Cache Exploration Inc. (the “Company”, or “Cache”), (TSX-V:CAY) is pleased to announce that visible gold (“VG”) has been observed, in drill core, from detailed logging of hole KI17-005 at the new East Gold Point target area. The 5-hole program has been successful in defining VG in a previously unrecognized structural host (please see news release 8-31-2017) and now in two newly intersected polymictic conglomerate settings at East Gold Point. East Gold Point is located some 5km from the 26.4g/t Au VG and finely mineralized intercept over 8m reported previously for the Rusty Zone.
Initial till samples results have also been received, and report compelling values of up to 756 ppb Au from a newly established till grid targeting prospective geology located north of Kiyuk Lake. This new till-indicated mineralization (the Nansen Prospect) is located 9.5km north of the previously well-defined trend of gold mineralization extending south of Kiyuk Lake.
To view photos of the drill core with visible gold, please click: http://www.cacheexploration.com/cay-nr-images-09-18-17
To view maps showing the location of the new, till sample defined area of potential mineralization, please click: http://www.cacheexploration.com/cay-nr-maps-09-18-17
The East Gold Point
Prospect drilling (KI17-005) has targeted parts of a 400m long zone of magnetite destruction located 700 m east of the known gold mineralization in the Gold Point zone. East Gold Point has not been previously drill tested. Though assay results have not yet been received, the Company is very encouraged to observe VG in the first drill hole in that location. This indicates that the targeting thesis is robust, and that cost-effective magnetic surveying is an effective tool at East Gold Point.
Drill hole KI17-005 was drilled to a depth of 279.2m and visible gold was observed in a section of strongly hematized polymictic conglomerate with up to 5% pyrite and quartz veining at 70m and is also observed in similar alteration and mineralization from 248m to 250m.
Five drill holes have now been completed at the Kiyuk Lake Project.
Results from the first batch of till samples, from north of Kiyuk Lake have identified two new areas of gold anomalism. Gold values up to 756ppb Au were discovered in an area that potentially represents mineralization in the northern limb of a synformal fold which repeats a sequence of polymictic conglomerate from the Gold Point zone and oligomictic conglomerates which host the Cobalt, Amundsen and other mineralized zones south of Kiyuk Lake. Overlaying the magnetics, these till anomalies correlate well with breaks in magnetics, which could represent magnetite destruction in structures that potentially represent a geological setting identical to that controlling gold mineralization at Gold Point. Historic rock sampling in the area returned values up to 2.04g/t Au, with and several other samples grading between 1-2 g/t Au.
Previous drilling at the Gold Point zone returned:
- – 63.6m at 2.84g/t Au from 148m
– 12m at 2.4g/t Au from 120m
– 12m at 3.9g/t Au from 163.5m
QA/QC and Core Sampling Protocols
One to two kilogram till samples collected in the field were sieved to -230 mesh at the Bureau Veritas Minerals laboratory in Vancouver, British Columbia before being digested using a dilute aqua regia digestion of a 30g sub-sample (code AQ252) and analyzed by ICP-MS for a suite of 37 elements, including gold. Data accuracy and precision is monitored with certified reference materials submitted with the samples and field duplicates, as well as through monitoring of laboratory internal standards and pulp duplicates.
Drill core samples are bagged and sealed and submitted to SGS in Red Lake, Ontario for sample preparation. Sample preparation involves crushing 2m lengths of split drill core to a nominal 75% passing 2mm, followed by pulverization of a 250-g split to a nominal 85% passing 75 microns. Gold analysis is completed in the SGS Red Lake lab with a 50g fire assay and AAS finish (code GE-FAA515). Samples returning >10g/t Au are re-assayed with a gravimetric finish (code GO-FAG505). Control samples (certified reference materials, coarse blanks and 1/4 core duplicates) were inserted on a regular basis. Laboratory internal standards, coarse crush duplicates and pulp duplicates are also monitored. Results are assessed for accuracy, precision and contamination on an ongoing basis.
Chris Pennimpede, P. Geo., a Qualified Person as defined by National Instrument 43-101, has reviewed and verified the technical mining information provided in this release.
In addition, the Company announces a non-brokered private placement (the “Private Placement”) to sell up to 8,000,000 units at a price of $0.11 per unit (the “Units”) for gross proceeds of up to $880,000 (the “Offering”). Each Unit consists of one common share (a “Unit Share”) and one common share purchase warrant (a “Warrant”). Each Warrant will entitle the holder to purchase one half additional common share (a “Warrant Share”) at an exercise price of $0.20 per Warrant Share. The Warrant Share is exercisable for the first two years from the date of issue of the Warrant. Finder’s fees of 8% cash and 8% finder warrants may be payable in connection with this transaction.
For more information about Cache Exploration, please visit: http://www.cacheexploration.com/
On behalf of the Board of Directors
Cache Exploration Inc.
Chief Executive Officer
FOR MORE INFORMATION, PLEASE CONTACT:
FORWARD LOOKING STATEMENTS: This news release contains certain forward-looking statements within the meaning of Canadian securities laws, including statements regarding the Kiyuk Lake Property: statements pertaining to the ability of Cache Exploration Inc. (“CAY”); the potential to develop resources and then further develop reserves; the anticipated economic potential of the property; the availability of capital and finance for CAY to execute its strategy going forward. Forward-looking statements are based on estimates and assumptions made by CAY in light of its experience and perception of current and expected future developments, as well as other factors that CAY believes are appropriate in the circumstances. Many factors could cause CAY’s results, performance or achievement to differ materially from those expressed or implied by the forward looking statements, including: discrepancies between actual and estimated results from exploration and development and operating risks, dependence on early exploration stage concessions; uninsurable risks; competition; regulatory restrictions, including environmental regulatory restrictions and liability; currency fluctuations; defective title to mineral claims or property and dependence on key employees. Forward-looking statements are based on the expectations and opinions of the Company’s management on the date the statements are made. The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
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