Generation Mining begins MT surveys on the Marathon Palladium Property
TORONTO, June 17, 2020 - Generation Mining Ltd. (CSE:GENM) (“Gen Mining” or the “Company”) is pleased to announce the engagement of Quantec Geoscience Limited to complete a Spartan Magnetotelluric (MT) geophysical survey over portions of the Company’s Marathon Property. The survey will be targeting down dip extensions to palladium enrichment zones at the W-Horizon as well as the large, high velocity seismic anomaly near the Sally Deposit. MT surveys have been very successful in delineating platinum group element (PGE) and massive sulfide mineralization at various prospects in Northwestern Ontario, yet, to date, no MT surveys have been employed on the Marathon Property. These successes include several significant PGE/Cu drill intersections at the Impala Platinum (North American Palladium) and Transition Metals’ Sunday Lake property, targeting conductive sources from a 2018-19 Quantec Spartan MT survey.
The Spartan MT survey has two main objectives:
- To provide deep resistivity imaging over a portion of the W-Horizon and its presumed down dip extension to the west of the Marathon Deposit resource. The W-Horizon constitutes a portion of the Marathon Deposit resource and is recognized in the scientific literature as a zone of extreme palladium enrichment. The Spartan MT survey will facilitate geologic correlation and map potential structures which may have provided a locus for mineralization. The survey has the potential to delineate drill targets down dip and to the west of the Marathon Deposit resource which is the subject of an ongoing feasibility study.
- To provide resistivity imaging on a broader scale of the Sally Deposit and environs. Of specific interest is a large high velocity seismic anomaly that extends at depth from the Sally Deposit. The anomaly continues into the Archean footwall which constitutes a previously unexplored area for PGE and copper mineralization. The velocity anomaly when projected to surface coincides with a reversely polarized magnetic trend, which is used as an exploration tool to identify prospective lithologies. Previous exploration on surface at the Sally area in 2014 yielded a number of high-grade surface samples, including one grading 188.2 g/t PGE, 9.1% copper and 0.60% nickel.
The Company plans to follow up the MT survey with a minimum of 5,000 metres of drilling, which could potentially be expanded depending upon results.
The Company is well financed for the next phases of work, including the upcoming feasibility study and the restart of the permitting process at the Marathon Palladium Project, with approximately $13.9 million in cash.
About the Marathon Palladium Project
The Marathon Deposit is the largest undeveloped platinum group metal Mineral Resource in North America. The Marathon Property covers a land package of approximately 22,000 hectares, or 220 square kilometres. Gen Mining acquired a 51% interest in the Marathon Property from Sibanye Stillwater on July 10, 2019 and can increase its interest to 80 per cent by spending $10 million over a period of four years. As of Q1, 2020, approximately $4 million of the $10 million has already been spent. Sibanye Stillwater has certain back-in rights that can bring its interest in the Property back to 51 per cent after such time as Gen Mining has earned its 80-per-cent interest (see the Company's press release of July 11, 2019, for more details).
Qualified Person
Rod Thomas, P.Geo., Company Vice-President, Exploration and a Director has reviewed and approved the scientific and technical information contained in this news release. Mr. Thomas is a Qualified Person for the purposes of National Instrument 43-101 Standards of Disclosure for Mineral Projects.
For further information please contact:
Jamie Levy
President and Chief Executive
Officer
(416) 640-2934
(416) 567-2440
jlevy@genmining.com
Forward-Looking Information
This news release includes certain information that may be deemed “forward-looking information” under applicable securities laws. All statements in this release, other than statements of historical facts, that address acquisition of the Property and future work thereon, Mineral Resource and Reserve potential, exploration activities and events or developments that the Company expects is forward-looking information. Although the Company believes the expectations expressed in such 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 the statements. There are certain factors that could cause actual results to differ materially from those in the forward-looking information. These include the results of the Company’s due diligence investigations, market prices, exploration successes, continued availability of capital and financing, and general economic, market or business conditions.
Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking information. For more information on the Company, investors are encouraged to review the Company’s public filings at www.sedar.com. The Company disclaims any intention or obligation to update or revise any forward- looking information, whether as a result of new information, future events or otherwise, other than as required by law.
Photos accompanying this announcement are available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/0419b286-a0b4-438c-921d-b41138d82ab1
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