Vancouver, British Columbia--(Newsfile Corp. - October 2, 2018) - Japan Gold Corp. (TSXV: JG) (OTCQB: JGLDF) (“
Japan Gold”
or the
“Company”) is pleased to announce that its four prospecting rights applications over the Tobaru Project in the
Southern Kyushu Epithermal Gold Province, Japan, have been converted to Prospecting Rights by the Japanese Ministry of Economy,
Trade and Industry (METI).
The Tobaru Project totals 1,347 hectares covering a large alteration zone adjacent and along strike to the Fuke
epithermal gold mine (106,000 ounces gold produced2) in the highly gold endowed Hokusatsu-Kushikino mining district, in
the Southern Kyushu Epithermal Gold Province.
In excess of 10 million ounces of gold has been produced from high-grade epithermal deposits of this province, refer
to Figure 1 which shows the northern portion of the district, project locations and significant mines. Notable producers
within the district include: the Hishikari mine with 7.4 million ounces of gold produced to date at average grades of 30-40 g/t
Au1; Kushikino mine, 1.8 million ounces at 6.7 g/t Au; Yamagano mine, 910,000 ounces at 17.4 g/t Au; and the Ohkuchi
mine with 714,000 ounces at 13.6 g/t Au2,3.
Granting of Prospecting Rights authorizes the Company to commence more advanced exploration methods including
drilling.
The Project
The Tobaru Project is located in the northern part of the Hokusatsu-Kushikino mining district. Significant
gold producers nearby include the Fuke and Okuchi mines located respectively 0.5 and 4 kilometers west and south of the project,
Figure 1. No historic production is recorded at Tobaru but the project applications enclose a large area of alteration
hosted in andesite volcanics. A zoned area of alteration mapped by the Company extends over a 2,000 by 1,000 meter area and is
characterized by residual or vuggy quartz in four elliptical zones up to 300 x 150 meters in diameter, enclosed by ammonium clay
minerals and illite, localised advanced argillic alteration assemblages, and networks of quartz – iron oxide stockwork veinlets,
refer to Figure 2 which shows the Tobaru project simplified geology and alteration in relation to the Fuke mine veins.
First pass sampling work by the Company has shown elevated trace element geochemistry co-incident with the mapped
zoned alteration. Descriptions of veining in the Fuke mine suggest both the upper and deeper levels of an epithermal system are
present and probably superimposed, as quartz-adularia-carbonate and quartz-base metal sulphide veins are noted, high-grade gold
shoots are also reported from the mine2, 5. The intensity and frequency of fracturing observed throughout the Tobaru
alteration zone coupled with a 150 to 200 meter increase in elevation into the project area are positive factors for a potential
extension of the Fuke vein system into the project area. Tobaru’s position in the Hokusatsu-Kushikino mining district and its
proximity to other mines including Fuke, Okuchi and Hishikari make it worthy of further exploration. The Company plans more
detailed sampling and mapping and if warranted, geophysical methods in 2019 to identify potential drill targets.
John Proust, Chairman and CEO of Japan Gold, commented, “We are pleased to see the granting of these prospecting
licenses in this world class gold district of southern Japan, and consider this another timely advancement to the Company’s
exploration portfolio.”
On behalf of the Board of Japan Gold Corp.
“John Proust”
Chairman & CEO
About Japan Gold Corp.
Japan Gold Corp. is a Canadian mineral exploration company focused solely on gold and copper-gold exploration in
Japan. The Company has applied for 210 prospecting rights licenses in Japan for a combined area of 69,505 hectares over seventeen
separate projects. Thirty-seven of the applications have been granted as Prospecting Rights. The applications cover areas with
known gold occurrences and a history of mining, and are prospective for both high-grade epithermal gold mineralization and
gold-bearing lithocaps, which could indicate the presence of porphyry mineralization. Japan Gold’s leadership team has decades of
resource industry and business experience, and the Company has recruited geologists and technical advisors with experience
exploring and operating in Japan. More information is available at www.japangold.com or by email at info@japangold.com.
Japan Gold Contact
John Proust
Chairman & CEO
Phone: 778-725-1491
Email: info@japangold.com
References
1 Sumitomo Metal Mining Co., LTD. website, production as of end of March 2017.
2 Watanabe, 2005. Late Cenozoic evolution of epithermal gold metallogenic provinces in Kyushu, Japan.
Mineralium Deposita (2005) 40: pp 307-323
3 Garwin et al. 2005. Tectonic setting, Geology, and gold and copper mineralization in the Cenozoic magmatic arcs
of Southeast Asia and the West Pacific. Economic Geology 100th Anniversary Vol. pp 891-930
4 Hamilton, Chris., 1993. Tourmaline- and Pyrophyllite-bearing Hydrothermally altered Volcanic rocks at Tobaru,
Japan, Resources Geology Special Issue, No.14, 115-121
5Muto, N., 1952. The systematic arrangement of veins at Fuke Gold mine, Kagoshima Prefecture. Shigen Chishitsu, pp.
49-53
Cautionary Note
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of
the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The technical information in this
news release has been reviewed by Japan Gold’s President & Chief Operating Officer, Dr. Mike Andrews, PhD, FAusIMM, who is a
Qualified Person as defined by National Instrument 43-101. As the Qualified Person, he has supervised the preparation and approved
the scientific and technical disclosure in the news release.
This news release contains forward-looking statements relating to expected or anticipated future events and
anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as
general economic, market and business conditions, competition for qualified staff, the regulatory process and actions, technical
issues, new legislation, uncertainties resulting from potential delays or changes in plans, uncertainties resulting from working in
a new political jurisdiction, uncertainties regarding the results of exploration, uncertainties regarding the timing and granting
of prospecting rights, uncertainties regarding the Company’s ability to execute and implement future plans, and the occurrence of
unexpected events. Actual results achieved may vary from the information provided herein as a result of numerous known and unknown
risks and uncertainties and other factors.
Figure 1: The Northern Hokusatsu-Kushikino Mining District, southern Kyushu, Japan Gold projects
on simplified geology with historic and recent gold mines.
To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/5665/40073_japan2.jpg
Figure 2: Tobaru Project area with Simplified Geology and Alteration.
To view an enhanced version of Figure 2, please visit:
https://orders.newsfilecorp.com/files/5665/40073_japan4.jpg