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TerraX Assays 34.9 G/T, 75.8 G/T, 346 G/T And 547 G/T Au In Grab Samples From Newly Discovered VSB Vein, Yellowknife City Gold Project

TerraX Minerals has received the first assay results from an extensive prospecting program (over 500 samples to date) currently underway on the Yellowknife City Gold Project ("YCGP") immediately north of Yellowknife in the Northwest Territories. The sampling program reported today focused on sub-parallel structures to the Crestaurum Shear and northwest trending quartz veins and shears. One of these quartz veins, the newly discovered "VSB Vein" contains abundant visible gold over its entire 15 m exposed length, which is reflected in the four grab samples collected from this vein reporting gold assays of 34.9 g/t, 75.8 g/t, 346 g/t and 547 g/t Au respectively (see Table 1 below). Assay results, and the interpretation thereof, from both the ongoing drilling and sampling programs will be announced as they become available over the coming weeks.

Sixty samples were collected from a northeast-trending corridor 1.3 km long by 300 m wide, parallel to and including the Crestaurum Shear, a southeast-dipping shear that hosts the Crestaurum gold deposit, which has been drill tested by almost 200 holes, with drill intercepts that include 5 m at 62.90 g/t Au. All but two of TerraX's samples from this prospecting campaign were grab samples. Assay values ranged from below detection (16 samples) to 547 g/t Au. Twelve samples had greater than 5 g/t Au. Notable values were taken from three separate locations:

  1. the newly discovered VSB Vein
  2. an easterly-trending quartz vein; and
  3. a northwest-trending quartz vein.

The VSB Vein is composed of white quartz, and is 10 cm wide; it trends northwest (330°) and dips 60° to the southwest, and is exposed for 15 m. The vein trends into lichen-covered outcrop to the northwest, and into a swamp to the southeast. This swamp is subparallel to the Crestaurum Shear and 50 m to the northwest of it, and could represent a target in its own right. The VSB Vein contains abundant visible gold over its exposed length, as is reflected in the assays ranging from 34.9 to 547 g/t Au in the four samples collected from the vein (Table 1). This vein does not appear to have been sampled during any previous exploration campaigns.

The easterly trending quartz vein is exposed in three trenches over a strike length of 15 m. It is 30 cm wide and is highly contorted over its exposed length. It contains arsenopyrite, sphalerite and galena. All six samples collected in this campaign were anomalous, with values ranging from 8.18 to 40.7 g/t Au. Two of the samples were 1 m chip samples; these ran 18.3 and 28.3 g/t Au. The vein also contains significant amounts of lead and zinc-up to 1.47% Pb and 7.96% Zn. The vein is immediately east of the trace of the Crestaurum Shear, which is not exposed at surface in this area.

The northwest trending quartz vein is exposed in four trenches over a 55 m strike length, and may be the south-easterly extension of a vein that was traced by TerraX in 2013 over 150 m. The vein varies from 15 to 50 cm in width. Grab samples from this vein ranged from 0.37 to 19.75 g/t Au.

Table 1: High Grade 2014 Grab Samples from Crestaurum Area

Sample Vein Easting Northing Au (g/t) Ag (g/t) Pb % Zn %
Q635202 VSB 635548 6941653 547 9.7    
Q635203 VSB 635552 6941652 34.9 3.4    
Q635204 VSB 635555 6941650 75.8 3.4    
Q635205 VSB 635549 6941658 346 3.2    
Q635090 Easterly Trending 635635 6941632 28.3 2.2    
Q635091 Easterly Trending 635638 6941633 8.18 14.6 1.47% 7.96%
Q635095 Easterly Trending 635623 6941634 18.3 4.6 0.37% 0.71%
Q635096 Easterly Trending 635625 6941636 8.47 4.6 0.36% 1.03%
Q635097 Easterly Trending 635624 6941636 10.75 6.4 0.66% 1.27%
Q635098 Easterly Trending 635624 6941638 40.7 3.8 0.26% 1.15%
Q635085 Northwest Trending 635710 6942008 19.75 15.4    

Sample locations and gold results:

The northeast trending Crestaurum Shear outcrops only in its southwestern end, where it has been trenched and where a 2013 TerraX chip assay ran 4 m @ 24.26 g/t Au. The Crestaurum shear was not sampled during this current prospecting campaign, which focused on subparallel structures and northwest trending quartz veins and shears.

Joseph Campbell, P.Geo and President of TerraX, comments: "We continue to find new and compelling high-grade showings throughout the Yellowknife City Gold Project, including these recent exploration results from the area around the Crestaurum Shear. This includes multiple northwest trending structures that project to intersect with the Crestaurum Shear and may provide some control on the higher grade lodes found within that deposit. Collectively, these veins could also contribute significantly to potential gold resources in the area and, in particular, we regard the VSB Vein as an exploration target in its own right."

The technical information contained in this news release has been approved by Tom Setterfield, Vice President Exploration of TerraX, who is a Qualified Person as defined in "National Instrument 43-101, Standards of Disclosure for Mineral Projects."