Millrock, Resolution to Begin Drilling on Aurora Target

VANCOUVER, BC—Millrock provided an update on upcoming drilling at its 64North project.

“The proximity to a high-grade mine, and proximity to a new high-grade gold deposit discovery made by our neighbors just on the other side of our mutual claim boundary, along with strong geological, geochemical, and geophysical anomalies, make the Aurora target highly compelling,” comments Millrock President and CEO Gregory Beischer.

Initial drilling at the Aurora target on the West Pogo Block of the 64North Gold Project is scheduled to begin in early March 2020. The camp and drill rig are presently being mobilized to the Aurora target, located to the immediate west of the Pogo Gold Mine operated by Northern Star. Earn-in partner, Resolution Minerals is funding the work.

Millrock and Resolution technical teams have collaborated to analyze data and choose the first targets. The initial drilling phase will consist of four holes totaling 2,000 meters and will test the Aurora target. The target area is located within sight and approximately 2.5 to 3.5 kilometers west of Northern Star’s Pogo Mine. Northern Star reports an endowment of approximately 10 million ounces of gold at Pogo. More recently Northern Star has reported discovery of the Goodpaster gold deposit northwest of the mine, even closer to the mutual Millrock-Northern Star claim boundary and the Aurora target. Millrock cautions that mineralization on the nearby Northern Star property is not necessarily indicative of gold mineralization hosted on the company’s property.

The Aurora target is a 1.5-by-4.0 kilometer-long zone of low-magnetic rocks adjacent to a late diorite intrusion. The setting is very similar to that observed at the Pogo Mine. Millrock postulates that the late diorite body intruded along a westerly extension of the Liese Creek fault which is known to have played a key role in the genesis of the Pogo gold deposits. Highly anomalous gold-bismuth-arsenic in soil is documented. High-angle gold-bearing quartz veins have been intersected by prior drilling, however, the few holes drilled by earlier workers did not go deep enough to intersect the low-angle, regional shear zone that is known to host gold at Pogo and the Goodpaster Deposit. Millrock believes this structure exists at the Aurora target. From a recent controlled source audio magnetotellurics (CSAMT) survey, the depth to the shear zone is 150 meters on the east and 450 meters depth on the west end of the Aurora target.

Drilling will begin at the east end of the target and is scheduled to be complete by early April. A second contingent drilling phase in the vicinity of the Half-Ounce-Gulch prospect is tentatively scheduled for May 2020.

The various attributes of the target and the approximate drill hole locations are shown on the above compilation map.

Resolution can earn up to a 60 percent interest in the 64North Gold Project through exploration expenditures of $20 million, payment of $200,000 cash, and issuance of 38 million Resolution shares. The minimum commitment for 2020 is $5 million.