Crescat Capital Supports Ursa Programme
Snowline Gold Corp. (CSE: SGD) (US OTC: SNWGF) has attracted Crescat Capital LLC as a strategic investor in the company as part of a C$1 million non-brokered private placement of units issued by Snowline.
The proceeds of the offering will be used to advance the Ursa gold and base metals project, and fund a future 1,500 metre diamond drill programme.
“We are pleased to welcome Crescat as a strategic shareholder,” said Nikolas Matysek, Chief Executive Officer and Director of Snowline.
“Crescat’s investment is a compelling endorsement of our Ursa gold and base metals project in the Selwyn Basin, Yukon. The 14-kilometre base metals and parallel 9-kilometre gold trends are attractive targets that we are excited to begin exploring. This programme will add another dimension to Snowline as we continue to advance our neighbouring Einarson and Rogue projects.”
Quinton Hennigh, technical advisor to Snowline, said the companymhas one of the highest quality portfolios of early-stage projects of any junior company.
“One recent addition is the very exciting Ursa project, a very large, profound geochemical anomaly encompassing strongly elevated gold, zinc, silver, and other metals. Underlying rocks are dominantly sedimentary, so the prospect of finding a very large stratiform or stratabound base metal system is certainly possible.
“But, there is also clear evidence of Tintina style gold mineralization in the immediate area, so potential for such a gold system is also possible. Part of the proceeds of this placement will be dedicated to doing basic geophysics and other ground-based work to develop drill targets and undertake drilling at Ursa. We are very excited to start work on this programme this season.”
Crescat’s founder and Chief Investment Officer,Kevin Smith, his firm is thrilled to help fund the Ursa exploration programme with Snowline perhaps one of the most exciting collection of gold and multi-metallic drill targets in the Yukon today. “Nikolas Matysek and Scott Berdahl are a highly capable new generation management team with a strong family history in the mining industry. We expect very successful careers ahead for them.”
The proceeds of the Offering will be used to undertake an electromagnetic survey that will target potential sulphide mineralisation at Ursa. Further mapping, sampling, prospecting, and trenching will also build upon historical work. The Ursa work programme is planned to culminate in a first-pass 1,500 metre diamond drill programme to test the silver and base metal potential of the project.
The west side of the Ursa property covers a 14-kilometre trend of elevated to highly anomalous zinc, silver, copper, molybdenum, nickel, and vanadium thought to be associated with Devonian age enriched black shales. Of 45 historic stream sediment samples draining the length of the trend, 44 returned concentrations exceeding 0.1% Zn, with 8 of these samples exceeding 1% Zn to a maximum of 3.4% Zn. Historic, first-pass contour soil sampling along a subsection of the trend revealed a zone 500 m to 1,500 m wide wherein soils consistently exceed 5 g/t Ag. A 2.7 kilometre-long, 43-sample contour soil line within this subsection had a median concentration of 14.8 g/t (0.43 oz/ton) silver.
The east side of the Ursa property covers a 9-kilometre trend of elevated gold in stream sediments and soils in a sequence of heavily folded carbonaceous black shales and cherts. Gold was discovered in black shale hosted pyrite nodules by a previous operator searching for Carlin-style targets. The carbonaceous, passive margin shales in both areas have been compressed into a tight anticlinorium and later intruded in their vicinities by felsic plutons. At Ursa, these plutons are members of the Tombstone plutonic suite that drive the intrusion-related gold targets at Rogue. There has been very little, if any, previous exploration for this deposit type in the Selwyn Basin.
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