The Silver Hill claims are located about six miles south of Golconda , and are situated within the Getchell Trend, a well-known mineral belt that is host to the Twin Creeks, Chimney, Getchell, Pinson, and Preble mines, among others.
The phase 1 program comprised preliminary geologic mapping, geochemical sampling, and structural analysis. Geologic mapping has delineated and rock chip sampling has confirmed a 2500 to 3000 foot long zone of silver and gold mineralization within a 25 to 100 foot wide high angle shear zone.
Mapping suggests the high angle shear zone may be a variant of the Golconda Thrust or a later fault zone that offsets the thrust zone. In the vicinity of the Silver Hill claims, the zone separates upper plate Pennsylvanian-age Pumpernickel Formation to the east from older, lower plate Preble Formation to the west.
Granodiorite intrusives occur in the vicinity of Silver Hill, and are displayed as small masses, dikes, and sills.
The geologic setting of the Silver Hill mineralization exhibits characteristics that are similar to the Getchell, Pinson and Preble gold mines to the north in that mineralization is contained in or occurs along wide shear zones. At Pinson and Preble, the Preble Formation is an important host rock to the precious metal mineralization.
Strong silver and gold values were found within argillically-altered and silicified phyllite and calcareous rocks of the Preble Formation within the shear zone. In the mineralized zones, silver values are highly anomalous, ranging up to 243 grams per tonne.
Gold values are low but anomalous, and generally are within a range of 0.1 to 0.156 grams per tonne. Silver mineralization exhibits strong affinities with tungsten, bismuth, and molybdenum, with subsidiary affinities with lead, arsenic, copper, and iron.
The affinity of silver with tungsten, bismuth, and molybdenum is suggestive of a skarn association, and skarn minerals and alteration were found in float during mapping. On the other hand, gold displays strong affinities only for arsenic and antimony, and may represent a separate mineralizing event than the silver mineralization.
Upon completion of data compilation, the Company plans to proceed with a phase 2 exploration program which will consist of trenching and further sampling followed by drilling to test the targets developed by both phases of work.
Mooseland Gold Property, Nova Scotia
NSGold’s core asset is the 100% owned Mooseland Gold Property located in Halifax County, Nova Scotia . The Mooseland gold deposit occurs within a typical Meguma structure with steeply dipping limbs.
The gold bearing quartz veins at Mooseland occur on both limbs of the fold with similar widths and grades.
Total inferred mineral resources for the Mooseland Gold Project are estimated at 454,000 ounces of gold using a cut-off grade of 2.6 grams per tonne (see NSGold news release dated June 5, 2012). This estimate is based on drill core assay results from historic and recent drilling programs totaling 45,382 meters in 183 drill holes.
NSGold holds the Mooseland Property free and clear subject only to a gross metal royalty payable to Globex Mining equal to four percent of all metals produced from the property. Globex also has the right to receive a five percent (5%) interest in the issued and outstanding share capital of NSGold at the time the Mooseland Property enters into production. The Mooseland Property is comprised entirely of Crown owned land with no privately owned portions.
The Mooseland Property is located approximately 13 kilometers from Atlantic Gold’s (ATV:ASX) Touquoy Gold Project and 65 kilometers from Resources Appalaches’ (AAP:TSXV) Dufferin Gold Mine .
Atlantic Gold has announced plans for the development of an open pit gold mine at Touqouy with annual gold production of 84,000 ounces and Resources Appalaches earlier this year secured a $10 million financing for the re-development of the Dufferin Mine.
Sample Protocol and QA/QC (Silver Hill)
Where outcrops were extensive or bedrock exposure good, continuous and contiguous rock chip channel samples were taken to determine presence, tenor, and continuity of mineralization. Individual outcrops or small bedrock exposures were sampled in multiple locations on the individual outcrop. Samples were delivered by field personnel, under the direct supervision of the Qualified Person, to Inspectorate Labs in Reno, Nevada .
Analyses were conducted using ICP-AA methodology. Any samples that exceeded ICP limitations were then analyzed utilizing traditional gravimetric and fire assay methods. The Company relied upon the extensive internal standards used by the independent lab to qualify and certify the results.
Internal standards were reported by the lab to the Company, and the analyses determined to be within standard statistical limits for precision, reproducibility, and accuracy.
Qualified Person
Perry MacKinnon P. Geo ., Chief Geologist, for NSGold, a qualified person as defined by National Instrument 43-101 has reviewed the information provided in this news release.
