South Grass Valley Carlin-Type Gold Project – January 2022 Update
South Grass Valley Carlin-Type Gold Project – January 2022 Update
January 31, 2022
Nevada Exploration Inc. (“NGE” or the “Company”) (TSX -V:NGE; OTCQB:NVDEF) is pleased to provide its
January update from the ongoing exploration program at its South Grass Valley Carlin-type gold project
(the “Project”).
Specifically, the Company reports that:
- Current drill hole SGVC013 has entered Paleozoic “lower -plate” bedrock, and is currently a t 630
metres drilling through the Goodwin F ormation towards the Clm unit that hosts the Company’s
primary East Golden Gorge target;
- SGVC013 appears to currently be drilling through the Water Canyon structural corridor, the
sampling of which is an important objective for the drill hole;
- Drilling was halted for two weeks due to technical and mechanical issues that have now been
resolved (drilling resumed January 29, 2022); and
- During January, the Company finished a 50-square-kilometre passive-seismic geophysical survey,
the data from which will be analyzed with the goal of improving the structural resolution of NGE’s
geologic model at the Project.
Discussing the program, NGE President and CEO, James Buskard: “ Drilling conditions in these Carlin
systems are generally difficult, and SGVC013 has provided some particular challenges around the bedrock
contact. Our drilling partner Drill NV has been able to get through this zone, and we’re now into lower
plate drilling through the Goodwin Formation - the formation that sits above what we believe to be the
Hales Formation, which contains our Clm host unit.
“We’re still relatively high in the stratigraphy compared to where we expect to encounter the Clm unit;
however, this hole was purposely located along the projection of the Water Canyon structural corridor to
collect important information about this feature, which we believe represented the primary source of
mineralized hydrothermal fluids into the district. As we would expect this close to a district-scale corridor,
we’re seeing extensive fault -related damage zones, as well as tectonic brecciation, known to provide
important rock preparation that can improve grades within deposits. There is still a ways to go until we’re
down to the targeted unit, though we’re pleased that the initial indications suggest we’ve reached, and
are in fact currently drilling through, our projected corridor.
“These early holes of our Phase 3 drilling program continue to validate our exploration model, and as
we’ve shared, our job is to now identify potential traps within this large Carlin- type mineral system that
could have concentrated the gold, which we know are often structurally related. With the objective of
potentially providing new data to improve the struct ural resolution of our geologic model, we’ve agreed
to participate in an academic and industry research collaboration to look at the use of passive -seismic
geophysics in Carlin -type systems. With our partners, we laid out a program at South Grass Valley
designed to use the seismic energy generated at Cortez to the north to activate the array of sensors. The
sensors were deployed in December and retrieved in January, and the data is now being sent to our
industry partner for processing.
“As this is a n ew application for the method, we will be reviewing the data outputs in terms of what
questions they can answer, though based on what we know about how the method has worked in other
settings, we’re optimistic that we should get some good top of bedrock information, which could be
helpful in mapping the surface projection of important high -angle structural features. Beyond mapping
the bedrock surface, we’re also hoping to see contrast that can improve our understanding of how the
Water Canyon structural corridor passes through the district. From a research perspective, what will be
most interesting is if the method is able to recognize differences in bedrock related to fluid pathways or
alteration associated with hydrothermal fluid flow, which is the mechanism that brings gold into these
districts. Once we begin to see the preliminary outputs, we look forward to sharing more about the
program.”
To review the results to date and NGE’s plans to advance its East Golden Gorge target at South Grass
Valley, the Company encourages its stakeholders to visit the interactive 3D VRIFY model prepared for its
September 15, 2021, news release, available at: https://vrify.com/decks/September-15-2021-press-
release.
To follow along as its team shares photos from the field and its core logging facility, NGE encourages its
stakeholders to subscribe to one or more of its social medial channels, as well as to sign up to its email list
to receive the Company’s news releases.
Email sign up: www.nevadaexploration.com/investors/signup
Twitter: www.twitter.com/NV_Exploration
Instagram: www.instagram.com/nevadaexploration
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About Nevada Exploration Inc.
With mature, exposed search spaces seeing falling discovery rates, NGE believes the future of exploration
is under cover. Nevada’s exposed terrains have produced more than 200 million ounces of gold, and
experts agree there is likely another 200 million o unces waiting to be discovered in the half of Nevada
where the bedrock is hidden beneath post-mineral cover. NGE has spent more than 15 years developing
and integrating new hydrogeochemistry (groundwater chemistry) and low-cost drilling technology to build
an industry -leading, geochemistry -focused toolkit specifically to explore for new gold deposits under
cover, and the Company is now advancing a portfolio of projects totalling more than 180 square
kilometres.
NGE’s most advanced project is South Grass Valley, located approximately 50 kilometres south-southwest
of the Cortez complex, operated by Nevada Gold Mines (Barrick Gold Corp. and Newmont Corporation
joint venture), within the specific region of north -central Nevada that hosts Nevada’s largest Carlin -type
gold deposits (“CTGDs”). Since acquiring the Project, NGE has completed: an infill borehole groundwater
sampling program, detailed air magnetic and gravity geophysics surveys, a soil geochemistry sampling
program, an initial diamond core drilling program consisting of 10 stratigraphic orientation holes, and a
follow-up reverse-circulation drilling program consisting of 17 holes to increase the density of its bedrock
sampling.
Based on the results of its combined exploration datasets, NGE believes it has discovered a mineral system
at South Grass Valley with the architecture and scale to potentially support multiple CTGDs. As the
Company continues to advance the Project, per NI 43 -101, 2.3(2), the Company must remind its
stakeholders that the Project remains an exploration target for which the potential quantity and grade of
any mineral resource is still conceptual in nature, and that it is uncertain if further exploration will result
in the target being delineated as a mineral resource.
For more information, the Company’s latest videos are available at:
https://www.nevadaexploration.com/investors/media/
For further information, please contact:
Nevada Exploration Inc.
Email: [email protected]
Telephone: +1 (604) 601 2006
Website: www.nevadaexploration.com
Neither the TSX Venture Ex change 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.
Wade A. Hodges, Chief Discovery Officer and Director, Nevada Exploration Inc., is the Qualified Person,
as defined in National Instrument 43-101, and has prepared the technical and scientific information
contained in this News Release.
Cautionary Statement on Forward-Looking Information:
This news release contains “forward-looking information” and “forward-looking statements”
(collectively, “forward-looking information”) within the meaning of applicable securities laws, including,
without limitation, expectations, beliefs, plans, and objectives regarding projects, potential transactions,
and ventures discussed in this release.
In connection with the forward-looking information contained in this news release, the Company has
made numerous assumptions, regarding, among other things, the assumption the Company will continue
as a going concern and will continue to be able to access the capital required to advance its projects and
continue operations. While the Company considers these assumptions to be reasonable, these
assumptions are inherently subject to significant uncertainties and contingencies.
In addition, there are known and unknown risk factors which could cause the Company’s actual results,
performance or achievements to be materially different from any future results, performance or
achievements expressed or implied by the forward-looking information contained herein. Among the
important factors that could cause actual results to differ materially from those indicated by such
forward-looking statements are the risks inherent in mineral exploration, the need to obtain additional
financing, environmental permits, the availability of needed personnel and equipment for exploration
and development, fluctuations in the price of minerals, and general economic conditions.
A more complete discussion of the risks and uncertainties facing the Company is disclosed in the
Company’s continuous disclosure filings with Canadian securities regulatory authorities at
www.sedar.com. All forward-looking information herein is qualified in its entirety by this cautionary
statement, and the Company disclaims any obligation to revise or update any such forward-looking
information or to publicly announce the result of any revisions to any of the forward-looking information
contained herein to reflect future results, events or developments, except as required by law.