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GFG Resources Inc
Symbol GFG
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GFG Resources begins 3,000-metre drill program at Aljo

2025-09-08 17:23 ET - News Release

Mr. Brian Skanderbeg reports

GFG LAUNCHES 3,000-METRE PROGRAM AT ALJO; ADVANCES REGIONAL PIPELINE ACROSS GOLDARM AND PEN

GFG Resources Inc. has started a 3,000-metre diamond drill program at the Aljo gold project on the eastern side of GFG's Goldarm property in the Timmins gold district in Ontario. The program is designed to: (i) confirm grade continuity in the Main zone; (ii) extend multiple hangingwall (HW) zones; and (iii) aggressively expand the footwall (FW) corridor, including the new FW3 discovery. In parallel, GFG is advancing its regional work along a 10-kilometre stretch of the Pipestone deformation corridor at Goldarm through the second half of 2025 and Q1 2026 and advancing priority targets at the Pen gold project, with emphasis on Chabot and Muskego.

Program highlights:

  • 3,000-metre phase 2 program under way at Aljo targeting resource scale spacing in the Main zone and growth in the HW and FW corridors as the system remains open in all directions;
  • High-grade Main zone continuity: infill drilling around previously reported intercepts, including 23.08 grams per tonne gold over 7.6 metres (ALJ-24-012);
  • HW growth -- stepout holes from intercepts that include 13.94 g/t Au over 7.1 m (ALJ-24-012) and 6.62 g/t Au over 11.2 m (ALJ-24-020) to grow the system down plunge and along strike;
  • FW exploration around FW3 -- follow up with stepout holes along strike and downplunge, building on intercepts such as 7.26 g/t Au over 0.6 m (ALJ-24-019), and test up dip of the FW zones;
  • Regional pipeline advancing -- multimethod surface and sonic programs along approximately 10-kilometre stretch of the Pipestone deformation corridor in the Wilkie, Walker and Carr townships at Goldarm; target enhancement at Chabot following up on hole PEN-25-100 (4.06 g/t Au over 4.2 m) and on further target development and refinement at Muskego along the Destor-Porcupine fault and related structural corridors in the western portion of the Pen property.

Brian Skanderbeg, PGeo, president and chief executive officer, stated: "Aljo continues to check the boxes we look for in Timmins -- grade, continuity and room to grow. This program aims to convert and extend high-grade shoots in the Main and HW zones while testing the FW system, where FW3 opens a compelling new front. Coupled with larger stepouts and a broader push along the Pipestone deformation corridor, we see multiple catalysts lining up over the remainder of 2025 and well into 2026."

Aljo drill program -- objectives and design

Main Zone -- confirm and extend high-grade shoots

Infill drilling on 40-to-60-metre centres will be completed around intercepts such as 23.08 g/t Au over 7.6 m in ALJ-24-012 and within the areas tested by ALJ-23-004 and ALJ-24-018. This work is designed to confirm grade continuity, refine geometry and derisk the geologic model.

HW zones -- systematic stepouts

GFG will complete 30-to-50-metre stepouts from thick, high-grade panels, including 13.94 g/t Au over 7.1 m (ALJ-24-012) and 6.62 g/t Au over 11.2 m (ALJ-24-020). The program also includes larger, 100-to-200-metre stepouts east of the HW trend along an ultramafic-mafic flow-breccia contact, where sparse historic drilling indicates widespread gold, and will test outside the bounding diabase dikes to assess favourable variolitic and pillowed mafic units.

FW corridor (FW3) -- grow the system

Follow-up drilling will track FW3 along strike and down plunge and systematically push through the altered porphyry dike package to determine true widths and the overall footprint of mineralization. Priority stepouts target the undrilled gap between ALJ-24-019 (7.26 g/t Au over 0.6 m) and ALJ-23-004 (13.35 g/t Au over 3.6 m, including 32.94 g/t Au over 1.4 m), with the objective of defining additional gold lenses.

Goldarm regional program -- Pipestone fault corridor

Through H2 2025 and Q1 2026, GFG will execute surface geochemistry, geophysics, sonic base-of-till and top-of-bedrock drilling, and follow-up diamond drilling along an approximately 10-kilometre trend of the Pipestone deformation corridor in the Wilkie, Walker and Carr townships. The Pipestone corridor is a productive yet underexplored structural corridor due to limited outcrop. Recent district results (for example, 3.4 g/t Au over 69.6 m, 1.8 g/t Au over 91.0 m and 2.2 g/t Au over 52.2 m, reported by Onyx Gold Corp.) underscore the potential for large, high-grade systems. Concurrent Aljo area surface work near Aljo is focused on targeting the structural corridor and contacts that host Aljo and other Pipestone-proximal deposits to seed the next wave of drill targets later in 2025 and in Q1 2026.

Pen gold project -- Muskego and Chabot

At Muskego, integration of recent drilling, IP (induced polarization) and sonic data with new geochemical and petrographic work and the presence of a strongly altered porphyry intrusive suite along the Destor-Porcupine fault and related structural corridors highlights the prospectivity of the Muskego region. The updated model is feeding a ranked portfolio of drill-ready targets, keeping Muskego as a high priority in the pipeline.

At Chabot, fieldwork around the recent intercept of 4.06 g/t Au over 4.2 m from hole PEN-25-100 has outlined numerous historical trenches and pits returning high-grade grab samples up to 13 g/t Au. This work is expanding the footprint and constraining the orientation of mineralized structures, which will guide the next follow-up drill program.

Anders Carlson, PGeo, vice-president, exploration, added: "We're very pleased to resume drilling at the Aljo target, where we've significantly advanced our geological model in recent months. The stacked vein arrays associated with porphyry dikes and fertile volcanic stratigraphy along regional northeast corridors have led to widespread gold mineralization that we will continue to unlock value from with each successive drill hole. Our plan pairs infill along strong gram-metre panels with bold stepouts into fertile units. Meanwhile, ongoing surface work and data integration will fast-track target ranking along the Pipestone, balancing exploration efforts at Chabot and Muskego, providing excellent additional fronts for discovery."

Near-term catalysts:

  • Results from the current drill program at Aljo over the next two quarters;
  • Execute Pipestone-focused surface and sonic base-of-till and top-of-bedrock campaigns through H2 2025 and Q1 2026, advancing select anomalies to drilling in Q1 2026;
  • Finalization of drill plans at Chabot and Muskego as permitting and logistics are completed.

About GFG Resources Inc.

GFG is a North American precious metals exploration company focused on district-scale gold projects in Tier 1 mining jurisdictions. The company operates three gold projects, each hosting large and highly prospective gold properties within the prolific gold district of Timmins, Ont., Canada. The projects have similar geological settings that host most of the gold deposits found in the Timmins gold camp, which have produced over 70 million ounces of gold.

Sampling and quality control

All scientific and technical information contained in this press release has been prepared under the supervision of Anders Carlson, PGeo, vice-president, exploration, of GFG, a qualified person within the meaning of National Instrument 43-101.

Drill core samples are being analyzed for gold by Activation Laboratories Ltd. in Timmins, Ont. Gold analysis consists of the preparation of a 500-gram pulp and an assay of a 50-gram aliquot by lead collection fire assay with an atomic absorption spectrometry finish (Package 1A2-50). Samples assaying above five parts per million gold are routinely rerun using a gravimetric finish (Package 1A3-50). Selected samples are analyzed by metallic screen method (Package 1A4) using a 100 mesh in order to better determine the size of gold grains in the system. Selected samples are also undergoing multielement analysis for 59 other elements using a four-acid digestion and an ICP-MS finish (Package MA250) by Bureau Veritas Commodities Canada Ltd. in Vancouver, B.C. Quality control and quality assurance measures include the monitoring of results for inserted certified reference materials, coarse blanks and preparation duplicates of drill core.

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