Investor Webinar Thursday November 12 at 8:30AM EST
VANCOUVER, BC, Nov. 11, 2020 /CNW/ - KORE Mining Ltd.
(TSXV: KORE) (OTCQX: KOREF) ("KORE" or the "Company")
announces that drill hole FG-20-377 intercepted 31.3 meters of 3.2
g/t gold, including 14.3 meters of 6.4 g/t gold, starting at 369
meters downhole in the Lower Zone of the FG Gold Project
("Project" or "FG Gold") in the Cariboo Region of
British Columbia. This news release reports assays from drill
hole FG-20-377, part of the 15-hole, 5,746 meter summer drill
program at FG Gold with assays from 14 additional holes
pending.
Highlights
- Extends Lower Zone discovery 215 meters down-dip with:
-
- 31.3 meters of 3.2 g/t gold at 369 meters
downhole including:
-
- 14.3 meters of 6.4 g/t gold at 386 meters downhole
including
- 1.0 meters of 61.2 g/t gold at 387 meters downhole
- 5.8 meters of 4.2 g/t gold at 394 meters downhole
- Opens underground potential for FG Gold with 3.6 kilometers of
mineralized strike
- Assays pending for 14 additional holes over 1,780 meters of
lateral strike length
-
- 10 of 14 holes intersect the newly discovered Lower Zone
- 7 of 14 holes intersect quartz veins containing visible
gold
- Remains underexplored along a 20-kilometer trend,
providing many opportunities for resource expansion and new
discoveries on-strike and downdip
KORE CEO Scott Trebilcock
comments, "The large downdip step-out announced today in FG Gold's
Lower Zone, 31.3 meters of 3.2 g/t gold including 14.3 meters of
6.4 g/t gold, demonstrates FG Gold's underground potential.
The step-out extends the Lower Zone discovery to 300 meters downdip
from the historic drilling. With 3.6 kilometers of shallow
mineralized strike, all open at depth, this underground discovery
could have a profound impact of the size and grade of the
deposit. KORE has ten more holes intersecting this newly
discovered Lower Zone with assays pending in the weeks ahead."
Investor Webinar
KORE is hosting an investor webinar to discuss the results on
Thursday, November 12, 2020 at
8:30AM Eastern Time (5:30AM Pacific Time). Click HERE to
register for the webinar.
The cross-section in Figure 1 show the 215 meters
step-out from the June 10,
2020 Lower Zone discovery intercept of 3.9 g/t
over 10 meters at 237 meters, bringing the total downdip extent of
the Lower Zone to 300 meters. Assays are pending for 14 holes in
which 10 intersected the newly discovered Lower Zone, as shown in
the long section in Figure 2. The other four holes in the
program were drilled below historic drilling along strike from the
main zone, bringing the strike length tested by Kore to date since
the beginning of 2020 to ~1,800 meters. All hole locations
are shown in Figure 3 in plan map. Drilling continues
with 2,000 additional meters planned at FG Gold and Gold Creek
through mid-December.
The district scale of the FG Gold project is shown in Figure
4. The 20-kilometer district trend traces the mineralized
stratigraphy around the regional syncline. Shallow historic
drilling averaged only 93 meters deep, leaving the mineralization
open at depth and along almost the entire trend. Figure
5 is a regional cross-section that shows the host rock
potential at depth and connection to a potential porphyritic
intrusion.
Exploration Program Details
Fifteen large diameter (HQ) oriented core drill holes for a
total of 5,746 meters were completed from June to October 2020 as described in the news release
disseminated October 22nd,
2020. The drill program was designed to step-out up to 200
meters downdip and continue nearly 2 kilometer along strike. The
program is targeting the continuation of known gold-mineralized
[orogenic] quartz veins further down-dip and along strike within
prospective and un-tested regions of the targeted [phyllite]
host rock.
Assays from hole FG-20-377 are reported in this release
with all other hole assays pending. A plan map of the drill
collars and traces is included in Figure 3 including the
location of the cross section, Figure 1, and a long section,
Figure 2.
The full table of results are included below. Detailed core
logs and photos are available on KORE's website.
Due to coarse visible gold, metallic screening assays provide a
much more representative sample versus conventional fire
assays. Historical drilling and assays had limited and
sporadic metallic screen analyses which may have underestimated
historical gold grades. See below for more details on
metallic screens.
Detailed Discussion of Results
Structural analysis and re-interpretation of historical drilling
carried out prior to initiation of 2020 drilling by KORE
highlighted significant potential for expanding high grade gold
zones below the extents of historic drilling. 2020 drilling
was designed to test the hypothesis that high grade gold zones
correlating to plunge lines within both limb and hinge zones, and
are extendable both at depth and along strike. Gold-bearing
quartz vein swarms appear to be correlated with high-deformation
areas and hinge/limb areas of locally folded strata. The
orientation [azimuth] of the drilling was intended to delineate
potential continuous 'mineral-shoots' within the mineralized
zones.
A continuation of the shallowly drilled upper zone is
intersected in hole FG-20-377 with 0.71g/t gold from 130.36 to
143.17 meters. This intersection is ~150 meters down-dip from the
nearest intersection. The Lower Zone, discovered in hole FG-20-369,
appears to be a corridor of quartz-vein hosted gold mineralization
below and sub-parallel to the upper zone. While it does appear to
extend to surface, at this stage, grade appears to increase with
depth. Summer-Fall program drill holes FG-20-376 to FG-20-386 are
drilled across four complete cross sections over a strike of ~650
meters designed to cross both upper and lower zones to allow for
correlation both down-dip and along strike of both the upper and
lower zones. Holes FG-20-387 to FG-20-390 test for lateral and
down-dip mineralization in areas below sparse historic drilling.
KORE drilling in 2020 tests over 1780 meters of strike length below
the limits of historic drilling.
To date, the results from the 2020 drilling program are very
encouraging to KORE. Early results indicate that the Company is
finding further, high grade mineralized zones well outside of
historic drilling, providing greater confidence in the structural
interpretation and geologic model of the FG gold deposit.
Detailed Drill Hole Assays Tables for KORE Holes on Figure
1
Hole FG-20-369 (previously reported)
|
From
(meters)
|
To
(meters)
|
Width*
(meters)
|
Gold (g/t)
|
Zone
|
Intercept
|
29.0
|
240.0
|
211.0
|
0.9
|
Upper and
Lower
|
including
|
22.0
|
54.0
|
32.0
|
3.0
|
Upper
|
including
|
29.0
|
51.5
|
22.5
|
4.0
|
|
including
|
29.0
|
30.0
|
1.0
|
42.5
|
|
including
|
102.5
|
118.0
|
15.5
|
0.7
|
Upper
|
including
|
192.5
|
213.5
|
21.0
|
0.9
|
Lower
|
And
|
237.0
|
247.0
|
10.0
|
3.9
|
Lower
|
and
including
|
239.0
|
240.0
|
1.0
|
33.9
|
|
Hole FG-20-371 (previously reported)
|
From
(meters)
|
To
(meters)
|
Width*
(meters)
|
Gold (g/t)
|
Zone
|
Intercept
|
91.0
|
116.0
|
25.0
|
0.6
|
Upper
|
Hole FG-20-377
|
From
(meters)
|
To
(meters)
|
Width
(meters)
|
Gold (g/t)
|
Zone
|
Intercept*
|
130.36
|
143.17
|
12.81
|
0.71
|
Upper
|
Intercept**
|
369
|
400.35
|
31.35
|
3.22
|
Lower
|
Including
|
386
|
400.35
|
14.35
|
6.44
|
Lower
|
Including
|
387
|
388
|
1.0
|
61.2
|
Lower
|
Including
|
394
|
399.75
|
5.75
|
4.16
|
Lower
|
* KORE has not been
able to determine true width yet due to complexity of the vein
structures within the mineralized zones. KORE's current drill
program is designed to better understand the geometry and how the
mineralized zones are related. The orientation of individual
quartz veins within the mineralized zones are quite variable.
Reported widths are drill indicated core length and not true width,
for the reasons above. Average grades are calculated with
un-capped gold assays, as insufficient drilling has been completed
to determine capping levels for higher grade gold
intercepts
|
** Drilling data on
the Lower Zone is currently limited and the true thickness and
orientation of the zone is not firmly known. However, based on
current data, it is estimated that FG-20-377 intercept represents
~65%-75% of the true thickness of the zone
|
Hole FG-20-376
Assays are pending on hole FG-20-376 however, zones of increased
vein density occur where predicted. It is anticipated that these
zones correlate to the nearby mineralized zones from both holes
FG-20-369 and FG-20-377. Visible gold is observed at 238.75 meters
in one of these vein corridors.
Hole location data is included at the end of this release.
Details of Metallic Screen Assaying
Metallic screen assays are often used in exploration when coarse
or visible gold is present in the core as is the case at the FG
Gold Project. Traditionally, fire assays are undertaken on
30-50 grams of pulverised sample. The metallic screen fire assay
uses a larger sample (1 kilogram in KORE's case), with screening
(to -106 micron) to separate coarse gold particles from fine
material. After screening, two samples of the fine fraction
are analysed using the traditional fire assay method. The
fine fraction is expected to be reasonably homogenous. The
entire coarse fraction is assayed to determine the contribution of
the coarse gold. This method helps reduce the erratic assay
results often seen in the higher-grade zones found in "nuggety"
gold deposits such as the FG Gold Project. All assays are
performed at accredited independent commercial assay
labs.
Regional Geology
The FG Gold property straddles the boundary between the Omineca
and Intermontane tectonics belts of the Canadian Cordillera. The
eastward emplacement of the Intermontane Belt onto the Omineca Belt
along the Eureka Thrust Fault caused widespread regional
metamorphism and structural deformation of both Belts. The regional
scale, northwest trending, shallowly plunging, Eureka Syncline is
the dominant resulting structure in the project area. Rocks in the
core of the Eureka Syncline are comprised of basalt, augite
porphyry flows, tuffs and volcanic breccias metamorphosed to a low
grade; they are structurally emplaced onto metavolcanic and
sedimentary rocks of the Quesnel Terrane. The Quesnel Terrane is
recognized for its prevalence of copper, gold and molybdenum mines
and showings such as those at Highland Valley, Boss Mountain, QR
and Mount Polley.
Property Geology
The FG Gold property is centrally located over the Eureka
Syncline, strategically encompassing two limbs and the hinge zone
of a gold-bearing meta-sedimentary rock unit of the Quesnel
Terrane. The gold-bearing rock, a 'knotted' phyllite, is the host
rock for gold mineralization over the 3 kilometers strike length of
the Resource Area (see Figure 4). Surface mapping and
geophysical inversion of airborne electromagnetic (EM) data
suggests the knotted phyllite has a strike length of over 20
kilometers with potentially thickened regions occurring in the
Eureka Syncline hinge zone (Kusk Zone Target) (see Figure
4).
Gold mineralization occurs in and is associated with development
of quartz – Fe carbonate – muscovite – pyrite vein stockwork. The
stockwork is best developed in the knotted phyllite unit. Stockwork
zones locally concentrate in zones greater than 10 meters wide and
are dominantly stratabound. Fe-carbonate alteration and carbonate
porphyroblasts development within the knotted phyllite unit is
observed to extend well outside immediate areas of veining.
About the FG Gold Project
The FG Gold project consists of 35 claims, totaling 13,008
hectares, in the eastern Cariboo region of central British Columbia, approximately 100 kilometers
east of Williams Lake. The project
is at low elevation and accessible by forestry roads. FG Gold
hosts an orogenic gold deposit on the northeast limb of the Eureka
syncline. The southwest limb and hinge zone are
underexplored. The Project also hosts copper-gold porphyry
mineralization at the Nova Zone, discovered by KORE in 2018.
Figure 4 highlights the 20 kilometers trend of host rock
expression at surface.
The 20 kilometer trend is defined by gold in soils and
geophysics that traces the mineralized rock group around the
regional syncline. The Project has only been shallowly
drilled where the mineralized rock group comes to surface. Past
drilling averages only 93 meters deep into a steeply plunging
sedimentary host rock. Mineralization is open at depth and
along almost the entire trend. Figure 5 is a regional
cross-section that shows the host rock potential at depth and
potential connection to the Project's porphyritic intrusion.
FG Gold is part of KORE's 1,000 square kilometer South Cariboo
Gold District which hosts 110 kilometers of the Eureka thrust
structural trend ("Trend") that drives gold mineralization
in the District. The Trend is highly prospective for orogenic
gold deposits, some of largest in the world, and includes KORE's
Gold Creek Project. The Cariboo region is accessible with
local power, well developed road network and skilled local labour
from multiple current and past operating mines.
The previous drilling targeted stratigraphic controls on
mineralization and did not penetrate into the bulk of the host-rock
structure. Drilling was largely done with reverse circulation
("RC") drilling and narrow core to generate shallow
bulk-disseminated gold intercept models. Within the current
resource there appears to be mineralized corridors or chutes that
are open at depth in the host rock.
The current resource at the FG Gold project is as follows:
Classification
|
Size
(tonnes)
|
Grade
(g/t)
|
Au
(oz)
|
Au Cutoff
(g/t)
|
Measured
|
5,600,000
|
0.812
|
145,000
|
0.50
|
Indicated
|
9,570,000
|
0.755
|
231,000
|
0.50
|
Inferred
|
27,493,000
|
0.718
|
634,900
|
0.50
|
More information on the FG Gold Project and resource is
available in the "NI 43-101 Technical Report, Frasergold
Exploration Project, Cariboo Mining Division, BC" dated
July 20, 2015 by K.V. Campbell of
ERSi Earth Resource Surveys Inc. and G.H. Giroux of Giroux Consultants Ltd. technical
report filed under Kore's Profile on SEDAR at
www.sedar.com and on KORE's website at www.koremining.com.
About KORE
KORE is 100% owner of a portfolio of advanced gold exploration
and development assets in California and British Columbia. KORE is
supported by strategic investors Eric
Sprott; and insiders, together with the management and
Board, own approximately 64% of the basic shares
outstanding.
On behalf of KORE Mining Ltd
"Scott
Trebilcock"
Chief Executive Officer
(888) 407-5450
QA/QC and Qualified Person
Once the drill core was received from the drill site, individual
samples were determined, logged for geological attributes, sawn in
half, labelled, and bagged for assay submittal. The remaining drill
core was then stored at a secure site in Horsefly, BC. The
Company inserted quality control samples at regular intervals
within the sample stream which included blanks, preparation
duplicates, and standard reference materials with all sample
shipments intended to monitor laboratory performance. Sample
shipment was conducted under a chain of custody procedure.
Drill core samples were submitted to Bureau Veritas' analytical
facility in Vancouver, British
Columbia for preparation and analysis. Sample preparation
included drying and weighing the samples, crushing the entire
sample, and pulverizing 250 grams. Analysis for gold was by method
FA450: 50g fire assay fusion with atomic absorption (AAS) finish
with a lower limit of 0.005 ppm and upper limit of 10 ppm. Gold
assays greater than 10ppm are automatically analysed by method
FA550: 50g fire assay fusion with a gravimetric fusion. Metallic
screen techniques were employed to assay gold mineralized zones
thought to contain coarse gold. Approximately 1000 grams of coarse
reject material are pulverized and screened. Two splits of the fine
fraction are assayed, as well as all material that does not pass
through the screen (the coarse fraction). The final gold assay
reported is a weighted average of the coarse and fine
fractions.
Bureau Veritas is accredited to the ISO/IEC 17025 standard for
gold assays, and all analytical methods include quality control
materials at set frequencies with established data acceptance
criteria. Parameters for Bureau Veritas' internal and Kore's
external blind quality control samples were acceptable for the
analyses returned.
Technical information with respect to the Project contained in
this news release has been reviewed and approved by Michael J. Tucker, P.Geo, who is KORE's VP
Exploration and is a qualified person under National Instrument
43-101 responsible for the technical matters of this news
release.
Neither the TSX Venture Exchange 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.
Cautionary Statement Regarding Forward-Looking
Information
This news release contains forward-looking
statements relating to the future operations of the Company and
other statements that are not historical facts. Forward-looking
statements are often identified by terms such as "will", "may",
"should", "anticipate", "expects" and similar expressions. All
statements other than statements of historical fact, included in
this release, including, without limitation, statements regarding
the future plans and objectives of the Company are forward-looking
statements. Such forward-looking statements, and any
assumptions upon which they are based, are made in good faith and
reflect our current judgment regarding the direction of our
business. Management believes that these assumptions are
reasonable. Forward looking information involves known and unknown
risks, uncertainties and other factors which may cause the actual
results, performance or achievements of the Company to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking
information.
Such factors include, among others: risks related to
exploration and development activities at the Company's projects,
and factors relating to whether or not mineralization extraction
will be commercially viable; risks related to mining
operations and the hazards and risks normally encountered in the
exploration, development and production of minerals, such as
unusual and unexpected geological formations, rock falls, seismic
activity, flooding and other conditions involved in the extraction
and removal of materials; uncertainties regarding regulatory
matters, including obtaining permits and complying with laws and
regulations governing exploration, development, production, taxes,
labour standards, occupational health, waste disposal, toxic
substances, land use, environmental protection, site safety and
other matters, and the potential for existing laws and regulations
to be amended or more stringently implemented by the relevant
authorities; uncertainties regarding estimating mineral resources,
which estimates may require revision (either up or down) based on
actual production experience; risks relating to fluctuating metals
prices and the ability to operate the Company's projects at a
profit in the event of declining metals prices and the need to
reassess feasibility of a particular project that estimated
resources will be recovered or that they will be recovered at the
rates estimated; risks related to title to the Company's
properties, including the risk that the Company's title may be
challenged or impugned by third parties; the ability of the Company
to access necessary resources, including mining equipment and
crews, on a timely basis and at reasonable cost; competition within
the mining industry for the discovery and acquisition of properties
from other mining companies, many of which have greater financial,
technical and other resources than the Company, for, among other
things, the acquisition of mineral claims, leases and other mineral
interests as well as for the recruitment and retention of qualified
employees and other personnel; access to suitable infrastructure,
such as roads, energy and water supplies in the vicinity of the
Company's properties; and risks related to the stage of the
Company's development, including risks relating to limited
financial resources, limited availability of additional financing
and potential dilution to existing shareholders; reliance on its
management and key personnel; inability to obtain adequate or any
insurance; exposure to litigation or similar claims;
currently unprofitable operations; risks regarding the ability of
the Company and its management to manage growth; and potential
conflicts of interest.
In addition to the above summary, additional risks and
uncertainties are described in the "Risks" section of the Company's
management discussion and analysis for the year ended December 31, 2019 prepared as of April 27, 2020 available under the Company's
issuer profile on www.sedar.com.
Forward-looking statements contained herein are made as of
the date of this news release and the Company disclaims any
obligation to update any forward-looking statements, whether as a
result of new information, future events or results, except as may
be required by applicable securities laws. There can be no
assurance that forward-looking information will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking
information.
There is no certainty that all or any part of the mineral
resource will be converted into mineral reserve. It is uncertain if
further exploration will allow improving the classification of the
Indicated or Inferred mineral resource. Mineral resources are
not mineral reserves and do not have demonstrated economic
viability.
Cautionary Note Regarding Mineral Resource
Estimates: Information regarding mineral resource
estimates has been prepared in accordance with the requirements of
Canadian securities laws, which differ from the requirements of
United States Securities and Exchange Commission ("SEC") Industry
Guide 7. In October 2018, the SEC
approved final rules requiring comprehensive and detailed
disclosure requirements for issuers with material mining
operations. The provisions in Industry Guide 7 and Item 102 of
Regulation S-K, have been replaced with a new subpart 1300 of
Regulation S-K under the United States Securities Act and will
become mandatory for SEC registrants after January 1, 2021. The changes adopted are intended
to align the SEC's disclosure requirements more closely with global
standards as embodied by the Committee for Mineral Reserves
International Reporting Standards (CRIRSCO), including Canada's NI 43-101 and CIM Definition
Standards. Under the new SEC rules, SEC registrants will be
permitted to disclose "mineral resources" even though they reflect
a lower level of certainty than mineral reserves. Additionally,
under the New Rules, mineral resources must be classified as
"measured", "indicated", or "inferred", terms which are defined in
and required to be disclosed by NI 43-101 for Canadian issuers and
are not recognized under SEC Industry Guide 7. 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.
Accordingly, the mineral resource estimates and related information
may not be comparable to similar information made public by
United States companies subject to
the reporting and disclosure requirements under the United
States federal laws and the rules and regulations thereunder,
including SEC Industry Guide 7.
Drill Hole Locations
Location, azimuth, dip and lengths for drill holes in this news
release are listed in the following table:
HoleID
|
East
|
North
|
Elevation
|
Length
|
Azimuth
|
Dip
|
FG-20-369
|
665196
|
5797758
|
1525
|
250
|
231
|
-55
|
FG-20-371
|
665189
|
5797779
|
1525
|
181
|
228
|
-68
|
FG-20-376
|
665102
|
5797706
|
1567
|
361.5
|
225
|
-75
|
FG-20-377
|
665102
|
5797706
|
1567
|
439.5
|
225
|
-55
|
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SOURCE Kore Mining