Troilus GOLD Corp. Intersects 1.74 G/T AuEq over 67 Metres Extending Z87 180 Metres Below Known Resource
TROILUS GOLD CORP. INTERSECTS 1.74 G/T AUEQ OVER 67 METRES EXTENDING Z87 180
METRES BELOW KNOWN RESOURCE
October 31, 2018, Toronto, Ontario – Troilus Gold Corp. (TSX: TLG) (“Troilus” or the “Company”) is
pleased to provide further drilling results from its 100% owned Troilus gold and copper property
located Northeast of the Val-d’Or district in Quebec, Canada (the “Troilus Project”). The 36,000 metre
drill program was designed to confirm and expand existing mineral resources from the historically
producing Troilus mine, as well as explore down dip and along strike from known mineralization.
Twelve (12) holes, at Z87, totaling approximately 9,100 metres of drilling were designed to upgrade
inferred classified material to indicated, and to improve mineralized resolution below indicated mineral
resource estimates down dip. Management believes success from this series of drill holes may create
new inferred material below currently classified inferred resource estimates (Fig 1&3).
Three (3) holes, TLG-Z87-018, 035, and 044W, were targeted to test the down dip extension of
mineralization below the current Z87 mineral resource estimates. All 3 holes successfully intersected
gold and copper mineralization over expected widths and showed strong lithological continuity with the
mineralized zones above. Continuation of mineralization has been extended an additional 180 metres
below the lowest level of inferred categorized estimates and opened up opportunities directly to the
North (Fig 2&4).
Highlights:
• TLG-Z87-044W – 1.58 g/t gold and 0.1% Cu for 1.74 g/t AuEq over 67 metres, including 10.58
g/t AuEq over 2 metres, and 7.82 g/t AuEq over 6 metres
• TLG-Z87-017 – 2.61 g/t gold and 0.08% Cu for 2.74 g/t AuEq over 42m, including 42.49 g/t
AuEq over 2m
• TLG-Z87-018 – 1.88 g/t gold and 0.1% Cu for 2.04 g/t AuEq over 52 metres, including 4.78 g/t
AuEq over 8 metres
and
1.26 g/t gold and 0.15% Cu for 1.5 g/t AuEq over 53 metres, including 3.44 g/t AuEQ over 8
metres
• TLG-Z87-035 – 1.44 g/t gold and 0.13% Cu for 1.65 g/t AuEq over 81 metres, including 9.1 g/t
AuEq over 3 metres, and 3.71 g/t AuEq over 10 metres
“We believe this drilling at Z87 ma y be the most significant to date,” said Justin Reid, CEO of Troilus
Gold Corp. “We have shown the extension of Z87 significantly below our current mineral resource
estimates. We expect this to have a meaningful impact on our upcoming mineral resource estimate.”
The 2018 drill program has completed at the Troilus Project. Ninety (90) diamond drill holes were
completed for a total of 36,000 metres of drilling and 26,800 samples. A large backlog in the labs has
been cleared and Troilus expects to deliver the bulk of our remaining Z87, J4 and J5 results to the
market over the next few weeks.
An updated mineral resource estimate is currently underway and is planned to be released before the
end of 2018. A targeted regional exploration program has been established in conjunction with drilling
results and the planned resource. Regional exploration is focusing on the extension and identification of
mineralization to the Northeast and Southwest of the existing resource. Structural and geophysical
studies are being combined with regional mapping to outline potential drill targets to be included within
our 2019 exploration drill program.
Figure 1: Geologic plan map showing location of main target across TLG land package
Figure 2: Longitudinal section showing drill hole pierce points
Figure 3: Property plan map showing location of significant drill results
Figure 4: Cross Section showing drill results and typical geology of Z87 at Troilus Gold Project
Z87
From To Length Au Cu AuEq
TLG-Z8718-016 540 546 6 0.76 0.32 1.27
and 552 558 6 1.82 0.17 2.09
incl 554 555 1 8.51 0.25 8.9
and 579 584 5 0.68 0.06 0.77
and 593 636 43 0.88 0.10 1.04
incl 593 595 2 2.89 0.29 3.35
incl 620 624 4 1.86 0.06 1.95
and 643 654 11 0.55 0.12 0.74
TLG-Z8718-017 625 632 7 0.61 0.09 0.75
and 643 685 42 2.61 0.08 2.74
incl 671 673 2 42.30 0.12 42.49
and 686 692 6 1.34 0.03 1.39
incl 686 688 2 3.02 0.02 3.04
TLG-Z8718-018 619 672 53 1.26 0.15 1.5
incl 621 624 3 2.46 0.43 3.14
incl 639 647 8 2.75 0.44 3.44
incl 670 671 1 3.37 0.07 3.48
and 675 727 52 1.88 0.10 2.04
incl 684 692 8 4.49 0.18 4.78
incl 700 712 12 3.11 0.10 3.27
TLG-Z8718-035 670 674 4 0.84 0.02 0.87
and 689 770 81 1.44 0.13 1.65
incl 707 710 3 8.25 0.54 9.10
incl 751 753 2 2.77 0.37 3.36
incl 755 765 10 3.23 0.30 3.71
incl 767 769 2 2.91 0.04 2.98
and 775 793 18 0.81 0.03 0.86
TLG-Z8718-044W 832 899 67 1.58 0.10 1.74
incl 874 876 2 10.03 0.35 10.58
incl 881 887 6 7.54 0.17 7.82
and 905 912 7 0.66 0.06 0.75
*Metal grades uncut
**AuEq based on $1300/oz Au, $3/lb Cu and 100% recovery. Au g/t + (Cu g/t * Cu price (g)) /Au price (g)
36,000 Metre 2018 Drill Program
Overview:
1) Zone 87 (Z87): Expand defined underground estimated mineral resource down dip and along
strike below the historic producing Z87 open pit.
2) Zone J4 (J4) & Zone J5 (J5): Expand estimated mineral resource below historic producing J4 and
J5 open pits to show potential near surface mineralization.
3) Southwest Zone: Based on historic drilling success, initiate near surface exploration 3.5
kilometre Southwest of Z87 open pit along the Troilus Diorite boundary (Figure 2).
1) Z87:
From 1996 to 2010, Z87 produced the majority of the over 2 million ounces of gold and 70,000 tonnes of
copper produced at the Troilus Project. The Z87 pit was ultimately 350 metres deep and had a strike of
approximately 900 metres. The Z87 zone is the focus of the current underground estimated mineral
resource, representing over 1.6 million ounces of indicated and 360,000 ounces of inferred material
(Figure 5).
Notes:
1. CIM definitions were followed for Mineral Resources.
2. Mineral Resources were estimated at a cut-off grade of 0.8 g/t Au.
3. Mineral Resources were estimated using long-term metal prices of US$1,500 per ounce gold and US$3.50 per pound copper; and an exchange rate of US$1.00 =
C$1.1.
4. AuEq = (34.59 x Au grade + 54.02 x Cu grade) / 34.59.
5. A recovery of 83% was used for gold and 92% for copper.
6. Numbers may not add due to rounding.
7. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability. The estimate of Mineral Resources may be materially affected
by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues.
8. Drilling has been done to intercept mineralized zone at true width. The difference between true and drill width is too small to impact intervals stated.
Figure 5: Troilus Estimated Underground Resource
Mineralization at the Troilus Project is hosted in breccias and amphibolite grade metamorphic rocks
within a much broader, 4.5 kilometre by 400 metre, metamorphosed diorite, known as the Troilus
Diorite. Fine-grained disseminated gold accounts for approximately 90% of mineralization at Troilus,
primarily as native gold and electrum with grains as large as 20 microns. Chalcopyrite, Pyrite, and
Pyrrhotite are broadly disseminated throughout the mineralized zone, which are rarely associated with
gold (<1-3%). Vein-hosted gold accounts for approximately 10% of mineralization which are responsible
for high grade intercepts (>50gpt over 1 m) at Troilus.
The broad geology and style of mineralization at Z87 creates a large deposit area, nearly 1 kilometre
along strike and 30-50 metres wide, which remains open both along strike and down dip. The 2018
Winter/ Spring drill program at Z87 is designed to:
• Expand and infill certain areas of Troilus’ existing underground estimated mineral resource;
• Convert and upgrade inferred material along the flanks and down dip extension of underground
estimated mineral resources to an indicated category; and
• Expand down dip estimated mineral resources and show potential for further expansion through
focused infill and step out drilling.
2) J4 & J5:
J4 and J5, two smaller scale historic open pits located 200 metres and 1kilometres directly Northeast of
Z87 are characterized by the same mineralization and geology as Z87; both remaining open at depth and
along strike.
Management believes the inherited Troilus database suggests the potential for additional near surface
mineralization at J4 and J5 and potentially signifies open pittable resource opportunities. The objective
of the Winter/ Spring drill campaign, at J4 and J5, is to expand the open pit and underground estimated
mineral resource below these lesser historic pits, with the intent of recognizing material that could
contribute to an early production scenario.
3) Southwest Zone
The Southwest Zone is located along the margin of the Troilus Diorite and surrounding volcanics, 3.5
kilometres Southwest of Z87 (Figure 5). Historically this area exhibited significant mineralization from
drilling including intercepts as high as 36m @ 1.23g/t Au, and 18m @ 1.06g/t Au. Historic drilling in this
area is limited, leaving the opportunity to explore, and potentially outline new mineralization at surface.
The Southwest Zone exemplifies near term, blue sky opportunity at Troilus, and will be the initial focus
of a significant, property wide exploration program. The Troilus Diorite remains underexplored and
highly prospective.
Quality Control
During the Zone 87 drill program, one metre assay samples are taken from NQ core and sawed in half.
One-half is sent for assaying at AGAT Laboratory, a certified commercial laboratory, and the other half is
retained for results, cross checks, and future reference. A strict QA/QC program is applied to all samples;
which include insertion of one certified mineralized standard and one blank sample in each batch of 25
samples. The gold analyses were by fire-assay on 50 grams of pulp with an atomic absorption finish.
Repeats were carried out by fire-assay with a gravimetric finish on each sample containing 3.5 g/t Au or
more.