Momentum Public Relations
Press Release: April 3, 2019
Bluestone Resources Inc. (TSXV: BSR) (OTCQB: BBSRF) (“Bluestone” or the “Company”) is pleased to announce additional high-grade intercepts from the resource upgrading infill drill program at its Cerro Blanco Gold project. The primary focus of the program is to upgrade Inferred Resources identified during the previous drill program completed in 2018. In addition, this program is also designed to define new resources along known veins in the mine plan that extend outside of the current resource envelope.
Three LM-75 diamond drill rigs are currently situated within the Cerro Blanco underground workings and are targeting key veins in the upper portion of the Cerro Blanco resource. The Cerro Blanco Feasibility Study (see press release January 29th, 2019) highlighted some 357,000 ounces of Inferred Resources (1.4 Mt grading 8.1 g/t Au) that could be potentially converted to Measured and Indicated Resources through infill drilling.
Darren Klinck, President and CEO, commented, “Of special note are the broad zones of high-grade mineralization drilled in several different holes. For example, 8.1 meters at 8.3 g/t Au and 73 g/t Ag(Hole UGCB18-122), 5.6 meters at 19.9 g/t Au and 281 g/t Ag (UGCB18-124) and 10.2 meters at 13.1 g/t Au and 25 g/t Ag (Hole UGCB18-126). These wider intercepts comprising multiple closely-spaced vein sets are reminiscent to those drilled in the lower parts of the South Zone orebody by Bluestone last year and were demonstrated in the Feasibility Study as amenable to long-hole stoping mining methods and key drivers in the project economics.”
Table 1. Significant Intercepts (this Press Release)
HOLE ID | FROM (m) | TO (m) | CORE INT. (m) |
TRUE WIDTH (m) |
Au g/t | Ag g/t | Vein ID |
UGCB19-120 | 62.0 98.9 110.0 119.5 126.2 140.0 |
63.5 101.3 112.9 120.5 127.2 141.6 |
1.5 2.3 2.9 1.0 1.0 1.6 |
1.5 2.3 2.8 1.0 1.0 1.6 |
6.1 16.6 8.5 3.6 3.9 4.5 |
1.0 109.0 123.0 34.0 50.0 36.0 |
– VN_02 VN_03 VN_05 VN_06 VN_11 |
UGCB19-121 | 5.0 63.6 75.4 84.3 95.1 104.1 |
6.0 64.6 78.4 92.4 96.3 108.4 |
1.0 1.0 3.0 8.1 1.2 4.3 |
1.0 1.0 3.0 8.1 1.2 4.2 |
5.7 15.9 4.9 8.3 9.4 6.9 |
13.0 126.0 41.0 73.0 177.0 74.0 |
VN_18 VN_01 VN_02 VN_03, 05, 06 VN_06 VN_07 |
UGCB19-123 | 56.7 61.4 70.9 82.1 |
57.9 62.8 74.1 83.1 |
1.2 1.4 3.2 1.0 |
1.2 1.4 3.1 1.0 |
14.8 7.9 5.3 6.9 |
130 82 67 88 |
VN_01 – VN_02, 03 VN_05 |
UGCB19-124
including
|
62.3 76.6 79.8 96.9 114.8 |
64.3 82.2 80.8 98.3 117.8 |
2.0 5.6 1.0 1.4 3.0 |
2.0 5.6 1.0 1.4 3.0 |
8.0 19.9 80.1 17.7 3.9 |
51.0 281.0 1,257.0 72.0 28.0 |
VN_01 VN_03, 05 VN_03 VN_07 VN_11 |
UGCB19-125 | 1.2 16.5 22.3 31.1 |
10.8 19.1 27.2 33.2 |
9.6 2.6 4.9 2.1 |
9.4 2.5 4.9 2.0 |
5.3 5.0 12.3 33.6 |
10.0 36.0 44.0 239.0 |
VN_07 VN_09 VN_10 VN_11 |
UGCB19-126
including
|
0.0 8.9 13.4 32.2 33.2 52.0 58.0 71.7 |
6.0 9.9 14.5 43.0 35.9 53.0 59.2 72.7 |
6.0 1.0 1.2 10.8 2.7 1.0 1.2 1.0 |
5.7 1.0 1.2 10.2 2.3 1.0 1.2 1.0 |
10.0 4.0 11.9 13.1 31.0 5.3 24.3 10.2 |
16.0 26.0 14.0 25.0 32.4 8.0 56.2 15.0 |
VN_06 – – VN_09,10 VN_09 – VN_11 VN_22 |
Notes: Intervals in bold are cited in the text of the news release. Only intercepts averaging over 3 g/t Au when diluted to a minimum 3 meters true width are stated. Hole coordinates and azimuth/dip information accompany the plan view attached to this release.
All holes cited in this press release were drilled from various platforms in the North Zone underground workings. Except for hole UGCB18-126, all holes were drilled at positive (upward) angles and designed to test the Inferred Resource portions of several key veins that sit above the current underground infrastructure. Hole UGCB18-126 was a sub-horizonal hole drilled at -5 degrees. A plan view showing drill hole locations, sections, and core photos can be accessed by clicking HERE. All holes intercepted their predicted targets, including Hole UGCB18-122, which drilled veins of lower grade and widths due to their proximity or emplacement within the Salinas Unit, a silicified conglomerate that forms a cap over the deposit.
Results for a total of 29 holes have been released to date as part of the Infill resource conversion program (3,384 meters). Drilling is ongoing and further results will be reported as received.
Precious metal mineralization at Cerro Blanco is associated with classic low sulphidation adularia-sericite epithermal quartz veins and vein swarms hosted in altered sequence of volcanoclastic and sedimentary rocks. Higher grades (>20 g/t Au and >60 g/t Ag) are normally associated with visible gold and silver sulphides in ginguro-style colloform-banded veins.
Quality Analysis and Quality Control
Assay results listed within this release were performed by Inspectorate Laboratories (“Inspectorate”), a division of Bureau Veritas, which are ISO 17025 accredited laboratories. Logging and sampling are undertaken on site at Cerro Blanco by Company personnel under a QA/QC protocol developed by Bluestone. Samples are transported in security-sealed bags to Inspectorate, Guatemala City, Guatemala, for sample preparation. Sample pulps are shipped to Inspectorate Laboratories in Vancouver, BC, Canada or Reno, NV, USA, and assayed using industry-standard assay techniques for gold and silver. Gold and silver were analyzed by a 30-gram charge with atomic absorption and/or gravimetric finish for values exceeding 5 g/t Au and 100 g/t Ag. Analytical accuracy and precision are monitored by the analysis of reagent blanks, reference material, and replicate samples. Quality control is further assured by Bluestone’s QA/QC program, which involves the insertion of blind certified reference materials (standards) and field duplicates into the sample stream to independently assess analytical precision and accuracy of each batch of samples as they are received from the laboratory. A selection of samples is submitted to ALS Chemex Laboratories in Vancouver for check analysis and additional quality control.
Qualified Person
David Cass, P.Geo., Vice President Exploration, is the designated Qualified Person for this news release within the meaning of National Instrument 43-101 and has reviewed and verified that the technical information set out above in this news release is accurate and therefore approves this written disclosure of the technical information.
About Bluestone Resources
Bluestone Resources is a mineral exploration and development company that is focused on advancing its 100%-owned Cerro Blanco Gold and Mita Geothermal projects located in Guatemala. A Feasibility Study on Cerro Blanco returned robust economics with a quick pay back. The average annual production is projected to be 146,000 ounces per year over the first three years of production with all-in sustaining costs of $579/oz (as defined per World Gold Council guidelines, less corporate general and administration costs). The Company trades under the symbol “BSR” on the TSX Venture Exchange and “BBSRF” on the OTCQB.
On Behalf of Bluestone Resources Inc.
“Darren Klinck”
Darren Klinck | President, Chief Executive Officer & Director
For further information, please contact:
Bluestone Resources Inc.
Stephen Williams | VP Corporate Development & Investor Relations
Phone: +1 604 646 4534
info@bluestoneresources.ca
www.bluestoneresources.ca