London, Ontario – TheNewswire – March 2, 2021 – Goldseek Resources Inc. (CSE:GSK) (CNSX:GSK.CN) (“Goldseek” or the “Company”) is pleased to announce that it has entered into an option agreement (the “Agreement”) to acquire 100% of the Beschefer property (“Beschefer” or “Beschefer Project”), from Wallbridge Mining Company Limited. (“Wallbridge” – TSX:WM”). The Beschefer Project is an advanced gold exploration property located approximately 30 kilometres southwest of Wallbridge’s Fenelon Gold property (“Fenelon Gold”).
- Advanced gold exploration project with significant near-term resource potential
- Highlights of the best intersections include 55.63 g/t gold over 5.57 metres in hole BE13-038 (including 224 g/t over 1.23m), 13.07 g/t gold over 8.75 metres in hole B12-014 (including 58.5 g/t over 1.5m), 3.56 g/t gold over 28.4 metres in hole B14-006 (including 7.42 g/t over 5.5m), 10.28 g/t gold over 8.00 metres in hole B14-35 (including 86.74 g/t over 0.60m), and 12.40 g/t gold over 3.78 metres in hole B11-003. True width in these sections vary between 89% and 99% of the intercepted width.
- The mineralizations shows high grade gold bearing structures hosted in a lower grade envelope, which highlight the regional potential along the already defined shear zones located on the Beschefer Project.
- Continuous large-scale gold-bearing structure (B-14 Zone) with known continuity and additional known parallel mineralized shear zones.
- Borders Goldseek’s Southern Arm Project.
- Located in a favorable orogenic gold setting 45 km northeast of the Casa Berardi Mine and 30 kilometres southwest of Wallbridge’s Fenelon Gold property.
- The Company has secured access to historical drill cores. A review of the gold-bearing zones will be completed, along with resampling that will be used for lithogeochemichal assaying and to produce polished and thin sections, allowing the technical team to better define alterations and mineralogy over the zones of interest.
Goldseek’s President & CEO Jon Deluce states, “We are very excited to announce the aquisition of the Beschefer Project. Beschefer will be our flagship project going forward which I believe is a great addition to help derisk our current strong grassroots portfolio. We believe this project has significant near-term resource potential and we will announce our exploration plans for 2021 shortly with our medium-term goal of a maiden resource estimate in 2022.”
About the Beschefer Project:
The Beschefer Project covers approximately 962 acres and is located in the Northern Abitibi Greenstone Belt, 14 km east of the past-producing polymetallic Selbaie Mine, 45 km northeast of the Casa Berardi Mine and 30 kilometres from Wallbridge’s Fenelon Gold property. Historically, the area has mainly been explored for volcanogenic massive sulfide deposits similar to the Matagami camp and the Selbaie Mine.
Gold mineralization was discovered in the B-14 Zone in 1995 by Billiton Canada Inc. and the Beschefer Project saw very limited exploration before the involvement by Excellon in 2011, which completed approximately 17,000 metres of drilling up to 2013. There has been limited exploration at Beschefer since 2013 with the exception of 1,600 meters drilled by Wallbridge in 2018.
A summary of historic drill hole results is reported in the table and also shown on the Figures below.
|Drill Hole||From||To||Length||True Width||Au||Zone||Year||Company|
|B14-35||204||212||8||7.28||10.28||B-14||1997||Les Mines Selbaie|
|including…||204.4||205||0.6||0.55||86.74||B-14||1997||Les Mines Selbaie|
|B14-6||156.1||184.1||28.4||28.22||3.56||B-14||1996||Les Mines Selbaie|
|including…||178.6||184.1||5.5||5.47||7.42||B-14||1996||Les Mines Selbaie|
|B14-4||159.9||160.7||0.8||0.79||16.94||B-14||1996||Les Mines Selbaie|
Figure 1: Beschefer Inclined Long Section
Figure 2: Beschefer Cross Section
Terms of the Agreement
The Option to acquire Beschefer (the “Option”) may be exercised by the Company by incurring and funding aggregate exploration expenditures on the project (“Expenditures”) in the following amounts and issuing common shares in the capital of the Company (“Common Shares”) to Wallbridge over a four-year period, as follows:
1. Incurring $3,000,000 in Expenditures as follows:
a. $500,000 on or before the first anniversary;
b. $1,250,000 accumulated total on or before the second anniversary;
c. $3,000,000 accumulated total on or before the fourth anniversary.
2. Issuing 4,283,672 Common Shares as follows:
a. 750,000 Common Shares promptly following execution of the Agreement;
b. 750,000 Common Shares on the first anniversary;
c. 750,000 Common Shares on the second anniversary;
d. 2,033,672 Common Shares on the fourth anniversary.
The Company may accelerate Expenditures and the Option will be effectively exercised when the Company has funded and incurred Expenditures which total C$3,000,000 and issued to Wallbridge 4,283,672 Common Shares. The Option and the issuance of the Common Shares is subject to the Company’s filing requirements with the Canadian Securities Exchange.
This press release was prepared by Steven Lauzier, VP Exploration for Quebec, P.Geo,OGQ, who is a qualified persons as defined under National Instrument 43-101, and who has reviewed and approved the geological information provided in this news release.
References to nearby projects such as the Casa Berardi Mine and Fenelon Gold project, are for informational purposes only and there are no assurances that the Company will receive the same results at Beschefer.
About Goldseek Resources Inc.
Goldseek Resources Inc. is a Canadian exploration company with a portfolio of assets in Ontario and Quebec, Canada. By identifying six projects in world-class mining locations, Goldseek is poised to deliver shareholder value through rigorous exploration and development on these properties. Our mission is to find the next major discovery in the mining camps of Urban Barry, Quevillon, Val D’Or, and Detour Gold Trend in Quebec and Hemlo in Ontario.
ON BEHALF OF THE BOARD
Chief Executive Officer
For more information, please contact:
Goldseek Resources Inc.
The reader is invited to visit Goldseek’s web site https://www.goldseekresources.com/
Neither the Canadian Securities Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain statements that may be deemed “forward-looking statements” with respect to the Company within the meaning of applicable securities laws, including statements with respect to the Company’s future plans and the acquisition of Beschefer. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, are subject to risks and uncertainties, and actual results or realities may differ materially from those in the forward-looking statements. Such material risks and uncertainties include, but are not limited to, the Company’s ability to obtain all requisite approvals, including approval of the Canadian Securities Exchange and securities regulatory authorities, if required for a transaction or financing, the Company’s ability to raise sufficient capital to fund its obligations under its property agreements going forward, to maintain its mineral tenures and concessions in good standing, to explore and develop Beschefer or its other projects and for general working capital purposes, changes in economic conditions or financial markets, the inherent hazards associates with mineral exploration, changes in general economic conditions, the ability of the Company to obtain the necessary permits and consents required to explore, drill and develop its projects and if obtained, to obtain such permits and consents in a timely fashion relative to the Company’s plans and business objectives for the projects, changes in environmental and other laws or regulations that could have an impact on the Company’s operations, compliance with environmental laws and regulations, aboriginal title claims and rights to consultation and accommodation, dependence on key management personnel and general competition in the mining industry. Forward-looking statements are based on the reasonable beliefs, estimates and opinions of the Company’s management on the date the statements are made. Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.