Thunder Bay, Ontario--(Newsfile Corp. - October 25, 2017) - Kesselrun Resources Ltd. (TSXV: KES) ("Kesselrun") is pleased to provide the following update on its 100% owned Huronian Gold Project:
Prospecting and structural mapping of the newly interpreted extensions of the Trench 2 Zone ("T2") has resulted in a grab sample assaying 99.2 g/t Au on the northeast extension of the Trench 2 Zone ("T2 NE") and up to 42.9 g/t Au on the southwest extension of the Trench 2 Zone ("T2 SW") as well as numerous results confirming the historic T2 mineralization.
As previously released (see KES NR September 26, 2017), a new interpretation of the location of the Huronian Shear Zone (see Figure 1) has been interpreted by Kesselrun's team. Kesselrun believes that previous operators interpreted extent of the Huronian Shear Zone was in fact one of numerous splays off the main shear zone.
As well, structural mapping in conjunction with these results has led Kesselrun to interpret that the areas where the splays intersect the main Huronian Shear Zone are important targets for gold mineralization. As such, targeting has commenced with the intention of an upcoming winter drill program.
Michael Thompson, P.Geo., President and CEO commented, "We are extremely pleased with these new results extending the known mineralization of the T2 Zone along strike in both directions. These newly interpreted extensions of the T2 Zone open up a great deal of prospective undrilled strike length".
Table 1: Summary of Significant Grab Sample Results — Huronian Project (1)
| Sample ID | Easting (mE) | Northing (mN) | Zone | Au (g/t) |
| 468887 | 664600 | 5378864 | T2 SW | 42.9 |
| 468882 | 664601 | 5378867 | T2 SW | 17.7 |
| 468883 | 664602 | 5378873 | T2 SW | 14.8 |
| 468889 | 664603 | 5378859 | T2 SW | 1.7 |
| 468886 | 664598 | 5378865 | T2 SW | 0.8 |
| 585265 | 664718 | 5378994 | T2 NE | 99.2 |
| 585271 | 664665 | 5378932 | T2 | 2.8 |
| 585272 | 664665 | 5378930 | T2 | 1.7 |
| 585267 | 664682 | 5378946 | T2 | 1.3 |
| 585266 | 664685 | 5378949 | T2 | 0.9 |
| | (1) | Grab samples are selectively taken and random in size and may not be representative of mineralization characteristics. UTM coordinates are in NAD83Z15 |
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Kesselrun holds 4.7M First Mining Finance (TSX:FF) shares with a current value of approximately $3M as of market close yesterday which management believes gives the Company sufficient means to implement its corporate strategy going forward.
The Huronian Gold Project consists of 154 unpatented mining claims and four patented mining claims for a total land package of 5,200 hectares. The project is situated in the highly prolific Shebandowan Greenstone Belt located in the Abitibi-Wawa Subprovince approximately 100 km west of Thunder Bay, Ontario along major transportation and power routes.
The project hosts numerous significant gold zones including the past producing Huronian Mine that produced 29,629 ounces gold and 170,463 ounces silver from 143,724 tons from 1932-1936 (Ontario Ministry of Northern Development and Mines Production Records). The project also covers the southwest strike extension of Wesdome Gold Mine's Moss Lake Gold Deposit. The Moss Lake Gold Deposit hosts an NI 43-101 compliant resource estimate of 40 million tonnes at a grade of 1.1 g/t (1,377,300 oz Au) Indicated and an additional 50 million tonnes at a grade of 1.1 g/t (1,751,600 oz Au) Inferred (Moss Lake Gold Mines NR February 20, 2013) as well as an NI 43-101 compliant Preliminary Economic Assessment (Moss Lake Gold Mines NR July 29, 2013).
Michael Thompson, P. Geo., President and CEO of Kesselrun, is the Qualified Person responsible for the project as defined by National Instrument 43-101 and has approved the technical information in this news release.