Tickers: XTSX:PST, XOTC:SLTFF, PINX:SLTFF
Vancouver, B.C. - TheNewswire - June 08, 2020 - Pistol Bay Mining Inc. (TSXV:PST); (Frankfurt :OQS2); (OTC:SLTFF) ("Pistol Bay" or the "Company") is pleased to announce that it's 80% optioned out Fredart Property to Infinite Ore Corp. (ILI-TSX:V) (OTCQB:ARXRF) had an N43-101 geology report completed, as required by the TSX.V regulators, and has been submitted by Infinite Ore Corp. for review and approval. Infinite Ore Corp. plans drilling on this property.
The Fredart property is located 61 km east of the town of Red Lake in northwestern Ontario, comprising 171 contiguous mineral claims or 2,620 hectares (see Press Release February 4, 2020).
In addition, a phase one diamond drill program is proposed in the near term to confirm and expand on the VMS mineralized zones, to test for gold mineralization, and to refine the Leapfrog 3D model.
This newly commissioned report by authors Michel Boily and Matt Long represents a detailed compilation and interpretation of the Fredart Property with the following highlights:
- The Fredart property hosts the Copperlode/Fredart zone, with a historical mineral resource of 386,200 tonnes grading 1.56 per cent copper (% Cu) and 33.6 grams per tonne silver (g/t Ag) (completed by Phelps-Dodge Mining Co. in 1971 and included within a prospectus for Consolidated Copper Lode Developments Inc., Jan. 7, 1977, submitted to the Ontario Securities Commission). This historical mineral resource requires further drilling in order to verify and upgrade the resource to NI 43-101 standards. A Qualified Person has not done sufficient work to classify the historical estimate as current resources or mineral reserves and Infinite Ore is not treating the historical estimate as current mineral resources or mineral reserves.
- Mineralization in the Copperlode/Fredart zone is interpreted as Volcanogenic Massive Sulphide (VMS) type, dominated by zinc, copper and silver. Analysis for gold is incomplete, but significant values have been reported in some historic drill holes.
- Outcrop exposure on the Fredart Property is limited and exploration to date has focused on geochemical and geophysical methods to define targets. The report notes: "The main "A" zone is 400 m long, at least 200 m deep and trends E-NE. Diamond drilling indicated the Copperlode "A" zone consists of numerous narrow, discontinuous, en echelon and subparallel sulphide zones. The metavolcanic rocks are commonly biotized and include variable amounts of garnet and green-black amphibole. Intermediate metavolcanic rocks are also variably sericitized. Rocks within the mineralized zone are highly strained, sheared, fissile, boudinaged, and folded."
- The following is a list of the best historical drill results presented in the NI 43-101 report:
The Qualified Person has not verified the data disclosed, through sampling, analytical, nor test data. The information was obtained from assessment reports submitted to the Ontario government. The Qualified Person has not completed sufficient work to verify the historic information on the Property, particularly in regards to the historical drill results. However, the Qualified Persons believe that drilling and analytical results were completed to industry standard practices. The information provides an indication of the exploration potential of the Property but may not be representative of expected results.
The Fredart property is covered by VTEM-plus (versatile time-domain electromagnetic) and flown by Geotech Ltd. in April 2017. Geotech's VTEM-plus system delivers more power into the ground and a better signal-to-noise ratio than previous VTEM systems, resulting in greater depth penetration and better conductor resolution, resulting in numerous high-priority conductive targets that warrant drilling.
Recommendations in the NI 43-101 report include a re-interpretation of the VTEM+ heliborne survey completed in 2017, to integrate 3D inversion models (eg.: of conductance, resistivity, Tau, magnetic intensity) to a 3D geological and structural model of the property. Furthermore, the Company will incorporate the available geological, structural and lithogeochemical data extracted from the historical drill logs into a Leapfrog 3D model.
"The historic drilling on the Fredart property resulted in very high grades over substantial widths and we look forward to starting our drill program. Neighbouring companies such Great Bear Resources and Pure Gold are actively exploring and delivering excellent results in the Red Lake District and we are keen to begin exploring in such a prolific mining camp." stated Mike England, CEO of Infinite Ore.
Terms of the agreement between Pistol Bay and Infinite Ore Corp. are as follows:
Upon Exchange Approval, Pistol Bay will receive the following payments and exploration expenditures commitments from Infinite Ore Corp to earn it's 80%.
(i)Payments of $30,000 cash and 750,000 Infinite Ore Corp common shares within 5 days of the Exchange Approval date
(ii)(ii) Additional payment of $50,000 cash within 6 months of the Exchange Approval date. (iii)Additional payments of $70,000 cash, 750,000 Infinite Ore Corp. common shares and exploration expenditures of $300,000 in or on the claims within 12 months of the Exchange Approval date
(iii)(iv) Additional payment of 1,000,000 Infinite Ore Corp. common shares and exploration expenditures of $300,000 in or on the claims within 24 months of the Exchange Approval date
(iv) (v) Additional $400,000 in exploration expenditures in or on the claims before the third anniversary of the Exchange Approval date
Mr. Kelly Malcolm, P.Geo (Ontario), is the Qualified Person as defined by National Instrument 43-101 who has examined and reviewed the recent NI 43-101 report and geological information available from public sources related to the property, and is responsible for approving the technical contents of this press release. The Qualified Person has not completed sufficient work to verify the historic information on the Property, particularly in regards to the historical drill results. However, the Qualified Persons believe that drilling and analytical results were completed to industry standard practices. The information provides an indication of the exploration potential of the Property but may not be representative of expected results.
About Pistol Bay Mining Inc.
Pistol Bay Mining Inc. is a diversified Junior Canadian Mineral Exploration Company with a focus on zinc and base metal properties in North America. The company is also actively pursuing the right opportunity in other resources to enhance shareholders value. For additional information please visit the Company website at www.pistolbaymininginc.com or contact Charles Desjardins at email@example.com.
On Behalf of the Board of Directors
PISTOL BAY MINING INC.
President and Director
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.
Forward Looking Statements:
Statements included in this announcement, including statements concerning of the Company's plans, intentions and expectations, which are not historical in nature are intended to be, and are hereby identified as, "forward-looking statements". Forward-looking statements may be identified by words including "anticipates", "believes", "intends", "estimates", "expects" and similar expressions. The Company cautions readers that forward-looking statements, including without limitation those relating to the Company's future operations and business prospects, are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements.
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