IDM Mining Ltd. ("IDM" or the "Company") is pleased to announce assays from the first four underground core holes completed at the Red Mountain gold project, located east of Stewart, B.C. These results are the first from the Phase I drilling program, which includes infill and step-out drilling from the current resource, as well as to collect material for metallurgical, geotechnical and hydrological testwork.
The first four holes are from the Marc Zone; highlights include:
- U16-1177 20.66 meters true width averaging 6.48 g/t Au and 33.58 g/t Ag
- U16-1178 20.35 meters true width averaging 9.24 g/t Au and 49.73 g/t Ag
- U16-1179 12.00 meters true width averaging 10.58 g/t Au and 74.63 g/t Ag
- U16-1182 6.30 meters true width averaging 9.91 g/t Au and 53.52 g/t Ag
"These results confirm the robust widths and gold grades of the Marc Zone," said Robert McLeod, President and CEO of IDM Mining. "Of particular significance is drill hole U16-1182, which is a step-out hole to the south of the current resource. The deposit was previously interpreted to be closed to the south; this intercept suggests that it is open to expansion under the existing production-sized decline."
Drill hole U16-1182 is located on mine grid section 1075N, at the limit of the Marc Zone resource. Two additional holes, drilled as shallower dips, were completed from this section with assays currently pending. Massive and stockwork pyrite veins associated with the gold mineralization were encountered where the Marc Zone may have rolled to steep easterly dip, or may have been offset by a minor fault zone to approximately 30 meters below the underground ramp. Additional drilling during 2016 will step-out to the south from this intercept.
Complete Results are as follows:
* Assays capped at 55.0 g/t Au and 220 g/t Ag
** Drilled intervals estimated using approximate 3.0 g/t cut-off for underground mining
Drill holes U16-1177 to 79 are HQ-diameter infill holes targeting the Marc Zone, where half of the core has been collected for metallurgical testwork. Additional holes during the 2016 field season will be completed throughout the deposit for detailed metallurgical studies to complement the existing dataset. Cores were also logged for geotechnical information. Mineralization is primarily coarse-grained pyrite pods, veins and disseminations occurring along the contact between the Hillside intrusive, a fine-grained diorite, and sedimentary rocks, surrounded by a pyrrhotite and sphalerite halo.
Drill hole collar information is as follows:
Additional drill results with be released as assays are finalized for the ongoing underground rehabilitation and drilling program. IDM will shortly announce an update to the Red Mountain program including surface exploration, permitting, engineering and further plans for the 2016 field season.
About Red Mountain
The 17,125 hectare Red Mountain Gold Project is located in northwestern BC, 15km northeast of the town of Stewart. Discovered in 1989, the property was explored extensively until 1996 by Lac Minerals Ltd. and Royal Oak Mines Inc., with 466 diamond drill holes and over 2,000 meters of underground development completed, along with extensive engineering and environmental baseline work. Additional studies were completed over the past 12 years by Seabridge Gold Inc., North American Metals Corp. and Banks Island Gold Ltd.
On April 4, 2016, the Company announced an updated mineral resource estimate reported at 3.0 g/t Au cut-off for the Red Mountain Project.
Red Mountain is a porphyry-related hydrothermal gold system, located in the Stikine terrain. Gold mineralization is associated with, and partially hosted within an early to mid-Jurassic multi-phase intrusive complex, with associated volcanic and volcaniclastic rocks and sediments. Many gold mineralized zones occur on the Property, including five mineralized zones with established resource estimates. The five mineralized zones (Marc, AV, JW, 141 and 132) have been folded, and are often separated by dip-slip fault zones. The mineralized zones vary in orientation from shallow to steeply dipping and are generally tabular. The Marc, AV and JW zones vary in widths from one to forty meters, averaging about fifteen meters in thickness. Gold and silver mineralization is associated with stockworks, disseminations and patches of coarse grained pyrite, surrounded by a pyrrhotite/sphalerite halo. Alteration facies includes strong quartz-sericite alteration.
Additional information, including the Company's NI 43-101 Technical Reports for the Red Mountain Project is available at www.idmmining.com and at www.sedar.com.
QA/QC AND QUALIFIED PERSON
Samples for the 2016 program are cut with a diamond saw, and placed in sealed bags and shipped to ALS Labs Ltd in Terrace, BC for sample preparation, with pulps subsequently shipped to Vancouver, BC for gold and multi-element ICP analysis. A Quality Control/Quality Assurance program including the insertion of Standards and Blanks has been implemented. The 2016 Exploration Program is performed under the supervision of Rob McLeod, P.Geo, President and CEO of IDM Mining Ltd and a 'Qualified Person' under NI 43-10. Mr. McLeod has reviewed and approved the technical content of this release.