Kerr Mines Inc. (TSX:
KER, OTC: KERMF, (“Kerr” or the
“Company”) is pleased to announce further drilling results
from its resource expansion program at the Copperstone Mine located
in Arizona, USA. Additional drilling results are pending and
will be released as they become available.
2019 Resource Expansion
Highlights:
- Drill hole 18-21-06, an exploration step-out hole returned an
interval of 16.8 meters at 40.0 g/t gold,
including 3 meters of 98.3 g/t gold further
indicating the zone is significantly of higher grade and thickness
than initially anticipated with a total effective mining width of
17.9 meters;
- Drill hole 18-21-04, an exploration step-out hole returned an
interval of 10.7 meters at 17.5 g/t gold,
including 6.1 meters of 29.5 g/t gold with a
total effective mining width of 12 meters;
- Continued to establish continuity between previously drilled
mineralized intercepts in the existing Inferred category while
extending mineralization along strike and dip;
- Drilling is being accomplished entirely from existing
underground access and will affect an area of 500 meters of strike
length and 200 meters of elevation, representing approximately 33
per cent of the current resource strike length. The program was
designed to increase confidence in the mineral reserve,
particularly the portion scheduled for the first three years of
production in the recently-completed Pre-Feasibility
Study;
- The objective of the underground resource expansion program is
to increase mine life by adding new Inferred resources and
converting new and existing Inferred resources into Measured and
Indicated resources. Updating the mine plan with the new
resources will be the final step towards extending mine life once
all drilling results have been received; and,
- Resource Expansion underground drilling program of up to 10,000
meters is currently focused on the D and C zones of the Copperstone
mine.
Giulio T. Bonifacio, Chief Executive Officer stated: “We
continue to be extremely pleased with the drilling results to date
which further expand our current resource while extending mine life
at the Copperstone mine. Our exploration step out holes
returned significant values and are indicating higher grade and
thickness than initially anticipated. We are looking forward to
receiving further drill results and currently planning for follow
up drilling for step-out holes 18-21-06 and 18-21-04.”
|
Hole ID |
From |
To |
Interval Length |
Gold* |
True Thickness** |
Effective Mining Width*** |
|
|
meter |
meter |
meter |
gram/tonne |
meter |
meter |
|
18-05E-01 |
12.2 |
19.8 |
7.6 |
3.27 |
7.4 |
13.0 |
|
includes |
15.2 |
19.8 |
4.6 |
4.15 |
4.5 |
7.8 |
|
18-05-06 |
38.1 |
41.1 |
3.0 |
7.20 |
2.2 |
3.8 |
|
18-05E-07 |
19.8 |
24.4 |
4.6 |
9.48 |
4.5 |
7.9 |
|
includes |
19.8 |
22.9 |
3.0 |
14.03 |
3.0 |
5.3 |
|
18-08-01 |
12.2 |
15.2 |
3.0 |
4.27 |
2.4 |
4.2 |
|
18-01A-04 |
38.1 |
41.1 |
3.0 |
8.04 |
1.9 |
3.4 |
|
includes |
39.6 |
41.1 |
1.5 |
15.20 |
1.0 |
1.7 |
|
18-21-04 |
64.0 |
74.7 |
10.7 |
17.49 |
5.1 |
12.0 |
|
includes |
67.1 |
73.2 |
6.1 |
29.45 |
2.9 |
6.9 |
|
18-21-06 |
57.9 |
74.7 |
16.8 |
40.00 |
7.6 |
17.9 |
|
includes |
64.0 |
67.1 |
3.0 |
98.26 |
1.4 |
3.2 |
|
and |
70.1 |
73.2 |
3.0 |
33.19 |
1.4 |
3.3 |
| * Grades
herein are reported as uncapped values. |
| **
Estimated distance between the foot wall and hanging wall of the
mineralized zone measured perpendicularly to the edges. |
| ***
Effective Mining Width is defined as the distance between the foot
wall and hanging wall of the mineralized zone measured horizontally
and matches the planned mining method. The mining method used
to calculate reserves will extract ore by drift mining along strike
in a defined ore stope. The Effective Mining Width is the
width that miners will be working within. |
18-05E-01: Azimuth 244,
inclination -65, total length 39.6 meters. This intercept is
in an existing Measured and Indicated resource zone and intercepted
thicker-than-expected mineralization on the edge of an existing
designed mining stope. It is expected to lead to an expansion of
reserves in the immediate area.
18-05-06: Azimuth 215,
inclination -15, total length 65.5 meters. This intercept is
in an existing Indicated resource zone and confirmed the
expected grade but at greater thickness than is
currently-modeled. The intercept is approximately 15.2 meters
up-dip of designed stopes in the same resource zone and is expected
to lead to an expansion of resources in the immediate area.
18-05E-07: Azimuth 244,
inclination -45, total length 30.6 meters. This drill hole
intercepted mineralization outside of an existing Inferred zone and
has the potential to support a new modeled domain. This is
supported by a nearby, historic drill hole. Historic hole
CS-373 returned 3.0 meters @ 4.21 g/t , 8.0 meters away in the
up-dip direction. This potential new domain outlined by these
intercepts appears to be open along strike for 30 meters or more
and warrants further step-out and definition drilling.
18-08-01: Azimuth 360,
inclination -90, total length 30.5 meters. This hole intercepted
existing Indicated resource in a currently defined resource zone
and in a gap between designed mining stope panels. It is
anticipated that this intercept will allow for continuity between
the panels.
18-01A-04: Azimuth 247,
inclination +72, total length 97.5 meters. This intercept is
30 meters beyond the edge of the existing Inferred resources and is
expected to extend the existing resource domain up-dip. This
intercept demonstrates the potential to further extend this domain
to the west of existing modeled resources.
18-21-04: Azimuth 006,
inclination -32, total length 94.5 meters. This hole returned
a robust exploration step-out of an Inferred resource zone.
Together with drill hole 18-21-06, this potentially extends
Inferred mineralization down-dip approximately 76 meters from the
edge of the previously-modeled resource zone. This resource
zone is potentially open for expansion another 61 meters
down-dip. Additional follow-up drilling is currently
planned.
18-21-06: Azimuth 350,
inclination -27, total length 82.3 meters. Similar to
adjacent drill hole 18-21-04 described above (15 meters away) ,
this hole returned a robust exploration step-out of an Inferred
resource zone and may serve to the extend the Inferred mineralized
zone 76 meters down-dip from the previously-modeled edge of
Inferred resource. This hole intercepted an area of high-grade
replacement mineralization in metasedimentary rocks which is
thicker and higher in grade than in adjacent holes, showing
potential for the discovery of additional high-grade replacement
bodies in this area. Additional follow-up drilling is currently
planned.
The Copperstone zone is the underground
extension of the same orebody that was historically mined as an
open pit. The pit mined nearly 150 vertical meters of the
Copperstone zone and produced in excess of 500,000 gold ounces
historically. The Copperstone orebody currently has a
horizontal strike length of over 1,500 meters and extends 110
meters beneath the historical open pit. Within this area
there are Measured and Indicated resources of 276,100 gold ounces
and Inferred resources of 145,700 gold ounces.
Future drilling programs, with the objective of
further mine life extension, will target areas beyond the current
2019 Phase II affected area of 500 meters of strike length. The
ultimate goal would be the addition of resources along all sections
encompassing the entire current resource strike length of over
1,500 meters.
The technical information in this news release
has been prepared in accordance with the Canadian regulatory
requirements set out in NI 43-101 and reviewed and approved by
Michael R. Smith, SME Registered Member (Geology), who is a
“Qualified Person” as defined by NI 43-101 for this project.
About Kerr Mines Inc. Kerr
Mines is an Emerging American Gold Producer currently advancing the
100% owned, fully permitted past-producing Copperstone Mine project
to production. Copperstone is a high-grade gold project located
along a detachment fault mineral belt in mining-friendly Arizona.
This gold project in Arizona demonstrates tremendous exploration
potential targeting multi-million ounce prospects within a 50
Square kilometers (12,259 acre) land package.
For further information please visit the Kerr
Mines website (www.kerrmines.com)
KERR MINES INC.
Giulio T. Bonifacio, Chief Executive
Officer & Director
Quality Assurance and Quality Control
Statement Procedures have been implemented to assure
Quality Assurance Quality Control (QAQC) of drill hole assaying
being done at ALS Global, which is ISO Accredited. All
intervals of drill holes are being assayed and samples are securely
stored for shipment to ALS, with chain of custody documentation
through delivery. Mineralized commercial reference standards
and coarse blank standards are inserted every 30th sample in
sequence and results are graphed to assure acceptable results,
resulting in high confidence of the drill hole assay results.
When laboratory assays are received, the QAQC results are
immediately evaluated and graphed to analyze dependability of the
drill hole assays. As the Copperstone Project advances,
additional QAQC measures will be implemented including selected
duplicate check assaying on pulps and coarse rejects at a second
accredited assay laboratory. All results will be analyzed for
consistency.
For further information
contact:Giulio Bonifacio Chief Executive Officer &
Directorgtbonifacio@kerrmines.com 604-318-6760
Cautionary Note Regarding Forward
Looking Statements This news release contains
forward-looking statements, including current expectations on the
timing of the commencement of production and the rate of
production, if commenced. These forward-looking statements entail
various risks and uncertainties that could cause actual results to
differ materially from those reflected in these forward-looking
statements. Such statements are based on current expectations, are
subject to a number of uncertainties and risks, and actual results
may differ materially from those contained in such statements.
These uncertainties and risks include, but are not limited to, the
strength of the Canadian economy; the price of gold; operational,
funding, and liquidity risks; the degree to which mineral
resource estimates are reflective of actual mineral resources; and
the degree to which factors which would make a mineral deposit
commercially viable are present; the risks and hazards associated
with underground operations. Risks and uncertainties about Kerr
Mines’ business are more fully discussed in the Company's
disclosure materials, including its annual information form and
MD&A, filed with the securities regulatory authorities in
Canada and available at www.sedar.com and readers are urged to read
these materials. Kerr Mines assumes no obligation to update any
forward-looking statement or to update the reasons why actual
results could differ from such statements unless required by
law. Neither TSX nor its Regulation Services Provider (as
that term is defined in the policies of the TSX) accepts
responsibility for the adequacy or accuracy of this release and no
stock exchange, securities commission or other regulatory authority
has approved or disapproved the information contained herein.