Kesselrun Makes New High Grade Gold Discoveries in Fisher Zone
Kesselrun Makes New High Grade Gold Discoveries in Fisher Zone
THUNDER BAY, ON, February 15th, 2022 – Kesselrun Resources Ltd. (TSXV:KES; OTCPK:KSSRF) (“Kesselrun” or the “Company”) is pleased to provide further drilling results on its 100% owned Huronian Gold Project.
Continued drilling and modeling of the Fisher zone has identified multiple new, high-grade zones in both the footwall and hanging wall sides of the Fisher zone, all in close proximity.
- Multiple new zones identified in the Fisher Zone area
- 21HUR130 intercepted 33.9 g/t Au over 1.0 m within a 4.7 m wide zone which averaged 8.4 g/t Au in the newly named Fisher FW-A Zone
- 21HUR108 intercepted 24.3 g/t Au over 0.5 m in the newly named Fisher HW-B Zone
Figure 1: Schematic Plan Map – Fisher Area Zones
Ongoing modelling incorporating drill results from both Kesselrun and previous operators has interpreted multiple new zones in both the hangingwall and footwall to the Fisher Zone. These zones vary in thickness from 0.5-10m wide and are currently outlined up to 200m along strike. The recognition of these new zones points to the tremendous potential that remains in the area in and around the historic Huronian mine. Numerous historic drill intercepts and surface expressions of gold mineralization have yet to be incorporated into modelled zones.
Michael Thompson, P.Geo., President and CEO of the Company, commented, “As expected, multiple high-grade zones have been defined. As we progress with our drilling to greater depths on the Fisher Zone we recognized the step backs in drill locations would present the opportunity to test both the footwall and hanging wall sides of Fisher. Previous operators on the property intersected scattered high-grade intercepts on both sides of Fisher which presented an opportunity to integrate these intercepts into zones through targeted drilling and modeling.”
Mr. Thompson remarked further, “Further drilling in the area, we believe, will not only further expand on these zones, but also yield future discoveries of new zones. The close proximity of all the zones in the Huronian Mine area will have positive implications on the goal of advancing this project.”
2022 Huronian Exploration Program
The 2022 Huronian exploration program will consist of drilling as well as geophysics over selected target areas. Drilling will be targeting the Fisher, Fisher North, McKellar and Huronian zones, all in close proximity along an approximate 1500 m strike length in the area of the historic Huronian Mine. As well, the geology on strike to the southwest of Goldshore Resources’ Moss Lake deposit will be targeted. A 2nd drill rig is currently in the process of being procured for the increased drilling activity anticipated in 2022.
Figure 2: Schematic Plan Map – Huronian Project
Table 1: Summary of Significant Drill Intercepts – Current News Release (1)
- Widths are drill indicated core length as insufficient drilling has been undertaken to determine true widths with at this time. Average grades are calculated with un-capped gold assays as insufficient drilling has been completed to determine capping levels for higher grade gold intercepts.
2021 Huronian Drilling
The 2021 Huronian drill program was completed with approximately 19,750 metres drilled of which the results from approximately 19,000 metres of drilling have been released.
About the Huronian Gold Project
The 100% owned Huronian Gold Project hosts the past producing Huronian Mine, Northwestern Ontario’s first gold mine with an historic resource estimate of 44,592 oz Au at an average grade of 15.3 g/t Au in the indicated category and 501,377 oz Au at an average grade of 14.4 g/t Au in the inferred category. The resource estimate presented for the Huronian Project is historic in nature. Kesselrun Resources’ qualified person has not completed sufficient work to confirm the results of the historical resource. Kesselrun Resources is not treating this as a current mineral resource but is considering it relevant as a guide to future exploration and includes it for reference purposes only. The historic resource was estimated by Minescape Exploration Inc. in 1998. Further drilling will be required by Kesselrun Resources to verify the historic estimate as current mineral resources.
As well, the Huronian Gold Project hosts the same lithological package of rocks, as interpreted from both Government of Ontario and Kesselrun Resources mapping, compilation and modelling, on strike from the adjacent Moss Lake Gold Deposit with an historic resource estimate of 1,377,300 oz Au at an average grade of 1.1 g/t Au in the indicated category and 1,751,600 oz Au at an average grade of 1.1 g/t Au in the inferred category as outlined in Wesdome Gold Mines’ 2013 PEA (3) (4). Mineralization hosted on adjacent and/or nearby properties is not necessarily indicative of mineralization hosted on Kesselrun Resources’ property.
- Moss Lake Gold Mines (a subsidiary of Wesdome Gold Mines at the time) news releases February 20, 2013 and September 9, 2013.
- On January 26, 2021, Wesdome Gold Mines announced that the Moss Lake Project would be purchased by Goldshore Resources Inc. (see Wesdome and Goldshore news releases dated January 26, 2021).
Michael Thompson, P.Geo., President and CEO of Kesselrun, is the Qualified Person responsible for the project as defined by National Instrument 43-101 and has approved the technical information in this news release.
Kesselrun has implemented a quality control program to comply with industry best practices for sampling, chain of custody and analyses. Certified gold reference standards, blanks and duplicates are inserted at the core processing site as part of the QA/QC program in addition to the control samples inserted by the lab. Samples are prepared and analyzed by Activation Laboratories in Thunder Bay. Samples are analyzed for gold using Fire Assay-AA techniques. Samples returning over 10 g/t gold are analyzed using Fire Assay-Gravimetric methods. Selected samples are also analyzed with a standard 1 kg metallic screen fire assay. All results reported herein have passed QA/QC protocols.
Health and Safety
The health and safety of our personnel and contractors is always top priority for Kesselrun. The current situation presents new challenges above and beyond what we normally face while working in the field. Kesselrun has implemented further measures to ensure the health and safety of all working on the Company’s projects.
Investor Relations Clarification
The following is clarification to the April 14, 2021 news release regarding investor relations contract for Mr. Larry Heuchert.
On April 12, 2021, the Company entered into a consulting agreement with Mr. Heuchert to provide investor relations services for the Company. The original agreement was for a four-month period with either party having the right to terminate the agreement with 30-day notice. Pursuant to the contract, Mr. Heuchert was compensated USD$2,500 per month.
On July 14, 2021, the Company granted to Mr. Heuchert an option to acquire up to 75,000 common shares of the Company at $0.40 per common share (the “Option”). The Option was granted as part of the Company’s stock option plan and vested at the time of grant. As of the date of this news release Mr. Heuchert has not acquired any shares available to him pursuant to the Option.
On July 31, 2021, the Company entered into a revised consulting agreement with Mr. Heuchert which included the above-mentioned Option and extended the term of engagement for another four-month period. All other terms of the agreement remained the same.
As of the date of this news release, Mr. Heuchert continues to be engaged by the Company on a month-to-month basis under the terms and conditions of his July 31, 2021 consulting agreement and is compensated at USD$2,500 per month. Mr. Heuchert assists the Company in responding to investor inquiries as an independent contractor, is based in Las Vegas, Nevada and, in addition to the above Option, currently owns 83,991 common shares of the Company acquired in the open market.
About Kesselrun Resources Ltd.
Kesselrun Resources is a Thunder Bay, Ontario-based mineral exploration company focused on growth through property acquisitions and discoveries. Kesselrun's management team possesses strong geological and exploration expertise in Northwest Ontario. For more information about Kesselrun Resources, please visit www.kesselrunresources.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 news release.
For additional information please contact:
Kesselrun Resources Ltd.
Michael Thompson, P.Geo., President & CEO
Forward Looking Statements – Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Kesselrun, including, but not limited to the impact of general economic conditions, industry conditions, volatility of commodity prices, dependence upon regulatory approvals, the execution of definitive documentation, the availability of financing and exploration risk. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.