Labrador Gold Updates Its 10,000 Metre Drill Program at Kingsway Project

TORONTO, April 12, 2021 (GLOBE NEWSWIRE) -- Labrador Gold Corp. (TSX.V:LAB | OTCQX:NKOSF | FNR: 2N6) (“LabGold” or the “Company”) wishes to update its previous announcement that diamond drilling is underway at its 100% controlled Kingsway Gold Project near Gander, Newfoundland (see news release dated April 8, 2020). The Company wishes to add a photo of drill core encountered in the first hole. The news release including the core photo is given below. Note that the Company has not yet received any assays from the interval shown in the photo, nor from the remainder of the hole.

The Company is pleased to announce that diamond drilling is underway at its 100% controlled Kingsway Gold Project near Gander, Newfoundland. The Kingsway project is located within the highly prospective Gander Gold District and along strike from New Found Gold’s high-grade Queensway Project.

The first Hole K-21-01 collared in dark grey to black interlaminated siltstone and shale of the Davidsville group. A 20 metre mineralized zone containing quartz breccia, scattered quartz-carbonate veinlets and frequent decimeter-scale quartz veining with associated fine grained pyrite and arsenopyrite was intersected between 43 and 63 metres downhole. Following the dark grey-black shale, the hole intersected a sequence of pale green shale that hosts meter-scale quartz veining. The veining consists of bright white-smokey grey, vuggy quartz with local stylolites, silica flooding, breccias and intense sericitization (See figure 1). Fine grained arsenopyrite, pyrite and Sb-Pb-bearing sulphide, verified by pXRF, (possibly boulangerite) are noted along vein margins and as strong disseminations in the surrounding wall rocks.

“Our drilling program is off to an encouraging start with the first hole intersecting two zones with significant quartz veining and sulphide mineralization,” said Roger Moss, President and CEO of Labrador Gold. “The presence of the vuggy quartz, stylolites, arsenopyrite and possible boulangerite are all indications that we are in the targeted epizonal gold system.”

Big Vein Target

The Big Vein target is an auriferous quartz vein exposed at surface that has been traced over 400 metres to date. Gold mineralization observed at Big Vein includes six occurrences of visible gold, assays of samples from which range from 1.87g/t to 1,065g/t gold. The visible gold is typically hosted in annealed and vuggy gray quartz, that is locally stylolitic with vugs often containing euhedral quartz infilling features characteristic of epizonal gold deposits.