GMV Minerals Inc. is pleased to announce that it has now completed three diamond drill holes at its Mexican Hat Gold Project, located in Cochise County, Arizona, USA.
These drill holes were designed to test extensions of known gold zones as well as areas where new zones were suspected to occur. All drill holes intersected multiple fractured and hematite altered volcanic rocks, similar in character to the known mineralization. Limonite is reported to occur in some of the zones.
||75m west of MH deposit
||N, AN, H2, plus 3 new zones
||50m deeper of nearest holes on west-side of MH.
||N, AN, H2 plus 3 new zones
||90m north and 70m deeper of nearest holes on east-side of MH.
||N, AN, A, AB plus 3 new zones
Intersections range from 2 meters to greater than 40 meters in core length which represents true widths of 90% to 100%. Assays are now pending for all three drill holes. It is unknown at this time if the three new zones intersected in the three drill holes correlate to each other or not. However, each of the three new zones in each drill hole are north of the N Zone and not included in the current resource. All drill holes terminated in finely-grained sedimentary rocks interpreted as correlative to the Cretaceous-aged Bisbee Group which is shown to be dipping shallowly to the east.
The drilling is being conducted in an effort to find the outer limits to the north and west of the known gold resource which is being modeled as a low cost open pit heap leach type of deposit. This model is highly successful in many deposits around the world as is evidenced by the following chart: https://www.gmvminerals.com/projects/comparable-heap-leach-deposits/.
For ease of reference, the Company has plotted the Mexican Hat's average recovered grade (average head grade of 0.70 gpt gold x 92% indicated recovery representing 0.64 gpt recovered gold) for comparison purposes against 31 other such planned or operating mines known today (re: Joe Mazumdar, 2015). The Mexican Hat deposit ranks 7th in terms of recovered grade in the comparative chart which, in addition, exceeds 15 of the 17 operating mines considered by the author of this report. Six of the seven deposits in the table with grades exceeding Mexican Hat were developed by companies that were subsequently taken over by producers that wanted to own those deposits.
Ian Klassen, the Company's President reports "These drill holes provide critical information in defining the Mexican Hat resource. We have extended mineralization to the west and to depth in the west and in the east. More importantly, we have confirmed that additional zones occur to the north into areas that have not previously seen significant exploration. The Company has collected geotechnical information on these holes that will allow for certain engineering work to now be completed that will be incorporated in future economic studies. Reverse circulation drilling is scheduled to begin next month and is planned to test targets and extensions to the south and east of the established resource, also with a focus on resource expansion."
Assays are expected to take 4 to 5 weeks from shipping of the logged and sampled core and will be released as soon as possible.
Dr. D.R. Webb, Ph.D., P.Geo., P.Eng. is the Q.P. for this release within the meaning of NI 43-101 and has reviewed the technical content of this release and has approved its content.