ELKO, Nevada, March 6, 2019 /CNW/ -- U.S. Gold Corp. (NASDAQ:
USAU) today is pleased to announce results of its 2018 drilling
program and receipt of all the assay results from the 20 square
mile, Keystone project, in Nevada's Cortez Trend. This program was
comprised of fifteen widely-spaced, reverse circulation target
assessment holes, including two holes lost prematurely: Key 18-06rc
& 18-12rc, and one re-drill of a lost hole, occupying the same
site: Key18-10rc and 18-11rc. All holes were drilled into several
large target zones and generally served as first-pass target
assessment tests. The fifteen holes comprise a total of
25,310 feet (7,714 m). All of
the holes encountered moderate to thick intervals of anomalous gold
with moderate to locally very strong associated pathfinder metals.
Many of these also intersected significant gold assay intervals;
the results of which are provided in the results table (see link
below: Table 1: Summary of 2018 Keystone drill results).
Nine of the fifteen holes intersected lower-plate rock units;
five of these holes penetrated the permissive host Wenban
Formation. Eight holes encountered variably altered permissive
upper-plate Comus calcareous siltstone. Multiple target
horizons exist in the district and we are encountering, and having
to contend with, the daunting issue of very great combined
thickness of multiple favorable target horizons along with a broad,
multi-structure corridor. The total prospective host unit
thicknesses at Keystone are several thousand feet. These
favorable rock units are variably exposed at the surface and, or at
reasonably shallow drill hole depths in the district. Carlin-style
zones of alteration with containing gold and pathfinders are very
widespread and are present in all locations drilled to date.
Dave Mathewson, VP of
Exploration, states: "Drilling at Keystone continues to show us
that all of the right ingredients are present for big, Carlin-type, gold deposits. Seeing strong
anomalous gold in the latest drill holes only strengthens that
theory. Finding the right structure and feeder zones that
would host these styles of big deposits is now the focus of our
2019 program. During 2018 we completed detailed geological
mapping over the entire district, we conducted a considerable
amount of fill-in gravity to tighten up identification and
qualification of structures and alteration features, and we
infilled and added soils and rock assaying to assist in zeroing in
on new and existing target opportunities. In addition, with the
previously announced Master's Thesis information we are now able to
make important qualifications of the intrusive rocks and especially
those that we consider spatially and timing-wise important to
target opportunities."
"Only recently, specifically, September
2018, did we obtain the ability to conduct drilling anywhere
desirable on the property. We are now unrestrained and will be
able to design a drill program specific to target assessment with
multiple stage drill hole follow-ups as warranted. This is a
huge advantage to the future target evaluations that we previously
did not have."
Mathewson further states, "With all the new information in hand,
the exploration team is now in the process of, and in the position
to zero in on the many site-specific target opportunities that have
emerged from drilling that we have conducted to date, combined with
the recently obtained and assessed geophysical and geochemical
data. The key to ultimate success in the hunt for gold in
Nevada is to locate and qualify
the gold-bearing fluid conduits that have supplied the gold to the
gold-bearing mineral system, that is clearly in evidence within the
Keystone district. Once targets are identified and qualified,
drilling becomes a vectoring process of drilling holes into these
structural gold-bearing conduits and locating more specifically
where the conduits cross-cut permissive host rocks."
"The delay in our permitting caused a late start to our phase 2
drilling program. We started in November and had to demobilize
by the end of December due to the winter weather. Our phase 2
program had multiple targets identified and we were only able to
drill six holes, including Key18-10rc, which was lost and
re-drilled at the same site with Key18-11rc, and hole Key18-12rc,
which was lost above the target zone. These six drill holes
have given us important additional information to our overall
exploration efforts and ongoing target refinement. We believe
we are very close to making a major discovery. All of us at
U.S. Gold Corp. are anxiously awaiting the start of the 2019
drilling season. In addition to our previously designed
targets that we did not have the time to get to in 2018, these six
holes have provided important new information on which way we will
go in 2019. Our entire technical team is more excited than we
have ever been with the prospects at Keystone. We are
meticulously planning our 2019 exploration targets to site in on
where we now believe "X marks the spot" on the Keystone
map. We will inform our shareholders and followers in the
future about out 2019 Keystone exploration plans."
Highlights of the 2018 Keystone exploration program
are:
- The Keystone District is located along the southeast
extension of the Pipeline-Cortez District corridor as confirmed by
the presence of an early-Tertiary complex intrusive center,
widespread gold and pathfinder metal distribution, the presence of
permissive host rocks of both upper- and lower-plate Paleozoic
transitional carbonate rocks, the presence of a strong
north-northwest-trending gravity and magnetic linear, and the
spatially coincident Strontium 86/87 (.706) data generally
considered to be indicative of probable source of gold along a
major right-lateral north-northwest-trending suture within
Proterozoic and, or Archean oceanic crustal rocks below the
Paleozoic transitional host rock package.
- Multiple, Carlin-type gold
deposit target settings are present within the twenty square mile
area Keystone District, which is entirely controlled by U.S. Gold
Corp. These targets have been and are continuing to be
synthesized from large volumes of historic and newly acquired,
comprehensive exploration data, including CSAMT, aeromagnetics,
detailed gravity, detailed geologic mapping, and abundant new
surface geochemistry. And of course, each new drill
hole lends significantly toward new target synthetization and
direction.
- Prospective host rocks for gold mineralization at Keystone
include upper-plate Cambrian Comus Formation, comprised largely of
calcareous siltstones very similar to Comus host rocks in the
Getchell and Twin Creeks District to the northwest, and the
lower-plate Horse Canyon, Wenban, and upper Roberts Mountains
Formations of Devonian age, and the Silurian age Roberts Mountains
Formation. Detailed litho-stratigraphic analyses at Keystone show
that the Wenban is very similar, if not essentially identical, to
the primary host Wenban unit in the Pipeline-Cortez District.
The total prospective host unit thicknesses at Keystone comprise
several thousand feet. These favorable rock units are
variably exposed at the surface and, or at reasonably shallow drill
hole depths in the District. In addition, a recently completed
University of Nevada Master's thesis,
focused on the Keystone intrusive and extrusive rock units, has
demonstrated the presence of a very complex, early-Tertiary
intrusive/extrusive magmatic setting of very similar character and
ages to those in the Cortez District just to the north.
- 2018 drilling, comprising a total of fifteen holes, was
conducted in two phases, see attached map. Phase 1 provided
drill tests within several broad target areas - and was limited in
extent as a result of permitting constraints to this earlier point
in time under the 5 acres of disturbance notice of intent (NOI)
constraints. Phase 2 drilling began in early November immediately
upon Bureau of Land Management (BLM) approval of the district-wide
Environmental Assessment (EA) and Plan of Operations (POO).
- All fifteen holes were drilled by reverse circulation
methods and sampling was conducted under the supervision of the
Company's Project Geologist, Kenneth
Coleman, and generally assayed each five-foot interval split
using Bureau Veritas Mineral Laboratories pulp preparation facility
in Elko, NV. Resulting pulps were
shipped to Bureau Veritas certified laboratory in Sparks, NV, or Vancouver BC, and analyzed for gold using fire
assay fusion and atomic absorption spectroscopy (AAS) finish on a
30-gram pulp split. All other elements were determined by ICP
analyses. Data verification of the analytical results
included a statistical analysis of the standards and blanks that
must pass parameters of acceptance.
Edward Karr, President & CEO
states, "Our exploration efforts at Keystone continue to exceed our
expectations from the viewpoint of the intensity of alteration
within a massive thick zone of permissive host rocks akin to the
world class Cortez Hills project
near-by. 2019 is shaping up to be an exciting year for the
gold industry. Overall focus of the mining sector in Nevada has increased recently with the Barrick
Gold and Newmont Mining potential merger talks and the synergies of
combining their Nevada
operations. We are as encouraged as we have ever been with
the prospects at Keystone, our property location and the increasing
positive sentiment for the industry. Our entire technical team is
laser focused on advancing the project in 2019."
http://usgoldcorp.gold/keystone-drill-results-2018.pdf
Table 1: Summary of 2018 Keystone drill results
http://usgoldcorp.gold/keystone-drill-plan-map-2018.jpg
Map 1: Keystone drill plan map for 2018
About U.S. Gold Corp.
U.S. Gold Corp. is a publicly traded U.S. focused gold
exploration and development company. U.S. Gold Corp. has a
portfolio of development and exploration properties. Copper King is
located in Southeast Wyoming and
has a Preliminary Economic Assessment (PEA) technical report, done
by Mine Development Associates. Keystone is an exploration
property on the Cortez Trend in Nevada. For more information
about U.S. Gold Corp., please visit www.usgoldcorp.gold.
Forward looking and cautionary statements
Forward-looking statements in this press release and all other
statements that are not historical facts, are made under the safe
harbor provisions of the Private Securities Litigation Reform Act
of 1995. These statements involve factors, risks, and uncertainties
that may cause actual results in future periods to differ
materially from such statements, including statements related to
the results of the Keystone drill hole analysis, plans for multiple
stage drill hole follow-ups, expectations for a Carlin-type gold deposit and plans for further
exploration. There are a number of factors that could cause
actual events to differ materially from those indicated by such
forward-looking statements. These factors include, but are
not limited to, risks arising from: whether U.S. Gold Corp. will be
able to raise capital to implement future drilling programs; the
prevailing market conditions for metal prices; and the impact of
general economic industry or political conditions in the United States or globally.
A list and description of these and other risk factors can be
found in the Company's most recent Annual Report on Form 10-K,
Quarterly Reports on Form 10-Q, and Current Reports on Form
8-K filed with the Securities and Exchange Commission, which
can be reviewed at www.sec.gov. We make no representation or
warranty that the information contained herein is complete and
accurate and we have no duty to correct or update any information
contained herein.
For additional information, please contact:
U.S. Gold Corp. Investor Relations:
+1-800-557-4550
ir@usgoldcorp.gold
www.usgoldcorp.gold
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SOURCE U.S. Gold Corp.