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Melkior Intersects Gold on Carscallen Property

Melkior Resources Inc. is pleased to announce an intersection of 6.56 g/t Au and 6.3 g/t Ag over 1.8 metres from 48.2 to 50.0 metres including 39.2 g/t Au and 36.3 g/t Ag over 0.3 metres from 48.5 to 48.8 metres in drill hole MKR-14-03 on the Aumo gold project which straddles the claim boundary between Melkior Resources to the North and Lake Shore Gold Corp. to the south.

The drilling occurred on Melkior's Carscallen property which lies approximately 25 kilometres west of Timmins, Ontario and approximately 5.5 kilometres west of Lake Shore Gold's 144 Zones. Two short drill holes were drilled in late 2014 to test induced polarization (IP) chargeability conductors one of which coincided with the location of the historic Aumo gold shaft.

The drill hole intercept in MKR-14-03 occurred approximately 38 metres vertically below surface and 40 metres north of the Aumo shaft. The second drill hole MKR-14-04, collared approximately 200 metres west of the first drill hole was designed to test an IP chargeability conductor and intersected a sulphide enriched silicified and carbonatized alteration zone (Grey Zone) within granodiorite with elevated gold responses. The intersection, while subeconomic, was encouraging enough to warrant further investigation as the grades within these alteration zones historically have been known to produce more economic grades with depth.

The intercept in MKR-14-03 was surrounded by a sericitized and sheared alteration zone hosting a narrow quartz-pyrite-pyrrhotite veinlet within altered granodiorite and is believed to correspond to the historic Aumo shaft gold mineralization. The intercept further coincides with a strong north south induced polarization (IP) conductor which trends north approximately 500 metres then trends northwest for 450 metres to the Shenkman Zone.

The current drilling on the Lake Shore boundary targeting Melkior Induced Polarization trends indicates possible continuity from Zam Zam south to the Lake Shore boundary and beyond. This underscores the potential of this area as fertile ground for gold exploration and mineralization along strike and at depth both north and south of the boundary.

Melkior is continuing to advance interpretive work on the Zam Zam and Jowsey zones with the intent of correlating these vein systems with the Shenkman zone to the south. Planning for selective infill drilling in conjunction with discriminatory resampling of the historic drill core to validate the reinterpretation is continuing.

The contents of this press release have been reviewed by Peter Caldbick, P.Geo, the Timmins area Project Manager for Melkior Resources Inc. and a Qualified Person as defined by National Instrument 43-101. The drill core was split and delivered to a commercial laboratory. Samples were submitted to Actlabs Laboratories in Timmins, Ontario. The processed samples were subjected to a standard fire assay and AA technique with gravimetric finish. Whole metallic assays were performed on samples containing visible gold. Check assays were also performed on pulps and rejects, as well, blanks, standards and duplicates were inserted into the sample stream. On each tray of 42 samples there are two blanks, three sample duplicates and two certified reference materials.



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