Vancouver, British Columbia, April 21, 2022: Nevada Sunrise Gold Corp. (“Nevada Sunrise”, or the “Company”) (TSXV: NEV) is pleased to announce that lithium mineralization has been intersected over significant widths in the inaugural drilling program at its 100%-owned Gemini Lithium Project (“Gemini”), located in the Lida Valley basin in Esmeralda County, Nevada. Drilling began in the second week of March 2022 and concluded in the first week of April 2022. Two boreholes were completed for a total of 2,020 feet (615.85 metres) on drill sites located within a defined gravity low that hosts conductive layers detected by historical ground electromagnetic (“EM”) surveys.
2022 Drilling Program
Borehole GEM22-01 was drilled to a depth of 900 feet and was terminated in a black, sticky clay that impeded further drilling progress. At 320 feet (97.56 metres), Nevada Sunrise’s exploration team observed the presence of a clay layer similar to clay encountered in the Company’s 2016-2017 exploration drilling in the Clayton Valley that had carried values of up to 1,400 parts per million (“ppm”) lithium. Fourteen samples taken at 20-foot intervals between a depth of 380 feet (115.85 metres) and 520 feet (158.54 metres) from the Gemini clay layer were processed on a rush basis in April 2022 and returned a weighted-average value of 1,177.6 ppm lithium over 140 feet (42.68 metres). Concentrations within this interval ranged from a low of 746.9 ppm lithium to a high value of 1,950.6 ppm lithium. This initial result represents a new discovery of lithium-bearing sediments in the western Lida Valley, which has not been historically drill tested for lithium mineralization.
A second suite of samples was subsequently submitted from the upper clay layer in borehole GEM22-01, which was observed to contain intermittent brown clays and tuffaceous ash layers. The analytical result was the recognition of another mineralized zone averaging 295.45 ppm lithium over 60 feet (18.29 metres) from 320 feet (97.56 metres) to 380 feet depth (115.85 metres). When the two consecutive layers from GEM22-01 are combined, the result is a continuously-mineralized interval of 200 feet (60.98 metres) from 320 to 520 feet (97.56 to 158.54 metres) averaging 950.57 ppm lithium.
Borehole GEM22-02 was drilled to a depth of 1,120 feet (341.5 metres) at a location approximately 0.69 miles (1.1 kilometre) south of GEM22-01 and also encountered the brown clay/tuffaceous ash layer and the green clay layer. Representative samples from each layer were submitted in the second suite of rush samples and returned weighted-average values of 775.9 ppm lithium over 130 feet (39.63 metres) from 390 to 520 feet (118.90 to 158.54 metres) (see Table 1 below for results from GEM22-01 and GEM22-02).
The initial analytical results from boreholes GEM22-01 and GEM22-02 suggest that the lithium-bearing clay layers at Gemini may be widespread. Additional drilling is planned following receipt of an amendment to the current Bureau of Land Management drilling permit, which will be required to cover the Company’s newly-expanded land position. In April 2022, Nevada Sunrise staked 258 lode claims totaling 5,420 acres (2,193.4 hectares) over the outline of the gravity low to effectively cover the possible extent of the lithium-bearing clay layers. Follow-up geophysical surveys are planned in 2022 within the gravity low to further map the conductive layers detected by Nevada Sunrise in 2016.
The Company’s exploration objectives for Gemini are twofold: testing the conductive zones for lithium brines at depth and analyzing drill cuttings for lithium-in-sediments. A total of 37 sediment samples were submitted to American Assay Laboratories (“American Assay”) for analysis on a rush basis, and 210 sediment samples were submitted to ALS Group USA (“ALS”), with both laboratories located in Reno, Nevada.
Thirty-seven (37) water samples were taken at certain levels within the boreholes where the drilling encountered formation water. These samples were submitted to WETLabs in Reno, Nevada for testing of general chemical parameters and selected metals. The water flows were not significant and no brines were detected in either of the 2022 boreholes. The potential for brines exists at Gemini but may be located at greater depths than were tested in the 2022 spring drilling program.
For further information on Gemini, including location maps and photos click here
Gemini consists of 387 unpatented placer and lode claims located in the western Lida Valley, Esmeralda County, approximately 6 miles (10 kilometres) east of the town of Lida, Nevada. Nevada Sunrise expanded the size of the Project by staking 80 new unpatented claims in March 2022, and 268 additional unpatented claims in April 2022. Gemini is situated adjacent to the Gold Point Solar Energy Zone, a Bureau of Land Management land reserve set aside for solar and wind power generation projects until 2033. Drill pads and access roads remain in place at Gemini with an active drilling permit.
The Lida Valley is a flat, arid basin with a similar geological setting to the better-known Clayton Valley basin where Albermarle Corporation operates the Silver Peak lithium brine mine, which has operated continuously since 1966. Exploration at Gemini is complemented by the Company’s 80.09 acre/feet/year water right, a pre-requisite for the exploration and development of lithium brine projects in Nevada. Under the laws of Nevada, water cannot be pumped from a subterranean source without a valid water permit.
Sampling and Analytical QA/QC and Statement of Qualified Person
Sediment samples were shipped to American Assay and to ALS. The rush samples reported in this document were analyzed at American Assay utilizing a multi-element ICP-MS method. ALS will employ similar multi-element ICP-MS methods on the standard turnaround samples. Duplicates, filed blanks, and certified reference standards were inserted at regular intervals in the sample stream to ensure accuracy of the analytical method.
The scientific and technical information contained in this news release has been reviewed and approved by Robert M. Allender, Jr., CPG, RG, SME and a Qualified Person for Nevada Sunrise as defined in National Instrument 43-101 – Standards of Disclosure for Mineral Projects.
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 gold, copper, cobalt and lithium exploration projects located in the State of Nevada, USA.
The Company’s key gold asset is a 20.01% interest in a joint venture with New Placer Dome Gold Corp. (TSXV: NGLD) at the Kinsley Mountain Gold Project near Wendover, NV. Kinsley Mountain is a Carlin-style gold project hosting a National Instrument 43-101 compliant gold resource consisting of 418,000 indicated ounces of gold grading 2.63 g/t Au (4.95 million tonnes), and 117,000 inferred ounces of gold averaging 1.51 g/t Au (2.44 million tonnes), at cut-off grades ranging from 0.2 to 2.0 g/t Au 1.
1 Technical Report on the Kinsley Project, Elko County, Nevada, U.S.A., dated June 21, 2021 with an effective date of May 5, 2021 and prepared by Michael M. Gustin, Ph.D., and Gary L. Simmons, MMSA and filed under New Placer Dome Gold Corp.’s Issuer Profile on SEDAR (www.sedar.com).
Nevada Sunrise has right to earn a 100% interest in the Coronado VMS Project, located approximately 48 kilometers (30 miles) southeast of Winnemucca, NV. The Company owns a 15% interest in the historic Lovelock Cobalt Mine and the Treasure Box copper properties, each located approximately 150 kilometers (100 miles) east of Reno, NV, with Global Energy Metals Corp. (TSXV: GEMC) holding an 85% participating interest.
Nevada Sunrise owns 100% interests in the Gemini and Jackson Wash lithium projects, both of which are located in Esmeralda County, NV. The Company owns Nevada water right Permit 86863, located in the Lida Valley basin, near Lida, NV.
For Further Information Contact:
President and Chief Executive Officer
Telephone: (604) 428-8028
Facsimile: (604) 684-9365
FORWARD LOOKING STATEMENTS
This release may contain forward‐looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur and include disclosure of anticipated exploration activities. 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 may differ materially from those in forward looking statements. Forward‐looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward‐looking statements whether as a result of new information, future events or otherwise.
Such factors include, among others, risks related to the Gemini Lithium Project 2022 exploration plans; reliance on technical information provided by third parties on any of our exploration properties; 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 due to pandemic; 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 Three Months Ended December 31, 2021, 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.
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 or 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.