Compass Gold Identifies Discrete Gold in Soil Anomalies Coincident With Crustal-Scale Faults on Kalé Permit

TORONTO, Sept. 17, 2018 (GLOBE NEWSWIRE) -- Compass Gold Corp. (TSX-V: CVB) (Compass or the Company) is pleased to provide an update on the initial results from the completed shallow soil geochemical survey program over the Kalé exploration permit on its Sikasso Property in Southern Mali.

Highlights

• Four discrete anomalous gold zones were identified over a distance of 15 km on the Kalé permit
• Highest soil sample contained 127 parts per billion (ppb) gold (Au) over a permit with no known outcrops
• Gold anomalism is coincident with deep linear structures, interpreted as faults, identified in the recently completed remote sensing and geophysics studies
• 1,746 samples were collected and analyzed on the areas considered the most prospective for gold mineralization

Compass CEO, Larry Phillips, commented, “These latest shallow soil assay results from the Kalé permit provide us with more evidence of the mounting potential across much of our Sikasso property. Our focused soil sampling study over Kalé has identified four areas over a distance of 14 km that require follow-up geochemistry.  Importantly, our remote sensing and geophysical studies suggest these anomalies are located on the fault zone associated with at least two other known gold deposits. When field operations begin after the rains, these will be four more areas where we look forward to conducting additional work.”

Shallow Soil Sampling
Kalé is the eastern-most permit of the Sikasso property, covering an area of 250 sq. km, and is located on an interpreted splay fault of the Syama Shear Zone.  The Syama Shear Zone is important to the formation of gold mineralization in the area, including Resolute Mining’s Syama mine, and Perseus Mining’s Sissingué mine.

The Kalé permit is interpreted to be underlain by Lower Proterozoic (“Birimian”) metamorphosed volcanic, sedimentary and plutonic rocks, and cut by various generations of faults, including the Kalé Shear Zone, identified from recent satellite studies performed by Compass.  The flat, low-lying terrain is covered extensively by an unknown thickness of alluvial (river derived sediment) and eluvial (soil), and has no known bedrock outcrops.  Based on the presence of the interpreted Kalé Shear Zone, and isolated historic high shallow soil gold concentrations (120 ppb and 1050 ppb Au), Compass undertook a targeted shallow soil sampling program in June.

A total of 1,746 shallow soil samples were collected over an area of 79 sq. km considered to be the most prospective for gold mineralization at Kalé.  The sampling grid was oriented east-west with a line spacing of 500 m and a sample spacing of 100 m.  Samples were collected following industry best practices, and an appropriate number and type of certified reference materials (standards) and blanks were inserted to ensure an effective QAQC program was carried out.  The samples were prepared (dried, sieved, and split) at ALS (Bamako), and were then sent to ALS (Johannesburg) for gold analysis by fire assay.  The limits of detection for the gold assay method employed was 5 ppb Au.

The results were plotted using appropriate ranges (< 5ppb (number (n) = 1233), 5-10 ppb (n = 438), 10-20 ppb (57), 20-50 ppb (11), 50-127 ppb (7)) and illustrated in the figure below.

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/8e5c4dcb-423d-42fe-bdbe-4cd418065ac9

Summary and Next Steps

Typically, shallow soil samples in southern Mali are considered to be anomalous with respect to gold at concentrations greater than 10 ppb.  Eighteen samples showed strong gold anomalism (> 20 ppb Au), and it appears that the distribution of these samples corresponds to either the NNE-trending Kale Shear Zone, at or near the intersection of NE- and NW-trending faults.  The maximum gold concentration is 127 ppb, and it is likely influenced by the proximity of a stream reworking gold particles.  Samples collected close to the historic government 1,050 ppb Au soil sample were at or below the 5 ppb Au detection limit.

Four areas of anomalism over a 14 km extent were identified that require additional work.  Due to the 500 m line spacing of the survey grid, additional infill shallow soil sampling will be performed to determine the lateral extent of the anomalism in these areas.  The infill grid will be at a line spacing of 100 m.  If the results are positive from this work, then a deep soil auger program will be performed.  The remaining 171 sq. km of the licence will be covered by shallow soil sampling once weather and ground conditions permit.

About Compass Gold Corp.
Compass, a public company having been incorporated into Ontario, is a Tier 2 issuer on the TSX-V. Through the recent acquisition of MGE and Malian subsidiaries, Compass holds gold exploration permits located in Mali that comprise the Sikasso Property.   The exploration permits are located in three sites in southern Mali with a combined land holding of 1,179 km².   The Sikasso Property is located in the same region as several other multi-million ounce gold projects, including Morila, Syama, Kalana and Kodieran.  The Company’s Mali-based technical team, led in the field by Dr. Diallo and under the supervision of Dr. Sandy Archibald, P.Geo, is initiating a new exploration program. They are examining the first of numerous anomalies noted for further investigation in Dr. Archibald’s August 2017 “National Instrument 43-101 Technical Report on the Sikasso Property, Southern Mali.

Qualified Person
This news release has been reviewed and approved by Dr. Sandy Archibald, P.Geo, Compass’s Technical Director, who is the Qualified Person for the technical information in this news release under National Instrument 43-101 standards.

Forward‐Looking Information
This news release contains "forward‐looking information" within the meaning of applicable securities laws, including statements regarding the Company’s planned exploration work and management appointments. Readers are cautioned not to place undue reliance on forward‐looking information. Actual results and developments may differ materially from those contemplated by such information. The statements in this news release are made as of the date hereof. The Company undertakes no obligation to update forward‐looking information except as required by applicable law.

For further information please contact:  

Website: www.compassgoldcorp.com

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.