TSX-V: KTO
VANCOUVER, BC, Oct. 13, 2020 /CNW/ - K2 Gold Corporation
("K2" or the "Company") (TSX-V: KTO) (OTCQB: KTGDF)
(FRANKFURT: 23K) is pleased to announce the commencement of
the Company's first drilling program at the Mojave project ("Mojave") located in
Inyo County, Southern California.
John Robins, Chairman of K2
commented, "This project represents one of the most exciting
exploration opportunities I have ever worked on. Our surface
work over the last year has identified several large zones of oxide
gold mineralization. The commencement of drilling is a very
positive step forward for the Mojave project."
"We have now safely mobilized a drill rig and personnel to
Mojave – a high grade oxide gold
project which has not been drilled since BHP's 10-hole programme in
1997," stated Stephen Swatton,
President and CEO of K2. "With approximately $2.5 million in cash, K2 is fully financed to
complete this initial drilling campaign comprising four sites on
the Eastern side of the property."
Current Drill Program
K2 is fully financed to complete
this initial drill campaign, which is expected to comprise
approximately 16 holes from four prospective sites on the Eastern
side of the 5,830 ha (14,406 acres) property. This drilling
program will focus only on the Dragonfly and Newmont target areas,
two gold rich zones with a 4.5km strike length of known
mineralization outcropping at surface. It is expected to produce
approximately 3,200m of drill chips
to a maximum depth of 200m per
hole.
Please CLICK HERE to view a map of the Mojave drill sites.
All 35 historic holes drilled by Newmont and BHP within the
Newmont and Dragonfly zones intersected alteration and anomalous
gold mineralization.
Dragonfly
K2 is permitted to drill two sites at
Dragonfly and each will be located at least 90m from previous BHP drilling.
Highlights for the historic BHP drilling at Dragonfly are in the
table below:
Hole
ID
|
Target
|
Company
|
From
(m)
|
To
(m)
|
Int
(m)
|
Au
(g/t)
|
CM97-3
|
Dragonfly
|
BHP
|
0.00
|
53.34
|
53.34
|
0.55
|
Incl.
|
|
|
1.52
|
25.91
|
24.38
|
0.67
|
And
|
|
|
47.24
|
53.34
|
6.10
|
2.00
|
And
|
|
|
163.07
|
172.2
|
9.13
|
1.17
|
CM97-4
|
Dragonfly
|
BHP
|
0
|
99.06
|
99.06
|
1.05
|
Incl.
|
|
|
16.76
|
22.86
|
6.1
|
4.95
|
And
|
|
|
42.67
|
57.91
|
15.24
|
3.11
|
And
|
|
|
88.39
|
97.54
|
9.14
|
1.55
|
CM97-5
|
Dragonfly
|
BHP
|
0
|
16.76
|
16.76
|
0.4
|
And
|
|
|
146.3
|
208.76
|
62.48
|
0.42
|
Incl.
|
|
|
146.3
|
158.5
|
12.19
|
1.48
|
Site DF-1 is located approximately 90m south of historic holes CM97-3 & 4 and
will test beneath the historic BHP trench that returned 4.2 g/t Au
over 42.7m. The second site,
DF-2, is located approximately 235m
south of DF-1 along the same structure.
Mineralization at Dragonfly occurs along a series of closely
spaced, NW trending, SW dipping, extensional zones. These
occur between NNW trending, west dipping, sinistral strike-slip
faults and are the focus of higher-grade mineralization. The
mineralization is associated with an overlapping assemblage of
silicification and sericite-clay alteration, multiple generations
of stockwork quartz and quartz-carbonate veining, and strong
iron-oxide development within a sequence of conglomerate,
limestone, and siltstone.
Newmont
Two drill sites are permitted for Newmont and
will follow up adjacent to historic drilling by Newmont (1991) and
BHP (1997). The closest historic hole to K2's drilling is
67m (CGL-1) from NM-1.
Highlights of the historic drilling are shown in the table
below:
Hole
ID
|
Target
|
Company
|
From
(m)
|
To
(m)
|
Int
(m)
|
Au
(g/t)
|
CGL-1
|
Newmont
|
Newmont
|
8.23
|
9.75
|
1.52
|
8.23
|
and
|
|
|
29.57
|
32.61
|
3.05
|
2.45
|
CGL-2
|
Newmont
|
Newmont
|
61.26
|
119.18
|
57.91
|
0.58
|
Incl.
|
|
|
61.26
|
67.36
|
6.10
|
1.17
|
And
|
|
|
81.08
|
84.12
|
3.05
|
1.07
|
And
|
|
|
97.84
|
103.94
|
6.10
|
2.72
|
And
|
|
|
111.56
|
117.65
|
6.10
|
0.94
|
CGL-3
|
Newmont
|
Newmont
|
33.83
|
64.13
|
30.48
|
1.21
|
Incl.
|
|
|
38.4
|
55.17
|
16.76
|
2.08
|
CGL-4
|
Newmont
|
Newmont
|
26.52
|
32.61
|
6.10
|
2.64
|
CGL-5
|
Newmont
|
Newmont
|
23.47
|
37.19
|
13.72
|
1.13
|
Incl.
|
|
|
32.61
|
37.19
|
4.57
|
2.94
|
CGL-6
|
Newmont
|
Newmont
|
96.62
|
128.63
|
32.00
|
0.5
|
CGL-12
|
Newmont
|
Newmont
|
152.4
|
155.45
|
3.05
|
2.81
|
And
|
|
|
202.69
|
228.6
|
25.91
|
0.79
|
Incl.
|
|
|
210.31
|
224.03
|
13.72
|
1.27
|
CGL-13
|
Newmont
|
Newmont
|
123.44
|
143.26
|
19.81
|
0.3
|
CGL-17
|
Newmont
|
Newmont
|
147.83
|
152.40
|
4.57
|
0.35
|
CGL-19
|
Newmont
|
Newmont
|
22.86
|
33.53
|
10.67
|
0.61
|
And
|
|
|
74.86
|
99.06
|
24.38
|
0.91
|
CGL-20A
|
Newmont
|
Newmont
|
56.39
|
59.44
|
3.05
|
0.12
|
CGL-20B
|
Newmont
|
Newmont
|
24.38
|
47.24
|
22.86
|
0.15
|
And
|
|
|
79.25
|
86.87
|
7.62
|
0.42
|
CM97-8
|
Newmont
|
BHP
|
48.77
|
59.44
|
9.14
|
0.59
|
CM97-9
|
Newmont
|
BHP
|
120.4
|
156.97
|
36.58
|
0.5
|
Incl.
|
|
|
124.97
|
135.64
|
10.67
|
1.32
|
CM97-10
|
Newmont
|
BHP
|
158.5
|
164.59
|
6.1
|
1.13
|
And
|
|
|
228.6
|
309.37
|
80.77
|
0.22
|
Site NM-1 is at the southern end of the Newmont trend and will
target near surface mineralization beneath the 'Discovery' outcrop
which includes chip/trench results of 2.46 g/t Au over 34m and has not been previously drilled.
The second site, NM-2, is located approximately 400m to the north of NM-1 and will evaluate the
continuity of the mineralized zone in a zone of widely spaced
historic drilling.
Mineralization at the Newmont is focused along a NNE trending,
shallowly west dipping, structural zone that forms the contact
between calcareous siltstone and limestone. The
mineralization extends into both units where it is associated with
strong sericite alteration, localised silicification and
brecciation, carbonate +/- quartz veining, and strong iron-oxide
development.
The drill program is expected to last approximately three
weeks. Rock chip samples will be shipped to MSALABS
laboratory in Vancouver, Canada,
with an anticipated turnaround time for analysis of rock samples
between 3-4 weeks. The results from all four sites will contribute
significant data towards a preliminary resource estimation.
K2 is committed to ensuring compliance with all environmental
regulations and local, state, and federal laws. This drill
program was approved by the Bureau of Land Management following
extensive environmental review, public input, and approval of a
reclamation plan.
Health and Safety Protocols
K2 has been closely
monitoring developments of the novel coronavirus pandemic
("COVID-19"). The Company has implemented a set of health and
safety protocols, with guidance from the California
Department of Public Health and Inyo County Health and Human
Services, including: daily screening procedures, temperature
monitoring, guidelines for workers, self-assessment checklists,
directives regarding the use of face coverings and social
distancing, cleaning and disinfecting procedures, and contact
tracing.
Assay Methodology & QA/QC
The analytical work on
the Mojave project will be
performed by MSALABS an internationally recognized analytical
services provider, at its laboratory in Langley, British Columbia. All rock and
drilling samples will be prepared using procedure PRP-910 (dry,
crush to 70% passing 2mm, riffle split off 250g, pulverize split to
better than 85% passing 75 microns) and analyzed by method FAS-111
(30g fire assay with AAS finish) and IMS-130 (0.5g, aqua regia
digestion and ICP-AES/MS analysis). Any samples containing
>10g/t Au will be reanalyzed using method FAS-415 (30g Fire
Assay with gravimetric finish). Samples containing >100
ppm Ag and/or >1% Cu, Pb, & Zn will be reanalyzed using
method ICF-6 (0.2g, 4-acid digest and ore grade ICP-AES
analysis).
The reported work will be completed using industry standard
procedures, including a quality assurance/quality control ("QA/QC")
program consisting of the insertion of certified standard, blanks
and duplicates into the sample stream.
Qualified Person
Jodie
Gibson, Vice President of Exploration and a Qualified Person
under National Instrument 43-101, has reviewed and approved the
technical information in this release.
About K2
K2 is a well-financed gold and silver
exploration company with approximately $2.5M cash and projects in SW USA and the Yukon. In USA, the Company is represented by
its 100% subsidiary, Mojave Precious Metals Inc. The Company is
focused on the Mojave property in
California, a 5,830 hectare oxide
gold project with base metal targets. The location of Mojave enables the Company to have year-round
news flow on multiple previously recognized surface gold targets
that have been successfully drilled in the past by majors BHP and
Newmont. Besides affording immediate drill targets based on the
Company's soil data integrated with LiDAR and Worldview-3 data, the
property also has undrilled locations with gold enriched historical
trench results including one at the Dragonfly zone which recorded
4.2 g/t gold over 42.7m (BHP
data).
On behalf of the Board of Directors,
"Stephen Swatton"
President and CEO
K2 Gold Corporation.
K2 Gold Corporation is a member of the Discovery Group of
Companies based in Vancouver,
Canada. For more information please visit:
discoverygroup.ca.
Cautionary Statement on Forward-Looking
Statements
This news release contains forward-looking statements that are
not historical facts. Forward-looking statements involve
risks, uncertainties and other factors that could cause actual
results, performance, prospects and opportunities to differ
materially from those expressed or implied by such forward-looking
statements, including statements regarding the exploration program
at Mojave, including results of
drilling, and future exploration plans at Mojave. Factors that could cause actual
results to differ materially from these forward-looking statements
include, but are not limited to, variations in the nature, quality
and quantity of any mineral deposits that may be located, the
Company's inability to obtain any necessary permits, consents or
authorizations required for its planned activities, and the
Company's inability to raise the necessary capital or to be fully
able to implement its business strategies. The reader is referred
to the Company's public disclosure record which is available on
SEDAR (www.sedar.com). Although the Company believes that the
assumptions and factors used in preparing the forward-looking
statements are reasonable, undue reliance should not be placed on
these statements, which only apply 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. Except as required by
securities laws and the policies of the TSX Venture Exchange, the
Company disclaims any intention or obligation to update or revise
any forward-looking statement, whether as a result of new
information, future events or otherwise.
This news release does not constitute an offer to sell or a
solicitation of an offer to buy, nor shall there be any sale of any
of the securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful, including any of the
securities in the United States of
America. No securities of the Company have been or will, in
the foreseeable future, be registered under the United States
Securities Act of 1933 (the "1933 Act") or any state securities
laws and may not be offered or sold within the United States or to, or for account or
benefit of, U.S. Persons (as defined in Regulation S under the 1933
Act) unless registered under the 1933 Act and applicable state
securities laws, or an exemption from such registration
requirements is available.
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES
PROVIDER (AS THAT TERM IS DEFINED IN POLICIES OF THE TSX VENTURE
EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF
THIS RELEASE
SOURCE K2 Gold Corporation