New Drilling Expanding Size Potential At Black Pine

 

VANCOUVER, BC - Liberty Gold Corp. reported that new drilling at Black Pine in southern Idaho has intersected thick intervals of high grade oxide gold mineralization in a new area, greatly expanding the size potential of this Carlin-style gold system. All ten holes drilled to date in this area confirm the discovery. The drill holes targeted a 500 meter (m) wide gap between an area of known gold mineralization and a historic pit with flanking gold mineralization. The drilling not only confirms that high grade oxide gold mineralization is present in the gap area, but it is also drill-confirmed evidence for the presence of a mineralized zone that is over one kilometer (km) long, remaining open for extension laterally in all directions.

“After two years of preparatory compilation, modeling and permitting, our expectations were high, and these holes did not disappoint. Drill holes LBP019 through LBP021 provide the proof of the potential of Black Pine to host significant gold mineralization in the extensive untested area beneath and lateral to historic pits and drilling, returning grades that are over twice what is currently being mined in open-pit heap leach scenarios in the Great Basin,” said Cal Everett, President and CEO. “100% of the discovery credit goes to a brilliant group of geologists with a storied history of association with several operating gold mines around the world. With upwards of 85 metres of above-cut-off mineralization in several zones in some of these holes, we expect to be able to build tonnes and ounces rapidly over the course of our 2019 drilling program.” 

The Company has successfully confirmed its pre-drilling model, wherein oxide gold mineralization occurs within a 100 to 300 m thick receptive carbonate sequence, with higher grades encountered near the base of the carbonate sequence where it is cut by structural corridors up to several hundred m wide. Historical 1992 – 1997 pits are located along these intersections. Four additional holes are pending that will add to our understanding of the size and grade of this discovery.

One Reverse Circulation (RC) drill was deployed in April to drill an estimated 16,000 m in 80 to 100 holes to provide a comprehensive test of the core of an oxide gold system estimated at over 12 square km (km2) in size. The drill program represents the culmination of over 2 years of intensive compilation, modeling and interpretation of the complex geology of the project, as well as a 20 month permitting process. The goal of the 2019 drill program is to carry out a comprehensive test of the geological and mineralization model over a roughly seven km2 area within the 12 km2 identified gold system, starting with a highly prospective area near the historic A and B pits. Extensive data compilation, involving over 1800 historic drill holes, thousands of surface soil and rock samples and 5 shallow pits, suggests that a large volume of rock under and adjacent to zones of previously drill-tested and/or mined gold mineralization contains highly prospective stratigraphy and favorable structural settings for hosting Carlin style gold mineralization.

Drill holes LBP019 through LBP021 tested 500 m of strike length along a northwest - southeast section line that stretched from the historic B Pit and the A Basin target (link to cross section and long section). Two of the three holes intersected thick intervals of high grade oxide gold and the third hole intersected moderate grade. All holes are overlain by broad intervals of lower grade gold mineralization. 

Gold mineralization is hosted in complexly deformed strata of the Pennsylvanian to Permian Oquirrh Group, consisting of an upper sandstone unit structurally emplaced over carbonate and siliciclastic rocks, including limestone and dolostone, as well as calcareous and non-calcareous shale, siltstone and sandstone, which in turn overly Mississippian shale and limestone. The carbonate sequence forms a highly prospective tectonostratigraphic sequence ranging from 100 to over 300 m thick. The various rock units were subjected to late Cretaceous folding and thrusting, followed by low- to high-angle normal faulting in the early to middle Cenozoic. The extensive deformation provided the architecture and plumbing for gold-bearing fluids to penetrate the rock and deposit very fine-grained gold in reactive calcareous siltstones and brecciated strata of all types. Liberty Gold has recognized several fault corridors that intersect the most prospective stratigraphic units; collectively these intersections of structure with stratigraphy form the primary targets for 2019 drilling.

The company’s address is Suite 1900, 1055 W. Hastings, Vancouver, BC V6E 2E9, (604) 632-4677, www.libertygold.ca.