North Peak samples up to 90 g/t Au at Prospect Mountain

Executive Summary

• North Peak Resources Ltd. reports that reverse circulation drilling has commenced at the Industry tunnel target area on its Prospect Mountain property in Nevada, following the completion of nearly 1,000 feet of drilling in the Wabash/Williams area.
• Follow-up channel sampling at the Dean Cave complex stopes yielded high-grade gold results, with the best intercept returning 90.4 g/t Au over 0.6 meters, highlighting the eastern area as a high-priority zone for high-grade oxide ore.
• The company identified a clear geological zoning trend where Zn/Pb ratios correlate with gold grades, providing a guide for future drilling targets above historic stopes and along fault intersections.

Key Details

• Drilling Progress: Reverse circulation drilling has moved to the Industry tunnel target area after completing nearly 1,000 feet in the Wabash/Williams area.
• Industry Target Context: The target is a 10,000-square-metre area of >0.1 g/t gold-in-soil anomaly in the Eldorado dolomite. Grab samples from stopes and dumps ranged up to 22.8 g/t Au and 87 g/t Ag. Historical smelter records (1873-1888) valued the Industry tunnel ore at $79.2/short ton with a gold equivalence of 3.83 oz/short ton.
• Dean Cave Complex Channel Sampling Results: Representative channel sampling across gossans on the 400 to 650 levels yielded the following high-grade intercepts:
  • 17.3 g/t Au, 178 g/t Ag, 1.99% Pb, 3.93% Zn over 0.3 m (420 Level).
  • 61.4 g/t Au, 70.3 g/t Ag, 0.46% Pb, 4.02% Zn over 0.3 m (420 Level).
  • 11.6 g/t Au, 61.9 g/t Ag, 1.12% Pb, 1.43% Zn over 0.6 m (520 Level).
  • 10.2 g/t Au, 71.5 g/t Ag, 1.43% Pb, 2.38% Zn over 0.3 m (520 Level).
  • 90.4 g/t Au, 660 g/t Ag, 4.69% Pb, 1.00% Zn over 0.6 m (650 Level).
• Geological Interpretation: The eastern Dean Cave complex is identified as a high-priority zone for high-grade oxide ore. Old stopes plunge northwest at 40-50 degrees, following the intersection of the Domonic and Banner faults.
• Future Drilling Strategy: Drilling from Area 3 will target the unexplored area above these stopes after the Industry targets are completed. A clear zoning in Zn/Pb ratios correlates with increasing gold grades; Zn/Pb ratios >10:1 typically show 0.1-10 g/t Au, while ratios approaching 1:1 see proportional increases in gold grades.
• Historical Production Data:
  • Dean Cave stopes averaged 0.229 oz/t (7.8 g/t) Au and 5.83 oz/t (200 g/t) Ag from 291 ore cars.
  • DMEA/Deadbroke chimney material averaged 0.69 oz/t Au, 50.5 oz/t Ag, and 29.4% Pb.
• QA/QC Protocols: Samples were dispatched to ALS Global prep lab in Elko, Nev. QA/QC included a standard, blank, and field duplicate inserted after every 20 samples (15% rate). Six standards from CDN Resource Laboratories were rotated. Assays used 30-gram fire assay for gold and 44-element ICP MS suite.

Notable Quotes

• "Drilling is progressing well with over 600 m drilled so far. The geology team's mapping and field work continues to support exciting drilling target areas." — Rupert Williams, Chief Executive Officer