17:44:41 EDT Tue 19 Oct 2021
Enter Symbol
or Name
USA
CA



Login ID:
Password:
Save
Goldsource Mines Inc (2)
Symbol GXS
Shares Issued 52,289,680
Close 2021-10-06 C$ 0.83
Recent Sedar Documents

Goldsource drills 24 m of 3.97 g/t Au at Eagle Mountain

2021-10-07 07:24 ET - News Release

Mr. Steve Parsons reports

GOLDSOURCE ANNOUNCES ADDITIONAL DRILL RESULTS AT EAGLE MOUNTAIN INCLUDING 24.0 METRES (ETW) GRADING 3.87 GPT GOLD; INFILL PROGRAM SUBSTANTIALLY COMPLETE, RESOURCE UPDATE ON TRACK

Goldsource Mines Inc. has released additional infill and expansion drill results for the company's 100-per-cent-owned Eagle Mountain gold project in Guyana, South America. Newly reported results are for 55 core holes totalling 7,886 metres from the Friendly, Bacchus, Bottle Bank, No. 1 Hill and Baboon areas of the Eagle Mountain deposit, which is defined by a series of subhorizontal mineralized zones that are laterally extensive and start at surface.

The company's focus through the first nine months of 2021 was to complete infill and expansion drilling of the Eagle Mountain deposit in preparation for an updated mineral resource estimate (MRE). This drilling was designed to upgrade a significant portion of current near-surface inferred mineral resources to the indicated category through infill drilling and to test for lateral and depth extensions through expansion drilling. The results reported in this release constitute most of the remaining infill and expansion holes planned for the 2021 program.

Since Nov. 6, 2020, the cut-off date for the February, 2021, MRE, the company has completed 17,449 metres of infill and expansion drilling in 155 core holes (average depth of 113 metres) at the Eagle Mountain deposit and remains on track for an updated MRE later in 2021. The February MRE is contained in a report titled, "Eagle Mountain Gold Project, Potaro -- Siparuni Region Guyana, NI 43-101 Technical Report," dated April 7, 2021, with an effective date of Feb. 17, 2021.

With the infill and expansion drilling of the Eagle Mountain deposit substantially complete, the company has reinitiated exploration activities, drill testing known geophysical targets and following up on prospects along the north-south Salbora-Powis structural trend. This 5,000-metre exploration program was detailed in the company's Aug. 12, 2021, news release. Drill results for these activities will follow in a separate release when analytical results have been received and evaluated.

Highlights (Eagle Mountain deposit)

Friendly-Bacchus and Bottle Bank areas:

  • Results for 36 core holes totalling 5,379 metres;
  • Expansion drilling in the gap between the Friendly and Bacchus areas, a distance of approximately 225 metres, has intersected mineralization in several structures that are outside of the February, 2021, MRE outline. Expansion hole EME21-129 intersected 27.0 metres (estimated true width (ETW) of 24.0 metres) grading 3.87 grams per tonne gold starting 51 metres down the hole;
  • Infill drilling in the central area of Bottle Bank within the inferred mineral resource outline has confirmed elevated gold grade-thicknesses at surface and at depth:
    • EME21-115 intersected 9.0 metres (ETW of 7.7 metres) grading 1.66 g/t gold;
    • EME21-116 intersected 4.5 metres (ETW of 4.4 metres) grading 4.22 g/t gold;
    • EME21-127 intersected 8.5 metres (ETW of 7.4 metres) grading 1.10 g/t gold;
    • All intervals are in saprolite and at or near surface.

No. 1 Hill and Baboon areas:

  • Results for 19 core holes totalling 2,507 metres;
  • Expansion drilling targeted lateral and depth extensions of the mineralized zones in the No. 1 Hill and Baboon areas;
  • Expansion hole EMD21-154 in No. 1 Hill area intersected a high-grade interval of 1.5 metres (ETW of 1.4 metres) grading 32.72 g/t gold starting 43.5 metres down the hole, approximately 35.0 metres below surface mineralization reflected in the February, 2021, MRE;
  • Consistent with previous drilling in Baboon, mineralization is hosted in more discrete horizons that are generally thinner than the main mineralized zones in the Ounce Hill, Bottle Bank, Zion and Kilroy areas of Eagle Mountain. Positive, however, expansion drilling has confirmed that the mineralized zones of Baboon extend approximately 250 metres southeast of the 2021 MRE outline, with several thicker intervals at depth, highlighted by EMM-044A, which intersected 18.0 metres (ETW of 15.6 metres) grading 1.46 g/t starting 69.5 metres down the hole in zone 4.

Steve Parsons, PEng, chief executive officer of Goldsource, commented: "Our exploration activities through much of 2021 have focused on confirming and extending the shallow mineralized horizons of the Eagle Mountain deposit, initially focusing on the thicker zones of mineralization in the core areas, such as Ounce Hill, Bottle Bank, Zion and Kilroy, and more recently moving to the flanks of the deposit to test for lateral extensions to the north, southwest and at depth in the Bacchus and Baboon/No. 1 Hill areas, respectively. In all, with drilling through October, including some follow-up at the Salbora deposit, we expect to be well positioned to deliver on another key objective, that is, to upgrade a significant portion of inferred resources to the indicated category. This updated indicated resource will then be used as the basis for a prefeasibility study (PFS) focusing on establishing a shallow, low strip open-pittable mineral reserve. Confirming the economic potential of Eagle Mountain by way of a PFS is a critical step for the company.

"Drilling will continue, however, as the property is still relatively underexplored, both along the Salbora-Powis trend and on the eastern side of the prospecting licence. The Salbora-Powis trend is currently the subject of a 5,000-metre program, which kicked off in September and will continue into early December. We look forward to sharing these results as assays become available."

The associated table shows the most significant results (uncut, undiluted).

  FRIENDLY/BACCHUS/BOTTLE BANK EXPANSION AND INFILL INTERCEPTS (EAGLE MOUNTAIN DEPOSIT)

Hole ID                  From              To       Drilled interval (3)          Au (4)
(1) (2)                   (m)             (m)                        (m)           (g/t)

EMD21-172                 0.0             1.5                        1.5            0.46
                         10.5            13.5                        3.0            0.91
                        132.0           135.0                        3.0            1.00
EMD21-173                27.0            28.5                        1.5            0.55
                         46.5            51.0                        4.5            0.94
                         72.0            73.5                        1.5            0.84
                         99.0           100.5                        1.5            5.68
EMD21-174                10.5            13.5                        3.0            0.98
                         22.5            24.0                        1.5            0.56
                         79.5            81.0                        1.5            0.50
                         99.0           100.5                        1.5            1.17
                        109.5           112.5                        3.0            0.51
                        196.5           198.0                        1.5            0.56
EMD21-175                 9.0            16.5                        7.5            1.70
EMD21-176                12.0            19.5                        7.5            0.70
                        106.5           108.0                        1.5            1.29
EMD21-177                 6.0            15.0                        9.0            0.68
EME21-104                 5.5             7.0                        1.5            0.76
                         53.5            55.0                        1.5            0.60
                         87.0            93.0                        6.0            1.09
                        124.5           126.0                        1.5            0.52
                        151.5           153.0                        1.5            2.72
                        156.0           165.0                        9.0            1.06
EME21-115                 7.0            16.0                        9.0            1.66
                         19.0            20.5                        1.5            0.61
                         28.0            29.5                        1.5            1.01
EME21-116                 8.5            13.0                        4.5            4.22
EME21-117                 5.5            10.0                        4.5            0.62
EME21-118                 8.5            14.5                        6.0            0.52
EME21-119                 0.0             1.0                        1.0            0.94
                         65.0            68.0                        3.0            0.73
EME21-120                 0.0             1.0                        1.0            0.57
                          7.0             8.5                        1.5            0.51
                         22.0            25.0                        3.0            0.63
                        159.0           163.5                        4.5            0.63
                        166.5           168.0                        1.5            0.54
EME21-121                 0.0             2.5                        2.5            0.43
                         76.5            78.0                        1.5            0.84
EME21-122                40.0            41.5                        1.5            1.22
                         42.0            43.5                        1.5            0.46
                        124.5           129.0                        4.5            0.75
                        148.5           150.0                        1.5            0.55
EME21-123                31.0            35.5                        4.5            0.67
                         51.0            52.5                        1.5            0.59
                         55.5            57.0                        1.5            0.56
EME21-124                 0.0             2.5                        2.5            0.73
                         16.0            23.5                        7.5            1.05
EME21-125                 0.0             8.5                        8.5            0.41
                         14.5            20.5                        6.0            3.75
EME21-126                 0.0             4.0                        4.0            0.99
                          7.0            16.0                        9.0            0.52
EME21-127                 0.0             8.5                        8.5            1.10
                         64.5            66.0                        1.5            0.94
                         85.5            90.0                        4.5            1.86
                        153.0           162.0                        9.0            0.44
                        178.5           180.0                        1.5            1.14
                        190.5           192.0                        1.5            7.35
EME21-128                17.5            19.0                        1.5            0.82
                         87.0            88.5                        1.5            0.70
                        105.0           112.5                        7.5            1.41
                        126.0           127.5                        1.5            0.70
EME21-129                51.0            78.0                       27.0            3.87
                         85.5            87.0                        1.5            1.22
                        117.0           118.5                        1.5            0.76
                        147.0           148.5                        1.5            0.54
                        150.0           151.5                        1.5            1.03
EME21-130                61.5            63.0                        1.5            2.26
                         90.0            96.0                        6.0            0.87
                        135.0           139.5                        4.5            1.04
EME21-135                29.5            38.5                        9.0            0.50
EME21-136                25.0            29.5                        4.5            0.40
                         50.5            52.0                        1.5            1.29
                        123.0           124.5                        1.5            0.69
EME21-137                10.0            11.5                        1.5            0.37
EME21-138                13.0            14.5                        1.5            0.58
                         51.0            54.0                        3.0            1.80
                        108.0           112.5                        4.5            1.02
                        243.0           253.5                       10.5            1.51
EME21-139                 0.0             1.0                        1.0            0.42
                         72.0            73.5                        1.5            0.67
                        147.0           148.5                        1.5            0.56
EME21-140                 1.0             2.5                        1.5            0.81
                         75.0            76.5                        1.5            1.31
                        126.0           130.5                        4.5            1.26
                        184.5           187.5                        3.0            7.00
incl.                   186.0           187.5                        1.5           13.38

Notes 
All numbers are rounded.
(1) EMD defines core holes completed by in-house drill rig.
(2) EME defines core holes completed by contractor drill rig.
(3) True widths are estimated to be 70 to 100 per cent of drilled widths.
(4) Saprolite and hardrock cut-off grades of 0.3 and 0.5 g/t gold, respectively.

      NO. 1 HILL/BABOON EXPANSION AND INFILL INTERCEPTS (EAGLE MOUNTAIN DEPOSIT)

Hole ID                  From             To         Drilled interval (4)         Au (5)
(1) (2) (3)               (m)            (m)                          (m)          (g/t)

EMD21-154                43.5           45.0                          1.5          32.72
EMD21-155                66.0           67.5                          1.5           0.86
                         73.5           76.5                          3.0           6.22
EMD21-157                 4.5            6.0                          1.5           1.33
                         25.5           27.0                          1.5           4.33
EMD21-158                22.5           24.0                          1.5           0.69
                        187.5          190.5                          3.0           5.29
EMD21-159               105.0          106.5                          1.5           0.68
EMM21-044                49.5           69.0                         19.5           0.81
EMM21-44A                69.0           87.0                         18.0           1.46
EMM21-045                64.5           66.0                          1.5           0.63
                         75.0           76.5                          1.5           0.62
                         90.0           91.5                          1.5           0.55
                         93.0           94.5                          1.5           0.62
EMM21-046               141.5          143.0                          1.5           1.19
EMM21-047                75.0           93.0                         18.0           0.98
                        133.5          135.0                          1.5           1.44
EMM21-048                 9.0           12.0                          3.0           0.50
                         16.5           18.0                          1.5           0.54
                         94.5           99.0                          4.5           1.63
EMM21-049                25.5           28.5                          3.0           0.41
                        147.0          150.0                          3.0           2.40
EMM21-050               117.0          121.5                          4.5           1.16
EMM21-051                28.5           31.5                          3.0           0.85
                        115.5          126.0                         10.5           0.95
                        130.5          132.0                          1.5           0.56
                        147.0          148.5                          1.5           1.27
EMM21-052                27.0           28.5                          1.5           0.56
                        139.5          144.0                          4.5           0.82
EMM21-053                 3.0            4.5                          1.5           2.47
                         22.5           24.0                          1.5           0.57
EME21-099                 0.0            2.5                          2.5           1.18
                        126.0          127.5                          1.5           9.11

Notes 
All numbers are rounded.
(1) EMD defines core holes completed by in-house drill rig.
(2) EMM defines core holes completed by contractor drill rig.
(3) EME defines core holes completed by contractor drill rig.
(4) True widths are estimated to be 70 to 100 per cent of drilled widths.
(5) Saprolite and hardrock cut-off grades of 0.3 and 0.5 g/t gold, respectively.
(6) EMM21-004A is a redrill of EMM21-044 after EMM21-044 was abandoned at 69.0 m 
due to drilling issues, EMM21-044A started recovery at 69.0 m.

All sample preparation and geochemical analyses were completed by Actlabs Guyana Inc. in Georgetown, Guyana. Holes EMD21-153, EMD21-156, EMD21-171, EME21-101, EME21-102, EME21-103, EME21-131, EME21-132, EME21-133 and EME21-134, intersected mineralization below the company's cut-off grade of 0.3 g/t gold for saprolite and 0.5 g/t for fresh rock.

2021 drill program overview

The four primary objectives for the 2021 drill program are unchanged, as follows:

  1. Infill drilling to upgrade a significant portion of the mineralization currently classified as inferred to the measured and indicated categories. Reclassification to be used as the basis for a prefeasibility study, which is targeted to be delivered in 2022.
  2. Testing for new lateral extensions of the subhorizontal zones of the Eagle Mountain deposit, notably to the north, west and southwest currently outside of the Feb. 22, 2021, MRE outline.
  3. Follow-up exploration of several new target areas along the prospective Salbora-Powis trend, such as the Toucan, Powis, Ann and Montgomery prospects where the potential exists for Salbora-style mineralization.
  4. Using the above information, announce another MRE update later in 2021.

Bottle Bank-Bacchus-Friendly (Eagle Mountain deposit)

Drilling in this area has concentrated on infilling the projected near-surface saprolite-mineralized zones classified as inferred resources in the February, 2021, MRE. Drilling has confirmed the continuity of this area. Recent drilling to the north has also expanded the mineralized area 225 metres northward toward the already released expanded area of Bacchus. Combined, the Friendly-Bacchus gap has extended the mineralized footprint by an area approximately 225 by 350 metres.

No. 1 Hill-Baboon (Eagle Mountain deposit)

The Baboon area displays a deeper weathering profile than many places on the slopes of the Eagle Mountain deposit, with saprolite extending to 60 metres vertical depth from surface. The saprolite has several mineralized zones within it, with the upper zones being continuations of those from the Kilroy area, separated by the Elephant fault. The thicker and higher-grade intervals in the Baboon area, such as in EMM21-044/044A, occurs at the saprolite-fresh rock interface. This zone is interpreted to be the same mineralized structure which extends 400 to 500 metres to the northwest, expressing as surficial mineralization in the No. 1 Hill area, which sits at a lower elevation than Baboon.

The qualified person under National Instrument 43-101 -- Standards of Disclosure for Mineral Projects for this news release is N. Eric Fier, CPG, PEng, executive chairman for Goldsource, who has reviewed and approved its contents.

About Goldsource Mines Inc.

Goldsource Mines is a Canadian exploration company focused on the 100-per-cent-owned Eagle Mountain gold project in Guyana, South America. The company is led by an experienced management team, proven in making precious metals exploration discoveries and executing on phased project development in the Americas.

We seek Safe Harbor.

© 2021 Canjex Publishing Ltd. All rights reserved.