Kaminak Gold Corporation
TSX VENTURE : KAM

Kaminak Gold Corporation

May 08, 2013 07:30 ET

Kaminak Drilling Extends Supremo T2; Multiple Gold-Bearing Structures Identified; Latte North Now Connected to Latte

VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 8, 2013) - Kaminak Gold Corporation (TSX VENTURE:KAM) -

T2 Results Include: 4.3g/t Au over 13.7m, 5.3g/t over 10.7m, and 7.2g/t over 12.2m

Latte/Latte North Results Include: 8.2g/t Au over 9.1m, 8.3g/t Au over 13.7m, and 9.7g/t Au over 3.0m

Kaminak Gold Corporation today announced results for 38 drill holes from the ongoing 2013 drilling campaign at the Coffee Gold Project, Yukon Territory. Drilling successfully intersected gold mineralization in 36 out of the 38 drill holes and identified new, shallow, predominately oxidized, gold-bearing structures within the Supremo-Latte-Double Double area, which is host to the majority of the 3.2Moz NI 43-101 compliant Inferred Mineral Resource Estimate consisting of 64 million tonnes grading at 1.56 grams per tonne gold ("g/t Au") at a base case cut-off of 0.5g/t Au for Oxide and Transitional material and a 1g/t Au cut-off for Sulphide material.

Highlights

  • Supremo T2 Zone: Multiple oxide gold-bearing structures intersected across-strike. At least six stacked vertical structures spaced 25-100m apart over a total width, combined with T3, of approximately 400m. Results include: 4.29 grams per tonne gold (g/t Au) over 13.72 metres from 30.48 metres downhole; 10.53g/t Au over 4.58m from 9.14m; 5.28g/t Au over 10.67m from 71.63m; 3.76g/t Au over 13.71m from 132.59m. Since discovery in 2011, drilling has defined at least 650 metres of strike at T2 and mineralization remains open to the south and to depth. Gold-in-soil data suggests that T2 has the potential to be in excess of 1km long in strike.
  • Latte North Zone: Drilling confirmed the northeast trending Latte North Zone splays off the Latte deposit. Latte North currently exceeds 200m in strike length and remains open to the northeast along strike and to depth. Drill results include: 8.32g/t Au over 3.05m from 39.62m and 9.7g/t over 3.05m from 102.11m. Latte main trend intercepts include: 8.22g/t Au over 9.14m from 3.05m and 8.31g/t Au over 13.72m from 57.91m.
  • The drilling program is ongoing with one reverse circulation (RC) drill turning and a diamond core drill set to start work by the middle of May. Almost 20,000 metres of drilling has been completed to date. Drilling is currently focused on delineating the Supremo T2 structure south along strike. The 2013 Phase 1 exploration program remains on schedule and budget to complete 35,000 metres of drilling for $11M.

Kaminak President and CEO, Eira Thomas, commented: "The 2013 drilling campaign at Coffee remains focused on adding ounces and completing a comprehensive metallurgical testwork program, with the goal of de-risking the project in advance of initiating a preliminary economic analysis in early 2014. To this end, we are on track to evaluate all remaining high priority gold-in-soil and associated geophysical anomalies that potentially represent extensions of known mineralization in the Supremo area, the central focus of our exploration efforts to date. Further, we are specifically targeting those areas that could positively impact mining economics by adding proximal, near surface oxide ounces in the vicinity of the known deposits. The strong correlation between gold-in-soils at surface with underlying mineralization has once again been demonstrated by these latest results. Regionally, Coffee represents a potentially world-class, high-grade, structurally controlled, oxide, hydrothermal gold system; a deposit type which is unique in the Yukon. While significant work remains to evaluate the overall potential at Coffee, work at Supremo alone, represents a near term, potentially transformative economic opportunity for our Company."

Supremo

Drilling tested south along strike of the Supremo T2 resource block model and also followed up on several intercepts that occurred peripheral to the main T2 trend. The new drill results indicate these peripheral structures extend up- and down-dip with the overall result of the extra drilling being the significant broadening of the T2 mineralized corridor on the 4250N section to a total of 300m across-strike, comprising five discrete vertical to steeply dipping mineralized structures. When the adjacent high-grade T3 trend is also taken into account, the total width across strike further extends to 400m and comprises six stacked structures spaced at 25-100m apart. T2 intercepts on the 4250N section include: 10.53g/t Au over 4.58m from 9.14m and 5.28g/t Au over 10.67m from 71.63m (CFR 427); 13.13g/t Au over 3.05m from 45.72m and 12.71g/t Au over 3.05m from 60.96m (CFR428); 4.29g/t Au over 13.72m from 30.48m and 3.76g/t Au over 13.71m from 132.59m (CFR430); and 5.37g/t Au over 6.10m from 47.24m (CFR432). The T2 mineralized structure is completely to partially oxidized to a depth of at least 150 metres below surface (limited by the depth of drilling completed to date).

Assay results received for the step-out drill fence 100m south along strike (4150N section) indicate three vertical mineralized structures over 100m width, including intercepts: 4.31g/t Au over 7.62m from 73.15m (CFR412); 1.37g/t Au over 25.91m from 144.78m (CFR0414); and 7.93g/t Au over 6.09m from 140.21m (CFR0416).

The 4000N to 4400N region of the Supremo T2 trend will require additional drilling to delineate the geometry of the multiple stacked structures intersected on 4250N. The additional stacked lodes on 4250N may represent a splay off the main T2 trend, which could link across to T1 to the west and T3 to the east. Alternately, the broadening of the T2 trend may occur at the intersection of the north-south T2 trend with a cross-cutting east-northeast to east-west trending structure identified in soil geochemistry and magnetics. Additional drilling will be undertaken along and across strike.

A single fence of infill drilling was completed on 4500N to provide additional confidence in the geological interpretation of the northerly half of the T2 zone. Drilling intersected mineralization as predicted by the geological model including a drill intercept of 7.23g/t Au over 12.19m from 102.11m (CFR0408).

Additional drill assays were also received for Supremo T1, which as previously reported (see Kaminak news release April 15, 2013) represents a new mineralized structural zone of at least 300m strike length. The outstanding drill holes on the 4550N section included: 2.11g/t Au over 10.67m from 85.34m (CFR398). Supremo T1 remains open along strike and at depth.

Latte North and Latte

The Latte North zone comprises a 600 metre long east-northeast trending coincident gold-in-soil and magnetic lineament interpreted to splay from the main Latte trend. Previous drilling (see Kaminak news release April 15, 2013) returned high grade intercepts from two fences of RC drilling spaced 50m apart, including: 28.1 g/t Au over 1.53m, 6.15 g/t Au over 10.67m, 11.75 g/t Au over 3.05m and 6.56 g/t Au over 7.62m.

Latte North mineralization dips moderately to the south and strikes obliquely to the main Latte zone on a northeasterly trend. Recent drilling extended the zone westwards to test the intersection zone with the main Latte trend, which is interpreted to occur at approximately 3100E. Drill intercepts on Latte North include: 8.32g/t Au over 3.05m from 39.62m (CFR417) and 9.7g/t over 3.05m from 102.11m (CFR422). The upper portions of some of the drill holes targeting Latte North also intersected the up-dip portion of the Latte main trend on sections 3075E and 3125E, confirming that high grade Latte mineralization extends to surface. Latte drill highlights include: 8.22g/t Au over 9.14m from 3.05m (CFR426), and 8.31g/t Au over 13.72m from 57.91m (CFR433). The mineralized structure is completely to partially oxidized to a depth of up to 140 metres below surface.

Assay Table

Drill Hole Number From (m) To (m) Width (m)* Weighted grade (g/t Au)
Supremo T2
CFR0404 48.77 53.34 4.57 1.33
CFR0406 6.1 12.19 6.09 2.11
And 39.62 50.29 10.67 1.7
And 82.3 89.92 7.62 1.98
CFR0408 102.11 114.3 12.19 7.23
CFR0410 135.64 147.83 12.19 1.11
And 158.5 167.64 9.14 2.23
CFR0412 5 12.19 3.05 2.57
And 73.15 80.77 7.62 4.31
And 114.3 123.44 9.14 1.06
CFR0414 22.86 27.43 4.57 5.12
And 103.63 106.68 3.05 2.51
And 144.78 170.69 25.91 1.37
CFR0416 18.29 21.34 3.05 5.97
And 140.21 146.3 6.09 7.93
CFR0418 27.43 30.48 3.05 1.76
And 150.88 166.12 15.24 1.13
And 175.26 179.83 4.57 1.6
CFR0419 39.62 41.15 1.53 2.72
CFR0421 4.57 10.67 6.1 1.83
CFR0423 No significant result
CFR0425 6.1 10.67 4.57 1.95
And 59.44 70.1 10.66 2.77
And 103.63 114.3 10.67 2.17
And 160.02 190.5 30.48 1.10
CFR0427 9.14 13.72 4.58 10.53
And 47.24 48.77 1.53 8.11
And 62.48 65.53 3.05 1.15
And 71.63 82.3 10.67 5.28
And 109.73 129.54 19.81 0.91
CFR0428 45.72 48.77 3.05 13.13
And 60.96 64.01 3.05 12.71
And 80.77 86.87 6.10 1.90
And 91.44 96.01 4.57 1.55
And 124.97 132.59 7.62 1.14
CFR0430 18.29 19.81 1.52 4.83
And 30.48 44.2 13.72 4.29
And 111.25 126.49 15.24 1.42
And 132.59 146.3 13.71 3.76
CFR0432 47.24 53.34 6.10 5.37
And 161.54 164.59 3.05 2.47
CFR0434 70.1 71.63 1.53 1.95
CFR0436 54.86 56.39 1.53 1.75
And 146.3 147.83 1.53 2.14
CFR0437 144.78 149.35 4.57 0.74
Supremo T1
CFR0398 85.34 96.01 10.67 2.11
CFR0399 12.19 19.81 7.62 1.55
CFR0402 114.3 126.49 12.19 1.27
And 135.64 140.21 4.57 0.98
Latte North
CFR0403 22.86 25.91 3.05 1.41
And 88.39 89.92 1.53 2.77
CFR0405 80.77 83.82 3.05 1.01
CFR0407 0 6.10 6.1 1.54
And 15.24 18.29 3.05 3.76
CFR0409 28.96 30.48 1.52 1.22
And 13.72 16.76 3.04 0.78
CFR0411 56.39 59.44 3.05 1.59
CFR0413 83.82 86.87 3.05 2.41
CFR0415 No significant result
CFR0417 39.62 42.67 3.05 8.32
CFR0420 70.1 74.68 4.58 3.04
CFR0422 102.11 105.16 3.05 9.7
CFR0424 18.29 19.81 1.52 6.52
CFR0426 132.59 140.21 7.62 1.08
CFR0435 182.88 188.98 6.10 2.58
Latte (Main)
CFR0422 25.91 28.96 3.05 4.96
CFR0424 18.29 19.81 1.52 6.52
CFR0426 3.05 12.19 9.14 8.22
And 41.15 48.77 7.62 4.22
And 53.34 56.39 3.05 1.42
CFR0429 19.81 28.96 9.15 3.58
CFR0431 6.10 10.67 4.57 3.26
And 59.44 62.48 3.04 8.05
CFR0433 9.14 16.76 7.62 1.04
And 35.05 44.20 9.15 1.62
And 57.91 71.63 13.72 8.31
CFR0435 4.57 15.24 10.67 1.36
And 38.10 41.15 3.05 2.58

*True width estimated at approximately 2/3 down-hole length.

All maps, sections and assay sheets are currently available on the Kaminak website, www.kaminak.com.

QA / QC

Kaminak's disclosure of a technical or scientific nature in this press release has been reviewed and approved by Rory Kutluoglu, P.Geo., Exploration Manager of Kaminak Gold Corporation, who serves as a Qualified Person under the definition of National Instrument 43-101. Quality assurance and quality control procedures include the systematic insertion of blanks and standards into the drill sample string. Samples are placed in sealed bags and shipped directly to the ALS Minerals preparatory laboratory in Whitehorse prior to gold fire assay.

On behalf of the Board of Directors of Kaminak

Eira Thomas, President and CEO

Kaminak Gold Corporation

Caution Concerning Forward-Looking Statements

Certain disclosures in this release, including management's assessment of the future potential of the Coffee Project and future exploration programs, constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to Kaminak's operations as a mineral exploration company that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including risks as to the completion of the plans and projects. Readers are cautioned not to place undue reliance on forward-looking statements. Except as required by law, Kaminak expressly disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Cautionary Note concerning estimates of Inferred Resources:

This news release uses the term "inferred resources". Inferred resources have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Resources may not form the basis of feasibility or other economic studies. Kaminak advises U.S. investors that while this term is recognized and required by Canadian regulations, the U.S. Securities and Exchange Commission do not recognize it. U.S. investors are cautioned not to assume that part or all of an inferred resource exists, or is economically or legally minable.

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 release.

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