR August 11,
2021).
CEO J. Paul Stevenson comments,
"We are looking forward to more exciting news from this recently
discovered gold target. We have been able to determine that the mineralization starts at or near
surface based on the
north-south drill sections. We plan to extend the mineralization south of current
sections and step-outs with new 50 m-spaced sections located east and west on either side of the
drilled mineralization."
The Southern Gold Zone is hosted in medium to fine-grained diorite-monzonite that intrude sediments
located to the south.
The gold values are associated with very fine-grained disseminated pyrite that
ranges from <1% up to 3% in the host rocks whereas less hydrothermal hematite replaces primary
magnetite in mineralized drill intersections. Moderate to strong pervasive variable chlorite, K-feldspar,
sericite, calcite, and epidote alteration assemblages are associated with the gold mineralization.
Several dozen representative samples have been collected from the 2021 drill holes for petrographic
examination. The results will help to understand the genesis of the mineralization and aid exploration and
will also clarify the relation of gold to pyrite and hematite and the high recovery of gold values extracted
from the recent bench-scale metallurgical leach testing.
Figure 1.
Southern Gold Zone 2021 drill holes results, proposed holes in A-F green and red short
dash line marks gold mineralization boundary intersected in DDH 46; this figure is available
at
www.segoresources.com
.
To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/1056/99251_59aa06327420bac0_002full.jpg
Table 1.
Diamond drill holes gold intersections at the Southern Gold Zone.
Drill Hole
From (m)
To (m)
Interval (m)
Au (g/t)
DDH 46
3.04
62.15
59.11
1.03
including
22.30
37.50
15.20
2.94
including
28.85
31.50
2.65
9.59
DDH 47
12.19
100.30
88.11
1.08
including
71.70
91.50
19.80
2.44
including
73.10
74.47
1.37
8.39
DDH 48
139.5
152.23
12.73
0.18
and
172.00
174.00
2.00
0.82
DDH 49
19.00
84.12
65.12
0.60
Including
28.76
54.45
25.69
0.95
DDH 50
11.28
105.48
94.20
0.86
Including
38.3
56.90
18.6
1.73
Including
72.35
97.20
24.85
1.05
An initial bench scale 32.9 kg representative sample from DDH46 and DDH47 core (April drill program)
was submitted to Met-Solve Laboratories Inc. to investigate recovery tests using gravity and leaching CN
(cyanide) methods. The work concluded 9.8% of the gold reports to gravity concentration and 59.3% of
the gold was recovered in 1 hour and 72.6 % after 3 hours using a CN leaching process.
An impressive
95.8% of the gold was recovered from the composite sample with little further testing and minimum CN
leachate and is used to recover gold in bulk deposits generally mined by open pit in Nevada, USA and
elsewhere. The complete "Sego Resources Inc. Metallurgical Test Work Report" is available at
www.segoresources.com
.
Previous exploration prior to 2020 Sego has identified porphyry copper-gold targets at the Miner
Mountain Project north of the Southern Gold Zone where deep roots of the mineralization have been
structurally offset by a flat-fault zone that lies roughly 100 m to 130 m deep. The upper fault plate which
hosts the known Cuba and other zones of mineralization could have been displaced an unknown
distance probably from the north to the south. An example of the mineralization, the Cuba Zone,
measures 750 m long by ~50 m wide and carries significant intersections such as 0.946% Cu 0.55 g/t
Au 3.473 g/t Ag over 100.4 m in DDH21 (see NR March 12, 2012). In a future exploration program, deep
holes are proposed to be collared north of the Cuba Zone and inclined steeply north that will test deep
truncated mineralization below the mineralization and alteration of the Granby and Quintana Zones.
This news release was reviewed and approved by Ron Britten, Ph.D., P.Eng., a Qualified Person under
NI 43-101.
About the Project:
Sego is 100% owner of the Miner Mountain project, an alkalic copper-gold porphyry exploration project
near Princeton, British Columbia. The Miner Mountain Project combines alkalic porphyry copper-gold
mineralization in the Cuba and other zones and the unusual gold mineralization in the Southern Gold
Zone which may be distal to an alkalic copper-gold porphyry. The property is 2,056 hectares in size and
is located 15 kilometres north of the Copper Mountain Mine operated by Copper Mountain Mining
Corporation and Mitsubishi Copper. Sego has a Memorandum of Understanding with the Upper
Similkameen Indian Band on whose Traditional Territory the Miner Mountain project is situated. Sego
has received an Award of Excellence for its reclamation work at Miner Mountain.
For further information please contact:
J. Paul Stevenson
, CEO (604) 682-2933
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. No regulatory authority has approved or disapproved the information
contained in this news release.
This release includes certain statements that may be deemed "forward-looking statements". All
statements in this release, other than statement of historical facts that address future
production, reserve potential, exploration drilling, exploitation activities and events or
developments that the Company expects re forward-looking statements. Although the
Company believes the expectations expressed in such forward-looking statements are based
on reasonable assumptions, statements are not guarantees of future performance and actual
results or developments may differ materially from the forward-looking statements. Factors that
could cause actual results to differ materially from those in forward-looking statements include
market prices, exploitation and exploration successes, continued availability of capital and
financing, general economic, market or business conditions. Investors are cautioned that any
such statements are not guarantees of future performance and those actual results or
developments may differ materially from those projected in the forward-looking statements.
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/99251