VANCOUVER, Feb. 20, 2018 /CNW/ - David H. Brett, President & CEO, EnGold Mines Ltd., (TSX-V: EGM, "EnGold" or the "Company") reports that EnGold has commenced Induced Polarization ("IP") and Electromagnetic ("EM") geophysical surveying at the 2017 discovery area, now called the G1 Copper Zone, at its 100% owned Lac La Hache Property in the Cariboo region of BC. The work will include surface and bore-hole testing at the G1 Copper Zone to assess the effectiveness of IP and EM to detect the known copper-magnetite mineralization. If successful, a larger ground survey will be completed to help refine drill targets along the undrilled 1.8 km gap between G1 and the Spout Deposit, where gravity, magnetic and IP anomalies already show positive responses to the mineralization on surface. The geophysical program is expected to be completed in February 2018 prior to commencement of drilling, expected in March 2018.
"The EnGold team is excited about 2018 and looking forward to another year of exploration at Lac La Hache," said EnGold CEO David Brett. "Our goal is to build shareholder value by both expanding and delineating known mineralization and searching for new breakthrough discoveries like 2017's G1 Copper Zone find."
"The similarities between Spout and G1 mineralization suggest common origins, with nearly identical host rocks, alteration, mineralization textures and mineralogy," says EnGold VP Exploration Rob Shives. "Historical IP survey maps for data collected more than three decades ago show positive responses associated with the at-surface ore at Spout, but none over the G1 zone, perhaps due to the depth of the G1 mineralization. We are hopeful that modern surveys, combined with borehole methods, will be more successful, offering additional drill targeting in the immediate G1 area, the gap area, and possibly beyond."
Previous drilling at Spout and G1 has identified carbonate rich volcaniclastic strata that outcrops at Spout and dips gently to the east at approximately 15 degrees. This strata is the receptive host to the Spout & G1 Carbonate Replacement Copper/Magnetite Mineralization (CRD/Skarn). EnGold VP Exploration geologist Rob Shives predicted that the first drill hole at G1 would encounter this potentially mineralized sedimentary layer at approximately 336m depth. The layer was intersected at that depth and proved to be strongly mineralized over thick intercepts. EnGold interprets that this layer also occurs in the gap area and is highly prospective for mineralization occurring along the trend, similar in character to G1 and Spout.
2018 Exploration Program
EnGold's 2018 drilling strategy is three-pronged. First, step out and infill drilling at G1 will aim to expand and delineate mineralization sufficient to support an initial resource calculation by the end of calendar 2018. Second, at Spout North, drilling of untested down-dip targets will aim to identify additional higher-grade copper mineralization at the Spout Deposit that could support a resource recalculation of Spout using a high grade underground model, which management believes has good economic potential. The current Spout Deposit resources were calculated using a shallow, bulk minable, open-pit model which is considered by management to be too small and low grade to be economic. Third, EnGold aims to refine and drill targets along the 1.8km gap between G1 & Spout. Detailed total drilled metres, scheduling and budget are still being defined and are subject to additional financing.
About EnGold
EnGold is a Vancouver-based copper/gold exploration company focused solely on its 100% owned Lac La Hache property in the Cariboo region of BC. EnGold's vision is to identify and delineate mineral resources at Lac La Hache that could potentially support an economically feasible and environmentally sustainable underground mining operation. The Spout Deposit, the Aurizon Gold Zone and the 2017 G1 Discovery, located within a 7 kilometer area on the property, are all considered by EnGold to be potentially underground minable targets. EnGold's significant new copper discovery in 2017 adds to the already extensively drilled Spout Copper Deposit and Aurizon Gold zones. Discovery potential for new high-grade zones remains strong, and existing areas are open for expansion. With world class infrastructure at its doorstep, Lac La Hache is a great location to be exploring. EnGold's corporate philosophy rests on three interdependent pillars: Environment, Engagement and Gold. Through sound environmental stewardship, commitment to transparent engagement with local communities, the Company is dedicated to driving exceptional shareholder and stakeholder value by fulfilling its vision to profitably supply valuable and much needed metals to the global marketplace.
Rob Shives P.Geo., VP Exploration and a Qualified Person as defined under National Instrument 43-101, has reviewed and approved the technical content of this release.
Engold Mines Ltd.
Per/
David Brett, MBA
President & CEO
For further info contact David Brett, 604-682-2421 or david@engold.ca
This news release may contain "forward‐looking statements". Readers are cautioned that any such statements are not guarantees of future performance and that actual development or results may vary materially from those in these "forward looking statements." Neither the 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 release.
SOURCE Engold Mines Ltd.
