VANCOUVER, BC, Sept. 15, 2020 /CNW/ - Fosterville South
Exploration Ltd. ("Fosterville South") or (the "Company") (FSX –
TSXV, FSXLF – OTCQX, 4TU – Germany) has intersected multiple
intervals of high-grade gold in drill holes during the
initial phase of core drilling at its Golden Mountain Project in
Victoria, Australia.
Highlights:
- Drill hole GMDH 36 records 8.3 metres at 6.91 g/t Au from
58.5 m including 1.7 m at 30.72 g/t Au
- Drill hole GMDH 35 records 47 metres at 2.67 g/t Au from
68 m including 4 m at 11.8 g/t Au
- Additional assays expected soon including additional results
from drill hole GMDH 36
- Application submitted for a 5,120 metre drill permit at
Lauriston Project
Fosterville South Chief Operating Officer, Rex Motton, states,
"Every diamond core drillhole we have completed at Golden
Mountain has intersected gold mineralisation and today's results,
include more high grade gold as well as lengthy intercepts,
continue to support our belief in the potential of this project.
Drilling is ongoing and we expect more results imminently.
As well, we are very pleased to report that we have now
completed access agreements with multiple private landowners to
drill at high priority drill targets at our Lauriston Project.
Lauriston is a 600 sq km land package and is immediately south of
and adjacent to Kirkland Lake Gold's
Fosterville tenements. Based on
this, we have applied with the Earth Resources & Regulations to
commence a 5,120 metre drill program at Lauriston."
The Company's planned 5,120 metre reconnaissance percussion
drill program at the Lauriston Project will focus on the high-grade
epizonal and mesozonal prospects that have recorded historical
high-grade gold production. Drilling will consist of 64 holes
averaging 80m depth and targeting
four (4) separate prospects all held on private property. Another
drilling program is being designed for a further three (3)
prospects within the Lauriston property with a similar level of
drilling commitment.
The Company has also applied for a reconnaissance percussion
drilling program of 1,450m for 17
holes at three (3) prospects on the Beechworth Project. A
comprehensive soil sampling program is underway at Beechworth.
Fosterville South is fully funded to accelerate exploration
including drilling, with a current cash balance of approximately
CAD $24 million.
Golden Mountain Results
At Golden Mountain, the geological interpretation of the central
mineralisation as a north-south striking near vertical fault zone
(N-S zone) is confirmed, with east-west faults and intrusive
granitic dyke swarms (E-W zone) adding further zones of
mineralisation. The east-west striking granitic dyke swarm (E-W
zone) is located on or near the Strathbogie granite contact, with
mapping and geochemical sampling indicating this zone is about 1km
in length. Within the central part of the N-S zone, a
fault-controlled extension to the gold mineralisation in the south
west (Southwest Fault) is now recognised, apart from the southern
extension of the N-S zone as well. The intersection of the
Southwest Fault with the main N-S zone causes a wide zone of
fracturing and gold mineralisation. As part of this 3D structural
interpretation process all drill core is using oriented core
techniques.
Core Drill Results and Intercepts:
Table 1. (Core Drill Results and Intercepts – Golden
Mountain)
HoleID
|
East
|
North
|
Azimuth
|
Dip
|
From
|
To
|
Interval
|
Au g/t
|
End of
Hole
|
Estimated
True Width
|
GMDH33
|
400309
|
5911984
|
267
|
-60
|
35
|
41
|
6
|
3.3
|
138.6
|
2.9
|
and
|
|
|
|
|
44
|
65
|
21
|
1.5
|
|
10.5
|
GMDH34
|
400315
|
5911920
|
270
|
-60
|
97
|
120
|
23
|
3.1
|
200
|
11.7
|
Includes
|
|
|
|
114.05
|
118
|
3.95
|
6.3
|
|
|
GMDH35
|
400309
|
5911983
|
270
|
-70
|
68
|
115
|
47
|
2.7
|
250
|
16.7
|
Includes
|
|
|
|
91
|
95
|
4
|
11.8
|
|
|
GMDH36
|
400302
|
5912017
|
200
|
-47
|
58.5
|
66.8
|
8.3
|
6.9
|
280
|
Not
possible
|
Includes
|
|
|
|
58.5
|
60.2
|
1.7
|
30.7
|
|
|
The wider composite intercepts use a 0.5 g/t Au cut-off grade
and carry a maximum 2m of internal
waste, while the higher-grade included intercepts use a 3 g/t Au
cut-off grade. The assays are not capped. All drill core is HQ in
size.
Quality Assurance / Quality Control
All assays were subject to quality control measures appropriate
for diamond core type drilling with duplicates, blanks and
commercially available standards with the expected results from the
samples submitted. All assays were conducted by Onsite Laboratory
Services Ltd (ISO: 9001), located in Bendigo, Victoria, using fire assay techniques with a
50g charge and AAS finish. The quality control results are
consistent
Lauriston Gold Project
Fosterville South's Lauriston Gold Project is a large land
holding, within the same stratigraphic and structural setting as
the Fosterville Gold Mine. The tenement has an extensive
history of hard rock and alluvial gold production but limited
modern exploration.
The Lauriston property is south of and adjoining Kirkland
Lake's Fosterville Gold Mine. The Fosterville Gold Mine
reported a measured and indicated resource estimate of 14,800,000
tonnes at 4.4 g/t gold for 2,110,000 ounces of gold and an inferred
resource estimate of 10,300,000 tonnes at 5.5 g/t gold for
1,830,000 ounces of gold. The project produced 619,366 ounces
of gold in 2019. The mineralization at the Fosterville
Gold Mine is not necessarily indicative of mineralization on the
Lauriston Project.
Lauriston has a similar geological and structural setting and is
on the same regional trend as the Fosterville Gold Mine and occurs
along the western margin of the Selwyn Block. Bendigo style saddle
and trough reefs occur within the property as well as subvertical
shear zone style gold and quartz vein mineralization which
occasionally have epizonal characteristics.
The Fosterville South property has metallogenic indications
of Fosterville style epizonal gold deposits, but has not
been explored for these types of deposits, particularly as they
were not recognized as to their significance until recently.
Gold mineralization is hosted by Ordovician slates and
sandstones in association with felsic dykes, either with quartz
veins or with disseminated arsenopyrite – pyrite ± stibnite.
The Lauriston district contains several recognized goldfields,
including the Taradale, Malmsbury, Lauriston and Blackwood East
gold fields that have produced over 233,000 ounces at a grade of
20.7 g/t Au until around 1914. Some minor production also occurred
during the depression of the 1930s.
Mine
|
Location
|
Total
Tonnes
(t)
|
Total Au
(oz)
|
Mined
depth maximum (m)
|
Grade
(Au
g/t)
|
Modern
Exploration
|
Russell's
Reefs
|
Lauriston
|
44,923
|
33,403
|
330
|
22.8
|
Sparse drilling on
the Northern Extension
|
Energetic
Reefs
|
Lauriston
|
54,667
|
31,626
|
114
|
17.7
|
No
drilling
|
United Kingdom
Reefs
|
Taradale
|
77,006
|
26,518
|
113
|
10.5
|
Two drill
holes
|
Wyndham
Reefs
|
Lauriston
|
32,927
|
11,747
|
88
|
10.9
|
No
drilling
|
Tommy Dodd
|
Malmsbury
|
18,099
|
6,968
|
84
|
11.8
|
Three drill
holes
|
Table 1* Significant historical gold producing mines
* The production noted above was obtained from State of
Victoria Mining Surveyors and Registrar's quarterly reports from
1864 to 1891 and annual reports issued thereafter. All of the
production occurred within the Lauriston Property.
About Fosterville South Exploration Ltd.
Fosterville South has two large, 100% owned, high-grade epizonal
gold projects called the Lauriston and Golden Mountain Projects, a
large group of tenement applications called the Providence Project
and a large group of recently consolidated tenement applications
called the Walhalla Belt Project, all in the state
of Victoria, Australia. The
Fosterville South land packaged, assembled over a multi-year
period, notably includes a 600 sq. km property immediately to the
south of and within the same geological framework that
hosts Kirkland Lake Gold's Fosterville tenements.
Additionally, Fosterville South recently acquired three
gold-focused projects called the Moormbool, Timor and Avoca
Projects, which are also located in the state of Victoria,
Australia.
Six of Fosterville South's properties
(Lauriston, Providence, Golden Mountain, Timor, Avoca and
Walhalla Belt) have had historical gold production from hard rock
sources despite limited modern exploration and drilling.
Qualified Person
The technical content of this news release has been reviewed,
verified and approved by Rex Motton, AusIMM (CP), COO and Director
of Fosterville South, a qualified person as defined by NI
43-101. Historical records were verified by reviewing annual
and quarterly reports from government records by the Qualified
Person.
On behalf of the Company
Rex Motton
Chief Operating Officer and Director
Forward-Looking Statements
Information set forth in this news release contains
forward-looking statements that are based on assumptions as of the
date of this news release. These statements reflect management's
current estimates, beliefs, intentions and expectations. They are
not guarantees of future performance. Fosterville South cautions
that all forward looking statements are inherently uncertain and
that actual performance may be affected by many material factors,
many of which are beyond their respective control. Such factors
include, among other things: risks and uncertainties relating to
Fosterville South's limited operating history, its exploration and
development activities on is Lauriston and Golden Mountain
Properties and the need to comply with environmental and
governmental regulations. Accordingly, actual and future
events, conditions and results may differ materially from the
estimates, beliefs, intentions and expectations expressed or
implied in the forward-looking information. Except as required
under applicable securities legislation, Fosterville South does not
undertake to publicly update or revise forward-looking
information.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the Exchange)
accepts responsibility for the adequacy or accuracy of this
release.
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SOURCE Fosterville South Exploration Ltd.