Golden Dawn Minerals Inc. (OTC: GDMRF) (TSX-V: GOM) (the "Company" or "Golden Dawn") is pleased to announce the purchase of 100% interest in all remaining cells of mineral claim tenure number 513773, to compliment the Company's 100% owned Amigo Property consisting of 8 cell units of the same mineral claim. The total area of the newly acquired cells is 487.03 ha (for a total of approximately 656.43 ha including the previously acquired Amigo Property). This claim is contiguous with and lies to the south of the Company's Boundary Falls mineral claims covering the historic May Mac Mine and processing facility. The newly expanded Amigo Property and the May Mac Mill are located adjacent to Highway #3 approximately 3 km west of Greenwood, B.C.
To complete the transaction Golden Dawn will issue 100,000 shares of the Company's stock to the current Property owner. There are no work commitments associated with this agreement. The expanded Amigo Property compliments the Company's Boundary Falls Property which contains the Company's 100% owned historic May Mac Mine and the existing associated mill and tailings pond. This historic processing facility is not to be confused with the Company's modern Mill and tailings pond, situated 15 km to the east of this facility. Currently the Company is conducting an extensive surface and underground drilling program in proximity to the known Skomac multiple vein system.
This transaction is subject to TSX-V approval.
Golden Dawn has conducted diamond surface and underground drilling to explore these 2 contiguous properties since October 2015. Total surface drilling at the May Mac Mine's Skomac multiple vein system, now amounts to 2321 metres in 20 surface diamond drill holes. Total drilling on the Amigo Property amounts to 904 m for 16 surface diamond drill holes.
Three drill stations in the #7 adit have been excavated to accommodate underground diamond drilling. To date, 3834 meters of diamond underground drilling in the #7 adit of the May Mac have been completed in stations #3 (2760 m) and #2 (1074 m).
Total surface and underground diamond drill holes on these contiguous properties completed are 7059 meters since Oct. 2015. Recently, samples have been submitted to the lab and assays are pending from work conducted in the last two months. A permit application for further surface drilling for 2017 is pending, and applications for underground drifting, drilling and bulk sampling in the May Mac Mine are being processed. The aim of this exploration work is to establish a potential mineral resource and complete a bulk sample at the May Mac Mine that could compliment mill feed from the Lexington and Golden Crown mines for the Company's modern Greenwood Processing facility 15 km to the east of the May Mac and Amigo mines.
The Company cautions that mineral resources have not been defined at either the May Mac or Amigo properties. The Company intends to process any mineralized material that might be extracted from the May Mac Mine as a test to investigate metal recoveries and potential economics of operating the May Mac Mine.