VANCOUVER, British Columbia, July 14, 2020 -- Solstice Gold Corp. (TSXV: SGC) (“Solstice”, “we” or the “Company”) is pleased to announce that we have received a travel exemption from the Office of the Chief Public Health Officer of Nunavut which will allow Solstice staff to enter Nunavut and for the purposes of carrying out a summer exploration program (the “Program”) on our 100% owned KGP gold project located 15 km from the Meliadine gold mine owned by Agnico Eagle Mines Ltd. The Program will focus on advancing our flagship QEA target area which has demonstrated strong gold numbers to date, additional targets may also be evaluated, time permitting.
“Solstice recently recruited three new board members with strong pedigrees in mining and capital markets who all made substantial investments in the company. Management and board members now own 34% of the company and are fully aligned with shareholders in seeking to create significant shareholder value compared to our current market capitalization of only $8.5MM, while ensuring we maintain a low corporate burn rate. As a result of the injection of an additional $1.2MM, the company currently is well capitalized and expects to have approximately $1.4MM in cash following the completion of the summer field program outlined in this press release. We are eager to commence our summer field program to further expand targets beyond more than 20 existing drill-ready targets in what we consider an emerging new gold district” stated David Adamson, Chairman.
Exploration Program – QEA target area
Expansion of the QEA target area (Figure 1), which is recommended for drilling in our recently filed NI 43-101 technical report “Technical Report on the KGP Project, Kivalliq Region, Eastern Nunavut Territory, Canada” dated March 17, 2020, will be the initial focus of exploration in summer 2020. The area is defined by a 7 km x 5 km gold in boulder field containing several hundred mineralized boulders including up to 66.6 g/t gold (see Figure 1 for a map showing the distribution of gold rich boulders). Gold is also present in situ up to 8.8 g/t. The area is divided into three targets, Qaiqtuq, Enterprise and Arrow, each of which has distinct characteristics. (See Table 1 below for summary statistics of gold samples from boulder and outcrop grabs from the QEA.)
- Arrow is currently defined by a 3.5 km by 5 km gold in boulder and/or till field. While most gold (+/- arsenopyrite) boulders are hosted by iron formation, there is a subordinate population of gold-bearing metasedimentary boulders. Importantly, there are no known metasediments up ice to the northwest which suggests that these boulders must be locally derived.
- Associated with the Arrow boulder field are prominent magnetic features which are intepreted as iron formation and bounding metasediments. These are associated with cross-cutting and sub-parallel conductors (likely sulphides) defined by electromagnetic data (Figure 1). The entire sequence is cut by primary and secondary structures.
- The observed boulder field and its association with permissive rock types, structures and conductors defines a prime target area for Meliadine-type gold mineralization.
- While numerous drill targets have been identified to date, the Arrow boulder field is open to the east and west in areas where the host geology and structure is intepreted to continue. There is thus potential to expand the already significant strike length of the target area and identify new drill targets through mapping and sampling in Summer, 2020.
- At Qaiqtuq, gold-bearing boulders are associated with prominent, up to 50 metre-wide structures which form prominent gulleys. These structures have coincident magnetic and conductive anomalies and locally display a very close spatial association with gold-bearing boulders.
- While the structures and associated boulder field are existing drill targets, a definitive source for the gold-bearing iron formations at Qaiqtuq has not been located to date. Summer 2020 work will further evaluate this area including covering area further west of currently sampled areas.
- Enterprise comprises a 4.5 km by 4.5 km area where regional geological trends have been rotated through 26° by associated major structures and resulting deformation.
- The area is marked by a depletion of the regional magnetic signature, interepted to be associated with observed alteration of primary magnetite-bearing units.
- The entire sequence is cut by numerous faults, many of which exhibit associated conductivity (likely suphides).
Figure 1: QEA Target Area
Other Targets: 1 (Midway), 2 (Terminus), 3 (Northwest Limb), 4 (Calzone), 5 (Essos). Meliadine Deposits are owned by Agnico Eagle Mines Ltd. Soltice has no rights to any Agnico Properties and there is no certainty that similar mineralization exists on Solstice claims.
“The Meliadine and other regional gold deposits are marked by large boulder trains which led to their original discovery. As well, they have an EM response as do similar sulphide-associated gold deposits of this deposit type elsewhere. Similarly, the components present at QEA suggest the presence of a large mineralizing system: an extensive gold-bearing boulder field, mapped structures, iron formations and EM conductors” stated David Adamson, Chairman.
During the course of our exploration program Solstice staff will adhere to health and safety protocols and guidelines, in particular those related to COVID-19, as provided by the Departments of Public Health of both the Federal and Territorial Governments. Solstice would like to thank the Hamlets of Chesterfield Inlet and Rankin Inlet in addition to the Kivalliq Inuit Association for their ongoing support of Solstice.
The company would like to announce that it has granted 250,000 options to Sandy Barham, M.Sc., P.Geo., Senior Geologist, in respect of his ongoing contributions to the Company. The options will vest over an 18-month period.
Table 1: Summary statistics of gold samples from Boulder and Outcrop grabs from the QEA.
Assay results from grab samples (boulders and outcrop) are selected samples and are not necessarily representative of the mineralization hosted on the property. Grab sample weights range from 0.75 kg to 3 kg.
For additional details on the target areas, boulders and tills, and sampling methods please see our NI 43-101 Technical Report and news releases available on the Solstice Gold website at www.solsticegold.com.
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.
About Solstice Gold
Solstice is a gold-focussed exploration company engaged in the exploration of its 866 km2 (100%) district scale KGP and certain other rights covering an adjacent 683 km2, all with no underlying option or earn in payments. KGP is located in Nunavut, Canada only 26 km from Rankin Inlet and only 15 km from the Meliadine gold deposits owned by Agnico Eagle Mines Ltd. Solstice has 99.5MM shares outstanding.
Solstice is committed to responsible exploration and development in the communities in which we work. For more details on Solstice Gold and the KGP please see our Corporate Presentation available at www.solsticegold.com.
Sandy Barham, M.Sc., P.Geo., Senior Geologist, is the Qualified Person as defined by NI 43-101 standards responsible for reviewing and approving the technical content of this news release.
On Behalf of Solstice Gold Corp.
David Adamson, Ph.D.
For further information please visit our website at www.solsticegold.com or contact:
Marty Tunney, PEng
Forward Looking Statements
This news release contains certain forward-looking statements (“FLS”) relating to the Company’s plans, expectations, intentions and beliefs with respect to the anticipated travel and work program. FLS can be identified by forward-looking words such as “proposed”, “intends”, “expects”, “potential”, “estimated”, “anticipated”, “may” and “will” or similar words suggesting future outcomes or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. Such FLS reflect management's current beliefs and are based on information currently available to management. FLS involve risks and uncertainties that could cause actual results to differ materially from those contemplated by such statements, and there can be no assurance that actual results will be consistent with these forward-looking statements. Factors that could cause such differences include: the inability of the Company to obtain the requisite approvals for the proposed travel and work programs, risks related to any discussed or proposed work programs; use of proceeds as described and other as yet unknown or unidentified risks. This list is not exhaustive of the factors that may impact the Company's FLS. These and other factors should be considered carefully, and readers should not place undue reliance on the Company's FLS. As a result of the foregoing and other factors neither the Company nor any other person assumes responsibility for the accuracy and completeness of these FLS. The factors underlying current expectations are dynamic and subject to change.
This news release contains information with respect to adjacent or similar mineral properties in respect of which the Company has no interest or rights to explore or mine. Readers are cautioned that the Company has no interest in or right to acquire any interest in any such properties, and that mineral deposits on adjacent or similar properties are not indicative of mineral deposits on the Company’s properties. Past performance is no guarantee of future performance and all investors are urged to consult their investment professionals before making an investment decision.