- Initial 5,000-meter diamond drill program targeted to:
- Extend the current 1.2 km mineralized zone along Shumagin Gold Zone strike and at depth to the southwest towards the Orange Mountain Zone.
- Execute an infill drill program at the Shumagin Gold Zone to assist in defining geological resource model.
- Initiate a geophysical program (e.g. Mag, IP, EM and Gravity surveys).
- Complete a metallurgical assessment of high-grade gold and silver mineralization across the Shumagin Gold Zone.
- Expand exploration work on the Apollo-Sitka Trend.
February 08, 2017: Redstar Gold Corp. (TSX.V: RGC, OTCQB: RGCTF, FRA: RGG) ("Redstar" or the "Company") is pleased to announce, based on the successful expansion of the mineralized zone along trend and at depth achieved in the 2016 Fall Exploration Program, its 2017 Resource Development and Exploration Program at the Unga Gold Project.
"Commencing in April 2017, our busiest exploration season to-date will begin at the Unga Gold Project. During the 2016 Exploration Program, the Company completed various reconnaissance exploration exercises across the Shumagin and Apollo-Sitka Trends, which included mapping, geochemical soil sampling, surface rock sampling, a 1,505-meter drill program at the Shumagin Zone, and the initiation of an updated internal geological model of the Unga Gold Project. Redstar's President & CEO, Peter A. Ball, stated, "Based on the results and success from 2016, Redstar increased the drilled strike length of the Shumagin Gold Zone from approximately 300m to approximately 950m, and is now well-financed, excited, prepared and focused to execute a multi-million-dollar expansive exploration program to highlight the potential of the multiple gold zones with the Unga Gold Project, commencing firstly with the Shumagin Gold Zone."
Detailed Review of the 2017 Exploration and Resource Development Program:
- Utilizing multiple drill rigs, commence initial 5,000 meters of exploration diamond drilling, focused on step out drill holes to the southwest of the Shumagin Gold Zone. Additional drilling and other gold zones will be potentially tested based on current geological models, and as assay or geophysical results are received through the spring/summer program.
- Initiate a ground-based geophysical program consisting of an initial detailed "orientation survey" that will test the geophysical responses associated with well-known geological features and high-grade gold mineralization located across the Shumagin Gold Zone (e.g. magnetic field; electromagnetics, Induced Polarization (IP), gravity surveys). The orientation survey is completed to provide a potential geophysical fingerprint that will be used to target additional blind, structurally-controlled gold-bearing breccia bodies localized along structures to the southwest towards Orange Mountain (see Fig 1 below).
- Complete a preliminary metallurgical assessment representing gold-silver bearing mineralization drilled across the Shumagin Gold Zone during 2016. The metallurgical testing will include: bulk mineral analysis (QEMSCAN); coarse gold particle studies; grind calibrations; gravity concentration testing; leach performance testing; and flotation tests.
- Further details on the program will be disclosed, as the Company gets closer to the commencement of the program.
Geological Highlights of the Shumagin Gold Zone and Trend
- The Shumagin Trend is approximately nine (9) kilometers long and is a major regional structure responsible for the localization of epithermal mineralization and associated alteration exposed about its strike length.
- Drilling in 2016 validated the Company's structural model and geological interpretation that high-grade gold-silver mineralization localized within the Shumagin Gold Zone occurs within dilation zones associated with major & subsidiary structures that are part of the Shumagin Trend.
- The Shumagin Gold Zone is currently defined over a strike length of approximately 1.2 kms by surface mapping and sampling.
- Results from the 2016 fall drill program at the Shumagin Gold Zone, indicate that high-grade gold-silver mineralization occurs at depth for approximately 950 meters of tested strike length, is vertically extensive (to ~ 330m depths) and remains open at depth across the entire strike length (See Long Section below).
- Hole 16SH019, the deepest and southwestern-most drill hole, encountered a thick section (>50m) of syn-hydrothermal eruption breccias that are cross-cut by one of the thickest stockwork/breccia sections drilled to date along the Shumagin Gold Zone, and is a positive indicator that the hydrothermal system is robust in this area and is open along strike towards the southwest.
- Geological mapping and sampling towards the southwest from Shumagin indicates a very strong expansion potential along strike for an additional three (3) kms towards Orange Mountain, the interpreted hydrothermal center along the Shumagin Trend.
About the Unga Gold Project
The 100% controlled Unga Gold Project is an intermediate-sulfidation epithermal district located along the Alaskan Peninsula on adjacent Unga and Popof Islands, approximately 950 km southwest of Anchorage, Alaska. The 240-km2 property contains numerous volcanic-hosted, structurally-controlled and disseminated gold-silver mineral occurrences localized along at least two (2) regional structures (Shumagin Trend and Apollo-Sitka trends), each measuring approximately 9km long. High-grade gold zones drilled or identified at surface occur within dilation zones along the regional and/or subsidiary structures and are the main exploration target-type for the project. The Shumagin Gold Zone is only one of several noteworthy gold-silver structures found on Redstar's Unga Gold Project and is a high-priority exploration target.
Jesse C. Grady, MSc, CPG-11592, is a Qualified Person as defined by NI 43-101. Mr. Grady has prepared and approved the technical information contained within this release.
About Redstar Gold Corp
Redstar is well-financed junior exploration company, with a very strong institutional shareholder base, no debt, and is focused on high grade gold exploration and advancing its high-grade Unga Gold Project in Alaska. The 100% controlled Unga Gold Project is an intermediate sulfidation epithermal high grade gold project on a district scale, with the property encompassing approximately 240 km2, and containing multiple high grade gold zones drilled or identified at surface. The former Apollo-Sitka gold mine, located on the southern Apollo-Sitka Trend, was Alaska's first underground gold mine and the site of historic high-grade (~10 g/t Au) gold production. The Unga Gold Project has extensive infrastructure with daily flights from Anchorage landing on a one mile long paved airstrip and a deep-water port on neighboring Popof Island, and a moderate climate noting it resides at the 57-degree latitude and next to the ocean. In addition, Redstar owns approximately 26.6% of NV Gold Corp. (TSXV: NVX). Redstar also owns 30% of the Newman Todd Gold Project, in Red Lake, Ontario, Canada.
On Behalf of the Board of Directors,
Peter A. Ball, President and CEO
For additional information please contact:
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Forward-Looking Information This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that Redstar Gold Corporation (the "Company") expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.