Otis Completes Kilgore Environmental Assessment
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct 8, 2014) - Otis Gold Corp. (TSX VENTURE:OOO)(OTCQX:OGLDF) ("Otis" or the "Company") is pleased to provide a permitting update in connection with its filed Plan of Operation (the "Plan") to construct approximately 1,200 metres of new roads and conduct drilling at approximately 16 sites into the untested "North Target" area at the Kilgore Gold Project, Clark County, Idaho. The Company is reports that the United States Forest Service has now completed an Environmental Assessment and filed a draft "Decision Memo and Finding of No Significant Impact". The completion of this documentation and posting of a Public Notice (posted on October 5, 2014) initiates a 45-day review period. Based on this timeline, Otis expects to receive an approved permit in late November.
Road Access Plans
Otis' Plan relates to the proposed construction of approximately 1,200 metres of new access roads to be built within the Caribou-Targhee National Forest. The proposed Plan includes a road network that will host a network of up to 16 drill sites to allow a first stage program of 4,000 to 7,000 metres of reverse circulation drilling slated for 2015. This new drilling may extend and expand the Kilgore Deposit along strike, as the last round of drilling conducted by Otis at the northern end of the deposit encountered +80 m to +100 m intercepts of over 1 g/t gold at the very edge of the drill pattern (see Otis January 17, 2013 news release).
States Otis President and CEO Craig Lindsay: "We are very pleased to report on this significant development in our permitting efforts at Kilgore. This Plan of Operation is an important next step in the development of the Kilgore Gold Project, and will put us in a position to further test the potential of expanding the Kilgore Deposit in the exciting and highly prospective North Target area."
Groundwater Study
Additionally, Otis announces the completion of a 12-month baseline study on the characterization of groundwater within and around the Kilgore Deposit. The water samples collected represent baseline conditions at the site. Information collected is essential to forecasting potential ecological impacts from mining. These baseline data become measurements against which future changes are compared, and are important in forecasting potential environmental issues in connection with future mining activities. Constituents in stream water draining the mineralized areas around the Kilgore deposit are geochemically, spatially, and temporally variable. Therefore, a one-year baseline of information is necessary, with water data collected on a monthly basis to factor out short-term fluctuations.
Groundwater collected from surface drainages around the deposit characterize parameters such as: pH, conductivity, hardness, total organic carbon, total dissolved and suspended solids, and the content of 16 naturally occurring elements within the water among other parameters. Samples were collected from a well site, several minor drainages, and intermittent springs in and around the deposit area. All samples and a control "blank" of deionized water (for QA/QC purposes) were submitted and analyzed at ALS Environmental Labs in Salt Lake City, Utah. Results of the study will be incorporated in future geochemical and toxicological modeling for mine planning at Kilgore. Insights gained from modeling of water data can be used to design appropriate mitigation and for economic planning of future mining activities. Additional baseline studies involving air quality and meteorological data are planned for 2015 to be conducted simultaneously with the planned drilling program.
Matrix Creek Update
Finally, Otis is pleased to confirm that the previously announced application for a 320 acre Idaho State Lease at its new Matrix Creek target at the Oakley Project, Cassia County, Idaho has now been granted. Further, Otis wishes to clarify its News Release dated September 18, 2014 in connection with 41 new "Matrix Creek" claims staked by Otis at the Oakley Project. Of these 41 claims, 10 fall within an Area of Mutual Interest ("AMI") negotiated with Radius Gold Inc. in connection with the Blue Hill Creek option agreement announced on July 14, 2014. All claims at Blue Hill Creek and Matrix Creek, within the AMI, are subject to an overriding 2.5% NSR. Otis is in the process of reviewing and assessing data and considering options to develop this emerging target.
The Qualified Person under National Instrument (NI 43‐101) Standards of Disclosure for Mineral Projects for this News Release is John R. Carden, Ph.D., Lic. Geo., who has reviewed and approved its technical content.
About The Company
Otis Gold Corp. is a Canadian-based mineral exploration company focused on the acquisition and development of quality precious metal deposits in Idaho, USA. Otis is currently developing its flagship property, the Kilgore Gold Project, located in Clark County, Idaho (approximately 60 miles north of Idaho Falls). Additionally, Otis is conducting exploration via a joint venture relationship at its Oakley Property in southern Cassia County, Idaho.
ON BEHALF OF THE BOARD
Craig T. Lindsay, President and CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release includes forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. 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 and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements. This news release does not constitute an offer to sell or a solicitation of an offer to sell any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
