Geologix Provides Tepal Exploration Update

http://www.geologix.ca/s/NewsReleases.asp?ReportID=801560&_Type=News&_Title=Geologix-Provides-Tepal-Exploration-Update

Vancouver, BC – August 31, 2017 – Geologix Explorations Inc. [TSX-V: GIX] (“Geologix” or the “Company“) is pleased to provide an update to shareholders regarding the Company’s exploration activities at its 100% owned Tepal Gold/Copper Project located in Michoacán state, Mexico. After a multi-year hiatus due to prevailing low metals prices, the Company recently reinitiated field work following the completion of a $1.2M oversubscribed financing (see press release dated June 22, 2017). Geologix’s new management and technical team are currently focused on realizing the value and potential of Tepal through a staged exploration approach that is designed to expand the economic resource base and make additional discoveries, with the goal of enhancing the Preliminary Economic Assessment (“PEA”) (see press release dated January 19, 2017) prior to advancing the project to the pre-feasibility and/or feasibility stage.

Tepal work program highlights:

  • Re-logging of selected drill hole intersections from the South Pit indicates mineralization remains open both inside and beneath the current economic pit shell, suggesting potential to improve the existing resource though additional drilling.
  • High grade mineralization is structurally controlled with potential to extend beyond the current economic pit shells.
  • 54 rock chip and grab assay samples collected from a cross section of alteration and mineralization settings from within the three existing pit boundaries as part of a sample audit have successfully confirmed the mineralization observed at surface.
  • Initial assay results were as expected, ranging from weakly anomalous to high grade. The strongest assays include: 3.54g/t Au with 0.227% Cu (sample 10413); and 0.446g/t Au with 1.37% Cu (sample 425862) (see Table 3 for assay highlights).
  • An additional 484 outcrop chip samples were collected and quantified for alteration and magnetic susceptibility.
  • A US$300,000 budget has been assigned for this stage of exploration, sufficient to achieve current goals. Complete results from this program are expected early in Q4 2017 and will be used to assess additional exploration needs and for drill planning purposes.

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