Gold Mineralized Tombstone Intrusive with an Inferred
Resource of 2,474,000 oz Gold Contained in 170,993,000 tonnes
grading 0.45 g/t with a cutoff of 0.30
g/t
- Significant Exploration Potential on Approximately 22,000
Contiguous Acres
- Immediate Drill Ready with Class 3 Quartz Mining Land Use
Permit
- Established Mining Infrastructure within the Historic
Tintina Gold Belt
VANCOUVER, British Columbia,
April 9, 2021 /CNW/ -- St.
James Gold Corp. (TSXV: LORD)(OTCQB: LRDJF)(FSE:
BVU3) (the "Company" or "St. James
Gold") is pleased to announce that it has received a
technical report prepared in accordance with National Instrument
43-101 entitled Florin Gold Project NI 43-101 Technical Report,
Mayo and Dawson Mining Districts,
Yukon Territory, by Ronald G
Simpson, P.Geo. of GeoSim Services Inc., dated April 6, 2021 (the "Technical Report").
The Florin Gold Project contains an inferred resource of
2,474,000 oz gold contained in 170,993,000 tonnes grading 0.45 g/t
with a cutoff of 0.30g/t, at a $1,650 gold price. This
represents a 27% increase in total ounces of gold over the
historical 2012 inferred resource (Cole, 2012). In addition,
the resource has been upgraded from a block model and now includes
a pit whittle shell.
St. James Gold recently announced
entering into an Option and Joint Venture Agreement (the
"Transaction") with Florin Resources Inc. ("Florin"), effective
April 1, 2021 to acquire up to a 100%
interest in the Florin Gold Project, covering approximately 22,000
contiguous acres (the "Property") in the historic Tintina Gold Belt
in the Yukon Territory,
Canada. The Transaction remains subject to the approval of
the TSX Venture Exchange.
The Property lies within the Tintina Gold Belt where several
major intrusive related gold deposits have been delineated and
produced over the past few decades. These
include Kinross Gold Corporation's Fort
Knox Project proven and probable reserves of 3.37 million
ounces gold in 155 million tonnes grading 0.37 g/t gold, plus past
production of 7.5 m.oz gold: (J.Sims
2017 NI 43-101 Report); and Victoria Gold Corp.'s Eagle and
Olive deposits with mineral resource estimates, (inclusive of
proven and probable reserves of 3,261,000 oz gold in 155 million
tonnes grading 0.65 g/t gold at $1,275/oz gold), which stand for Eagle at:
measured and indicated 4,397,000 oz gold, in 217.4 million tonnes
grading 0.63 oz/t gold, and inferred 361,000 oz gold in 21.5
million tonnes grading 0.52 oz/t gold; and for Olive measured and
indicated 329,000 oz gold, and 645,000 oz silver, in 9.5 million
tonnes grading 1.98 oz/t gold, and inferred 210,000 oz gold and
400,000 oz silver in 7.3 million tonnes grading 0.89 oz/g gold
(2019 NI 43-101 Report).
The Florin Gold Property consists of 22,000 acres of contiguous
mineral claims straddling the Mayo
and Dawson Mining District boundaries and is located approximately
55 km northwest of the town of Mayo and 130 km east-southeast of Dawson
City. The Property is accessible via a network of roads from
the Klondike Highway and is close to power infrastructure via the
Mayo Hydro Dam and Victoria Gold's
operations located 29 km due east.
The Property was expanded subsequent to the 2012 report to cover
gold geochemical anomalies located during several soil geochemical
surveys over the length of the 5 km property. These
geochemical anomalies extend over much of the 22,000 acres of
gold-mineralized Tombstone intrusive rock complex, as outlined in
the current Technical Report.
Previous drilling was confined to the main gold resource area up
to and during 2011. While past exploration has established the
previously reported inferred resource, the exploration potential
remains open in all directions, both laterally and extending to
depth.
The Technical Report recommends two phases of exploration
totalling $23,000,000 as to
$8,500,000 in Phase I, and contingent
upon results from Phase I, an expenditure of $14,500,000 in Phase II. Recommended work
includes compiling all geological, geochemical and geophysical
data, filling in gaps in the extensive geochemical surveying, base
line environmental studies, check sampling of previous drill core
materials, and drilling in two phases: 20,000 metres Phase I and
40,000 metres Phase II.
A Preliminary Economic Analysis (PEA) including engineering
studies, and a mineral resource update are also recommended in
Phase II.
The Property represents a dome rising 500 metres above the
surrounding valley elevation of 1,000 meters. The
inferred resource is located within this large prospective
intrusive host rock dome that extends over 5 km in outcrop length.
A large airborne magnetic signature under the claims reflects a
large intrusive body possibly extending to over 1,000 meters in
depth, thus suggesting a gold potential comparable in geological
setting to the Tombstone porphyry suite deposits found elsewhere in
the district.
As stated by George
Drazenovic, CEO of St. James Gold Corp., "We are
buoyed by the updated resource for the Florin Gold project and are
eager to commence our exploration of what we believe
to be one of the largest undeveloped pure gold resource projects in
the Yukon. The inferred resource remains open in all
directions and at depth, and in addition, there are several large
untested zones. The inferred resource represents only a
modest portion of the extensive land package, and the compiled
geochemical and geophysical data suggest that gold mineralization
remains open in all directions."
The Florin Gold Project is Drill Ready
Florin, as operator for the Property, holds a Class 3 Quartz
Mining Land Use Permit, allowing for an immediate drilling program
this summer. A joint technical committee comprised of
representatives from Florin and St. James
Gold will be formed to implement a work program.
Dr. Stewart Jackson, P Geo,
senior technical adviser geologist, a Qualified Person within
the meaning of National Instrument 43-101 (Standards of Disclosure
for Minerals Projects), has reviewed and approved the technical and
scientific information presented herein as accurate and approved
this news release.
About St James Gold Corp.
St. James Gold Corp. is a publicly traded company listed on the TSX
Venture Exchange under the ticker "LORD", in the U.S. Market listed
on OTCQB under "LRDJF" and on Frankfurt Stock Exchange under
"BVU3". The company is focused on creating shareholder value
through the discovery and development of economic mineral deposits
by acquiring prospective exploration projects with well delineated
geological theories, integrating all available geological,
geochemical and geophysical datasets, and funding efficient
exploration programs. The Company currently holds both an
option to acquire a 100% interest in 29 claims covering 1,791 acres
in the Gander gold district in north-central Newfoundland adjacent to New Found Gold
Corp.'s Queensway North project, and an option to acquire a 100%
interest in 28 claims covering 1,730 acres in central Newfoundland adjacent to Marathon Gold's
Valentine Lake property. The
Company also announced an Option and Joint Venture Agreement
effective April 1, 2021 to acquire up
to a 100% interest in the Florin Gold Project, covering nearly
22,000 contiguous acres in the historic Tintina Gold Belt in the
Yukon Territory. For more corporate information please visit:
http://stjamesgold.com/
George Drazenovic, CPA, CGA, MBA,
CFA
Forward Looking Statements
The foregoing includes forward looking statements which by their
nature are subject to risks and uncertainties. In particular there
is no assurance that the Company will be successful in its search
for high value gold assets in North
America. The Company's ability to acquire such assets is
subject to supply and demand in the market for such assets and the
financial ability of the Company to acquire such assets or obtain
financing needed to acquire such assets if identified none of which
is certain or can be guaranteed.
The project is subject to TSX Venture Exchange approval prior to
initiation of exploration on the property.
NEITHER THE 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.
St. James Gold Corp.
For further information, please contact:
George Drazenovic, Chief Executive
Officer
Tel: 1 (800) 278-2152
Email: info@stjamesgold.com
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SOURCE St. James Gold Corp.