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SOURCE Quartz Mountain Resources Ltd.
VANCOUVER, Feb. 21, 2013 /PRNewswire/ - Quartz Mountain Resources Ltd. ("Quartz Mountain") (TSX-V: QZM; OTC: QZMRF) is pleased to provide an update on results from exploration work
conducted at the Galaxie property, located on Highway 37, 42 kilometres
north of the Red Chris copper-gold mine construction site and 25
kilometres south of the Village of Dease Lake, British Columbia
("BC").
The Galaxie property hosts the Gnat porphyry copper deposit, where a
two-hole drill program was undertaken in December 2012 to test newly
identified potential to the known historical estimate, which comprises
an "Indicated Reserve" of 30 million tonnes grading 0.39% Cu. The 2012
drill program confirmed the presence of mineralization at depth,
returning intervals of, for example, 55.7 metres at 0.44% copper and
91.0 metres at 0.37% copper. Elsewhere on the Galaxie property,
comprehensive surface exploration programs have identified new porphyry
copper and skarn silver targets for drill testing in 2013.
"We are encouraged by the results from the 2012 field programs at
Galaxie," stated Quartz Mountain Chairman Scott Cousens. "Management is
confident that this underexplored area holds significant potential for
the discovery of important new porphyry copper deposits."
The Gnat deposit was discovered in the late 1960s. Exploration to 1972
resulted in the historical estimate by Lytton Minerals Ltd as reported
in a Canadian Stock Exchange Listing Statement in 1972. It is based on
83 AQ-size drill holes, and includes 20% dilution by wallrock grading
0.15% copper. As no other documentation of reserve estimation
parameters is known to exist, the reliability of the estimate cannot be
assessed. There is no classification of "Indicated Reserves" under
current standards and a Qualified Person has not done sufficient work
to classify the estimate as current mineral resources or reserves, and
as such the Company is not treating it as current.
Geological evaluation of historical drilling information at the Gnat
deposit completed last year indicates that the copper mineralization
remains open to expansion. Based on this work, an Induced Polarization
("IP") geophysical survey completed over the immediate deposit area
suggested a previously untested depth potential. A first phase drill
test of this target, comprising 1,164 metres in two drill holes was
completed in late 2012. Significant intercepts from the two drill holes
completed are summarized in the Table of Assay Results below. A drill
plan and other information regarding the Gnat deposit are available on
Quartz Mountain's website: http://www.quartzmountainresources.com.
GNAT DEPOSIT
TABLE OF ASSAY RESULTS
Drill Hole
ID
|
Incl.
|
From
(m)
|
To
(m)
|
Int.
(m)
|
Cu
%
|
Au
(g/t)
|
Ag
(g/t)
|
|
GT12001
|
|
44.0
|
73.0
|
29.0
|
0.31
|
0.02
|
0.7
|
|
|
|
95.0
|
244.0
|
149.0
|
0.28
|
0.02
|
0.2
|
|
|
incl.
|
181.3
|
244.0
|
62.7
|
0.37
|
0.03
|
0.2
|
|
|
|
360.0
|
415.7
|
55.7
|
0.44
|
0.02
|
1.1
|
|
|
|
487.0
|
508.2
|
21.2
|
0.35
|
0.06
|
0.9
|
|
|
|
|
|
|
|
|
|
|
GT12002
|
|
41.0
|
68.0
|
27.0
|
0.20
|
0.10
|
0.1
|
|
|
|
94.0
|
185.0
|
91.0
|
0.37
|
0.04
|
0.7
|
|
|
incl.
|
152.0
|
185.0
|
33.0
|
0.52
|
0.03
|
0.7
|
Widths reported are drill widths, such that true thicknesses are
unknown.
All assay intervals represent length weighted averages.
|
Hole GT12001 encountered mineralization below the historical resource,
including 55.7 metres grading 0.44% copper intercepted from 360.0
metres below surface. Located in the northern sector of the Gnat
deposit, hole GT12001 indicates potential to extend the known porphyry
copper system to the west and northwest, and to depth.
Geological information from GT12002 drilled to test the southern sector of the deposit to depth
indicates that mineralization is limited vertically by a previously
undefined fault, which has brought older mineralized rocks over younger
unmineralized rocks The technical team is currently integrating
geological information and assay data received from the initial two
drill holes with other exploration data to inform management's plans
for further exploration of the Gnat deposit area.
Additional Drill Ready Targets
In addition to the Gnat deposit, the 1,200 square kilometre Galaxie
property has excellent exploration potential. In late 2012, surface
exploration programs were completed over five target areas selected
throughout the region. Integrated field surveys included the collection
of 6,155 soil geochemical samples, 487 rock geochemical samples, 182
silt geochemical samples and completion of some 290 line kilometres of
IP geophysical survey. Several compelling new porphyry copper targets
and a skarn silver target were identified and are currently being
prioritized for ground follow-up and drill testing in 2013 (also see
Quartz Mountain's release dated January 29, 2013). Drill permits have
been received from the BC government for all targets.
Of particular interest are the Hu and Hotai porphyry copper and the
Silver Lode skarn silver targets (see maps at http://www.quartzmountainresources.com/s/MapsFigures.asp). At Hu, located in the northwest portion of the Galaxie property, a
copper and multi-element-in-soils anomaly is co-incident with a 750
metre by 1,200 metre IP chargeability anomaly. Chalcopyrite-rich veins
hosted by andesitic volcanics rocks have been observed along the flanks
of the anomalous zone.
The Hotai prospect, located in the southern part of the Galaxie
property, is largely covered by glacial sediments. Three discrete and
large-scale IP chargeability anomalies lying beneath cover have been
defined. The southern most of these chargeability anomalies occurs over
750 metres by 1,700 metres and is coincident with a positive magnetic
feature. A diorite outcrop peripheral to this chargeability anomaly
hosts copper-bearing quartz veinlets. The second chargeability target
to the north measures approximately 1,100 metres by 1,700 metres and is
coincident with a pronounced annular magnetic high feature with a
central magnetic low, a type of magnetic feature that is classically
associated with porphyry copper deposits. In addition, a third
potential mineralized system occurs to the northeast of these two
target areas, where a significant copper and multi-element-in-soils
anomaly exists over 1,000 metres by 1,750 metres. This mineralized
target is associated with a strong IP chargeability anomaly.
Finally, at the Silver Lode target area, located 8 kilometres north of
Hotai, a significant and coincident geochemical-geophysical anomaly has
been identified, again covered by glacial debris. An IP chargeability
anomaly approximately 500 metres in diameter is associated with
exceptionally strong silver concentrations in stream sediment
geochemical samples, as well as a significant silver and
multi-element-in-soils anomaly over the target. Outcrop in the general
area indicates a broad zone of skarn-altered calcareous volcaniclastic
and sedimentary rocks. A broad IP chargeability feature, lying under
cover, continues southward from the Silver Lode skarn target for some
two kilometres and may represent an extension to the known skarn
target.
Quartz Mountain is operating the Galaxie Project in joint venture with
Amarc Resources Ltd. ("Amarc"). By agreement announced November 7,
2012, Quartz Mountain holds a 60% interest in the Galaxie and ZNT
Projects and Amarc holds a 40% interest. Amarc can acquire a further
10% interest by funding $1 million in project expenditures.
The Galaxie Project is located some 25 kilometres south of Dease Lake,
BC within a region where mining and mineral exploration is the
principal industry. The district is well served by an existing
transportation system, a developing power infrastructure and a skilled
workforce. Highway 37 passes through the center of the Galaxie property
and provides for year-around direct access to the Gnat deposit which is
located in an area of gently rolling topography. Construction of the
$400-million Northwest Transmission Line has commenced, which will
include a 287-kV transmission line to a new substation near Bob Quinn
Lake, approximately 180 kilometres by road south of Dease Lake. The
Northwest Transmission Line is scheduled to connect to the Red Chris
copper-gold mine construction project in early 2014.
About Quartz Mountain Resources Ltd.
Quartz Mountain Resources Ltd. is a Vancouver-based exploration company
focused on making a major new deposit discovery in British Columbia.
Quartz Mountain is associated with Hunter Dickinson Inc. (HDI), a
diversified, global mining group with more than 25 years of mineral
development success.
Mark Rebagliati, P. Eng., a Qualified Person as defined under National
Instrument 43-101, has reviewed the technical content of this release.
On behalf of the Board of Directors
Ronald Thiessen
President and CEO
|
All soil, silt and rock samples in the 2012 program were prepared at the
ACME Laboratories in Smithers or Vancouver and analyzed using their 36
element ICP/MS package at the Vancouver, Canada facility (ISO 9001:2000
and 17025:2005 accredited). Drill core samples were analyzed for Cu,
Ag, Au and 33 additional elements by Aqua Regia digestion of a 15 g
sample followed by ICP-MS finish. Samples >0.2% Cu were also analyzed
by 4 acid digestion ICP-AES. Samples >0.2 g/t Au were also analyzed for
Au, Pd and Pt by 30 g Fire Assay Fusion ICP-AES finish. As part of a
comprehensive QA/QC program, one standard and also one field replicate
are inserted into the sample stream in each group of 20 samples, as
well as one or more field blanks in each analytical batch. Rock chip
samples were also analyzed for gold by Fire Assay with an ICP-AES
finish, or gravimetric finish for samples >10 ppm Au.
|
Neither the 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.
This release includes certain statements that may be deemed
"forward-looking statements". All statements in this release, other
than statements of historical facts that address exploration drilling,
exploitation activities and other related events or developments are
forward-looking statements. Although Quartz Mountain believes the
expectations expressed in such forward-looking statements are based on
reasonable assumptions, such statements are not guarantees of future
performance and actual results or developments may differ materially
from those in the forward looking statements. Factors that could cause
actual results to differ materially from those in forward-looking
statements include market prices, potential environmental issues or
liabilities associated with exploration, development and mining
activities, exploration and exploitation successes, continuity of
mineralization, uncertainties related to the ability to obtain
necessary regulatory approvals, permits, licenses and title and delays
due to third party opposition, changes in and the effect government
policies regarding mining and natural resource exploration and
exploitation, continued availability of capital and financing, and
general economic, market or business conditions. Investors are
cautioned that any such statements are not guarantees of future
performance and actual results or developments may differ materially
from those projected in the forward-looking statements. For more
information, investors should review Quartz Mountain's annual Form 20-F
filing with the United States Securities and Exchange Commission at www.sec.gov and its home jurisdiction filings that are available at www.sedar.com.
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