Vanstar Mining Resources Inc.
TSX VENTURE : VSR

Vanstar Mining Resources Inc.

June 15, 2015 09:44 ET

Drilling Program Extends the Liam and Dan Gold Zones and Intersects a New Mineralized Structure on the Nelligan Project in Quebec

LA PRAIRIE, QUEBEC--(Marketwired - June 15, 2015) - The management of Vanstar Resources Inc. (TSX VENTURE:VSR) wishes to announce that its partner IAMGOLD Corporation (« IAMGOLD ») has received and validated all results from its winter 2015 diamond drilling campaign on the Nelligan project, located 60 kilometres southwest of Chibougamau, Quebec, Canada. This drill program successfully targeted extensions to the Liam and Dan gold Zones and intersected a new mineralized structure north of the Liam Zone in drill hole NE-15-32.

The drilling program, involved the completion of 7 diamond drill holes totaling 2,516.6 metres, and was designed to test for extensions along strike to the southwest and northeast, as well as continuity at depth of the previously discovered Liam and Dan gold zones. Results confirm the presence of multiple zones within a wide mineralized system with anomalous gold associated with the known gold-bearing structures.

Highlighted intersections obtained during this campaign include:

  • Dan Zone: 2.47 g/t Au over 9.18 metres true width in hole NE-15-26, 1.98 g/t Au over 20.25 metres true width in hole NE-15-28, and 2.22 g/t Au over 13.86 metres in hole NE-15-31;

  • Liam Zone: 2.05 g/t Au over 7.83 metres true width in hole NE-15-27 and 1.16 g/t Au over 20.07 metres in hole NE-15-28;

  • a new wide highly silicified zone with abundant disseminated Pyrite intersected at depth in hole NE-15-29 which returned assay intervals of 0.77 g/t Au over 10 metres from 396 to 406 metres and 0.70 g/t Au over 9.0 metres from 445 to 464 metres;

  • and a new mineralized structure intersected to the north of Liam Zone which returned 5.31g/t Au over 4.50 metres true width and 3.03 g/t over 3.96 metres true width at the bottom of hole NE-15-32.

The table below summarizes the assay results from this drilling program and a surface plan can be found on the following link.

Surface plan: http://media3.marketwire.com/docs/Surface-Plan-Nelligan-drilling.jpg

Planned summer exploration program

A summer exploration program is planned which will include completion of an airborne magnetic and electromagnetic survey and a 4-line orientation deep Induced Polarization survey with the objective to characterize the known mineralized zones and associated alteration, as well as identify new targets areas for further exploration. Prospecting and geological and structural mapping will also be completed over selected areas of the property along the major interpreted structures.

Nelligan Project Drilling Final Results - 2015 Winter Drilling program
Hole No. UTM NAD83 Zone18 AZ DIP EOH from To Interval True
Width
(1)
Au (2) NOTE
Easting Northing Elevation (degree) (degree) (m) (m) (m) (m) (m) (g/t)
NE-15-26 523314 5473417 375 330 -50 349.00 101.00 104.00 3.00 2.70 1.47
108.00 118.20 10.20 9.18 2.47 DAN ZONE
128.00 129.00 1.00 0.90 2.67
133.00 135.00 2.00 1.80 1.39
137.80 139.00 1.20 1.08 1.52
NE-15-27 523155 5473492 375 330 -50 228.00 175.00 183.70 8.70 7.83 2.05 LIAM ZONE
190.00 191.00 1.00 0.90 3.19
NE-15-28 523458 5473519 375 330 -50 380.30 36.00 58.60 22.60 20.34 1.06
Including(3) 36.00 48.00 12.00 10.80 1.43
78.00 100.50 22.50 20.25 1.98 DAN ZONE
Including(3) 85.00 90.00 5.00 4.50 2.65
156.65 172.00 15.35 13.82 1.14
Including(3) 168.00 172.00 4.00 3.60 2.18
187.00 191.00 4.00 3.60 1.14
251.70 274.00 22.30 20.07 1.16 LIAM ZONE
Including(3) 263.00 268.00 5.00 4.50 2.34
299.50 305.50 6.00 5.40 1.45
327.00 331.00 4.00 3.60 1.34
NE-15-29 523245 5473336 375 330 -45 471.00 78.50 82.50 4.00 3.60 0.70 DAN ZONE
138.00 147.00 9.00 8.10 1.29
Including(3) 141.00 147.00 6.00 5.40 1.73
187.00 191.00 4.00 3.60 2.85
323.50 331.00 7.50 6.75 0.19 LIAM ZONE
338.00 339.00 1.00 0.90 3.12
396.00 406.00 10.00 9.00 0.77 Silicified Zone
445.00 464.00 19.00 17.10 0.62 Silicified Zone
Including(3) 448.00 451.00 3.00 2.70 1.53
NE-15-30 523097 5473161 375 330 -45 363.00 208.50 214.10 5.60 5.04 1.15
217.00 229.00 12.00 10.80 0.74 DAN ZONE
Including(3) 219.00 222.00 3.00 2.70 1.09
231.00 242.00 11.00 9.90 0.70
NE-15-31 523616 5473553 375 330 -50 380.3 39.50 44.60 5.10 4.59 0.77
45.60 61.00 15.40 13.86 2.22 DAN ZONE
137.00 142.00 5.00 4.50 1.77
169.00 171.00 2.00 1.80 3.28
280.50 286.00 5.50 4.95 0.73
309.90 316.30 6.40 5.76 1.03 LIAM ZONE
NE-15-32 523543 5473681 375 330 -50 345 158.00 161.45 3.45 3.10 0.78 LIAM ZONE
189.00 190.50 1.50 1.35 5.18
333.00 338.00 5.00 4.50 5.31 New Zone
Including(3) 336.00 336.50 0.50 0.45 39.80
340.60 345.00 4.40 3.96 3.03 New Zone
TOTAL 2516.60 m
Notes:
1. True widths are estimated at 90% of the core interval.
2. Drill hole intercepts are calculated with a lower cut of 0.50 g/t Au.
3. Assays are reported uncut but high grade sub-intervals are highlighted.

About the Nelligan Project

The Nelligan project contains several recently discovered gold showings including Liam, Dan and Lake Eu. To date, the Liam and Dan zones have been drill tested over a strike length of 600 metres to a depth of over 200 vertical metres. The drilling has confirmed the presence of gold mineralization over wide intervals within several mineralized zones, which remain open along strike and at depth. Prospective showings appear to fall within a structural corridor of potential strike length of several kilometres associated to the Guercheville Deformed Corridor.

About the IAMGOLD Agreement.

The Nelligan property is owned at 100% by Vanstar. Under the terms of an earn-in option agreement signed on November 12, 2104, IAMGOLD may acquire up to an 80% interest in the Nelligan project. Terms include a first option to earn a 50% undivided interest in consideration for staged cash payments totaling $550,000, and the completion of $4,000,000 in exploration expenditures over a period of four and a half (4 1/2) years ending on May 12, 2019. The Agreement provides for a firm commitment to pay $200,000 in cash payments before November 12, 2015 and complete $900,000 in exploration expenditures before November 12, 2016. Following the exercise of the first option, IAMGOLD can elect a second option to earn an additional 25% interest, in consideration for the delivery of a pre-feasibility study and making further annual cash payments totaling $225,000, over a period of three and half (3 1/2) years. IAMGOLD can elect a third option to earn an additional 5% interest in consideration for the delivery of a feasibility study and a cash payment of $275,000 due upon IAMGOLD's election to complete the feasibility study.

Gilles Laverdière, Geo., Vice President of Vanstar Mining Resources is the Qualified Person under NI 43-101 who supervised and approved the preparation of the technical information in this press release.

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 press release contains forward-looking statements on our intentions and our plans. Forward-looking statements contained herein are based on the assumptions, beliefs, expectations and opinions of management and entail a number of risks and uncertainties. Therefore, actual results may vary materially from those projected or suggested in such forward-looking statements and readers should not place undue reliance on forward-looking statements. Please note that forward-looking statements involve risks and known and unknown uncertainties, as discussed in filings by the Company with securities regulators in Canada. Various factors may prevent or delay our plans, including availability and contractor performance, weather, access, metal prices, the success or failure of the exploration and development work at various stages of the program and the economic, competitive, political and social in general. The Company expressly disclaims any obligation to update any forward looking statements, except as required by law.

To see the map associated with this press release, please click on the following link : http://media3.marketwire.com/docs/1012492e_vanstar.pdf

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