TSXV: NEV
VANCOUVER, Dec. 21, 2016 /CNW/ - Nevada Sunrise Gold Corporation ("Nevada Sunrise" or the "Company") (TSXV: NEV) and its exploration partner, Advantage Lithium Corp. ("Advantage Lithium") (TSXV: AAL) are pleased to announce the best lithium brine drilling results to date from the third borehole of the 2016 drilling program at the Clayton Northeast lithium project in the Clayton Valley, Nevada ("Clayton NE", or the "Project"). This follows successful results from the first and second boreholes (see Nevada Sunrise news releases dated November 1, 2016, and December 5, 2016). Clayton NE borders the Silver Peak mine operated by Albemarle Corporation ("Albemarle") (NYSE: ALB), North America's only producing lithium mine. Hole CNE-16-03, drilled to a total depth of 591.3 metres (1,940 feet) has intersected multiple aquifer formations, including 387.69 metres of brine-producing strata averaging 243.66 milligrams per litre ("mg/l") lithium from a depth of 209.23 to 596.92 metres, including a higher grade interval averaging 299.5 mg/l lithium over 36.92 metres.
"Our third borehole at Clayton NE has provided the highest lithium concentrations of the 2016 drilling program," said Warren Stanyer, President and CEO of Nevada Sunrise. "Our exploration team has successfully drilled one of the deepest boreholes in the Clayton Valley and as a result may have intersected a previously-untapped aquifer system."
Highlights of the 2016 Drilling Program
CNE-16-03 – Technical Details
CNE-16-03 was completed to a depth of 591.3 metres (1,940 feet), intersecting the base of the Clayton Valley salar sedimentary basin at 584.62 metres. Drilling has intersected typical Clayton Valley strata consisting of alternating layers of gravel, volcanic ash and clay. A total of 62 grab groundwater samples were collected as brine-bearing formations were encountered. Table 1 presents a compiled summary of the depths of the aquifer systems with brine interval thickness and associated average lithium grades and TDS concentrations. Anomalous lithium results with average concentration of 243.66 mg/l were obtained from brine-bearing formations intersected over a 387.69 metre section (from 209.23 to 596.92 metres) within the Main Ash, Lower Aquifer System, and Lower Gravel Aquifer. The highest grade results were obtained in the Lower Aquifer System with peaks up to 322 mg/l lithium (332.31 to 338.46 metres), and in the deeper Lower Gravel Aquifer, with peaks up to 316 mg/l (504.62 to 510.77 metres). In addition, drill cuttings were collected for each 1.5 metre interval and have been submitted for analysis. Analytical results for the drill cuttings are pending.
Table 1: Results of Brine Samples for CNE-16-03
| Drill Hole |
Aquifer System |
Interval |
Total Dissolved Solids
("TDS") mg/l |
Lithium
Range (mg/l) |
Lithium
Average Grade (mg/l) |
||
| From (metres) |
To (metres) |
Width (metres) |
|||||
| CNE-16-03 |
Main Ash |
209.23 |
246.15 |
36.92 |
72,150 to 84,970 |
114 to 130 |
124.33 |
| Lower Aquifer System |
246.15 |
436.92 |
190.77 |
87,400 to 199,000 |
139 to 322 |
267.71 |
|
| including |
313.85 |
350.77 |
36.92 |
137,000 to 181,000 |
279 to 322 |
299.50 |
|
| Lower Gravel Aquifer |
436.92 |
596.92 |
160.00 |
120,000 to 165,000 |
181 to 316 |
268.17 |
|
| including |
461.54 |
526.15 |
73.85 |
126,000 to 165,000 |
268 to 316 |
295.80 |
|
Table 2: Results of Brine Samples for CNE-16-01 and CNE-16-02
| Drill Hole |
Aquifer System |
Interval |
Total Dissolved Solids
("TDS") mg/l |
Lithium
Range (mg/l) |
Lithium
Average Grade (mg/l) |
||
| From (metres) |
To (metres) |
Width (metres) |
|||||
| CNE-16-01 |
Main Ash |
168.6 |
170.1 |
1.5 |
68,000 |
94.3 |
94.3 |
| Lower Aquifer System A |
224.0 |
243.8 |
19.8 |
110,000 |
195 to 218 |
209.7 |
|
| Lower Aquifer System B |
326.1 |
365.8 |
39.7 |
130,000 to 140,000 |
174 to 189 |
181.5 |
|
| Lower Gravel Aquifer |
396.2 |
499.9 |
103.7 |
35,000 to 190,000 |
72.4 to 234 |
134.8 |
|
| including |
457.2 |
481.6 |
24.4 |
58,000 to 190,000 |
72.4 to 234 |
187.5 |
|
| CNE-16-02 |
Main Ash |
190.5 |
199.6 |
9.1 |
No Water |
||
| Lower Aquifer System |
207.3 |
396.2 |
188.9 |
50,000 to 380,000 |
72.4 to 228 |
164.2 |
|
| including |
286.5 |
396.2 |
109.7 |
140,000 to 380,000 |
151 to 227 |
202.8 |
|
Geochemical results for lithium are reported in mg/l rather than parts per million ("ppm") as mg/l is deemed conventional for reporting values of dissolved metals and salts in fluids. Variances in specific gravity of fluids will influence geochemical results if converted from mg/l to ppm. Previously reported values for holes CNE-16-01 and CNE-16-02 are now reported in mg/l as received from the laboratory.
Regarding Sample Analysis
Groundwater grab samples were sent to Western Environmental Testing Laboratory in Reno, Nevada for analysis. General chemistry testing included analysis for specific gravity, total hardness and alkalinity, bicarbonate, carbonate, hydroxide, TDS and electrical conductivity. Anions (chloride, sulfate) were analyzed by ion chromatography. Trace metals (lithium, magnesium, boron, calcium, potassium and sodium) were analyzed by ICP-OES. TDS values obtained in the field are measured with a handheld YSI Model 556 Multiparameter Meter, which meets Good Laboratory Practice (as proscribed by the Organization for Economic Cooperation and Development) for calibration and measurement. All depth measurements reported, including sample and interval widths are down-hole. As holes are oriented vertical and geologic stratigraphy is primarily horizontal to sub-horizontal. Downhole measurements are assumed to be close to true thickness.
About the Program
The 2016 exploration drilling program includes three vertical oriented conventional dual-tube reverse circulation drill holes totaling approximately 1,530 metres (approximately 5,020 feet), focussed on lithium brine targets close to the Silver Peak mine border and several of Albemarle's production wells. Analyses from Clayton NE drill holes have shown a relationship of TDS to lithium grade indicating a correlation between higher lithium values and higher strength brine. The lithium results from the first two boreholes of the 2016 drilling program are generally comparable to Albemarle's brine samples from Silver Peak mine production wells as reported to the State of Nevada for the period 2011-2015, which range from 98 mg/l to 340 mg/l lithium.
Robert M. Allender, Jr., CPG, RG, SME is the Company's designated Qualified Person for this news release within the meaning of National Instrument 43-101 and has reviewed and approved the technical information contained herein.
About Clayton NE
For further information about the Company's exploration properties, please access the Nevada Sunrise website at: http://www.nevadasunrise.ca/projects/nevadalithium/
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 nine mineral exploration projects in the State of Nevada, USA. Nevada Sunrise began acquisitions of Nevada lithium properties in September 2015, which include options to earn a 75% interest in the Neptune project (Resolve Ventures Inc. (TSXV: RSV) owns a 25% interest), a 100% interest in the Clayton Northeast project, and a 100% interest in the Aquarius Project, all located in the Clayton Valley area. The Company also holds options to earn 100% interests in the Jackson Wash and Atlantis projects, and has a 50% participating interest in the Gemini project, each located in playas proximal to the Clayton Valley. The Company has recently optioned five of the Nevada lithium projects to Advantage Lithium Corp. (TSXV: AAL), and the Atlantis project is currently under option to American Lithium Corp. (TSXV: LI).
The Company's three key gold assets include a 21% interest in a joint venture with Pilot Gold Inc. (TSX: PLG) at Kinsley Mountain near Wendover, a 100% interest in the Golden Arrow project near Tonopah, and an option to earn a 100% interest in the Roulette gold property in the southeastern Carlin trend near Ely, with each of the properties subject to certain production royalties.
FORWARD LOOKING STATEMENTS
All statements in this release, other than statements of historical fact, are "forward-looking information" with respect to Nevada Sunrise Gold Corporation ("Nevada Sunrise") within the meaning of applicable Canadian securities laws, including statements that address the properties transaction with Advantage Lithium Corp., the successful transfer of Place of Use and Point of Diversion of water rights, proposed exploration and development of our exploration properties and the estimation of mineral resources. Forward-looking information is often, but not always, identified by the use of words such as "seek", "anticipate", "plan", "continue", "estimate", "expect", "project", "predict", "potential", "targeting", "intends", "believe", "potential", and similar expressions, or describes a "goal", or variation of such words and phrases or state that certain actions, events or results "may", "should", "could", "would", "might" or "will" be taken, occur or be achieved. These statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Nevada Sunrise to differ materially from those anticipated in such forward-looking information.
Such factors include, among others, risks related to the interpretation of historical exploration and actual results of current exploration by Nevada Sunrise at its lithium properties; reliance on technical information provided by third parties on any of our exploration properties, including access to historical information on its lithium properties; current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labor disputes and other risks of the mining industry; delays in obtaining governmental approvals, financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company's Management Discussion and Analysis for the Nine Months ended June 30, 2016, which is available under Company's SEDAR profile at www.sedar.com.
Although Nevada Sunrise has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Nevada Sunrise disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.
Forward-looking statements are made as of the date hereof and accordingly are subject to change after such date. Except as otherwise indicated by Nevada Sunrise, these statements do not reflect the potential impact of any non-recurring or other special items or of any dispositions, monetizations, mergers, acquisitions, other business combinations or other transactions that may be announced or that may occur after the date hereof. Forward-looking statements are provided for the purpose of providing information about management's current expectations and plans and allowing investors and others to get a better understanding of our operating environment. Nevada Sunrise does not undertake to update any forward-looking statements that are included in this document, except in accordance with applicable securities laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of TSX Venture Exchange) accepts responsibility for the adequacy of accuracy of this release. The Securities of Nevada Sunrise Gold Corporation have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to the account or benefit of any U.S. person.
SOURCE Nevada Sunrise Gold Corporation
Warren Stanyer, President and Chief Executive Officer, Telephone: (604) 428-8028 Facsimile: (604) 484-7143, Email: [email protected], Website: www.nevadasunrise.ca
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