Timberline Announces Updated Mineral Resource Estimate at the Eureka Project under NI43-101 - Seite 2

Growth Opportunities in and around the Lookout Mountain Resource
Conclusions and recommendations from the MRE Technical Report include the observation that the resources reported are open along strike in both directions, as well as down dip (Figure 1). Drill holes have intersected mineralized zones along the strike of the resources both to the north (Rocky Canyon) and to the south. The 3,500-foot strike extent between the southern limit of the Lookout Mountain resources and the northern limit of the South Adit resources may afford the best opportunity for potential heap-leach resource expansion in the near term. Encouraging higher-grade drill results downdip to the east of the project resources, at the Water Well Zone (WWZ), also offer an obvious opportunity for resource expansion.

The MRE Technical Report recommends a program of infill drilling, resource-expansion drilling, further metallurgical testing, full three-dimensional geological modeling, and the completion of a preliminary economic analysis based on the current resources.

Timberline's exploration work at Eureka in recent years has been largely outside the resource area, but geologic modeling and the early stages of drilling at the adjacent WWZ suggest that the two systems are related. Carlin-type gold mineralization has been intercepted at more than 1,000 feet (300 meters) deep downdip from the Lookout Mountain deposit in the WWZ. That target remains open to the east and south.

Timberline drilling farther to the northeast from the WWZ target has also intersected silver-lead-zinc mineralization that is consistent with carbonate-replacement type deposits (CRD). A very large induced polarization (IP) chargeability anomaly occupies the corridor adjacent to and below the known Carlin-type gold and CRD-type drill intercepts. The IP anomaly has not been thoroughly drill tested.

Qualified Persons Disclosure
Michael Gustin, C.P.G., a qualified person at RESPEC, has also approved this news release. RESPEC is independent of Timberline.

Steven Osterberg, Ph.D., P.G., Timberline's Vice President Exploration, is a Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the technical contents of this release. Dr. Osterberg is not independent of the Company as he is an officer.

Figure 1 - Lookout Mountain Resource Area and Nearby Exploration Targets at Eureka Project

Foto: Accesswire

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