Coeur d’Alene, Idaho – September 27, 2018 – Timberline Resources Corporation (OTCQB: TLRS; TSX-V: TBR) (“Timberline” or the “Company”) today announced results for the first hole drilled at its Elder Creek porphyry copper-gold project in the Battle Mountain Mining District of Nevada.
Reverse circulation (RC) drill hole RCEC18-01 (Figure 1) intersected 110 feet (34 meters) of 0.44% copper. The entire 500 foot (152 meters) hole averaged 0.21% copper, and bottomed in mineralization at 500 feet due to depth limitations of the rig (Table 1). It contains multiple intervals of anomalous gold, silver, and pathfinder elements. The hole was designed to test the grade and continuity of mineralization intersected in five shallow vertical holes drilled in 1967 when copper prices were $0.38/lb. These holes intersected continuous copper mineralization grading 0.2% to 0.3% from surface to their maximum depths of 200 to 300 feet.
Steven Osterberg, Timberline’s President and CEO commented, “We are encouraged that our first drill hole at Elder Creek intersected a thick and consistently mineralized section of copper mineralization. The results confirm discovery of a large porphyry copper-gold system resulting from purposeful compilation and insightful interpretation of fifty years of exploration data. The results are similar to the historic drilling in copper oxide mineralization, and show anomalous multi-trace element signatures consistent with such a system. The mineralization remains open laterally and at depth.”
Hole RCEC18-01 Assay Results
RCEC18-01 was collared in heterolithic breccia of the Harmony Formation, and also intercepted oxidized arkosic quartzite, and a quartz-bearing porphyritic intrusion with strong potassic (biotite) and silica alteration over its 500 foot (152 meters) depth. The hole was sited within a zone of porphyry-style quartz veining (Figure 1), and over a strong magnetic donut encircling a non-magnetic core to the system (Figure 2); no indicators have been recognized in the drilling results to explain the strong magnetic signature, which suggests a deeper source.
Assay results in RCEC18-01 are summarized as follows (Table 1):
Figure 1. Geology, Alteration, and Copper Geochemistry of the Elder Creek Porphyry Copper-Gold Prospect
A diamond core drill rig has been mobilized to deepen the second drill hole of the program (RCEC18-02) which was terminated at 840 feet (256 m) due to depth limitations of the reverse circulation rig. The hole is targeted to test a flat-lying chargeability/resistivity (IP/Resistivity) anomaly identified in historic data. Encouragingly, to date the hole has intercepted intensely altered (biotite and silica) quartz ± feldspar porphyritic intrusive rocks, and Harmony Formation quartzite. Assays results are pending.
Figure 2. Elder Creek Airborne Total Field Magnetics with Alteration Zoning
The Elder Creek copper/gold system lies approximately 11 miles (18 km) north of Newmont’s Phoenix mining complex. Exploration data compiled from over 40-plus years of exploration on the property includes only limited shallow, historic drilling in the pronounced magnetic low, and only shallow drilling along the north and northeastern magnetic zone targeted primarily at gold. Geologic and geophysical characteristics, and rock geochemical sampling results evident at Elder Creek (see press release dated June 18, 2018 at https://timberlineresources.co/press-releases/) are common to major porphyry copper deposits.
Timberline has the right to acquire a 65% interest in the 16 square mile (41 km2) property by spending US$5.1 million over 6 years through an earn-in joint venture agreement with McEwen Mining Inc. (see new release dated May 24, 2018 at https://timberlineresources.co/press-releases/).
Further technical details of the Company’s Elder Creek project may be viewed at: https://timberlineresources.co/projects/ElderCreek/.
Sampling Methodology, Chain of Custody, Quality Control and Quality Assurance
Collection of Reverse Circulation percussion drill samples was completed under the supervision of a Company representative. Quality control is monitored by the insertion of numerous blind certified standard reference materials and blanks into each sample shipment. The samples were collected on-site by ALS USA Inc. (ALS) and were transported to Elko, Nevada for sample preparation. Drill samples were assayed by ALS in Reno, Nevada for gold by Fire Assay of a 30 gram (1 assay ton) charge with an AA finish (ALS code Au-AA23). Samples were also assayed for a 48 multi-element four acid ICP-MS (code ME-MS61) geochemical suite in Vancouver, B.C.
Steven Osterberg, Ph.D., P.G., Timberline’s President and Chief Executive Officer, is a Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the technical contents of this release. Mr. Osterberg is not considered independent of the Company as defined in Section 1.5 of NI 43-101. Drill intercepts are reported as drill thicknesses; true widths of intercepts are unknown.
About Timberline Resources
Timberline Resources Corporation is focused on advancing district-scale gold exploration and development projects in Nevada. These include its 23 square-mile Eureka property, comprising the Lookout Mountain, Windfall, and Oswego projects which lie along three separate structural stratigraphic trends defined by distinct geochemical gold anomalies, as well as being operator of both the Paiute joint venture project with a subsidiary of Barrick Gold, and the Elder Creek joint venture with McEwen Mining. All of these properties lie on the prolific Battle Mountain-Eureka gold trend. Timberline also owns the Seven Troughs property in Northern Nevada, which is one of the state’s highest-grade former producers. Timberline has increased its owned and controlled mineral rights in Nevada to over 43 square miles (27,500 acres). Detailed maps and NI 43-101 estimated resource information for the Eureka property may be viewed at https://timberlineresources.co/.
Timberline is listed on the OTCQB where it trades under the symbol “TLRS” and on the TSX Venture Exchange where it trades under the symbol “TBR”.
Forward-looking Statements
Statements contained herein that are not based upon current or historical fact are forward-looking in nature and constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements reflect the Company’s expectations about its future operating results, performance and opportunities that involve substantial risks and uncertainties. These include, but are not limited to, statements regarding the advancement of projects, and exploration potential. When used herein, the words “anticipate,” “believe,” “estimate,” “upcoming,” “plan,” “target”, “intend” and “expect” and similar expressions, as they relate to Timberline Resources Corporation, its subsidiaries, or its management, are intended to identify such forward-looking statements. These forward-looking statements are based on information currently available to the Company and are subject to a number of risks, uncertainties, and other factors that could cause the Company’s actual results, performance, prospects, and opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. There are no assurances that the Company will complete the earn-in on the Elder Creek project as contemplated or at all. Factors that could cause or contribute to risks involving forward-looking statements include, but are not limited to, changes in the Company’s business and other factors, including risk factors discussed in the Company’s Form 10-Q for the quarter ended June 30, 2018. Except as required by law, the Company does not undertake any obligation to release publicly any revisions to any forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.
For Further Information Please Contact:
Steven A. Osterberg
President and CEO
Tel: 208-664-4859
E-mail: [email protected]
Website: www.timberline-resources.com