VANCOUVER, BC / ACCESSWIRE / March 26, 2015 / Golden Dawn Minerals Inc. (TSX Venture: GOM) (3G8A.F) (the “Company” or “Golden Dawn“) is pleased to announce the purchase of 100% of the Amigo Property consisting of 6 B.C. mineral claims (for a total of approximately 300 acres) that are contiguous to the south of the Company’s Boundary Falls mineral claims containing the historic May Mac Mine and processing facility. The Amigo Property and the May Mac Mill are located adjacent to Highway #3 approximately 3 km west of Greenwood, B.C.
To complete the transaction Golden Dawn will issue 200,000 shares of the Company’s stock and pay $10,000 in cash to the current Property owner. There are no work commitments associated with this agreement. The Amigo Property compliments the Company’s Boundary Falls Property, and has three historic adits located approximately 1 km topographically below the Company’s 100% owned historic May Mac Mine and the existing associated mill and tailings pond. This transaction is subject to TSX-V approval.
A Geochemical survey and an Induced Polarization Geophysical survey were conducted on these claims in 2011 by Geotronics Consulting Ltd. of Vancouver, B.C.. The Company intends to conduct further surface exploration as well as underground drilling and sampling to define potential additional mill feed for its May Mac processing facility. As reviewed in a recent Company news release (GOM News Release dated March 6, 2015), the Company is actively negotiating for and acquiring other prospects with easily accessible stockpiles or deposits of mineralized material within the Greenwood mining district as part of an ongoing program intended to identify potential mill feed for its May Mac processing facility. In most cases, these stockpiles and deposits are not of sufficient size to warrant stand-alone operations.
The following discussion of historic exploration conducted at the Amigo Property comes from a review of a historic summary report. The data is considered historic in nature and should be treated as such. Linda Caron, M.Sc., P.Eng., conducted a 5.5 day prospecting and rock sampling program in 2002 on the Amigo claims and the following information is quoted directly from the resulting summary report by Caron (dated July 4, 2002). Five main areas of interest were identified as a result of the work program. These targets are labelled as A to E on the accompanying map as described below and available on the Company’s website.
“Target A: Lower Vein
The Lower Vein is a steeply dipping, northwest trending quartz vein which has been explored by 3 old adits (the No.1, No.2 and No.3 adits). Historical records show that 35 tonnes of ore at a grade of 318 g/t Au (9.3 oz/t Au) was mined from this vein in 1903-04. In 1987 a sample of mineralized argillite was collected from the footwall of the vein in the No.2 adit, and returned 2.41 oz/t Au over 0.5 feet. There is no record of any drilling on this vein.
The vein is a strong, massive white quartz vein with up to 10% sulfides, predominantly as small patches of massive pyrite. Where exposed at the portals of the old adits, the vein occurs at the contact of serpentine and argillite, and has an average width of about 0.75 metres.
The old adits may be safe to enter, although no effort was made to do so during this program. Three samples (9627 – 9629) were collected from vein material on the dumps of the adits, which returned anomalous values in Au (to 37,644 ppb Au in #9628) as well as Ag, Cu, Pb, As and Bi.
Target B: No.1 Vein and Other Nearby Quartz Veins
Numerous massive white quartz veins occur in the southern part of the property. These veins have variable, but generally low, sulfide contents. Sulfides are dominantly pyrite, with lesser galena and sphalerite. Most of these veins have been tested by small old workings. The bulk of this early work was completed on a northeast trending vein known as the No. 1 vein. Early historical records report that rotten surface ore with high gold assays (probably from this vein) was treated in a 2 stamp mill as early as 1894, but that once the ore became “base” the stamp mill was ineffective in recovering the gold.
The No. 1 vein is the only vein in this part of the property that is documented in more recent property reports and the only one which appears to have had recent (albeit limited) exploration. A 1978 surface sample over a 2′ width is reported to have returned 0.114 oz/t Au, while sampling of the vein underground returned values to 0.42 oz/t Au over narrow widths. A single drill hole (circa1978) is documented from this vein, which intersected a 5′ interval averaging 0.23 oz/t Au and 17 oz/t Ag.
The veins are steep to vertically dipping, but have a wide range of strikes. Several of the veins are hosted within a plug of Tertiary diorite while the remainder are in the older metasediments and amphibolite. Sixteen samples were collected from this portion of the property. Anomalous gold (with accompanying anomalous Ag, Pb, Zn, As, Bi, Sb, Co) occurred in several rock samples. Sample 9607, from the No. 1 vein, returned 41,967 ppb Au (approx. 42 g/t Au- assay pending). Other samples from the No. 1 vein returned lower, but anomalous gold values. Anomalous gold (to 1,887 ppb Au in #9619) occurred in a quartz vein some 300 metres to the northeast.
Target C: Glory Hole Vein
The Glory Hole vein is located just east of the open fields in the southwestern portion of the property, and just west of the prominent knoll of Tertiary diorite. An open cut/stope and several shallow pits test an irregular quartz vein with semi-massive pyrite at or near the contact of limestone with a mixed sequence of argillite and quartzite. There is very little information about previous work at the site. Two short (50 metre) drill holes are reported to have tested the zone in 1978, without encouragement. Rock sampling from the zone in the same year is reported to have returned values to 0.41 oz/t Au and 0.93 oz/t Ag over 4 feet.
The Glory Hole ‘vein’ is a series of narrow irregular quartz veins, 10-30 cm. in width, within a 2 metre wide, and strongly fractured fault zone. The fault zone trends 360°/700W’-80°E, and is exposed in several old workings over a strike length of about 60 metres. The fault zone appears to continue to the north, where it forms a prominent poplar filled gully which is marked by a strong EM response and is untested. To the south the zone trends into an area of glacial cover with no rock exposure and is similarly untested.
Four rock samples (9620 – 9623) were collected from the Glory Hole zone during the current program. Sample 9620 was a select grab of semi-massive pyrite (with lesser galena and sphalerite) in quartz from the dump of the open cut. This sample returned 68,979 ppb Au (approx 69 g/t Au – assay pending), along with 2,335 ppm Pb, 8,341 ppm Zn, 100.6 ppm Ag, and anomalous Mo, Co, As, Cd, Bi, Hg. The remaining rock samples collected from the zone returned lower, but anomalous, gold values, with a maximum of 4,644 ppb Au in Sample 9622.
Target D: Greyhound-Deadwood Fault Zone
Two major Tertiary structures are present in the western portion of the property. The Deadwood Ridge (Bodie Mtn.) fault forms a prominent northwest trending gully marking the eastern boundary of the Toroda Graben. The fault separates Eocene Marron volcanics to the south, from probable Permian Knob Hill Group chert pebble conglomerate and overlying chert to the north. A major, steeply dipping, north trending fault zone, the Greyhound Fault, postdates the Deadwood Ridge Fault. Rusty cliffs in the northwest comer of the property are related to these two faults (and related parallel structures).
A large area of rusty chert pebble conglomerate occurs north of the Deadwood Ridge fault and west of the Greyhound fault. Locally, the conglomerate is silicified, with small vugs filled with quartz druse and with up to 2% fine grained patchy pyrite. Sample 9626 was collected from an outcrop of this silicified chert pebble conglomerate in a large, open, grassy, moderately sloping meadow and returned 653 ppb Au, as well as anomalous As and Hg. There is no evidence or record of any previous exploration in this area.
Target E: Gold Soil Anomalies
Soil sampling was completed over a portion of the northern part of the claims in 1987. The extent of this geochemical survey is shown on the accompanying map. Soils were collected at 50 metre intervals on north-south trending lines spaced 100 metres apart and an area of anomalous gold in soils (with values to 230 ppb Au) was identified southeast of the Upper and Lower veins.”
This News Release has been reviewed and verified by Michael Dufresne, M.Sc., P.Geol., P.Geo. of APEX Geoscience Ltd., a Qualified Person as defined by National Instrument 43-101.
On behalf of the Board of Directors:
GOLDEN DAWN MINERALS INC.
“Wolf Wiese”
Wolf Wiese
Chief Executive Officer
For further information, please contact:
Corporate Communications
604-221-8936
allinfo@goldendawnminerals.com
THIS PRESS RELEASE WAS PREPARED BY MANAGEMENT WHO TAKES FULL RESPONSIBILITY FOR ITS CONTENTS. NEITHER 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. THIS DOCUMENT CONTAINS CERTAIN FORWARD LOOKING STATEMENTS WHICH INVOLVE KNOWN AND UNKNOWN RISKS, DELAYS, AND UNCERTAINTIES NOT UNDER THE COMPANY’S CONTROL WHICH MAY CAUSE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS OF THE COMPANY TO BE MATERIALLY DIFFERENT FROM THE RESULTS, PERFORMANCE, OR ACHIEVEMENTS IMPLIED BY THESE FORWARD LOOKING STATEMENTS. WE SEEK SAFE HARBOR.
SOURCE: Golden Dawn Minerals Inc.
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