SAS Provides Results from Ongoing Exploration Programs at the Deep Thunder and Garrison Creek Project
06.12.2010 | CNW
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATESTORONTO, Dec. 6 /CNW/ - St Andrew Goldfields Ltd. (T-SAS), ("SAS" or the "Company") is pleased to provide an update on its ongoing exploration programs at the Holloway Mine's Deep Thunder Zone and the Garrison Creek Project, both located in the eastern portion of the Company's 120km land package.
Highlights:
- Drilling at the Deep Thunder Zone continues to validate the geological model and return positive results including most recently 9.22 g/t Au over 4.5 metres, 9.63 g/t Au over 3.2 metres, and 20.04 g/t Au over 2.7 metres.
- Limited drilling to date at the Garrison Creek Project has intersected several, sub-parallel zones of gold mineralization over narrow widths, such as 11.20 g/t gold over 1.5 metres, 18.70 g/t gold over 0.53 metres, 10.48 g/t gold over 2.5 metres and 29.10 g/t gold over 1.7 metres. The higher grade gold values occur within broader, highly prospective zones of lower grade gold mineralization.
Deep Thunder Zone
Surface drilling at the Deep Thunder Zone commenced in early March, 2010. Continued drilling has intersected a zone similar in geology and structure to that of the previously mined Lightning Zone further to the west and the recently discovered Smoke Deep Zone. The gold mineralization occurs within silicified, albitic, pyritic mafic volcanics and extends approximately 300 metres along strike and 700 metres down dip and remains open to the east, along strike and down dip. Additionally, the drilling intersected quartz-carbonate veined ultramafic rocks in the footwall to the mafic-ultramafic contact. This is significant in that it may possibly represent a new, sub-parallel zone of gold mineralization in the footwall ultramafic rocks.
The recent drilling further validates the geological model used to discover and assess the Smoke Deep Zone and the Deep Thunder Zone, and will now be used as a guide to focus additional exploration drilling both east and west of the Holloway Mine. It is interpreted that gold bearing fluids travelled along east-northeast ("ENE") trending sheared rocks, i.e. High Strain Zones that deposited gold near the contact between mafic and ultramafic volcanics and within ultramafics themselves. It appears that further concentration of the gold occurred along pre-existing basin faults that were subsequently folded, providing an opportunity for repetitions of the gold mineralized zones. This has implications for future exploration below the known zones of mineralization around the mine area.
The most recent results from the Deep Thunder Zone includes hole GH10-09W3 that returned 9.22 g/t Au over 4.5 metres, and lies near to the apparent western margin of the mineralized zone. Along the eastern and down dip extent of the mineralized zone, hole GH10-10, which was drilled approximately 50 metres further to the east than previous drilling, returned 20.04 g/t Au over 2.7 metres, thus extending the gold mineralization in this area which still remains open along strike and down dip. Historical drilling completed to the west of GH10-10 returned 30.08 g/t gold over 3.0 metres in hole GH92-76W, and recent drilling in hole GH10-76W2 returned 24.47 g/t Au over 5.8 metres. Drilling at Deep Thunder will continue into 2011.
Summary of 2010 Deep Thunder Drilling Program
Intersection (Metres) Core Length Gold Grade
Hole Number From To Metres Grams per Tonne
(g/t)
2007 GH92-75W2 836.0 839.0 3.0 23.03
2007 GH92-76W 1272.6 1275.6 3.0 30.08
2007 GH93-78W 874.4 881.8 7.4 4.32
2007 GH92-71 640.8 660.0 19.2 9.17
Jun/2010 GH10 - 02 1079.0 1080.6 1.6 4.32
Jun/2010 GH10 - 03 576.2 577.5 1.3 1.97
Jun/2010 GH10 - 04 808.5 810.0 1.5 7.23
Jun/2010 GH10 - 04 893.2 895.0 1.8 9.48
including 893.2 893.5 0.3 18.00
Jun/2010 GH10 - 06 1050.9 1053.9 3.0 5.30
Jun/2010 GH10 - 06W1 591.4 599.0 7.6 6.48
including 597.5 599.0 1.5 27.53
Sept/2010 GH10 - 06W1 1040.5 1052.7 12.2 1.70
including 1050.8 1052.7 1.9 5.69
Sept/2010 GH10 - 06W2 518.1 519.0 0.9 10.55
Sept/2010 GH10 - 06W2 871.2 876.8 5.6 2.27
Jun/2010 GH10-07 872.1 886.2 14.1 4.09
including 872.4 877.0 4.6 9.02
Sept/2010 GH10-07 1044.3 1044.6 0.3 *15.52
Sept/2010 GH10-07W1 1039.9 1048.4 8.5 3.75
including 1046.3 1048.4 2.1 *8.99
Sept/2010 GH10-07W2 807.8 808.2 0.4 15.91
Sept/2010 GH10-07W2 1050.0 1051.5 1.5 5.96
Sept/2010 GH10-76W2 1251.2 1257.0 5.8 *24.47
Sept/2010 GH10-07W3 788.2 791.5 3.3 4.10
including 789.5 790.7 1.2 8.67
Nov/2010 GH10-76W3 1244.6 1249.2 4.6 2.62
Nov/2010 GH10-76W4 1228.6 1228.9 0.3 7.04
Nov/2010 GH10-76W4 1255.0 1258.2 3.2 9.63
including 1256.5 1258.1 1.6 16.71
Nov/2010 GH10-09 847.5 850.7 3.2 4.97
Nov/2010 GH10-09W1 847.6 849.0 1.4 3.21
Nov/2010 GH10-09W2 853.8 855.2 1.4 5.74
Nov/2010 GH10-09W3 814.5 819.0 4.5 9.22
Nov/2010 GH10-10 897.3 900.0 2.7 20.04
Nov/2010 GH10-12 944.5 950.4 5.9 3.86
Notes:
* denotes visible gold.
- At this time, true widths are not available, and all intervals are reported as core length.
Garrison Creek Project
Earlier this year, SAS commenced a surface drilling program on the Garrison Creek Project ("Garrison Creek") to assess a number of conceptual targets and/or where limited historical exploration returned encouraging results. The Garrison Creek Project is located approximately 20 kilometres due west of the Holloway-Holt Mine and is 90% owned by the Company and 10% by Goldcorp (Canada) Inc.
To date, the most significant drilling has intersected sheared and heavily veined syenite previously sampled by limited drilling in 2007 (i.e. GC07-21 returned 64.20 g/t Au over 1.1 metres). The targeted rocks are situated within the Garrison Fault zone, a northwest-striking structure that cross-cuts lithological units and earlier regional structures. Initial drilling revealed high gold grades associated with abundant quartz veins within a much wider, prospective zone of alteration and lower grade gold mineralization.
The most recent drilling continued to intersect gold mineralization similar to the initial drilling of the syenite, with higher grade gold intervals hosted within wider zones of lower grade mineralization as seen in hole GC10-016 returning 0.70 g/t Au over 45.0 metres, including 10.80 g/t Au over 1.5 metres.
Drilling has now been completed over a strike length of approximately 100 metres along the Garrison Fault. The mineralized rock is a syenite intrusion, extensively deformed by brittle-ductile shearing and cross-cut by numerous quartz veins and veinlets with associated sericite +/- epidote +/- hematite alteration and sulfide mineralization. The highest gold grades are associated with quartz and quartz-carbonate veins that contain pyrite +/- chalcopyrite +/- galena +/- sphalerite and, at several locations, visible gold.
The Company has accelerated the drilling program to better define the geometry and extent of the gold mineralization and the continuity of the grade and thickness of the mineralization along strike and down dip. Drilling also continues along strike of the Garrison Fault, within the syenite where aeromagnetic surveys suggest there exists 600 metres or more of strike length that remains untested. In order to better target future drilling on the potentially higher grade parts of the mineralized zone, the Company is continuing a structural analysis using oriented core and a surface Induced Polarization ("IP") survey that is currently underway. In addition, the drilling will test the possibility of gold mineralization along the Garrison Fault as it extends into the host volcanic and sedimentary rocks.
Significant intercepts from the 2010 drilling completed to date in the syenite are summarized below.
Garrison Creek Project - Summary of 2010 Drilling Program at Syenite Target
Intersection (Metres) Core length Gold Grade
Hole number From To Metres Grams per Tonne
(g/t)
Sept/ 2010 GC10-004 219.1 257.1 38.0 0.95
including 221.0 222.4 1.4 6.60
Sept/ 2010 GC10-006 405.3 592.9 187.6 0.81
including 503.3 592.9 89.6 1.38
including 511.8 534.7 22.9 4.42
including 518.0 520.0 2.0 15.20
including 533.0 534.7 1.7 29.10
Nov/ 2010 GC10-009 181.3 186.0 4.7 4.32
including 182.0 183.0 1.0 14.10
Nov/ 2010 GC10-009 375.8 376.3 0.5 7.70
Nov/ 2010 GC10-009 499.5 506.3 6.8 4.08
including 499.5 501.0 1.5 11.20
Nov/ 2010 GC10-013 181.5 182.0 0.5 11.20
Nov/ 2010 GC10-013 253.5 273.0 19.5 0.75
Nov/ 2010 GC10-013 423.9 424.5 0.53 18.70
Nov/ 2010 GC10-016 142.5 187.5 45.0 0.70
including 172.5 176.5 4.0 5.32
including 172.5 174.0 1.5 10.80
Nov/ 2010 GC10-016 244.8 246.0 1.2 5.30
Nov/ 2010 GC10-016 329.8 330.3 0.5 8.90
Nov/ 2010 GC10-018 * 535.5 538.0 2.5 10.48
Notes: * Awaiting additional assays.
- At this time, true widths are not available, and all intervals are reported as core length.
- Selected samples are being assayed using Metallic Screen Analysis and may be reported at a future time.
- Holes GC10-1, 2, 3, 5, 7, 8, 10, 11, 12, 14 and 15 were drilled to test other targets on the property. Assay results are pending for these targets.
"We are encouraged with the positive results from the continued exploration drilling at the Deep Thunder Zone, which has identified a broad zone of alteration and gold mineralization. Future drilling will concentrate on better defining the higher grade and potentially wider zones of mineralization," said Jacques Perron, President & CEO of SAS. "Additionally, the Garrison Creek project, with a very limited amount of drilling, indicates the presence of a potentially large gold bearing system and as such, we have increased our drilling efforts in this area."
Drilling, Assaying and QA/QC
Surface drilling at the Deep Thunder and Garrison Creek projects was completed by Orbit Garant,. Analytical work was performed primarily by Laboratoire Expert Inc. in Rouyn-Noranda, and SGS Labratories in Sudbury, both accredited labs. SAS utilized a quality control/quality assurance program consisting of a number of sample standards and blanks that were inserted into the sample string, which represented approximately 5% of the total sample population.
Qualified Person
The exploration programs on the Company's various mineral properties are under the supervision of Michael Michaud, P.Geo, the Company's Vice President of Exploration. Mr. Michaud is SAS' qualified person as defined by NI 43-101, and has reviewed and approved this news release.
About SAS
SAS (operating as "SAS Goldmines"), is a gold mining and exploration company with an extensive land package in the Timmins mining district, northeastern Ontario, which lies within the Abitibi greenstone belt, the most important host of historical gold production in Canada. SAS is focussed on developing its assets in the Timmins Camp which includes current and near-term gold production, and exploration activities.
FORWARD-LOOKING INFORMATION
This news release contains forward‐looking information and forward-looking statements (collectively, "forward-looking information") under applicable securities laws, concerning the Company's business, operations, financial performance, condition and prospects, as well as management's objectives, strategies, beliefs and intentions. Forward-looking information is frequently identified by such words as "may", "will", "plan", "expect", "estimate", "anticipate", "believe", "intend" and similar words referring to future events and results. Specifically this news release contains forward-looking information regarding the interpretation of exploration results received to date from the Garrison Creek Project and the Deep Thunder Zone at the Holloway Mine, the continuance of additional exploration programs on these projects into 2011, and the timing thereof. This forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied by the forward‐looking information. Factors that may cause actual results to vary materially include, but are not limited to, uncertainties relating to the interpretation of the geology, continuity, grade and size estimates of the mineral reserves and resources, unanticipated operational or technical difficulties which could escalate operating and/or capital costs, fluctuations in gold prices and exchange rates, insufficient funding or delays or inability to raise additional financing as required on satisfactory terms, changes in laws or regulations, changes in general economic conditions and changes in conditions in the financial markets. Such forward looking information is based on a number of assumptions, including but not limited to, the level and volatility of the price of gold, the accuracy of reserve and resource estimates and the assumptions on which such estimates are based, the ability to achieve capital and operating cost estimates, the sufficiency of the Company's cash flows and reserves to achieve its exploration objectives, the ability to attract and maintain adequate skilled personnel to operate its mines and to conduct its exploration programs, and no significant decline in general business and economic conditions. Should one or more risks and uncertainties materialize or should any assumptions prove incorrect, then actual results could vary materially from those expressed or implied in the forward-looking information and accordingly, readers are cautioned not to place undue reliance on this forward‐looking information. SAS does not assume the obligation to revise or update this forward‐looking information after the date of this release or to revise such information to reflect the occurrence of future unanticipated events, except as may be required under applicable securities laws.
For further information:
For further information about St Andrew Goldfields Ltd., please contact:
Tel: 1-800-463-5139 or (416) 815-9855; Fax: (416) 815-9437; Website: www.sasgoldmines.com
Suzette N Ramcharan
Manager, Investor Relations
Email: sramcharan@sasgoldmines.com
Jacques Perron
President & CEO
Email:jperron@sasgoldmines.com
Ben Au
CFO, VP Finance & Administration
Email:bau@sasgoldmines.com