Great Atlantic Begins Diamond Drilling Program at Keymet Precious – Base Metal Property
Bathurst, New Brunswick
FOCUSED ON EXPLORING ATLANTIC CANADA
VANCOUVER, British Columbia – October 2, 2017 – GREAT ATLANTIC RESOURCES CORP. (TSXV.GR) (the “Company” or “Great Atlantic”) is pleased to announce it has begun a diamond drilling program at its Keymet Precious – Base Metal Property, located in northeast New Brunswick. The Keymet property, located approximately 20 kilometres northwest of Bathurst, hosts multiple gold, silver, zinc, lead and copper occurrences. Drilling is being conducted in the northwest region of the property, northwest of the historic Keymet Mine which is situated on the property. Drill holes will test continuation of zinc, copper and silver bearing veins intersected by Great Atlantic during 2015 diamond drilling (16.7% zinc, 1.1% copper and 152 grams per tonne silver over 1.8-meter core length and 8.7% zinc over 4.28-meter core length) and the continuation of a gold bearing zone discovered by Great Atlantic during 2015 trenching (1.1 g/t gold over 4.9 meters in channel samples).
Multiple base metal and silver bearing vein occurrences are reported in this region, including the past producing Keymet Mine which operated during the 1950s. Gold bearing boulders and gold bearing bedrock in trenches have been discovered by Great Atlantic in this area. Great Atlantic drilled two holes in 2015 (Ky-15-3 and Ky-15-4), approximately 1.4 kilometers north west of the historic Keymet Mine in an area referred to as the Elmtree 12 occurrence. The 2015 holes intersected base metal and silver bearing veins and a gold bearing interval. Drilling will test the continuation of this base and precious metal mineralization.
Both Ky-15-3 and Ky-15-4 were drilled from the same set-up to the northeast approximately under a mineralized vein exposed in a previous 2015 trench. Ky-15-3 was drilled at a 45-degree angle and intersected sphalerite – rich veins at 60.80 – 62.60 metres (returning 16.68% zinc, 1.11% copper and 152.0 g/t silver over a 1.80 metre core length). Ky-15-4 was drilled at a 60-degree dip on the same azimuth to intersect the veins deeper. Multiple sphalerite bearing veins were intersected in this hole at 90.07 – 94.35 metres (returning 8.68% zinc and 44.8 g/t silver over 4.28 metre core length), approximately 35 metres vertically under the main vein intersected in Ky-15-3. Hole Ky-15-3 also intersected a gold bearing interval, with a sample at 30.10 – 32.20 meters (2.1-meter core length) returning 3.28 g/t gold. The true width of these initial 2015 drill intersections is unknown at this time.
Drill holes are planned on either side of holes Ky-15-3 and Ky-15-4 to test the continuation of the zinc, copper and silver bearing veins along strike and to test the continuation of the gold bearing zone intersected in Ky-15-3.
Historic Keymet Mine (1950s)
Drilling will also be conducted at a gold bearing zone exposed in a 2015 trench southwest of holes Ky-15-3 and Ky-15-4. Channel samples from a zone of altered sediments returned 1.11 g/t gold over a 4.9 metre total length. The channel samples were orientated east-west parallel to the trench direction. The orientation of this gold bearing zone has not been determined. This zone is approximately 80 metres southwest of the collars of holes Ky-15-3 and Ky-15-4. The Company had previously discovered gold bearing silicified sedimentary boulders in this area during 2011 and 2012 programs (boulder samples returned up to 51 grams per tonne Au).
Zinc (sphalerite) – bearing carbonate vein in Ky-15-4.
The Elmtree 12 base metal and silver bearing vein occurrence is located approximately 1.4 kilometres northwest of the Keymet Mine. Closed-spaced 1980s diamond drill holes (Brunswick Mining and Smelting and Aurtec Inc.) intersected near-surface mineralized veins in this area. A 0.88 metre core length interval from a 1981 drill hole was reported to grade 7.72% Cu, 11.36% Zn and 13.6 ounces per ton Ag. A 1.22 metre core length sample from a near-by 1989 drill hole was reported to assay 16.4% Cu, 10.11% Zn and 31.0 ounces per ton Ag. The true width of these intersections is unknown. These drill intersections are within a 50 metre vertical depth. Great Atlantic 2015 trenches and drill holes Ky-15-3 and Ky-15-4 are in the vicinity of these 1980s drill holes.
Access to the property is excellent with paved roads transecting the property, including a provincial highway. The property covers an area of approximately 3,400 hectares.
Zinc, copper and silver bearing vein in 2015
Trench at Elmtree 12 Vein Occurrence
The Company is also pleased to announce it has arranged a non-brokered private placement of 2,777,777 million flow through units at a price of $0.18 cents per unit for gross proceeds of $500,000. Each Flow-Through Unit consists of one common share that qualifies as a “flow-through share” as defined in subsection 66(15) of the Income Tax Act and one (non) transferable common share purchase warrant. Each whole warrant will entitle the holder to purchase, for a period of 60 months from the date of issue, one additional non-flow-through common share of the Issuer at an exercise price of Cdn$0.22 per share. The term of the warrants may be accelerated in the event that the issuer’s shares trade at or above a price of $0.35 cents per share for a period of 10 consecutive days. In such case of accelerated warrants, the issuer may give notice, in writing or by way of news release, to the subscribers that the warrants will expire 30 days from the date of providing such notice. Directors, officers or other insiders of the Company may participate in the foregoing offerings, and such parties may sell securities of the Company owned or controlled by them personally through the facilities of the TSX Venture Exchange to finance participation in such offerings. A finder’s fee may be paid to eligible finders in accordance to the TSX-V policies. All securities issued pursuant to the offering will be subject to a hold period of four months and one day from the date of closing. The offering and payment of finders’ fees are both subject to approval by the TSX-V.
Readers are warned that historical records referred to in this News Release have been examined but not verified by a qualified person. Further work is required to verify that historical assays referred to in this News Release are accurate.
David Martin, P.Geo., a Qualified Person as defined by NI 43-101, is responsible for the technical information contained in this News Release.
About Great Atlantic Resources Corp.: Great Atlantic Resources Corp. is a Canadian exploration company focused on the discovery and development of mineral assets in the resource-rich and sovereign risk-free realm of Atlantic Canada, one of the number one mining regions of the world. Great Atlantic is currently surging forward building the company utilizing a Project Generation model, with a special focus on the most critical elements on the planet that are prominent in Atlantic Canada, Antimony, Tungsten and Gold.
On Behalf of the board of directors
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Kaye Wynn Consulting Inc.
This press release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, that address future exploration drilling, exploration activities and events or developments that the Company expects, are forward looking statements. Although the Company believes the expectations expressed in such forward-looking statements are
based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include exploitation and exploration successes, continued availability of financing, and general economic, market or business conditions.
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