A2GOLD TO ACQUIRE DISTRICT-SCALE TAYLOR SILVER-GOLD PROJECT IN NEVADA
ADDITION OF DRILL-READY PROJECT WITH HISTORICAL SILVER RESOURCE1 AND MULTIPLE DISCOVERY TARGETS
With the addition of Taylor, A2Gold now controls approximately 230 km² of prospective mineral tenure across multiple district-scale exploration projects in
|
1 Source: "NI 43-101 Technical Report on the |
Taylor Project Overview
District-Scale Land Package -
Permitted and Drill-Ready - The project is fully permitted and bonded for immediate drilling, enabling A2Gold to commence exploration programs shortly after closing.
Infrastructure in Place - Taylor benefits from significant existing infrastructure including:
- Water rights
- Electrical power and substation access
- Robust road network
- Patented claims host much of the silver resource and existing pits
This infrastructure supports efficient exploration and potential future development scenarios.
Robust Modern Data Sets - Over the past three years
Exploration Upside
Gold Potential - Surface sampling and historical exploration drilling indicate strong potential for shallow oxide gold mineralization.
- Surface sampling defining a 3km x 10km gold anomalous corridor
- Channel samples returning up to 4.2 g/t gold over 11.0 meters, including 7.1 g/t gold over 3.3 meters
- SPT-66 intersected 1.02 g/t gold over 18.3 meters starting at surface
- SPT-65 intersected 0.68 g/t gold over 24.4 meters starting at surface including 0.85 g/t gold over 12.2 meters
Expansion of Silver Resource - The project hosts a historical mineral resource estimate of approximately 11 million ounces of silver in Measured and Indicated and 600,000 ounces of silver in Inferred, prepared in accordance with NI 43-101 in 2018 using a 55 g/t silver cut-off and a silver price assumption of
Silver price sensitivity analysis was completed up to
Table 1: Mineral Resource Sensitivity: Measured and Indicated Resources; Inferred Resources; and MII Resources
|
Measured and Indicated |
||||
|
Silver ($US/oz) |
Cutoff Grade (oz/t) |
ktons |
Silver (oz/t) |
Contained Silver koz |
|
|
1.6 |
3,789 |
2.89 |
10,995 |
|
|
1.3 |
5,084 |
2.56 |
13,013 |
|
|
1.1 |
6,591 |
2.30 |
15,170 |
|
|
0.9 |
8,755 |
2.04 |
17,883 |
|
|
|
|
|
|
|
Inferred |
||||
|
Silver ($US/oz) |
Cutoff Grade (oz/t) |
Tons |
Silver (oz/t) |
Contained Silver koz |
|
|
1.6 |
180 |
3.35 |
603 |
|
|
1.3 |
397 |
2.86 |
1,135 |
|
|
1.1 |
595 |
2.51 |
1,492 |
|
|
0.9 |
1,343 |
1.98 |
2,662 |
|
|
|
|
|
|
The Company considers this estimate historical in nature and not current, as no updated technical report has been prepared. A Qualified Person has not completed sufficient work to classify the estimate as a current mineral resource and A2Gold is not treating it as current. Historical drilling indicates the resource remains open in multiple directions, with several holes bottoming in mineralization at approximately 135 metres depth.
Historical records indicate that the
Antimony Potential - In addition to precious metal mineralization, the Taylor district hosts significant antimony mineralization, which represents potential exposure to a critical mineral currently identified as strategically important by
Historical records and recent exploration work indicate antimony occurs across a district-scale footprint at Taylor, with an approximate 52 km2 surface expression of antimony mineralization associated with gold and polymetallic mineralization.
The district hosts two historic antimony-producing mines, including the
- 7.01% antimony over 4.3 meters
- 4.61% antimony over 4.6 meters
- 3.79% antimony over 5.5 meters
Recent surface sampling has also returned high-grade antimony mineralization, including samples grading 18.4% and 21.6% antimony. Geochemical surveys have defined a greater than three-kilometer antimony soil anomaly, further demonstrating the scale of the mineralized system. Geological interpretation suggests that antimony mineralization may be associated with a broader gold-CRD-skarn-porphyry mineral system, providing the project with exposure to multiple deposit types and additional exploration upside.
Carbonate Replacement Deposit (CRD) Potential - The district hosts historic Ag-Pb-Zn-Cu CRD mineralization with multiple occurrences identified along strike and at depth that have not been systematically tested with modern exploration methods.
Porphyry / Skarn Upside - Multiple strong geophysical targets and the presence of quartz-sericite-pyrite (QSP) alteration associated with Jurassic porphyritic rhyolite dikes suggest the potential for a deeper intrusive-related mineral system.
Importantly, most historical drilling across the district has been relatively shallow, with the majority of holes drilled to less than 152 metres (500 feet) in depth.
Strategic Complement to Eastside
The Taylor acquisition expands A2Gold's
While Eastside represents a large low-sulphidation epithermal system with significant gold-silver resources and continued expansion potential, Taylor introduces a complementary geological setting with shallow oxide gold mineralization and deeper carbonate replacement deposit ("CRD"), skarn and porphyry exploration targets.
Together, Eastside and Taylor position A2Gold with multiple district-scale opportunities in
Transaction Summary
Pursuant to the LOI, A2Gold will acquire a 100% interest in the
Share Consideration
A2 shall issue to
- 4-month statutory hold period with an initial 20% release
- Voluntary escrow release schedule of 20% released every 3 months after initial statutory hold period
Deferred Cash Consideration -
-
US$250,000 at closing -
US$250,000 every three months thereafter - The payments are non-interest bearing and prepayable at any time without penalty
Royalty -
- 2% NSR on claims without existing royalties
- A2 may repurchase 1.0% of the NSR for
US$2 million within 4 years orUS$3 million within 6 years
The transaction remains subject to customary conditions including execution of definitive agreements, resolution of certain historical mining interests and regulatory approvals.
QUALIFIED PERSON
ABOUT A2GOLD CORP
ON BEHALF OF THE BOARD
Neither
Certain statements and information contained in this press release constitute "forward-looking statements" within the meaning of applicable
The securities referred to in this news release have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within
This news release does not constitute an offer for sale of securities for sale, nor a solicitation for offers to buy any securities. Any public offering of securities in
View original content to download multimedia:https://www.prnewswire.com/news-releases/a2gold-to-acquire-district-scale-taylor-silver-gold-project-in-nevada-302706182.html
SOURCE