Renforth Completes 1782m of Drilling at New Alger Gold Project
Friday, August 7, 2020 10:30 AM PICKERING, ON / ACCESSWIRE / August 7, 2020 / Renforth Resources Inc. (CSE:RFR)(OTC US:RFHRF)(WKN:A2H9TN) ("Renforth" or the "Company") is pleased to let shareholders know we have completed our drill program at New Alger, with a combined total of 1782m drilled in 9 holes, on both the Discovery Veins and in the mine area, as illustrated and described below. Each of these holes has been logged and sampled, in some instances for the entire hole. Generally speaking Renforth views this drill program as a success, with each hole encountering all of the "ingredients" required for the presence of gold, such as biotite or sericite alteration, pyrite and arsenopyrite. Logging is complete, sample splitting and preparation is ongoing, deliveries to the lab have also commenced. Sample results will be released once assays are received.
New Alger Summer 2020 Drilling
The holes drilled in this program were targeted as follows;
REN-20-42 - drilled north to undercut the main historic blast pit, which revealed the presence of south dipping veins and caused the change in drill direction
REN-20-43 - drilled north to undercut the westernmost blast pit
REN-20-44 - drilled north to undercut the eastern blast pits area
REN-20-45 - drilled north this is a 100m step out to the west from the stripped area
REN-20-46 - drilled south from the northern end of the same pad as REN-20-45. These holes, drilled in a "shallow X" manner, at a dip of -55 degrees, were designed for maximum coverage in the potential strike extension corridor
REN-20-47 - drilled south from a drill pad 100m to the west of the REN-20-45/6 pad, this step out hole was also drilled in a "shallow X" manner, in conjunction with REN-20-48
REN-20-48 - drilled north from the southern edge of the same pad as REN-20-47
REN-20-49 - the final step out hole, a total of 300m west of the stripped area, was drilled north, intersecting the Discovery Vein system package. At this location the pad is interpreted to be south of the Discovery Vein system, therefore there was no need to drill south.
REN-20-50 - This hole was drilled into the mine area, targeting the completion of REN-20-40, which had to be stopped in this winter's drill program due to caving within the hole after intersecting Vein #3. In REN-20-50 caving was also encountered, again in a sand seam with water moving, binding the rods. This is interpreted to be a fault structure. In this instance Veins #1 and #2 were intersected before the hole was stopped.
Renforth has, using price protection obtained July 30th, completed the 3rd and final tranche of the private placement with the issuance of 5,051,500 common share units, each unit priced at $0.05 and consisting of one common share and one warrant to acquire an additional common share at a price of $0.07 for a period of 24 months, and 4,491,359 flow through share units, each unit priced at $0.055 and consisting of one share issued on a "flow-through" basis and one warrant to acquire an additional common share at a price of $0.075 for a period of 24 months, for a total raised in this closing of $499,600. A commission totaling $18,402 in cash and a total of 339,672 broker warrants was paid pursuant to this closing.
About New Alger
Renforth's wholly owned New Alger Gold Project is located in the Cadillac Mining Camp, on the Cadillac Break, outside of the village of Cadillac, west of Malartic Quebec. The Cadillac Mining Camp is historically one of Quebec's most prolific, and deep seated gold camps. New Alger's neighbor to the north, with a shared property boundary, is the LaRonde Mining Complex of Agnico-Eagle. The neighbor to the east, with a shared border and geological structure, is the former O'Brien Mine, which ceased operations in the 1950's, at an operating depth of 1500m. This mine, on the same Cadillac Break vein structure as New Alger, contrasts in terms of its' 1500m operating depth with New Alger's deepest pierce point, in the vicinity of the former Thompson-Cadillac Mine on the property, of 415m vertical depth. The Thompson-Cadillac Mine, located on the southern margin of the Cadillac Break, operated erratically from the late 1920's to the early 1940's, with a handful of production years which ended in the mid 1930's, with several ownership groups and size increases to the processing plant, resulting in the production of 21,000 ounces of gold. The history of several operators and the mix of barren country rock and mineralized rock within the waste and tailings piles remaining on surface causes Renforth to consider that the historic mine was not an optimized operation.
Today New Alger hosts a NI43-101 Open Pit Constrained Mineral Resource Estimate as follows;
1) Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability. The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.
2) The Inferred Mineral Resource in this estimate has a lower level of confidence than that applied to an Indicated Mineral Resource and must not be converted to a Mineral Reserve. It is reasonably expected that the majority of the Inferred Mineral Resource could be upgraded to an Indicated Mineral Resource with continued exploration.
3) The Mineral Resources in this report were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by the CIM Council.
4) Historically mined areas were depleted from the Mineral Resource model.
5) The pit constrained Au cut-off grade of 0.32 g/t Au was derived from US$1,450/oz Au price, 0.75 US$/C$ exchange rate, 95% process recovery, C$17/t process cost and C$2/t G&A cost. The constraining pit optimization parameters were C$2.50/t mineralized mining cost, $2/t waste mining cost, $1.50/t overburden mining cost and 50 degree pit slopes.
6) The out of pit Au cut-off grade of 1.44 g/t Au was derived from US$1,450/oz Au price, 0.75 US$/C$ exchange rate, 95% process recovery, C$66/t mining cost, C$17/t process cost and C$2/t G&A cost. The out of pit Mineral Resource grade blocks were quantified above the 1.44 g/t Au cut-off, below the constraining pit shell and within the constraining mineralized wireframes. Additionally, only groups of blocks that exhibited continuity and reasonable potential stope geometry were included. All orphaned blocks and narrow strings of blocks were excluded. The longhole stoping with backfill method was assumed for the out of pit Mineral Resource Estimate calculation.
New Alger Underground Looking North-East
Brian H. Newton P.Geo is a "qualified person" pursuant to the requirements of National Instrument 43-101. He has reviewed and approved the technical information in this press release.
For further information please contact:
Renforth Resources Inc.
President and Chief Executive Officer
#269 - 1099 Kingston Road, Pickering ON L1V 1B5
Renforth Resources Inc. is a Toronto-based gold exploration company with six wholly owned surface gold bearing properties located in the Provinces of Quebec and Ontario, Canada.
In Quebec Renforth holds the New Alger and Parbec Properties, in the Cadillac and Malartic gold camps respectively, with gold present at surface and to some depth, located on the Cadillac Break. Each of these properties carries an open-pit constrained 43-101 resource. In both instances' additional gold bearing structures, other than the Cadillac Break, have been found on each property and require additional exploration. Renforth also holds Malartic West, contiguous to the western boundary of the Canadian Malartic Mine Property, located in the Pontiac Sediments, this property is gold bearing and was the recent site of a copper discovery. Renforth has acquired the Surimeau property, also contiguous to Canadian Malartic and the southern border of the Malartic West property. Surimeau hosts polymetallic mineralization and represents the consolidation of four historic properties into one for the first time. In addition to this Renforth has optioned the wholly owned Denain-Pershing gold bearing property, located near Louvicourt, Quebec, to O3 Mining Inc.
In Ontario, Renforth holds the Nixon-Bartleman surface gold occurrence west of Timmins, Ontario, drilled, channeled and sampled over 500m - this historic property also requires additional exploration to define the extent of the mineralization.
No securities regulatory authority has approved or disapproved of the contents of this news release.
Forward Looking Statements
This news release contains forward-looking statements and information under applicable securities laws. All statements, other than statements of historical fact, are forward looking. Forward-looking statements are frequently identified by such words as ‘may', ‘will', ‘plan', ‘expect', ‘believe', ‘anticipate', ‘estimate', ‘intend' and similar words referring to future events and results. Such statements and information are based on the current opinions and expectations of management. All forward-looking information is inherently uncertain and subject to a variety of assumptions, risks and uncertainties, including the speculative nature of mineral exploration and development, fluctuating commodity prices, the risks of obtaining necessary approvals, licenses and permits and the availability of financing, as described in more detail in the Company's securities filings available at www.sedar.com. Actual events or results may differ materially from those projected in the forward-looking statements and the reader is cautioned against placing undue reliance thereon. Forward-looking information speaks only as of the date on which it is provided and the Company assumes no obligation to revise or update these forward-looking statements except as required by applicable law.