- Assay results from the upper two thirds of Hole 20AU001 intersected multiple zones of gold mineralization associated with elevated arsenic and bismuth concentrations in a robust hydrothermal system.
- The upper portion of hole 20AU002 contained zones of quartz - sulfide mineralized rock. This hole was suspended in progress at 194 meters depth (planned depth 600 meters) due to travel restriction concerns of the drill contractor relating to COVID-19 virus.
- The remainder of hole 20AU001 and 20AU002 have been logged, sampled and sent to the laboratory; assays are pending.
- A drilling program continuation is planned for late May 2020.
- The drilling plan includes completion of hole 20AU002, and four or five additional drill holes totaling approximately 2,400 meters with strict COVID-19 related safety protocols in place.
- An overall US$5 million exploration program is planned for 2020. Regional targets are to be advanced to create a pipeline of drill-ready targets.
VANCOUVER, British Columbia, April 27, 2020 (GLOBE NEWSWIRE) -- Millrock Resources Inc. (TSX-V: MRO, OTCQB: MLRKF) ("Millrock" or the “Company”) is pleased to provide an update on drilling at its 64North Gold project. Exploration work is being funded and managed by Resolution Minerals (“Resolution”) (RML.AX) in a collaborative arrangement with Millrock as the project operator. The 64North Gold Project is a very large tract of claims in Alaska’s emerging Goodpaster Gold District.
The target being drilled at the Aurora prospect is adjacent and immediately west of the Pogo Mine property, which is owned and operated by Northern Star Resources Ltd. (“Northern Star”). Northern Star has previously reported a gold resource of 5.95 million ounces of gold in a series of veins grading 9.6 grams per tonne gold (Source: Northern Star website). More than four million ounces of gold has already been mined at Pogo, and Northern Star has announced a new gold discovery called the Goodpaster deposit a short distance away from the mutual claim boundary. Millrock cautions that mineralization on the nearby Northern Star property is not necessarily indicative of gold mineralization hosted on the Company’s property.
Millrock President & CEO commented: “The core we drilled in the first hole of the program demonstrated a Pogo-like system with an abundance of alteration and sulfide mineralization indicating a robust hydrothermal system. Gold values are not strong, but the mineralization we have intersected appears to be similar in character to Northern Star’s Goodpaster gold deposit. located immediately to the northwest of our Aurora prospect. The resumption of drilling will continue the systematic exploration of the favorable geophysical and structural/stratigraphic targets that comprise the Aurora prospect area.”
Figure 01 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/22e3023e-9b4f-40fa-8c45-78270f5c0c30
Hole 20AU001 was collared at an azimuth of 145 degrees and a dip angle of -80 degrees. It was drilled to a depth of 462.4 meters. An interval from 119 to 137 meters of hole 20AU001 intersected multiple thin quartz sulfide veins containing elevated gold, arsenic, bismuth and tellurium enveloped by strong dolomite sericite alteration. This zone is similar to the mineralization reported from the Goodpaster deposit by Northern Star.
At 137 meters alteration transitioned to sericite dominant and then weakened at 181 meters. Dolomite-sericite alteration increased at 200 meters and continued to 246 meters with a quartz breccia arsenopyrite zone at 242 meters. From 260 meters to 312 meters the alteration is silica dominant, and at 276 meters to 278 meters there is zone with abundant fine grained arsenopyrite. Each of the zones is elevated strongly in arsenic, moderately in bismuth with weak but anomalous gold values. The lower part of the hole, which is yet to be assayed, also contain quartz veins with arsenopyrite.
The following table documents intervals exceeding 0.3 grams per tonne gold. It is not known with certainty whether these intersections represent true width. Further information from other drill holes is needed.
|HoleID||From (m)||To (m)||Int (m)||Au (ppm)||Ag (ppm)||As (ppm)||Bi (ppm)|
Intervals were calculated using a 0.3 gram per tonne gold cutoff with a maximum 0.4 meter internal dilution.
The following strip log illustrates the geology, alteration, gold intercepts and pathfinder element distribution.
Figure 02 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/0e3275f6-db4a-439c-a372-3fef8d06ffaf
The Aurora target is a two by five-kilometer-long zone of low-magnetic rocks adjacent to a late diorite intrusion. The setting is very similar to that observed at the Pogo Mine. Millrock postulates that the late diorite body intruded along a westerly extension of the Liese Creek fault, which is known to have played a key role in the genesis of the Pogo gold deposits. Highly anomalous gold-bismuth-arsenic in soil is documented. High-angle gold-bearing quartz veins have been intersected by prior drilling, however, the few holes drilled by earlier workers did not go deep enough to intersect the low-angle, regional shear zone that is known to host gold at Pogo and the Goodpaster Deposit. Millrock believes this structure exists at the Aurora target. Numerous zones of mafic rocks intercepted in drill hole 20AU001 fit with the exploration model. The low-angle, regional shear preferentially ruptured the mafic lithological layers. The Aurora target is located in this regional shear.
From a recent CSAMT survey, the depth to the shear zone is 150 meters on the east and 450 meters depth on the west end of the Aurora target. Hole 20AU001 has confirmed that the CSAMT conductive zone represents a series of shallow-dipping fault zones with quartz, quartz breccia, and sulfide minerals.
Figure 03 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/1d7eca46-f1eb-4cec-bdd8-ff30f920ccef
Resolution can earn up to a 60% interest in the 64North Gold Project through exploration expenditures of US$20 million, payment of US$200,000 cash and issuance of 38 million Resolution shares. The minimum commitment for 2020 is US$5.0 million. Other details of the agreement between Millrock and Resolution are documented in Millrock’s announcement made December 16, 2019.
Quality Control and Quality Assurance
Millrock adheres to stringent Quality Assurance – Quality Control (“QA/QC”) standards. Drill core samples are kept in a secure location at all times. For this program representative half-core samples underwent sample preparation at ALS Chemex prep laboratory in Fairbanks, Alaska USA. Samples were subsequently analyzed at ALS Chemex laboratories in Vancouver, Canada. Gold was analyzed by Fire Assay (specifically ALS code Au-AA25 - Au by fire assay and AAS using a 30 gram nominal sample weight). Other elements (48 in total) were analyzed using ALS method code ME-MS61 which involves a four-acid "near total" digestion and an ICP-MS + ICP-AES finish. The following QA/QC protocols have been adopted for this program: 1) Duplicates were created as coarse crush duplicates on every 50th sample (2% insertion) in the sample preparation process at the laboratory, and 2) Blank material was inserted at a rate of 2 blanks per 100 samples (2% insertion) and 3) Standards – Certified Reference Material (CRM’s) every 20th sample (5% insertion) plus additional random insertions at supervising geologist’s discretion. All results from duplicates, blanks, and standards were reviewed and found to be accurate within acceptable tolerances for results obtained to date.
The scientific and technical information disclosed within this document has been prepared, reviewed and approved by Gregory A. Beischer, President, CEO and a director of Millrock Resources. Mr. Beischer is a qualified person as defined in NI 43-101.
About Millrock Resources Inc.
Millrock Resources Inc. is a premier project generator to the mining industry. Millrock identifies, packages, and operates large-scale projects for joint venture, thereby exposing its shareholders to the benefits of mineral discovery without the usual financial risk taken on by most exploration companies. The company is recognized as the premier generative explorer in Alaska, holds royalty interests in British Columbia, Canada and Sonora State, Mexico and is a significant shareholder of junior explorer ArcWest Exploration Inc. Funding for drilling at Millrock’s exploration projects is primarily provided by its joint venture partners. Business partners of Millrock have included some of the leading names in the mining industry: EMX Royalty, Centerra Gold, First Quantum, Teck, Kinross, Vale, Inmet and, Altius as well as junior explorers Resolution, Riverside and PolarX.
ON BEHALF OF THE BOARD
Gregory Beischer, President & CEO
FOR FURTHER INFORMATION, PLEASE CONTACT:
Melanee Henderson, Investor Relations
(877) 217-8978 (toll-free)
Some statements in this news release contain forward-looking information (within the meaning of Canadian securities legislation) including, without limitation, management’s expectation that drilling will successfully be carried out in the first quarter of 2020. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, without limitation, Millrock’s ability to mobilize the drill rig and camp and complete the drilling work and customary risks of the resource industry.