Kintavar Exploration Inc. Assays 1.10% Cu and 3.4 g/t Ag over 10.0 m
Including 1.74% Cu and 5.7 g/t Ag over 4 m in Channel Samples at the Nasigon Showing and Second Closing of Private PlacementMONTREAL, Nov. 29, 2017 - Kintavar Exploration Inc. (the "Corporation" or "Kintavar") (TSX VENTURE:KTR), is pleased to announce assays from channel sampling at the Nasigon showing on the Mitchi property in Quebec. In addition, the Corporation announces the second closing in Trust of a non-brokered private placement offering (the "Private Placement"), consisting of 769,000 shares, issued on a flow through basis, at a price of $0.14 per share. This brings the aggregate gross proceeds of the Private Placement to $489,270. The Corporation has applied to the TSX Venture Exchange (the "Exchange") to extend the closing date for the balance of its Private Placement until December 29, 2017 and to increase the size of the Private Placement with the same terms to up to 4,545,454 units and 5,357,142 common shares on a Flow Through shares for aggregate gross proceeds of up to $1,250,000. The extension and the increased amount are subject to conditional approval of the Exchange.
The Company will use the proceeds of the Private Placement for the upcoming drilling program on the Mitchi property and for working capital purposes.
The shares acquired by the subscribers are subject to a hold period of four months plus one day from the closing date, ending on March 29, 2018, except as permitted by applicable securities legislation and the rules of TSX Venture Exchange.
In connection with this Private Placement, the Corporation has paid a cash finder's fee in an amount of $7,536 and issued 53,830 non-transferable finder's options to acquire such number of common shares at a price of $0.14, exercisable for a period of twenty four (24) months and subject to a hold period of four months plus one day from the closing date.
Nasigon Corridor
Work on the Nasigon showing in late October allowed to complete the channel sampling on the trench and a short regional overview of the area. The continuous channel sample returned assays of 1.10% Cu and 3.4 g/t Ag over 10.0 m (1.13% CuEq) including 1.74% Cu and 5.7 g/t Ag over 4.0 m (1.79% CuEq). Grab samples 100 m south of Nasigon returned grades as high as 4.27% Cu and 14.4 g/t Ag suggesting extension of the mineralization to the south west. The table below summarizes the best grades from the grab samples. The mineralization is associated with the same lithologies identified in the Sherlock & Watson corridor but the highest grades were present in the glimmerite facies enriched in chalcocite with traces of bornite and chalcopyrite.
Based on these results, the Corporation proceeded with staking additional 24 claims for a total of 1,363 hectares in the northern portion of the property to secure any potential extensions of the mineralization.
| Samples | UTM nad83 z18 | Cu (%) | Ag (g/t) | |
| X | Y | |||
| 5743540 | 491718 | 5264949 | 4.27 | 14.4 |
| 5743541 | 491718 | 5264949 | 1.16 | 5.8 |
| 5743542 | 491717 | 5264947 | 0.84 | 8.0 |
| 5743543 | 491716 | 5264947 | 1.03 | 3.7 |
| 5743544 | 491717 | 5264948 | 2.41 | 9.0 |
"The initial work on the Nasigon corridor was brief but very successful. Copper mineralization has been identified over 1.5 km within the metasedimentary unit and the grab samples 100 m south of Nasigon could represent the same folded sequence. With grades surpassing 1% Cu over 10 m on surface, we are now targeting an induced polarization geophysical survey over the Nasigon trench area to go along with the airborne magnetics survey covering the northern portion of the property during the winter months. This will form the basis for the 2018 summer field and drilling programs. We now have two high priority corridors with Sherlock & Watson in the south and Nasigon in the north. With these results, Mitchi is starting to show glimpses of district scale potential similar to the Balmat-Edwards zinc district in New-York, USA which is hosted within similar rocks of the Grenville Supergroup and hosts 8 active and past producing zinc mines. We are very encouraged for the upcoming winter drilling program which is expected to start in early December." commented Kiril Mugerman, President and CEO of Kintavar Exploration.
Figure 1: Nasigon regional map and detailed trench map Full size map can be viewed here.
All samples have been sent and prepared (PREP-31) by ALS Global laboratory in Val-d'Or. The pulp was sent to ALS Global laboratory in Vancouver for a multi-elemental analysis by four acid digestion and spectroscopy (ME-MS61). Sample with assays higher than 1% Cu were reanalyzed by ICP-AES (CU-OG62) with a higher detection limit of 40% Cu, at the ALS Global Vancouver laboratory. Quality controls include systematic addition of blank samples and certified copper standards to each batch sample sent to laboratories.
Grab samples are selected samples and not necessarily representative of the mineralization hosted on the property.
The Corporation has not been able to independently verify the methodology and results from the historical work program within the property boundaries. However, management believes that the historical work program has been conducted in a professional manner and the quality of data and information produced from them are relevant.
Copper equivalent grade (CuEq) is presented for information purposes only and is not indicative of management's opinion on the potential metallurgical recoveries or future commodity prices. CuEq grade including silver values is based on 100% metal recoveries, Cu price of 3$/lb and Ag price of 18 $/oz. Copper grade equivalent calculation. CuEq% = (Cu % + (Ag grade x Ag price))/(22.0462 x Cu price x 31.0135 g/t).
About the Mitchi Property
The Mitchi property (approx. 21,000 hectares, 100% owned) is located west of the Mitchinamecus reservoir, 100 km north of the town of Mont-Laurier. The property covers an area of more than 210 km2 accessible by a network of logging and gravel roads with a hydro-electric power substation located 14 km to the east. The property is located in the north-western portion of the central metasedimentary belt of the Grenville geological province. Many gold, copper, silver and manganese mineralized showings have been identified to date, with many characteristics suggesting of a sediment-hosted stratiforme copper type deposit (SSC) in the Eastern portion of the property and Iron Oxide Copper Gold ore (IOCG) and skarn type deposits in the Western portion. Osisko Mining holds a 2% NSR on 39 claims and 1% NSR on 21 other claims of the Mitchi property.
NI 43‐101 Disclosure
Alain Cayer, P. Geo., MSc., Vice-President Exploration of Kintavar, is the Qualified Person under NI 43-101 guidelines who supervised and approved the preparation of the technical information in this news release.
Forward looking Statements:
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 news release contains statements that may constitute "forward-looking information" or "forward looking statements" within the meaning of applicable Canadian securities legislation. Forward-looking information and statements may include, among others, statements regarding future plans, costs, objectives or performance of the Corporation, or the assumptions underlying any of the foregoing. In this news release, words such as "may", "would", "could", "will", "likely", "believe", "expect", "anticipate", "intend", "plan", "estimate" "target" and similar words and the negative form thereof are used to identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. No assurance can be given that any events anticipated by the forward-looking information will transpire or occur, including additional closings of the private placement referred to above, or if any of them do so, what benefits the Corporation will derive. Forward-looking statements and information are based on information available at the time and/or management's good-faith belief with respect to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond the Corporation's control. These risks, uncertainties and assumptions include, but are not limited to, those described under "Risk Factors" in the Corporation's management's discussion and analysis for the six months ended June 30, 2017, which is available on SEDAR at www.sedar.com; they could cause actual events or results to differ materially from those projected in any forward-looking statements. The Corporation does not intend, nor does the Corporation undertake any obligation, to update or revise any forward-looking information or statements contained in this news release to reflect subsequent information, events or circumstances or otherwise, except if required by applicable laws.
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Contact
Kintavar Exploration Inc.
Kiril Mugerman, President and CEO
+1 450 641 5119 #5653
kmugerman@kintavar.com
www.kintavar.com