iMetal talks phase 1 results at Gowganda

Nov 22, 2017

2017-11-22 12:32 ET – News Release

Mr. Brian Fagan reports

iMetal Resources Inc. has provided details of new high-grade gold, gold/copper, and cobalt/silver discoveries made during its phase 1 exploration program on its Gowganda West property. This news release can be read in conjunction with iMetal’s land ownership map available on the company’s website.

The company continues to surpass its phase 1 exploration expectations as it expands the Gowganda West property package. Initial milestones have been exceeded with impressive results accomplished within budget. iMetal has now initiated a phase 2 exploration program.

Gold

Prospecting completed during the summer of 2017 resulted in the collection of over 100 grab samples, many of which returned significantly elevated gold and copper assays. Multiple assays up to 6.4 grams per tonne gold (see press release Oct. 30, 2017) from moss-covered outcrops on zone 1 (Z1) have been documented. The experience gained from the Z1 program was critical in discovering two additional gold zones: one approximately 100 metres north of a 2015 trenching and channel sampling program, and the other approximately 400 metres west of Z1. This work was also critical in discovering an additional gold/copper zone, Z3, with its highest assay of 56.4 g/t gold (1.7 oz/t gold) and 2.582 per cent copper (greater than 50 lbs/t copper). Z3 is located about 5.23 kilometres south of Z1 (see press release Nov. 9, 2017)

Z1 has been traced to the north boundary of iMetal’s Gowganda West claim block. This zone mirrors Tahoe Resources’s four metres/oz Juby gold deposit a few hundred metres further north. Prospecting in this area to date has defined an initial north-south strike length of approximately 300 metres for Z1 with a width of approximately 20 metres. In early November, 2017, a channel sampling program was carried out and a second zone similar to Z1 was located approximately 400 metres to the west. Several mineralized quartz veins were identified at this new showing. Grab samples of the mineralized veins and wall rock have been collected; subject to receiving favourable results, a channel sampling program will be carried out. Line cutting, IP surveys and diamond drilling are planned for early 2018.

At Z3 — five kilometers south of Z1, high-grade gold and copper have been discovered. Mineralization is present in two locations named Z3a and Z3b. Channel sampling has been completed at zone Z3b. Previously, assays from 40-grab samples returned up to 56.4 g/t Au and 2.582 per cent Cu (see press release Nov. 9, 2017). Z3a is still in the process of channel sampling. In early November, the field team located a greater than one-metre wide mineralized vein 35 metres northeast of Z3a. Channel sampling and a program of trenching to obtain fresh rock for assay is planned for this vein. Similar to Z3a and Z3b, the strike length and width of the veins are currently unknown due to the continuing nature of the work. Following encouraging assay results, a program of IP surveys and diamond drilling is planned. Preliminary prospecting results indicate that the presence of numerous quartz veins of varying widths (a complex of stock work veins) may be present in the area. iMetal’s exploration manager, Tom O’Connor, emphasizes, “We have only scratched the surface of an enormous opportunity.”

Z4/cobalt-silver

Z4 is located approximately four km to the east of Z3 — another highly prospective area iMetal will be assessing throughout the winter months. Quartz-calcite veins which are shown on the MNDM geological map of Leith township are another serious exploration target. An old mine shaft was discovered during claim staking as iMetal was adding additional claims to enlarge the GWP property. Numerous trenches east of the historic mine shaft have been located. One of these veins, 20 metres long, is marked by the presence of cobalt bloom on its walls. One sample collected by the staker assayed 0.1 per cent cobalt. Further prospecting is under way. On iMetal’s Mosher Lake optioned property, a sampling program in October resulted in the discovery of highly elevated cobalt assays. Three samples taken on the No. 2 vein east of Mosher Lake returned up to 3721 parts per million (0.37 per cent) cobalt and 18.4 grams per tonne silver. The 20-metre-long cut hosts an 18-cm-wide quartz-calcite vein. Channel sampling and drilling of blast holes will be initiated to get non-oxidized rock for assays and study. In total, prospecting indicates a total of six veins striking east west across the 500-metre north/south trending Nipissing diabase dike (a common host rock for silver and cobalt deposits in the area).

The Hiltz copper/gold showing, referred to as Z2, is in a remote part of the property, accessible only by boat via Wabus Creek. Z2 will be the target of a spring prospecting program when the creek system can be safely navigated.

Summary

The 105-square-kilometre Gowganda West property currently hosts seven previously unrecognized mineralized zones in unexplored areas. Assessment work required to hold the Gowganda West claims is in good standing for up to two years with renewals easily undertaken. Additional information on Z1, Z3, Z4 and Mosher Lake will be released as the winter exploration program progresses.

As few historic documents are available for the Gowganda West area, iMetal is effectively generating the first exploration database for the area. All mineralized zones occur in relatively undocumented, unexplored territory. Documentation is available for the 1908 silver boom at Mosher Lake that sparked the Gowganda silver rush, however, no data has been located for the recently discovered historical mine shaft and old trenches. The question of continuity along strike and between quartz veins will be assessed as iMetal enters its phase 2 exploration program. There are definite indicators that strongly suggest the high-grade gold-copper vein systems may be much bigger than originally expected.

Phase 2 exploration

iMetal’s winter phase 2 exploration program is in progress. The company’s team is well experienced with a field component of mining veterans with combined experience of over 100 years. The channel sampling program will be followed by line-cutting, IP surveys and diamond drilling. Permits for this work are now being filed. This program will result in the development of a strong knowledge base that will provide insight into the size and potential for the development of Z1 and Z3.

When describing these reported events, iMetal’s exploration manager, Tom O’Connor, concludes: “We expect to be in a much-improved position to assess the potential for the development of Z1 and Z3 subsequent to the completion of our phase 2 exploration program. It is possible Z1 and Z3 may be connected as part of a much larger high-grade gold and copper mineralizing system. We feel the potential for the Gowganda West property is outstanding. In a very short period of time we have outlined cobalt-silver targets in addition to our gold-copper zones and this underscores the fact we are exploring in terrain that has been excluded from modern day exploration. The potential for additional discoveries is impressive.”

The technical content of this news release has been reviewed and approved by Mark Fedikow, PhD, PGeo, a qualified person as defined under National Instrument 43-101.

We Seek Safe Harbor.

https://imetalresources.ca/news-2/