VANCOUVER, BRITISH COLUMBIA–(Marketwired – Sept. 6, 2016) – IDM Mining Ltd. (TSX VENTURE:IDM) (“IDM” or the “Company”) is pleased to announce assays from an additional 13 underground core holes completed at the Red Mountain gold project (“Red Mountain” or the “Project”), located 15 km east of Stewart, BC. These results are from the ongoing Phase I drilling program. This program is focused on infill and step-out drilling in and around the current resource at Red Mountain, as well as to collect material for metallurgical, geotechnical and hydrological testwork.
Highlights from the recent underground drill results include:
The NK Zone discovery was encountered in drill hole U16-1187, a vertical hole to test a projected step-out of isolated, historic intercepts below the Marc Zone. It intersected a mineralized interval of massive, coarse grained pyrite veins and stockworks averaging 7.43 g/t Au and 12.51 g/t Ag over 6.0 meters true width. Mineralization occurs at a sediment/porphyry contact, approximately 100 meters below the underground workings. This style of mineralization is consistent with the Marc/AV/JW resources; projected from wide-spaced intervals from adjacent sections, the NK Zone is sub-horizontal and tabular, and open for expansion in all directions. The NK Zone is 70 meters outside of the current resource estimate at Red Mountain, and named after Assistant Project Manager, Natalie King.
“In addition to the successful step-out holes to the south of the Marc Zone, the discovery of the NK Zone has significant potential for resource growth and highlights the many exploration opportunities at Red Mountain,” said Robert McLeod, President and CEO of IDM Mining. “Future drilling will target potential resource expansion from these wide and high-grade intercepts at the Marc and NK Zones as well as several other untested targets.”
Drill holes U16-1180 and 1181 were drilled up-dip from previously reported U16-1182, which encountered 6.30 meters averaging 9.91 g/t Au and 53.52 g/t Ag. Hole U16-1180 intersected 13.0 meters true width averaging 3.86 g/t Au and 26.15 g/t Ag; hole U16-1181 intersected 16.2 meters true width averaging 5.72 g/t Au and 34.89 g/t Ag, including 8.28 meters true width averaging 9.15 g/t Au and 45.49 g/t Ag. These holes are southerly step-outs from the current Marc Zone resource. Historic surface holes located further south of these intercepts were collared too far to the west and consequently did not intersect mineralization, suggesting the Marc Zone remains open for expansion to the south and underneath the underground ramp.
On section 1150N, drill hole U16-1184 was a down-dip step-out of the Marc Zone and intersected a narrow interval of gold mineralization, whereas U16-1185 was an up-dip step-out from the resource, and intersected 16.69 meters averaging 5.78 g/t Au and 24.15 g/t Ag, including 5.69 meters averaging 10.01 g/t Au and 39.60 g/t Ag.
On section 1125N, drill holes U16-1183 and 1186 were down-dip step-outs of the Marc Zone tail; U16-1183 intersected two separate 0.8 meter true width intervals of 8.56 g/t Au and 6.78 g/t Au respectively, and U16-1186 intersected 1.0 meter averaging 19.05 g/t Au and 33.50 g/t Ag.
Drill holes U16-1190 and U16-1191 were up-dip resource expansion holes on section 1200N. U16-1190 did not intersect significant mineralization, potentially due to a fault-window from a minor, cross-cutting fault. Drill hole U16-1191 intersected 5.64 meters averaging 5.23 g/t Au and 39.65 g/t Ag (cut), which included a 0.30 meter assay averaging 115.5 g/t Au and 615 g/t Ag (cut to appropriate grade caps).
Drill holes U16-1188, 1192 and 1193 are infill holes in the Marc Zone, with additional data collected for metallurgical and geotechnical purposes. The 2016 metallurgical holes target representative mineralization at Red Mountain from each of the defined resource zones, spatially distributed throughout the deposit, including narrower tail zones (such as the mineralization encountered in U16-1192). Of significance, U16-1193 intersected 15.0 meters true width averaging 15.52 g/t Au (cut) and 44.82 g/t Ag.
Complete results are as follows:
|U16-1190||1200N||No significant assays|
|* Assays capped at 55.0 g/t Au and 220 g/t Ag|
|** Drilled intervals estimated using approximate 3.0 g/t cut-off for underground mining|
|*** In many intercepts, 10 to 20 cm intervals of whole core were collected for grind and rock mechanical properties tests; these intervals were assigned a zero (0.0 g/t Au and Ag) grade during compositing.|
Drill hole collar information and location maps, core photos along with sample cross sections can be viewed at www.idmmining.com.
About Red Mountain
The 17,125 hectare Red Mountain gold project is located in northwestern BC, 15 km northeast of the town of Stewart. Discovered in 1989, the property was explored extensively until 1996 by Lac Minerals Ltd. and Royal Oak Mines Inc., with 466 diamond drill holes and over 2,000 meters of underground development completed, along with extensive engineering and environmental baseline work. Additional studies were completed over the past 12 years by Seabridge Gold Inc., North American Metals Corp. and Banks Island Gold Ltd.
On April 4, 2016, the Company announced an updated mineral resource estimate reported at 3.0 g/t Au cut-off for the Red Mountain gold project.
|Classification||Tonnage||Au||Ag||Oz Au||Oz Ag|
|Measured + Indicated||1,641,800||8.36||26||441,500||1,379,800|
Red Mountain is a porphyry-related hydrothermal gold system, located in the Stikine terrain. Gold mineralization is associated with, and partially hosted within an early to mid-Jurassic multi-phase intrusive complex, with associated volcanic and volcaniclastic rocks and sediments. Many gold mineralized zones occur on the property, including five mineralized zones with established resource estimates. The five mineralized zones (Marc, AV, JW, 141 and 132) have been folded, and are often separated by dip-slip fault zones. The mineralized zones vary in orientation from shallow to steeply dipping and are generally tabular. The Marc, AV and JW Zones vary in widths from one to forty meters, averaging about fifteen meters in thickness. Gold and silver mineralization is associated with stockworks, disseminations and patches of coarse grained pyrite, surrounded by a pyrrhotite/sphalerite halo. Alteration facies includes strong quartz-sericite alteration.
Additional information, including the Company’s NI 43-101 Technical Reports for the Red Mountain gold project, is available at www.idmmining.com and at www.sedar.com.
QA/QC AND QUALIFIED PERSON
Samples for the 2016 exploration program are cut with a diamond saw, and placed in sealed bags and shipped to ALS Labs Ltd. in Terrace, BC for sample preparation, with pulps subsequently shipped to Vancouver, BC for gold and multi-element ICP analysis. A Quality Control/Quality Assurance program, including the insertion of Standards and Blanks, has been implemented. The 2016 exploration program is performed under the supervision of Rob McLeod, P.Geo, President and CEO of IDM Mining Ltd. and a ‘Qualified Person’ under NI 43-101. Mr. McLeod has reviewed and approved the technical content of this release.
ABOUT IDM MINING LTD.
IDM Mining Ltd. is a mineral exploration and development company based in Vancouver, BC, Canada. The Company’s current exploration and development activities are focused on precious metals in British Columbia and Yukon, with a primary focus on the high grade underground Red Mountain gold project which has entered the BC and Canadian environmental assessment process.
ON BEHALF OF THE BOARD of IDM Mining Ltd.
Robert McLeod, President, CEO and Director
“Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.”
Forward-Looking Statements: Some statements in this news release contain forward-looking information or forward-looking statements for the purposes of applicable securities laws. These statements include, among others, statements with respect to the proposed exploration and development activities and their timing, resource estimates and potential mineralization. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others and in addition to those described elsewhere in this release, timing and success of future exploration and development activities, exploration and development risks, delays in obtaining or inability to obtain required government or other regulatory approvals, permits or financing, the risk of unexpected variations in mineral resources, grade or recovery rates, of failure of plant, equipment or processes to operate as anticipated, of accidents, labor disputes, and unanticipated delays in completing other development activities, the risk that estimated costs will be higher than anticipated and the risk that the proposed mine plan and recoveries will not be achieved, equipment breakdowns and bad weather, the timing and success of future exploration and development activities, exploration and development risks, mineral resources are not as estimated, title matters, third party consents, operating hazards, metal prices, political and economic factors, competitive factors and general economic conditions. In making the forward-looking statements, the Company has applied several material assumptions including, but not limited to, the assumptions that: required regulatory approval, permits and financing will be obtained; the proposed exploration and development will proceed as planned; with respect to mineral resource estimates, the key assumptions and parameters on which such estimates are based; that the proposed mine plan and recoveries will be achieved, that capital costs and sustaining costs will be as estimated, and that no unforeseen accident, fire, ground instability, flooding, labor disruption, equipment failure, metallurgical, environmental or other events that could delay or increase the cost of development will occur, and market fundamentals will result in sustained metals and minerals prices. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.