Ethos Gold Enters Agreement To Acquire Deep Cove And Virgin Arm Gold Projects
VANCOUVER - Ethos Gold Corp. has entered into two earn-in agreements under which Ethos may earn a 100% interest in the 1475 hectare (14.75 km2) Deep Cove claim group and 1875 hectare (18.75 km2) Virgin Arm claim group located on New World Island, approximately 65 km north of Gander, Newfoundland. These projects are contiguous and have good access via paved and gravel roads and trails.
Highlights: Limited historic work including by Noranda in the 1980's to mid-1990's identified at least nine occurrences with visible gold in bedrock over a structural corridor of more than 5 km. Reported high-grade assays from grab samples included 346 g/t, 245 g/t, 127 g/t and 99.7 g/t gold; Gold mineralization is present in veining and stockwork fracturing with significant quartz, sulfides, and visible gold. The veining occurs at the high level of an orogenic depositional environment, filling brittle fracturing of the host rocks; Both coarse and fine visible gold are present, with some locations demonstrating both larger gold particles in the plus 2 mm range, but also significant coincident finer gold recoverable by panning; Five gold prospects were identified in 2002 by Candente Resource Corp. (the Hank, Homer, Barney, Piranha, and Kelp prospects) where grab samples returned gold assays including 99.2 g/t, 104.3 g/t, and 127 g/t, 3.1 g/t, 3.5 g/t, 7.5g/t, 9.1 g/t, and 10.4 g/t 2; A limited seven-hole drill program by Rubicon Minerals in the mid-2000's returned 5.7 g/t Au over 1m, and 1.04 g/t over 9.1 m in reconnaissance drilling at two locations.
Rob Carpenter, Chief Technical Advisor, said, "It is rare to find a project area of this size with this number of high grade gold showings that has received this little work to date. Historic work has been limited and sporadic but has nonetheless delivered very encouraging results, and the project is wide open to a new effort to understand the controls of gold mineralization and to look for economic concentrations of near surface gold. We are currently compiling and interpreting all available historic data look forward to kicking off a significant program on the ground in the spring of 2021, with the intention of developing drill targets."
Quinton Hennigh, Advisor, said "The widespread gold mineralization at Virgin Arm and Deep Cove is very encouraging especially given the presence of both coarse and fine gold. Gold mineralization appears to occur at the high level within the orogenic regime and associated with Devonian magmatism emplaced during a continental collisional event. Significant gold mineralization occurs along this north-south collision margin extending through central Newfoundland. The Deep Cove and Virgin Arm projects are on the western side of this margin in a north-south trending sequence of rocks that geologically appear to correlate to other significant gold occurrences that include Marathon Gold's Valentine Lake project."
The Deep Cove and Virgin Arm properties lie at the northeast extent of the Exploits Subzone (Dunnage Zone) of Central Newfoundland and is underlain mostly by the Ordovician Dunnage Melange and the Badger Belt. The Exploits Subzone area trends 200km northeast / southwest across the island of Newfoundland, and hosts most of the significant gold deposits in the province. Gold mineralization is associated with arsenopyrite, pyrite, trace chalcopyrite, and both coarse and fine-grained native gold within pervasive sericite altered rocks, and concentrated along intersections between late stage conjugate brittle faults. Ethos is planning to start field exploration in the spring of 2021 including property-wide prospecting, mapping, and sampling with the objective of defining drill targets for testing later in 2021.