Drilling Commences On The Yarely Project

VANCOUVER, BC - Chesapeake Gold Corp. has commenced a 5,000 meter diamond drill program at its wholly owned Yarely project located near the proposed El Paso plant site in Sinaloa State, Mexico. Chesapeake controls a 68,000 contiguous hectare land position favorably situated near a paved highway, civil infrastructure and labour. The Phase I drill program at Yarely will focus on the Central and Loretos prospects. Drilling will determine the geological characteristics and potential mineralization of the diverse deposit types at depth. 

Initial drill holes will test the four subparallel north-northwest trending stockwork structures up to one kilometer in length and associated extensive breccia bodies. Holes will be drilled to over 200 meters depth targeting these mineralized structural corridors and underlying IP chargeability anomaly that suggests a significant deep sulphide body. The rig will then be moved north to test a swarm of high grade oxide veins exploited during the Spanish Colonial period. Drilling will target sulphide ore shoots below the oxidized zone and to depths of more than 100 meters where the veins intercept the IP geophysical anomaly.

Three widely spaced exploratory holes are planned to test the west side of the “V” shaped IP anomaly which is over 3 kilometers long and 1 kilometer wide. At Loretos, quartz-carbonate veins and stockworks are hosted in sandstone, conglomerate and limestone. Geophysics has outlined the presence of sulfides possibly related to intrusive hosted mineralization up to 500 meters in depth.

District scale exploration continues at the Yarely project through detailed geologic mapping, soil and rock geochemistry, trenching and IP-Resistivity geophysical surveys. Yasmin, Lucy, Sundae and Los Mimbres prospects are being systematically advanced to the drill stage. A Phase II drill program is planned in 2018 to begin testing these prospects.