Avidian Gold CSAMT Survey Highlights Near-Surface Intrusive-Related Gold Targets

TORONTO, Aug. 15, 2018 (GLOBE NEWSWIRE) — Avidian Gold Corp., (“Avidian” or the “Company”) (TSXV-AVG) is pleased to announce that the Company has completed a 44.5-line kilometre (“km”) Controlled Source Audio-Frequency Magnetotelluric (“CSAMT”) survey of the Copper King, Long Creek and South Long Creek prospects at the Golden Zone project in Alaska.

The survey was successful in highlighting near-surface resistivity highs which are interpreted to be intrusions into overlying sediments. The most prominent interpreted intrusion is proximal to known sulphide mineralization in the +2 km long Copper King, Long Creek and South Long Creek target areas.

CSAMT Survey Interpretation

CSAMT profiles in this large area identified multiple resistivity highs which form elongated pinnacle features with flanking resistivity lows which are interpreted to be highly prospective areas for gold and copper mineralization (see Figure 1). Many of the CSAMT resistivity high features correspond with magnetic low features observed in a previous helicopter-borne aeromagnetic survey.

The predominant feature at Copper King to Long Creek area stretches over 500 metres (“m”) and is interpreted to be the intrusive source of the mineralization identified at Copper King and Long Creek, both in surface sampling and in limited historic drilling.

For additional information on surface gold-copper mineralization at Copper King, Long Creek and South Long Creek,  please see Avidian’s press release dated, January 15, 2018.

Multiple other interpreted intrusive events were identified in this area, all at relatively shallow depths which suggests excellent opportunities for further discovery.  Programs to prioritize interpreted “intrusives” are underway including geochemical studies, trenching and ultimately drilling.  Trenching on one of these targets revealed approximately 20 m of pyrite-chalcopyrite mineralization.

Nick Tintor, President and CEO of Avidian, commented, “The delineation of very near-surface interpreted intrusive bodies coincident with surface mineralization in the Copper King-Long Creek area is an exciting development for our team. We plan to collar holes this week to begin testing priority CSAMT targets in the Long Creek area which are associated with newly discovered pyrite-chalcopyrite sulphide mineralization in trenches.”

CSAMT is a geophysical method for obtaining subsurface resistivity information to assist with three dimensional geological interpretations of large areas.

Variations in resistivity values calculated from the CSAMT data are influenced by porosity, pore fluids and the presence of certain mineral assemblages.

The data can be used to provide valuable information on structure and lithology.  At the Golden Zone property, Avidian is targeting intrusion-related gold systems (“IRGS”).

IRGS deposits are interpreted to be formed at shallow paleodepths. Mapping of the intrusions based on resistivity data collected by the CSAMT surveys focuses exploration towards priority settings for further discovery either lateral to and/or at depth below the zones of mineralization currently identified at surface.

The survey was completed by Zonge Geophysics using a Zonge GDP-3224 24-bit multichannel receiver and a Zonge GGT-10, 10KVA transmitter.

Golden Zone Background

The Golden Zone project lies within the gold-endowed Tintina Mineral Belt and is located 320 km north of Anchorage, Alaska and is conveniently accessed by a 16-km road west of the main transportation highway between Anchorage and Fairbanks.

Gold mineralization on the property is found in breccias, veins and shear zones, skarns and other replacement styles of mineralization.  These all appear to be of igneous affiliation and are all spatially related to Cretaceous age porphyritic intrusives.

For additional information on the Golden Zone project and the Company’s portfolio of projects, please visit Avidian’s website at www.avidiangold.com or see the Company’s profile at www.sedar.com.

The technical information contained in this news release has been reviewed and approved by Dr. Tom Setterfield, P.Geo, Vice President – Exploration for Avidian, who is a Qualified Person as defined in « National Instrument 43-101, Standards of Disclosure for Mineral Projects.”

Other Business

The Board of Directors have approved the grant of 4,440,000 stock options (the “Options”) to certain newly-appointed members of management, directors and consultants of the Company. The Options granted will be issued in accordance with the Company’s current stock option plan.

The Options are exercisable into common shares of the Company at an exercise price of $0.60 per share. This is a premium to Avidian’s last closing price and the pricing of its last private placement. The Options have a five-year term to maturity.

About Avidian Gold Corp.

Avidian brings a disciplined and veteran team of project managers together with a regional scale advanced stage gold-copper exploration portfolio in Alaska. Avidian’s Golden Zone project also hosts a NI 43-101 Indicated gold resource of 267,400 ounces (4,187,000 tonnes at 1.99 g/t Au) plus an Inferred gold resource of 35,900 ounces (1,353,000 tonnes at 0.83 g/t Au).

Additional projects include Amanita which is adjacent to Kinross Gold’s Fort Knox gold mine in Alaska, Jungo and Dome Hill in Nevada and Strickland in Newfoundland.

Avidian is focused on and committed to the development of advanced stage mineral projects throughout first world mining friendly jurisdictions using industry best practices combined with a strong social license from local communities. Avidian has 50,030,871 shares issued and outstanding.

Further information on the Golden Zone property can be found in the NI-43-101 Technical Report dated August 17, 2017 prepared by Leon McGarry, B.Sc., P. Geo and Ian D. Trinder, M.Sc., P. Geo  that is available on SEDAR at www.sedar.com.

Forward Looking Statements

This News Release includes certain « forward-looking statements ». These statements are based on information currently available to the Company and the Company provides no assurance that actual results will meet management’s expectations. Forward-looking statements include estimates and statements that describe the Company’s future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as « believes », « anticipates », « expects », « estimates », « may », « could », « would », « will », or « plan ». Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results relating to, among other things, results of exploration, project development, reclamation and capital costs of the Company’s mineral properties, and the Company’s financial condition and prospects, could differ materially from those currently anticipated in such statements for many reasons such as: changes in general economic conditions and conditions in the financial markets; changes in demand and prices for minerals; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological and operational difficulties encountered in connection with the activities of the Company; and other matters discussed in this news release. This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the Company’s forward-looking statements. The Company does not undertake to update any forward-looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws.

This News Release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States absent U.S. registration or an applicable exemption from U.S. registration requirements.

FOR ADDITIONAL INFORMATION PLEASE CONTACT

Nick Tintor, President and CEO

Mobile: 416 953 4244
Office:   416 987 0855
Email: ntintor@avidiangold.com

or

Dino Titaro, Director
Mobile: 647 283 7600
Email: dtitaro@avidiangold.com

Neither TSX Venture Exchange nor its Regulation Services Provider, as that term is defined in the policies of the TSX Venture Exchange, accepts responsibility for the adequacy or accuracy of this release.

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/be2d6e18-fe16-430d-8973-109d821142e1