Intersects 3.2 g/t Gold over 22 metres at Kendell Prospect and Reports Drilling Results from Multiple Targets
Toronto, March 13, 2023 –
Canstar Resources Inc. (TSXV:ROX) & (OTC:CSRNF) (“Canstar” or the “Company”) is pleased to announce assay results from diamond drilling on its Golden Baie project in south-central Newfoundland, which took place in the fall of 2022. Drilling tested six target areas, including Kendell, Hillside, 97 West, Northbrush, Osprey, White Out and Wolf Pond (Figure 1) along a ~15 kilometre (“km”) prospective trend. In total, 6,471 metres (“m”) were drilled in 51 holes. Notable drill intercepts are provided in Table 1 and full results and drill hole details are provided in Tables 2 and Table 3, respectively. All assays from the drill program have now been received.
Highlights:
- Kendell Prospect 3.2 g/t gold (“Au”) over 22.0 m and 4.3 g/t Au over 14.0 m. Gold mineralization at the Kendell prospect has been expanded to 195 m down-plunge to the northwest.
- New zone at Wolf Pond target 0.8 g/t Au over 11.5 m and 1.9 g/t Au over 6.7 m in a newly discovered shallow zone located 300 m southeast of historic drilling in the area.
Table 1 - Fall 2022 drill assay highlights
Hole Target From (m) To (m) Length (m) Au (g/t)
GB-22-121 Kendell 15.0 37.0 22.0 3.18
including 28.0 29.0 1.0 18.12
GB-22-120 Kendell 38.0 39.0 1.0 6.26
and 63.0 68.0 5.0 6.55
GB-22-107 Kendell 41.3 55.3 14.0 4.32
including 41.3 42.3 1.0 21.27
including 49.3 50.3 1.0 15.80
including 48.3 51.3 3.0 9.15
GB-22-102 Kendell 58.0 62.0 4.0 5.97
including 61.0 62.0 1.0 19.70
GB-22-112 Kendell 60.0 63.0 3.0 6.99
including 62.0 63.0 1.0 18.29
GB-22-111 Kendell 62.7 68.7 6.0 1.77
WP-22-04 Wolf Pond 37.0 43.7 6.7 1.86
WP-22-02 Wolf Pond 31.5 43.0 11.5 0.78
including 31.5 36.5 5.0 1.16
97W-22-11 97 West 7.2 8.2 1.0 5.20
97W-22-09 97 West 5.0 6.0 1.0 1.00
and 8.0 9.0 1.0 4.67
Notes:
1. All intersections are downhole length as there is insufficient information to calculate true width.
2. Reported grades have not been capped.
Matthieu Lapointe, Vice President Exploration, stated: “Our drill program in the fall of 2022 tested multiple targets that were generated using a combination of prospecting, geophysics, and geochemistry. This approach advanced our understanding of the geology and the effectiveness of various tools. In the process, we continued to expand the Kendell prospect. We also validated the large soil anomaly at Wolf Pond and believe this area has significant potential for widespread, bulk tonnage gold mineralization. In addition to follow-up work in these areas, the team is looking forward to continuing work on the newly discovered, high-grade Facheux Bay, Blow Out East and Wood Cutter targets. Unlike most of the north-easterly portions of the Golden Baie property, Facheux Bay is sparsely covered with glacial till. The increase in bedrock exposure at Facheux Bay has allowed us to efficiently prospect and quickly identify and prioritize targets.”
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Figure 1 – Golden Baie drill targets and select exploration results (drill results reported in this release are bolded).
Kendell Prospect
Drilling at Kendell focused on expanding the footprint of mineralization to the northwest, in the interpreted down-plunge direction. Twenty holes were drilled for a total of 2,438 m (Figure 2). Drilling successfully extended gold mineralization down-plunge to the northwest and west-northwest. Hole GB-22-102 intersected 5.8 g/t Au over 4.0 m at a downhole depth of only 58.0 m (Figure 3). This intercept is approximately 15 m down-plunge of hole GB-22-92, which intersected 6.1 g/t gold over 3.6 m at a downhole depth of 52.5 m (see July 5, 2022, news release). The total known down-plunge length of gold mineralization at the Kendell prospect is now estimated to be 195 m.
To further define the geometry of the plunging mineralization, four drill holes were oriented east-west as opposed to the typical northwest-southeast drill orientation. The east-west orientation was designed to intersect the northwest plunging shoot at a more perpendicular drill angle. All four drill holes with this orientation intersected significant gold mineralization including GB-22-107 (4.3 g/t Au over 14.0m), GB-22-112 (7.0 g/t Au over 3.0 m), GB-22-120 (6.6 g/t Au over 5.0 m) and GB-22-121 (3.2 g/t Au over 22.0 m) (Figure 3).
Holes GB-22-106, GB-22-110, GB-22-111, GB-22-115, GB-22-116 and GB-22-117 were drilled approximately 20 m southeast of the known mineralization. Gold mineralization was encountered in four of these holes: GB-22-110 (1.7 g/t Au over 3.0 m - with visible gold), GB-22-111 (1.8 g/t Au over 6.0 m), GB-22-115 (0.3 g/t Au over 16.0 m) and GB-22-116 (1.0 g/t over 6.4 m) (Figure 4). Gold mineralization in these holes suggests the plunging zone is possibly changing direction and open to the west-northwest.
Holes GB-22-108 and GB-22-109 were drilled approximately 20 m northeast of the known mineralization and Holes GB-22-113, GB-22-114 and GB-22-118, GB-22-119 were drilled approximately 45 m southwest of the defined plunging mineralized zone. No significant gold mineralization was intersected in these holes suggesting that the zone narrows in this area, but remains open at depth.
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Figure 2 – Drill hole collar map Kendell prospect (drill results reported in this release are bolded).
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Figure 3 – A-A’ Cross section looking northeast from Kendell prospect (drill results reported in this release are bolded).
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Figure 4 – B-B’ Cross section looking northeast from Kendell prospect (drill results reported in this release are bolded).
Wolf Pond Target
Historic drilling at Wolf Pond in the 1980s delineated a mineralized zone (the “Wolf Pond Gold Zone”) averaging 2 to 3 m thick with grades of 3 to 5 g/t gold within a broader envelope 5 to 8 m thick averaging 1 to 2 g/t gold. The Wolf Pond Gold Zone was delineated by previous operators over a strike length of 450 m and to a depth of 165 m (Figure 5) and is open both along strike and at depth.
Approximately 300 m southeast of the Wolf Pond Gold Zone is a 1,200 m by 50 m gold-in-soil anomaly, with values ranging from 30 to 752 ppb gold, which had never been drill tested. Canstar drilled four holes totaling 679 m into the soil anomaly, testing approximately 150 m of strike length. All four holes intersected gold mineralization with the best results from the two most north-easterly holes WP-22-04 (1.9 g/t Au over 6.7 m) and WP-22-02 (0.8 g/t Au over 11.5 m including 1.2 g/t Au over 5.0 m). Mineralization is associated with arsenopyrite-stibnite-bearing quartz veins hosted in felsic-intermediate volcaniclastics intercalated with sediments.
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Figure 5 – Drill hole collar map Wolf Pond target (drill results reported in this release are bolded).
97 West Target
The 2022 fall drill campaign at 97 West targeted gold mineralization in trenches excavated during 2021 and tested the graphitic shale horizons that also host the high-grade gold mineralization at the Kendell prospect, located approximately 3.5 km to the southwest. Thirteen holes (1,787 m) were drilled (Figure 6) in the 97 West area. Drill hole 97W-22-01 was drilled beneath a 2021 channel sample of 13.1 g/t gold over 1.0 m (trench 97W-21-TR01) and returned an intersection of 1.9 g/t Au over 2.0 m, starting at 13 m downhole. Drill holes 97W-22-07 and 97W-22-09 to 97W-22-13 were collared 200 m to the northeast of the 2021 trenches in an area identified during 2022 trenching. All six holes encountered gold mineralization. The best results include hole 97W-22-11 which assayed 5.2 g/t Au over 1.0 m starting at a down hole depth of 7.2 m and hole 97W-22-09 with 4.7 g/t Au over 1.0 m starting at a down hole depth of 8.0 m. Gold mineralization is related to quartz-carbonate veining hosted in grey shales with disseminated arsenopyrite-stibnite.
Reconnaissance Drilling
Canstar completed scout drilling on several early-stage exploration targets during the fall drill program. These included the Northbrush, Osprey, White Out and Hillside targets (Figure 6). Thirteen drill holes totaling 1,567 m were completed in these target areas, which have significant glacial till cover. Drilling targeted Induced Polarization (IP) chargeability and resistivity anomalies, soil anomalies and/or anomalous channel and outcrop samples hosted in favourable geology (see September 20, 2022, news release).
The best assay result of this drilling came from Northbrush hole NB-22-02 which intersected 0.2 g/t over 16.0 m from a quartz-carbonate vein zone. The best drill intercept on the recently acquired Golden Eye license (see August 15, 2022, release) was from hole GE-22-06 at the White Out target which intersected many broad zones of low grade gold mineralization including 0.2 g/t Au over 14.0 m, 0.3 g/t Au over 10.9 m and 0.4 g/t Au over 6.0 m. Gold mineralization in both of these holes is associated with arsenopyrite-stibnite-bearing quartz veins hosted in intermediate-felsic volcaniclastics that are variably intercalated with shaley sediments.
https://www.thenewswire.com/data/tnw/clients/img/221eba43c53d4fb1e2aba36f81e3b830.png
Figure 6 – Drill hole collar map 97 West, Northbrush, White Out and Osprey targets (drill results reported in this release are bolded).
2023 Field Program
Canstar’s technical team is currently preparing plans and prioritizing exploration targets for the 2023 field program. More details will be provided in a future release. 2022 drill results warrant follow-up exploration in the large Wolf Pond area and at the high-grade Kendell prospect. Advanced exploration targets include Wood Cutter, located approximately 1 km south of Wolf Pond, and Facheux Bay, which is west-southwest of the core licences at Golden Baie. In addition, new exploration targets will be generated. Given the large size of the Golden Baie project, many areas still have had little or no exploration work to date, despite confirmation of multiple styles of gold mineralization present throughout the extensive Golden Baie claim package.
Rob Bruggeman, President and CEO of Canstar, commented: “Exploration results from our flagship Golden Baie project continue to be very encouraging. In 2022, we extended known mineralized zones and continued to generate new targets as expected. Work to date has successfully identified multiple styles of mineralization – high grade orogenic, which has been our focus so far, and a more disseminated style with bulk tonnage potential – both of which warrant further work. As we have noted before, exploration at Golden Baie is at an early stage relative to our neighbours to the north along the same exciting structural trend. With each successive program, we are enhancing our understanding of structural controls, size and orientation of the mineralized zones and the broader potential of this large, highly prospective land position.”
Qualified Person
Matthieu Lapointe, B.Sc., P.Geo., Vice President Exploration of Canstar, and a Qualified Person as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects, is responsible for the scientific and technical data presented herein and has reviewed and approved this release.
QA/QC:
All 2022 drilling was of NQ-sized drill core. Core samples were split with a diamond saw and half-core retained for further study after being detail logged and photographed. 2022 drill core samples were collected by company personnel and shipped to either SGS Labs, Lakefield, ON or SGS MSPU in Grand Falls-Windsor, NL for preparation of assay pulps. Gold analysis is completed in the SGS Labs, Burnaby, BC with a 30 g fire assay and AAS finish (code GE_FAA30V5). Samples returning >1 g/t Au are re-assayed with a gravimetric finish (code GO-FAG30V). Mineralized zones with visible gold are also analyzed by a 500 g screen fire assay with screening to 106 microns (code GO-FAS30M).
Canstar's QAQC program utilizes four commercially available reference standards, blanks and duplicate samples to ensure data quality. In addition, duplicates of selected samples are being sent to a second laboratory as check assays.
Acknowledgements
Canstar wishes to acknowledge the financial support of the 2022 exploration program through the Junior Exploration Assistance Program from the Department of Natural Resources, Government of Newfoundland and Labrador.
About Canstar Resources Inc.
Canstar Resources has a very experienced technical team and board who are focused on new mineral discoveries in Newfoundland, Canada. Central Newfoundland has emerged as one of the most exciting gold exploration districts due to recent high-grade orogenic gold discoveries along crustal scale fault corridors. The Company is focused on gold exploration on 939 km2 of mineral claim licenses in south-central Newfoundland, including the Golden Baie project which has multiple high-grade gold anomalies at surface along ~100 km of strike and near-surface drilling confirming the presence of high-grade orogenic gold. The Company also holds the Buchans-Mary March project in central Newfoundland.
Canstar Resources is based in Toronto, Canada, and is listed on the TSX Venture Exchange under the symbol ROX and trades on the OTCPK under the symbol CSRNF.
For further information, please contact:
Canstar Resources Inc.
Rob Bruggeman, President & CEO
Email: rob@canstarresources.com
Phone: 1-647-247-8715
Website:www.canstarresources.com
Forward-Looking Statements
Neither 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.
This News Release includes certain "forward-looking statements" which are not comprised of historical facts. Forward looking statements include estimates and statements that describe the Company’s future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Forward looking statements may be identified by such terms as “believes”, “anticipates”, “expects”, “estimates”, “may”, “could”, “would”, “will”, or “plan”. Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on information currently available to the Company, the Company provides no assurance that actual results will meet management’s expectations. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, the Company’s objectives, goals or future plans, statements, exploration results, potential mineralization, the estimation of mineral resources, exploration and mine development plans, timing of the commencement of operations and estimates of market conditions. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to failure to identify mineral resources, failure to convert estimated mineral resources to reserves, the inability to complete a feasibility study which recommends a production decision, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, inability to fulfill the duty to accommodate First Nations and other indigenous peoples, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects, capital and operating costs varying significantly from estimates and the other risks involved in the mineral exploration and development industry, an inability to predict and counteract the effects of COVID-19 on the business of the Company, including but not limited to the effects of COVID-19 on the price of commodities, capital market conditions, restriction on labour and international travel and supply chains, and those risks set out in the Company’s public documents filed on SEDAR. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
Table 2 - Fall 2022 drill hole results
Hole Target From (m) To (m) Length (m) Assay (g/t Au)
WP-22-04 Wolf Pond 37.0 43.7 6.7 1.86
WP-22-03 Wolf Pond 62.0 70.0 8.0 0.32
WP-22-02 Wolf Pond 31.5 43.0 11.5 0.78
including 31.5 36.5 5.0 1.16
WP-22-01 Wolf Pond 31.0 41.6 10.6 0.39
NB-22-03 Northbrush No significant results (“NSR”)
NB-22-02 Northbrush 93.0 109.0 16.0 0.19
NB-22-01 Northbrush NSR
GE-22-06 White Out 26.0 38.0 12.0 0.20
and 53.5 64.4 10.9 0.27
and 82.0 88.0 6.0 0.40
GE-22-05 White Out 24.7 28.7 4.0 0.20
GE-22-04 Osprey NSR
GE-22-03 Osprey 16.0 17.0 1.0 0.54
GE-22-02 Osprey NSR
GE-22-01 Osprey NSR
HS-22-04 Hillside NSR
HS-22-03 Hillside NSR
HS-22-02 Hillside NSR
HS-22-01 Hillside NSR
GB-22-121 Kendell 15.0 37.0 22.0 3.18
including 28.0 29.0 1.0 18.12
and 42.0 44.0 2.0 1.02
GB-22-120 Kendell 35.0 37.0 2.0 0.81
and 38.0 39.0 1.0 6.26
and 41.0 43.0 2.0 1.16
and 63.0 68.0 5.0 6.55
GB-22-119 Kendell NSR
GB-22-118 Kendell NSR
GB-22-117 Kendell NSR
GB-22-116 Kendell 70.1 76.5 6.4 1.04
GB-22-115 Kendell 57.0 73.0 16.0 0.29
GB-22-114 Kendell NSR
GB-22-113 Kendell NSR
GB-22-112 Kendell 60.0 63.0 3.0 6.99
including 62.0 63.0 1.0 18.29
GB-22-111 Kendell 62.7 68.7 6.0 1.77
GB-22-110 Kendell 62.0 65.0 3.0 1.66
GB-22-109 Kendell NSR
GB-22-108 Kendell NSR
GB-22-107 Kendell 41.3 55.3 14.0 4.32
including 41.3 42.3 1.0 21.27
including 49.3 50.3 1.0 15.80
including 48.3 51.3 3.0 9.15
GB-22-106 Kendell NSR
GB-22-105 Kendell NSR
GB-22-104 Kendell NSR
GB-22-103 Kendell NSR
GB-22-102 Kendell 58.0 62.0 4.0 5.97
including 61.0 62.0 1.0 19.70
and 67.0 69.0 2.0 0.85
97W-22-13 97 West 9.0 10.0 1.0 1.16
97W-22-12 97 West 12.0 13.0 1.0 0.77
97W-22-11 97 West 7.2 8.2 1.0 5.20
97W-22-10 97 West 7.0 8.0 1.0 2.96
and 16.0 17.0 1.0 0.92
97W-22-09 97 West 5.0 6.0 1.0 1.00
and 8.0 9.0 1.0 4.67
97W-22-08 97 West 64.4 65.4 1.0 0.68
97W-22-07 97 West 4.0 5.5 1.5 2.20
97W-22-06 97 West 114.2 118.6 4.4 0.18
97W-22-05A 97 West NSR
97W-22-05 97 West NSR
97W-22-04 97 West NSR
97W-22-03 97 West 4.0 4.5 0.5 0.71
97W-22-02 97 West NSR
97W-22-01 97 West 13.0 15.0 2.0 1.93
including 13.0 14.0 1.0 3.17
Table 3 - Fall 2022 drill hole details
Hole Length (m) Azimuth Dip Northing (NAD83) Easting (NAD83) Target
WP-22-04 178 135 -50 5307979 607400 Wolf Pond
WP-22-03 100 135 -50 5307914 607316 Wolf Pond
WP-22-02 205 135 -50 5307895 607339 Wolf Pond
WP-22-01 196 135 -50 5307864 607298 Wolf Pond
NB-22-03 97 130 -85 5300937 599768 Northbrush
NB-22-02 151 130 -50 5300937 599768 Northbrush
NB-22-01 190 129 -50 5301369 600142 Northbrush
GE-22-06 151 130 -75 5302733 601286 Osprey
GE-22-05 127 130 -50 5302733 601286 Osprey
GE-22-04 82 160 -50 5302819 600706 Osprey
GE-22-03 82 100 -50 5302819 600707 Osprey
GE-22-02 82 130 -85 5302820 600706 Osprey
GE-22-01 103 130 -50 5302820 600707 Osprey
HS-22-04 154 130 -50 5299047 597534 Hillside
HS-22-03 109 130 -50 5298816 597541 Hillside
HS-22-02 82 130 -50 5298891 597616 Hillside
HS-22-01 157 130 -50 5298972 597509 Hillside
GB-22-121 61 273 -45 5298103 596890 Kendell
GB-22-120 139 270 -50 5298132 596856 Kendell
GB-22-119 166 130 -75 5298055 596827 Kendell
GB-22-118 250 130 -50 5298055 596827 Kendell
GB-22-117 100 130 -85 5298206 596712 Kendell
GB-22-116 100 128 -70 5298206 596712 Kendell
GB-22-114 100 130 -70 5298179 596711 Kendell
GB-22-115 100 90 -70 5298179 596711 Kendell
GB-22-113 256 130 -50 5298179 596711 Kendell
GB-22-112 121 90 -59 5298196 596735 Kendell
GB-22-111 100 130 -87 5298194 596738 Kendell
GB-22-110 100 130 -70 5298193 596738 Kendell
GB-22-109 82 130 -62 5298204 596779 Kendell
GB-22-108 100 130 -80 5298206 596777 Kendell
GB-22-107 100 90 -50 5298168 596761 Kendell
GB-22-106 100 130 -65 5298172 596760 Kendell
GB-22-105 130 130 -85 5298234 596720 Kendell
GB-22-104 121 130 -71 5298234 596720 Kendell
GB-22-103 112 130 -85 5298210 596744 Kendell
GB-22-102 100 130 -70 5298210 596744 Kendell
97W-22-13 40 130 -75 5301406 599152 97 West
97W-22-12 52 130 -50 5301406 599152 97 West
97W-22-11 94 90 -50 5301400 599173 97 West
97W-22-10 97 130 -75 5301400 599173 97 West
97W-22-09 82 130 -50 5301400 599173 97 West
97W-22-08 241 150 -51 5301400 598899 97 West
97W-22-07 121 90 -50 5301432 599211 97 West
97W-22-06 142 130 -49 5301430 599209 97 West
97W-22-05A 43 130 -50 5301253 599238 97 West
97W-22-05 151 130 -50 5301252 599237 97 West
97W-22-04 271 130 -50 5301163 599148 97 West
97W-22-03 61 130 -70 5301227 598949 97 West
97W-22-02 271 130 -50 5301244 599056 97 West
97W-22-01 121 130 -70 5301285 599004 97 West
