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Harvest Gold Prepares for Phase 1 Diamond Drill Program at Cerro Cascaron Property

02/01/2018


Vancouver, British Columbia, February 1, 2018 Harvest Gold Corporation (TSX.V:HVG) (“Harvest Gold” or the “Company”) is pleased to announce that drill permits to conduct a Phase 1 diamond drilling exploration program at the high-grade Cerro Cascaron gold-silver project in Mexico are expected by mid-February.  The first phase of diamond drilling consists of 14 diamond drill holes comprising 3,000-3,500 metres in 5 of 8 target areas on the property, defined by rock channel, grab and soil samples.  Planned hole depths range from 100-300 metres.  The drill program is anticipated to require approximately 45-60 days to complete.

Harvest Gold’s President and CEO Rick Mark states: “We are pleased to have advanced the Cerro Cascaron project to the initial drill program stage and, based on the results of our preliminary work to date, we look forward to meaningful drill results. We would like to thank our shareholders for their patience. We chose to take the time last year to add another layer of value to the investigation of Cerro Cascaron to insure we developed the best possible drill targets at this previously undrilled property. We know that a successful initial drill program is one of the key drivers of share appreciation in the junior mining space.”

Gold Targets 

  1. Serpiente Dorado and Julieta

The Phase 1 drill program at Serpiente Dorada and Julieta will consist of six holes along 900m, within a 1.8 kilometre  long gold-silver soil anomaly that averages above 200 ppb with the peak being 1380 ppb gold hosting the Serpiente Dorada and Julieta structures.  Holes will test areas of high grade gold-silver mineralization defined by channel and grab samples at Serpiente Dorada, and strong geochemical anomalies defined by the Julieta structure and the Julieta-Serpiente structural intersection.

Previous selected hand grab sampling of Serpiente Dorado returned gold grades from trace to 1,670 grams per tonne gold (“g/t”) gold and 1,490 g/t silver while channel samples collected with a rock saw on the Julieta vein returned sample grades of 5.04 g/t gold and 14.4 g/t silver over 2.0 metres within 6.3 metres grading 2.16 g/t gold and 28.8 g/t silver (see Harvest Gold press release dated June 15, 2017 and Evrim Resources Corp. August 17, 2016). [Readers are cautioned that rock chip, grab and channel samples are selected samples and are not necessarily representative of the mineralization hosted on the property.]

  1. San Pedro

At the San Pedro Area, three holes will test high grade gold silver veins defined by channel sample results from 2016, and approximately 800m to the north gold, silver and pathfinder geochemistry defined by the 2017 soil sampling program.   In 2016, channel sample results collected with a rock saw on the San Pedro vein returned sample grades of 19 g/t gold and 72.6 g/t silver over 0.8 metres within 2.6 metres grading 6.05 g/t gold and 28.3 g/t silver.  Approximately 45 metres further north, channel sampling returned grades of 10.5 g/t gold and 46.4 g/t silver over 0.9 metres within 4.3 metres grading 2.22 g/t gold and 10.9 g/t silver.

  1. Carabina

The Carabina area will see diamond drill testing of two areas of high grade gold-silver surface samples. In 2016, channel sampling across the Carabina vein returned sample grades of 5.73 g/t gold and 29.3 g/t silver over 1.4 metres within 5.4 metres that graded 2.12 g/t gold and 14.5 g/t silver.

Cascarita Silver target

The Cascarita Area will see drilling in three holes over some 350 metres of strike length, along a larger (900 metre) polymetallic silver-lead zinc vein breccia system, defined by underground channels and surface grab samples where adit sampling returned five channel sample cuts with widths of 1.4 to 3.3 metres that grade between 231 and 542 g/t silver equivalent.*

Predicated on the success of the Phase 1 program, Harvest Gold has established plans for a multiple phase program at its Cerro Cascaron Project.

A Phase 2 drill program, consisting of an additional 3,700 metres in 12 holes have been planned in the Dolores, San Pedro, El Salto, Cascarita, La Puerta, Carabina and Julieta areas.

The Cerro Cascaron project covers 69 square kilometres in a historic Colonial-era mining district in the prolific Sierra Madre Occidental (“SMO”) precious metals belt of western Chihuahua State. Harvest Gold has the right to earn up to an 80% interest in Cerro Cascaron from Evrim Resources Corp. (“Evrim”) (TSX.V:EVM) by incurring certain exploration expenditures, making cash and share payments and delivering a 43-101 compliant feasibility study.

*Note: Silver-Equivalent Ag-Eq = Ag + (Pb%*22.046*Pb price*31.103/Ag price) + (Zn%*22.046*Zn price*31.103/Ag price). Metal prices used for this formula: Ag = $US 16.25/oz, Pb = $US 1.00/lb, Zn = $US 1.25/lb.  Recoveries of 100% are assumed for the silver-equivalent values.           

About the Cerro Cascaron Project

The Cerro Cascaron property hosts a low to intermediate sulphidation epithermal gold bearing system and includes a high-grade gold vein field measuring approximately 18 square kilometres in area on the eastern third of the property. Veining has been mapped on a cliff face for over 900 vertical metres, with classic textural evidence of multiple phases of hydrothermal boiling accompanying the highest gold grades. These boiling zones have been established in the upper 380 metres of the vein field. Beneath the boiling zones, silver- and base metal-rich veins and breccias provide additional exploration targets.

Cerro Cascaron’s setting and mineralization is similar to many epithermal deposits in the Sierra Madre Occidental, including Fresnillo PLC's La Cienega Mine in Durango, Goldcorp’s past producing El Sauzal gold mine and further south, First Majestic’s San Martin de Bolanos silver mine in Jalisco State.  The property is approximately 55 kilometres southeast of Goldcorp Inc.’s past-producing El Sauzal gold mine and is one of the few unexplored and undrilled opportunities in the region. 

Readers should refer to Evrim’s press releases dated June 8 and August 17, 2016 and Harvest Gold press releases dated June 8 and 15 and October 5 and 18 and November 27, 2017 for a full description of previous exploration results.

Quality Assurance/Quality Control

Mr. Warren Bates, P. Geo (APGO#0211), the Company’s Director of Property Investigation, is the Qualified Person for this press release for the purposes of National Instrument 43-101, and has reviewed and approved the technical information herein.

About Harvest Gold

Harvest Gold is a gold-focused mineral exploration company with an experienced board of directors and management whose collective geological and financing experience exceeds 200 years.  Harvest also holds three fully registered mineral concessions on properties in the Republic of Suriname:  the Goliat-Tibiti, Gonini River and Oelemari concessions.

About Evrim Resources

Evrim Resources is a mineral exploration company whose goal is to participate in significant exploration discoveries supported by a sustainable business model. The Company is well financed, has a diverse range of quality projects and a database in Mexico and portions of the southwestern United States. The existing projects, and generation of quality exploration targets and ideas, are advanced through option and joint venture agreements with industry partners to create shareholder value. Evrim’s business plan also includes royalty creation utilizing the Company’s exploration expertise and existing projects.

ON BEHALF OF THE BOARD OF DIRECTORS

Rick Mark
President and CEO
Harvest Gold Corporation

For more information please contact:

Rick Mark or Jan Urata
@ 604.682.2928 or info@harvestgoldcorp.com

FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. Except for statements of historical fact relating to the company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change.  The reader is cautioned not to place undue reliance on forward-looking statements.  Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.