Irving and Shimadzu have begun work on a definitive mineral property option agreement
Irving Resources has signed a non-binding term sheet with Shimadzu Ltd. (“Shimadzu”) to acquire the 5.25 sq km Yamagano mining license, site of extensive historic high-grade gold vein mining in southern Kyushu, approximately 11 km southwest of the large, high-grade Hishikari gold mine (Figure 1). Irving and Shimadzu have begun work on a definitive mineral property option agreement; the terms of the option agreement will be announced once signed. In addition, the Kyushu Bureau of Economy, Trade and Industry has accepted the filing of 23 new mineral prospecting licenses totalling 65.19 sq km. A multi-step review now begins for the approval of these licenses. Mitsui Mineral Development Engineering Co., Ltd. (MINDECO) is assisting the Company throughout the process.
Yamagano High-Grade Gold Vein Mining District Highlights:
The Yamagano mining district, situated approximately 11 km southwest of the large, high-grade Hishikari gold mine, is host to innumerable historic gold mine workings, some dating back to 1640AD during the early Edo Period in Japan (Figure 2). Mining focused on a multitude high-grade epithermal gold veins hosted by volcanic rocks blanketing this region.
Yamagano gold production is reported to be approximately 80 tonnes, or 2.57 Moz. (http://www.jtdweb.org/journal/2006/009_Arikawa.pdf) Importantly, the mining right tenement has seen no modern exploration including drilling. Yamagano is the major nearest past producer neighbour to the Hishikari mine.
Gold veins at Yamagano appear associated with a particular geophysical feature, an area of anomalously high gravity, thought to represent a buried uplift, or dome, in underlying denser basement sedimentary rocks. Such a geologic feature is believed to have focused gold-depositing hydrothermal fluids to ascend into overlying faults and fissures where they formed extensive high-grade vein networks. A gravity high was recognized very early as an important ore control at the Kushikino gold mine (56 tonnes or 1.80 Moz Au produced) situated approximately 39 km southwest of Yamagano. (https://mitsuikushikino-mine.co.jp/en/corporate-information/introduction) In fact, based upon this geologic model, initial targeting of the famous Hishikari deposits (248.2 tonnes or 7.98 Moz Au produced) was driven largely by recognition of an anomalous gravity high underlying that area. (https://www.smm.co.jp/E/corp_info/domestic/hishikari/kyoten.html) Irving believes the gravity high at Yamagano reflects a buried dome of basement rock and that, given the large footprint of this feature, there is considerable prospectivity for veins elsewhere across the property.
Irving now holds four important new mineral prospecting licenses immediately east of the Yamagano mining right where the extension of gravity feature discussed above is situated. This area is covered by post mineral volcanic rocks and has not been explored for blind high-grade Au veins. Irving believes this area is highly prospective for natural continuations of the Yamagano vein network. In fact, the majority of the local gravity anomaly lies within these new mineral prospecting licenses.
Irving considers its methods of exploration, including controlled source audio-magnetotelluric surveys, will be the best means of quickly identifying drill targets within the gravity high.
Satsuma Gravity Anomalies Highlights:
In addition to the proposed option to acquire the highly prospective Yamagano mining district, Irving has four new blocks of mineral prospecting licenses, the Satsuma A, Satsuma B, Satsuma C and Satsuma D projects, each covering a discrete gravity anomaly similar to that recognized at Yamagano. Each of these gravity highs lie within areas covered by young, post-mineral volcanic rocks. Similar to Yamagano, Irving considers these highly prospective when considering the “gravity high” model discussed above.
Importantly, Satsuma A and Satsuma B lie between the Yamagano gold district and the Kushikino mine in a trend Irving considers highly prospective for new discovery.
Satsuma C and Satsuma D also lie within areas covered by young, post-mineral volcanic rocks with no known history of exploration.
All land holdings discussed above are subject to the Irving-Newmont exploration alliance, and both companies are currently discussing the best path to advance exploration at each project.
“We are delighted to be working towards securing the Yamagano mining district,” commented Quinton Hennigh, director and technical advisor to Irving. “This gold field is the major nearest neighbour to the famous Hishikari gold mine and, remarkably, has seen no modern exploration including drilling. It is, in effect, one of the ‘crown jewels’ of gold exploration in Japan. With the addition of our mineral prospecting licenses immediately east of the Yamagano mining right, we will, upon execution of the option agreement with Shimadzu, control virtually the entire gravity anomaly that defines the area of highest prospectivity within the district. In addition, we have secured tenure over four similarly prospective yet unexplored gravity highs, the Satsuma blocks, southwest of Yamagano. Irving is now similarly well-positioned with a high-quality epithermal gold project in Kyushu as it is in Hokkaido.”
Quinton Hennigh (Ph.D., P.Geo.) is the qualified person pursuant to National Instrument 43-101 responsible for, and having reviewed and approved, the technical information contained in this news release. Dr. Hennigh is a technical advisor and director of Irving.
Source: Company Press Release