Goldstrike Resources Ltd. is pleased to report that its first hole PSGS-16-01 at Goldstack intersected 6.05 grams per tonne gold over 45.5 metres, including 12.5 grams per tonne gold over 20.65 metres, including 21.13 grams per tonne gold over 12.25 metres, including 34.35 grams per tonne (1 ounce per ton) gold over 6.75 metres. To date in 2016 the Company has completed eleven holes at Goldstack totalling over 1,500 metres. All holes have intersected mineralized stockwork and breccia and the zone remains open, confirming the robust nature of the mineralized body. The current drilling is designed to delineate the length, width and thickness of the Goldstack zone. Goldstack is located on the company's 100% controlled Plateau property in Yukon, which covers more than 350 square kilometres. The Plateau property contains multiple new gold showings along a newly discovered, underexplored, district-scale gold system.
Initial Drill Highlights:
Hole PSGS16-01 was a 15 metre step-out north-northwest from the collar of Hole PSVG15-01 and was drilled in a southwest direction at an angle of 45 degrees to further delineate the dimensions and orientation of the Goldstack zone. It intersected the mineralized zone consisting of stock-work, argillite and hydrothermal breccia with a combined down-hole width of 45.5 metres. This hole contains the most abundant coarse visible gold seen in drill core to date at Plateau, with multiple gold grains ranging from disseminated specks to 4 millimetre grains. Drill composites are shown in the following table. All values are uncut.
Hole PSGS16-08 was collared 57 metres south of PSGS16-01 and drilled toward the northeast at 70 degrees. It intersected 21.37 metres of mineralized stockwork, argillite, and hydrothermal breccia from 70.58 metres to 91.95 metres downhole. The zone remains open. Core from the upper 4.42 metres of this mineralized interval contained 12 grains of coarse native gold ranging in size from disseminated specks to 3 millimetres. Assays are pending.
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Hole PSGS16-11 was collared 132 metres south of PSGS16-01 (132 metres south-southeast of the discovery outcrop) and was drilled toward the north at 75 degrees. It intersected a 10 metre mineralized zone of stock-work and hydrothermal breccia from 170 to 180 metres and the zone remains open. Assays are pending.
These three holes together with other drilling at Goldstack have outlined the geometry of a large tabular body of mineralization that is at least 130 metres long, 10 to 17.5 metres thick, and more than 40 metres wide. Results to date have shown that within the mineralized zone, the gold is hosted in parallel vertical fractures similar to the orientation of the high grade gold-bearing veins at Bonanza, which is located on trend 4 kilometres to the northwest and remains open. It is also on trend with the new Goldback zone, where bedrock grab samples returned up to 7 grams per tonne gold, as described in Goldstrike's news release of August 10, 2016. The Company looks forward to reporting the results for the remaining Goldstack 2016 drill holes when all the assays have been received, compiled and interpreted.
Follow-up prospecting and mapping have now extended the Goldback zone from 480 metres to 580 metres on-trend uphill from the Goldstack showing, and the zone remains open in all directions. Six new bedrock grab samples from this zone returned values from below detection level to over the fire assay limit of 10 grams per tonne. The highest grade sample has been submitted for metallics assay. The majority of the assay results from follow-up prospecting in the surrounding area have not been received and will be reported when they become available, along with additional results from the Bonanza zone and the reconnaissance prospecting program.
The 2016 drilling confirms zones of strong mineralization at Goldstack which remain open. The true width of the zone intersected in Hole PSGS15-01 was reported in 2015, and although the true width of zone in the holes drilled to date in 2016 is not yet known, it is estimated to be between 38 and 90 per cent of the downhole width. Drilling indicates that the mineralized zone remains pervasive to depth. It appears from a visual inspection that the mineralization in core from the holes drilled in 2016 is consistent with the mineralization seen in core reported in 2015. All gold seen in the core appears to be free milling.
"These preliminary drill results have significantly expanded the size of the gold zone in the subsurface," said Goldstrike Director Trevor Bremner, P. Geo. "Drilling at Goldstack continues to confirm a very significant new gold discovery in the making, and numerous similar high grade showings have been found all along the Yellow Giant Trend that remain to be drill tested, confirming the untapped potential of this under-explored new district-scale system. We look forward to continuing to grow our assets, build shareholder value, and to receive further results with much anticipation."
Additional photos of the new Goldstack drill core are available under the header "What's New" on the home page of Goldstrike's web site (www.goldstrikeresources.com)
All 2016 holes are being drilled with an NTW diameter. Sample analysis and assaying for all of Goldstrike's projects have been conducted by Bureau Veritas in Vancouver, BC, which is ISO 9001 accredited. Soil samples are dried at 60C, and 100 grams are sieved to -80 mesh. A 15 gram sample split is then leached in aqua regia at 95 degrees C, and analyzed by a 36-element ICP package that includes semi-quantitative gold. Rock and drill core samples are crushed to 80% -10 mesh, and a 500 gram sample split is pulverized to 85% -200 mesh. 50 gram charges are then assayed for gold using fire assay fusion and ICP-ES finish with a lower detection limit of 2 ppb, and an upper detection limit of 10 ppm Au. In addition, 0.5 mg charges are digested by modified 1:1:1 aqua regia (HCl-HNO3-H20) and analyzed by 36-element ICP-MS that also includes semi-quantitative gold with a lower detection limit of 0.5 ppb Au and an upper detection limit of 100 ppm Au. Selected samples are subjected to 500 gram metallic fire assays, for which the plus fraction is finished gravimetrically and the minus fraction is finished with AA. Rigorous procedures are in place regarding sample collection, chain of custody and data entry. Certified assay standards, duplicate samples and blanks are routinely inserted into the sample stream to ensure integrity of the assay process.
Note: Grab samples are selective by nature, and are unlikely to represent average grades on the property. Due to the coarse nature of the gold, the Company is using metallics fire assays to capture the gold in the coarse fraction, providing the most accurate representation of the gold mineralization. Historically, regular fire assays have underestimated the grade of gold in coarse gold systems, and metallic fire assays and bulk samples can more accurately represent the true grade because they capture all gold including the coarse fraction, which otherwise could have been discarded.
Goldstrike director Trevor J. Bremner, P. Geo. is a qualified person, as defined by National Instrument 43-101, for Goldstrike's Yukon exploration projects. He has supervised the preparation of, and has reviewed and approved, the technical information in this release.
ON BEHALF OF THE BOARD
Terrence E. King, President and Chief Executive Officer