TSX Venture Exchange: NEV
VANCOUVER, Nov. 4, 2019 /CNW/ - Nevada Sunrise Gold Corporation ("Nevada Sunrise" or the "Company") (TSXV: NEV) is pleased to announce that drilling has commenced at the Kinsley Mountain Gold Project ("Kinsley Mountain" or the "Project"), located near Wendover in eastern Nevada, USA. Kinsley Mountain is a joint venture between Liberty Gold Inc. ("Liberty Gold", formerly Pilot Gold Inc.) (TSX: LGD) and the Company, with Liberty Gold holding a 79.1 percent interest, and Nevada Sunrise, through a wholly-owned U.S. subsidiary, holding a 20.9 percent interest.
2019 Drilling at Kinsley Mountain
Nevada Sunrise and Liberty Gold have approved the 2019 budget for Kinsley Mountain at US$590,000, which includes administrative and holding costs. The 2019 drilling program is planned to consist of approximately 1,600 metres (5,250 feet) of reverse circulation drilling in five to six holes. Drill holes will target the eastward extension of the Western Flank high-grade sulphide resource that includes 284,000 Indicated ounces at an average grade of 6.04 grams/tonne gold (see gold resource estimate described below). Two other targets in the Central Kinsley Trend and Racetrack area are also scheduled to be tested.
For maps showing the 2019 target areas, please access Nevada Sunrise's website at: https://www.nevadasunrise.ca/projects/kinsley-mountain/
About Kinsley Mountain
Kinsley Mountain is located approximately 80 kilometres (50 miles) south of Wendover, Nevada, and consists of 513 unpatented lode claims on U.S. Bureau of Land Management land plus 5 leased patents totaling 4,189 hectares (10,451 acres). Kinsley Mountain hosts near-surface mineralization similar to other Carlin-style, sediment-hosted gold systems, and hosts a past-producing mine with an extensive exploration database and numerous untested gold targets.
Liberty Gold, as operator, discovered the Western Flank deposit in 2013 hosted by the Secret Canyon Shale and outlined a sulphide resource estimate, using multiple cut-offs1, of 284,000 Indicated ounces of gold grading 6.04 grams per tonne ("g/t") and 39,000 Inferred ounces grading 2.41 g/t gold.
| 1 Cut-off grades assume an open-pit mining scenario, using a pit floor elevation generated using Whittle software, reasonable assumptions for mining and milling costs, and a US$1,300/ounce gold price. |
Further information on Kinsley Mountain is available in the National Instrument 43-101 compliant technical report entitled "Updated Technical Report and Estimated Mineral Resources for the Kinsley Project, Elko and White Pine Counties, Nevada, U.S.A.", effective October 15, 2015, dated December 16, 2015 and prepared by Michael M. Gustin, CPG, Moira Smith, Ph.D., P.Geo., and Gary Simmons, B.Sc. MMSA (the "Kinsley Technical Report"), available at www.nevadasunrise.ca/investors or under the Company's SEDAR profile at www.sedar.com.
John R. Kerr, P. Eng., is the Company's designated Qualified Person within the meaning of National Instrument 43-101 and has reviewed and approved the technical information contained in this news release.
About Nevada Sunrise
Nevada Sunrise is a junior mineral exploration company with a strong technical team based in Vancouver, BC, Canada, that holds interests in gold, copper, cobalt and lithium exploration projects located in the State of Nevada, USA.
The Company's key gold asset is a 21% interest in a joint venture with Liberty Gold Inc. (TSX: LGD) at the Kinsley Mountain Gold Project near Wendover, with the property subject to a 3.0% net smelter returns royalty.
Nevada Sunrise has the right to earn a 100% interest in the historic Lovelock Cobalt Mine and Treasure Box copper properties, each located approximately 150 kilometers (100 miles) east of Reno, both of which are currently under option to Global Energy Metals Corp. (TSXV: GEMC), who can earn up to an 85% participating interest from the Company. In September 2018, Nevada Sunrise acquired the right to earn a 100% interest in the Coronado VMS Project, located in Pershing County, approximately 48 kilometers (30 miles) southeast of Winnemucca.
Nevada Sunrise owns 100% interests in the Jackson Wash and Gemini lithium projects, both of which are located in Esmeralda County. The Company owns Nevada water right Permit 44411, located within the Clayton Valley basin near Silver Peak, Nevada.