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First Assays from Los Cisnes Drilling Extend High-Grade Silver Mineralization; LCsD-14 Intersects 566 g/t Ag over 4.4m (4.1m True Width)

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First Assays from Los Cisnes Drilling Extend High-Grade Silver Mineralization; LCsD-14 Intersects 566 g/t Ag over 4.4m (4.1m True Width)

PR Newswire

TSX-V: NDR

VANCOUVER, July 26, 2018 /PRNewswire/ - New Dimension Resources Ltd. (TSXV:NDR) (the "Company" or "New Dimension") is pleased to announce that the Phase I diamond drill program targeting high-grade silver(-gold) mineralization at the Los Cisnes Project (Figure 1) has now been completed. This represents the first drill program to be undertaken by New Dimension since the acquisition of the Santa Cruz Portfolio of 3 advanced-stage gold-silver projects from Sandstorm Gold Ltd (TSX:SSL, NYSE:SAND) in May, 2018.

Highlights

A total of 16 diamond drill holes for 1,564m were completed at the Los Cisnes Project, which is located 75km southwest of Yamana Gold Inc's high-grade Cerro Moro gold-silver mine.

Assays support both down-dip and along-strike extensions to the high-grade silver mineralization reported by a previous operator (Mariana Resources Ltd, or "Mariana")

Two step-back holes (LCsD-14 and LCsD-18) were drilled to Mariana's scout drill hole LCsD-09, with its reported intercept of 2.9m @ 755 g/t Ag from 32.1m downhole (including 0.9m @ 1,400 g/t Ag1) (Figures 2 & 3). Both New Dimension drill holes successfully intersected down-dip extensions to the high-grade silver mineralization in LCsD-09:



LCsD-14: 

4.4m @ 566 g/t Ag from 100.3m downhole



(60m step-back)  

Including 1m @ 740 g/t Ag from 102.0 m downhole and 0.8m @ 1,653 g/t




Ag from 103m downhole



LCsD-18:

4.4m @ 123 g/t Ag from 47.6m downhole



(15m step-back)

 Including 0.8m @ 276 g/t Ag from 49.2m downhole

Two step-out holes to LCsD-09 (LCsD-20 and LCsD-15), designed to test for lateral extensions to the previously reported interval of 2.9m @ 755 g/t Ag1, also returned high-grade silver intercepts:



LCsD-20:

 2.0m @ 381 g/t Ag from 39.0m downhole



(39m West) 

Including 0.8m @ 528 g/t Ag from 39.0 m downhole 



LCsD-15: (33m E)

1.8m @ 182 g/t Ag from 59.7m downhole

 

Eric Roth, New Dimension's CEO, commented today: "I am delighted to be reporting the first assays from our Phase I Santa Cruz Diamond Drill Program. These initial results have confirmed extensions to the known high-grade silver mineralization at our Los Cisnes Project, especially in the vicinity of the scout drill hole LCsD-09 completed by Mariana in 2015.  Results from our step-back hole LCsD-14 - a 60m down-dip extension of the LCsD-09 mineralization - are particularly significant, as it includes a very high-grade interval assaying 0.8m @ 1,653 g/t Ag. No drilling has been completed beneath this level, so potential still exists for extending this high-grade silver mineralization to >60m vertically below surface."

Link to figures:

https://newdimensionresources.com/site/assets/news/2018_07_Los_Cisnes_Figures.pdf

A brief video demonstrating the 3D geometry of the Brio vein/breccia system and the 2018 drill results is also available at https://vimeo.com/adnet/review/281316337/c2f782cb22

Los Cisnes Project Overview and 2018 Drill Results

High-grade silver(-gold) values were identified at Los Cisnes from previous channel sampling and scout diamond drilling on the Brio vein/breccia system. Brio is a quartz-sulfide(-Fe-oxide) vein/breccia system which strikes ENE, can be traced on surface for approximately 2.3km, and is up to 3m wide. In 2015, 8 scout diamond drill holes for 723m were completed along the Brio structure, with the best intercept being 2.9m @ 755 g/t Ag from 32.1m downhole in LCsD-091.

Summaries of the assay results received and technical data for the 2018 Los Cisnes drill holes are given in Tables 1 and 2, respectively. Mineralized intercepts at Brio are defined by quartz-Fe-oxide(-pyrite-acanthite or Ag2S)-style mineralization in a subvertical vein/vein breccia system (Figure 4). A potential N-S cross structure to the main Brio structure (and identified from ground magnetic data) in the LCsD-9 area will also now be reviewed in further detail as this may also represent a significant new target for further exploration at Los Cisnes. Host rocks to the Los Cisnes mineralization are dominated by an upper sequence of welded ignimbrites and a lower sequence of dominantly lithic ignimbrites.  

Table 1. Summary of assay results for Los Cisnes 2018 drilling

Drill Hole

From (m)

To (m)

Intercept
(m)

True
Width
(m)*

Ag g/t

Au g/t

Comments

LCsD-14

100.3

104.7

4.4

4.1

566

0.31

Step-back
to LCsD-09

Including

102.0

103.0

1.0

0.9

740

0.98

Including

103.0

103.8

0.8

0.7

1,653

0.20

LCsD-15

59.7

61.5

1.8

1.6

182

0.24

Step-out E
to LCsD-09

and

73.0

75.0

2.0

1.8

75

0.02

LCsD-16

NSR






Step-out E

LCsD-17

67.5

71.4

3.9

3.5

12

0.01

Brio

LCsD-18

47.6

52.0

4.4

4.2

123

0.04

Step back
to LCsD-09

Including

49.2

50.0

0.8

0.7

276

0.08

LCsD-19

55.5

56.5

1.0

0.9

56

0.09

Brio

LCsD-20

39.0

41.0

2.0

1.8

381

0.12

Step-out

W to LCsD-
09

Including

39.0

39.8

0.8

0.7

528

0.23

LCsD-21

20.7

21.0

0.3

0.27

58

0.91

Brio

and

84.0

88.0

4.0

3.6

28

0.03

LCsD-22

NSR






Brio

LCsD-23

62.0

66.0

4.0

3.6

23

0.02

Brio

LCsD-24

22.0

26.0

4.0

3.6

33

0.05

Brio

LCsD-25

NSR






Brio

LCsD-26

111.0

114.5

3.5

3.1

51

0.03

Brio

LCsD-27

NSR






Brio

LCsD-28

NSR






Brio

LCsD-29

34.0

37.0

3.0

2.7

10

0.04

Brio

NSR = Ag values < 15 g/t, Au values < 0.02 g/t, *Estimated true width

 

Quality Control and Assurance

Mineralized intervals presented in Table 1 are drill intersection widths and may not represent true widths of mineralization. Drill core obtained from the diamond drill program is HQ-sized. All drill core was photographed and quick logged prior to sampling. Standard sampling protocol involved the halving of all drill core and sampling over intervals determined by geology (and generally not exceeding 1m in clearly mineralized sections), with one half of the core being placed in a sealed sample bag and dispatched to the analytical laboratory for analysis. Samples were dispatched to Alex Stewart's sample preparation facility in Puerto San Julian, with pulps subsequently being sent to the Alex Stewart's analytical lab in Mendoza. All samples have been analysed for gold using a 50g Fire Assay with AAS finish (Analysis AU4-50), in addition to a 39 element ICP-AES analysis of an aqua regia digest (Analysis ICP-AR-39). Standards and blanks were inserted in to the analytical sequence on the basis of one standard plus one blank for every 25 samples.

Los Cisnes 2018 Drill Holes – Technical Data

Technical data relating to the 2018 drilling at the Los Cisnes Project are given in Table 2.

Table 2. Summary of technical data for the Los Cisnes 2018 Drill Program

Hole ID

Easting

Northing

Elevation
(m)

Azimuth

Dip

(degrees)

Depth

(m)

Assays

LCsD-14

642,540

4,622,149

16

190

-70

108.0

Received

LCsD-15

642,574

4,622,149

16

190

-65

100.5

Received

LCsD-16

642,583

4,622,198

16

190

-65

206.0

Received

LCsD-17

642,618

4,622,154

16

190

-65

78.0

Received

LCsD-18

642,540

4,622,145

16

190

-50

71.0

Received

LCsD-19

642,665

4,622,156

19

190

-50

68.0

Received

LCsD-20

642,499

4,622,123

16

190

-50

75.0

Received

LCsD-21

642,466

4,622,147

16

190

-45

100.0

Received

LCsD-22

642,416

4,622,186

14

190

-50

98.0

Received

LCsD-23

642,725

4,622,183

23

190

-45

131.0

Received

LCsD-24

642,935

4,622,255

26

190

-50

95.0

Received

LCsD-25

642,770

4,622,180

22

180

-50

80.0

Received

LCsD-26

643,410

4,622,420

20

180

-45

125.0

Received

LCsD-27

643,540

4,622,355

15

180

-45

47.0

Received

LCsD-28

643,254

4,622,351

24

180

-50

86.0

Received

LCsD-29

642,885

4,622,271

24

180

-50

95.0

Received

 

Las Calandrias Drill Update

Drilling has also been completed at the Las Calandrias Project, where a total of 25 drill holes for 3,708m were completed. The 2018 drill program at Las Calandrias focused on extending known high-grade gold mineralization in the Calandria Norte resource area, in addition to extending high-grade gold mineralization in the sub-parallel Morena vein/breccia system. Core logging and sampling of the 25 Las Calandrias drill holes are well advanced, with first assays expected to become available during August, 2018.

Ontario-based consulting group AGP Mining Consultants Inc. has also been engaged to prepare an updated Mineral Resource Estimate (MRE) for the Las Calandrias Project.  This MRE will incorporate assay data from both historical and current drilling at Las Calandrias, and is currently scheduled for release in mid-September, 2018.

Health, Safety, and Environmental (HSE)

No HSE incidents have been reported during the current drill program.

Sierra Blanca and Regional Prospects

Drill target generation activities at the Sierra Blanca Project will continue in parallel with the current drill program at Las Calandrias and Los Cisnes. However, the drill testing of high grade targets at Sierra Blanca is not expected to occur before Q4, 2018, at the earliest. Reconnaissance activities on the Company's Regional Prospects are also anticipated to restart after the termination of the Patagonian winter. 

1 A potential investor should not place undue reliance on these historical results when making an investment decision, nor should they be used as the sole criterion for making investment decisions. There is no assurance that the Company can reproduce such results, or that the historical results described therein will be realized.


2 The formula for AuEq70 = Au assay in g/t + (silver assay in g/t divided by 70), and assuming 100% metallurgical recovery.

 

On Behalf of the Board of New Dimension Resources Ltd.

"Eric Roth"

___________________________
Eric Roth, Ph.D., FAusIMM
President & CEO

About New Dimension Resources
New Dimension is engaged in the acquisition, exploration and development of quality mineral resource properties throughout the Americas, with a focus on precious metals.  The Company's current focus is on the discovery through drilling of new high-grade gold-silver resources at its 100%-owned Las Calandrias, Los Cisnes and Sierra Blanca projects, all located in the highly prospective Deseado Massif of Santa Cruz Province, southern Argentina. The Company also holds an option on the Savant Lake gold project in Ontario, together with an active JV interest (with Yamana Gold) in the Domain gold project in Manitoba.

Qualified Persons and Disclosure Statement
The technical information in this news release has been prepared in accordance with Canadian regulatory requirements set out in NI 43-101, and approved by Eric Roth, the Company's President & CEO, a director and a Qualified Person under NI 43-101.

Cautionary Notes and Forward-looking Statements
This news release contains forward-looking information within the meaning of applicable securities legislation. Forward-looking information is typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. Such statements include, without limitation, statements regarding the future results of operations, performance and achievements of New Dimension, including the timing, completion of and results from the drill programs described in this release.  Although the Company believes that such statements are reasonable, it can give no assurances that such expectations will prove to be correct.  All such forward-looking information is based on certain assumptions and analyses made by New Dimension in light of their experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. This information, however, is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. Important factors that could cause actual results to differ from this forward-looking information include those described under the heading "Risks and Uncertainties" in New Dimension s most recently filed MD&A. New Dimension does not intend, and expressly disclaims any obligation to, update or revise the forward-looking information contained in this news release, except as required by law. Readers are cautioned not to place undue reliance on forward-looking information.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

This news release does not constitute an offer to purchase securities. The securities to be offered in the Private Placement have not been and will not be registered under the United States Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States or to, or for the benefit or account of, a U.S. person, except pursuant to an available exemption from such registration requirements.

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SOURCE New Dimension Resources Ltd.

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