The Phase 2 program was designed to test for extensions to the mineralized zone at the Olive-Shamrock Deposit, which was recently incorporated into the Feasibility Study on the Company's flagship Eagle Gold Project, Yukon.
John McConnell, Present & CEO, commented, "The recent Eagle Feasibility Study proved the accretive value of the Olive-Shamrock Deposit when included in the Eagle mine plan. These latest results demonstrate the potential growth of the Olive-Shamrock Deposit. With our recent capital raise of $4.7M, we now have greater than $6M earmarked for exploration in 2017 and plan to continue to drill Olive-Shamrock while also testing new targets along the developing Potato Hills Trend, which includes; Steiner, Nugget, Rex-Peso, and Falcon targets, amongst others."
The Olive-Shamrock 2016 Phase 2 exploration drill program was designed to target mineralization expansion potential based on the resource estimate recently published in the Eagle Feasibility Study (see press releases dated September 12, 2016 and October 27, 2016) as well as to test a number of previously undrilled surface geochemical anomalies in the vicinity of the Olive-Shamrock Deposit. The results of this Phase 2 program support the expansion potential of the Olive-Shamrock Deposit, particularly to the northeast. The mineralization model of the Potato Hills Trend continues to be maintained with each successive exploration program. Victoria's geological team is confident that continued exploration will prove out accretive mineralization potential in close proximity to the Eagle Gold Project. Specifically, this increased geological comprehension will enable Victoria to target additional high value zones along the Potato Hills Trend in future exploration campaigns slated to begin in early 2017.
Analytical Method
All exploration drill core from the Olive-Shamrock 2016 program was analyzed at SGS Canada Inc. of Burnaby, B.C. utilizing the GE-ICP40B, 34-element analytical package with FAA5515 50-gram Fire Assay with Gravimetric finish for gold on all samples. All core samples were split on-site at Victoria's Eagle camp and shipped to SGS Canada Inc.'s Burnaby, B.C. Laboratory. There, samples were sorted and crushed to appropriate particle size (coarse crush) and representatively split and pulverized to a smaller size whereon analyses were performed. A comprehensive system of standards, blanks and field duplicates has been implemented for the 2016 Olive-Shamrock drilling programs and is monitored as chemical assay data become available.
About Olive and Shamrock
The Olive and Shamrock targets are defined by a broad gold/arsenic in-soils geochemical anomaly and lie on the intrusive-sediment contact of the Potato Hills Trend (as does the Eagle Deposit) and are punctuated by several historically exploited high-grade sulphide veins. The area was mined on a small scale from shallow shafts and adits in the early 1900's and via placer mining in creeks draining the area. The Olive and Shamrock vein system is located near the top of Olive Gulch and consists of gold-bearing quartz-scorodite-arsenopyrite vein material centralized in a shear zone structure. More detail and a current summary of the Olive and Shamrock Zone exploration can be found on the Company website.
About the Dublin Gulch Property
Victoria Gold's 100%-owned Dublin Gulch gold property is situated in the central Yukon Territory, Canada, approximately 375 kilometers north of the capital city of Whitehorse, and approximately 85 kilometers from the town of Mayo. The Property is accessible by road year-round, and is located within Yukon Energy's electrical grid. The Company has constructed and maintains a 100 person all-season camp at the project site.
The Property covers an area of approximately 555 square kilometers, and is the site of the Company's Eagle Gold Deposit. The Eagle Gold Mine is expected to be Yukon's next operating gold mine and, between the Eagle and Olive deposits, include Proven and Probable Reserves of 2.7 million ounces of gold from 123 million tonnes of ore with a grade of 0.67 grams of gold per tonne, as outlined in a National Instrument 43-101 feasibility study. The NI 43-101 Mineral Resource for the Eagle and Olive deposits has been estimated to host 191 million tonnes averaging 0.65 grams of gold per tonne, containing 4.0 million ounces of gold in the "Measured and Indicated" category, inclusive of Proven and Probable Reserves, and a further 24 million tonnes averaging 0.61 grams of gold per tonne, c
