Newstrike Capital finds three Au-Ag corridors at Ejutla
Ticker Symbol: C:NES

Newstrike Capital finds three Au-Ag corridors at Ejutla

Newstrike Capital Inc (C:NES)
Shares Issued 114,931,458
Last Close 6/2/2014 $0.68
Monday June 02 2014 – News Release

Mr. Richard Whittall reports

Newstrike Capital Inc. (NES) has released the results of a successful exploration program on its Ejutla property in Oaxaca state, Mexico. Three significant mineralized structural corridors, each host to extensive gold and silver bearing low sulphidation epithermal veins, have been identified.

“Our exploration efforts at Ejutla confirm a target-rich environment and results underpin the exciting potential for substantial extensions to known mineralized systems,” commented Richard Whittall, President and CEO of Newstrike. “The Ejutla Property is located within the Taviche Mining District, an area already well known for its significant gold and silver production.”

Ejutla comprises the 18,866 hectare Ejutla Fracc. 2 claim block, 100% owned by Newstrike with no royalties and located 45 kilometers south of the capital city of Oaxaca de Juarez. The Property is in the region of Fortuna Silver’s producing San Jose-Trinidad mine 20 kilometres to the west of Ejutla and Gold Resources’ El Aguila mine 25 kilometres to the east, as well as several other Canadian exploration projects. The Company is completing a NI 43-101 compliant technical report on the Property that will include recommendations for drilling. The Report will be completed shortly.

Highlights from surface outcrop chip and channel samples include:

Sample Location X_W84 Y_W84 Type Width m Au_g/t Ag_g/t

19736 Bilia vein 770295 1841630 Channel 0.605 762
49628 El Venado 768595 1844128 Chip 0.2 0.188 723
dike
59092 Mina del 768620 1844085 Channel 0.6 0.412 701
Horno
29055 Las Jarillas 770080 1843708 Chip 5.0 0.013 664
29004 Mina Las 770299 1844014 Channel 1.2 0.297 362
Jarillas
49294 El Pedregal 770296 1842192 Channel 0.5 0.488 350
19514 Los Charros 769802 1844304 Chip-channel 1.0 0.882 293
108435 Mina el Horno 768635 1844096 Channel 0.3 0.067 291
19731 Bilia 770319 1841623 Channel 1.6 0.094 221
29685 La Mezcalera 770315 1841624 Dump 2.0 0.272 200
39714 Duraznillo 778473 1841576 Channel 0.2 0.190 89.2
39466 Beinillo 770129 1842818 Channel 1.8 1.260 14.0
59140 Beinillo 770088 1842842 Channel 0.5 1.210 1.7
59142 Beinillo 770113 1842831 Channel 0.5 0.753 2.5
59144 Beinillo 770127 1842820 Channel 1.1 1.000 34.7
The three structural corridors discovered on the Property during mapping and sampling programs consist of a series of northwest trending fracture zones that display important northerly and north-easterly trending splays, each filled by mineralized felsic dikes and/or by complex sub-parallel mineralized low sulphidation banded epithermal quartz and quartz-calcite veins and vein systems typical of structures in the surrounding Taviche Mining District. Individual veins vary in thickness from a few centimetres to as much as ten metres and are separated by a host wallrock that displays extensive argillic alteration and silicification.

One of the structural corridors, “Las Casas”, located in the western half of the Property, has been explored most extensively to date and mapped in detail over an eight kilometre strike length with outcrop evidence suggesting it exceeds ten kilometres along strike and is as much as three kilometres in width. Vein textures and geochemistry are typical of those encountered in the boiling zones of epithermal systems or just above the boiling zone, indicating the higher parts of the mineralized system are exposed at surface.

This location is an ideal scenario for the preservation of potential metal lodes at depth. Mapping is ongoing to advance the other two structural corridors both of which exceed several kilometres along strike and vary from one to two kilometres in width.

The Company will evaluate the recommendations in the Report in order to select the targets and scope of work for future focused exploration programs.

QA-QC:

Newstrike maintains strict QA-QC protocols for all aspects of their exploration programs that include the systematic insertion of blanks and standards into each sample batch. ALS Chemex performed assay analyses reported in this release. All samples are assayed using the laboratory’s certified and industry standard assay techniques for gold and multi-element packages and for over limits; gold (Au) was analyzed by 50 gram fire assay with an atomic absorption finish, and other elements were analyzed by multi-element ICP. Silver assays over 100 g/t were reanalyzed by ICP methods for overlimits.

Ken Thorsen, a director of the company and a qualified person under NI43-101 has reviewed the contents of this press release. The exploration program is conducted under the direction and supervision of Dr. Craig Gibson, PhD, CPG and qualified person under NI43-101.

We seek Safe Harbor.

© 2014 Canjex Publishing Ltd.

June 3rd, 2014
Categories: Uncategorized . Author: caliche