NEWS RELEASE ORCA GOLD REPORTS CONTINUED SUCCESS AT GSS

Transcription

1 NEWS RELEASE OA GOLD REPORTS CONTINUED SUCCESS AT GSS May 26, 2014 Orca Gold Inc. (TSX.V:ORG) ( Orca or the Company ) is pleased to provide an update on exploration at its Galat Sufar South ( GSS ) prospect on its Block 14 mineral license in Sudan. (see Appendix A for plan map of Block 14). Prospective mineralization has been intersected at numerous targets within 2km of the current GSS Mineral Resource and this release highlights recent results from nine of these targets. The discovery of these occurrences supports the significant potential to increase the size of the resource at GSS. On January 29, 2014 Orca announced an initial Mineral Resource at GSS comprising Indicated Resources of 22.2MT at 1.84g/t for 1.3 million ounces of gold and Inferred Resources of 6.5Mt at 1.9g/t for an additional 0.4 million ounces of gold. Since January, exploration has focussed on expanding the GSS resource base through an ongoing program of surface (trench and chip channel) sampling and preliminary drilling of new targets. Exploration over the last four months has included 7,410m of trenching, 1,741m of continuous chip channel sampling, 6,379m of reverse circulation () drilling in 53 holes and 967m of diamond drilling (DD) in 5 holes. The result of this work since January is the identification of 9 new targets which show real potential of adding to the already impressive resource inventory at GSS.

2 Carbonate Ridge Target Recent exploration has identified gold mineralization in two zones, 500m apart. In the southwest zone, GS307 (reverse circulation hole) intersected 17m grading 8.20g/t cut) (from surface) and 10m at 2.42g/t whilst in the northeastern zone GS336 (reverse circulation hole) returned +1.4 g/t results over numerous and material widths. Cut Area GS SW GS SW SW 14HC334 Channel SW 14TR096 Trench SW 14TR099 Trench SW NE GS336 GS NE NE NE NE NE 14HC338 Channel NE 14HC159 Channel NE Carbonate Ridge is a new style of mineralization at GSS with gold grades associated with silicified and dolomitized carbonates interbedded with volcanic schists.

3 The Gap Target Surface work and drilling at the Gap target between the Main Zone and the East Zone at GSS has intersected north-south trending mineralization, including higher grades, over significant widths. Cut GS GS The Gap target is a separate north south trending domain within GSS which remains open on strike. East of East Target Drilling at the East of East target, close to the eastern margin of the GSS resource, has intersected good grades and widths, including a high of 24m at 3.03g/t (24m@ 2.78g/t cut) in GS301. Three sections, 50m apart, were drilled at East of East based on strong results from trench and chip channel sampling. Cut GS GS GS GS GS HC179 Channel

4 14HC181 Channel HC182 Channel HC090 Channel TR041B Trench East of East also represents a new style of mineralization at GSS with grade hosted in diorites containing a fine stockwork of thin quartz veins. Mineralisation is interpreted as being vertical and is open to the south. Target G To the west of the GSS resource, at Target G, exploration has defined mineralization over a strike length of 100m, open on strike in both directions. This new mineralized zone runs parallel to the 320 Zone within the GSS resource. Cut GS GS GS331 GS

5 Target K At Target K, a single hole drilled below a trench intercept of 20m grading 1.24g/t, returned 40m grading 1.57g/t. Cut GS These results support the presence of a further, parallel zone, lying south west of the 320 Zone of the GSS resource. North East Target At the North East target, recent trench results of 30m at 1.55g/t and 24m at 1.21g/t have extended mineralization identified in earlier drilling. Further surface sampling is underway. Cut GS308 GS GS GS HC100 Channel TR046 Trench TR047 Trench TR153 Trench TR154 Trench

6 Target N At Target N initial trenching has defined a northeast trending mineralized zone which is now being followed up along strike. Cut 14TR113 Trench TR114 Trench TR115 Trench Target J At Target J, three trenches were excavated to follow up on a high grade drill intercept in GS103 of 16m grading 8.47g/t 5.57g/t cut) on the southern margin of the GSS resource. These trenches returned 18m at 2.79g/t, 22m at 3.61g/t and 26m grading 0.47g/t, respectively, and highlight new east-north-east trending mineralization in this area. Cut 14TR083 Trench TR139 Trench TR082 Trench Target A At Target A, 300m south of the GSS resource in an area of similar alteration and artisanal mining activity, surface sampling has defined a north west trending mineralized zone. Cut 14HC466 Channel TR111 Trench TR110 Trench HC096 Channel

7 Commenting on the discovery of numerous targets in close proximity to the Galat Surfar Resource area, Simon Jackson, President and CEO, said, Our latest new target identification program at Block 14 supports the real potential to expand the GSS resource. We are excited by the number and quality of these new targets and in a new exploration program will work to rapidly assess the potential of these targets towards adding to the Initial Mineral Resource at GSS. Orca is an enviable position to continue exploration at GSS and at our new high grade EG3.2 discovery on Block 14, (News Release: May 12, 2014) with a solid balance sheet of over $40 million in cash. We look forward to expanding GSS and working towards an initial resource estimate at EG3.2." About Orca Orca Gold Inc. is a Canadian resource company focussed on exploration opportunities in Africa. The Company has an experienced board of directors and management team and a strong balance sheet that includes a substantial treasury. The technical contents of this release have been approved by Hugh Stuart, BSc, MSc, a Qualified Person pursuant to NI Mr. Stuart is the Vice President Exploration of the Company and a Chartered Geologist and Fellow of the Geological Society of London. Samples used for the results described herein are prepared and analyzed by fire assay using a 50 gram charge at the ALS Chemex facility at Rosia Montana in Romania in compliance with industry standards. Field duplicate samples are taken and blanks and standards are added to every batch submitted. On behalf of the Board of Directors: Simon Jackson President, CEO and Director For further information contact: Simon Jackson, Ph Cautionary Statement Regarding Forward-Looking Information This press release contains forward-looking information within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as anticipate, believe, plan, expect, intend, estimate, forecast, project, budget, schedule, may, will, could, might, should or variations of such words or similar words or expressions or statements that certain events may or will occur. Forwardlooking statements in this press release include, but are not limited to, statements relating to indicates and inferred mineral resources, the potential to expand the resource targets in the Main and East Zones, the plans of the Company to conduct preliminary metallurgical testwork and increase its ownership in Block 14 and the future potential of GSS to become a commercial mining operation, including exploration activities. Forward-looking information is based on reasonable assumptions that have been made by the Company as at the date of such information and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: risks associated with mineral exploration and development; metal and mineral prices; availability of capital; accuracy of the Company s projections and estimates; interest and exchange rates; competition; stock price fluctuations; availability of drilling equipment and access; actual results of current exploration activities; government regulation; local political instability or unrest, local economic instability; global economic developments; environmental risks; insurance risks; capital expenditures; operating or technical difficulties in connection with development activities; personnel relations; the speculative nature of strategic metal exploration and development including the risks of diminishing quantities of grades of reserves; contests over title to properties; and changes in project parameters as plans continue to be refined. Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to the price of gold; the demand for gold; the ability to carry on exploration and development activities; the timely receipt of any required approvals; the ability to obtain qualified personnel, equipment and services in a timely and cost-efficient manner; the ability to operate in a safe, efficient and effective manner; the expected timing, costs, and results of a PEA; the expected burn rate; the regulatory framework regarding environmental matters, and such other assumptions and factors as set out herein. Although the Company has attempted to

8 identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. The Company does not undertake any obligation to update forward-looking information if circumstances or management s estimates, assumptions or opinions should change, except as required by applicable law. Accordingly, readers should not place undue reliance on forward-looking information contained herein. 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. Appendix A: Block 14 Permit Showing Prospect Locations