Canagold drills 17.8 m of 11.1 g/t Au at New Polaris
2021-11-10 07:36 ET – News Release
Mr. Scott Eldridge reports
CANAGOLD INTERSECTS 11.1 GPT AU OVER 17.8 M AND 11 GPT OVER 8.9 M IN 2 SEPARATE HANGING-WALL VEINS ADJACENT TO C WEST MAIN VEIN AT NEW POLARIS GOLD PROJECT, BC
Canagold Resources Ltd. has released high-grade gold assays for two more drill holes from the continuing 24,000-metre, 47-hole drill program at its 100-per-cent-owned New Polaris gold project located in northwestern British Columbia, 100 kilometres south of Atlin and 60 km northeast of Juneau, Alaska.
The focus of the drill program is infill and stepout drilling in the C West Main (CWM) vein system, which hosts a major part of the gold resources at New Polaris. The intercepts reported below include results for two holes that also intercepted thick intervals of significant gold mineralization in two veins located in the hangingwall of the CWM vein.
Highlights:
- Hole 21-1844E3 intersected 11.0 grams per tonne gold over 8.9 m from 414.4 m in the C9 vein, 14.5 g/t Au over 3.0 m from 438.7 m in the C10 vein and 7.92 g/t Au over 5.0 m from 549.0 m in the CWM vein.
- Hole 21-1905E2 intersected 8.10 g/t Au over 9.9 m from 353.6 in the C9 vein, 11.1 g/t Au over 17.8 m from 380.9 m in the C10 vein and 4.98 g/t Au over 7.6 m from 486.0 m in the CWM vein.
Scott Eldridge, chief executive officer and director, said: « We continue to see impressive high-grade intervals in our infill drilling, which demonstrates the continuity of New Polaris’s mineralization. What’s more, we are now finding impressive high-grade intercepts in the C10 vein, parallel to and about 100 m vertically above the C West Main (CWM) vein. Another previously disclosed high-grade intercept in the C-10 hangingwall returned 17.1 g/t Au over 8.4 m. None of the C-10 mineralization is in the resources estimate and these intercepts should contribute to an expanded resource.
« With our recently closed $5.3-million financing we are now funded to continue drilling with two rigs on site throughout the winter months as we march the project towards a feasibility study. »
The intercept of the C10 vein in hole 21-1844E3 has extended the mineralization 90 metres to the west of the nearest previously drilled intercept with a significant downhole thickness of 17.8 metres. The new mineralized intervals of the C9 vein are already starting to define another hangingwall zone of significant size similar to the C10 vein when combined with previous drill results. The infill drilling of the CWM continues to perform well by further defining the extent and enhancing the status of the resource with intercepts of gold grades over minable widths as predicted by the geological model.
Out of the planned 47-hole, 24,000 m program, 40 holes have now been completed, of which assay results have been received for 17 holes. All the samples collected from the mineralized zone in these holes have been submitted to the ALS lab in Whitehorse, Yukon, for gold analysis. Detailed information for the five drill holes and the sample assay results and mineralized intercepts are provided in the associated table. The collar locations of the five holes in relation to other drill holes of the infill program are shown on the drill hole location map on the company’s website and the mineralized intercepts relative to previous drilling on the 3-D model on the company’s website.
Infill holes to upgrade inferred resources to indicated resources
The current drill program is designed primarily to infill drill the inferred resources of the CWM vein system within the currently defined resources in the PEA (1). The infill drill holes range in depth from 300 to 650 m and are designed to provide greater density of drill intercepts (20 to 25 m spacing) in areas of inferred resources between 150 and 600 m below surface. The improved drill density will be used to upgrade parts of the inferred resources to indicated resources for inclusion in a future feasibility study.
(1) The new Polaris resource is contained within a preliminary economic assessment (PEA) report, which was prepared by Moose Mountain Technical Services in the format prescribed by National Instrument 43-101 Standards of Disclosure for Mineral Projects, and filed on SEDAR April 18, 2019.
New Polaris overview
Canagold’s flagship asset is the 100-per-cent-owned New Polaris gold mine project located in northwestern British Columbia about 100 kilometres south of Atlin, B.C., and 60 kilometres northeast of Juneau, Alaska. The property consists of 61 contiguous Crown-granted mineral claims and one modified grid claim covering 850 hectares. New Polaris lies within the Taku River Tlingit First Nation traditional territory. Canagold is committed to providing employment and business opportunities that help support the local economies in the vicinity of its exploration projects.
The New Polaris gold deposit is an early Tertiary, mesothermal gold-bearing vein system occupying shear zones crosscutting late Paleozoic andesitic volcanic rocks. It was mined by underground methods from 1938 to 1942, and again from 1946 to early 1951, producing approximately 245,000 ounces gold from 740,000 tonnes of ore at an average grade of 10.3 g/t gold. Three main veins (AB, C and Y) were mined to a maximum depth of 150 m and have been traced by drilling for up to 1,000 m along strike and up to 800 m downdip, still open for expansion. The gold occurs dominantly in finely disseminated arsenopyrite within quartz-carbonate stockwork veins and altered wall rocks. Individual mineralized zones extend up to 250 metres in length and 14 metres in width. Average widths more commonly range from two to five metres.
Qualified person
Garry Biles, PEng, president and chief operating officer for Canagold Resources, is the qualified person who reviewed and approved the contents of this news release.
Drill core sampling and quality assurance/quality control program
Drill core is geologically logged to identify the gold-mineralized zones that are allocated unique sample number tickets and marked for cutting using a purpose-built diamond-blade rock saw. Half-core samples are collected in labelled bags and the other half remains in the original core box stored on site. Quality control (QC) samples including certified reference material standards, blanks and duplicates are inserted into the sample sequence at intervals of one in 10 on a rotating basis to monitor laboratory performance and provide quality assurance (QA) of the assay results. Several sample bags are transported together in rice bags with unique numbered security tags attached and labelled with company and lab contact information to ensure sample security and chain of custody during shipment to the lab.
The samples are submitted to the ALS lab in Whitehorse, Yukon, for preparation and assaying. The entire sample is crushed to 70 per cent passing minus two millimetres and a 250-gram aliquot is split and pulverized to 85 per cent passing minus 75 microns. Analysis for gold is by 30-gram fire assay and gravimetric finish. A suite of 30 other elements including arsenic, antimony, sulphur and iron are analyzed by aqua regia digestion inductively coupled plasma atomic emission spectroscopy (ICP-AES). ALS is accredited by the Standards Council of Canada and is an International Organization for Standardization/International Electrotechnical Commission 9001:2015- and 17025:2017-certified analytical laboratory in North America.
About Canagold Resources Ltd.
Canagold is a growth-oriented gold exploration company focused on generating superior shareholder returns by discovering, exploring and developing strategic gold deposits in North America.
DRILL CORE SAMPLE RESULTS DETAILS
Hole ID From To Length (true width) Au
(m) (m) (m) (g/t)
21-1844E1 306.1 306.5 0.4 9.55
21-1844E1 347.6 349.0 1.4 (1.1) 2.80
21-1844E2 485.3 485.8 0.5 14.1
21-1844E2 511.9 513.0 1.1 5.17
21-1844E2 525.7 526.7 1.0 (0.8) 6.93
C9
21-1844E3 414.4 415.4 1.0 7.16
21-1844E3 415.4 416.4 1.0 17.5
21-1844E3 416.4 417.4 1.0 19.0
21-1844E3 417.4 418.4 1.0 8.91
21-1844E3 418.4 419.4 1.0 5.52
21-1844E3 419.4 420.4 1.0 5.27
21-1844E3 420.4 421.4 1.0 7.74
21-1844E3 421.4 422.3 0.9 23.3
21-1844E3 422.3 423.3 1.0 5.86
21-1844E3 414.4 423.3 8.9 11.0
C10
21-1844E3 438.7 439.8 1.1 8.48
21-1844E3 439.8 440.7 0.9 18.6
21-1844E3 440.7 441.7 1.0 17.6
21-1844E3 438.7 441.7 3.0 14.5
CWM
21-1844E3 549.0 549.9 0.9 5.57
21-1844E3 549.9 550.9 1.0 17.05
21-1844E3 550.9 552.0 1.1 0.42
less than
21-1844E3 552.0 553.1 1.1 0.05
21-1844E3 553.1 553.5 0.4 10.25
21-1844E3 553.5 554.0 0.5 25.9
21-1844E3 549.0 554.0 5.0 (3.7) 7.92
CWM
21-1905E1 464.9 465.2 0.3 14.3
21-1905E1 465.2 465.6 0.4 15.7
21-1905E1 464.9 465.6 0.7 (0.6) 15.0
C9
21-1905E2 353.5 354.3 0.8 9.9
21-1905E2 354.3 355.0 0.7 4.31
less than
21-1905E2 355.0 356.0 1.0 0.05
21-1905E2 356.0 356.5 0.5 0.9
21-1905E2 356.5 357.5 1.0 0.06
21-1905E2 357.5 358.5 1.0 0.25
21-1905E2 358.5 359.5 1.0 0.38
21-1905E2 359.5 360.4 0.9 9.46
21-1905E2 360.4 361.5 1.1 19.5
21-1905E2 361.5 362.5 1.0 13.9
21-1905E2 362.5 363.5 1.0 26.1
21-1905E2 353.6 363.5 9.9 8.10
C10
21-1905E2 380.9 381.5 0.6 11.9
21-1905E2 381.5 382.7 1.2 16.2
21-1905E2 382.7 383.8 1.1 0.07
less than
21-1905E2 383.8 384.5 0.7 0.05
21-1905E2 384.5 385.5 1.0 0.17
21-1905E2 385.5 386.5 1.0 0.07
21-1905E2 386.5 387.3 0.8 0.79
21-1905E2 387.3 388.3 1.0 3.72
21-1905E2 388.3 389.4 1.1 14.9
21-1905E2 389.4 390.1 0.7 11.5
21-1905E2 390.1 390.8 0.7 23.7
21-1905E2 390.8 391.7 0.9 22.6
21-1905E2 391.7 392.1 0.4 14.1
21-1905E2 392.1 392.5 0.4 13.7
21-1905E2 392.5 393.5 1.0 17.2
21-1905E2 393.5 394.2 0.7 5.43
21-1905E2 394.2 395.0 0.8 13.2
21-1905E2 395.0 395.7 0.7 4.42
21-1905E2 395.7 396.0 0.3 30.5
21-1905E2 396.0 396.9 0.9 20.6
21-1905E2 396.9 397.6 0.7 26.9
21-1905E2 397.6 398.7 1.1 12.3
21-1905E2 380.9 398.7 17.8 11.1
CWM
21-1905E2 486.0 487.2 1.2 8.5
21-1905E2 487.2 488.0 0.8 0.38
21-1905E2 488.0 489.2 1.2 2.67
21-1905E2 489.2 490.1 0.9 3.62
less than
21-1905E2 490.1 491.0 0.9 0.05
less than
21-1905E2 491.0 492.1 1.1 0.05
21-1905E2 492.1 492.8 0.7 7.68
21-1905E2 492.8 493.6 0.8 19.95
21-1905E2 486.0 493.6 7.6 (5.8) 4.98