Mawson Drills 17 Metres at 3.0 G/T GOLD at South Palokas, Finland
1305 – 1090 West Georgia Street, Vancouver, BC, V6E 3V7
Phone: +1 604 685 9316 / Fax: +1 604 683 1585
NEWS RELEASE MARCH 04, 2019
MAWSON DRILLS 17 METRES AT 3.0 g/t GOLD AT SOUTH PALOKAS, FINLAND
Vancouver, Canada — Mawson Resources Limited (“Mawson”) or (the “Company”) (TSX:MAW)
(Frankfurt:MXR) (PINKSHEETS: MWSNF) announces results from the first six diamond drill holes reported from the
2019 winter program at the Company’s 100% owned Rajapalot Project in Northern Finland.
Eighteen holes (PAL0159–PAL0176) for a total of 6 ,003 metres (two short holes abandoned) of a planned 15,000 metre
winter program have been drilled. The drill program is focused on expanding gold -cobalt resources at Raja and South
Palokas, and testing less drilled prospect areas including Terry’s Hammer and Rumajärvi (Figure 1) . Gold-only assay
results from the first 6 holes are reported (PAL0159 - PAL0161, PAL0163, PAL 0164 and PAL0173) , with multi-element
including cobalt assays awaited.
Highlights:
At the South Palokas prospect, drill hole PAL0173 intersected 17 metres @ 3.0 g/t gold from 2 64 metres,
including 5 metres @ 4.9 g/t gold from 264 metres and 5 metres @ 4.6 g/t Au from 276 metres (Tables 1-
3, Figures 1-2);
The hole was targeted into a recently defined electromagnetic (“TEM”) conductive plate below the resource
reported in December 2018.
This is the best intersection as well as the deepest hole drilled at South Palokas, and opens up the undrilled
extensions of the TEM conductor, which extends 450 metres down plunge and forms an excellent target for
continued drilling.
At the Raja prospect, drill hole PAL0161 intersected 4.0 metres @ 2.9 g/t gold from 345 metres and
PAL0159 intersected 3.0 metres @ 2.3 g/t gold from 434 metres and 3.5 metres @ 2.4 g/t from 452
metres (Figures 3-4);
PAL0159 extended mineralization 130 metres down plunge from the resource reported in December 2018 .
Further infill drilling is planned.
New TEM surveys at both the Palokas and South Palokas projects have defined plunging conductors
approximately 450 metres long and 100 metres wide below the resource reported in December 2018 . Both
conductors at Palokas and South Palokas remain undrilled and will be a focus of future drilling (Figure 1);
Drilling with four rigs continues 24/7 with additional TEM to be conducted over the Rumaj ärvi area commencing
in the next week;
Mr. Hudson, Chairman and CEO, states, "This is a solid start to our winter drilling with down-plunge extensions of
mineralization defined at both the South Palokas and Raja resource areas . These drill hits targeted TEM conductors,
giving strong encouragement that new conductors at Palokas and South Palokas, will be associated with further
mineralization. We welcome all to Mawson's PDAC booth #2941 from 3rd to 6th March and at the Core Shack
#3104B (5th to 6th March), to discuss our work programs and view representative samples of drill core. Come and see if
you can spot some visible gold in our new drill holes!”
PAL0173, which intersected 17 metres @ 3.0 g/t gold from 2 64 metres at South Palokas extended mineralization 60
metres down plunge from PAL0016 ( 8.4 metres @ 5.9 g/t AuEQ from 206 metres ) (Figure 2) . Mineralization was
encountered from 232 metres to 405 metres (170m down hole width ) and is one of the thickest intersections on the
property to date . The hole was targeted into the upper margin of a strong linear electromagnetic conductor which
extends 450 metres down plunge and forms an excellent target for continued drilling.
At the Raja prospect, drill hole PAL0161 intersected 4.0 metres @ 2.9 g/t gold from 345 metres to extend mineralization
25 metres east from previous drilling. PAL0159 intersected 3.0 metres @ 2.3 g/t gold from 434 metres and 3.5 metres @
2.4 g/t from 452 metres (Figure s 3-4) and extended mineralization 130 metres down plunge from the resource reported
in December 2018. Further infill drilling is planned. Additional lower grade gold was intersected on this section (PAL0164:
2.0 metres @ 1.1 g/t gold from 407 metres) demonstrating the continuity of mineralization below the resource.
Further infill drilling is now planned.
New ground electromagnetic (TEM) surveys at both Palokas and South Palokas have defined plunging conductors with the
same dimensions as the Raja prospect conductor (450 metres long and 100 metres wide) below the resource areas. Both
the deeper extension of the conductors at Palokas and South Palokas are undrilled and will be the focus of future drilling
(Figure 1).
A plan view of the completed drill holes and the locations of the electromagnetic conductors is provided in Figure 1 . Cross
and longitudinal sectional views are included in Figures 2-4. Tables 1-3 include all relevant collar and assay information.
Assuming a predominant stratabound control, the true thickness of the mineralized interval is interpreted to be
approximately 90% of the sampled thickness. Visible gold was noted in drill hole PAL0173 betw een 267 and 268 metres
with a strong association with scheelite. Cobalt data will be provided when multi- element assays are reported by the
laboratory. Quality control duplicates for all holes show good repeatability of gold assays. Intersections are reported with
a lower-cut of 0.5g/t gold over 1 metre lower cut, except PAL0173 264.0-281.0 metres. No upper cut-off was applied.
The hosts rocks to the gold and cobalt mineralization comprise sulphide (pyrrhotite>>pyrite), biotite, muscovite, chlorite,
Mg-Fe amphibole hydrothermal mineral assemblages within and adjacent to predominately grey albitites. Textures range
from veined albitic granofels through fractured and brecciated to locally schistose. Veining and fracture fill minerals
include pyrrhotite , magnetite and magnetite -pyrrhotite (+/- quartz, tourmaline ). Retrograde chlorite after biotite ,
generations of secondary muscovite (“sericite”) and vein- controlled chlorite+/ - tourmaline and magnetite are also
present. Preliminary hand -held XRF analysis confirms the presence of associated scheelite and molybdenite, the former
visible under UV light as tiny veinlets and disseminations. The alteration is clearly post -metamorphic, reduced, and most
likely driven by granitoid intrusions. Chlorite and fine muscovite are regarded as the lowest temperature silicate mineral s
with gold, structurally controlled in apparent spatial association with quartz and/or K -feldspar veins. Altered rocks
enclosing the mineralized package contain locally abundant talc and tourmaline.
Technical and Environmental Background
Four diamond drill rigs (K3 & K8) from the Arctic Drilling Company OY (“ADC”), Kati OY (“Kati”) and MK Core Drilling OY (“MK”), all with
water recirculation and drill cuttings collection systems were used for the drill program. Core diameter is NQ2 (50.7 mm). Core
recoveries were excellent and average close to 100% in fresh rock. After photographing and logging in Mawson’s Rovaniemi facilities,
core intervals averaging 1 metre for mineralized samples and 2 m etres for barren samples were cut in half at the Geological Survey of
Finland (GTK) core f acilities in Rovaniemi, Finland . The remaining half core is retained for verification and reference purposes.
Analytical samples were transported by Mawson personnel or commercial transport from site to the CRS Min lab Oy facility in Kempele,
Finland. Samples were prepared and analyzed for gold using the PAL1000 technique which involves grinding the sample in steel pots
with abrasive media in the presence of cyanide, followed by measuring the gold in solution with fl ame AAS equipment. The QA/QC
program of Mawson consists of the systematic insertion of certified standards of k nown gold content, duplicate samples by quartering
the core, and blanks the within interpreted mineralized rock. In addition, CRS inserts blanks and standards into the analytical process.
The qualified person for Mawson's Finnish projects, Dr. Nick Cook, President for Mawson and a Fellow of the Australasian Institute of
Mining Metallurgy has reviewed and verified the contents of this release.
NI 43-101 Technical Report:
On December 19, 2018, Mawson filed an independent National Instrument 43-101 Technical Report (the “NI 43-101 Technical Report”)
on the Mineral Resource Estimate for the Raja and Palokas Prospects, at the 100% owned Rajapalot Project in Finland, (the “ NI 43-
101 Technical Report”), in support of the Company’s news release dated December 17, 2018. The NI 43-101 Technical Report was
authorized by Mr. Rod Webster of AMC Consultants Pty Ltd (“AMC”) of Melbourne, Australia, and Dr. Kurt Simon Forrester of Arn
Perspective of Surrey, England. Each of Mr. Webster and Dr. Forrester are independent “qualified persons” as defined by Natio nal
Instrument 43-101. The NI 43-101 Technical Report may be found on the Company’s website at www.mawsonresources.com or under
the Company’s profile on SEDAR at www.sedar.com. The gold equivalent ("AuEq") value was calculated using the following formula:
AuEq g/t = Au g/t + (Co ppm/608) with assumed prices of Co $30/lb; and Au $1,250/oz. AuEq varies with Au and Co prices.
About Mawson Resources Limited (TSX:MAW, FRANKFURT:MXR, PINKSHEETS:MWSNF)
Mawson Resources Limited is an exploration and development company. Mawson has distinguished itself as a leading Nordic Arctic
exploration company with a focus on the flagship Rajapalot gold project in Finland.
On behalf of the Board,
"Michael Hudson"
Michael Hudson, Chairman & CEO
Further Information
www.mawsonresources.com
1305 – 1090 West Georgia St., Vancouver, BC, V6E 3V7
Mariana Bermudez (Canada), Corporate Secretary, +1 (604) 685 9316,
Forward-Looking Statement
This news release contains forward -looking statements or forward -looking information within the meaning of applicable securities laws (collectively,
"forward-looking statements"). All statements herein, other than statements of historical fact, are forward -looking statements. Although Mawson
believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are
typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate, and similar expressions, or are those, wh ich, by their
nature, refer to future events. Mawson cautions investors that any forward-looking statements are not guarantees of future results or performance, and
that actual results may differ materially from those in forward-looking statements as a result of various factors, including, but not limited to, capital and
other costs varying significantly from estimates, changes in world metal markets, changes in equity markets, planned drill programs and results varying
from expectations, delays in obtaining results, equipment failure, unexpected geological conditions, local community relation s, dealings with non -
governmental organizations, delays in operations due to permit grants, environmental and safety risks, and other risks and uncertainties disclosed under
the heading "Risk Factors" in Mawson's most recent Annual Information Form filed on www.sedar.com. Any forward-looking statement speaks only as of
the date on which it is made and, except as may be required by applicable securities laws, Mawson disclaims any intent or obligation to update any
forward-looking statement, whether as a result of new information, future events or results or otherwise.
Figure 1: Plan of Rajapalot showing historic drilling, outline of 43-101 resource, new drill holes reported, modelled ground TEM plates over a background
of 25 and 50 metre spaced ground magnetics
Figure 2: Cross section of South Palokas showing location of PAL0173, extent of existing resource and modelled EM plates.
Figure 3: Long section at Raja prospect showing continuation of mineralized sequence below existing resource. Outlines of existing resource are also
indicated.
Figure 4: Cross section at Raja prospect showing location of reported drill holes PAL0164 and PAL0159.
Table 1: Collar Information from 2019 Winter drilling at the Rajapalot Project (Finnish Grid, Projection KKJ3)
HoleID East North Azimuth Dip RL Depth Prospect Comment
PAL0159 3408545.8 7372603.5 56 -71 179.162 473.8 Raja Reported Here
PAL0160 3408485.8 7372581.1 67 -79 177.865 447 Raja Results Awaited
PAL0161 3408696.1 7372556.6 57 -75 179.24 405.8 Raja Reported Here
PAL0162 3408446.4 7372648.4 46 -84.5 180.158 482.9 Raja Reported Here
PAL0163 3408487.0 7372587.9 65 -73.5 178.218 470.05 Raja Reported Here
PAL0164 3408545.4 7372603.2 61.1 -75.6 178.586 441.7 Raja Results Awaited
PAL0165 3408612.7 7372312.2 60 -79 176.25 167.9 Raja Reported Here
PAL0166 3408897.7 7372385.3 240 -83 170.452 238.6 Raja Results Awaited
PAL0167 3408486.0 7372587.0 96 -85 178 398.6 Raja Reported Here
PAL0168 3408554.5 7372806.4 233 -83 173.987 45.6 Raja Abandoned hole
PAL0169 3408553.5 7372806.4 233 -83 173.987 545.8 Raja Results Awaited
PAL0170 3408713.0 7372255.4 60 -79 172.803 200.2 Raja Results Awaited
PAL0171 3408603.8 7372636.0 58 -73 179.753 497.6 Raja Results Awaited
PAL0172 3408447.4 7372648.4 47 -79.5 180.158 491.9 Raja Results Awaited
PAL0173 3408255.8 7373707.9 116 -56 173.48 427.9 South Palokas Reported Here
PAL0174 3408255.8 7373707.9 116 -69.5 173.48 8.3 South Palokas Abandoned hole
PAL0175 3408830.5 7372237.5 60 -74 172.071 120.1 Raja Results Awaited
PAL0176 3408937.3 7372300.3 240 -79.5 173.012 140.0 Raja Results Awaited