Feb 9 2017
Sage Gold Inc. (the "Company") (TSX VENTURE:SGX) is pleased to announce the commencement of a drilling program at Sage's Onaman property in northwestern Ontario. This program is being carried out simultaneously with that underway on the Clavos gold property in Timmins announced on January 19, 2017.
With a history of episodic exploration activity dating back several decades, the Onaman property hosts numerous historical mineralized zones and occurrences that have been partly delineated to date. Hosted in a sequence of hydrothermally altered and tectonized mafic through felsic volcanics and derived volcaniclastics, the Onaman property displays the main features of a typical volcanogenic massive sulphide ("VMS") system, and is consequently considered to host significant exploration potential. Sage will complete a preliminary program comprising 1,000 meters, drilled into the historical Headway zinc-silver-lead±gold deposit.
As discussed in the Company's recent Onaman news release, a reassessment of the Lynx deposit - the historical focus of Sage's exploration efforts on the property, has established that it is a "footwall feeder zone" of the type typically found underlying VMS deposits. The fact that the Headway lies immediately above it where the main mineralized body in a VMS system is typically found renders this historical mineralized zone significant from an exploration perspective.
Nigel Lees, President and CEO, commented: "The Headway and Lynx deposits, hosting a combination of base and precious metals between them, are two important parts of the as yet incomplete Onaman story. This current drilling program will help to further unravel it. It nicely compliments Sage's ongoing drilling program at the company's Clavos gold deposit where two holes have been completed between the main mine trend and the 960 zone."
The juxtaposition of the Lynx deposit in the underlying footwall mafic volcanics, and the Headway deposit in the overlying mixed volcanic sequence (named the "In Between Zone" or "IBZ"), is suggestive of the typical mineralogical zoning seen in VMS systems where copper-dominant mineralization is found lower in the system and zinc-dominant mineralization is found in the upper parts of the system. Both deposits feature a hydrothermal alteration assemblage typical of VMS systems. Whereas both the Lynx and Headway are limited in size and grade to the extent that they have been drilled, to date, the exploration potential of the immediate area given the juxtaposition of these features is considered to be significant.
As a first step toward vectoring in on previously untested targets in this area, Sage is drilling a number of holes into the Headway deposit at and near holes drilled by Headvue Mines in 1951. Historical drilling over a strike lengthy approaching 1 kilometre intersected numerous, mostly narrow intervals of zinc-silver-lead±gold mineralization - up to a few meters wide and ranging mostly in the single digits for zinc and lead and up to and exceeding 100 g/t silver, along with wider intervals up to and exceeding ten meters or more of lower grade zinc-silver-lead±gold mineralization averaging in one-tenth the grade range. Sage geologists believe that this zone may be near a zone of focused hydrothermal discharge and associated metal concentration, and that the lithological, alteration, mineralogical and geochemical data derived from detailed analyses of fresh drill core may provide critical clues enabling them to vector in on previously undetected VMS targets in the immediate area.
The Company will provide additional information and updates regarding its progress at the Onaman and Clavos properties on a timely basis.
The technical content of this news release has been reviewed and approved by Sage's consulting geologist, Avrom E. Howard, MSc, PGeo, who is a Qualified Person ("QP") as defined in National Instrument 43-101.