TORONTO, Aug. 17, 2020 (GLOBE NEWSWIRE) -- Marathon Gold Corporation (“Marathon” or the “Company”; TSX: MOZ) is pleased to report drill results from recent exploration drilling at the Valentine Gold Project, central Newfoundland (the “Project”). These latest results represent fire assay data from the latest nine drill holes completed in the new Berry Zone, located within the six-kilometre long Sprite Corridor. Highlights include:

  • VL-20-835 intersected 2.96 g/t Au over 47 metres, including 7.55 g/t Au over 14 metres, and 32.25 g/t Au over 1 metre, and 27.00 g/t Au over 1 metre;

  • VL-20-834 intersected 2.23 g/t Au over 30 metres, including 6.53 g/t Au over 8 metres;

  • VL-20-829 intersected 2.12 g/t Au over 20 metres including 16.89 g/t Au over 1 metre, and 2.26 g/t Au over 10 metres, and 1.03 g/t Au over 17 metres, and 1.02 g/t Au over 11 metres;

  • VL-20-831 intersected 1.82 g/t Au over 10 metres; and

  • VL-20-830 intersected 0.93 g/t Au over 14 metres.

All quoted intersections comprise uncut gold assays in core lengths. All significant assay intervals are reported in Table 1.

Matt Manson, President & CEO commented: “The latest batch of drill assays from the new Berry Zone include additional long intersections of high-grade mineralization. The mineralization occurs in the familiar geological setting: quartz-tourmaline-pyrite veining developed in the hanging-wall of the Valentine Lake Shear Zone within “Main Zone” type configurations. The drilling is  establishing broad continuity between 50 metre sections, and has extended the zone to approximately 650 metres in strike length.” Matt Manson continued: ”Our 2020 exploration program is focused on new discovery, with broad step out holes into previously untested areas. Currently, one drill rig is progressing steadily northeastwards from Berry to the area of the “Frozen Ear Pond Road”, approximately 1.5 kilometres from where we started in January. An additional drill rig is scheduled to be mobilized in early September, exploring southwestwards from the margin of the Marathon Deposit towards Frozen Ear Pond Road. At the end of this campaign we will have drilling information along the full 6 kilometres of the Sprite Corridor between Leprechaun and Marathon. This is high-risk, greenfield exploration, with no certainty of success. However, the results achieved to date at the Berry Zone give confidence in the potential for additional discoveries along this highly prospective trend.”

Previous drilling in the Berry Zone (Figure 1) has outlined extensive gold mineralization contained within shallowly southwest dipping, en-echelon stacked Quartz-Tourmaline-Pyrite-Gold (“QTP-Au”) veins that are characteristic of the Valentine Gold Project. These QTP-Au veins form steeply northwest plunging “Main Zone” envelopes within quartz-eye porphyry host rocks on the hanging-wall (NW) side of the Valentine Lake Shear Zone. The extent of mineralization appears related to the size and frequency of sheared mafic dykes which extend NE-SW within the hanging-wall, parallel to the shear zone.

The nine drill holes released today represent both step out and in-fill drilling over a broad length of the Berry Zone. They extend the strike length of drill intersected mineralization to approximately 650 metres, from section 13350E to 14000E (Figure 2). An area of particularly intense mineralization has now been intersected by several drill holes between sections 13600E and 13800E where QTP-Au veining is concentrated in a 30-50 metre wide zone between a large mafic dyke and the shear zone contact (eg Section 13790E, Figure 3, and Section 13690E from Marathon’s news release dated July 22, 2020).

These latest results are derived from drill-holes oriented steeply down through Main Zone QTP-Au stacking towards the northwest (VL-20-829, 830, 831, 834 & 835, Figures 3 and 4), oblique drill-holes across Main Zone mineralization towards the southeast (VL-20-828 & 833), and one drill-hole collared in the hanging-wall and oriented towards the northwest (VL-20-836). Eight of the nine holes returned “significant” drill intersections of greater than 0.7 g/t Au (Table 1), and each of the nine drill holes returned drill intersections with gold grades above the 0.3 g/t Au cut-off used in the January 2020 Mineral Resource Estimate for the Project. No significant mineralization was encountered in drill hole VL-20-832, which was collared in the meta-sediments of the southeastern, foot-wall side of the Valentine Lake Shear Zone.

Table 1: Significant assay intervals, Sprite Corridor, Valentine Gold Project

DDHSectionAzDipFromToCore Length (m)True Thickness (m)Gold g/tGold g/t (cut)
VL-20-82813860E164-467921.5 1.12 
    212210.75 0.91 
    384132.25 1.18 
    10210421.5 1.13 
    12612932.25 1.56 
VL-20-82913790E343-7713241110.45 1.02  
    293232.85 2.93 
    616321.9 11.66 
    10310410.95 1.88 
    10810910.95 0.76 
    11711810.95 17.52 
    14114321.9 10.49 
    1501671716.15 1.03  
    1741942019 2.12  
Including   18118210.95 16.89  
    21221310.95 2.22 
    273283109.5 2.26  
    29029110.95 1.11 
VL-20-83014000E343-75272810.95 0.82 
    555610.95 11.77 
    82961413.3 0.93  
    11311410.95 0.71 
    13413510.95 0.76 
    15415510.95 1.86 
    16416621.9 2.43 
VL-20-83113920E343-77161710.95 1.30 
    757610.95 2.62 
    8494109.5 1.82  
    10210310.95 1.17 
    20120210.95 1.31 
    22823021.9 1.89 
    25926121.9 1.58 
VL-20-83313540E163-62596010.85 3.76 
    717210.85 1.58 
    787910.85 0.72 
VL-20-83413460E343-84131521.9 2.22 
    1211513028.5 2.23  
    12613487.6 6.53 
    18618710.95 0.72 
VL-20-83513420E343-83162043.8 1.55 
    333410.95 32.25 30.00
    495010.95 9.89 
    768043.8 1.30 
    10010110.95 10.46 
    11111210.95 10.11 
    14614710.95 27.00  
    15415621.9 5.90 
    1662134744.65 2.96 2.41
Including   1661801413.3 7.55 5.69
VL-20-83613450E343-75434410.95 0.83 
    969710.95 1.09 

Notes on the Calculation of Assay Intervals

  1. “Significant” assay intervals are defined as 1m core length or more of mineralization with an average fire assay result of greater than 0.7 g/t Au, representing the bottom cut-off for high-grade mill feed in the Marathon April 2020 Pre-Feasibility Study mine plan (see technical report dated April 21, 2020). Assay intervals with an average fire assay result of between 0.3 g/t Au and 0.7 g/t Au are above the cut-off used in the January 2020 Mineral Resource Estimate for the Project but are not considered “significant” for the purposes of this news release.
  2. No significant assays were returned in drill hole VL-20-832


Figure 1
: Location Map, Valentine Gold Project. (See News Release Dated February 3, 2020 for a Description of the 2020 Exploration Drill Program) is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/6a4f5fe3-93e3-4aa2-a075-3dc30d75978d

Figure 2: Location of Berry Zone exploration drill hole collars VL-20-828 to VL-20-836 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/785cf718-6f25-4f79-ad20-0afb316df8ac

Figure 3: Cross section 13790E (View NE) Sprite Corridor, Valentine Gold Project is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/ee1ff9b0-dc18-40c8-888b-3c1901bff590

Figure 4: Cross section 13420E (View NE) Sprite Corridor, Valentine Gold Project is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/fd783e6e-8faa-46d1-974c-4f3335264bb6


Qualified Person

Disclosure of a scientific or technical nature in this news release was prepared under the supervision of Nicholas Capps, P.Geo. (NL), Project Manager for exploration at the Valentine Gold Project. Exploration data quality assurance and control for Marathon is under the supervision of Jessica Borysenko, P.Geo (NL), GIS Manager for Marathon Gold Corporation. Both Mr. Capps and Ms. Borysenko are qualified persons under National Instrument (“NI”) 43-101.

Quality Assurance-Quality Control (“QA/QC”)

QA/QC protocols followed at the Valentine Gold Project include the insertion of blanks and standards at regular intervals in each sample batch. Drill core is cut in half with one half retained at site, the other half tagged and sent to Eastern Analytical Limited in Springdale, NL. All reported core samples are analyzed for Au by fire assay (30g) with AA finish. All samples above 0.30 g/t Au in economically interesting intervals are further assayed using metallic screen to mitigate the presence of coarse gold. Significant mineralized intervals are reported in Table 1 as core lengths and estimated true thickness (70 - 95% of core length), and reported with and without a top-cut of 30 g/t Au applied.

Acknowledgments

Marathon acknowledges the financial support of the Junior Exploration Assistance Program, Department of Natural Resources, Government of Newfoundland and Labrador.

About Marathon

Marathon (TSX:MOZ) is a Toronto based gold company advancing its 100%-owned Valentine Gold Project located in the central region of Newfoundland and Labrador, one of the top mining jurisdictions in the world. The Project comprises a series of four mineralized deposits along a 20-kilometre system. An April 2020 Pre-Feasibility Study outlined an open pit mining and conventional milling operation over a twelve-year mine life with a 36% after-tax rate of return. The Project has estimated Proven Mineral Reserves of 1.3 Moz (26.3 Mt at 1.52 g/t) and Probable Mineral Reserves of 0.6 Moz (14.8 Mt at 1.23 g/t). Total Measured Mineral Resources (inclusive of the Mineral Reserves) comprise 1.9 Moz (31.7 Mt at 1.86 g/t) with Indicated Mineral Resources (inclusive of the Mineral Reserves) of 1.19 Moz (23.2 Mt at 1.60 g/t). Additional Inferred Mineral Resources are 0.96 Moz (16.77 Mt at 1.78 g/t Au). Please see the Technical Report dated April 21, 2020 for further details and assumptions relating to the Valentine Gold Project.

For more information, please contact:

Matt Manson
President & CEO
Tel: 416 987-0711
mmanson@marathon-gold.com
Hannes Portmann
CFO & Business Development
Tel: 416 855-8200
hportmann@marathon-gold.com
Amanda Mallough
Senior Associate, Investor Relations
Tel: 416 855-8202
amallough@marathon-gold.com

To find out more information on Marathon Gold Corporation and the Valentine Gold Project, please visit www.marathon-gold.com.

Cautionary Statement Regarding Forward-Looking Information

Certain information contained in this news release, constitutes forward-looking information within the meaning of Canadian securities laws (“forward-looking statements”). All statements in this news release, other than statements of historical fact, which address events, results, outcomes or developments that Marathon expects to occur are forward-looking statements. Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, or include words such as “expects”, “anticipates”, “plans”, “believes”, “estimates”, “considers”, “intends”, “targets”, or negative versions thereof and other similar expressions, or future or conditional verbs such as “may”, “will”, “should”, “would” and “could”. We provide forward-looking statements for the purpose of conveying information about our current expectations and plans relating to the future, and readers are cautioned that such statements may not be appropriate for other purposes. More particularly and without restriction, this news release contains forward-looking statements and information about Marathon’s intention to complete the Offering and the timing thereof, economic analyses for the Valentine Gold Project, capital and operating costs, processing and recovery estimates and strategies, future exploration and mine plans, objectives and expectations and corporate planning of Marathon, future feasibility studies and environmental impact statements and the timetable for completion and content thereof and statements as to management's expectations with respect to, among other things, the matters and activities contemplated in this news release. 

Forward-looking statements involve known and unknown risks, uncertainties and assumptions and accordingly, actual results and future events could differ materially from those expressed or implied in such statements. You are hence cautioned not to place undue reliance on forward-looking statements. A mineral resource that is classified as “inferred” or “indicated” has a great amount of uncertainty as to its existence and economic and legal feasibility. It cannot be assumed that any or part of an “indicated mineral resource” or “inferred mineral resource” will ever be upgraded to a higher category of mineral resource. Investors are cautioned not to assume that all or any part of mineral deposits in these categories will ever be converted into proven and probable mineral reserves.

By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. Factors that could cause future results or events to differ materially from current expectations expressed or implied by the forward-looking statements include receipt of all necessary regulatory approvals, completion of all conditions to closing of the Offering, availability of financing to fund Marathon’s exploration and development activities, the ability of the current exploration program to identify and expand mineral resources, operational risks in exploration and development for gold, Marathon’s ability to realize the pre-feasibility study, delays or changes in plans with respect to exploration or development projects or capital expenditures, uncertainty as to calculation of mineral resources, changes in commodity and power prices, changes in interest and currency exchange rates, the ability to attract and retain qualified personnel, inaccurate geological and metallurgical assumptions (including with respect to the size, grade and recoverability of mineral resources), changes in development or mining plans due to changes in logistical, technical or other factors, title defects, government approvals and permits, cost escalation, changes in general economic conditions or conditions in the financial markets, environmental regulation, operating hazards and risks, delays, taxation rules, competition, public health crises such as the COVID-19 pandemic and other uninsurable risks, liquidity risk, share price volatility, dilution and future sales of common shares, aboriginal claims and consultation, cybersecurity threats, climate change, delays and other risks described in Marathon’s documents filed with Canadian securities regulatory authorities.

You can find further information with respect to these and other risks in Marathon’s Amended and Restated Annual Information Form for the year ended December 31, 2019 and other filings made with Canadian securities regulatory authorities available at www.sedar.com. Other than as specifically required by law, Marathon undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events, whether as a result of new information, future events or results otherwise.