||Ace, mineral claims cover 2,500 hectares
||The Ace Project is located at the northern end of the Exploits Subzone (Dunnage Tectonic Zone) of north-central Newfoundland, Canada. Excellent access and logistical infrastructure, paved highway and high voltage electrical power lines bisecting the project which is accessible by 20-minute vehicle ferry departing hourly.
||Highly prospect exploration project underlain by Exploits Subzone rocks (Dunnage Zone); favoured lithologies that host significant gold mineralization across central Newfoundland.
||An Option to Acquire a 100% interest in all mineral exploration licenses making up the project, subject to a 1.5% NSR. The Company has the right to purchase 1.0% of the NSR for $1.0M and a Right of First Refusal on the balance.
Latest News from Ace
In November 2021 the Company announced the completion of a first phase prospecting and rock sampling program from the Ace Gold Project. Experienced local field crews successfully identified five new areas of compelling surface mineralization to augment the recently discovered Ace Zone where rock grab samples report up to 5.4 g/t gold. Much of the first-pass prospecting, geological mapping and rock sampling work was carried out on easily accessible coastlines and roads, as these areas have ample rock exposures. A total of 127 rock samples have been shipped to the laboratory for multi-element analysis.
The Ace Project's mineralized areas are hosted in mixed felsic volcanic and sedimentary rocks that are cut by variably gossanous shear zones, that are up to 20 metres wide and traced on surface to distances exceeding 400 metres, disappearing under overburden. Observed alteration includes sericite, carbonate and quartz veins/breccias/flooding, with associated pyrite and arsenopyrite, with lesser sphalerite and galena sulphide mineralization. Late-stage quartz (carbonate) veins up to 0.3 metres wide are also noted, having modest sulphide mineralization.
Ace Project Highlights:
- Along trend about 13 kilometres Northeast from (i) Ethos Gold Corp’s Toogood Property (reported high grade grab samples included: 7,877, 1,276, 1,113, 226 g/t Au) and (ii) Exploits Discovery Corp’s Quinlan Veins (reported sample results include: 61.3, 59.0, 14.4, 14.2, and 12.6 g/t Au) (1)
Historical reported visible gold and select rock grab samples up to 164 g/t gold in ‘Change Islands’ mineral occurrence about 1 kilometer to northeast of property border.
Recent new discovery of the Ace Zone; a 10-20 metre wide alteration and shear zone with select grab rock samples up to 5.4 g/t gold.
- Ace Zone trends northeast-southwest and is situated along the projected trends of numerous high grade gold occurrences of nearby exploration projects.
- Underlain by Exploits Subzone rocks (Dunnage Zone); highly prospective lithologies that host significant gold mineralization across central Newfoundland, including Marathon Gold Corp’s Valentine Project which hosts 3.14 Moz M&I at a grade of 1.72 g/t gold.(2)
- Paved highway and high voltage electrical power lines bisects island in a north-south direction.
- Accessible subdued topographical terrain, with excellent outcrop exposure on seashores and local hill tops.
- Accessible by 20-minute Newfoundland government vehicle ferry departing hourly.
For reference: g/t = grams per tonne, Au = gold, m = metres. Moz = million ounces
Ace Location and Geology
The Ace Gold Project is located on the north-central coast of Newfoundland, covering most of Change Islands, approximately 80 kilometers north (via combined road and 20-minute government vehicle ferry departing hourly) from the community of Gander and its international airport. The region is part of an active gold exploration region that includes high profile gold exploration projects such as Queensway (New Found Gold Corp), Kingsway (Labrador Gold Corp), Dog Bay (Exploits Discovery Corp) and Toogood (Ethos Gold Corp).
Project lithologies are part of the major regional Dunnage Tectonostratigraphic Zone, specifically the Exploits Subzone, where claims are dominantly underlain by Ordovician-Silurian age Badger Group sediments and Botwood Group non-marine volcanics, with a general NE-SW trend and sub vertical dip. Project gold mineralization identified to date is associated with possibly orogenic quartz veins, silicification and sulphide minerals pyrite and arsenopyrite, with lesser chalcopyrite and galena; often concentrated within bedding conformable shears and conjugate brittle faults.
Ace Property Option Terms
The Company has entered into a property option agreement granting Precipitate the exclusive right to earn a 100% interest in 2,500 hectares of three property mineral exploration licences (the “Property”) by fulfilling certain elective annual cash and share payments over a 4-year option term, as follows:
Precipitate Common Shares
|12 month Anniversary
|24 month Anniversary
|36 month Anniversary
| 48 month Anniversary
In addition, the Company reimbursed the Vendors for staking costs. Upon completion of the cash and share payments as set out above, Precipitate will have a 100% interest in the Property, subject to certain net smelter returns (“NSR”) of 1.5% granted to the Vendors by Precipitate. Precipitate will have the exclusive right to purchase up to 1.0% of the NSR from the Vendors at any time for $500,000 per 0.5% and retain a right of first refusal to purchase the balance of all NSRs at any time.
The property option agreement is subject to TSX Venture Exchange approval.