Solstice Gold Reports Latest Results from Exploration Program at Kahuna Gold Project

Solstice Gold Corp provides an update on its continuing exploration at the 100% owned 841 km² Kahuna Gold Project, situated near Rankin Inlet, Nunavut. Results reported on June 20, 2018, include gold recoveries from glacial till, Rotary Air Blast (RAB) drilling and ground geophysics finished during winter 2018. The program has successfully established, extended, and further defined gold target areas. Solstice Gold expects to begin the summer portion of its 2018 work program in the next few weeks once snow cover has melted away.

Highlights of 2018 Program to Date

• 3,436 gold grains were retrieved from 627 till samples gathered from the Westeros area
   
• New gold-in-till results have expanded historical till-based gold targets and have identified a number of new target areas (Figure 1)
   
• Gold grains have traveled comparatively short distances from the source rocks as revealed by their delicate, irregular, and abraded textures, surmising local sources within Westeros (Figure 1)
   
• 1,675 line km of ground magnetic surveys at 25 m spacing were completed in the North areas; the survey pinpoints main structural and stratigraphic topographies for follow-up summer 2018 exploration
   
• 69 RAB drillholes were done on tightly spaced fence lines within the Westeros target area. The RAB has effectively identified promising rock types within many of the till anomalies. (Figure 1)

Till Results

The till program includes the assaying and analysis of 627 till samples, which were collected during the 2017 summer field program.  Gold was confirmed in 521 of the 637 samples collected across a 330 km² area, reflecting the noteworthy extent of the gold mineralized system at Kahuna.  The new till data associate well with rock samples, as gold-bearing rock samples are located up-ice from gold-bearing tills.  Locations of more than 80^th percentile till counts are seen in Figure 1 together with contoured ranked till data from 3,991 samples of joint historical and current till results.

Total grain counts of new till data are shown since only one grain out of 3,436 grains is categorized as ‘rounded’, meaning the vast majority of samples have traveled short to moderate distances from their source. Figure 2 illustrates the elevated gold-in-till area in the perspective of the current geological and structural model at Westeros. Both Figures 1 and 2 illustrate the location of large gold grains and delicate grains both of which have possibly traveled short distances from their source.

Till samples results with structural and geological interpretation and RAB hole locations. Delicate gold grains denote proximal bedrock sources. (Credit: Solstice Gold Corp.)

The following observations are noted from the till results:

1. Gold-in-till distributions at Kahuna are governed by extensions and parallels to regional gold-controlling structures that also govern gold mineralization at neighboring gold deposits. A wide area of highly gold-bearing till results situated in the eastern part of Westeros is truncated along a distinct northwest to southeast trend parallel to a regional structure, denoted as the W1 Fault (“W1”)(Figures 1 and 2). The W1 is a splay off a regional break (the “Westeros Fault”) and is also parallel to the Pyke fault, situated approximately 16 km to the south, splays of which host the Meliadine gold deposits owned by Agnico Eagle Mines Ltd*. The southwestern margin of the W1 overlaps with some of the highest gold values in rock samples to date and seems to be closely related with NW-SE magnetic breaks. Many parallel NW-SE trending splay faults divide the Westeros fold.
    
2. A second set of formerly interpreted east-west trending faults, possibly splays off Meliadine’s Pyke fault, seem to correlate with east-west trending areas of extremely anomalous tills, particularly in the western part of Westeros (Figures 1 and 2).
    
3. Two very large anomalous areas of gold-in-till anomalies have been found in the south limb and Northwest Westeros. These areas are around 30 and 29 km² in size respectively. The heads of these two extensive anomalies are probable source areas. Follow-up groundwork within the anomalies will be completed to provide additional definition.
    
4. The largest gold grains and delicate gold grains identify possible source rocks for follow-up ground work. There is a cluster of delicate and large gold grains along the southwestern contact of the W1. Not all delicate and large grains are seen in areas of high till counts, thus leaving space for extra targets in areas of low overall gold grain in till counts.
    
5. Several anomalous till areas seem boxed in by low till counts up ice representing potential for local sources.

RAB Drilling

The RAB program’s objective was to test for favorable rock types in areas concealed by glacial till. The shallow overburden RAB drilling completed in the Westeros area has successfully established the existence of meta-sediments (including BIF, the dominant gold host at the neighboring Meliadine deposit) and meta-volcanics near the magnetic anomalies at the base of overburden. Drilling also intersected magnetite in gneissic rocks revealing some of the magnetic anomalies (Figure 2).

Ground Geophysics

A total of 1,675 line kilometers of 25 m spaced ground magnetics have been completed in the North area positioned on an extensive area of quartz outcrop referred to as Quartz Hill. The program was successful in accomplishing its key goal of testing the structural interpretation produced from historical extensively spaced (300 m) airborne surveys. It also established the viability of applying ground geophysics to identify main structural elements including faults and folds.

*This news release contains information with respect to the Meliadine gold deposits owned by Agnico Eagle Mines, in respect of which the Company has no interest or rights to explore or mine. Readers are cautioned that the Company has no interest in or right to acquire any interest in any such properties, and that mineral deposits on adjacent or similar properties are not indicative of mineral deposits on the Company’s properties and there is no certainty of the same or similar deposits on the Company’s properties.