Vanstar Mining Resources Inc.

Vanstar Mining Resources Inc.

November 26, 2013 08:00 ET

Vanstar Mining Resources Inc.: Major Gold Discovery on the Nelligan Property

LA PRAIRIE, QUEBEC--(Marketwired - Nov. 26, 2013) - The management of Vanstar Mining Resources Inc. (TSX VENTURE:VSR) announces that it has intersected a new and important gold bearing structure while drill testing a low mag anomaly exhibiting a minimum lateral extension of 900 meters. Drill hole NE-13-04 cut an altered, silicified and mineralized structure over a core length of 37.6 m including a section of 31.00 meters grading 1:84 g/t Au which itself includes a section of 20.70 meters grading 2.04 g/t Au (see table below). This hole was drilled on the Nelligan property located some 45 km south of the village of Chapais in NW Quebec.

The recently named "Liam Gold Structure" was intersected at a vertical depth of 55 meters and could easily reach surface under the overburden. If this is the case, a portion of the deposit might have the potential for open pit mining.

See Map attached:

The Liam gold zone lies within an intensive deformation corridor which is interpreted to coincide with a NE-SW striking 900 meter long low mag anomaly. Hosted in a meta-sedimentary environment, the core of the zone is strongly silicified with 1-2% disseminated pyrite over 20 meters of core length. A sericite-fuschite schist unit along with a sheared and mineralized Iron Formation are observed along the south contact. A horizon of amphibolite hosting 5-10% silicified and mineralized veinlets, with traces of molybdenum, is observed along the north contact. Gold distribution seems to be homogeneous in the matrix as indicated by the presence of anomalous gold values in all 29 samples collected through the new zone.

Drill hole NE13-07, located 50 meters behind NE13-04 and on the same section, also cut the mineralized zone but at a deeper level while holes NE13-08 and NE13-09, located on both sides of NE13-04, should be completed this week. Results should be available soon.

Further ongoing analysis will determine if other economic minerals are associated with the gold.

"It's really fantastic to discover a gold structure of this magnitude in a completely new sector, never previously explored. Being associated with a magnetic anomaly more than 900 meters in length, the gold potential of this structure is undeniable. Ongoing drilling will allow us to have a better overview of its potential in the coming days. " to comment Mr. Guy Morissette, President and CEO of the company.

Mila gold zone

Located some 900 meters to the east of drill hole NE13-04, the Mila gold zone is also a new gold showing related to a 700 meter long low mag anomaly. It was intersected by drill hole NE13-01 which returned a 4.5 meter section grading 1.03 g/t Au. Anomalous gold values were also returned from other portions of this drill hole.

Units intersected in this drill hole are strongly fractured and the company estimates that core recovery was not higher than 70%. This gold zone could also extend to the surface, below the overburden, as it was cut at a vertical depth of only 20 meters.

Further drilling is required to properly outline the mineralized zone and potential high grade areas. The company is very encouraged by the presence of gold along such an extensive geophysical structure and intends to dedicate exploration funding in the future.

Lac d'Eu gold showing

About 500 meters to the NE of the new gold discovery, we observe the lac d'Eu gold showing which includes several gold structures within a highly mineralized corridor containing quartz veins and quartz stockwork, again within a meta-sedimentary environment.

It shall be recalled that earlier drilling completed by the company in 2012 returned gold anomalies from most holes through this zone.

Recent diamond drill hole NE13-03, located along its southwestern extension, returned 1.37 g/t Au over 30 meters (core length) including 6 meters grading 5.36 g/t Au. These results further confirm the potential of this NE-SW striking gold bearing zone which is now recognized over more than 700 meters laterally.

(see website for photos, videos and additional information:

Drilling Area From-To Thickness Grade
(meters) (meters) (g/t Au)
NE13 - 01 Mila 34.5 - 39.0 4.5 1.03
And 70.50 - 72.0 1.5 1.19
And 103.5 - 105.0 1.5 1.54
NE13 - 03 Lake Eu 61.50 - 91.50 30.0 1.37
Including 61.50- 67.50 6.0 5.36
And 174.0 - 175.50 1.5 1.09
NE13 - 04 Liam 79.40 - 117.0 37.60 1.64
Including 86.00- 117.00 31.00 1.84
Including 90.00- 110.70 20.70 2.04
Including 90.00- 100.50 10.50 2.30
86.0 0 - 87.00 1.00 6.24
90.00 - 91.50 1.50 1.90
91.50 - 93.00 1.50 4.30
93.00 - 93.90 .90 2.06
93.90 - 95.40 1.50 2.44
95.40 - 96.90 1.50 1.73
96.90 - 98.40 1.50 1.75
98.40 - 99.50 1.10 1.43
99.50 - 100.50 1.00 2.52
100.50 - 102.00 1.50 1.07
102.00 - 103.20 1.20 1.87
103.20 - 104.70 1.50 1.34
104.70 - 106.20 1.50 1.39
106.20 - 107.70 1.50 2.85
107.70 - 109.20 1.50 2.18
109.20 - 110.70 1.50 1.72
110.70 - 112.20 1.50 0.42
112.20 - 113.70 1.50 0.80
113.70 - 114.90 1.50 0.54
114.90 - 115.50 0.60 4.03
115.50 - 117.00 1.50 1.95

Three other holes have been completed in this first phase. Holes NE13-02, NE13-05 and NE13-06 were drill to test other magnetic targets to the south and west of the new discovery. No significant results were obtained. The current program will now be concentrated on the Liam zone.

Nelligan Project

The 100% owned Nelligan property consists of 40 cells totaling 2,080 hectares. It is located approximately 45 kilometers south of the village of Chapais and is accessible year round by several forestry roads. A power line crosses the area some 4 kilometers to the east of the project. No constraints such as protected parks or ecological reserve limit mining exploration on the property.

Samples were recorded, packaged and sent to the certified Lab Expert Inc. facility in Rouyn-Noranda. They were assayed for gold by FAA on a 30 gram pulp. Sample exceeding 1 g/t Au were re-assayed by FA with a gravity finish. Company's QA/QC procedures include random insertions of certified standard material and blanks as well as the use of duplicates. NQ size core was described, sampled and split in two at the company's logging facility in Rouyn-Noranda.

The work was performed under the supervision of Daniel Kelly, consulting geologist and qualified person as per NI 43-101.

This press release was read and approved by Daniel Kelly.

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.

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