Otis Gold Corp. (TSXV:OOO) is pleased to announce assay results from the first six holes of its ongoing drill program at the Kilgore Gold Mine Project, where bulk-tonnage intercepts ranging from 55-metres to 120-metres (m) thick and grading 0.82 to 1.55 grams per tonne gold (g/t Au) have been intersected. The planned program originally announced a total of 5,500 meters of drilling over 20 holes, but due to ongoing success and availability of capital, drilling plans are being expanded to approximately 9,000 metres over 36 holes.
In 2015, Otis’ Kilgore drill program discovered significant gold mineralization in the largely untested Aspen Formation sedimentary rocks. A press release published by the company this last January details how this mineralization is defined by intervals of significant thicknesses and grades that remain open-ended throughout much of the deposit. Otis’ 2016 drilling is targeted to further drill test these rocks that underlie and serve as the basement to the Tertiary volcanic and hypabyssal rock package that currently hosts the majority of the known gold mineralization at Kilgore. These results indicate that the Aspen Formation has the potential to host significant additional mineralization. In fact, the grade and thickness of drill intercepts at depth in the Aspen Formation indicate a strong potential to expand the size and grade of the current Kilgore resource.
Craig Lindsay, Otis President and CEO states: “We are very pleased with this first set of 6 holes from our ongoing 36 hole program. They support our geologic model and believe that potential exists to expand the Kilgore Deposit at depth in the Aspen sedimentary unit underlying the main deposit, which currently is primarily hosted in volcanics. Additional drilling will continue to refine this potential at depth, as well as explore potential in the Crab Claw to the north of the existing deposit.”
About the Kilgore Gold Project
The Kilgore Gold Project is Otis’s flagship property, presently in the advanced exploration stage. It contains a NI 43-101 Indicated Resource of 520,000 ounces (oz) Au in 27.4 million tonnes at a grade of 0.59 g/t Au and an Inferred Resource of 300,000 oz Au in 20.2 million tonnes at a grade of 0.46 g/t Au. The deposit is part of an extensive zoned low-sulfidation quartz-adularia epithermal hot-spring system hosted in volcanic rocks of late Miocene age and basement Aspen Formation calcareous siltstone, shale, and sandstone of Late Cretaceous age. Gold mineralization is of the classic disseminated, bulk-tonnage type similar to that comprising the classic and world-class size volcanic-hosted gold deposits at Round Mountain, Nevada and McDonald Meadows, Montana. The deposit features very attractive metallurgy with excellent gold recovery averaging greater than 80% at 1.5” crush size based on column leach test results.
For full technical details of the latest drill results and program highlights thus far, please refer to Otis’ press release published on September 26th, 2016.
About the Company
Otis is a resource company focused on the acquisition, exploration, and development of precious metal deposits in Idaho, USA. Otis is currently developing its flagship property, the Kilgore Gold Project, located in Clark County, Idaho.