VANCOUVER, British Columbia – July 30, 2018 – GREAT ATLANTIC RESOURCES CORP. (TSXV.GR) (the “Company” or “Great Atlantic”) is pleased to announce it has begun the 2018 diamond drilling program at its Keymet Precious – Base Metal Property, located near Bathurst, northeast New Brunswick. The program is being conducted in the northwest region of the property with the objective of defining polymetallic veins (zinc, lead, copper and silver bearing) and exploring a gold bearing zone discovered during 2017 drilling. Great Atlantic’s 2017 drilling highlights from this region included 38.96% zinc equivalent over 1.27 meters core length (new vein discovery) and 8.10% zinc equivalent over 12.05 meter core length at the Elmtree 12 vein system (using metal prices as of July 26, 2018) plus 0.64 g/t gold over 19.96 meter core length (new gold discovery adjacent to the Elmtree 12 vein system). The 2018 drilling program will focus in the Elmtree 12 vein system to provide additional data for a planned maiden resource estimate. The program is being partially funded by a $40,000 exploration grant from the New Brunswick government Junior Mining Assistance Program..
Site of drill hole Ky-18-10 (first site in 2018 drill program)
Great Atlantic has drilled six holes in the Elmtree 12 veins system since 2015. The current drill program will provide additional data for a planned maiden resource estimate on the Elmtree 12 vein system. The Company also discovered a new gold bearing zone adjacent to the Elmtree 12 vein system during 2017 drilling, being hosted in arsenopyrite bearing meta-sedimentary rocks. The drilling program will also test this zone. Highlights of 2015 and 2017 diamond drilling by the Company in this area include the following (as reported in News Releases of October 29, 2015, February 23, 2016, December 20, 2017 and March 2, 2018) with up-dated zinc equivalent based on metal prices at July 26, 2018:
- Hole Ky-15-3 (Elmtree 12): 68% Zn, 1.11% Cu, 0.44% Pb & 152 g/t Ag / 1.80 meter core length
(22.53% Zn Equiv. / 1.80 meter core length)
- Hole Ky-15-4 (Elmtree 12): 68% Zn, 0.29% Cu, 0.20% Pb & 44.8 g/t Ag / 4.28 meter core length
(10.37% Zn Equiv. / 4.28 meter core length)
- Hole Ky-17-5 (Elmtree 12): 43% Zn, 0.45% Cu, 0.19% Pb & 60 g/t Ag / 2.75 meter core length
(7.76% Zn Equiv. / 2.75 meter core length)
- Hole Ky-17-6 (Elmtree 12): 54% Zn, 0.92% Cu, 0.28% Pb & 115 g/t Ag / 12.05 meter core length
(8.10 % Zn Equiv. / 12.05 meter core length) & 0.64 g/t Au over 19.96 meter core length (new gold discovery).
- Hole Ky-17-8 (2017 discovery): 18.80% Zn, 3.55% Cu, 1.16% Pb & 576 g/t Ag / 1.27 meter core length
(38.96% Zn Equiv. / 1.27 meter core length)
True thickness of these intersections is unknown at this time.
Keymet Northwest Region: 2015 and 2017 Diamond Drilling Plan
The Company’s focus since acquiring the Keymet Property has been the northwest region of the property in the area of reported polymetallic veins with most work in the area of the Elmtree 12 copper-lead-zinc-silver bearing vein system. At least seven vein occurrences with lead, zinc and +/- copper, silver and gold are reported in this region of the property in addition to the polymetallic veins reported at the historic Keymet Mine (source: New Brunswick Dept. of Energy and Resource Development Mineral Occurrence Database). The Keymet Mine operated during the mid-1950s, producing copper, lead, zinc and silver. Production at this mine was terminated due to a fire at the site.
Historic Keymet Mine (1950s)
Significant precious metal – base metals deposits are reported within 4 km of the Keymet Property. The Elmtree gold deposits are located within 3 km west-southwest of the Keymet Property. The historic Nigadoo River Mine is located approximately 4 km south of the Keymet Property. Polymetallic massive sulfide veins were mined at the Nigadoo River Mine during the 1960s and 1970s with copper, lead, zinc and silver being produced. The N.B Dept. of Energy and Resource Development Mineral Occurrence Database reports shaft depth and production totals at this historic mine. Production during 1967 – 1971 is reported as 1.126 million tonnes at 2.2% Pb, 2.1% Zn, 0.24% Cu and 92.57 g/t Ag. Production during 1973 – 1977 (after a 2 year closure) is reported to be 0.733 million tonnes (only partial metal grades reported). The shaft is reported to at least 470 meter deep.
The Nash Creek Zinc Project of Callinex Mines Inc. is located approximately 15 kilometers northwest of the Keymet Property. Callinex Mines Inc. recently filed a 43-101 Technical Report (effective date March 21, 2018) which was completed by Tetra Tech Canada Inc. The report includes updated mineral resource estimates for the Nash Creek Zinc Project (Hickey and Hayes Zones) using a 1.5% ZnEq cut-off. This included 13,592,000 tonnes indicated estimated resources at 2.68% Zn, 0.58% Pb and 17.8 g/t Ag; and 5,929,000 inferred estimated resources at 2.68% Zn, 0.47% Pb and 13.9 g/t Ag (source: Callinex Mines Inc. website).
Readers are warned that mineralization at the Elmtree gold deposits, historic Nigadoo River Mine and Nash Creek Zinc Project is not necessarily indicative of mineralization on the Keymet Property.
Access to the Keymet Property is excellent with paved roads transecting the property, including a provincial highway. The property covers an area of approximately 3,400 hectares and is 100% owned by the company.
Readers are warned that historical records referred to in this News Release have been examined but not verified by a Qualified Person. Further work is required to verify that historical records referred to in this News Release are accurate.
David Martin, P.Geo., a Qualified Person as defined by NI 43-101 and VP Exploration for Great Atlantic, is responsible for the technical information contained in this News Release.
A Qualified Person has verified the 2015 and 2017 exploration data for Great Atlantic. The Qualified Person managed the 2015 and 2017 exploration programs for Great Atlantic at the Keymet Property. A Qualified Person is managing the 2018 drilling program.
Zinc equivalent (% Zn Equiv.) values for drill hole intersections are based on the following metal prices (as of July 26, 2018): Zinc US$2,653 / tonne (US$1.2033 / lb.), Lead US$2,132 / tonne (US$0.967 / lb.), Copper US$6,251 / tonne (US$2.8353 / lb.) and Silver US$15.58 per troy ounce. Metal recoveries of 100% were applied in the zinc equivalent calculations. The zinc equivalent calculation is as follows: Zn Eq. = 100 x ((Ag Price in grams x Ag Grade) + (Pb Price x 2204.6 x Pb Grade (%) / 100) + (Cu Price x 2204.6 x Cu Grade (%) / 100) + (Zn Price x 2204.6 x Zn Grade (%) / 100)) / Zn Price x 2204.6.
The Company is also pleased to announce that is has arranged a non-brokered private placement of 5,000,000 units at a price of $0.05 cents per unit for gross proceeds of $250,000. The units of the financing will comprise of one common share and a full share purchase warrant, which may be exercised for a period of two years at a price of $0.075 per share. The proceeds of the private placement will be used for general working capital and exploration work. A finder’s fee may be paid to eligible finders in accordance to the TSX-V policies. All securities issued pursuant to the offering will be subject to a hold period of four months and one day from the date of closing. The offerings and payment of finders’ fees are both subject to approval by the TSX-V. Directors, officers or other insiders of the Company may participate in the foregoing offerings, and such parties may sell securities of the Company owned or controlled by them personally through the facilities of the TSX Venture Exchange to finance participation in such offerings.
On Behalf of the board of directors
Mr. Christopher R Anderson ” Always be positive, strive for solutions, and never give up ”
President CEO Director
604-488-3900
Office@GreatAtlanticResources.com