Vancouver, British Columbia, October 5, 2017 Harvest Gold Corporation (TSX.V: HVG) (“Harvest Gold” or the “Company”) is pleased to announce initial results of part of its Phase 1 exploration program at its high-grade Cerro Cascaron gold-silver project in Mexico. The program successfully identified six significant silver-rich polymetallic veins at the Cascarita prospect and provided a stronger structural understanding of the area through underground sampling of historic adits. High grade silver with strong lead and zinc values were encountered within the adits. The Cerro Cascaron project covers 69 square kilometres in a historic Colonial-era mining district in the prolific Sierra Madre Occidental precious metals belt of western Chihuahua State, Mexico.
The sampling of historic adits at La Cascarita provided five channel sample cuts with widths of 1.4 to 3.3 metres that grade between 231 and 542 g/t silver equivalent*. Associated prospecting also identified a silver rich poly-metallic vein field that includes six sub-parallel vein systems within a 900 metre by 300 metre corridor. Historic artisanal development on the structures of Cascarita area are open to the northwest and southeast. The prospect has never had modern exploration of any kind. This large vein field has become another early priority for the Company and more detailed mapping and surface sampling is underway.
Harvest Gold’s’ President and CEO Rick Mark stated: We are very pleased Cascarita has shown indications of grade and size that deserve our immediate attention and look forward to adding it to our initial drill target list. We are now reviewing the initial results from the soil and adit sampling and mapping programs over the main Cascaron gold vein field and will be producing those results for the market shortly”
Cascarita Sampling Highlights
*Note: Silver-Equivalent Ag-Eq = Ag + (Pb%*22.046*Pb price*31.103/Ag price) + (Zn%*22.046*Zn price*31.103/Ag price). Metal prices used for this formula: Ag = $US 16.25/oz, Pb = $US 1.00/lb, Zn = $US 1.25/lb. Recoveries of 100% are assumed for the silver-equivalent values.
Cascarita Adit Sampling
In the Cascarita area, six vein systems are present within a 900 metre by 300 metre corridor of northwest-striking structures. The fault-bounded structures attain appreciable widths of up to 3.3 metres with associated and locally extensive zones of stockwork veining up to 20 metres wide that locally link parallel structures. Mineralized structures comprise dominantly quartz±barite breccia-veins with polymetallic sulphides. Quartz textures include colloform and drusiform quartz and local amethyst. Boiling textures are present as quartz pseudomorphs after bladed calcite at the Coralillo Vein. Polymictic breccias that locally include quartz vein fragments suggest significant reactivation and movement along faults. Significant base metal sulphide development is reflected by very high lead and zinc with anomalous copper, arsenic and antimony geochemistry.
Veins and sampling locations are shown in Figures 1 and 2.
Figures 1 and 2: Cascarita mine area geology plan and sample location lines
Individual assay results in regular text, length weighted channels results and silver equivalent results are shown in bold in Table 1:
*Note: Silver-Equivalent Ag-Eq = Ag + (Pb%*22.046*Pb price*31.103/Ag price) + (Zn%*22.046*Zn price*31.103/Ag price). Metal prices used for this formula: Ag = $US 16.25/oz, Pb = $US 1.00/lb, Zn = $US 1.25/lb. Recoveries of 100% are assumed for the silver-equivalent values.
The northwestern extension to these structures will be explored for projections at higher topographic levels that may be more favourable for gold mineralization. The geologic setting of the Cascarita area appears to be centered on a rhyolitic dome however follow-up mapping and sampling is required to define the exploration potential. Towards the upper parts of the veins, for example, the barite becomes an important component and can be utilized as another prospecting guide for extensions of the vein systems.
As a follow-up, detailed mapping will be conducted in the current exploration program, prior to determining drill targets.
Readers should refer to Evrim’s press releases dated June 8 and August 17, 2016 and Harvest Gold press releases dated June 8 and 15, 2017 for a full description of previous exploration results.
About the Cerro Cascaron Project
The Cerro Cascaron property hosts a low to intermediate sulphidation epithermal gold bearing system and includes a high-grade gold vein field measuring approximately 18 square kilometres in area on the eastern third of the property. Veining has been mapped on a cliff face for over 900 vertical metres, with classic textural evidence of multiple phases of hydrothermal boiling accompanying the highest gold grades. These boiling zones have been established in the upper 380 metres of the vein field. Beneath the boiling zones, silver- and base metal-rich veins and breccias provide additional exploration targets.
Cerro Cascaron’s setting and mineralization is similar to many epithermal deposits in the Sierra Madre Occidental, including Fresnillo PLC's La Cienega Mine in Durango, Goldcorp’s past producing El Sauzal gold mine and further south, First Majestic’s San Martin de Bolanos silver mine in Jalisco State. The property is approximately 55 kilometres southeast of Goldcorp Inc.’s past-producing El Sauzal gold mine and is one of the few unexplored and undrilled opportunities in the region.
Harvest has signed an option agreement with Evrim Resources Corp. (“Evrim”) (TSX.V:EVM) whereby Harvest can earn up to an 80% interest in the Cerro Cascaron project
Quality Assurance/Quality Control
Mr. Warren Bates, P. Geo (APGO#0211), the Company’s Director of Property Investigation, is the Qualified Person for this press release for the purposes of National Instrument 43-101, and has reviewed and approved the technical information herein. Samples were collected perpendicular to the structures from hanging wall to footwall. Evrim Resources has advised that their quality control procedure is as follows: Samples were delivered to ALS Global in Hermosillo, Sonora for sample preparation and to the ALS laboratory in North Vancouver for analysis. The Hermosillo facility has ISO 9001:2008 certification while the North Vancouver facility has ISO/IE 17025:2005 certification. Blank samples were inserted into the sample sequence for all channel samples with noted visible gold with no indications of contamination. Samples were assayed for gold by 30 gram fire assay and multi-element analysis by aqua regia and four-acid ICP analysis. Selected samples with coarse or visible gold were re-analyzed by 50 gram screen metallic assay.
About Harvest Gold
Harvest Gold is a gold-focused mineral exploration company with an experienced board of directors and management whose collective geological and financing experience exceeds 200 years. Harvest also holds three fully registered mineral concessions on properties in the Republic of Suriname: the Goliat-Tibiti, Gonini River and Oelemari concessions.
About Evrim Resources
Evrim Resources is a mineral exploration company whose goal is to participate in significant exploration discoveries supported by a sustainable business model. The Company is well financed, has a diverse range of quality projects and a database in Mexico and portions of the southwestern United States. The existing projects, and generation of quality exploration targets and ideas, are advanced through option and joint venture agreements with industry partners to create shareholder value. Evrim’s business plan also includes royalty creation utilizing the Company’s exploration expertise and existing projects.
ON BEHALF OF THE BOARD OF DIRECTORS
Joel Matheson,
Director
Harvest Gold Corporation
For more information please contact:
Rick Mark or Jan Urata
@ 604.682.2928 or [email protected]
FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. Except for statements of historical fact relating to the company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
