Volcanic Gold drills 1.53 metres of 191.8 g/t gold/539 g/t silver at Holly project, Guatemala

Volcanic Gold Mines Inc. [VG-TSXV; VLMZF-OTC] reported final results from Holly drill holes HDD-21-017 through HDD-21-020 following receipt of the over-limit assays, and that the drill is again turning at the Holly project, Guatemala. Drilling at Volcanic’s nearby Banderas project will start this month.

Holly highlights include drill hole HDD-21-017, from 134.25 to 143.08 metres, returned 8.83 m at 8.81 g/t gold and 355 g/t silver. HDD-21-019, from 28.97 to 30.50 metres, returned 1.53 metres at 191.8 g/t gold and 539 g/t silver and from 171.90 to 178.42 metres returned 6.52 metres at 11.72 g/t gold and 340 g/t silver. HDD-21-020, from 61.70 to 67.10 metres, returned 5.40 metres at 4.38 g/t gold and 350 g/t silver, including 63 to 64 metres, 1.0 metre at 20.70 g/t gold and 1,616 g/t silver and from 131 to 134.20 metres, returned 3.20 metres at 255 g/t silver.

Results from Holly continue to return high-grade broad intercepts accompanied by high associated values in path finder elements such as mercury and antimony. It is management’s belief that the company is still high in the epithermal system and the next round of drilling continues to step down the Jocotan fault breccia testing this broader system at depth.

Results are still pending from latest step-out holes to the north and south. The initial step out hole to the north, HDD21-015, returned 15.55 metres at 7.67 g/t gold and 615 g/t silver, and HDD21-017 to the south of the Jocotan breccia (above) returned 8.83 metres at 8.81 g/t gold and 355 g/t silver.

Under an option agreement of May, 2020, with Radius Gold Inc. RDU-TSXV; RDUFF-OTC], Volcanic can earn a 60% interest in the Holly and Banderas projects by spending a cumulative US$7-million on exploration within 48 months. An initial US$1-million must be spent on exploration within the 12 months of receiving drill permits and require a minimum 3,000 metres of drilling.

Following the exercise of the option, Volcanic will enter into a standard 60/40 joint venture. Volcanic has also been granted an exclusive right to evaluate all other property interests of Radius in Guatemala with a right to acquire an interest in any or all other such properties on reasonable terms.