Compass Gold: Geochemical Survey Identifies Four Additional Strong Shallow Gold Anomalies

TORONTO, April 03, 2018 (GLOBE NEWSWIRE) -- Compass Gold Corp. (TSX-V:CVB) (Compass or the Company) is pleased to provide an update on the previously announced (see Compass news release dated Feb. 28, 2018) ongoing shallow soil geochemical survey program at the Ouassada exploration permit on its Sikasso Property in Southern Mali.

Highlights

• Four additional parallel, northwest-trending gold anomalies have now been identified over strike lengths up to 12 km and widths up to 2 km (see Figure below), bringing the total to nine.
  
  
• Highest soil samples contain 3,800 parts per billion (ppb) gold (Au) (3.8 grams per tonne (g/t) Au) 550 m north of artisanal workings at Farabakoura. Highest gold concentrations are not restricted to areas of known workings.
  
  
• In this latest round of work, a total of 1,139 shallow soil samples were collected on the Ouassada permit where the average gold background for shallow soil samples was 5 ppb.
  
  
• Deep soil auger sampling at Ouassada is now 90% complete, and the shallow soil sampling is currently taking place on the Sankarani permit with 88% of the samples collected.
  
  
• High-resolution Airborne geophysical interpretation, and structural and hyperspectral remote sensing (satellite) studies have been initiated.

Compass CEO, Larry Phillips, commented, “As we continue to receive shallow soil results from the assay lab it is gratifying to see that additional zones of gold anomalism have been identified on the Ouassada permit. We have delineated at least nine zones, with the potential to identify addition zones as we complete our infill sampling between our primary target areas. Soil auger sampling has been completed at Ouassada, and the field teams are now moving to Sankarani. We eagerly anticipate the assay results of this deeper sampling, and hope they correlate with the shallow soil anomalies.”

Subsequent to the Company’s progress report of February 28, 2018, the Company is pleased to report the results of 1,139 additional shallow soil samples, collected over two broad zones within the Ouassada permit (target areas 2 and 3). Target area 1 contained 1,175 sample points. The targets were identified by interpreting airborne geophysical data, the presence of an extensive zone of artisanal mining (containing bedrock, vein-hosted, gold mineralization) and the similarity of the geological and structural setting to the Yanfolila gold mine, located 40 km along strike to the southwest (see Figure below).

To view this Figure, click the following link: http://www.globenewswire.com/NewsRoom/AttachmentNg/3335da8d-a6cf-47c5-80bd-69996feeca91

Detailed Shallow Soil Results

The latest 1,139 shallow samples were collected from a depth of approximately 0.4 m over the permit on an east-west grid with a line spacing of 500 m and a sample spacing of 100 m. The samples were analyzed by fire assay analysis at the international recognized geochemical laboratory of ALS (Ouagadougou, Burkina Faso). Simple statistical analyses were performed on the combined data on target areas 1, 2 and 3 (and the area between target 1 and 2), to determine the degree of sample anomalism. Background values were considered to be 5 ppb Au or less (number (n) = 1664), weakly anomalous (5 - 11 ppb Au, n = 444), moderately anomalous (11 - 17 ppb Au, n = 107), strongly anomalous (17 - 77 ppb, n = 86), and extremely anomalous (> 3 standard deviations from the mean, 77 - 3800 ppb Au, n = 12). The results are illustrated in the figure above.

The previously reported results, from 1,175 shallow soil samples in target area 1, identified a 12-km long continuous anomaly extending from the artisanal gold workings at Kabangouè, through the largest concentration of workings at Farabrakoura, and extends for an additional 9 km to the north-northwest. A second sporadic anomaly with the same trend occurs 1 km to the west, and is present for a strike length of 6.5 km. The latest results extended the length of the 6.5 km anomaly in the centre of the licence by 2 km, but also identified four additional anomalous zones, which all trend towards the northwest, and vary in length from a continuous 5 km in the eastern part of the permit to two shorter (2 km-long) anomalies in the west of the permit. The new linear anomalies in targets 2 and 3 are apparently narrower (one-point anomalies) when compared to the anomalies present in target area 1 (up to 2 km in width). These surface widths are not unusual in prospective gold areas in Mali covered by laterites.

Soil Auger Sampling

Based on these initial shallow soil results, the Company is eagerly awaiting the results of the recently completed 2,024 holes (27,970 m) truck-mounted power auger soil samples collected within the Ouassada permit. The results of this program will be reported as soon as the assays are received from the laboratory. The results will be used to determine the location of drill holes to test the presence of bedrock mineralization.

The surface geochemistry teams have completed work over target areas 2 and 3, and are now moving on to the adjacent Sankarani permit. Samples collected in both of these areas have been dispatched to the assay laboratory.

Sankarani Sampling

To date, a total of 1,707 samples have been collected on Sankarani, from a planned total of 1,931. The sampling program is expected to be completed on April 6^th, with gold assay results reported by the end of April. Soil auger drilling will start in early May, and the sampling locations will be dependent on the shallow results.

Regional Studies

Two studies have been commissioned by Compass utilizing previously collected data. The first study is a reinterpretation of the high-resolution airborne geophysics collected by the Company in 2011. This study is currently being undertaken by Jeremy Brett, PGeo, principal consultant geophysicist at MPH Consulting, Toronto. The second study is a structural and hyperspectral remote sensing (satellite) study, which will be undertaken by Dr. Francis Murphy, PGeo, Murphy Geosciences, Ireland. This latter study is scheduled to begin in mid-April

Summary

Shallow soil geochemistry assays have now been received on target zones 1, 2 and 3 on the Ouassada permit. The nine linear gold shallow soil anomalies correlated with structures present in the airborne magnetic data, and are highly encouraging. The Company looks forward to the infill shallow soil assays, and the result of the soil auger study. When all the geochemistry results are compiled and analyzed they will form the basis of identifying bedrock drilling targets. This deeper drilling program is expected to be implemented in late Q2.

The work program is progressing on time and within budget.

About Compass Gold Corp.
Compass, a public company having been incorporated into Ontario, is a Tier 2 issuer on the TSX-V. Through the recent acquisition of MGE and Malian subsidiaries, Compass holds gold exploration permits located in Mali that comprise the Sikasso Property. The exploration permits are located in three sites in southern Mali with a combined land holding of 1,179 km². The Sikasso Property is located in the same region as several other multi-million ounce gold projects, including Morila, Syama, Kalana and Kodieran. The Company’s Mali-based technical team, led in the field by Dr. Diallo and under the supervision of Dr. Sandy Archibald, P.Geo, is initiating a new exploration program. They are examining the first of numerous anomalies noted for further investigation in Dr. Archibald’s August 2017 “National Instrument 43-101 Technical Report on the Sikasso Property, Southern Mali".

Qualified Person
The technical information in this news release has been reviewed and approved by Dr. Sandy Archibald, P.Geo, Compass’s Technical Director, who is the Qualified Person for the technical information in this news release under National Instrument 43-101 standards.

Forward‐Looking Information
This news release contains "forward‐looking information" within the meaning of applicable securities laws, including statements regarding the Company’s planned exploration work and management appointments. Readers are cautioned not to place undue reliance on forward‐looking information. Actual results and developments may differ materially from those contemplated by such information. The statements in this news release are made as of the date hereof. The Company undertakes no obligation to update forward‐looking information except as required by applicable law.

For further information please contact:

Website: www.compassgoldcorp.com

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