Spanish Mountain Gold Concludes Diamond Drill Program with 300 m Step- out Hole Intersecting 0.49 g/t over 100.49 meters in the K-Zone
Spanish Mountain Gold Concludes Diamond Drill Program with 300 m Step-
out Hole Intersecting 0.49 g/t over 100.49 meters in the K-Zone
VANCOUVER, British Columbia--(BUSINESS WIRE)--June 17, 2025--Spanish Mountain
Gold Ltd. (the "Company" or "Spanish Mountain Gold") (TSX-V: SPA) (FSE: S3Y) (OTCQB:
SPAUF) is pleased to report final drill results from the recently completed 10,000 m winter
drilling program. The results include a strategic step-out hole located approximately 300 m to the
northwest of the K-Zone high-grade intercept from hole 25-DH-1286 (refer to press release dated
April 24, 2025).
Highlights:
•Hole 25-DH-1290 intercepted broad mineralization over 100.49 m grading 0.49 g/t Au, from
300 m, including 15.00 m grading 1.29 g/t Au, and 1.00 m grading 12.13 g/t Au, which displayed
visible gold. Hole 25-DH-1290 is approximately 300.00 m northwest of hole 25-DH-1286.
• Hole 25-DH-1290 also discovered a new cataclastic argillite unit at 240.00 m vertical depth,
displaying consistent grades that potentially extend the depth of mineralization in a
southwesterly direction, outside the 2021 Prefeasibility Study (“PFS”), open-pit constrained,
mineral resource estimate (refer to press release dated May 11, 2021).
• Holes 25-DH-1288 and 25-DH-1291 were collared 35.00 m northeast of hole 25-DH-1286 and
encountered multiple quartz veins with encouraging gold values. 25-DH-1288 intercepted 46.00
m grading 0.22 g/t Au from 162.00 m, including 8.00 m grading 0.39 g/t Au and 2.00 m grading
1.06 g/t Au. 25-DH-1291 had 5.33 m grading 0.34 g/t Au.
Julian Manco, Spanish Mountain Gold's Director of Exploration, commented, “Overall, we are
very pleased with this year’s diamond drill campaign, having revealed several significant
extensions to gold mineralization at the Phoenix, Outcropping Tuff, and K-Zone targets. These
results have grown the mineral endowment potential strike length to 3 km. It is a very exciting
time for the project’s growth prospects.”
The evolving geological and structural interpretation of the Spanish Mountain Gold project area
continues to unlock new mineral potential in adjacent structural domains southwest of the 2021
PFS, open pit constrained, mineral resource estimate (refer to press release dated May 11, 2021).
Recent drilling results support the hypothesis for a new prospective target area within the mafic
tuff unit (Figure 2). Intense hydrothermal alteration was observed within the mafic tuff unit near
this fault suggesting possible intrusive characteristics along the south fault that may have also
served to transport mineralizing fluids. The gold in soil anomalies observed near the confluence
of the major fault structures such as the North Fault, South Fault, Fault 1 and Fault 2 (see Figure
1), continues to demonstrate that these structural intersections represent compelling exploration
targets that can be used to explore on a broader project scale.
Table 1: 2025 Winter Drill Program – Summarized Gold Assay Results
Drillhole ID From To Width(m) Gold Grade
(g/t Au)
25-DH-1288 19.00 23.00 4.00 0.23
25-DH-1288 51.00 71.00 20.00 0.24
including 67.92 69.00 1.08 1.25
25-DH-1288 162.00 208.00 46.00 0.22
including 162.00 170.00 8.00 0.39
including 206.00 208.00 2.00 1.06
25-DH-1289 308.00 312.00 4.00 0.33
25-DH-1290 300.00 399.00 100.49 0.49
including 338.00 346.00 8.00 1.84
including 341.00 342.00 1.00 12.13
including 384.00 399.00 15.00 1.29
including 386.00 397.00 11.00 1.62
including 393.00 397.00 4.00 2.56
25-DH-1291 171.67 177.00 5.33 0.34
Notes:
1. Reported intersections are calculated using a 0.15 g/t Au cut-off grade.
2. The complete assay table is available on the Company’s website
3. True thickness of mineralization is unknown
Table 2: Drill Hole Collar Summary
HOLE-ID
LOCATION
‘X’
LOCATION
‘Y’
LOCATION
‘Z’ LENGTH Azimuth Dip Core
Size Easting Northing Elevation
25-DH-1288 603968 5827726 1188 330 150 70 HQ
25-DH-1289 603934 5827737 1183 347 250 55 HQ
25-DH-1290 603739 5827859 1145 402 150 60 HQ
25-DH-1291 603968 5827726 1188 314 139 62 HQ
Abbreviations: metres = m, grams per tonne = g/t, gold = Au, visible gold = VG, quality control-
quality assurance = QAQC, Prefeasibility Study = PFS, Professional Geologist = P.Geo.
Drill Core Processing, Data Verification and Quality Assurance – Quality Control Program
(QAQC)
Once received from the drill and processed, all drill core samples were sawn in half, labeled, and
bagged. The remaining half of the drill core was securely stored on-site. Numbered security tags
were applied to sample shipments to ensure chain of custody compliance. The Company inserts
quality control (QC) samples at regular intervals, including blanks and reference materials, for
all sample shipments to monitor laboratory performance. Standards and blanks account for a
minimum of 15% of the samples in addition to the laboratory’s internal quality assurance
programs. The QAQC program was overseen by the Company’s Qualified Person, Julian Manco,
P.Geo, Director of Exploration (as described below).
Drill core samples were submitted to MSALABS’ analytical facility in Prince George, British
Columbia, for sample preparation and PhotonAssayTM analysis. The MSALABS facilities are
accredited to the International Standards ISO/IEC 17025 and ISO 9001 standard for gold and
multi-element assays, with all analytical methods incorporating quality control materials at
defined frequencies and established data acceptance criteria. MSALABS Inc. is independent of
the Company.
PhotonAssayTM
The PhotonAssayTM method utilizes gamma ray analysis for gold detection using the Chrysos
PhotonAssayTM instrument (PA1408X). This non-destructive, fully automated technique offers
high accuracy for analyzing ores and pulps. Sample preparation begins with drying and crushing
up to 1 kg of material to achieve at least 70% passing through a 2-millimetre (mm) sieve. The
sample is then riffle split to obtain a suitable aliquot for 2 testing cycles (MSALABS Method
CPA-Au1).
The PhotonAssayTM instrument bombards 400 - 600 gram samples contained in sealed containers
with gamma rays. These containers remain sealed throughout the process, preserving the sample
for potential further testing. The analysis is performed robotically, with results that integrate into
existing laboratory management systems.
Each sample is accompanied by a reference disc traceable to a Certified Reference Material
(CRM). Both the sample and reference disc undergo gamma ray exposure, with signals detected
and analyzed to ensure accurate and reliable results.
The method offers a gold detection range from 0.015 parts per million (ppm - lower limit) to
10,000 ppm (upper limit). Quality control includes the use of reference materials and blanks,
with all results reviewed by a competent person before reporting.
Spanish Mountain Gold implemented two QAQC methodologies to validate the accuracy of
PhotonAssayTM results, both demonstrating good comparability: 1) comparative analysis of
diverse mineralization styles using Total Au screen metallic methods with both FAS-415
(gravimetric finish) and FAS-211 (AAS finish), and 2) comprehensive testing of both sample
aliquots and rejects using FAS-211 (AAS finish).
QAQC Testing typically can include the following spot checks: 1) Pulverizing tests to evaluate
variability in sample preparation, 2) Cross-analysis at external laboratories using screen metallic
method, and 3) Four-cycle radiation testing to identify and calibrate potential variability in gold
results with variable radiation intensity.
To effectively manage the nugget effect gold samples MSALABS tested samples to "extinction"
(CPA-Au1E method). This approach divides samples into multiple splits, analyzes each
separately using PhotonAssayTM, and then calculates a weighted average of the results. By
testing various portions of the sample independently and combining their values proportionally,
this method provides significantly more representative gold values than traditional single-split
analysis for samples with a large nugget effect.
Multi-Elemental Analysis
For the 2025 drilling campaign Spanish Mountain Gold used IMS-230 method to provide multi-
element determination using a four-acid digestion followed by ICP-OES and ICP-MS analysis.
Key Process Steps:
Sample Preparation: Samples are dried and ground to specific criteria (85% passing 75 microns
(μm) for rocks and drill core; 180μm for soils and sediments). A homogeneous 10-gram sample
is required.
Digestion: Samples undergo sequential digestion with nitric, perchloric, hydrofluoric, and
hydrochloric acids, followed by dilution with deionized water.
Analysis: The solution is analyzed via ICP-OES and ICP-MS for multi-element quantification.
Quality Control: The process includes reference materials, blanks, and duplicates, with
corrections for spectral interferences and thorough review before final reporting.
Julian Manco, M.Sc., P.Geo., has verified the data disclosed in this news release. The data
verification process involved a multi-step approach to ensure accuracy and integrity. This
included a detailed quality control (QC) analysis of the data, which was performed using both
internal and external platforms, such as the MxDeposit™ software. These QC checks involved
the analysis of certified reference materials (CRMs), blanks, and duplicates to confirm the
reliability of the assay results. In addition, Mr. Manco, conducted a field inspection of the
specific drill intervals mentioned in this release to directly observe the geological features and
verified the nature of the results presented.
Qualified Person
Julian Manco, M.Sc., P.Geo., Director of Exploration with Spanish Mountain Gold, is the
Qualified Person as defined under National Instrument 43-101 who has reviewed and has
approved the contents of this news release.
About Spanish Mountain Gold Ltd.
Spanish Mountain Gold Ltd. is focused on advancing its 100%-owned Spanish Mountain Gold
Project (Project) towards construction of the next gold mine in the Cariboo Gold Corridor,
British Columbia. The Company expects to release at the end of Q2, 2025, the results for the
Project’s newly de-risked and optimized Preliminary Economic Assessment (PEA) with an
updated Mineral Resource Estimate (MRE). Upon receipt of the new PEA and updated MRE, the
company will decide the next steps to advance the Project to position the company to make a
construction decision in or before 2027. We are striving to be a leader in community and
Indigenous relations by leveraging technology and innovation to build the 'greenest' gold mine in
Canada. The Relentless Pursuit for Better Gold means seeking new ways to achieve optimal
financial outcomes that are safer, minimize environmental impact and create meaningful
sustainability for communities. Details of the Company are available on www.sedarplus.ca and
on the Company's website: www.spanishmountaingold.com.
On Behalf of the Board,
“Peter Mah”
President, Chief Executive Officer and Director
Spanish Mountain Gold Ltd.
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.
FORWARD-LOOKING INFORMATION:
Certain of the statements and information in this press release constitute "forward-looking
information". Any statements or information that express or involve discussions with respect to
predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or
performance (often, but not always, using words or phrases such as "expects", "anticipates",
"believes", "plans", "estimates", "intends", "targets", "goals", "forecasts", "objectives",
"potential" or variations thereof or stating that certain actions, events or results "may", "could",
"would", "might" or "will" be taken, occur or be achieved, or the negative of any of these terms
and similar expressions) are not statements of historical fact and may be considered forward-
looking information. The Company's forward-looking information is based on the assumptions,
beliefs, expectations and opinions of management as of the date of this press release and include
but are not limited to information with respect to, the potential to extend mineralization within
the near-surface environment; the potential to expand resources and to find higher-grade
mineralization at depth; the timing, size and budget of a winter drill program, and the results
thereof; and the delivery of a maiden resource for the Phoenix Target, and the timing and results
thereof. Other than as required by applicable securities laws, the Company does not assume any
obligation to update forward-looking information if circumstances or management's
assumptions, beliefs, expectations or opinions should change, or changes in any other events
affecting such statements or information. For the reasons set forth above, investors should not
place undue reliance on forward-looking information.
Contacts
For more information, contact:
Peter Mah
(604) 601-3651