First Mining Finance Releases Third Set of Assay Results from its Goldlund Infill Drilling Program
May 24, 2017
12 of 14 drill holes intersect significant gold mineralization
VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 24, 2017) - First Mining Finance Corp. ("First Mining" or the "Company") (TSX VENTURE:FF)(OTCQX:FFMGF)(FRANKFURT:FMG) is pleased to announce the third set of assay results from its, 28,500 metre diamond drill infill program on its 100% owned Goldlund Gold Project ("Goldlund"), located near the town of Sioux Lookout in northwestern Ontario, Canada.
- Hole GL-17-032 intersected 64.5 metres of 3.25 grams per tonne gold
- Including 0.5 metres of 335.76 grams per tonne gold
- Hole GL-17-059 intersected 70.5 metres of 2.50 grams per tonne gold
- Including 0.5 metres of 186.49 grams per tonne gold
- Hole GL-17-073 intersected 48.0 metres of 2.34 grams per tonne gold
- Including 2.0 metres of 36.53 grams per tonne gold
- Hole GL-17-014 intersected 6.0 metres of 30.69 grams per tonne gold
- Including 2.0 metres of 91.63 grams per tonne gold
Note: Assaying for the Goldlund 2017 drill program is being done by SGS at their laboratories in Red Lake, Ontario, and Burnaby, BC. Reported widths are drilled core lengths; true widths are unknown at this time. Assay values are uncut.
The goal of the 2017 drilling campaign at Goldlund is to upgrade Inferred resources into the Measured and Indicated categories with the majority of the drilling focused on Zone 7 and Zone 1 (Figure 1), and to gain further knowledge of the geology and gold mineralization in preparation for Phase 2 drilling. The drilling program will comprise a total of approximately 28,500 metres using HQ sized (63.5 mm) core. To date, 98 holes of our Phase 1 drill program have been completed. The Phase 1 drill program is expected to be completed within the week, and the remaining assay results will be released in batches as they are received. On April 25, 2017, the Company announced the results from the first 12 drill holes from the Goldlund project and on May 2, 2017 the Company announced the results from an additional 11 drill holes at the project. Of the 37 holes now released, 34 holes contain significant gold mineralization. Table 1 below shows the results of drilling from the latest drilling results (14 drill holes) and Table 2 provides additional drill hole information.
Commenting on the results, Patrick Donnelly, President of First Mining stated, "The goal of this year's Phase 1 drilling campaign at the Goldlund project is to unlock value for our shareholders and, as this third batch of drill results demonstrates, we believe there is tremendous untapped potential at our Goldlund project that, in our view, the capital markets have yet to recognize. Taking into account this latest batch of results, we have now intersected significant gold mineralization in 34 out of 37 drill holes which is an incredible success rate. Given the continued success of this drilling campaign, we have commenced planning a Phase 2 drill program to supplement the data being received from this Phase 1 program."
In addition, Keith Neumeyer, the Chairman of First Mining, stated, "These latest drill results continue to confirm our decision to acquire the Goldlund project. What also gives me comfort, and is overlooked by many investors, is that our core assets are located in northern Ontario, which is one of the safest and most politically stable jurisdictions in the world that has a long, rich history of mining and mineral exploration. I also want to reiterate that the Goldlund project is located near excellent infrastructure including roads, power and rail service, with the local airport at Sioux Lookout only a 20 minute drive from the project site."
|Table 1. Drill Hole Assay Results from Goldlund|
|Hole ID||From (m)||To (m)||Length (m)||Au g/t|
|GL-17-030||GL-17-030||no significant mineralisation|
|GL-17-070||GL-17-070||no significant mineralisation|
Assaying for the Goldlund 2017 drill program is being done by SGS at their laboratories in Red Lake, Ontario, and Burnaby, BC. Prepared samples are analyzed for gold by either Bulk Leach Extractable Gold (BLEG) assay techniques or by lead fusion fire assay with an atomic absorption spectrometry (AAS) finish. Multi-element analysis on the mineralized zones is also being undertaken by two-acid aqua regia digestion with ICP-MS and AES finish.
To view Figure 1. Plan Map, please visit the following link: http://media3.marketwire.com/docs/05.23figure1.pdf
To view Figure 2. Cross-Section through the Goldlund Project, please visit the following link: http://media3.marketwire.com/docs/05.23figure2.pdf
|Table 2. Drill Hole Locations|
|Hole ID||Azimuth °||Dip °||Length (m)||UTM East||UTM North||Section|
Gold observed during the current drilling program at our Goldlund project occurs both as fine disseminations in quartz vein stockworks and as more discrete larger grains up to 2 mm spatially associated with pyrite in the quartz veins. Calaverite, a gold telluride mineral, has been noted occasionally in higher grade intervals on fracture surfaces in the quartz veins. Higher grade gold distribution in the granodiorite dike is often, but not always, associated with zones of more intense quartz stockworking and potassic alteration. Figure 2 above displays a cross-section of the geology and gold mineralization with drill holes GL-17-70 to GL-17-75.
The QA/QC program for the 2017 drilling program at our Goldlund project consists of the submission of duplicate samples and the insertion of certified reference materials and blanks at regular intervals. These are inserted at a rate of one standard for every 20 samples (5% of total) and one blank for every 30 samples (3% of total). The standards used in the 2017 program consist of 5 different gold grades ranging from 1 to 9 g/t, and are sourced from CDN Resource Laboratories in Langley, BC. Blanks have been sourced locally from barren granitic material.
Field duplicates from quartered core, as well as 'coarse' or 'pulp' duplicates taken from coarse reject material or pulverized splits, are also submitted at regular intervals with an insertion rate of 4% for field duplicates and 4% for coarse or pulp duplicates. Additional selected duplicates are being submitted for screened metallic fire assay analysis and to an umpire lab for check assaying. SGS also undertake their own internal coarse and pulp duplicate analysis to ensure proper sample preparation and equipment calibration.
Dr. Chris Osterman, P.Geo., CEO of First Mining, is the "qualified person" for the purposes of National Instrument 43-101 Standards of Disclosure for Mineral Projects and he has reviewed and approved the scientific and technical disclosure contained in this news release.
ABOUT THE GOLDLUND PROJECT
The Goldlund deposit is situated within a land package of approximately 280 square kilometres (28,000 hectares) referred to as the Goldlund Gold Project. The Property has a strike-length of over 50 kilometres in the Wabigoon Subprovince. Goldlund is an Archean lode-gold project located in northwestern Ontario, approximately 60 kilometres from the township of Dryden. The claims that make up the land package cover the historic Goldlund and Windward mines.
On January 9, 2017, the Company announced an initial mineral resource estimate for Goldlund. At a 0.4 g/t Au cut-off grade, the Goldlund deposit contains pit constrained Indicated Resources of 9.3 million tonnes at 1.87 grams per tonne or 560,000 ounces of gold. At a 0.4 g/t Au cut-off grade, the Goldlund deposit contains pit constrained Inferred Resources of 40.9 million tonnes at 1.33 grams per tonne or 1,750,000 ounces of gold. The technical report for this resource estimate has been filed on SEDAR and is also available on the Company's website at www.firstminingfinance.com.
ABOUT FIRST MINING FINANCE CORP.
First Mining is a mineral property holding company whose principal business activity is to acquire high quality mineral assets with a focus in the Americas. The Company currently holds a portfolio of 25 mineral assets in Canada, Mexico and the United States with a focus on gold. Ultimately, the goal is to continue to increase its portfolio of mineral assets through acquisitions that are expected to be comprised of gold, silver, copper, lead, zinc and nickel.
For further information, please visit our website at www.firstminingfinance.com.
ON BEHALF OF FIRST MINING FINANCE CORP.
Keith Neumeyer, Chairman
Cautionary Note Regarding Forward-Looking Statements
This news release includes certain "forward-looking information" and "forward-looking statements"(collectively "forward-looking statements") within the meaning of applicable Canadian and United States securities legislation including the United States Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact, included herein, without limitation, statements relating the future operating or financial performance of the Company, are forward-looking statements.
Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved. Forward-looking statements in this news release relate to, among other things: the Company's anticipated timing of the completion of the current Phase 1 drilling program at the Goldlund project; the potential results of the remainder of the Phase 1 drilling program and the timing of the dissemination of such results by the Company; plans relating to a Phase 2 drilling program at the Goldlund project and the anticipated timing of such a program; any upgrade to, or expansion of, the resources on the Goldlund project; the potential for further value to be unlocked at the project. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by the respective parties, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies.
Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements and the parties have made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation, the results of future exploration efforts at the Goldlund project; management's discretion to refocus its exploration efforts; fluctuations in the spot and forward price of gold, silver, base metals or certain other commodities; fluctuations in the currency markets (such as the Canadian dollar versus the U.S. dollar); changes in national and local government, legislation, taxation, controls, regulations and political or economic developments; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins and flooding); the presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with and claims by local communities and indigenous populations; availability and increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development; and title to properties. Readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these times. Except as required by law, First Mining does not assume any obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
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.
First Mining Finance Corp.
Vice President, Investor Relations