REG - Galantas Gold Corp - Drilling Results - Gairloch Project in Scotland

Galantas GoldAnnouncement

29/08/2023 07:00

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RNS Number : 5467K  Galantas Gold Corporation  29 August 2023

 

GALANTAS GOLD DRILLS 31 METRES AT 4.42 GRAMS/TONNE GOLD, 0.71% COPPER, 0.52%
ZINC AND 69 GRAMS/TONNE COBALT AT GAIRLOCH PROJECT IN SCOTLAND

 

MINERALIZATION EXPANDS 1.4 KILOMETRES SOUTHEAST OF DRILLING

 

AUGUST 29, 2023, TORONTO, CANADA - Galantas Gold Corporation (TSX-V & AIM:
GAL; OTCQX: GALKF) ("Galantas" or the "Company") is pleased to announce the
results of the third and fourth exploration drill holes and prospecting
samples at the Gairloch Project in Scotland.

Drilling highlights:

·    Hole 23-GL-04 intersected 4.42 grams per tonne (g/t) gold (Au), 0.71%
copper (Cu), 0.52% zinc (Zn), 69 g/t cobalt (Co) and 3.74 g/t silver (Ag) over
31 metres, including 15.46 g/t Au, 0.80% Cu, 1.91% Zn, 133 g/t Co and 6.35 g/t
Ag over 6.95 metres.

·    Hole 23-GL-03 intersected 1.34 g/t Au, 0.86% Cu, 0.16% Zn, 82 g/t Co
and 3.20 g/t Ag over 18 metres.

 

·    Five holes have now been completed over the main deposit area
totaling 580 metres. The Company is now focused on generating additional drill
targets along strike of the deposit.

·    Prospecting identified 0.91 g/t Au in bedrock 1.4 kilometres from
recent drilling, as well as 34.3% iron (Fe) and 0.19 g/t Au in bedrock within
a 10-metre-wide banded iron formation.

Mario Stifano, CEO of Galantas, commented: "We're excited by the high grade
and thick zones from drill results to date at the Gairloch Project, indicating
a potential large-scale mineralizing system. We are keen to establish new
target areas for further drill testing and resource drilling, to unlock the
full potential of the 217 km² land package covering the Gairloch Schist
Belt."

Table 1: Summary of drill results.

 Hole       From (m)  To (m)  Width (m)  Gold (g/t)  Copper (%)  Zinc (%)  Cobalt (%)  Silver (g/t)  Copper Equivalent (%)
 23-GL-03   35.00     53.00   18.00      1.34        0.86        0.16      82          3.20          1.95
 23-GL-04   10.00     41.00   31.00      4.42        0.71        0.52      69          3.74          4.17
 including  12.05     19.00   6.95       15.46       0.80        1.91      133         6.35          12.82

 Notes:

1.     Reported intervals are downhole widths.

2.     The copper equivalent values are estimated using approximate metal
prices of $8,350/t copper, $2,480/t zinc, $1,900/oz gold, $23/oz silver and
$33,140/t cobalt and are presented for ease of interval comparison only.
Metallurgical factors are assumed to be 100% although recovery factors and
smelter returns may vary significantly.

3.     True widths unknown due to local structural complexities. Hole
23-GL-03 was drilled at 223 azimuth, perpendicular to assumed strike of ore
body at -45 degrees dip. Hole 23-GL-04 was drilled as a scissor hole to hole
23-GL-03, 50m south at an azimuth of 43 degrees and -55 degrees dip.

Drill program

Drill hole 23-GL-03 was drilled 57 metres southeast of hole 23-GL-02,
intersecting the mineralized unit at 35 metres down to 53 metres. Hole
23-GL-04 was drilled 49 metres southwest of hole 23-GL-03, towards the
mineralized unit in the opposite direction, hitting the zone from 10 metres to
41 metres. This hole was a 15-metre step out from the known historic deposit
area.

The deep hole, 23-GL-05, has been drilled to a depth of 390 metres, and is
being logged and split. The Company will now focus on identifying the
deposit's extension.

The current drilling was localized within 100 metres of where the mineralized
unit is exposed at surface. Historical drilling identified a 900-metre-long
mineralized trend which the Company will aim to explore and expand in the
coming year (see Figure 1). Historical hole GBH82 intersected the mineralized
unit at around 250 metres below surface over 620 metres southeast from the
Company's hole 23-GL-05. Hole GBH82 intersected 5 metres at 1.07 g/t Au and
1.75% Cu.

Working 120 metres back towards Galantas' recent drilling, historical hole
GBH81 intersected 6 metres at 0.85 g/t Au and 1.19% Cu at around 200 metres
below surface. At around 150 metres below surface, historical drill hole GBH68
intersected 6 metres at 1.5 g/t Au and 5.92% Cu. At 100 metres below surface,
historical drill hole GBH67 intersected 6 metres at 2.27 g/t Au and 2.28%
Cu.

In the opposite direction going 280 metres northwest along strike from the
recent drilling area, historical hole GBH48 intersected 10 metres at 0.12 g/t
Au and 0.5% Cu. These new and historical grades over such a wide area
demonstrate the potential of the Kerry Road deposit with future drilling
planned to explore along strike and at depth.

For more information about historical drill holes referenced above, see
Galantas' news release dated January 26, 2023.

 

 

Figure 1: Map showing location of selected drill holes at the Gairloch
Project.

 

 

 

 

 

 

Figure 2: Uncut section of drill core from hole 23-GL-04 showing massive
sulphide.

Prospecting at Gairloch Project

The prospecting results have identified a gold bearing unit 1.4 kilometres
southeast from the recent drill hole 23-GL-05. The 1.5-kilogram grab sample
was taken from a 2-metre-wide sulphide zone outcropping on the road side (see
Figure 3) and returned 0.91 g/t Au. Further work here is warranted to
understand the presence of gold within this unit and explore along trend.

A separate 1.5-kilogram grab sample from the outcropping banded iron formation
which is about 10 metres wide and lies 300 metres away from the recent
drilling (see Figure 4), returned 34.3% Fe and 0.19 g/t Au. These banded iron
formations are known to exist throughout the Gairloch Schist Belt and measure
between 0.5 metres to 15 metres wide, extending multiple kilometres. Further
exploratory work will be conducted over the banded iron formations in the area
in the upcoming exploration program.

Prospecting will also continue along trend towards the Gorm Lochs Prospect
which lies 10 kilometres south of the Kerry Road deposit. Historical samples
collected at the Gorm Lochs include up to 4 g/t Au in outcrop (see Galantas'
news release dated January 26, 2023).

Figure 3: Newly exposed sulphide outcrop grading 0.91 g/t gold.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Figure 4: Outcrop of newly exposed banded iron formation (BIF) grading 34.3%
Fe and 0.19 g/t Au.

 

Table 2: Drill hole locations.

 Hole      Easting  Northing  Elevation (m)  Azimuth (grid)  Dip  Length (m)
 23-GL-03  183858   872478    154            223             -45  65.2
 23-GL-04  183826   872440    142            43              -55  42.8

Gairloch Project overview

The Kerry Road deposit is a stratabound, Besshi-style, VMS gold-copper-zinc
deposit exposed at surface. It is one of the oldest known Besshi deposits,
similar in age to the Sherridon district in Manitoba, Canada. The Kerry Road
deposit was discovered by Consolidated Goldfields in the 1970s where 87 holes
were drilled over 9,189 metres. No commercial exploration has taken place
since then until 2018 when drilling by GreenOre Gold PLC (GreenOre) confirmed
the presence of mineralization at Kerry Road by intersecting 1.0 g/t gold,
0.9% copper and 0.6% zinc over 17 metres (see Galantas' news release dated
January 26, 2023). Rock chip sampling conducted by GreenOre in 2018 also
identified elevated levels of cobalt in bedrock.

 

The Kerry Road deposit lies within the Gairloch Schist Belt, a Paleoproterozic
volcanic arc terrane extending over 25 km. The unit of interest is a quartz
carbonate schist with the main minerals being chalcopyrite, sphalerite, pyrite
and pyrrhotite. Limited exploration has been conducted over the area in recent
years. The British Geological Survey (BGS) identified an outcrop of 4 g/t Au
in their MRP146 report of the area, associated with a significant geophysical
anomaly approximately 10 km south of the Kerry Road deposit, yet the area
remains untested. This area is one of multiple targets identified by Galantas
for follow-up exploration.

 

Galantas has acquired a 100% interest and the exclusive rights to explore and
develop the Gairloch Project, a 217 km² mineral licence area covering the
Gairloch Schist Belt.

 

Qualified Person and Quality Assurance and Control

 

The technical and historical information in this release has been reviewed and
approved by Gavin Berkenheger (CGeol, EurGeol) who is considered, by virtue of
his education, experience and professional association, a Qualified Person
under the terms of NI 43-101. Mr. Berkenheger is not considered independent
under NI 43-101 as he is a consultant of Galantas Gold Corporation.

 

Galantas Gold operates according to rigorous internal Quality Assurance and
Quality Control (QA/QC) protocols with respect to the insertion of blanks,
standards and duplicates into the sample stream prior to dispatch to ALS
Laboratories, which are consistent with industry best practices. The QP has
reviewed the QA/QC results in relation to these drill results and is satisfied
that the results as reported are reliable.

 

Drill hole 23-GL-03 was positioned 50 metres step back from hole 23-GL-02 and
drilled at -45 degrees dip in NQ core size. Drill hole 23-GL-04 was positioned
50 metres southwest and perpendicular to hole 23-GL-03 at -55 degrees dip.
Core samples were split in half in mainly metre-long samples, inserting
regular blanks, standards and duplicates for QA/QC purposes. Analysis was
conducted by ALS Laboratories in Loughrea, Ireland. Samples were prepared
using PREP-31B crush to 70% less than 2mm, rifle split off 1kg and pulverize
split to better than 85% passing 75 microns. Multi-element analysis was
conducted using ME-ICP61a four acid digestion with ICP-AES finish. Gold was
analyzed using Au-AA25 ore grade fire assay.

 

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.

 

The information contained within this announcement is deemed to constitute
inside information as stipulated under the retained EU law version of the
Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK
law by virtue of the European Union (Withdrawal) Act 2018. The information is
disclosed in accordance with the Company's obligations under Article 17 of the
UK MAR. Upon the publication of this announcement, this inside information is
now considered to be in the public domain.

 

About Galantas Gold Corporation

 

Galantas Gold Corporation is a Canadian public company that trades on the TSX
Venture Exchange and the London Stock Exchange AIM market, both under the
symbol GAL. It also trades on the OTCQX Exchange under the symbol GALKF. The
Company's strategy is to create shareholder value by operating and expanding
gold production and resources at the Omagh Project in Northern Ireland, and
exploring the Gairloch Project hosting the Kerry Road gold-bearing VMS deposit
in Scotland.

 

Enquiries

 

Galantas Gold Corporation

Mario Stifano: Chief Executive Officer

Email: info@galantas.com

Website: www.galantas.com

Telephone: +44(0)28 8224 1100

 

Grant Thornton UK LLP (AIM Nomad)

Philip Secrett, Harrison Clarke, Samuel Littler

Telephone: +44(0)20 7383 5100

 

SP Angel Corporate Finance LLP (AIM Broker)

David Hignell, Charlie Bouverat (Corporate Finance)

Grant Barker (Sales & Broking)

Telephone: +44(0)20 3470 0470

 

Forward-Looking Statements

 

This press release contains forward-looking statements within the meaning of
the United States Private Securities Litigation Reform Act of 1995 and
applicable Canadian securities laws, including results of exploration programs
at the Gairloch Project. Forward-looking statements are based on estimates and
assumptions made by Galantas in light of its experience and perception of
historical trends, current conditions and expected future developments, as
well as other factors that Galantas believes are appropriate in the
circumstances. Many factors could cause Galantas' actual results, the
performance or achievements to differ materially from those expressed or
implied by the forward looking statements or strategy, including: gold price
volatility; discrepancies between actual and estimated production, actual and
estimated metallurgical recoveries and throughputs; mining operational risk,
geological uncertainties; regulatory restrictions, including environmental
regulatory restrictions and liability; risks of sovereign involvement;
speculative nature of gold exploration; dilution; competition; loss of or
availability of key employees; additional funding requirements; uncertainties
regarding planning and other permitting issues; and defective title to mineral
claims or property. These factors and others that could affect Galantas'
forward-looking statements are discussed in greater detail in the section
entitled "Risk Factors" in Galantas' Management Discussion & Analysis of
the financial statements of Galantas and elsewhere in documents filed from
time to time with the Canadian provincial securities regulators and other
regulatory authorities. These factors should be considered carefully, and
persons reviewing this press release should not place undue reliance on
forward-looking statements. Galantas has no intention and undertakes no
obligation to update or revise any forward-looking statements in this press
release, except as required by law.

 

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