TSXV: GGI
OTC: GGIFF
Frankfurt: RQM
VANCOUVER, Sept. 1, 2017 /CNW/ - Garibaldi Resources
(TSX.V: GGI) (the "Company" or "Garibaldi") is pleased to report
that the Company has intersected two long intervals of
nickel-copper sulphide mineralization totaling 176 meters and
consisting of pyrrhotite-pentlandite-chalcopyrite in the first
drill hole at its 100%-owned E&L Project at Nickel Mountain
near Eskay Creek. Drilling of the second hole begins
imminently.
Significantly, borehole EL-17-01 was drilled away from the
historic mineralized zones into a previously untested area in order
to provide the best immediate platform for SJ Geophysics' Volterra
borehole EM survey as it gauges the orientation of conductor
"D". This new discovery convincingly expands the scale of the
mineralizing system eastward from the high tenor E&L
mineralization and beyond the historic estimates from 12 shallow
holes drilled by Silver Standard in the 1960's. The down-hole
survey will be completed for each drill hole and is expected to
provide a reliable vector to the interpreted massive sulphide
body.
Additional highlights of the first drill hole:
- EL-17-01 entered mineralized gabbro beginning at a depth of 51
meters with disseminated sulphides continuing to 169.5 meters. A
second section of disseminated sulphides started at a depth of
274.5 meters and continued to 332 meters. Meter-scale intervals of
up to 30% sulphides at the base of the intercept occur as heavy
disseminations, net-textures and gash veins;
- EL-17-01 remained in the E&L Intrusive Complex (ELIC) from
the collar to the end of the hole at a depth of 441 meters;
- Core is being processed and assays will be reported as soon as
possible.
Dr. Peter Lightfoot, an
internationally recognized nickel sulphide expert and a technical
advisor for Garibaldi, commented: "The first borehole
encountered a sequence of rock types varying from ultramafic
through chaotic-textured olivine gabbro and leucogabbro.
Magmatic-textured sulphides with blebby disseminated sulphides
occur in association with all rock types except for the
leucogabbro.
"The range in rock types, including the chaotic-textured rock
types at E&L, are similar to those found in other global
examples of nickel sulphide deposits hosted by small intrusions
that provided very efficient 'magma highways' from the mantle," Dr.
Lightfoot concluded.
True widths of the mineralized zones intersected in the first
hole are unknown at this time.
GGI Accelerates Nickel Mountain Program
Garibaldi is pleased to announce that it has arranged a
non-brokered private placement to raise total gross proceeds of
$6,000,000 (CDN). The fully subscribed financing is
expected to close by no later than September
15, 2017.
Private Placement Details
Garibaldi will issue 2,307,697 units at 65 cents per share (gross proceeds of
$1,500,000) and 5,999,999
flow-through units at 75 cents per
share (gross proceeds of $4,500,000).
Each common share unit at 65 cents
comprises one common share in the capital of the Company and one
full non-transferable share purchase warrant. Each warrant is
exercisable into one common share at a price of 90 cents for a period of two years.
Each flow-through unit at 75 cents
contains one flow-through and one-half of a non-transferable share
purchase warrant. Each full warrant is exercisable into one
common share in the capital of the Company at a price of
90 cents per share for a period of
two years.
All units from the private placement are subject to a 4-month
hold period from the date of issuance.
The financing will include finder's fee commissions and is
subject to TSX Venture approval. The proceeds from the
flow-through financing will be used to advance the E&L Nickel
Mountain Project and other Garibaldi properties in the Eskay Camp
and elsewhere in British Columbia. Proceeds from the
non-flow-through financing are intended to be put toward advancing
the Company's gold and silver properties in Mexico, and for general corporate
purposes.
Eskay Camp Area Map
To view the location of the E&L Project, Garibaldi's other
large landholdings in the Eskay Camp, and properties of all other
companies in this prolific district, please visit GGI's web site or
the following URL:
http://www.garibaldiresources.com/i/photos/king/GGI-Aug-25-Eskay-Camp-Area-Map.jpg
Qualified Person
Mr. Everett F. Makela, P.Geo.,
Director and VP Exploration Canada for the Company, a Qualified
Person as defined by NI-43-101, has reviewed and approved the
scientific and technical disclosure in this news release.
Quality Assurance/Quality Control (QA/QC) and Analytical
Method
All sample batches will include 5% QA/QC samples consisting of
blanks, standards and field duplicates or twins, submitted to SGS
Canada Inc. in Vancouver, British Columbia, for base
metal and precious metal analysis using Inductively Coupled Plasma
(ICP), Fire Assay (FA) and Atomic Absorption (AA) methods.
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.