Kaminak Gold Corporation
TSX VENTURE : KAM

Kaminak Gold Corporation

June 04, 2015 08:00 ET

Kaminak Reports Kona North & Dolce Drill Results from the Coffee Gold Project

Highlights Include: 2.43g/t Au over 50.3m

VANCOUVER, BRITISH COLUMBIA--(Marketwired - June 4, 2015) - Kaminak Gold Corporation (TSX VENTURE:KAM) today announced follow-up drilling results from Kona North and Dolce, new gold discoveries at the Company's development track Coffee Gold Project in Yukon that were announced September 2, 2014, and January 27, 2015, respectively.

Kona North lies less than 1km north, and Dolce 1.1km south, of the granite-hosted Kona gold deposit, which contributes approximately 26,000 recoverable oxide gold ounces at an average diluted grade of 1.22g/t Au to the 2014 NI 43-101 Coffee Preliminary Economic Assessment (PEA). Like Kona, both Kona North and Dolce are granite hosted and broadly east-west striking. Further, all three mineralized trends are located close to the proposed mine infrastructure in the PEA.

Recent step-out drilling at Kona North returned 2.43g/t Au over 50.3m from 32m downhole (CFR976), the best intercept to date from this zone. Kona North is associated with a 1.8km long gold-in-soil anomaly of which only 300m has been systematically drill tested to date. A ten hole program totaling 718 metres was completed at Kona North in April, 2015, with the objective of confirming continuity and extending the strike of the known mineralization and mapping the distribution of Oxide facies mineralization. Drilling confirmed the east-west strike and steep southerly dip and intersected wholly to partially oxidized mineralization in all holes except for CFR963 and CR976. However, the depth extent of Oxide and Transitional mineralization appears to be quite shallow at Kona North compared to other Coffee gold deposits resulting from localized erosion of the upper sections of the mineralized structure. There remains good potential to test for extensions of the Oxide mineralization at shallower levels of the system along strike to the east. Kona North is now pending further analysis to determine if it will be included in the overall Coffee feasibility study. Overall, Kona North continues to yield high tenor gold results highlighting the future prospectivity of the under-tested, granite-hosted terrain that hosts several large undrilled gold-in-soil anomalies west of the main Coffee Gold resource area.

The Dolce Zone is associated with a semi contiguous 1km long gold-in-soil anomaly originally drilled in 2014 (3.24g/t Au over 13.72m) as part of the condemnation program within areas adjacent to proposed mine infrastructure. Mineralization is now confirmed from drilling to be E-W striking over at least 100m of strike and dipping steeply to the south. Additional drill holes located approximately 250m to the east and west did not intersect bedrock mineralization; however, these step out holes may not have been optimally positioned with respect to strike of the Dolce trend. All intercepts achieved to date at Dolce comprise Oxide and Upper Transitional facies mineralization.

Table 1 Drill Hole Assay Results

Prospect Drill Hole From (m) To (m) Width (m)* Weighted
Average
grade
(g/t Au)
Kona North CFR0962 47.24 65.53 18.29 1.30
Kona North CFR0963 71.63 83.82 12.19 2.19
Kona North CFR0964 1.52 6.10 4.58 1.14
Kona North and 32.00 44.20 12.20 1.91
Kona North CFR0965 9.14 10.67 1.53 4.68
and 45.72 50.29 4.57 1.54
Kona North CFR0966 25.91 28.96 3.05 1.04
and 38.10 45.72 7.62 0.96
Kona North CFR0967 Abandoned
Kona North CFR0968 28.96 51.82 22.86 1.56
Kona North CFR0969 53.34 57.91 4.57 8.10
Including 54.86 56.39 1.53 18.55
and 92.96 97.54 4.58 1.02
Kona North CFR0970 Abandoned
Kona North CFR0976 32.00 82.30 50.30 2.43
Including 59.44 62.48 3.04 17.38
Dolce CFR0971 3.05 6.10 3.05 1.53
Dolce CFR0971 35.05 36.58 1.53 2.81
Dolce CFR0972 54.86 64.01 9.15 0.70
Dolce CFR0972 71.63 80.77 9.14 1.98
Dolce CFR0973 27.43 28.96 1.53 1.01
Dolce CFR0974 79.25 83.82 4.57 2.93
Dolce CFR0975 No Significant value
* True width estimated at approximately 2/3 down-hole length.

All maps, sections and assay sheets associated with this news release can be viewed by clicking the following link: http://kaminak.com/news_releases/index.php?&content_id=624

QA / QC

Kaminak's disclosure of a technical or scientific nature in this press release has been reviewed and approved by Tim Smith, P.Geo., Vice President Exploration 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

For further information about Kaminak Gold Corporation or this news release, please visit our website at www.kaminak.com.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.

Caution Concerning Forward-Looking Statements

Certain disclosures in this release, including management's assessment of the future potential of the Coffee Project, costs and timings for completion of the Coffee Project feasibliity study 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 event or otherwise.

The Company has not made a production decision, and the Company's strategic plan to develop a stand-alone heap leach operation is subject to the results of its Feasibility Study. Further, if and when the Company makes any production decision, it will disclose the basis of such decision in accordance with the requirements of National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101").

Cautionary Note concerning estimates of Inferred and Indicated Resources:

This news release uses the terms "Inferred Resources" and "Indicated Resources", which 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 and/or Indicated 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 does not recognize it. U.S. investors are cautioned not to assume that part or all of an Inferred and Indicated resource exists or is economically or legally minable.

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