SOKOMAN ASSAYS CONFIRM HIGH-GRADE GOLD INTERSECTIONS AT MOOSEHEAD PROJECT, NEWFOUNDLAND
Puslinch, ON, July 24, 2018 – Sokoman Iron Corp. (‘Sokoman’ or ‘the Company’) (TSX-V: SIC) today announced that it has received assay results from drilling recently completed at the Moosehead Gold Project in Central Newfoundland. The Company has completed a total of 1970.5 m in 15 holes as proposed in its Phase I program. Assay results have been received for the first three holes and the results confirm that the Company has made a high-grade discovery in an area with little previous drilling.
The Company’s first hole, MH-18-01, intersected a mineralized zone that has returned the following summarized assays: from 109.00 m – 120.90 m (11.90 m @ 44.96 g/t Au).
Timothy Froude, P. Geo., Interim CEO, states: “We are very pleased with our initial results from the Moosehead Project. The significance of MH-18-01 lies not only with the exceptional grades of the gold-bearing quartz vein, but that for at least 5 m up-hole and down-hole of the vein, significant assays were also reported. The 17 samples comprising the 11.90 m intercept included nine samples returning greater than 1.0 g/t Au. The area surrounding MH-18-01 will be prominent in our distribution of drill holes in Phase II.”
Note: A table of compiled results to date is shown below. True thickness of above noted intercept is believed to be 80% of core length. All other intercepts range from 50% to 90% of core length.
MH-18-01 was drilled to test the up-dip potential of an intercept reported by Altius Resources Inc. (“Altius”) in 2003 of 278 g/t Au over 0.45 m at a down-hole depth of 257 m or a vertical depth of 200 m (the Eastern Trend*) (results are historical in nature and have not been independently confirmed).
The intercept reported by Altius was the deepest to date from the property. MH-18-01 was to test the Eastern Trend intercept approximately 50 m vertically above the historical intercept. MH-18-01 cut two separate zones of gold mineralization, highlighted by a 1.35 m quartz vein (core length) that contained a minimum of 50 specks of visible gold (see previous News Release of June 28, 2018) and from which assays have subsequently returned 1.35 m grading 385.85 g/t Au. This new vein was encountered at a down-hole depth of 115.25 m (vertical depth of 80 m) approximately 80 m up-hole from the intended target of the drill hole. A second zone, 40 m further down the hole, returned assays of 8.95 m grading 4.20 g/t Au including 1.33 m grading 19.72 g/t Au. The Company believes this second zone to possibly correlate with the 2003 intercept reported by Altius. *The Eastern Trend is located approximately 250 meters east of the center of the Western Trend. The high-grade vein discovery lies between the two Trends.
Assay results for drill holes MH-18-02 and MH-18-03 (results highlighted in the table above) tested near surface mineralization (less than 50 m depth) previously reported by Altius in the Western Trend, and the results confirmed and extended historical 2001 results in MH-01-13. MH-01-13 returned 30.03 m (core length) of 6.71 g/t Au in a quartz vein that was later realized to have been drilled downdip. MH-18-02 was drilled to test the true thickness of the vein and intersected a 3.30 m vein that returned 6.76 g/t Au. MH-18-03, designed to test the up-dip extension of the MH-01-13 intercept, returned 6.42 m grading 8.18 g/t Au. The Western Trend program was designed in part to verify historical drilling results and also to extend open-ended historical intercepts which could ultimately lead to an initial resource estimate.
The Company has now completed the Phase I diamond drilling program as well as the down-hole televiewer (camera) survey on selected holes including MH-18-01 and plans to assess all data while planning the second Phase of drilling which is expected to begin in early fall 2018.
About the Moosehead Property
The Moosehead project is host to widespread gold mineralization, currently interpreted as an orogenic system that has been intersected over a 2 km long by 500 m wide zone, locally with high gold grades as demonstrated by historical drilling programs. The project is strategically located in north-central Newfoundland with the TransCanada Highway crossing the northern portion of the property and Route 360 lying 1.2 km northwest of most previous drilling. The town of Grand Falls-Windsor lies 20 km west of the property. In addition, secondary roads and drill trails offer excellent access to virtually the entire property. The Moosehead project lies on the northeast extension of a regional gold bearing structural corridor that hosts the advanced stage Valentine Lake gold project of Marathon Gold, located approximately 150 kilometers southwest of the property.
On November 10, 2017, Altius and Sokoman 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’s Moosehead Gold Project in central Newfoundland. 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.
A total of 495 samples, including duplicates, blanks and standards, have been submitted to Eastern Analytical Ltd. in Springdale, Newfoundland for gold and ICP analysis. Samples suspected of carrying visible gold were submitted for total pulp metallics and gravimetric finish. All other samples were analyzed by standard fire assay methods. Eastern Analytical is an accredited assay lab that conforms with requirements of ISO/IEC 17025. Total pulp metallic analysis is when the whole sample is crushed to -10 mesh and pulverized to 95% -150 mesh. The total sample is then weighed and screened 150 mesh. The +150 mesh fraction is fire assayed for Au, and a 30 g subsample of the -150 mesh fraction is fire assayed for Au. A calculated weighted average of total Au in the sample is reported as well. The Company included in the sample stream one blank and one industry approved standard for every ten samples submitted, as well as random duplicates of selected samples. This is in addition to the in-house standard and duplicate policy of Eastern Analytical. Diamond drilling was carried out by Springdale Forest Resources, who provided superior drilling services while maintaining a high regard for the environment.
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.
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.