GFG Resources Inc. (TSXV: GFG) (OTCQB: GFGSF)
(“
GFG” or the “
Company”) hits
high-grade gold in its first drill hole from the Company’s Phase 1
2024 drill program at Aljo, located on the Goldarm Property
(“
Goldarm”) in the prolific Timmins Gold District
of Ontario, Canada.
In June, the Company completed 5 holes (1,700 m)
focused on testing the downdip and lateral extensions of the
historic Aljo Mine and completed step-out holes related to the
Company’s 2023 drill program (See Figures 2-4).
Drilling was successful in expanding known mineralized zones and
identifying new zones of gold mineralization which host significant
visible gold and tellurides. Follow-up drilling at Aljo is planned
to start later in the third quarter of 2024.
“We are thrilled to have hit significant visible
gold early on in our exploration program at the Aljo target,”
states Brian Skanderbeg, President and CEO of GFG. “The strongest
drill results we have seen to date not only demonstrate the
potential for high-grade gold, but also highlight the growth
opportunities at Aljo. The continuity of the gold system with
mineralized stacked veins throughout the system is incredibly
promising. We eagerly anticipate the release of further drill
results, as our logging has already identified numerous intervals
with significant visible gold and tellurides in the remaining drill
holes. This is just the beginning of what we believe will be a
highly successful exploration program at Aljo.”
Commentary on Assay Results (See Figures
3-5) ALJ-24-012 was drilled to test
the down-dip and lateral extension of gold mineralization below
historical underground workings of the Aljo Mine and to follow-up
on high-grade intercepts in ALJ-23-004 which yielded several
high-grade zones with significant visible gold including 3.65 g/t
Au over 6.3 m and 13.35 g/t Au over 3.6 m within the Aljo Main and
Footwall zones, respectively. The current hole also allowed for
additional testing of the Aljo HW Zone that has yielded historical
drill intercepts up to 3.03 g/t Au over 12.9 m including 59.80 g/t
Au over 0.6 m with coarse visible gold (1). The
new high-grade intercept of the Aljo HW zone in hole ALJ-24-012
yielded 13.94 g/t Au over 7.1 m including 15.92 g/t Au over
6.0 m, a significant improvement from previous drill
intercepts and underscores the importance of this zone given that
it’s shallow depth and that it was never part of the historic
underground development. Strong visible gold-bearing, veined
intervals have been logged further down-hole that are interpreted
to reflect the dip-continuity of the veins developed in the
historic mine and/or new footwall vein systems (See Figures
3- 5).
Gold is observed to have an association with
structural corridors, proximal to felsic and mafic porphyry dyke
margins and with minerals in varying percentages such as:
chalcopyrite, telluride +/- sphalerite, molybdenum, and galena. The
strongest association, however, is the presence of sheeted grey to
white, or mottled green to blue-grey veins and vein-swarms in both
a north-northwest and northeast orientation, consistent with
historic underground workings. Alteration throughout the hole is
often observed proximal to faulted or sheared intervals, or in
association with fractured veins.
Anders Carlson, Vice President, Exploration of
GFG commented, “We’re encouraged by the latest round of drilling at
Aljo given the significant amount of coarse visible gold and
tellurides observed in drill core. In particular, the grade
consistency across the 7-metre-wide intercept at the Aljo HW zone
gives us the confidence to start testing it at a wider spacing to
see how big the gold system is. Our understanding of the Aljo
system is improving with each drill hole and the system continues
to be expanded at depth and laterally.”
Table 1: Aljo Mine Target Assay Results
for Hole ALJ-24-012
Hole ID |
From (m) |
To (m) |
Length (m) |
Au (g/t) |
Zone |
Visible Gold |
ALJ-24-012 |
8.0 |
16.0 |
8.0 |
0.86 |
Aljo HW |
VG |
and |
19.1 |
27.5 |
8.4 |
0.81 |
Aljo HW |
VG |
and |
72.2 |
79.3 |
7.1 |
13.94 |
Aljo HW |
VG |
incl. |
73.3 |
79.3 |
6.0 |
15.92 |
Aljo HW |
VG |
and |
100.0 |
113.3 |
13.3 |
1.71 |
Aljo HW |
VG |
incl. |
112.4 |
113.3 |
0.9 |
19.20 |
Aljo HW |
VG |
* Drill intercepts are
presented using a 0.20 g/t Au cut-off and as drilled
length with a minimum 5 gram-metre product. Composites include
internal dilution of up to 3 m at grades less than 0.2 g/t
Au. Included intervals are calculated using a 3 g/t cut-off at
a minimum 5 gram-metre product unless otherwise stated. True width
is estimated to be 30 to 90% of drilled length.
Outlook During the second half
of 2024, the Company plans to drill approximately 4,000 m with a
focus on the Aljo target.
In addition to the drill programs, surface
exploration programs remain on-going across all 3 projects with the
objective of implementing new strategies to effectively explore all
three regional properties. These programs will continue through the
second half of the year. The Company’s surface exploration programs
have yielded multiple new drill targets with specific attention to
the new Muskego target.
The Muskego target was outlined by base-of-till
sampling on the west side of the Pen Gold Project (See Figure 6).
The Muskego area is an expansive swamp and has no outcrop, which
has impeded historic exploration efforts. Detailed geophysical and
geochemical analyses and modelling continues to refine this
priority drill target and several associated new gold targets have
emerged and are being refined towards drill ready stage. Further
updates on Muskego will be provided as data becomes available.
LIVE INVESTOR WEBINAR Join
Brian Skanderbeg, CEO of GFG for a LIVE virtual event tomorrow,
Tuesday, August 20 at 12:00 pm Eastern Time.
Click HERE
to register for the event.
Figure 1: Regional Map of GFG Gold
Projects in the Timmins Gold District
Figure 2: Goldarm Property Plan View
Map
Figure 3: Aljo Target Plan View
Map
Figure 4: Aljo Target
Cross-Section
Figure 5: Visible Gold Core Photos of
Hole ALJ-24-012
Figure 6: Pen Gold Project – Muskego
Target
About GFG Resources Inc. GFG is
a North American precious metals exploration company focused on
district scale gold projects in tier one mining jurisdictions,
Ontario and Wyoming. In Ontario, the Company operates three gold
projects, each large and highly prospective gold properties within
the prolific gold district of Timmins, Ontario, Canada. The
projects have similar geological settings that host most of the
gold deposits found in the Timmins Gold Camp which have produced
over 70 million ounces of gold. The Company also owns 100% of the
Rattlesnake Hills Gold Project (“RSH”), a district
scale gold exploration project located approximately 100 km
southwest of Casper, Wyoming, U.S. On August 15, 2024, the Company
signed a definitive agreement with Patriot Gold Vault Ltd.
(“Patriot”). Under the terms of the Agreement,
Patriot will purchase RSH by paying GFG an aggregate consideration
of approximately C$3.3 million.
For further information, please contact: Brian
Skanderbeg, President & CEOor Marc Lepage, Vice President,
Business Development Phone: (306) 931-0930 Email:
info@gfgresources.comWebsite: www.gfgresources.com
Stay Connected with UsX
(Twitter): @GFGResources LinkedIn:
https://www.linkedin.com/company/gfgresources/ Facebook:
https://www.facebook.com/GFGResourcesInc/
Footnote: (1) Drill intercepts
are historical and GFG’s QP has not verified the laboratory
accreditation, analytical method, sample size or QA/QC procedures
utilized for the historic drill results. True widths have not been
estimated.
Sampling and Quality Control
All scientific and technical information contained in this press
release has been prepared under the supervision of Anders Carlson,
P.Geo. and Vice President, Exploration of GFG, a qualified person
within the meaning of National Instrument 43-101.
Drill core samples are being analyzed for gold
by Activation Laboratories Ltd. in Timmins, Ontario. Gold analysis
consists of the preparation of a 500-gram pulp and an assay of a
50-gram aliquot by Pb collection fire assay with an Atomic
Absorption Spectrometry finish (Package 1A2-50). Samples assaying
above 5 ppm Au are routinely re-run using a gravimetric finish
(Package 1A3-50). Mineralized zones containing visible gold are
analyzed by a screen metallic fire assay method. Selected samples
are also undergoing multi-element analysis for 59 other elements
using a four-acid digestion and an ICP-MS finish (Package MA250) by
Bureau Veritas Commodities Canada Ltd. in Vancouver, British
Columbia. Quality control and assurance measures include the
monitoring of results for inserted certified reference materials,
coarse blanks and preparation duplicates of drill core.
Drill intercepts are presented using
a 0.20 g/t Au cut-off and as drilled
length. Composites include internal dilution of up to 3 m at
grades less than 0.2 g/t Au. True width is estimated to be 30
to 90% of drilled length. Sampling protocols, quality control
and assurance measures and geochemical results related to historic
drill core samples quoted in this news release have not been
verified by the Qualified Person and therefore must be regarded as
estimates.
Neither TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
CAUTION REGARDING FORWARD-LOOKING
INFORMATIONAll statements, other than statements of
historical fact, contained in this news release constitute
“forward-looking information” within the meaning of applicable
Canadian securities laws and “forward-looking statements” within
the meaning of the United States Private Securities Litigation
Reform Act of 1995 (referred to herein as “forward-looking
statements”). Forward-looking statements include, but are not
limited to, the Company’s future exploration plans with respect to
its property interests and the timing thereof, the prospective
nature of the projects, future price of gold, success of
exploration activities and metallurgical test work, permitting time
lines, currency exchange rate fluctuations, requirements for
additional capital, government regulation of exploration work,
environmental risks, unanticipated reclamation expenses, title
disputes or claims and limitations on insurance coverage.
Generally, these forward-looking statements can be identified by
the use of forward-looking terminology such as “plans”, “expects”
or “does not expect”, “is expected”, “budget”, “scheduled”,
“estimates”, “forecasts”, “intends”, “anticipates” or “does not
anticipate” or “believes”, or the negative connotation thereof or
variations of such words and phrases or state that certain actions,
events or results, “may”, “could”, “would”, “will”, “might” or
“will be taken”, “occur” or “be achieved” or the negative
connotation thereof.
All forward-looking statements are based on
various assumptions, including, without limitation, the
expectations and beliefs of management, the assumed long-term price
of gold, that the Company will receive required permits and access
to surface rights, that the Company can access financing,
appropriate equipment and sufficient labour, and that the political
environment within Canada and the United States will continue to
support the development of mining projects in Canada and the United
States. In addition, the similarity or proximity of other gold
deposits to the Company’s projects is not necessary indicative of
the geological setting, alteration and mineralization of the
Rattlesnake Hills Gold Project, the Goldarm Property, the Pen Gold
Project and the Dore Gold Project.
Forward-looking statements are subject to known
and unknown risks, uncertainties and other factors that may cause
the actual results, level of activity, performance or achievements
of GFG to be materially different from those expressed or implied
by such forward-looking statements, including but not limited to:
actual results of current exploration activities; environmental
risks; future prices of gold; operating risks; accidents, labour
issues and other risks of the mining industry; availability of
capital, delays in obtaining government approvals or financing; and
other risks and uncertainties. These risks and uncertainties and
the additional risks described in the Company’s most recently filed
annual and interim MD&A are not, and should not be construed as
being, exhaustive.
Although GFG has attempted to identify important
factors that could cause actual results to differ materially from
those contained in forward-looking statements, there may be other
factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove
to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. In addition,
forward-looking statements are provided solely for the purpose of
providing information about management’s current expectations and
plans and allowing investors and others to get a better
understanding of our operating environment. Accordingly, readers
should not place undue reliance on forward-looking statements.
Forward-looking statements in this news release
are made as of the date hereof and GFG assumes no obligation to
update any forward-looking statements, except as required by
applicable laws.
Photos accompanying this announcement are
available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/e1080c7c-29d5-4f7d-885c-8067c2bbf80c
https://www.globenewswire.com/NewsRoom/AttachmentNg/2a98617e-9215-4b51-833e-3651ab6c8fa7
https://www.globenewswire.com/NewsRoom/AttachmentNg/21337c9c-3903-438b-a5a5-4d424f76d5e1
https://www.globenewswire.com/NewsRoom/AttachmentNg/52ee70a0-a41d-47cd-8779-3fc46d4692da
https://www.globenewswire.com/NewsRoom/AttachmentNg/67f7d7a1-a795-482d-bf22-8ef701962799
https://www.globenewswire.com/NewsRoom/AttachmentNg/9e6de5bc-7e05-4f2e-aec7-5fd8267a82d0
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