Apex Resources Announces Updated Resource Estimate on Former Kena Project
July 19, 2021 - Apex Resources Inc. ("Apex") (TSXV:APX) (OTC:SLMLF) announces an updated NI43-101 resource estimate for its former Kena Project consisting of the Kena and Daylight Properties, located in the Nelson Mining District of southeastern British Columbia. The current resource estimate was triggered by Apex's News Release dated April 11, 2013. In its April 11, 2013 news release the Company disclosed an increase in mineral resources on its Kena Project related to a resource update reported by the Company's joint venture partner. That disclosure was not supported by an independent technical report issued by Apex. This updated report was completed by Moose Mountain Technical Services ("Moose Mountain" or "MMTS"). The study was a total project review that included all recent and historic drilling on the properties. Using a cut off grade of 0.25 grams per tonne (g/t) the report shows 561,900 ounces of gold in the indicated category as well as an additional 2,773,100 ounces of gold in the inferred category. The study has an effective date of April 7, 2021.
Table 1 below summarizes the total model resource for the Kena Project at cut-off grades ranging from 0.1 g/t to 1.0 g/t. Using a gold price of US$1,600/oz the base case cut-off grade within the "reasonable prospects of eventual economic extraction" constraining pit is 0.25 g/t gold (Au), as highlighted in Table 1.
Table 1 Kena Mineral Resource Estimate - Total Project (effective date: April 7, 2021)
----------------------------------------------------
|Class |Cut-off |Tonnage |Au |NSR |Au Metal|
| |----------------------------------------|
| |Au (gpt)|(ktonnes)|(gpt)|(CDN$)|(Koz) |
|--------------------------------------------------|
|Indicated|0.1 |44,006 |0.449|34.51 |635 |
| |----------------------------------------|
| |0.15 |41,895 |0.465|35.69 |625.7 |
| |----------------------------------------|
| |0.2 |37,663 |0.497|38.09 |602.0 |
| |----------------------------------------|
| |0.25 |32,146 |0.544|41.48 |561.9 |
| |----------------------------------------|
| |0.3 |26,274 |0.604|45.78 |510.2 |
| |----------------------------------------|
| |0.5 |11,863 |0.869|65.92 |331.4 |
| |----------------------------------------|
| |1 |2,662 |1.526|113.34|130.6 |
|--------------------------------------------------|
|Inferred |0.1 |348,491 |0.330|23.78 |3,697 |
| |----------------------------------------|
| |0.15 |281,957 |0.378|27.59 |3,428.2 |
| |----------------------------------------|
| |0.2 |223,301 |0.432|31.56 |3,103.0 |
| |----------------------------------------|
| |0.25 |177,508 |0.486|35.57 |2,773.1 |
| |----------------------------------------|
| |0.3 |135,814 |0.552|40.83 |2,410.1 |
| |----------------------------------------|
| |0.5 |53,060 |0.813|61.33 |1,386.7 |
| |----------------------------------------|
| |1 |9,136 |1.588|115.44|466.4 |
----------------------------------------------------
The results agree favourably with results of the 2013 resource estimate that triggered this study. The 2013 study was carried out when the gold price was lower so a cut off grade of 0.30 g/t was used. The 2013 total resource figures for the Kena Project are summarized in Table 2 below, with the base case cutoff grade highlighted.
Table 2 Previous Kena Mineral Resource Estimate (2013)
----------------------------------------------------
|Class |Cut-off |Tonnage |Au |NSR |Au Metal|
| |----------------------------------------|
| |Au (gpt)|(ktonnes)|(gpt)|(CDN$)|(Koz) |
|--------------------------------------------------|
|Indicated|0.1 |44,006 |0.449|34.51 |635 |
| |----------------------------------------|
| |0.15 |41,895 |0.465|35.69 |625.7 |
| |----------------------------------------|
| |0.2 |37,663 |0.497|38.09 |602.0 |
| |----------------------------------------|
| |0.25 |32,146 |0.544|41.48 |561.9 |
| |----------------------------------------|
| |0.3 |26,274 |0.604|45.78 |510.2 |
| |----------------------------------------|
| |0.5 |11,863 |0.869|65.92 |331.4 |
| |----------------------------------------|
| |1 |2,662 |1.526|113.34|130.6 |
|--------------------------------------------------|
|Inferred |0.1 |348,491 |0.330|23.78 |3,697 |
| |----------------------------------------|
| |0.15 |281,957 |0.378|27.59 |3,428.2 |
| |----------------------------------------|
| |0.2 |223,301 |0.432|31.56 |3,103.0 |
| |----------------------------------------|
| |0.25 |177,508 |0.486|35.57 |2,773.1 |
| |----------------------------------------|
| |0.3 |135,814 |0.552|40.83 |2,410.1 |
| |----------------------------------------|
| |0.5 |53,060 |0.813|61.33 |1,386.7 |
| |----------------------------------------|
| |1 |9,136 |1.588|115.44|466.4 |
----------------------------------------------------
At the respective base case cutoff grades, the indicated gold metal resource in the 2021 estimate is 13% higher than the 2013 estimate (1-2013/2021) and the inferred gold metal resource is 50% higher than in 2013. The higher resource estimate in 2021 is due to the difference in cutoff grade, updated geologic interpretations and primarily due to the fact that the study was a total project resource estimate. The 2021 study included the recent 2017 drilling on the Daylight property and historic drilling on the Great Eastern, Great Western, Kena Copper and Gold South zones. The 2013 resource estimate was confined to the Kena Gold and Gold Mountain zones.
The updated Technical Report was prepared by Sue Bird, P.Eng., a Geological Engineer with Moose Mountain Technical Services. Sue Bird is a Qualified Person as defined in National Instrument 43-101 Standards of Disclosure for Mineral Projects (NI 43-101) and has reviewed and approved the contents of this news release.
The updated NI43-101 report has been submitted to the BC Securities Commission for approval. If approved, the report will be filed on Sedar.
Arthur G. Troup, P.Eng., Geological
President and CEO
For further information please contact:
Marc Lee, Investor and Corporate Communications
Tel: (604) 628-0519 Fax: (604) 628-0446
Email: mlee@apxresources.com or info@apxresources.com
This release was prepared by Apex's management. Neither TSX Venture Exchange nor its Regulation Services Provider (as the 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 certain statements that may be deemed "forward-looking statements." All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that Apex expects are forward-looking statements. Although Apex 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 the 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, and 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 those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on Apex, investors should review Apex's filings that are available at www.sedar.com or Apex's website at www.apxresources.com.
