SOKOMAN IRON RECEIVES REVISED MOOSEHEAD MODELING:
MULTIPLE TARGETS PROPOSED
Puslinch, ON, May 25, 2018 – Sokoman Iron Corp. (‘Sokoman‘ or ’the Company‘) (TSX-V: SIC) is pleased to announce it has received from Minorex Consulting Limited (‘Minorex’) of Aldergrove, B.C. an updated model of the gold-bearing mineralization within the Moosehead Project All historic drilling (110 holes) has now been modelled, and this work has identified a number of targets that the company will now test with a Phase I, 2,000-metre diamond drilling program. A total of 20 holes have been proposed of which 11 holes (1,310 m) are considered First Priority. The remaining 690 meters will be distributed among the Second Priority and reconnaissance targets. The drilling program will focus on three main target areas at Moosehead, specifically the Western and Eastern Trends (see attached plan map), and the reconnaissance targets.
The program will start with verification and expansion of the near surface (less than 50 m deep) high grade mineralization in the Western Trend, intersected in multiple historical holes including MH-01-13, MH-01-23, etc. as tabled below*. The modeling also took into account the results of the 2016 structural study completed at Moosehead which suggested that many of the previous drilling programs were not oriented to optimally test the mineralization. The proposed holes in the Phase I program (except for the deep target), will be oriented to test the findings and recommendations of the structural study. The distribution of the First Priority holes was also designed with consideration for any future resource estimates that may be completed at Moosehead.
The second aspect to be tested will be the depth potential of the mineralization beneath the near surface mineralization (between 50 and 150 m depth), including the lone “deep” intercept in MH-03-15 (Eastern Trend) returning 2.35 m grading 53.36 g/t Au including 0.45 m grading 277.96 g/t Au at a down hole depth of 255.36 m.
The company also plans to test, with two to three reconnaissance holes, areas of anomalous soil geochemistry (values ranging from less than detection to 79 ppb Au) and unsourced float (sample 12159 that assayed 180 g/t Au) lying to the north and east of the main zone of mineralization and believed to indicate a source(s) independent of the main zone. (Note: soil and rock sample values stated are historical in nature and not verified by Sokoman Iron.)
Timothy Froude, P. Geo., Interim CEO states: “We are extremely pleased with the end results of the modelling completed by Minorex. The work that Minorex has done clearly demonstrates potential for success both in the near surface and deeper target areas. The Phase I program will be the first diamond drilling to be initiated at Moosehead since 2004. We are expecting permits within the coming weeks with a view to commencing drilling in the latter part of May.”
The Moosehead project is host to widespread, orogenic lode gold mineralization that has been intersected over a two km long by 500 m wide zone, locally with very high gold grades as shown below.
*Note: Historical drill results reported in this release were from saw cut NQ sized drill core with analysis carried out by either ALS Chemex in Vancouver, B.C., XRAL Laboratories in Don Mills, ON, or, Chimitec Laboratories in Val d’Or, QC. Vein material was analyzed by a 1000 gram metallic screen preparation and fire assay analysis, with standard fire assay for the remaining samples. A 32 element ICP scan was also completed on all samples. The work is historical in nature and non NI 43-101 compliant and Sokoman has not yet independently verified the data. True width of selected intercepts may vary between 30-100% of the reported interval.
The Moosehead property is strategically located in north-central Newfoundland with the TransCanada Highway crossing the northern portion of the property, and Route 360 lying 1.2 kms northwest of most previous drilling. The town of Grand Falls-Windsor lies 20 km west of the property, and the town of Gander is located 75 km to the east. The deep-water port of Botwood lies 17 km north of the property. In addition, secondary roads and drill trails offer excellent access to virtually the entire property. Moosehead lies 33 km northwest of Sokoman’s Clarks Brook Gold project where assays from the recently completed Phase II drilling program (594 m) successfully extended the known mineralized trend and intersected a second, subparallel zone of gold mineralization (April 4, 2018 News Release).
On November 10, 2017, Altius Resources Inc. and Sokoman Iron Corp. entered into a definitive agreement whereby Sokoman has the exclusive right to acquire a 100% interest (subject to an existing 0.5% NSR royalty in Altius Resources Inc’s high-grade Moosehead Gold Project in central Newfoundland (the ‘Option’). On March 23, 2018, Sokoman announced that the TSX Venture Exchange had accepted for filing all of the documents in regard to the Moosehead property transaction as previously announced on November 9, 2017. Sokoman has also issued the share payment and related warrant certificate to Altius Minerals Inc. (‘Altius’) consisting of 7,754,371 common shares and 1,428,571 share purchase warrants. Upon closing, Altius will hold a total of 9,182,942 common shares of Sokoman Iron Corp. which represents 19.9% of the outstanding shares of Sokoman at the time of the closing of Sokoman’s November 2017 financing. The issued share purchase warrants have a strike price of 5 cents good for three years after the date of the closing.
The gold mineralization was modelled by Douglas Blanchflower, P. Geo., a consulting geologist with Minorex. Mr. Blanchflower has forty-seven years of applied mineral exploration experience including the past thirty-six years with Minorex specializing in the exploration and development of bulk and lode gold-silver, volcanogenic massive sulphide and porphyry-type mineral deposits.
This news release has been reviewed and approved by Timothy Froude, P. Geo., a “Qualified Person” under National Instrument 43-101 and Interim CEO for Sokoman Iron Corp.
About Sokoman Iron Corp.
Sokoman Iron Corp. (TSXV: SIC) is a discovery-focused company with projects in Newfoundland & Labrador, Canada. The Company’s primary focus is its portfolio of gold projects in Central Newfoundland. The Company also has interests in early-stage gold, base-metal and antimony projects in Newfoundland, as well as a 100% interest in the Iron Horse (Fe) project in Western Labrador.
Timothy Froude, P. Geo., Interim CEO
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.
Investors are cautioned that trading in the securities of the Corporation should be considered highly speculative. Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Sokoman Iron Corp. will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by Sokoman Iron Corp.