September 11, 2017: Pistol Bay Mining Inc. (TSX-V - PST; Frankfurt - OQS2) (“Pistol Bay” or the “Company’) is pleased to provide an update of our activities for the past few months.
The Company has received the final results of a 2,100 line-kilometer helicopter-borne electromagnetic and magnetic survey of the eastern two-thirds of its properties in the Confederation Lake greenstone belt, covering a 40- kilometer length of the belt. The survey was carried out by Geotech Ltd., using its VTEM Plus™ system. Geotech is an industry leader in airborne electromagnetic surveying, and the VTEM Plus™ system has successfully detected conductive zones at depths of several hundred meters. The latest versions of VTEM have succeeded in detecting an “IP Effect” response, which is capable of responding to disseminated sulphides. Horizontal gradient magnetometers allow the creation of “gradient-enhanced magnetic” grids, which give resolution of fine structural details, at a level that would have required a closer line spacing in previous single-magnetometer airborne surveys.
After reviewing the survey data with the Company’s consulting geophysicist, Jeremy S Brett of MPH Consulting Limited, the following observations were made:
-- Conductive responses were confirmed at all historic showings, zones and mineralized drill intersections;
-- There are conductive extensions of several known zones, beyond sections that have been drilled in the past;
-- There are untested conductors on strike with known mineralized zones or occurrences;
-- There are new clusters of conductors, away from any known mineralization, that are in areas of favorable geology, and constitute new target areas;
-- Numerous IP effect anomalies have been identified, either as separate anomalies or as extensions of conductors.
Appraisal of targets from the VTEM Plus™ survey is continuing. The database of whole-rock chemical analyses, inherited from Noranda by Tribute Minerals Inc., is an important tool in evaluating anomalies, because it can highlight areas of favorable geology and hydrothermal alteration.
Charles Desjardins, CEO of Pistol Bay, commented “this is an exciting time for Pistol Bay. We are working to develop and prioritize targets for ground follow-up and drill testing. Because of the large number of potential targets generated by the VTEM survey, we are considering inviting joint venture partners for all or parts of the Confederation Lake project. We have had early-stage discussions with potential joint venture partners. Once we’ve got our targets finalized, we will be entertaining proposals for joint ventures to advance this highly prospective property.”
In another development, the Company has received a new NI43-101 technical report on the Garnet Lake property (which includes the Fredart and Lucky 7 claim groups). The report includes a new Inferred Mineral Resource for the Arrow Zone: 2,100,000 tonnes with average grades of 5.78% zinc, 0.72% copper, 0.60 grams per tonne (g/t) gold and 19.5 g/t silver. The resource is based on a cutoff grade of 3% zinc equivalent, and a 3 metre minimum true width. The technical report recommends 2,000 metres of diamond drilling to test for possible down-plunge extensions of the Arrow Zone. The report can be viewed under the Company’s profile on www.sedar.com.
The Fredart “A” zone has a historical resource of 368,000 tonnes grading 1.56% copper and 33.6 g/t silver. The method used to calculate that resource is not disclosed sufficiently in historic reports to allocate that resource estimate to any of the current accepted categories of mineral resource or mineral reserve. No Qualified Person has reviewed the resource to assess its quality or relevance. As a historic estimate, it should not be relied on. Several of the historic drill holes in the Fredart “A” zone reported substantial widths – drill hole FA1966-15 reportedly cut 40.42 meters averaging 1.40% copper and 21.1 g/t silver, including a higher grade section of 16.22 meters grading 2.67% copper and 48.3 g/t silver.
Technical information in this news release has been provided or approved by Colin Bowdidge, Ph.D., P.Geo., a Qualified Person as the term is defined in National Instrument 43-101 and consulting geologist for Pistol Bay.
About Pistol Bay Mining Inc.
Pistol Bay Mining Inc. is a diversified Junior Canadian Mineral Exploration Company with a focus on zinc and base metal properties in North America. For additional information please visit the Company website at www.pistolbaymininginc.com or contact Charles Desjardins at email@example.com.
On Behalf of the Board of Directors
PISTOL BAY MINING INC.
President and Director
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. Cautionary note: This report contains forward looking statements. Resource estimates, unless specifically noted, are considered speculative. Any and all other resource or reserve estimates are historical in nature, and should not be relied upon. By their nature, forward looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Cautionary Note to US investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as "reserves" unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.