Nighthawk Reports 24.4%
Increase to 2.61 Million Inferred Ounces of Gold at
Colomac
Toronto, Ontario
-- June 13, 2018 -- InvestorsHub NewsWire -- Nighthawk Gold Corp.
(“Nighthawk” or the “Company”) (TSX: NHK; OTCQX: MIMZF)
is pleased to report an updated Inferred
Mineral Resource estimate, of 50.305 million tonnes with an average
grade of 1.62 grams per tonne gold (“gpt Au”) for
2.613 million ounces of gold (see Table 1) for its 100% owned
Colomac Gold Project (“Colomac”), Northwest
Territories, Canada. The resource estimate was prepared by CSA
Global Canada Geosciences Ltd. (CSA Global), Toronto, Ontario, in
accordance with National Instrument 43-101 (“NI
43-101”).
The updated resource
estimate incorporates a total of 1,088 drill holes totaling 141,013
metres (913 historical drill holes totaling 85,178 metres, and 175
drill holes totaling 55,835 metres completed by Nighthawk between
2012 and 2017). Since the 2013 resource estimate, Nighthawk has
drilled 145 holes for 44,600 metres which is captured within this
latest resource update.
Dr. Michael Byron, President & CEO commented, “We
are very pleased to see that the consistent strength and continuity
of mineralization hosted by the Colomac and Goldcrest sills
continues to deliver strong resource growth. It is notable that to
date, the deposit has only had 141,013 metres of drilling, yet is
tracking to exceed 3 million ounces with an abundance of real
estate not yet explored. The grade sensitivity table illustrates
the deposit’s robust nature by revealing that modest changes in
cutoff grades result in substantial variations in contained ounces
but with limited variations to the average grade. Given that the
current resource contains over 50 million tonnes of mineralized
material, a number that may only account for less than half of its
near surface potential, we believe that assessing a heap leach
opportunity for Colomac is not only warranted, but if proven, could
drastically change the nature of the opportunity.
“Recent advancements in our understanding
of the deposit’s controls on mineralization has led to important
revisions to the Colomac geological model. Within the Goldcrest and
Colomac sills, the change to a more broadly distributed
mineralization model, instead of a constrained and steeply dipping
one, has resulted in a more refined and accurate resource estimate,
and a substantial increase in resource tonnes. In addition to the
ongoing exploration at Colomac, we are also drilling several of our
regional gold deposits and showings, building on the gold camp’s
vastly underexplored potential beyond Colomac. The first property
we drilled prior to consolidating the camp, the Damoti Lake Gold
Deposit, will be drilled this summer, in preparation for delivering
a maiden resource estimate in early 2019.”
Conference Call
Details
Management will host a conference call
and webcast to discuss the updated resource estimate on Wednesday
June 13, 2018 at 10:00am ET. To access the webcast and for further
details, please visit the Company website www.nighthawkgold.com.
NIGHTHAWK GOLD CORP Resource
Update
Conference ID#
9279568
Dial-In
Numbers:
Toll-free North America:
1-888-231-8191; United Kingdom:
0-800-051-7107
Notes:
- A block cut-off value
of 0.70 gpt Au was applied to all Colomac and Goldcrest blocks.
Grizzly Bear, 25 and 27 reporting cut off remains at 0.60 gpt
Au.
- Tonnes and ounces have
been rounded to reflect the relative accuracy of the mineral
resource estimate; there-fore numbers may not total
correctly.
- Mineral resources were
calculated with commercial mining software
- For 2018 updated
Colomac and Goldcrest block models: Drill holes traces showing
lithology and gold grade were reviewed in plan and cross section.
Geological domains were created using LeapfrogTM Implicit
Geological Modelling Software. Assays were composited to regular 1
metre intervals. Colomac assays were capped at 30.00 gpt Au and
Goldcrest assays were capped at 15.00 gpt Au. Block model grade
interpolation was undertaken using Inverse Distance Cubed
(IDW3).
- For 2012 Grizzly Bear,
24 and 27 block models: Drill holes traces showing lithology and
gold grade were reviewed in plan and cross section to generate
mineralized domains. Assays with each domain were top cut to 31 gpt
Au and then composited to regular 5ft intervals. Block model grade
interpolation was undertaken using Multiple Indicator Kriging
(MIK). Refer to Lee and Trinder (2012).
- The resource estimate
was prepared by Leon McGarry, B.Sc., P.Geo., of CSA
Global.
- Gold price is US$1300
per ounce.
- A default average
specific gravity (SG) value of 2.7 has been
used.
- Mineral resource tonnes
quoted are not diluted.
- No measured or
indicated mineral resources or mineral reserves of any category are
identified.
- Mineral resources are
not mineral reserves and by definition do not demonstrate economic
viability. This mineral resource estimate includes inferred mineral
resources that are normally considered too speculative geologically
to have economic considerations applied to them and must not be
converted to a mineral reserve. It is reasonably expected that the
majority of inferred mineral resources could be upgraded to
indicated mineral resources with continued
exploration.
- 1 troy ounce equals 31.10348
gram
2018 Mineral Resource
Estimate
The mineral resource estimate was prepared by CSA
Global, Toronto, Ontario, in accordance with NI 43-101 and has been
reviewed internally by the Company. The full technical report will
be available on SEDAR within 45 days of the date of this release.
All resources have been assigned to the inferred category due to
the historic nature of a significant portion of the data and the
need for additional verification work. Mined volumes of the Colomac
Main Sill have been deleted from the current resource
model.
Resources were defined using an updated block cut-off
grade of 0.70 gpt Au for the
Colomac and Goldcrest deposits, and a 0.60 gpt Au cut off was
retained for the Grizzly Bear, 24 and 27 deposits.
The current resource estimate is based on
1,088 drill holes totaling 141,013
metres (913 historical drill holes totaling 85,178 metres, and 175
drill holes totaling 55,835 metres completed by Nighthawk between
2012 and 2017, see Table 3).
The current study incorporates an updated geological
model refined by orientated core measurements collected by the
company during its 2016 and 2017 drill campaigns. Initial
measurements indicate that mineralized vein sets are generally
shallow dipping. This contrasts with the 2013 resource modelling
where steeply dipping shears and veins were considered the dominant
controls to mineralization and were deemed best represented using a
0.50 gpt Au grade shell. However, based on the latest drill core
orientation work this is no longer considered valid. Consequently,
gold mineralization is modelled to be more broadly distributed and
flat lying. This change has resulted in the delineation of mineral
resources over a shorter down dip extent resulting in resource
tonnage increases throughout the Colomac deposits. Increased
drilling and the introduction of oriented core measurements has
significantly advanced the understanding of Colomac mineralization,
resulting in a much more refined and robust geological model, which
in turn has generated a more accurate and representative mineral
resource estimate to build upon.
Additions to the Current Resource
Estimate Relative to the 2013 Resource Estimate
The high-grade Zone 1.5 at Colomac was
discovered by the Company in 2014, and since then 14,660 metres of
drilling has led to the delineation of 5,347,000 tonnes at an
average grade of 1.85 gpt Au for 317,000 ounces of gold. The new
resource modelling method lacked the necessary information to
delineate a constrained domain to the Zone’s central core of
higher-grade mineralization. Instead, the approach treats
mineralization as being more broadly distributed over the width of
the mineralized portion of the sill. Future modelling refinements
are expected to allow domaining of the higher-grade core of this
zone with future drilling.
Resource blocks at Zone 1.5 extend 490
metres below surface. However, two holes drilled by Nighthawk
in 2017 to explore the zone at depth intersected continuous
mineralization to 900 metres below surface outside and below the
current resource. Here the zone’s pervasive mineralization appears
to triple in true width and remains open (see press releases dated
September 18, 2017 and November 28,
2017). New drilling at Zone 1.5
accounts for the majority of the 118% increase in gold ounces at
Colomac North (Table 1) relative to the 2013 mineral resource
estimate and demonstrates the dynamic resource expansion potential
that high-grade zones represent at Colomac.
At Goldcrest Main (formerly referred to
as Goldcrest South), 11,246 metres of new drilling extended the
maximum depth of the resource model from 150 metres to 300 metres
below surface, where it remains open. Infill drilling and the
availability of new sample data has allowed the removal of
partially assayed historical drill holes resulting in a higher
average modelled thickness. The increase in the size of the model
has added 2.20 million tonnes at an average grade of 1.50 gpt Au
resulting in an additional 106,120 ounces of gold.
Next Steps
A minimum, 25,000 metre drill program was
initiated in early March with three drills to be active on Colomac
area resource expansion targets, as well as on several of the
Company’s regional deposits and prospects. At Colomac,
exploration for additional high-grade zones is ongoing, as is
drilling to infill areas in the current resource in preparation for
a future resource update. It is anticipated that the next
resource estimate will include indicated resource numbers for Zone
1.5 and Zone 3.5. Expanded metallurgical testing is scheduled for
2018 with sampling of additional zones along the Colomac and
Goldcrest sills. This program will also involve a greater number of
tests to continue evaluating the deposit’s heap leach
potential.
About the Colomac Gold
Project
The Colomac Gold Project
lies within the central portion of Nighthawk’s Indin Lake Gold
Property, 220 kilometres northwest of Yellowknife, Northwest
Territories. Access is by winter road from Yellowknife or
year-round by chartered aircraft to a 5,000-foot airstrip at the
former Colomac Mine site. Nighthawk has secured a contiguous land
position fully surrounding the Colomac Gold Project by
consolidating more than 90% of the Indin Lake Greenstone Belt
including the related Indin Lake Gold Camp. The Colomac Gold
Project contains at least five separate gold deposits open in all
dimensions (Colomac Main Sill, Goldcrest Sill, Grizzly Bear, 24 and
27), only one of which, the Colomac Deposit, was historically
mined. Intermittent mining from 1990 to 1997 was limited to three
shallow open pits developed on a steeply dipping differentiated
mafic intrusion (Colomac Main Sill). Historical production is
reported to be 527,908 ounces gold with an average head grade of
1.66 gpt gold. Mining activities impacted only a small portion of
the sill’s 7 kilometre mineralized strike length. All mining and
processing equipment and infrastructure have been removed from the
Colomac Property.
Qualified Person
Technical information related to the mineral resource estimate
contained in this news release has been reviewed and approved by
Leon McGarry, B.Sc., a Senior Resource Geologist with CSA Global,
who is an independent Qualified Person as defined by NI 43-101,
with the ability and authority to verify the authenticity and
validity of this data. The technical report supporting the mineral
resource estimate will be filed on SEDAR within 45
days.
Dr. Michael J. Byron,
Ph.D., P.Geo., President & Chief Executive Officer of
Nighthawk, who is the "Qualified Person" as defined by NI 43-101
for this project, has reviewed and approved of the technical
disclosure contained in this news release.
Technical
Information
Nighthawk has implemented a quality-control program to comply with
best practices in the sampling and analysis of drill core.
Drill core samples were transported in security-sealed bags for
analyses at ALS Chemex Assay Laboratory in Vancouver, BC ("ALS
Chemex"). ALS Chemex is an ISO 9001:2000 certified
laboratory. Pulp and metallics assaying for gold was conducted on
the entire pulverized sample.
As part of its QA/QC
program, Nighthawk inserts external gold standards (low to high
grade) and blanks every 20 samples in addition to the standards,
blanks, and pulp duplicates inserted by ALS
Chemex.
About
Nighthawk
Nighthawk is a Canadian-based gold exploration company with 100%
ownership of a district-scale land position within the Indin Lake
Greenstone Belt, located approximately 200 km north
of Yellowknife, Northwest Territories, Canada. Nighthawk is
focused on advancing the Colomac Gold Project with a current
inferred resource of 2.613 million ounces of gold (50.305 million
tonnes at an average grade of 1.62 grams per tonne), as well as
advancing its other regional gold deposits and showings within this
largely underexplored Archean gold camp.
The Company has an
experienced and dedicated team and is well funded to complete its
goals and objectives over the next 18-24 months.
Neither the Toronto Stock Exchange has neither reviewed nor
accepts responsibility for the adequacy or accuracy of this news
release.
FOR FURTHER INFORMATION PLEASE CONTACT:
NIGHTHAWK GOLD CORP.
Tel: 1-647-794-4313; Email: info@nighthawkgold.com
Website: www.nighthawkgold.com
|
Dr. Michael
Byron
President & CEO
Tel: 1-647-794-4359 |
Michael
Leskovec
CFO
Tel: 1-647-794-4360 |
Suzette N
Ramcharan
VP, Corporate Development
Tel: 1-647-794-4362
|
|
Cautionary Note Regarding Estimates of
Resources
Readers are cautioned that mineral
resources are not economic mineral reserves and that the economic
viability of resources that are not mineral reserves has not been
demonstrated. The estimate of mineral resources may be materially
affected by geology, environmental, permitting, legal, title,
socio-political, marketing or other relevant issues. The mineral
resource estimate is classified in accordance with the Canadian
Institute of Mining, Metallurgy and Petroleum’s “2014 CIM
Definition Standards on Mineral Resources and Mineral Reserves”
incorporated by reference into NI 43-101. Under Canadian rules,
estimates of inferred mineral resources may not form the basis of
feasibility or pre-feasibility studies or economic studies except
for Preliminary Economic Assessment as defined under NI 43-101.
Readers are cautioned not to assume that further work on the stated
resources will lead to mineral reserves that can be mined
economically.
An Inferred Mineral Resource as defined by the CIM
Standing Committee is “that part of a Mineral Resource for which
quantity and grade or quality are estimated on the basis of limited
geological evidence and sampling. Geological evidence is sufficient
to imply but not verify geological and grade or quality continuity.
An Inferred Mineral Resource has a lower level of confidence than
that applying to an Indicated Mineral Resource and must not be
converted to a Mineral Reserve. It is reasonably expected that the
majority of Inferred Mineral Resources could be upgraded to
Indicated Mineral Resources with continued exploration.”
Forward-Looking
Information
This news release contains "forward-looking information" within the
meaning of applicable Canadian securities legislation.
Forward-looking information includes, but is not limited to,
information with respect to the Company’s 2018 drill program
including anticipated metres of drilling and budget, and the timing
and results thereof; an anticipated resource estimate on the Damoti
Lake Gold Deposit, and the timing and results thereof; updated
resource estimate for the Colomac Gold Project, the anticipation of
adding tonnes and ounces, and the possibility of upgrading inferred
ounces to indicated ounces; and any potential development and
production assumptions at Colomac. Generally, forward-looking
information can be identified by the use of forward-looking
terminology such as "plans", "expects", or "does not expect", "is
expected", "budget", "scheduled", "estimates", "forecasts",
"intends", "anticipates", or "does not anticipate", or "believes"
or variations of such words and phrases or state that certain
actions, events or results "may", "could", "would", "might", or
"will be taken", "occur", or "be achieved".
Forward-looking information is based on the opinions and estimates
of management at the date the information is made, and is based on
a number of assumptions and is subject to known and unknown risks,
uncertainties and other factors that may cause the actual results,
level of activity, performance or achievements of Nighthawk to be
materially different from those expressed or implied by such
forward-looking information, including risks associated with the
exploration, development and mining such as economic factors as
they effect exploration, future commodity prices, changes in
foreign exchange and interest rates, actual results of current
exploration activities, government regulation, political or
economic developments, environmental risks, permitting timelines,
capital expenditures, operating or technical difficulties in
connection with development activities, employee relations, the
speculative nature of gold exploration and development, including
the risks of diminishing quantities of grades of reserves, contests
over title to properties, and changes in project parameters as
plans continue to be refined as well as those risk factors
discussed in Nighthawk’s annual information form for the year ended
December 31, 2016, available on www.sedar.com. Although
Nighthawk has attempted to identify important factors that could
cause actual results to differ materially from those contained in
forward-looking information, there may be other factors that cause
results not to be as anticipated, estimated or intended. There can
be no assurance that such information will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such information. Accordingly, readers should not
place undue reliance on forward-looking information. Nighthawk does
not undertake to update any forward-looking information, except in
accordance with applicable securities laws.
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