iMetal Options Expands the Advanced Kerrs Gold Deposit in Ontario’s Prolific Abitibi Greenstone Gold Belt - Seite 2

iMetal is not treating the historical estimate as a current mineral resource.

The Kerrs Gold Deposit

Figure 1. Kerrs Gold Deposit

Foto: Accesswire

The Deposit was discovered by Noranda in the late 1970's early 1980's by following glacial dispersion trains up-ice to the source. Drilling continued into the late 1980's, with further drilling in the early to late-2000's and early 2011's. The drilling database was used to calculate the 2011 historic resource estimate, with further drilling completed subsequent to the release of the estimate. The Kerrs Gold Deposit consists of a series of gold-bearing pyritized quartz vein replacement breccias enveloped by quartz fuchsite carbonate vein breccias averaging approximately 10 metres and alteration envelopes varying up to 40 metres in thickness. Gold is directly related to pyrite content which ranges to 10% and is commonly found as disseminations and crystal aggregates in the sheeted, quartz vein replacement breccias. These breccias, averaging 31% quartz, exhibit reasonable correlation conforming to volcano-stratigraphic contacts as well as moderate to good continuity in grade correlations at the lower and upper boundaries of the vein breccia and alteration envelope assemblages.

The Kerrs Gold Deposit is stratabound, occurring at the contact of a thick, mafic pillow flow sequence overlying an ultramafic, magnetite-rich flow sequence. Quartz feldspar porphyry sills are spatially located above and below the breccia zones. This stratigraphy is synclinally folded with the deposit lying 350 m to 425 m below surface. Drilling has traced the main zone 800 metres and remains open in both directions and at depth.

The Company has been conducting a review of the historical database to define target areas to both significantly expand the historic resource and to test for additional structures. The Company has yet to verify the historical data.

The Company is at arms-length from each of the Vendors. In consideration for the additional area added to the scope of the Kerrs Gold Deposit, the Company has agreed to issue the Vendors a further 200,000 common shares (the "Consideration Shares") and reimburse them for expenses associated with maintaining the additional area. Issuance of the Consideration Shares remains subject to the approval of the TSX Venture Exchange. Upon issuance, the Consideration Shares will be subject to a four-month-and-one-day statutory hold period in accordance with applicable securities laws. All other terms by which the Company can acquire the Kerrs Gold Deposit remain unchanged, and readers are encouraged to review the Company's news release of April 4, 2022, for further information.