Cache Exploration (TSXV: CAY) (OTC Pinksheet: CEXPF) is an exploration company specializing in the acquisition, exploration, and development of gold projects in Nunavut, Canada. Focused on a true district play covering a majority of the Proterozoic Kiyuk Basin in Nunavut, the Kiyuk Lake Gold property has significant open pit potential.
Nunavut is a mining-friendly jurisdiction that is highly appealing to junior resource companies. Three producing mines currently operate in Nunavut: Agnico Eagle Mines’ (TSX:ASM,NYSE:AEM) Meadowbank gold mine, TMAC Resources’ (TSX:TMR) Hope Bay gold mine and Baffinland Iron Mines’ Mary River iron mine.
The Kiyuk Lake Gold Property is the company’s flagship project and is located 50 kilometers north of the border with Manitoba and 350 kilometers west of Arviat in Nunavut, Canada. The company has 100 percent interest in the property.
Kiyuk Lake can be accessed by air to an ice runway in winter or by floatplane in the summer. Every drill campaign since 2011 has discovered at least one new gold zone, a factor that points to the potential of the area. To date, best drill results include 36m at 4.95 g/t of gold from 134m and 38m at 4.2 g/t of gold from the surface. Many parts of the known zones remain untested by drilling, and four target areas are not yet drill tested, which means potential significant expansion on the property.
The project is fully permitted and Cache Exploration is actively working towards a large drill program in February 2021. The company received their drill, water, and land use permits in 2019.
Cache Exploration has a strong management team that continues to bring together a wealth of technical and financial markets experience. Management owns about 20 percent of the company’s shares.
Short term and Long term
The short term goals are to advance the Kiyuk Lake Gold Project by increasing the Gold resource at Kiyuk lake by drilling in February 2021. Up to 5,000m of drilling focusing on expanding on the known mineralization at Rusty, Gold Point, Amundsen and new zones (Nansen).
Long term goals is to advance the Kiyuk Gold Project to a size where the project is a take out target for a major mining company.
Cache Exploration Company Highlights
● Focused on exploring near-surface gold in Nunavut
● The company’s current primary property is Kiyuk Lake Gold property where it has the right to 100 percent interest
● Kiyuk Lake Gold property has gold showing extending over a distance of 15 kilometers in all directions
● The project has had about 14,000 meters drilled and 80 percent of all drill holes with good gold mineralization
● Cache is focused on doing a drill project in the coming winter-spring when it is cheapest to drill
● Cache Exploration considers this to be the best time to invest because the gold market is hot and the north has high-grade gold
● Cache has a strong management team and plans to bring on board additional management with industry experience
Drilling program February 2021
Cache Exploration plans to drill up to 5,000 meters at Kiyuk Lake. The initial focus is to drill the Rusty Zone and take it to a published resource. Gold has been discovered to a depth of 200m and we will drill deeper and expand on the high grade Gold intercept of 8m at 26.4 g/t Gold. At the same time, the Company discovered extensive mineralization at East Gold Point with 64 m at 1.5 g/t gold and 10 m at 6.5 g/t gold. This will also be a target of drilling in February.
Additionally, the discovery of the Nansen target area through grid till sampling and prospecting, north of Kiyuk Lake, is also hosted in the same magnetitic polymictic conglomerate that hosts Gold Point and East Gold Point adding further to the prospective nature of this unit which has a 13km strike length extending on either side of Kiyuk Lake. This new target will be drilled in February 2021.
Main investments / expenses that Cache has made this year
The company is gearing up for the drill program at Kiyuk Lake. Cache Exploration is exploration company that develop mineral assets for sale or to put into production.
Kiyuk Lake is a true district play (approx.500 square kilometers) with a claim package covering a majority of the sedimentary rocks of the Proterozoic Kiyuk Group. The deposit is categorized as an IOCG (Iron Oxide Copper Gold) type of deposit. IOCG can host large gold deposits. To date we have Gold Showings over a 15 Km Strike Length and have discovered an additional 5 targets. Our Gold grades are some of the highest in Canada. Most of Canada has been explored extensively and not many large gold deposits will be found. The Nunavut area is remote and has had no exploration.
Five new target areas
The discovery at East Gold Point is significant as it confirms that the extensive polymictic conglomerate unit is a favorable host to gold mineralization. Further exploration will continue to target these magnetite destructive features where they correspond with positive surface geochemical results in gold or pathfinder elements. Additionally, the discovery of the Nansen target area through grid till sampling and prospecting, north of Kiyuk Lake, is also hosted in the same magnetitic polymictic conglomerate that hosts Gold Point and East Gold Point adding further to the prospective nature of this unit which has a 13km strike length extending on either side of Kiyuk Lake. We are thrilled with the multiple new discoveries resulting from our modest 2017 program.
Rusty Zone KI17-004 intersected a broad zone of brecciated cross bedded sandstone with actinolinte-carbonate-magnetite infill with abundant pyrrhotite and visible gold from 188m down hole. The hole ended in mineralization at 310m down hole. KI17-004 tested the depth extension of mineralization intersected in the discovery hole and previous drill holes in the north part of the Rusty zone. This hole succeeded in increasing the depth of known gold mineralization from surface to 200m in depth below surface. The mineralized zone remains open at depth.
East Gold Point KI17-005, East Gold Point, is located 700m to the east of the Gold Point zone. This previously untested target was defined by coincidence of magnetite destructive features observed in ground magnetic data and the presence of mineralized boulders on surface. East Gold Point represents a ‘proof of concept’ new discovery that confirms the prospective potential of structures that cross cut the polymictic conglomerate unit. Success in intercepting significant gold mineralization in the first drill hole to target the northern most extent of this structure is a positive result for further development of gold mineralization models at the Kiyuk Lake project. The strike length of the magnetite destructive features is yet to be determined and will require further ground magnetic surveying to define and constrain their extent.
Our 2017 drill program has delivered extremely impressive results which confirmed and extended a known target and discovered significant gold mineralization at a new target. At Rusty Zone we not only confirmed that mineralization extends to 200m below surface but also intersected a previously unknown high-grade phase of 8m of 26.4 g/t gold. At the same time, we discovered extensive mineralization at East Gold Point with 64 m at 1.46 g/t gold. Our prospecting returned two +5 g/t gold samples and our till campaign isolated two new anomalous areas that offer compelling evidence for further possible discovery. All in all, this drill program has revealed the potential for Kiyuk Lake to be recognised as an extensive gold camp.
Significant Release Highlights: •
KI17-004 at Rusty Zone returned 122m at 1.8 g/t gold from 188m down-hole in the Rusty Zone •
KI17-005 at newly discovered East Gold Point Zone intersected: o
64m at 1.5 g/t gold from 35m and o 10m of 6.5 g/t gold from 248m •
Prospecting samples returned: o 5.57 g/t gold from west of the Rusty Zone
5.60 g/t gold grab sample from north of Kiyuk Lake and 1.1km from the newly identified Nansen target area
We are drilling 4 times the meters in the 2021 drill program and we expect continued high grade Gold results.
Cache Exploration has waited for the Gold market to improve before raising capital and continuing with drilling on Kiyuk Lake. The goal is to limit dilution and maximize drilling of the project.
FINANCIAL STATE 2020
Cache has $2m on hand and no debt currently. We are looking for $20,000,000 in a combination of debt and equity to move the company forward and advance our main asset Kiyuk Lake Gold.
Cache became public to finance exploration of mineral properties. We have been very successful in raising capital to bring our projects forward to production.
Cache employees currently work from home and use video conference daily. Cache has also developed a Covid plan for our work program at Kiyuk Lake, which includes medical staff on site and social distancing while working.
What does Cache Exploration has to offer for shareholders?
If you are looking for exposure to the Gold industry then Cache Exploration is a good investment as we create shareholder value and develop the Kiyuk Lake Gold Project to production.
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