VANCOUVER, Oct. 21, 2019 /CNW/ - Freegold Ventures
Limited (Freegold) (FVL: TSX) is pleased to announce the completion
of the 2019 drilling program at Shorty Creek. During the 2019
program 100 km of induced polarization and 98 km of ground magnetic
surveys were completed. In addition 543 soil samples were
collected. A diamond drill program commenced in mid August and
a total of 5 holes (1,542 metres) were drilled. Difficult drill
conditions resulted in the abandonment of three holes. Two holes
were abandoned before their target depth on Hill 1835 and one hole
on Hill 1710 area was also abandoned before reaching target
depth. Results of the program will be released once
received. Samples are currently being shipped for
analysis.
Located 120 km northwest of Fairbanks, the Shorty Creek project was
identified as having significant porphyry potential by Freegold in
late 2014. Shorty Creek hosts a cluster of magnetic anomalies
commonly seen in porphyry districts. Drilling has been largely
concentrated on the Hill 1835 area; however, it is only one of the
potentially significant targets within the property area.
Twelve widely spaced historic holes drilled to an average depth of
500 metres have expanded the mineralized zone to over a 750 x 400
metre area with each hole intersecting significant and consistent
copper, gold, silver and tungsten mineralization over broad widths
from base of oxide material (average depth~ 90 metres). The target
remains open both laterally and to depth.
Two (2) km to the northwest of Hill 1835 is Hill 1710, which
hosts a large copper and molybdenum geochemical anomaly coincident
with a 6 km long broad magnetic anomaly. Initial drill testing in
2016 consisted of four holes testing 1.6 km of strike length of
this magnetic feature. Drilling intersected porphyry style
mineralization, with copper grades increasing to the northeast. The
magnetic anomaly extends another 2.5 km to the northeast from the
limits of the 2016 drilling.
The 2019 program was fully funded under the agreement with a
wholly owned subsidiary of South32 Limited (South32) whereby
South32 has the option to earn a 70% interest in the Shorty Creek
property. To maintain the option in good standing South32 must
contribute minimum exploration funding of US$10 million over a 4-year option period with
minimum exploration expenditures of US$2
million in Years 1 and 2 and US$3
million in Years 3 and 4 for an aggregate of US$10 million. South32 may exercise its
option to subscribe for 70% of the shares of a newly formed project
company by committing US$30 million
to the newly formed company, less the amount of exploration
expenditure contributed by South32 during the option period
following the completion of each annual program. Freegold
shall act at as the Operator during the option
period.
Other exploration targets within this promising 100 square
kilometre property include the Quarry target, where oxidized
porphyritic rock with stockwork veining returned values of 500 ppm
copper in rock samples. Quarry lies 3 km north northeast of Hill
1835 at the northern end of an 11 km long magnetic high. Sampling
at Quarry has confirmed both the presence of copper mineralization
and quartz feldspar porphyry outcrops
Golden Summit
At Golden Summit, planning is currently underway for a drill
program expected to commence early in the New Year. The program
will test a revised interpretation based on Freegold's work over
the past few months which indicates that the higher grade
mineralization may extend to the west of the old Cleary Hill Mine workings in a previously
undrilled area. As the district's highest grade historical
underground mine Cleary Hill
produced 281,000 ounces at an average grade of 1.3 oz. per/t before
production ceased in 1942. The potential for higher grade
could potentially increase the overall resource
grade.
The Qualified Person for this release is Alvin Jackson, P.Geo – Vice President
Exploration and Development for the Company who has reviewed and
approved the scientific and technical information contained in this
press release.
About Freegold Ventures Limited
Freegold is a TSX
listed company focused on exploration in Alaska and holds through leases the Golden
Summit Gold Project, near Fairbanks as well the Shorty Creek Copper
–Gold Project near Livengood.
About South32
South32 is a globally diversified mining and metals company. It
produces bauxite, alumina, aluminium, energy and metallurgical
coal, manganese, nickel, silver, lead and zinc at its operations in
Australia, Southern Africa and South America. It is also the owner of a
high-grade zinc, lead and silver development option in North America and has several partnerships
with junior explorers with a focus on base metals.
Some statements in this news release contain forward-looking
information, including without limitation statements as to planned
expenditures and exploration programs. These statements address
future events and conditions and, as such, involve known and
unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements to be materially
different from any future results, performance or achievements
expressed or implied by the statements. Such factors include
without limitation the completion of planned expenditures, the
ability to complete exploration programs on schedule and the
success of exploration program.
SOURCE Freegold Ventures Limited