NEV-V gap up at open on news, no problem breaking out in new 52 week highs.
Pilot Gold (PLG-V) March 12, '14 step-out drilling at Kinsley Mountain's Western Flank target has intersected high-grade gold mineralization, including 18.3 grams per tonne gold over 22.9 metres in PK131C. Drilling 500 metres south at the Right Spot target returned a near surface, oxide gold interval of 3.57 g/t Au over 11.5 metres in PK130C. Intor Resources Corporation ("Intor"), a subsidiary of Nevada Sunrise Gold Corp., is the Company's joint venture partner at Kinsley.Western Flank Results:
Holes PK131C and PK132C are step-outs located approximately 25 metres north and 100 metres northwest, respectively, of PK91CA, which returned 8.53 g/t gold over 36.6 metres (see press release dated November 18th, 2013).
Highlights include: -- 10.5 g/t Au over 42.7 metres in PK131C, including -- 18.3 g/t Au over 22.9 metres; -- 7.53 g/t Au over 53.3 metres in PK132C, including -- 14.9 g/t Au over 22.9 metres, and -- 4.67 g/t Au over 7.6 metres
"We are thrilled to report these new results, with PK131C the best hole ever drilled at Kinsley," stated Matt Lennox-King, President and CEO. "They underscore our long-held belief that the Kinsley project can host significant high-grade mineralization. What is most exciting is the fact that the high grade zone at the Western Flank remains completely open."
Drill holes PK132C, 131C, 91CA and 127C (6.85 g/t Au over 41.7 metres; see press release dated February 28, 2014) are aligned along a NW-SE fence over a length of 150 metres. The strong results along this trend suggest that the mineralization may be, in part, an extension of the 2.2 kilometre long NW-SE "Kinsley Trend" structural zone, along which the historic pits are aligned. Consequently, in addition to ongoing testing the NNE-SSW "Western Flank" structure, drill holes will also be planned along the corridor between the Western Flank target and the historic Upper Pit, located 550 metres to the southeast. Shallow historic drilling in the pits stopped short of testing the stratigraphic horizon hosting high-grade mineralization in the Western Flank target, and thus the potential for mineralization below the limits of the pits may be extensive.
Right Spot Results:
Gold is hosted at the Western Flank in multiple stratigraphic units. The upper stratigraphic units (Big Horse Limestone and Candland Shale, the main ore hosts in the historic mine) rise to the surface 500 metres to the south at the Right Spot target. Highlights from the Right Spot target include: -- 3.57 g/t Au over 11.5 metres in PK130C, including -- 5.87 g/t Au over 3.1 metres (oxide), and -- 0.89 g/t Au over 6.1 metres and 0.58 g/t Au over 15.5 metres in PK129C
Lower stratigraphic units hosting high-grade gold in the Western Flank target, including the Secret Canyon Shale, appear to surface an additional 500 metres to the south of the Right Spot target, extending the potential for mineralization over a 1.5 kilometre trend.
Mapping and rock sampling at the Right Spot identified a 250-metre north-northeast zone of surface jasperoids returning 1-5 g/t gold in grab samples. Hole PK130C was located 17 metres northeast of a 15-metre-long road cut channel sample averaging 2.0 g/t Au. Gold mineralization starts at 5.2 metres down-hole, and consists entirely of oxidized and silicified (jasperoidized) rocks. Based on surface mapping and down-hole structural data, the intercept may be approximately 90% of true thickness.
Shallow mineralization encountered in PK129C is hosted in a limestone unit within the Lamb Dolomite below the Candland Shale and confirms the presence of another potential host unit not previously recognized. The Secret Canyon shale unit, host to high grade gold in PK131C, has not been tested to date at the Right Spot target.
ABOUT KINSLEY MOUNTAIN
Kinsley Mountain hosts near-surface mineralization similar to other Carlin-style, sediment-hosted gold systems. The property consists of 412 claims and 8,208 acres (3,322 hectares) on U.S. Bureau of Land Management land and hosts a past-producing mine with an extensive exploration database and numerous, untested gold targets.
The Company increased its interest in the project to approximately 79.1% as a consequence of sole funding activity at Kinsley through December 31, 2013.
Kinsley Mountain is an early-stage exploration project and does not contain any mineral resource estimates as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101"). The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource.
Moira Smith, Ph.D., P.Geo., Chief Geologist, Pilot Gold, is the Company's designated Qualified Person for this news release within the meaning of NI 43-101 and has reviewed and validated that the information contained in the release is accurate. Drill composites were calculated using a cut-off of 0.20 g/t. Drill intersections are reported as drilled thicknesses. True widths of the mineralized intervals are interpreted to be between 30-100% of the reported lengths. Drill samples were assayed by ALS Chemex (ISO9001:2000) in Reno, Nevada for gold by Fire Assay of a 30 gram (1 assay ton) charge with an AA finish, or if over 5.0 g/t were re-assayed and completed with a gravimetric finish. For these samples, the gravimetric data were utilized in calculating gold intersections. For any samples assaying over 0.200 ppm an addition cyanide leach analysis is done where the sample is treated with a 0.25% NACN solution and rolled for an hour. An aliquot of the final leach solution is then centrifuged and analyzed by AAS. QA/QC for all drill samples consists of the insertion and continual monitoring of numerous standards and blanks into the sample stream, and the collection of duplicate samples at random intervals within each batch. Selected holes are also analyzed for a 51 multi-element geochemical suite by ICP-MS.
Further information is available in the technical report entitled "Technical Report on the Kinsley Project, Elko County, Nevada, U.S.A.", effective February 15, 2012 and dated March 26, 2012, prepared by Michael M. Gustin, CPG of Mine Development Associates and Moira Smith, Ph.D., P.Geo. and Kent Samuelson of Pilot Gold Inc., under Pilot Gold's Issuer Profile on SEDAR (www.sedar.com). |
