VANCOUVER, British Columbia, May 8, 2014 (GLOBE NEWSWIRE) -- Nevada Sunrise Gold Corporation ("Nevada Sunrise", or the "Company") (TSX-V:NEV) is pleased to announce that drilling resumed on May 7, 2014 at the Kinsley Mountain property in Nevada. The 2014 drill program operated by Pilot Gold Inc. ("Pilot Gold") (TSX:PLG) has re-started with one core rig and two reverse circulation rigs after a successful winter program, which intersected high-grade gold in several holes over significant widths.
Highlights from the 12-hole, 4,229 metre 2014 winter diamond drilling program at the Western Flank include:
- 6.85 g/t Au over 41.7 metres in PK127C
- 10.5 g/t Au over 42.7 metres in PK131C
- 7.53 g/t Au over 53.3 metres in PK132C
- 10.6 g/t Au over 30.0 metres in PK133C
- 1.44 g/t Au over 12.2 metres and 2.84 g/t Au over 18.9 metres in PK134C
- 21.3 g/t Au over 29.0 metres in PK137C*
- 15.6 g/t Au over 38.7 metres in PK137CA*
*PK137C was lost in the mineralized zone due to poor ground conditions higher in the hole, and does not represent a complete intercept of the zone. PK137CA was wedged off the same hole from above the mineralized zone using NQ-size tools and was completed through the mineralized zone in a location immediately adjacent to PK137C, effectively representing a twin of PK137C and a complete intercept of the mineralized zone.
The remaining 21,300 metres in the 2014 drill program will be focused on step-out drilling around the high-grade mineralization in the Western Flank target, as well as exploration drilling at the Right Spot, Secret Spot and other compelling targets across the property. Pilot Gold is currently operating under an approved 65 acre (26.3 hectares) Plan of Operations, and has secured 1,080 acre/feet of water rights. An amendment to the Plan of Operations is currently pending for an additional 23 acres (9.3 hectares) on the Kinsley North claims, which host a series of high-priority targets that have never been drill tested.
Western Flank target
The Western Flank target is located 550 metres northwest of the past-producing pits at Kinsley. The original target concept involved north-northeast-plunging zones of mineralization hosted primarily in the Candland Shale. The target has since been expanded to include a possible west-northwest-trending zone of high-grade gold mineralization hosted in stratigraphic units, including the Clark Springs Limestone and Secret Canyon Shale, which were neither identified nor tested by previous operators. The Western Flank's deeper mineralization may be, in part, an extension of the 2.2 kilometre long NW-SE "Kinsley Trend" structural zone, along which the historical pits are aligned. Consequently, in addition to ongoing testing of the original NNE-SSW "Western Flank" structure, drill holes will also be planned to test deeper mineralization along the corridor between the Western Flank target and the historical Upper Pit. Shallow historical drilling in the pits stopped short of testing the stratigraphic horizon hosting high-grade mineralization in the Western Flank target, and thus the potential for mineralization below the limits of the historical pits may be extensive.
Right Spot and Secret Spot targets
Gold is hosted at the "Right Spot" target in multiple stratigraphic units. The upper stratigraphic units (Big Horse Limestone and Candland Shale, the main gold hosts in the past-producing mine) from the Western Flank rise to the surface 500 metres to the south at the Right Spot target. Mapping and rock sampling identified a 250-metre north-northeast zone of surface jasperoids returning 1-5 grams/tonne gold in grab samples. The Candland Shale is also present on surface an additional 500 metres to the south at the "Secret Spot", where it hosts gold-bearing jasperoid alteration. Initial 2014 drill results from the Right Spot target include:
- 3.57 g/t Au over 11.5 metres in PK130C, including
- 5.87 g/t Au over 3.1 metres
For a map showing the 2014 target areas, a long section of the Western Flank/Right Spot area, and a table of 2014 Kinsley Mountain drill results to date, including non-reportable intercepts, please access Nevada Sunrise's website under "Exploration - Kinsley Mountain" at: http://www.nevadasunrise.ca/kinsleymountain.asp
ABOUT KINSLEY MOUNTAIN
Kinsley Mountain hosts near-surface mineralization similar to other Carlin-style, sediment-hosted gold systems. The Kinsley Mountain project is located in eastern Nevada near the Utah border, approximately 160 kilometres (100 miles) southeast of Elko, Nevada, and consists of 412 claims covering approximately 3,322 hectares (8,208 acres). Kinsley Mountain hosts a past-producing mine with an extensive exploration database and numerous, untested gold targets.
Kinsley Mountain is an early-stage exploration project and does not contain any mineral resource estimates as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101"). The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource.
In 2013, Pilot Gold solely funded a US$3.8-million exploration program at Kinsley Mountain, which following the application of allowable 2013 budget overruns, increased its participating interest to approximately 79%, with Nevada Sunrise holding an approximate 21% interest.
John R. Kerr, P.Eng., is the Company's designated Qualified Person for this news release within the meaning of NI 43-101 and has reviewed and approved the technical information contained in this release. Drill composites were calculated using a cut-off of 0.20 g/t. Drill intersections are reported as drilled thicknesses. True widths of the mineralized intervals are interpreted to be between 30-100% of the reported lengths.
For further information about Kinsley Mountain please refer to a technical report entitled "Technical Report on the Kinsley Project, Elko County, Nevada, U.S.A.", effective February 15, 2012 and dated March 26, 2012, prepared by Michael M. Gustin, CPG of Mine Development Associates and Moira Smith, Ph.D., P.Geo. and Kent Samuelson of Pilot Gold, filed on May 9, 2012 under Nevada Sunrise's Issuer Profile on SEDAR at www.sedar.com and also available for viewing on Nevada Sunrise's website at www.nevadasunrise.ca
FORWARD LOOKING STATEMENTS
All statements in this release, other than statements of historical fact, are "forward-looking information" with respect to Nevada Sunrise Gold Corporation ("Nevada Sunrise") within the meaning of applicable Canadian securities laws, including statements that address future mineral production, reserve potential, exploration drilling, the future price of gold, potential quantity and/or grade of minerals, potential size of a mineralized zone, potential expansion of mineralization, the timing and results of future resource estimates, or other study, proposed exploration and development of our exploration properties and the estimation of mineral resources. Forward-looking information is often, but not always, identified by the use of words such as "seek", "anticipate", "plan", "continue", "estimate", "expect", "project", "predict", "potential", "targeting", "intends", "believe", "potential", and similar expressions, or describes a "goal", or variation of such words and phrases or state that certain actions, events or results "may", "should", "could", "would", "might" or "will" be taken, occur or be achieved. These statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Nevada Sunrise to differ materially from those anticipated in such forward-looking information.
Such factors include, among others, risks related to the interpretation and actual results of historical production at Kinsley Mountain, reliance on technical information provided by third parties on any of our exploration properties, including access to historical information on the Kinsley Mountain property as well as specific historic data associated with and drill results from the property, information from Pilot Gold Inc., current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; failure of Pilot Gold Inc., to complete anticipated work programs; labor disputes and other risks of the mining industry; delays in obtaining governmental approvals, financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company's Management Discussion and Analysis for the Three Months ended December 31, 2013, which is available under Company's SEDAR profile at www.sedar.com.
Although Nevada Sunrise has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Nevada Sunrise disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.
Forward-looking statements are made as of the date hereof and accordingly are subject to change after such date. Except as otherwise indicated by Nevada Sunrise, these statements do not reflect the potential impact of any non-recurring or other special items or of any dispositions, monetizations, mergers, acquisitions, other business combinations or other transactions that may be announced or that may occur after the date hereof. Forward-looking statements are provided for the purpose of providing information about management's current expectations and plans and allowing investors and others to get a better understanding of our operating environment. Nevada Sunrise does not undertake to update any forward-looking statements that are included in this document, except in accordance with applicable securities laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of TSX Venture Exchange) accepts responsibility for the adequacy of accuracy of this release. The Securities of Nevada Sunrise Gold Corporation have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to the account or benefit of any U.S. person.
CONTACT: FOR FURTHER INFORMATION CONTACT: Warren Stanyer, President and Chief Executive Officer Telephone: (604) 428-8028, Facsimile: (604) 689-5528 email: firstname.lastname@example.orgSource:Nevada Sunrise Gold Corporation