Banyan Begins to Define Higher Grade Zone at Powerline Deposit, Intersects 1.07 g/t gold over 34.8 metres, Aurmac Property, Yukon

Banyan Gold PR
Published on: May 10, 2022

VANCOUVER, BC / ACCESSWIRE / May 10, 2022 / Banyan Gold Corp. (the “Company” or “Banyan“) (TSXV:BYN)(OTCQB:BYAGF) is pleased to announce the analytical results from the first nine (9) diamond drill holes completed in the Company’s 2022 exploration program at the Powerline deposit (the “Powerline Deposit“) located on the Company’s AurMac Property.

Assay highlights include:

  • 32.1 metres (“m”) of 0.78 g/t Au from surface (13.7 m) in DDH AX-22-205
  • 34.8 m of 1.07 g/t Au from surface (7.9 m) in DDH AX-22-206
  • 33.9 m of 0.74 g/t Au from 54.2 m in DDH AX-22-207
  • 22.5 m of 1.07 g/t Au from 22.5 m in DDH AX-22-208

These initial results from 2022 diamond drilling on the AurMac Property have continued where 2021 drilling left off, definition of higher-grade zones within the expanding mineralization footprint of on/near surface gold mineralization at the Powerline.” stated Tara Christie, President & CEO of Banyan. “To dateover 17,000 m of drilling has been completed and Banyan looks forward to steady results through 2022.”

Results from these first nine (9) 2022 drill holes are consistent with previous exploration drill results at the Powerline Deposit (see Tables 1 and Figure 1) and the areal extent of interpreted gold mineralization from near/on-surface continues to expand with each batch of assay results received (see Figure 1).

Visible gold intersected within these drill holes is shown in Image 1 and additional information is located on our website.

Image 1: Photographs of visible gold from:

Banyan Gold Corp., Monday, May 9, 2022, Press release picture

Figure 1: Powerline Drill Hole Locations and Drill Plan Map, showing historic, completed, and proposed diamond drill holes.

Banyan Gold Corp., Monday, May 9, 2022, Press release picture

Table 1: 2021 Highlighted Powerline Diamond Drill Analytical Results. (Maps, sections and full assay results will be available on Banyan’s website).

Hole ID From (m) To (m) Interval (m*) Au (g/t)
AX-22-205 Surface – 13.7 189.6 175.9 0.40
Including 13.7 45.8 32.1 0.78
AX-22-206 Surface – 7.9 193.1 185.2 0.55
including 7.9 42.7 34.8 1.07
AX-22-207 Surface –10.7 182.6 171.9 0.31
Including 54.2 88.1 33.9 0.74
AX-22-208 82.7 166.1 83.4 0.45
Including 82.7 105.2 22.5 1.07
AX-22-209 Surface – 16.8 36.6 19.8 0.26
and 74.6 80.5 5.9 0.58
and 143.3 156.7 13.4 0.28
AX-22-210 58.2 90.5 32.3 0.29
and 102.5 122.2 19.7 0.38
and 134.5 186.7 52.2 0.38
AX-22-211 91.7 112.8 21.1 0.28
AX-22-213 31.4 79.5 48.1 0.32
and 104.3 150.9 46.6 0.40
AX-22-215 22.1 65.3 43.2 0.25
and 176.8 189.4 12.6 0.89

*True widths are estimated to be approximately 90% of drilled intervals.

Table 2: Drill Collar Location for Released Results

Collar ID East NAD83_Z8 North NAD83_Z8 Elev. (m) Azimuth Dip (°) Depth (m)
AX-22-205 467525 7083073 795 348 -59 201
AX-22-206 467523 7083121 793 359 -60 207
AX-22-207 467544 7083147 793 003 -60 212
AX-22-208 467198 7082504 802 004 -57 200
AX-22-209 467577 7083179 795 006 -60 221
AX-22-210 467195 7082502 801 268 -58 207
AX-22-211 467693 7083300 795 003 -64 195
AX-22-213 466704 7082934 769 360 -60 223
AX-22-215 467899 7082797 821 359 -57 203

Upcoming Events

Banyan will be attending:

  • Vancouver Resource Investment Conference (Cambridge House) – May 17 & 18, 2022
    • Booth and Presentation 1:30 pm PDT, May 17
  • PDAC 2022 – Toronto, Ont., June 13-15, 2022
  • Invest Yukon Conference, Dawson City, Yukon, June 21-23, 2022

All events are subject to change.

2022 Exploration Program Update

Banyan initiated its 2022 exploration program on January 26, 2022, and currently has three drills operating on the property. Seventy-Five (75) drill holes and over 17,000 metres (“m”) of drilling has been completed to date which together have expanded the mineralization around the Powerline Zone by over 600 m to the east and 1,000 m west from 2021 drilling. The 2022 program will include approximately 80% of exploration drilling focused on expansion of the mineralization at Powerline and testing the interpreted mineralization connected with the Aurex Hill zone; and a commiserate ~20% targeting high priority regional targets on the AurMac and Nitra Properties.

Analytical Method and Quality Assurance/Quality Control Measures

All drill core splits reported in this news release were analysed by Bureau Veritas Minerals of Vancouver, B.C. utilizing the aqua regia digestion ICP-MS 36-element AQ200 analytical package with FA450 50-gram Fire Assay with AAS finish for gold on all samples. All core samples were split on-site at Banyan’s core processing facilities. Once split, half samples were placed back in the core boxes with the other half of split samples sealed in poly bags with one part of a three-part sample tag inserted within. Samples were delivered by Banyan personnel or a dedicated expediter to the Bureau Veritas, Whitehorse preparatory laboratory where samples are prepared and then shipped to Bureau Veritas’s Analytical laboratory in Vancouver, B.C. for pulverization and final chemical analysis. A robust system of standards, ¼ core duplicates and blanks was implemented in the 2022 exploration drilling program and was monitored as chemical assay data became available.

COVID-19 Update

Banyan continues to take proactive measures to protect the health and safety of our Yukon communities, our contractors and our employees from COVID 19. Exploration activities will continue to have additional safety measures in place, regularly updated to follow and exceed all the recommendations of Yukon’s Chief Medical Officer.

About Banyan

Banyan’s primary asset, the AurMac Property is comprised of the Aurex and McQuesten properties, as well as claims staked and owned 100% by Banyan Gold, and adjacent to Victoria Gold’s Eagle Gold Mine, in Canada’s Yukon Territory. The initial resource for the AurMac Property of 903,945 oz Au (see Table 3 below) was announced in May 2020. Our major strategic shareholders include Franklin Gold and Precious Metals Fund, Osisko Development, and Victoria Gold Corporation. Banyan is focused on gold exploration projects that have the geological potential, size of land package and proximity to infrastructure that is advantageous for a mineral project to have potential to become a mine. Our Yukon based projects both fit this model and our objective is to gain shareholder value by advancing projects in our pipeline.

The 173 sq km AurMac Property lies 30 km from Victoria Gold’s Eagle Project and adjacent to the Keno Hill Silver District operated by Alexco Resource Corp. and is highly prospective for structurally controlled, intrusion related gold-silver mineralization. The property is located adjacent to the main Yukon highway and just off the main access road to the Victoria Gold open-pit, heap leach Eagle Gold mine. The AurMac Property benefits from a 3-phase powerline, existing Yukon Energy Corp. switching power station and cell phone coverage. Banyan optioned the properties from Victoria Gold and Alexco, respectively, with a right to earn up to a 100% interest, subject to royalties.

The Initial Mineral Resource Estimate for the AurMac Property was prepared in 2020 and consisted of 903,945 ‎ounces of gold (see Table 3). It is a near surface, road accessible pit constrained Mineral Resource contained in two near/on-surface deposits: the Airstrip deposit and the Powerline Deposit.

Table 3: Pit-Constrained Inferred Mineral Resources at a 0.2 g/t Au Cut-Off – AurMac Property

Deposit Classification Tonnage
Tonnes
Average Au Grade
g/t
Au Content
oz
Airstrip Inferred 45,997,911 0.524 774,926
Powerline Inferred 6,578,609 0.610 129,019
Total Combined Inferred 52,576,520 0.535 903,945

Notes: ‎

  1. The effective date for the Mineral Resource is May 25, 2020.
  2. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability. The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, changes in global gold markets or other relevant issues.
  3. The CIM definitions were followed for classification of Mineral Resources. The quantity and grade of reported inferred Mineral Resources in this estimation are uncertain in nature ‎and there has been insufficient exploration to define these inferred Mineral Resources as an ‎indicated Mineral Resource and it is uncertain if further exploration will result in upgrading them to an ‎indicated or measured Mineral Resource category.
  4. Mineral Resources are reported at a cut-off grade of 0.2 g/t Au, using a US$/CAN$ exchange rate of 0.75 and constrained within an open pit shell optimized with the Lerchs-Grossman algorithm to constrain the Mineral Resources with the following estimated parameters: gold price of US$1,500/ounce, US$1.50/t mining cost, US$2.00/t processing cost, US$2.50/t G+A, 80% heap leach recoveries, and 45° pit slope.
  5. The Mineral Resource Estimate was prepared in accordance with National Instrument NI 43-101, Standards of Disclosure for Mineral Projects (“NI 43-101“) requirements by Marc Jutras, P.Eng., M.A.Sc., Principal, Ginto Consulting Inc, with technical report filed on SEDAR on July 7,2020.

The Hyland Gold Project, located 70 km Northeast of Watson Lake, Yukon, along the Southeast end of the Tintina Gold Belt is a sediment hosted, structurally controlled, intrusion related gold deposit, with a large land package (over 125 sq km), with the resource contained in the Main Zone area (900 m x 600 m) daylighting at surface and numerous other known surface gold targets. It appears the Main Zone oxide zone would be amenable to heap leach open pit mining, with column leach recoveries of 86%. The project has an existing gravel access road.

Table 4 shows the Hyland Main Zone Indicated Gold Resource Estimate, prepared in accordance with NI 43-101, at a 0.3 g/t gold equivalent cutoff, contains 8.6 million tonnes grading 0.85 g/t AuEq for 236,000 AuEq ounces with an Inferred Mineral Resource of 10.8 million tonnes grading 0.83 g/t AuEq for 288,000 AuEq ounces.

Table 4: Hyland Main Zone Indicated Gold Resource Estimate

Cut-off Grade

(AuEq g/t)

In situ Tonnes Au Ag AuEq
Grade (g/t) Ozs Grade (g/t) Ozs Grade (g/t) Ozs
Indicated
0.3 8,637,000 0.78 216,000 7.04 1,954,000 0.85 236,000
Inferred
0.3 10,784,000 0.77 266,000 5.32 1,845,000 0.83 288,000

Notes: ‎

  1. Mineral resources which are not mineral reserves do not have demonstrated economic viability.
  2. All figures are rounded to reflect the relative accuracy of the estimate.
  3. Mineral resources are reported at a cut-off grade of 0.3 g/t AuEq. AuEq grade is based on $1,350.00/oz Au, $17.00/oz Ag and assumes a 100% recovery. The AuEq calculation does not apply any adjustment factors for difference in metallurgical recoveries of gold and silver. This information can only be derived from definitive metallurgical testing which has yet to be completed.
  4. Mineral Resource Estimate prepared in accordance with NI 43-101 by Robert Carne, Allan Armitage and Paul Gray dated and filed on SEDAR on May 1, 2018.

Banyan trades on the TSX-Venture Exchange under the symbol “BYN” and is quoted on the OTCQB Venture Market under the symbol “BYAGF“. For more information, please visit the corporate website at www.BanyanGold.com or contact the Company.

Qualified Person

Paul D. Gray, P.Geo., Vice President of Exploration for the Company, is a “qualified person” as ‎defined under National Instrument 43-101, Standards of Disclosure for Mineral Projects (“NI 43-101”), and has reviewed and approved the content of this news release.‎ Mr. Gray has verified the data disclosed in this press release, including the sampling, ‎‎analytical and test data underlying the information

ON BEHALF OF BANYAN GOLD CORPORATION

(signed) “Tara Christie”
Tara Christie
President & CEO

For more information, please contact:

Tara Christie • 778 928 0556 • [email protected]
Jasmine Sangria • 604 312 5610 • [email protected]

CAUTIONARY STATEMENT: Neither the TSX Venture Exchange, its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) nor OTCQB Venture Market accepts responsibility for the adequacy or accuracy of this release.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

FORWARD LOOKING INFORMATION: This news release contains forward-looking information, which is not comprised of historical facts. Such information can generally be identified by the use of forwarding-looking wording such as “may”, “will”, “expect”, “estimate”, “anticipate”, “intend”, “believe”, “potential” and “continue” or the negative thereof or similar variations. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, the Company’s plans for drilling this year; and statements regarding exploration expectations, exploration or development plans; and mineral resource estimates. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, uncertainties inherent in resource estimates, continuity and extent of mineralization, capital and operating costs varying significantly from estimates, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and the other risks involved in the mineral exploration and development industry, enhanced risks inherent to conducting business in any jurisdiction, and those risks set out in Banyan’s public documents filed on SEDAR. Although Banyan believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Banyan disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

Gold Mining