Golden Dawn to Start Exploration Trenching at Golden Crown Property

Rhea-AI Summary

Golden Dawn Minerals (GDMRD) announced the commencement of its 2020 exploration program at the Golden Crown property in southeastern British Columbia. The initiative includes approximately 2,000 metres of trenching aimed at extending the known deposit and discovering new gold zones. The current resources are estimated at 163,000 tonnes grading 11.09 g/t gold. The project lies near the Greenwood Processing Plant, with permits in place for operations. Historical assays at the JD area returned values up to 5.87 g/t gold over 4 metres, indicating potential for further discovery.

Positive

• Exploration program includes 2,000 metres of trenching, indicating proactive development.
• Estimated resources of 163,000 tonnes grading 11.09 g/t gold show strong potential.
• Proximity to Greenwood Processing Plant may enhance operational efficiency.
• Historical assays from the JD area indicate promising gold values, suggesting potential for new discoveries.

Negative

• None.

VANCOUVER, BC / ACCESSWIRE / September 30, 2020 / Golden Dawn Minerals Inc., (TSXV:GOM)(FRANKFURT:3G8C)(OTC PINK:GDMRD), ("Golden Dawn" or the "Company"), announces that it is about to start exploration work at its Golden Crown property in the Greenwood mining district of southeastern British Columbia.

Golden Dawn is about to kick-off its 2020 exploration program with trenching on its Golden Crown property. Approximately 2,000 metres of exploration trenching is planned for the Golden Crown and JD areas this season. This work is aimed at extending the Golden Crown deposit and discovery of new gold zones to add to the existing Golden Crown deposit.

Aeromagnetic map showing 3.5 km trend between Golden Crown and JD areas.

The Golden Crown resource is estimated at 163,000 tonnes Indicated Resources grading 11.09 grams per tonne gold and 0.56 percent copper and Inferred Resources of 42,000 tonnes grading 9.04 grams per tonne gold and 0.63 percent copper (see "Updated Preliminary Economic Assessment on the Greenwood Precious Metals Project, Greenwood, British Columbia, Canada, P&E Mining Consultants Inc., Effective Date: May 5, 2017", filed on SEDAR June 19 2017).

The heart of the Golden Crown deposit is a vein system consisting of 17 discrete massive sulfide and quartz-sulfide veins within an area 130 by 800 m. The JD area lies northwest of the known Golden Crown deposit along a 3.5 km long corridor of steeply dipping veins defined by historic drill hole intercepts, trenches, gold soil geochemical anomalies and geophysical ("VLF") anomalies (see figure above). These features indicate excellent potential for discovery of new gold bearing zones in the underexplored gap between the JD and Golden Crown.

The 2020 trenching program will test the historic JD mine area and along the corridor of anomalies, where sulphide-quartz veins of similar composition and orientation to those at the Golden Crown deposit were previously identified. Rock chip sampling at the JD area by Golden Dawn in 2017 returned values ranging up to 5.87 g/t gold over 4.0 metres (see photo below).

Photo of historic JD mine workings

The Golden Crown property also lies 3 km from the Greenwood Processing Plant and is included in the proposed mine plan outlined in the 2017 Preliminary Economic Analysis along with the Lexington mine. Permits are in place for the Greenwood Processing Plant and Lexington Mine, with operations pending upgrades and refurbishment of the plant and mine. The Greenwood Precious Metals Project covers approximately 15,400 hectares within which are numerous mineralized zones and 34 historic mines including the large-scale historic Phoenix copper-gold mine. Geologically, the project is situated within an area of tectonic extension defined by the Republic and Toroda Grabens, which extend from south of the 49^th parallel in the USA where they are associated with major gold deposits in the prolific Republic Mining District.

Assays reported above were from samples collected under the supervision of Dr. Mathew Ball, P.Geo. and delivered to Activation Laboratories (Act-Labs) in Kamloops, B.C. Activation Laboratories (Act-Labs) is an independent commercial laboratory that is ISO 9001 certified and ISO 17025 accredited. Analyses for gold were by the fire assay method using 30 gram samples with an AA finish. Fire assay gravimetric analyses were carried out on initial gold analytical results in excess of 30000 ppb gold. Silver and other elements were analyzed by ICP-OES using an aqua regia digestion. Copper results above 1% were re-analyzed by peroxide fusion. Results above 100 g/t silver were re-analyzed in duplicate for ore grade concentrations by the Fire Assay gravimetric method using a 30 gram sample. Quality control was monitored using reference and blank samples inserted into the sample sequence at intervals.

Technical disclosure in this news release has been approved by Dr. Mathew Ball, P.Geo., President of the Company and a Qualified Person as defined by National Instrument 43-101,

For more details, please see the most recent National Instrument 43-101 Technical Report on the Company's website at www.goldendawnminerals.com.

On behalf of the Board of Directors:\
GOLDEN DAWN MINERALS INC.

Per: "Christopher R. Anderson"

Christopher R. Anderson
Chief Executive Officer

For further information, please contact:

Golden Dawn Minerals Inc. - Corporate Communications:
Tel: 604-221-8936
Email: Office@goldendawnminerals.com

Forward-Looking Statement Cautions: This news release contains certain "forward-looking statements" within the meaning of Canadian securities legislation, relating to, among other things, preliminary plans for a consolidation of the Company's Shares. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are statements that are not historical facts; they are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "aims," "potential," "goal," "objective," "prospective," and similar expressions, or that events or conditions "will," "would," "may," "can," "could" or "should" occur, or are those statements, which, by their nature, refer to future events. The Company cautions that forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made and they involve a number of risks and uncertainties. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Except to the extent required by applicable securities laws and the policies of the TSX Venture Exchange, the Company undertakes no obligation to update these forward-looking statements if management's beliefs, estimates or opinions, or other factors, should change. Factors that could cause future results to differ materially from those anticipated in these forward-looking statements include the possibility that the TSX Venture Exchange will not approve the proposed share consolidation, and that the Company may not be able to raise sufficient additional capital to continue its business. The reader is urged to refer to the Company's reports, publicly available through the Canadian Securities Administrators' System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com for a more complete discussion of such risk factors and their potential effects. This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of securities of the Company in any jurisdiction in which such offer, solicitation or sale would be unlawful, including any of the securities in the United States of America. The Company's securities have not been and will not be registered under the United States Securities Act of 1933 (the "1933 Act") or any state securities laws and may not be offered or sold within the United States or to, or for account or benefit of, U.S. Persons (as defined in Regulation S under the 1933 Act) unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration requirements is available.

THIS PRESS RELEASE DOES NOT CONSTITUTE AN OFFER TO SELL, OR THE SOLICITATION OF AN OFFER TO BUY, NOR SHALL THERE BE ANY SALE OF SECURITIES OF THE COMPANY IN ANY JURISDICTION IN WHICH SUCH OFFER, SOLICITATION OR SALE WOULD BE UNLAWFUL PRIOR TO REGISTRATION OR QUALIFICATION UNDER THE SECURITIES LAWS OF ANY SUCH JURISDICTION.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.

SOURCE: Golden Dawn Minerals Inc.

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FAQ

What is the focus of Golden Dawn's exploration program in 2020?

Golden Dawn's 2020 exploration program focuses on trenching approximately 2,000 metres at the Golden Crown property to extend its deposit and discover new gold zones.

What are the current resource estimates for the Golden Crown property?

The Golden Crown property has estimated resources of 163,000 tonnes grading 11.09 g/t gold and 0.56% copper.

What historical assay results were reported from the JD area?

Historical assays from the JD area reported values ranging up to 5.87 g/t gold over 4.0 metres.

How does Golden Dawn's project relate to the Greenwood Processing Plant?

The Golden Crown property is located 3 km from the Greenwood Processing Plant, which is included in the proposed mine plan.

What is the significance of the 2020 trenching program?

The 2020 trenching program is significant as it aims to test historic areas and explore for new gold-bearing zones, enhancing the potential for discoveries.