Vancouver, March 25, 2020 – MAS Gold Corp. (“MAS Gold” – TSX.V: MAS) is pleased to announce the Maiden Mineral Resource estimate for the North Lake gold deposit (“North Lake”), located on the La Ronge Gold Belt of northeastern Saskatchewan. The estimate follows MAS Gold’s 2019, North Lake drilling and surface channel sampling programs, the results of which were reported in MAS Gold’s news releases dated June 25, 2019 and January 15, 2020, respectively.
At a marginal grade cut-off of 0.45 grams per tonne gold (“g/t Au”), the North Lake gold deposit is estimated to contain an Inferred Mineral Resource of 14,110,000 t grading 0.92 g/t Au, hence 417,000 contained ounces of gold (“oz Au”). David Thomas, P. Geo., of DKT Geosolutions Inc. is the Qualified Person (“QP”, as defined by National Instrument 43-101) for the North Lake Mineral Resource estimate that has an effective date of March 01, 2020.
Mr. Ron Netolitzky, President and CEO of MAS Gold stated “This is a great day for MAS Gold. We have taken a large step toward accomplishing our goal of achieving one million gold ounces hosted by our La Ronge assets. Apart from our new North Lake Mineral Resources we have also declared, using a cut-off grade of 5.0 g/t Au, 255,500 t at 9.92 g/t Au (81,500 oz Au) of Indicated Mineral Resources and 59,000 t at 7.42 g/t Au (14,100 oz Au) of Inferred Mineral Resources at our Greywacke North deposit”.
“Importantly, the identified mineralization at North Lake remains open along strike and at depth. Additional exploration at North Lake and our other properties will continue with the objective of further expanding our Mineral Resources in the La Ronge Gold Belt”.
Mr. Netolitzky further stated “The low-grade North Lake Mineral Resource, when combined with the high-grade deposit at Greywacke North, supports our strategic mine development plan that envisions a centralized plant processing material from North Lake, co-mingled with high-grade material from MAS Gold’s other La Ronge Gold Belt deposits.
- The North Lake Mineral Resources are constrained within an optimized pit shell with an overall average slope angle of 45°. A long-term gold price of US$1,500/oz was used, along with a metallurgical recovery of 92% for gold (see MAS Gold’s news releases dated September 24, 2019 and November 12, 2019 for details of the North Lake, preliminary metallurgical testwork program). A 0.45 g/t gold cut-off was estimated, based on a total process and G&A operating cost of C$19.50/t of mined mineralized material.
- The contained gold ounces are in situ. No assurance can be given that the estimated quantities will be produced. All figures have been rounded to reflect accuracy and to comply with securities regulatory requirements. Summations within the tables may not agree due to rounding.
- Mineral Resources, which are not Mineral Reserves, do not have demonstrated economic viability. The estimate of Mineral Resources may be materially affected by gold price, environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issues.
Following their review, QP Thomas concluded that MAS Gold’s QA/QC programs for the 2019 assay sample stream are sufficient to support Mineral Resources in the Inferred category. The quantity and grade of Inferred Mineral Resources are conceptual in nature and it is uncertain if further exploration will result in the upgrading of the reported Mineral Resources to either the Indicated or Measured category.
However, analysis by QP Thomas shows that with upgraded QA/QC procedures, approximately 40% of the stated Inferred Mineral Resources could potentially be classified as Indicated. Potential upside also exists as regards the Mineral Resource grades; re-assaying of sample pulps is planned using a standard fire assay method with an atomic absorption (AA) finish.
Method of Estimation
- Domains were modelled in 3D to separate mineralized rock from surrounding waste rock. These domains were modelled based on quartz veining and gold grade continuity above a 0.1 g/t Au cut-off. Raw drillhole assays were composited to 5 m lengths broken at domain boundaries. Capping of high grades was considered necessary and was completed for each domain, prior to compositing.
- Block grades for gold were estimated from the composited assays using ordinary kriging interpolation into 5 m blocks coded by domain. A dry bulk density of 2.64 g/cm3 was used for all material.
- Blocks were classified in accordance with CIM Definition Standards 2014. QP Thomas classified blocks to the Inferred category if they fell within 60 m of a composite.
Technical Report and Qualified Persons
A Technical Report will be issued within 45 days of this news release. The principal author and QP will be Stephen Godden, C.Eng. FIMMM, an Independent Mining Consultant; both David Thomas, P. Geo., and David Tupper, P. Geo., Vice President, Exploration of MAS Gold, will be co-authors (each being a QP). All three QPs are responsible for the preparation of this news release; they have read and approved its technical aspects.
North Lake Gold Project
The North Lake Gold Project is a joint venture between MAS Gold and Golden Band Resources Inc. located in the La Ronge Gold Belt in northeastern Saskatchewan. For more information concerning the status of the La Ronge South Gold Joint Venture see MAS Gold’s news releases of September 23, 2019, October 17, 2019 and January 8, 2020.
About MAS Gold Corp.
MAS Gold (formerly Masuparia Gold Corporation) is a Canadian mineral exploration company focused on exploration projects in the prospective La Ronge Gold Belt of northeastern Saskatchewan. MAS Gold’s projects include the advanced-stage Greywacke North Property, which hosts high-grade, gold-bearing 2 zones for which a Mineral Resource estimate was compiled in 2016 – at a cut-off grade of 5.0 g/t Au, 255,500 tonnes grading 9.92 g/t Au were classified under the 2014 CIM Definition Standards for Mineral Resources and Mineral Reserves as Indicated Mineral Resources, along with 59,000 tonnes grading 7.42 g/t Au in the Inferred category. MAS Gold’s NI 43-101 Technical Report, dated June 01, 2016 and detailing the Greywacke North Mineral Resource estimate, is available on SEDAR and on MAS Gold’s website http://www.masgoldcorp.com.
On Behalf of the Board of Directors of MAS Gold Corp.
Ronald K. Netolitzky, President & CEO
MAS Gold Corp.
Suite 420 – 789 West Pender Street
Vancouver, British Columbia
Canada, V6C 1H2
For more information, please contact:
Lubica Keighery, VP Corporate Development
Forward Looking Statements
This news release includes certain forward-looking statements or information that reflect management’s current estimates, beliefs, intentions and expectations and could cause actual results to differ materially from MAS Gold’s plans or expectations. These include risks relating to the actual results of current exploration activities, fluctuating gold prices, possibility of equipment breakdowns and delays, cost over-runs, availability of capital and financing, general economic, market or business conditions and the need to comply with environmental and governmental regulations. All statements or information other than statements of historical fact included in this release, including, without limitation, statements regarding metallurgical results and outcomes, any updated technical report, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. The forward-looking statements included in this news release are made as of the date hereof and MAS Gold disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.