July 24th, 2019, VANCOUVER, B.C. Berkwood Resources Ltd. (TSX-V: BKR, FSE: BK2, WKN: A2DNV4) (“Berkwood” or the “Company”) is pleased to announce that it has mobilized field crews to its Lac Gueret extension projects, located adjacent to its Lac Gueret South Graphite Project in Quebec, for the immediate collection of surface graphite exposure samples, and for the collection of near surface conductor distribution data by beep-mat. Based upon the recent News Release regarding the Company’s robust pit-constrained mineral resource at its Lac Gueret South Project (NR of July 16th, 2019), the Company has determined that a potential long-term graphite production strategy is further served by evaluating multiple proximally located podiform graphite deposits (comparable to its centrally located Zone 1 project) to feed a future, centrally located conceptual processing facility. The model is amenable to graphite production from multiple shallow, low strip ratio open pit mining locations surrounding the Company’s existing project.
To advance the current project model the Company has, in the context of resource learning acquired from the evaluation of its drilled Zone 1 occurrence, further assessed the historic sampling of known graphite exposure in the area. The review has isolated a number of high priority targets, some of which have returned high grade samples during work by previous entities. The presently planned geophysics and sampling campaign will target at least five identified areas (including the eastern extension of Zone 1), including three (3) high priority locations where previous workers have previously reported multiple high grade samples at surface. The five target zones will be prospected, sampled and surveyed on the strength of:
- historic sampling exercises;
- airborne geophysical anomalies (2003 regional GeoTEM time domain EM data, locally a 2014 TDEM survey flown by the Company, 2012 airborne magnetics flown by government entities, and 2015 EM data filed for assessment credit, respectively) and
- ease of access and proximity to the core Zone 1 project.
The program as envisaged will access the targets using existing roads and forest trails and will not include further access development as part of the present program. The initiative is lead by Quebec-based field teams with channel sampling being supervised by Steven Lauzier P.Geo of Acton Vale, QC.
Lac Gueret South Property, Quebec
Lac Gueret South is located in Cote Nord, Quebec, a three hour drive from Baie-Comeau in an area of very good infrastructure. The Project directly borders Mason Graphite’s (TSX-LLG) advanced Lac Gueret Project to the South. With a market capitalisation of over $43 million Mason owns one of the largest high grade graphite deposits in the world and is planning on building a new graphite mine and processing plant.
Lac Gueret South’s Zone 1
The Project arises from two distinct electromagnetic conductors that occur over a two kilometer length and up to 600 meters in width as defined by airborne EM geophysics (see the Berkwood news release dated February 10, 2015). The western part of this zone was further defined by ground VLF and EM surveys: four VLF and 22 contiguous PhiSpy EM conductors have been detected over an apparent 800 meters length and up to a 300 meters width. This western area was interpreted as a potential bulk graphite zone interlayered within the hinge of a complex fold system. Based upon the geophysics, drilling confirmed the presence of high interest graphite. Since discovery four separate drill programs have been executed on the western extent of Berkwood’s Zone 1 Graphite Body for a total of 45 holes and 6,006m completed. This work lead to the recent completion and announcement of a pit-constrained resource comprising 1.76 million tonnes of 17% Cg (Carbon as graphite) as an indicated resource and 1.53 million tonnes of inferred resource at 16.4% Cg (refer NR of June 16th, 2019).
Tom Yingling, President and CEO states, “Berkwood is in the process of demonstrating a viable conceptual hub resource location at its Zone 1, Lac Gueret South prospect location. The coarse nature of the naturally occurring graphite, and the compelling in situ grades, has stimulated our determination to rapidly locate and evaluate certain nearby zones of Zone 1 lookalike graphite occurrences. These occurrences are of interest as they could support our emerging hub-and-spoke mining feed model, which envisions an integrated graphite production scenario that depends upon shallow production from multiple podiform deposits. The model would offer maximum optionality in production scheduling and extended resource life. The existence of a number of nearby known high grade occurrences and some geophysical Zone 1 lookalike targets has motivated Berkwood to galvanise this rapid sampling and shallow geophysical initiative so as to expedite definition of proximal feed sources: these will compliment the potential of the Zone 1 prospect, where the recently reported resource underpins Berkwood’s near term plans for next steps.”
Edward Lyons PGeo (BC, QC, NL) is a Qualified Person under the definition of Canadian National Instrument 43-101 and has approved the technical information in this news release. Ed has worked extensively on the Lac Gueret Property, now owned by Mason, and neighbouring graphite properties since 2000.
About the Company: Berkwood is engaged in exploration for the commodities that enable the modern revolution in essential technologies. These technologies are dependent upon the ethical mining and supply of naturally occurring elements and minerals that enhance the performance of energy storage systems and permit the development and miniaturization of new electronics and structural components for the new suite of innovative tools. The Company is led by a team with collectively over 100 years experience and whose members have been involved with the discovery of several producing mines.
On Behalf of the Board of Directors
Berkwood Resources Ltd.
‘Thomas Yingling’
President, CEO & Director
FOR MORE INFORMATION, PLEASE CONTACT:
Investor Relations:
info@berkwoodresources.com or 1-604-343-7740 www.berkwoodresources.com
Disclaimer for Forward-Looking Information:
Certain statements in this release are forward-looking statements, which reflect the expectations of management. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management’s current views and are based on certain expectations, estimates and assumptions, which may prove to be incorrect.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
