01:34:39 EDT Fri 29 Mar 2024
Enter Symbol
or Name
USA
CA



Pelangio Exploration Inc
Symbol PX
Shares Issued 273,118,329
Close 2018-04-12 C$ 0.045
Market Cap C$ 12,290,325
Recent Sedar Documents

Pelangio retains 100% ownership of Birch Lake

2018-04-12 12:28 ET - News Release

Ms. Ingrid Hibbard reports

BIRCH LAKE PROPERTY RETURNED TO PELANGIO AND PELANGIO ACQUIRES NET SMELTER ROYALTY ON ADJOINING PROPERTY

Pacton Gold Inc. has terminated the option agreement on the Birch Lake property, and Pelangio Exploration Inc. will retain its 100-per-cent interest in this property. Pelangio also announces it has acquired a net smelter royalty from 2522962 Ontario Inc. on approximately 1,856 hectares adjoining Pelangio's Birch Lake property.

Pacton (previously Noka Resources Inc.) terminated the agreement dated March 10, 2017, without earning any interest in the property after making the first-year option payment of $75,000 and issuing 900,000 common shares to Pelangio, but without completing any exploration expenditures.

Also, Pelangio has acquired a 1.5-per-cent net smelter royalty in 10 claims (approximately 1,856 hectares) adjoining its 100-per-cent-owned Birch Lake property pursuant to an agreement between 5SD Capital and Pelangio dated April 10, 2018, whereby Pelangio agreed to transfer $564,000 of assessment work credits to 5SD to enable the adjoining claims to be held for an additional 10 years. Pelangio will retain sufficient assessment work credits to maintain the Birch Lake property for over 10 years. 5SD has the right to purchase one-third of this royalty (0.5 per cent) at any time for $1-million.

Ingrid Hibbard, president and chief executive officer of Pelangio, states: "Pelangio is focused on realizing value from our Canadian properties as we did with the option of the Birch Lake property. With the return of the property we are pleased to find innovative ways to add value to Pelangio through the acquisition of a NSR royalty interest in 5SD's property which adjoins both Pelangio's Birch Lake property and First Mining's Springpole gold project and through future collaboration with 5SD on the combined properties."

Birch Lake property, Red Lake district

Pelangio's Birch Lake property is located within the Birch-Uchi greenstone belt, approximately 120 kilometres northeast of the town of Red Lake, Ont. Within an eight-kilometre radius of the Birch Lake property, there is a large gold resource (Springpole deposit) and a past producer (Argosy mine) which produced 101,875 ounces of gold at an average grade of 0.37 ounce per ton. Over the last decade, significant exploration was conducted in this area by Gold Canyon Resources Inc. on the Springpole deposit, located approximately five kilometres southwest of Pelangio's Birch Lake property. The Springpole deposit is a bulk tonnage mineralized system with an indicated resource of 128.2 million tonnes at a grade of 1.07 grams per tonne gold and 5.7 g/t silver or a contained metal content of 4.41 million ounces of gold and 23.8 million ounces of silver.

Dome Exploration (Canada) Ltd. and Trade Winds Ventures Inc. completed the majority of the exploration work conducted on the Birch Lake property to date. Initial exploration work by Placer Dome consisted of mapping, geophysical and geochemical surveys along with diamond drill follow-up, resulting in the discovery of the 70-metre-wide, steeply dipping deformation corridor that yielded isolated high-grade gold intersections. Subsequently named the high-grade Island deformation zone, high-grade gold mineralization within this corridor is hosted by quartz-tourmaline-pyrite-arsenopyrite veins in the Main Central zone. Secondary gold mineralization associated with a folded banded iron formation (West zone) that is proximal to the deformation zone, has also been recorded.

Subsequent to Placer Dome's exploration, Trade Winds conducted two diamond drill programs to evaluate the Main Central zone between 200 metres and 400 metres below surface.

Select historical intercepts obtained by Placer Dome and Trade Winds on the Birch Lake property's Main Central zone are shown in the following table.

           HIGHLIGHTS OF HISTORICAL DRILLING INTERCEPTS FOR THE
                MAIN CENTRAL ZONE, BIRCH LAKE PROPERTY*
   
Hole No.                                   From       To   Metres (10)   Gold g/t
Placer Dome (1),(3),(6) DDH 53           136.60   138.50          1.90      63.94
Placer Dome (1),(3),(6) DDH 78           174.45   176.45          2.00     105.30
Placer Dome (1),(4),(7) DDH 90           208.00   210.00          2.00      52.08

Trade Winds (2),(5),(8),(9) DDH 96       239.15   249.00          9.85      34.54
Including                                239.15   242.10          2.95     113.94
Trade Winds (2),(5),(8),(9) DDH 97       357.85   360.30          2.45     244.73
Trade Winds (2),(5),(8),(9) DDH 98       206.00   209.40          3.40       6.15
Trade Winds (2),(5),(8),(9) DDH 100      285.00   288.00          3.00       6.69

*Reference from geological reports by:
(1) M. Ball, PhD, PGeo, Mosquito Consolidated Gold Mines Ltd., December, 2002.   
(2) R. Wells, PGeo, Trade Winds Ventures Inc., National Instrument 43-101,
February, 2005.  
(3) Data from detailed diamond drill sampling logs and records, received from Placer
Dome, assay certificates unavailable.
(4) Data from detailed diamond drill logs and sampling records, performed by Placer
Dome, assay certificates from Chemex Labs, Vancouver, fire assay gravimetric finish.
(5) Data from diamond drill sampling logs and records, Trade Winds Ventures, fire
assaying performed by Eco tech Laboratory Inc., Kamloops, B.C., assay certificates
available, diamond drilling program 2004 to 2006 supervised by Lorne Warner, PGeo,
NQ core was split, sample lengths varied from 0.6 metre to 1.05 metres.
(6) Data from Placer Dome drill holes DDH 53 and DDH 78 are historical results and
cannot be verified with assay sheets, it is unknown what type of quality control
programs were performed.
(7) Data from Placer Dome drilling have been verified with assay certificates for
DDH 96, duplicate assays were performed, but the quality control program is unknown.
(8) Data from Trade Winds have been verified with assay certificates, and a comprehensive
program of blanks, duplicates and standard were inserted to the sample stream during
program. The program was supervised by Lorne Warner, PGeo, and meets modern industry
practice. Sample lengths varied from 0.6 m to 1.05 m.
(9) All Trade Winds drill core was located by Pelangio geologists, during a data 
verification program in 2008, core was photographed, catalogued and cross-piled. In
addition, all Trade Winds collars were field located as well as a significant number 
of the older Placer Dome holes and the collar locations were found to be within five 
metres of maps supplied by Trade Winds and Placer Dome. The verification program was
carried out under the supervision of Warren Bates, PGeo (APGO No. 0211).
(10) All intervals are core lengths, and estimates of true widths would be 60 per cent
to 80 per cent of core lengths.

The Main Central zone has been diamond drill tested along 350 metres of strike length with two mineralized shoots identified. Gaps in drill testing remain.

The bulk of the drilling to date has been completed above 200 metres. However, the Trade Winds' DDH 97 hole (intercept) demonstrated that high-grade potential exists at depth. It is recommended that a program of deeper drilling and infill drilling between the known shoots be completed to fully evaluate the potential of the Main Central zone.

Geological mapping, drilling results and geophysical surveying suggest that the high-grade Island deformation zone and structure extends across high-grade Island for 1,800 metres. Further, induced polarization surveying suggests the deformation zone extends beyond the island for another 1,800 metres southeast. Approximately 3,250 metres of projected deformation zone remains to be evaluated (reference: Trade Winds NI 43-101, February, 2005, and Mosquito Consolidated Gold Mines Ltd., December, 2002).

Qualified person

Warren Bates, PGeo, is a qualified person as defined by NI 43-101 and has reviewed and approved the technical contents of this press release.

About Pelangio Exploration Inc.

Pelangio successfully acquires and explores camp-sized land packages in world-class gold belts. The company primarily operates in Ghana, West Africa, an English-speaking, common law jurisdiction that is consistently ranked amongst the most favourable mining jurisdictions in Africa. The company is exploring three 100-per-cent-owned camp-sized properties: the 100-square-kilometre Manfo property, the site of seven recent near-surface gold discoveries, the 264-square-kilometre Obuasi property, located four km on strike and adjacent to AngloGold Ashanti's prolific high-grade Obuasi mine and the early-stage 86-square-kilometre Akroma property, which includes the Dormaa concession.

We seek Safe Harbor.

© 2024 Canjex Publishing Ltd. All rights reserved.