1.60 MILLION OUNCES TOTAL MEASURED AND
INDICATED AND
2.16 MILLION OUNCES INFERRED
TORONTO, May 2, 2018 /CNW/ - Barkerville Gold
Mines Ltd. (BGM – TSX-V) ("BGM" or the "Company")
is pleased to announce the maiden Mineral resource estimate for Cow
and Island Mountain deposits at its 100% owned Cariboo Gold Project
located in Wells, B.C. The
underground mineral resource estimate incorporates the Cow Mountain
("Cow") and Valley Zones ("Valley") on Cow Mountain
and Shaft Zone ("Shaft") and Mosquito Creek
("Mosquito") on Island Mountain at a cut-off grade of 3.0
g/t Au ("grams per metric tonne"). A mineral resource
on Bonanza Ledge and BC Vein is also included. The
resource is defined over 6 kilometers of BGM's 67-kilometer-long
land package. Infill and exploration drilling is ongoing and
resource updates will be presented annually. The mineral resource
estimate was conducted by Talisker Exploration Services Inc. and
validated by InnovExplo Inc., an independent consulting firm based
out of Val-d'Or, Quebec.
Cariboo Gold Project Mineral Resource
- 1.60 million ounces of gold in the measured and
indicated category (8.1 million tonnes grading 6.1 g/t Au)
- 2.16 million ounces of gold in the inferred category
(12.7 million tonnes grading 5.2 g/t Au)
The maiden Mineral resource estimate for Cow and Island Mountain
deposits is built upon over 210,000 meters of diamond
drilling from BGM's 2016 and 2017 drill campaigns, and
historically verified drill data using a total of 2,328
drillholes. The mineral resource estimate is supported by a
robust 3D litho-structural model of the gold-bearing vein
corridors. A strong understanding of the controls of mineralization
enabled the Company's technical team to construct a mineral
resource estimate constrained by lithology, alteration, structure
and mineralization. A total of 181 vein corridors were
modelled.
Table 1: 2018 Cariboo Gold Project Underground Mineral Resource
Estimate reported at a 3.0 g/t Au cut-off grade
|
Cariboo Gold
Project Mineral Resources
|
Deposit
|
Tonnes
|
Au
(g/t)
|
Au
Oz
|
Measured
|
|
Bonanza
Ledge
|
264,000
|
7.3
|
61,900
|
Indicated
|
|
|
|
|
Bonanza
Ledge
|
63,400
|
4.8
|
9,700
|
|
BC Vein
|
444,900
|
6.4
|
91,600
|
|
Mosquito
|
247,000
|
9.5
|
75,700
|
|
Shaft
|
4,373,200
|
5.9
|
835,600
|
|
Valley
|
769,600
|
5.8
|
142,700
|
|
Cow
|
1,947,800
|
6.1
|
381,800
|
Total
Indicated
|
7,845,900
|
6.1
|
1,537,100
|
Total Measured and
Indicated
|
8,109,900
|
6.1
|
1,599,000
|
|
|
|
|
Inferred
|
|
|
|
|
BC Vein
|
173,400
|
4.6
|
25,400
|
|
Mosquito
|
699,200
|
6.0
|
135,600
|
|
Shaft
|
7,357,000
|
5.1
|
1,213,000
|
|
Valley
|
2,454,300
|
5.4
|
423,400
|
|
Cow
|
2,047,300
|
5.4
|
358,300
|
Total
Inferred
|
12,731,200
|
5.2
|
2,155,700
|
Given the nature of these vein corridors, extensions down dip
and along strike are highly plausible. Drilling has occurred
to depths of 600 meters from surface. BGM plans to drill down dip
and along strike of mineralized vein corridors to define additional
resources at Cow and Island Mountain. BGM intends to drill
underground once permitting and construction of an exploration
drift is complete. The mineral resource estimate reported herein
represents the first mineral resource estimate on Cow and Island
published by the new management team. The robust 3D
litho-structural model that defines the controls of mineralization
allows the exploration team to define additional mineral resource
much more efficiently, lowering the cost per discoverable ounce.
This model can be applied to the remaining 65 kilometers of
strike.
In accordance with National Instrument 43-101 – Standards of
Disclosure for Mineral Projects ("NI 43-101"), an updated
technical report for the Cariboo Gold Project will be filed on
SEDAR and the Company's website within 45 calendar days of this
disclosure.
Chris Lodder, President and CEO
of BGM commented, "The discovery of this initial, robust,
underground resource coupled with our planned exploration decline
at Cow and Island Mountain as well as unparalleled potential for
significant resource expansion at depth and on strike, places BGM
on a path to become a significant gold mining company in
Western Canada."
Mineral Resource Estimate for Cow and Island
Mountain deposits
The mineral resources disclosed in this press release were
estimated using the Canadian Institute of Mining, Metallurgy and
Petroleum ("CIM") standards on mineral resources and reserves
definitions, and guidelines prepared by the CIM standing committee
on reserve definitions and adopted by the CIM council.
- Mineral resources are not mineral reserves and do not have
demonstrated economic viability. There is no certainty that all or
any part of the Mineral Resources estimated will be converted into
Mineral Reserves.
- Geologic and vein corridor modeling was completed by BGM
Chief Resource Geologist Tessa Scott, P.Geo. A total of 181 vein
corridors were modelled at a minimum thickness of 2.0
meters.
- The drill data includes all historically verified and
validated data and drilling from the 2016 and 2017 exploration
campaigns.
- Resource Estimation was completed by Talisker Exploration
Services Geologist Leonardo Souza, MAusIMM (CP).
- Each of Christine Beausoleil,
P.Geo and Carl Pelletier, P.Geo, of
Innovexplo Inc. has reviewed and validated the mineral resource
estimate and are both independent "Qualified Person" (as defined in
NI 43-101) responsible for the 2018 mineral resource estimate. The
effective date of the 2017 mineral resource estimate is
May 2, 2018.
- Results are in-situ and undiluted.
- The mineral resource estimate is reported at a cut-off grade
of 3.00 g/t Au. Cut-off grades must be re-evaluated considering
prevailing market conditions (including gold prices, exchange rates
and mining costs).
- An average density of 2.75 g/cm3 was established
for all zones.
- Samples are composited within the vein corridor solids and
lengths vary by zone (Cow 3.0 m,
Valley 1.4 m, Shaft 2.0 m, and Mosquito 3.0
m).
- A three-step capping procedure has been applied to composite
data for each zone. Capping was implemented at three distances for
each deposit and ranges from 15 to 60
m depending on the zone.
- Resources were estimated using Datamine Studio RM 1.3 software within the modeled vein corridors
using hard boundaries. Ordinary Kriging interpolation method was
used to estimate the resource in a sub-blocked model (parent block
size = 5 meters x 5 meters x 5 meters).
- The inferred and indicated resource categories were
constructed manually for each vein corridor.
-
- For blocks to be categorized as indicated, blocks must be
informed by two drill holes with a minimum distance of
approximately 25 m to the nearest
drill hole. The classification can extend for 30 m where the mineralization trend was
demonstrated by multiple adjacent holes.
- For blocks to be categorized as inferred, the blocks must be
informed by two drill holes witha minimum distance of
approximately 50 m to the nearest
drill hole. The classification can extend up to 100 m as the vein corridor model is tightly
constrained.
- Ounce (troy) = metric tons x grade / 31.10348. Calculations
used metric units (meters, tonnes, g/t).
- The number of metric tons was rounded to the nearest
hundred. Any discrepancies in the totals are due to rounding
effects; rounding followed the recommendations as per NI
43-101.
- Neither the Company nor InnovExplo Inc. is aware of any
known environmental, permitting, legal, title-related, taxation,
socio-political, marketing or other relevant issue that could
materially affect the mineral resource estimate
- The quantity and grade of reported Inferred Mineral
Resources in this estimation are uncertain in nature and there has
been insufficient exploration to define these Inferred Mineral
Resources as an Indicated Mineral Resource and it is uncertain if
further exploration will result in upgrading them to an Indicated
Mineral Resource category.
- All figures have been rounded to reflect the relative
precision of the estimates. Mineral Resources are reported at a
cut-off grade of 3.0 g/t gold based on CAD $1,664 per troy ounce gold and gold metallurgical
recoveries of 87.4 percent.
Mineral Resource Estimate for Barkerville
Mountain
- The 2018 MRE was prepared by Christine Beausoleil, P.Geo. and Carl Pelletier, P.Geo, of InnovExplo Inc., both
indedpendent qualified persons as defined by NI 43 101. The
effective date of the estimate is May 1,
2018.
- These Mineral Resources are not Mineral Reserves as they do
not have demonstrated economic viability.
- Results are presented in-situ and undiluted.
- The estimate includes two (2) gold zones.
- The official underground resource is reported at a cut-off
grade of 3.00 g/t Au. Cut-off grades must be re-evaluated in light
of prevailing market conditions (gold price, exchange rate and
mining cost).
- Density (g/cm3) data was established on a per zone basis and
ranges from 2.72 to 3.20 g/cm3.
- A minimum true thickness of 2.0
m was applied, using the grade of the adjacent material when
assayed, or a value of zero when not assayed.
- Compositing was done on drill hole sections falling within
the mineralized zones (composite = 2.0
m for BC Vein and Bonanza Ledge; distributed
tails).
- High-grade capping (g/t Au) was done on composited data and
varies from 32 to 70 g/t Au based on the statistical analysis of
individual mineralized zones. Restricted search ellipsoids were
used during the BC Vein interpolation using 1/2 variographic ranges
and a threshold of 21 g/t Au.
- Resources were estimated using GEOVIA GEMS 6.7 software from
drill hole sampling, using a 2-pass Ordinary Kriging interpolation
method in a block model (block size = 2
m x 2 m x 5 m).
- The Inferred category is only defined within areas where
blocks were interpolated during Pass 1 or Pass 2 where continuity
is sufficient to avoid isolated blocks being interpolated by only
one drill hole, and isolated blocks were reclassified as
"exploration potential" on a visual basis. The Indicated category
is only defined by blocks interpolated by a minimum of two drill
holes in areas where the maximum distance to drill hole composites
is less than 20 m for blocks
interpolated in Pass 1. The Measured category is only defined by
blocks interpolated by a minimum of three drill holes in areas
where the maximum distance to the closest drill hole composite is
less than 10 m for blocks
interpolated in Pass 1 and in close proximity with the sampled open
pit (< 40m).
- Ounce (troy) = metric tons x grade / 31.10348. Calculations
used metric units (metres, tonnes, g/t).
- The number of metric tons was rounded to the nearest
hundred. Any discrepancies in the totals are due to rounding
effects; rounding followed the recommendations in NI 43
101
- InnovExplo is not aware of any known environmental,
permitting, legal, title-related, taxation, socio-political,
marketing or other relevant issue that could materially affect the
mineral resource estimate
About the Cariboo Gold Project
The Company is focused on developing its extensive
mineral rights package located in the historical Cariboo Mining
District of central British
Columbia. BGM's Cariboo Gold Project mineral tenures cover
1,950 square kilometres; along a strike length of 67 kilometres
which includes several past producing placer and hard rock mines,
making it one of the most well-endowed land packages in
British Columbia. Since the
management change in mid-2015, the Company has unlocked the
fundamental structural controls of gold mineralization. The
Company's Brownfield's exploration team is focused on developing
and delineating a mineable resource within the 7 kilometers of
principle project area located near the town of Wells, British Columbia. The Company's
Greenfield's team is developing quality exploration assets
throughout the remaining land package through systematic,
scientific, exploration. The operation's team is focused on
developing and mining the Bonanza Ledge and BC Vein deposits on
Barkerville Mountain. This operation allows the company to
generate near term cash flow, train a local work force, keeps the
present mining permit active, and de-risk's the project through
staged production growth. Processing of material from these
deposits is processed at the QR mill. QR is a fully owned,
permitted mill and tailings facility, located approximately 110
kilometres away from Wells, and
can be accessed by an all-season road.
QA/QC and Core Sampling Protocols
Once received from the drill and processed, all drill core
samples are sawn in half, labelled and bagged. The remaining
drill core is subsequently stored on site at the Company's secure
facility in Wells, BC.
Numbered security tags are applied to lab shipments for chain of
custody requirements. The Company inserts quality control
(QC) samples at regular intervals in the sample stream, including
blanks and reference materials with all sample shipments to monitor
laboratory performance. The QAQC program was designed and approved
by Lynda Bloom, P.Geo. of Analytical
Solutions Ltd., and is overseen by the Company's Qualified Person,
Maggie Layman, P.Geo., Vice
President Exploration.
Drill core samples are submitted to ALS Geochemistry's
analytical facility in North Vancouver,
British Columbia for preparation and analysis. The ALS
facility is accredited to the ISO/IEC 17025 standard for gold
assays and all analytical methods include quality control materials
at set frequencies with established data acceptance criteria. The
entire sample is crushed and 250 grams is pulverized. Analysis for
gold is by 50g fire assay fusion with atomic absorption (AAS)
finish with a lower limit of 0.01 ppm and upper limit of 100 ppm.
Samples with gold assays greater than 100 ppm are re-analyzed using
a 1,000g screen metallic fire assay. A selected number of samples
are also analyzed using a 48 multi-elemental geochemical package by
a 4-acid digestion, followed by Inductively Coupled Plasma Atomic
Emission Spectroscopy (ICP-AES) and Inductively Coupled Plasma Mass
Spectroscopy (ICP-MS).
Qualified Persons and 43-101 Disclosure
As per National Instrument 43-101 Standards of Disclosure for
Mineral Projects, Maggie Layman,
P.Geo. Vice President Exploration, is the Qualified Person for the
Company and has prepared, validated and approved the technical and
scientific content of this news release. The Company strictly
adheres to CIM Best Practices Guidelines in conducting,
documenting, and reporting its exploration activities on the
Cariboo Gold Project.
The Independent and Qualified Persons for the Mineral Resources
Estimate update, as defined by NI 43-101, is Christine Beausoleil, P.Geo., and Carl Pelletier, P.Geo., both of InnovExplo Inc.
and confirm having reviewed this press release and that the
scientific and technical information is consistent.
ON BEHALF OF THE BOARD
"Chris
Lodder"
Chris Lodder, President, CEO
& Director
SOURCE Barkerville Gold Mines Ltd.