Transition Metals Outlines Gold in Till Anomalies at Highland Gold, Cape Breton
TSX VENTURE: XTM
Sudbury, Ontario--(Newsfile Corp. - February 19, 2019) - Transition Metals Corp (TSXV: XTM) ("Transition", "the Company") is pleased to announce the results from a till geochemical survey conducted over portions of the Highland Gold Project located in Cape Breton, Nova Scotia. The survey has identified three large gold-in-till anomalies consisting of gold grain counts that are in some cases 10 to 30 times higher than average background levels from Nova Scotia¹. The size and location of these anomalies described in more detail below are depicted in Figure 1.
Transition CEO Scott McLean explains that, "The results further highlight the likelihood that a large gold system or systems may occur on the property. Anomaly 1 highlights a roughly 5 square kilometer portion of the property that hosts a number of known mineralized showings including the Main Zone where recent RAB drilling by Transition returned 9.14 metres grading 23.22 g/t gold. It does not appear that this showing alone can account for what we are observing in the till samples."
About the Till Sampling Work
In August of 2018, Transition collected at total of 66 till samples collected from mechanically excavated and backfilled pits using a loader-backhoe. The samples were submitted to Overburden Drilling Management (ODM) located in Ottawa, Ontario and analyzed over the fall. The procedures employed by ODM involves the tabling of all -2mm wet screened material to obtain a 300-400g sample of heavy minerals to achieve a 80-90% recovery rate for every useful indicator mineral of specific gravity greater than 3.2 irrespective of grain size. Any contained gold grains were separated from the table concentrates by micropanning and are counted, measured and classified as to degree of wear which can provide information regarding distance of glacial transport. The relative abundances of any sulphides or similar indicator minerals or metallic contaminants were estimated and the expected gold assay value of the contained gold grains was calculated. Before tabling, a representative split was removed from each sample and submitted to ALS in Vancouver, British Columbia for geochemical analysis.
To summarize the results of this work, three broad zones of anomalous gold in till were highlighted which are depicted in Figure 1 which are further described below:
- Anomaly 1. A 2.5 kilometre long east-west trend of elevated gold grains in till located to the southeast and down ice from of a cluster of known bedrock gold showings exposed locally along the Macmillan Road access into the southern portion of the property. Till samples collected approximately 2 kilometres to the south of the known showings returned some of the highest pristine and total gold grain counts detected on the property. ODM interprets that based on the pristine grain morphology, that gold detected in these samples may be being sourced from a yet un-identified occurrence or occurrences located less than 1 kilometre up ice.
- Anomaly 2. A 2 kilometre long north-south trend of anomalous gold in till in the northern portion of the property located southeast of a known gold showing where historical diamond drilling returned 2.35 g/t Au over 1.4 metres². The size and shape of this anomaly implies that additional zones of subcropping gold mineralization may remain to be found in this area.
- Anomaly 3. A 2 kilometre long east-west trend of anomalous gold in till located in the central portion of the property. The results highlight the prospectiveness of an area underlain by similar bedrock geology to that host showings identified along the MacMillan Road access.
The Highland Gold Property
The Highland Gold property covers an extensive cluster of high-grade gold occurrences in an area that has seen very limited exploration. The property is located approximately 60 kilometres northwest of the city of Sydney, Nova Scotia in the Cape Breton Highlands. It consists of staked mining licenses on crown land that covers approximately 5,408 hectares. The property can be easily reached by a major road (Highland Road) and a network of logging roads.
Work completed by Transition has highlighted large scale structures, strong alteration and widespread bedrock mineralization that are consistent with characteristics of an epithermal gold system. In particular, the high resolution airborne magnetic survey highlighted a large (4 kilometre long) region of low magnetic susceptibility developed around one of the major structures on the property associated with widespread propylitic alteration. Figure 1 depicts the project location, known zones of mineralization and recently completed holes.
Rocks of similar age and formation are known to host significant gold deposits in the Carolinas, Newfoundland and the British Isles. The regional geologic framework in Cape Breton is interpreted by Transition to be similar to that hosting First Mining Gold's Hope Brook deposit in Newfoundland (844,000 ounces of gold grading 4.77 g/t gold in the Indicated Resource category and 110,000 ounces grading 4.11 g/t gold in the Inferred Resource category³) and Oceana Gold's Haile Mine in South Carolina (3.32 million ounces grading 1.77 g/t gold in the Measured and Indicated Resource category and 0.6 million ounces grading 1.4 g/t gold in the Inferred Resource category⁴).
¹Source: Goodwin, T.A. Nova Scotia Gold Grain Study: Background and anomalous concentrations of gold grains in till, Nova Scotia Department of Natural Resources Report ME2005-1, p 15-26.
²Source: Novascan report AR-ME-1990-161, Exploration Program 1990, The Cape Breton Highlands, Scominex
³Source: First Mining Gold Website - https://firstmininggold.com/projects/newfoundland/hope-brook-project/
⁴Source: Oceana Gold Media Release dated March 29, 2018
The technical elements of this press release have been approved by Mr. Greg Collins, P.Geo. (APGO, APGNS), a Qualified Person under National Instrument 43-101. Historical assay results cited above have not been verified by the Qualified Person.
Transition Metals Corp
Transition Metals Corp (TSXV: XTM) is a Canadian-based, multi-commodity project generator that specializes in converting new exploration ideas into discoveries. The award-winning team of geoscientists has extensive exploration experience which actively develops and tests new ideas for discovering mineralization in places that others have not looked, often allowing the company to acquire properties inexpensively. Joint venture partners earn an interest in the projects by funding a portion of higher-risk drilling and exploration, allowing Transition to conserve capital and minimize shareholder's equity dilution.
Cautionary Note on Forward-Looking Information
Except for statements of historical fact contained herein, the information in this news release constitutes "forward-looking information" within the meaning of Canadian securities law. Such forward-looking information may be identified by words such as "plans", "proposes", "estimates", "intends", "expects", "believes", "may", "will" and include without limitation, statements regarding estimated capital and operating costs, expected production timeline, benefits of updated development plans, foreign exchange assumptions and regulatory approvals. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially include, among others, metal prices, competition, risks inherent in the mining industry, and regulatory risks. Most of these factors are outside the control of the Company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the Company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise. 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.
Further information is available at www.transitionmetalscorp.com or by contacting:
President and CEO
Transition Metals Corp.
Tel: (705) 669-1777