VANCOUVER, BC – December 8, 2020 – Kenadyr Mining (Holdings) Corp. (TSX-V: KEN; OTC-MKTS: KNDYF; FRA: KM0) (the “Corporation” or “Kenadyr”) continues to review its substantial database for the Borubai Project with a view to begin asset development once conditions permit. The Corporation has engaged APEX Geosciences Ltd. (“APEX”), a premier geological consultancy, to examine drill data and make notes and recommendations.
The East Zone, an area of mineralization approximately 1km away from the main Taldybulak Levoberezhniy mineralized zone (which Zijin Mining is exploiting on their license area), represents the primary drill-ready target on Borubai for expanding on past work. Previously announced drill results in the East Zone include 69m core length at 2.57 g/t gold, 50m core length at 8.15 g/t gold and 93m core length at 1.00 g/t gold. Preliminary analysis by APEX indicates the potential for an underground and/or and open pit-based resource at the East Zone with a current drill indicated exploration target ranging from 7.7 million tonnes at a grade of 1.5 g/t for a total of 370,000 ounces of gold to 19.7 million tonnes at a grade of 0.9 g/t for a total of 570,000 ounces of gold (memo by Dufresne & Acorn, 2020 and NI 43-101 report “Technical Report for Javelle Capital Corp. on the Borubai Gold License Kyrgyz Republic”, Boswell, filed on SEDAR February 28, 2017). The potential quantity and grade are conceptual in nature. There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource. This material could be potential feedstock to the neighboring Zijin’s milling operation.
Figure 1. Location of Zijin and Kenadyr Mineralized Gold Zones.
Historical drilling on Kenadyr’s Borubai license consists of more than 98,200m in 184 holes pre-1991 with an additional 10 RC holes and 3 core holes for a total of 2,158m completed by Kenadyr in 2016. The Borubai East Zone exploration target is based upon geochemical assay data from more than 43 drill holes with historical underground development and sampling that was modelled by Boswell (NI 43-101 report February, 2017) and more recent work, conducted by APEX that is documented in an internal memo (Dufresne & Acorn, 2020). The exploration target is not a mineral resource and the potential quantity and grade are conceptual in nature. It is uncertain if future exploration will result in the definition of a mineral resource, however, APEX recommends follow-up drilling and modelling for the Borubai East Zone.
The South Zone is directly adjacent to the Zijin’s main Taldybulak Levoberezhniy mineralized zone, with mineralization an extension of that zone approximately at 500m to 700m below the surface (Zijin’s Taldybulak Levoberezhniy is an underground mine that is been in production since 2015). The mineralized material could be exploited by Zijin’s main operation by extending the underground workings across the license boundary. Geologically, it is the same mineralized zone. Highlight drill results on the South Zone on Borubai licensed ground includes 40m core length at 6.17 g/t gold. Preliminary analysis by APEX indicates that there is potential for the material in the South Zone to add resources and extend Zijin’s Taldybulak Levoberezhniy’s mine life.
APEX’s report said: “There is a reasonable probability for an underground mineral resource in the South Zone at 500m to 700m depth, but it does present challenges to delineate if using surface drilling.” “The East Zone does have the potential to produce an underground or bulk tonnage open pit based mineral resource with additional drilling and using modelling driven by data based on comparable assets in the region. The modelled lodes for the East Zone are at depths ranging from 175m to 275m vertical depth. These lodes could be further tested with surface drilling, as the main mineralization area appears to have significant thickness and width. As such, additional surface drilling would be expected to further define and provide the data necessary to produce a modern mineral resource estimate.” “There are multiple exploration target areas outside the zones adjacent and near to Taldybulak Levoberezhniy mine that have yielded mineralized intersections and present additional resource potential.”
The technical content of this news release has been reviewed and approved by Michael Dufresne, M.Sc, P.Geol., P.Geo., a qualified person as defined by National Instrument 43-101.
Kenadyr is developing its 100%-owned Borubai gold exploration license in the Kyrgyz Republic, as well as evaluating growth opportunities in the gold mining sector. The Borubai license completely surrounds the Taldybulak Levoberezhniy gold mine, with which it shares mineralization trends. Taldybulak Levoberezhniy produced 133,335 oz gold in 2019 and is operated by Zijin Mining.
ON BEHALF OF KENADYR MINING (HOLDINGS) CORP.
Chief Executive Officer and Director
For more information, please contact:
Tim McCutcheon or Kevin Ma
Phone: +1-604-569-2963 Ext 105
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This press release contains forward-looking statements and forward-looking information (collectively, “forward-looking statements”) within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein including, without limitation, statements regarding the anticipated content, commencement, timing and cost of exploration programs, anticipated exploration program results, the discovery and delineation of mineral deposits/resources/reserves, and the anticipated business plans and timing of future activities of the Company, are forward-looking statements. 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 typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward looking statements as a result of various factors, including, but not limited to, the state of the financial markets for the Company’s equity securities, the state of the commodity markets generally, variations in the nature, quality and quantity of any mineral deposits that may be located, variations in the market price of any mineral products the Company may produce or plan to produce, the inability of the Company to obtain any necessary permits, consents or authorizations required, including TSXV acceptance, for its planned activities, the inability of the Company to produce minerals from its properties successfully or profitably, to continue its projected growth, to raise the necessary capital or to be fully able to implement its business strategies, and other risks and uncertainties disclosed in the Company’s latest interim Management Discussion and Analysis and filed with certain securities commissions in Canada. All of the Company’s Canadian public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including the technical reports filed with respect to the Company’s mineral properties.