TSXV: GGI
OTC: GGIFF
Frankfurt: RQM
VANCOUVER, Oct. 14, 2016 /CNW/ - Garibaldi Resources (TSX.V:
GGI) (the "Company" or "Garibaldi") is pleased to announce
significant progress in the development of its recently acquired
E&L Ni-Cu-Au Project at Nickel Mountain in the Golden
Triangle's Eskay Camp of northwest
British Columbia.
Garibaldi has tripled the size of its E&L land package by
adding 15 sq. km of additional claims following a series of work
programs since July and an intensive initial review of large
amounts of historical data. Evidence has revealed that the
nickel-rich E&L deposit has the potential for much greater
scale as a massive sulphide system than originally understood by
explorers nearly half a century ago.
The E&L is situated in a mining camp that has produced
Eskay Creek/Snip/KSM/Brucejack and
multiple promising new exploration targets since Nickel Mountain
was last systematically explored and drilled in 1970.
Highlights of Garibaldi's recent fieldwork and ongoing
studies:
- Channel sampling results from a late September visit are
pending, but August grab samples from areas of outcrop in the
Northwest, Central and Southeast zones near the top of Nickel
Mountain returned values as high as 4.6% Ni and 2.0% Cu with
average grades of 2.7% Ni and 1.7% Cu (see below);
- The potential extent of near-surface mineralization at E&L,
featuring a nickel-copper rich halo around a large mafic core, was
never adequately tested by today's standards and the deposit has
not been delimited in any direction including at depth;
- Advanced geophysical analysis suggests mineralization at Nickel
Mountain may have a deep source or "feeder" zone, expressed by the
newly designated "Q" Anomaly, where metals have concentrated.
Garibaldi considers the E&L to be a potential high impact
exploration target, especially in light of the exponential growth
over the last decade in the understanding of how major deposits
have formed in this prolific district. The E&L Ni-Cu-Au
deposit, with anomalous values in platinum group elements (B.C.
Ministry of Energy Mines MINFILE 104B006), is an exceptional
prospect that further bolsters a dynamic package of 100%-owned
Garibaldi properties in B.C. and Mexico.
The Company is consulting with leading experts in Ni-Cu-Au-PGE
massive sulphide systems as part of its strategy to uncover what
was overlooked at the E&L five decades ago.
Massive Sulphide Source Indicated By The "Q" Anomaly
A broad magnetic anomaly, referred to as the "Q" given its
circular shape and an intriguing "keel", measures approximately 1
km wide and is centered immediately southwest of the historical
E&L adit. The broad characteristics of the anomaly suggests it
has a deep source. The "Q" (click on map link near bottom of news
release to view) was never drill-tested or systematically
investigated by previous explorers who were drawn to the showings
at the top of Nickel Mountain.
Significantly, the "Q" Anomaly features a 600-meter-long
magnetic keel trending south-southeast. As seen elsewhere in
deposits around the globe, this could represent a feeder or conduit
zone to a nickel-rich massive sulphide system as expressed by the
main magnetic anomaly interpreted by Garibaldi's geophysical
consultants. Another possibility is that the broad anomaly results
from a gabbroic intrusive body, since magnetic gabbro is host to
the mineralization at the top of Nickel Mountain. If so,
mineralization could be associated with the gabbro and in
particular within the magnetic keel.
Limited Historical Drilling
A total of only 19 drill holes tested the E&L half a century
ago - 12 from surface (1965 and 1966) and 7 from underground
(1970). Trenching over the Northwest, Central and Southeast zones
was also carried out. Almost all the surface drilling was focused
on the Northwest zone where 4 diamond drill holes in 1966 totaling
342 meters returned average grades of 0.85% Ni and 0.67% Cu.
DDH66-3 was stopped at a depth of 121 meters (the deepest hole
drilled from surface) even though it encountered visible massive
sulphides in the final meter of the hole (W. M. Sharp, P.Eng., Nov.
1966).
During the original discovery through backpack drilling in 1965,
one drill hole was "lost" at approximately 28 meters and graded
2.05% Ni and 0.92% Cu between 18 meters and 27.5
meters with core recovery of just 67%.
450-Metre Adit Of Great Value To Garibaldi
In 1970, Sumitomo Metal Mining Corp. drove a 450-meter tunnel
approximately 550 meters due south of the E&L surface showings
in an attempt to intersect the mineralized zones from underground.
Seven drill holes from two underground stations tested for
mineralization 390 meters below the surface outcrop.
The gabbro host rocks were found to extend down to the adit
level but only low-grade mineralization was intersected in the
holes, inferring that the pipe-like structures plunged further to
the west than was originally assumed. Evidence supporting this
theory comes from the final two holes in 1970 that started to trace
the mineralization to the west. They were stopped before completion
because of serious snow conditions which forced the closing down of
the camp for that particular year. Since then, no drill holes have
been completed at E&L, though the claims remained under
ownership of Silver Standard until two years ago near the bottom of
the recent bear market in the resource sector.
The historical adit is a huge bonus for cost effective,
strategic exploration through the application of modern geophysics,
including downhole probes, and potential fresh underground
drilling.
Sampling Supports Historical Values
Near the end of September, a Garibaldi crew carried out channel
sampling over a section of undisturbed outcrop of magmatic massive
to semi-massive pentlandite, chalcopyrite, pyrrhotite and bornite
in the Northwest zone. Samples are currently being analyzed and
results are expected this month.
Meanwhile, a total of 4 grab samples from three zones
(Northwest, Central and Southeast) over 250 meters returned values
of 2.51% Ni and 1.80% Cu (Northwest, chip sample
2626), 1.13% Ni and 1.09% Cu (Central, chip sample
3697), 4.60% Ni and 1.86% Cu (Southeast, float sample
3695), and 2.55% Ni and 2.04% Cu (Southeast, float
sample 3696). Garibaldi cautions investors that grab samples are
selective samples and are not representative of the mineralization
hosted on the property.
Location
The E&L deposit is situated in the heart of a key area of
the Golden Triangle where ongoing infrastructure improvements
continue to advance at a rapid pace while Pretium's high-grade
Brucejack Gold mine pushes toward the start of commercial
production in the second half of 2017. Increasing exploration
activity in the pursuit of new world class deposits in this richly
endowed district continues to escalate as receding glaciers expose
new surface mineralization throughout the region, including Nickel
Mountain.
The E&L is 28 km southeast of the past producing Snip mine,
18 km southwest of Eskay Creek, 27
km northwest of Seabridge Gold's KSM deposit, and 32 km northwest
of Brucejack. The E&L adjoins the eastern boundary of Colorado
Resources' KSP Project and the northern boundary of Metallis
Resources' Kirkham Property.
Garibaldi Expands E&L To 21 Sq. Km
Recognizing the potential significance of the "Q" Anomaly below
the E&L deposit, Garibaldi has seized the opportunity to expand
the land package three-fold to 21 sq. km with the addition of 1,473
hectares of claims contiguous to the eastern and northern
boundaries of the previous configuration. Garibaldi has acquired a
100% interest in these new claims in exchange for a cash payment of
$15,000 CDN and 150,000 shares of the
Company.
With its E&L, Palm Springs and King projects, Garibaldi now
controls nearly 170 sq. km in this prolific region of the Golden
Triangle. In addition to priorities concerning the E&L, the
company is currently compiling data from third quarter work
programs at Palm Springs and King and eagerly anticipates reporting
on progress at these properties in the coming weeks, along with
updates on other promising projects elsewhere in B.C. and
Mexico.
The "Q" Map
Please visit GaribaldiResources.com or the following URL for an
E&L map featuring the "Q":
http://www.garibaldiresources.com/i/maps/The-Q-at-EL_Ni-Cu-Au_Deposit_Map.pdf
Why GGI? Video
Garibaldi is also pleased to announce the release of an updated
short corporate video. You can view the video on the
GaribaldiResources.com homepage or by visiting the following
URL:
http://www.garibaldiresources.com/s/Media.asp#video
Qualified Person
Mr. John Buckle, P.Geo.,
P.Geoph., a Qualified Person as defined by NI 43-101, has reviewed
and approved the scientific and technical disclosure in this news
release.
About Garibaldi
Garibaldi Resources Corp. is an active Canadian-based junior
exploration company focused on creating shareholder value through
discoveries and strategic development of its assets in some of the
most prolific mining regions in Mexico and British
Columbia.
We seek safe harbor.
GARIBALDI RESOURCES CORP.
Per: "Steve Regoci"
Steve Regoci, President
Neither the TSX Venture Exchange nor its Regulation Services
Provider accepts responsibility for the adequacy or the accuracy of
this release.
SOURCE Garibaldi Resources Corp.