Stockade Mountain Project Drilling Returns High Grade Gold Value

Stockade Mountain Project Drilling Returns High Grade Gold Value

VANCOUVER – Austin Gold Corp. reported on the third diamond drill hole at its Stockade Mountain Project located in Malheur County, Oregon. The third hole returned a high gold value of 9.32 g/t from a 2.7 foot (0.82 meter) interval of chalcedonic vein and breccia. Hydrothermal alteration and mineralization in the hole are exceptionally strong and the rock is completely oxidized to the bottom of the hole. This third hole (SM-24-04)1 was drilled due north from the site of SM-23-02 at an inclination of -72.5 degrees. Although the gold intervals are not interpreted to be one of the targeted high grade “feeder” veins to the high level stockwork gold mineralization, geological indications are that they are at greater depth and in this general area. AUST is planning a RC drill program to continue the exploration for the hypothesized high-grade vein systems.

As previously reported, the initial two holes confirmed that the mineralizing system at Stockade Mountain is robust and contains significant gold grades, with the strongest intercept of 8.19 g/t over 4 feet (1.2 meters) and several other gold intercepts of interest. This third hole continues to demonstrate the strength of the hydrothermal system and the potential for significant gold mineralization within the project area.

Stockade Mountain is a classic low-sulfidation/hot springs gold and silver exploration-stage project with a history of significant exploration work in the late 1980s and early 1990s. At that time, targeted mineralization was near-surface gold deposits minable by open pit methods. The last hole drilled at Stockade was in 1993 by Placer Dome, and until Austin’s current drill program, no drilling had targeted high-grade veins minable by underground methods that are hypothesized to occur below the known lower grade stockworks mineralization.

The Company’s drilling program was designed to test beneath the known high-level gold/silver-bearing stockworks mineralization for high-grade vein deposits formed deeper in the hydrothermal system. This is the first known use of diamond drilling on the property, which allows the Company to have a better understanding of the host rocks and mineralization. Due to extremely difficult ground conditions caused by mud and snow, this initial program has been limited to the completed three core holes.

The Stockade Mountain Project consists of 261 unpatented lode mining claims that cover an area of 6,790 acres, located in Malheur County, Oregon, approximately 85 kilometers southeast of Burns, Oregon, and 150 kilometers southwest of Boise, Idaho.