VANCOUVER, BRITISH COLUMBIA–(Marketwired – May 19, 2016) – Q-Gold Resources Ltd. (the “Company”) (TSX VENTURE:QGR) (http://www.qgoldresources.com) is pleased to announce that its Arizona subsidiary, Mineral Creek Resources, Inc. (“MCR”), has commenced operations on the initial 800 metre (“m”) phase of its 2,000 m diamond drilling program at Crown King, Arizona.
The drilling, which is expected to begin in early June, will test the highly-conductive geophysical “A” Anomaly, located on the “Green Mohave 2” U.S. Bureau of Land Management (“BLM”) mining claim in the Peck Mining District of Yavapai County. It is contained within the prolific ore-bearing Central Arizona Volcanic Belt (“CAVB”). The CAVB is an approximately 5,400 square mile area of volcanogenic massive sulfide (“VMS”) ore occurrences, generally of undersea volcanic origin. The ore is generally characterized as comprised of copper sulfide minerals, as well as varying amounts of gold and silver. Copper grades from 3% to more than 10% have been recorded within the CAVB. The area contains 29 historic mines, many of which produced from the 1890’s to the 1940’s. The largest of these, the United Verde Mine and its “Extension” at Jerome, Arizona, during its life produced 34.6 million tons or ore. The United Verde Complex produced 3.7 billion pounds of copper at grades in excess of 10%, 1.45 million oz. of gold and 56.5 million oz. of silver.
MCR’s target, the “A” Anomaly, was originally revealed by a Geotech airborne (VTEM) survey and later further delineated by ground geophysics, using a hybrid controlled-source, magneto-tellurics (CSAMT) system (see Press Release dated May 14, 2014).
Several of the historic mines, which adjoin the ridge that contains Anomaly “A” have significant silver oxide upper zones, thought to have been derived by “supergene” (descending) ground and magmatic fluids during the CAVB’s Proterozoic’s (1.7 billion years) existence.
From recent geophysical interpretation, the primary zone comprising the Anomaly “A” appears to be a highly-conductive “tabular” body, approximately 700m in strike length on the surface, with a depth extending from near-surface to over 400m. Its thickness appears to exceed 30m. A secondary conductive zone extending to about 425m in depth appears to be about 15m in thickness. A third conductive zone may be reflective of an oxide cap.
The first 800m phase of the 2,000m drill program will consist of a total of 3 holes from 2 drill pads. These holes will test the upper and middle zones of the anomaly, the latter being the primary target, where both conductive and magnetic responses in the geophysical surveys were the strongest. The first hole (from pad #1) will penetrate the upper zone, in hopes that a rich silver oxide zone will be present similar to those in the two adjacent mines, the Peck and Silver Prince.
All permits have been received and a pre-drilling program to improve access roads to the drill site for the drill rig, trucks, etc., was initiated on May 16th. Roads in the area had received damage in several places from recent heavy rains. A contract for the initial drilling program is currently being finalized, with a startup expected in early June.
If results warrant, the remaining 1,200m of delineation drilling in the Anomaly “A” program will be initiated.
The technical content of this release was reviewed and approved by Brian Beck, P. Geo., a “Qualified Person” as defined by National Instrument 43-101.
About Q-Gold Resources Ltd.
Q-Gold is a publicly traded Canadian-based mineral exploration company currently exploring for precious and base metals on its Ontario and Arizona prospects.
Forward-looking statements:
Certain statements in this release are forward-looking statements, including with respect to the proposed acquisition of the Target Companies, and with respect to the legal/medical marijuana market in the United States. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. In particular, the company cautions that the completion of the proposed acquisitions cannot be predicted with certainty, and that there can be no assurance at this time that the proposed acquisitions will be completed in the manner noted above or at all. These forward-looking statements reflect management’s current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, as well as other factors beyond the Company’s control. In addition, the projected information regarding the legal marijuana market in the United States has not been independently verified by the Company, and the Company does not represent nor warrant that the actual results achieved during the projected period will be the same in whole or in part as that projected.
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J. Bruce Carruthers II
Chairman
1-928-779-0166
1-928-268-3445 (FAX)
[email protected]
www.qgoldresources.com
