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
- Strongest Results to date. Lithium brines intercepted by
3rd drill hole at Clayton NE, CNE-16-03, showing a peak
values of 322 mg/l lithium, within 387.69 metres averaging 243.66
mg/l. These results are the strongest to date at Clayton NE and are
comparable to Albemarle's brine samples from their Silver Peak
mining operation immediately adjacent to Clayton NE;
- Potentially Untapped Aquifer. Hole CEN-16-03 is one of
the deepest boreholes drilled in the Clayton Valley and, based on
results obtained, may have hit a previously untapped aquifer;
- Very Strong brine flows. Brine flows of up to 100
gallons per minute issued from borehole CNE-16-03 between 350.76 to
436.92 metres. Geochemical analysis shows this zone carries
significant lithium concentrations. High brine flows are important
for economic production;
- 100% Drilling Success Rate and 3.43km mineralized brine
trend: All three holes, which are located 3.43km apart, contain
significant intervals of mineralized lithium brines;
- More Drilling Planned. Three more holes are already
permitted and the Company plans to complete these holes in 2017 to
continue building towards a resource in Nevada.
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
- Consists of 55 unpatented claims totaling approximately 1,080
acres (437 hectares);
- Clayton NE is subject to an option earn-in agreement where
Advantage Lithium can earn up to a 70% interest in the Project
after fulfilling CDN$3.0 million in
exploration expenditures on a package of five lithium properties
optioned from Nevada Sunrise (for further details, see Nevada
Sunrise news release dated June 20,
2016);
- Nevada Sunrise is the project manager at Clayton NE on behalf
of Advantage Lithium, the operator.
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