Mr. Victor (Vic) French, President & COO, reports:
BAY ROBERTS, NEWFOUNDLAND / July 8th, 2022 / PUDDLE POND RESOURCES INC. (the “Company” or “Puddle Pond”) is pleased to report that the Company’s Joint Venture Partner on the Heritage Project, Golden Ridge Resources (TSX.V:GLDN) of Kelowna, British Columbia, has exercised Year 3 of its Option Agreement (the “Option”) with Puddle Pond. This involves: 1) the payment of $75,000 in the third year on or before the third Anniversary date (June 25th, 2023); 2) the delivery of $150,000 value of GLDN Shares to Puddle Pond on or before the second Anniversary Date (June 25th, 2022); and 3) the expenditure of $1,500,000 in exploration costs at the Heritage Project (Figure 1) on or before the third Anniversary date (June 25th, 2023). Upon the successful completion of all the Year 3 requirements and the satisfaction of the conditions set out in the Option Agreement, Golden Ridge Resources will own an undivided 75% right, title, and interest in and to the Heritage Property and Puddle Pond Resources will retain a 25% carried interest together with a 1.5% NSR.
The 20,000-hectare Heritage Project is underlain by the Neoproterozoic subaerial volcanic rocks of the “Avalonian Epithermal Belt”, which also host the past-producing Hope Brook Gold Mine (752,163 ounces of gold from 1993 to 1997; First Mining Gold). The Heritage Project is host to the 4.5 km x 5.2 km “Point May Epithermal System (PMES)”, which was first identified and mapped by the Puddle Pond exploration team and is known to contain numerous gold-silver mineralized zones and prospects (French & Mugford, 2016a & b). To date the focus of exploration within the Point May Epithermal System has been the “Eagle Zone”, a prospecting discovery from the summer of 2013.
The early drilling at the Eagle Zone conducted by Puddle Pond intersected an extensive zone of intense silicification and quartz veining with: (a) gold and silver mineralization over core intervals ranging up to 32 metres in length; (b) a minimum strike length of 500 metres; and (c) mineralization traceable to depths of around 175 metres (Figure 2). The intense silicification and quartz veining of the Eagle Zone mineralization displays many textures typical of low sulphidation epithermal deposits such as banded veins (i.e., crustiform) and bladed silica crystals. Also, it contains low-temperature alteration minerals such as phengite and illite as well as widespread hematite alteration. Concentrations of gold (up to 46.5 g/t Au) and silver (up to 10,516 g/t Ag) are related to the black ginguro bands common throughout (op. cit.).
Figure 1. Puddle Pond Resources’ Heritage Project is located at the southern tip of Newfoundland’s Burin Peninsula.
Figure 2. The Au-Ag mineralized Eagle Zone hosted by the Point May Epithermal System has a minimum strike length of 500 metres and had been successfully drill tested to depths of 175 metres.
In 2017, a non-NI 43-101 “Internal Mineralization Inventory Estimate” of 76,086 AuEq ounces (AuEq or “Gold Equivalent Ounces” is the number of ounces of gold, plus the number of ounces of silver expressed as additional ounces of gold) was constructed for the Eagle Zone by P&E Mining Consultants Inc. of Brampton, Ontario, based upon assay data (the database contained 1,935 Au and Ag assays) from 53 diamond drillholes totalling 6,775.57 metres. The Mineralized Inventory Estimate was derived from applying a 0.5 g/t AuEq cut-off grade to the block model and reporting the resulting tonnes and grade for potentially open pit mineable areas.
Mr. French commented: “We are very pleased at the level of commitment shown by our Joint Venture partners, Golden Ridge Resources, and look forward to working closely with them to build on the preliminary resource of 76,086 ounces AuEq for the Eagle Zone that Puddle Pond established in 2017. The Point May Epithermal System remains the largest and most prospective epithermal system in the region, and we are excited by the potential for the discovery of other extensive zones of near-surface gold-silver mineralization.”
On Behalf of the Board of Directors
“Victor A. French”
References: French, V.A., and Mugford, C. (2016a) Newfoundland and Labrador Geological Survey, Assessment File 1L/13/0282, 2016, 222 pages; French, V.A., and Mugford, C. (2016b) Newfoundland and Labrador Geological Survey, Assessment File 1L/13/0277, 2016, 326 pages.
About Puddle Pond Resources Inc.: Puddle Pond Resources is a Newfoundland-based mineral exploration company (headquartered in Bay Roberts, Conception Bay) focused on the identification and development of undervalued mineral assets in the Province of Newfoundland & Labrador, one of the Fraser Institute’s top-10 mining jurisdictions in the world. The Company’s present foci are Orogenic Gold, Epithermal Gold-Silver, and Volcanogenic Massive Sulphide deposits. Presently, the Company holds the rights to more than 90,000 hectares (>900 km2) of mineral claims on the Island of Newfoundland, distributed amongst 19 individual properties that are situated in either the “Central Newfoundland Gold Belt”, the “Baie Verte Mining District”, or the “Avalonian Epithermal Belt”.
Victor French, P.Geo., President of Puddle Pond Resources Corp., and a Qualified Person (“QP”) as defined by Canadian National Instrument 43-101, has reviewed, and approved the technical information contained in this News Release. The drilling campaign and quality control program have been planned and supervised by Victor French.
Quality Assurance/Quality Control (“QA/QC”)
Drill-core samples, selected by Puddle Pond exploration personnel were submitted to Eastern Analytical Ltd. (Newfoundland & Labrador) for assaying and geochemical analysis. Samples were delivered in sealed bags directly to the lab in Springdale by Puddle Pond staff. Eastern Analytical is an ISO 17025 Certified Assay Laboratory. Samples submitted to Eastern Analytical are analyzed with the strictest quality control with blanks (analytical & method), duplicates, and standard reference materials (viz. CANMET, CDN, OREAS, GEOSTAT) being inserted into the sequence of client samples. Gold is analyzed by standard fire assay methods and thirty-four other elements (including silver) are analyzed by ICP-OES (Inductively Coupled Plasma-Optical Emission Spectroscopy. In addition to the regular insertion of blank, duplicate, and standard samples by the Assay Laboratory, Puddle Pond routinely includes its own blanks and standards.