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LA PRAIRIE, Quebec, May 30, 2019 (GLOBE NEWSWIRE) -- The management of Vanstar Mining Resources Inc. (VSR-TSX-V) is very pleased to announce the first results from the 2019 winter drilling campaign carried out by its strategic partner IAMGOLD Corporation. This program, with a total of 17,654 meters of drilling in 50 holes, was aimed at 1) delimit the northern limit of the Renard deposit 2) complete in the definition of a geological model in order to calculate a first gold resource in place and 3) check its extension towards west. These three goals have all been achieved.
The following table shows the main significant results from drill holes NE-19-100 to NE-19-121. The results from the 28 other drill holes will be published as soon as available.
(See the diamond drill location map in annexe )
« We are totally satisfied with these news results. These show a consistent auriferous presence in the extensive Renard hydrothermal system and it is also encouraging to see that it remains open in its western extension. Hole NE-19-120 demonstrates this well » commented the CEO and President of the Company, Mr. Guy Morissette
In a separate press release on the recent results Craig MacDougall, Senior Vice President, Exploration for IAMGOLD,
stated: “The 2019 drilling program has successfully confirmed wide zones of mineralization extending to surface, which will help complete our deposit model in support of a mineral resource estimate planned for completion in the second half of the year. It is important to note that the mineralized zones remain open and are therefore believed to have favourable potential to continue to expand with additional drilling. I commend the efforts of our exploration team and contractors, who continued to advance this grassroots discovery successfully and - most importantly – safely in the difficult winter conditions of this region of Quebec.”
The 2019 diamond drilling program was designed to infill and further test continuity of the mineralized zones of the Renard mineralized system, located immediately north of the previously known Liam and Dan zones. It specifically targeted the shallower part of this wide mineralized corridor to confirm and define its limit closer to the surface. Most of the holes intersected the expected zones of hydrothermal alteration characterized by variable carbonatization, sericite, phlogopite and pervasive silicification affecting the hosting meta-sedimentary sequence. Associated mineralization consists of widespread disseminated pyrite, varying from 1% to locally 15%. Trace molybdenite and occasionally fine grains of visible gold are also observed.
Assay results from the remaining 28 drill holes totaling 10,680 metres will be reported once they are received, validated and compiled. Once in hand, the data from the 2019 drilling program, coupled with ongoing geological, geochemical and structural studies, will be integrated to support the development and refinement of a deposit model with the objective of completing an initial NI 43-101 compliant resource estimate in 2019 and will support the planning of future drilling programs.
About the Nelligan Project
The Nelligan project is underlain by a portion of the Caopatina segment belonging to the North Volcanic Zone of the Abitibi Belt of the Superior Province. The property is centered on the E-W Druillette synclinal with sediments of the Caopatina Formation bounded to the north and to the south by volcanic rocks of the Obatogamau Formation. The North and South portions of the property are occupied by granodioritic to tonalitic intrusions. The project is transected by numerous regional and local structures and deformation zones which can be important in the localization of gold mineralization.
Gold showings of the area can be grouped according to their style of mineralization: Quartz-sulphide vein type mineralization and disseminated pyrite mineralization. On the local scale, the Nelligan project contains several interesting gold showings, including the Liam and Dan Zones discovered by drilling in 2013 and 2014, and the historical Lake Eu showing. Significant alteration and associated gold mineralization was intersected over wide intervals to the north of the known gold showings over a strike length of more than 1.0 kilometre, to a depth of over 350 vertical metres (Zones 36 and Renard). These prospective showings appear to fall within a structural corridor with a potential strike length of several kilometres associated to the Guercheville Deformed Corridor located 5 kilometres north of the property.
The Nelligan Project is held under an earn-in option to joint venture agreement with Vanstar. The Company holds an undivided 51% interest in the property, and holds an option to earn a further 24% undivided interest in exchange for cash payments totaling C$2,750,000 to Vanstar and the delivery of an NI 43-101 compliant Resource Estimate and Technical Report before March 2022. Once vested to an undivided 75% interest, IAMGOLD will have a further option to acquire an additional interest of 5%, to hold an 80% interest in the Nelligan project by completing and delivering a Feasibility Study. Vanstar would then retain a 20% undivided non-contributory carried interest until the commencement of commercial production, after which: (1) the 20% undivided interest becomes participating; and (2) Vanstar will pay its attributable portion of the total development and construction costs to the commencement of commercial production from 80% of its share of any ongoing distributions from the Joint Venture. Vanstar will also retain a 1% NSR royalty on selected claims of the project.
1. True widths are estimated at 70 to 94% of the core interval.
2. Drill hole intercepts are calculated with a lower cut of 0.50 g/t Au and may contain lower grade interval of up to 5 metres in length. They are generally reported with a minimum g*m (or Metal factor) of 5.
3. Assays intervals are reported uncapped and capped at 30 g/t Au and high grade sub-intervals are highlighted.
Gilles Laverdière is considered a "Qualified Person" for the purposes of National Instrument 43-101 with respect to the technical information being reported on.
The TSX Venture Exchange and its Regulation Services Provider (as that term is defined in the TSX Venture Exchange Policies) do not accept any responsibility for the truth or accuracy of its content.
To view the Diamond drill location map, please visit the following link: Click Here