GAINEY RECEIVES ENVIRONMENTAL PERMITS FOR 32 DRILL TARGETS AT LAS MARGARITAS

Vancouver, BC – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has received approval from the Mexican Environmental Agency (“SEMARNAT”) to drill up to 32 holes at it’s newly optioned Las Margaritas mineral concessions in Durango, Mexico.

 

David Coburn, President and CEO commented “the approval by SEMARNAT is a significant step in advancing the exploration at the El Colomo Project and proving out the continuity of the gold mineralization from the Golden Zone in Nayarit to Las Margaritas in Durango, a distance of approximately 8 kilometres.  The vein system at Las Margaritas has never been drill-tested and Gainey will be outlining a more detailed exploration/drilling strategy in the very near future.”

 

The upcoming drill program at Las Margaritas will focus on the best mineralization exposed on surface, where assays have returned up to 73.7 g/t gold (see Gainey news release dated 2019).  Gold mineralization is typical of a low sulphidation epithermal system, as is common throughout this prolific geologic belt known as the Sierra Madre Occidental.

 

David Dupre, P.Geo. is the designated Qualified Person for the El Colomo Project, as defined by National Instrument 43-101, and has approved this news release.

 

About Gainey Capital Corp.

Gainey is a gold and silver exploration, development and ore processing company exploring an aggregate of 14,000+ hectares strategically located in the gold/silver-rich Sierra Madre Occidental Trend in western Mexico. The Company’s mill, located on its El Colomo property, is capable of processing up to 300 tons of ore per day.  Additional information on Gainey, its current operations and its vision, is available on the Company’s website at www.gaineycapital.com or from info@gaineycapital.com.

 

ON BEHALF OF THE BOARD OF DIRECTORS

 

   “David Coburn”

David Coburn, Chief Executive Officer

 

For information, please contact the Company:

Phone: 480-347-8904     

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

 

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

GAINEY ACQUIRES LAS MARGARITAS OPTION

March 27, 2019  

Vancouver, BC – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that the Company has received final approval from the TSX Venture Exchange (“TSXV”) regarding the option agreement that Gainey entered into with First Mining Gold Corp (“First Mining”) to acquire the Las Margaritas property  (“Las Margaritas”) in Durango, Mexico from First Mining, as originally announced August 2, 2018. The NI 43-101 Technical Report on Las Margaritas, as authored by David Dupre/QP and John Wilson/QP, has received final acceptance by the TSXV.

 

Las Margaritas comprises two mineral concessions encompassing a total of 500 hectares located within El Colomo’s overall claim package owned by Gainey, approximately 140 kilometres to the southeast of Mazatlan.  The property is currently owned by First Mining and Gainey is now required to pay First Mining the equivalent $75,000 in shares, and $12,000 in cash with the TSXV approval and spend $250,000 in exploration costs on Las Margaritas for each of the following four years.

 

Prior surface work on Las Margaritas by the Servicio Geologico Mexicano (Mexican Geological Survey) and First Mining identified a vein system extending for at least 1,500 metres along strike and averaging approximately one metre in width.  Numerous prospect pits occur along the structure where gambusinos (Mexican prospectors) have worked the vein for high grade gold. With no evidence of prior drilling on the claims, Las Margaritas represents a grassroots, high grade gold target, most likely of underground configuration.

 

David Coburn, Gainey Capital CEO commented: “The approval by the TSXV now allows us to move forward to advancing and exploring Las Margaritas, which appears to be the epicenter and most interesting part of the El Colomo district.  The property is seven kilometres north of the Golden Zone and brings great excitement to our technical team”.

 

About Gainey Capital Corp.

Gainey is a gold and silver exploration, development, and ore processing company exploring an aggregate of 14,000+ hectares strategically located in the gold/silver-rich Sierra Madre Occidental Trend in western Mexico. The Company’s mill, located on its El Colomo property, is capable of processing up to 300 tons of ore per day.  Additional information on Gainey, its current operations and its vision, is available on the Company’s website at www.gaineycapital.com or from info@gaineycapital.com.

 

ON BEHALF OF THE BOARD OF DIRECTORS

 

   “David Coburn”

David Coburn, Chief Executive Officer

 

For information, please contact the Company:

Phone: 480-347-8904     

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

 

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

GAINEY EXTENDS STRIKE OF GOLD MINERALIZATION AND SAMPLES UP TO 73.7G/T GOLD AT LAS MARGARITAS

Vancouver, BC – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to report that follow-up mapping and sampling at its newly-optioned Las Margaritas project in Durango, Mexico has extended the strike extent of the main vein system to approximately 3,500 metres and collected grab samples with assays of up to 73.7g/t gold.  As previously reported (see Gainey news release of February 7, 2019), preliminary sampling obtained assays up to 40.0g/t gold from grab samples, indicating the locally high-grade nature of the mineralization.

 

A total of 39 samples were collected during the Phase II program at Las Margaritas, consisting of chip samples from old pits, chip-channel samples across exposed veins and grab samples from old mine dumps.  The best mineralization appears to occur along a strike length of approximately 1,750 metres, where 25 assays ranged from NIL to 73.7g/t gold, with 15 samples assaying more than 1.0g/t gold and 6 of those assaying more than 5.0g/t gold.   

 

“The Phase II sampling at Las Margaritas is demonstrating excellent continuity of gold mineralization along strike,” stated Gainey CEO, David Coburn.  “This is allowing the field team to focus on the most prospective areas in order to begin generating drill targets. While there are several artisanal mine workings along the vein system, it has never been drilled and we look forward to testing the vertical continuity of the gold mineralization.”

 

The Las Margaritas vein system strikes northwest-southeast and dips moderately to steeply southwest, with variable widths up to two metres.   The 1,750 metre mineralized strike length has been divided into the Northwest (NW) and Southeast (SE) Zones according to geological characteristics.  The NW Zone trends N15°W and is hosted in a crystal tuff unit near the contact with an overlying rhyolitic lithic tuff. The SE Zone strikes N45°W and is hosted within a package of stratified volcanic flows and tuffs.  The change in strike direction coincides with the transition between host lithologies and could be important in localizing gold mineralization. Host rocks are commonly clay-altered and/ or silicified. Gold mineralization occurs within druzy quartz veins, veinlets and stockworks with up to 3% disseminated pyrite, typical of a low sulphidation epithermal system, as is common throughout the prolific geologic belt known as the Sierra Madre Occidental.

 

Gainey’s Exploration Manager, Jorge Rafael Gallardo commented that, “this recent work shows that early stage mapping and prospecting in underexplored areas can dramatically increase the strike length of mineralized vein systems.  We have furthered our understanding of the mineralization controls and this will allow more focused work in the future.”

 

Gainey follows a strict QC/QA protocol for sampling and transportation of samples to ALS Labs in Hermosillo, Mexico and then on to ALS Labs in Vancouver, BC. Canada.  

 

David Dupre, P.Geo. is the designated Qualified Person for the El Colomo Project, as defined by National Instrument 43-101, and has approved this news release.

 

About Gainey Capital Corp.

Gainey is a gold and silver exploration, development and ore processing company exploring an aggregate of 14,000+ hectares strategically located in the gold/silver-rich Sierra Madre Occidental Trend in western Mexico. The Company’s mill, located on its El Colomo property, is capable of processing up to 300 tons of ore per day.  Additional information on Gainey, its current operations and its vision, is available on the Company’s website at www.gaineycapital.com or from info@gaineycapital.com.

 

ON BEHALF OF THE BOARD OF DIRECTORS

 

   “David Coburn”

David Coburn, Chief Executive Officer

 

For information, please contact the Company:

Phone: 480-347-8904     

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

 

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

GAINEY PROVIDES CORPORATE UPDATE

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to provide the following corporate and exploration update:

 

Exploration

The Company’s exploration team has now completed initial sampling and detailed mapping at Las Margaritas with additional results expected in the near future. The technical team continues to be very excited about Las Margaritas and the possibility of it being the epicenter of the El Colomo project as well as its potential of connecting with the Golden Zone approximately 7-8 Km away, where Gainey drilled 70.85 meters of 0.65 g/t Au and 35.31 g/t Ag (see news release dated January 16, 2018).

 

CEO David Coburn stated, “2019 will be an exciting and transformational year for Gainey as we advance the newly acquired Las Margaritas mineral concessions in Durango, Mexico.  The Company will announce a formal Exploration Plan in the very near future as we continue to understand the Las Margaritas mineralization – the new Plan is expected to include a Phase I drill program”.

 

Corporate

Financing – On February 28, 2019 the Company announced completion of its private placement financing for gross proceeds of $1,265,000, a large part of which will be targeted toward advancing exploration of the mineralized zone at Las Margaritas, including the Phase I drill program.

Option Grant – The board of directors has granted a total of 3.5 million incentive stock options to its directors, officers, employees and consultants.  The options have an exercise price of C$0.12 each and are exercisable for up to five years from the date of grant. Of the 3.5 million options, 1.95 million were granted to insiders of the Company.  The options were granted pursuant to the terms of the Company’s stock option plan and are subject to the policies of the TSX Venture Exchange.

 

About Gainey Capital Corp.

Gainey is a gold and silver exploration, development and ore processing company exploring an aggregate of 18,766 hectares strategically located in the gold/silver-rich Sierra Madre Occidental Trend in western Mexico. The Company’s mill, located on its El Colomo property, is capable of processing up to 300 tons of ore per day.  Additional information on Gainey, its current operations and its vision, is available on the Company’s website at www.gaineycapital.com or from info@gaineycapital.com.

 

ON BEHALF OF THE BOARD OF DIRECTORS

 

   “David Coburn”

David Coburn, Chief Executive Officer

 

For information, please contact the Company:

Phone: 480-347-8904     

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

 

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

 

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

 

GAINEY CLOSES SECOND AND FINAL TRANCHE OF PRIVATE PLACEMENT

February 28, 2019 

 

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that the Company has closed the second and final tranche of its non-brokered private placement (the “Offering”) announced on November 28, 2018 and will issue an additional 10,300,000 Units at a price of $0.05 per Unit for gross proceeds of $515,000.

 

In the first tranche close, the Company issued an aggregate of 15,000,000 Units at a price of $0.05 per Unit for gross proceeds of $750,000.  Each Unit consists of one common share and one common share purchase warrant which entitles the holder to purchase an additional common share of the Company at a price of $0.10 for a period of four years from the date of issuance.  

 

All securities issued in connection with the Offering are subject to a statutory hold period of four months plus one day from the date of issuance in accordance with applicable securities legislation.

 

The net proceeds of the Offering will be used to advance exploration activities at the Company’s Las Margaritas property located in the State of Durango, Mexico, as well as for general working capital.

 

About Gainey Capital Corp.

Gainey is a gold and silver exploration, development and ore processing company exploring an aggregate of 18,766 hectares strategically located in the gold/silver-rich Sierra Madre Occidental Trend in western Mexico. The Company’s mill, located on its El Colomo property, is capable of processing up to 300 tons of ore per day.  Additional information on Gainey, its current operations and its vision, is available on the Company’s website at www.gaineycapital.com or from info@gaineycapital.com.

 

ON BEHALF OF THE BOARD OF DIRECTORS

 

   “David Coburn”

David Coburn, Chief Executive Officer

 

For information, please contact the Company:

Phone: 480-347-8904     

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

 

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

 

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

 

GAINEY SAMPLES 40G/T GOLD AT LAS MARGARITAS

Vancouver, BC – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to report that first-pass sampling on the main vein system on its newly-optioned Las Margaritas project in Durango, Mexico has confirmed the previously reported strike length of at least 1,500-1,600 metres (see Gainey news release of September 13, 2018) and obtained assays up to 40.0g/t gold.

Gainey CEO, David Coburn stated, “We are very encouraged by these early high-grade results.  We believe that the Las Margaritas system is the epicenter of the El Colomo Project and that, together, they represent a district-scale opportunity for the delineation of a gold epithermal vein system similar in setting to the many precious metal mines along the Sierra Madre belt.  Our technical team continues to push hard on mapping, sampling and analyzing the data, which will allow us to move forward with our planned drill program in the coming months.”

The preliminary sampling program at Las Margaritas yielded 42 samples consisting of chip samples from old pits, chip-channel samples across exposed veins and grab samples from old mine dumps.  Assays ranged from NIL to 40.0g/t gold, with 21 samples assaying more than 1.0g/t and 11 of those assaying more than 5.0g/t gold.  Gainey follows a strict QC/QA protocol for sampling and transportation of samples to ALS Labs in Hermosillo, Mexico and then on to ALS Labs in Vancouver, BC. Canada.

David Dupre, P.Geo. is the designated Qualified Person for the El Colomo Project, as defined by National Instrument 43-101, and has approved this news release.

About Gainey Capital Corp.

Gainey is a gold and silver exploration, development and ore processing company exploring an aggregate of 14,000+ hectares strategically located in the gold/silver-rich Sierra Madre Occidental Trend in western Mexico. The Company’s mill, located on its El Colomo property, is capable of processing up to 300 tons of ore per day.  Additional information on Gainey, its current operations and its vision, is available on the Company’s website at www.gaineycapital.com or from info@gaineycapital.com.

 

ON BEHALF OF THE BOARD OF DIRECTORS

 

    “David Coburn”

David Coburn, Chief Executive Officer

 

For information, please contact the Company:

Phone: 480-347-8904

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

GAINEY CLOSES FIRST TRANCHE OF PRIVATE PLACEMENT

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that the Company has received conditional approval from the TSX Venture Exchange (“TSXV”) and will close a $750,000 first tranche of its non-brokered private placement of up to $1,150,000 (the “Offering”) announced on November 28, 2018.

In this first tranche close, the Company will issue an aggregate of 15,000,000 Units at a price of $0.05 per Unit for gross proceeds of $750,000.  Each Unit consists of one common share and one common share purchase warrant which entitles the holder to purchase an additional common share of the Company at a price of $0.10 for a period of four years from the date of issuance.

All securities issued in connection with the Offering are subject to a statutory hold period of four months plus one day from the date of issuance in accordance with applicable securities legislation.  The Company may pay finder’s fees on portions of the Offering as permitted by the policies of the TSXV.

About Gainey Capital Corp.

Gainey is a gold and silver exploration, development and ore processing company exploring an aggregate of 18,766 hectares strategically located in the gold/silver-rich Sierra Madre Occidental Trend in western Mexico. The Company’s mill, located on its El Colomo property, is capable of processing up to 300 tons of ore per day.  Additional information on Gainey, its current operations and its vision, is available on the Company’s website at www.gaineycapital.com or from info@gaineycapital.com.

 

ON BEHALF OF THE BOARD OF DIRECTORS

    “David Coburn”

David Coburn, Chief Executive Officer

For information, please contact the Company:

Phone:       480-347-8904

E-mail:        info@gaineycapital.com

Website:    www.gaineycapital.com

 

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.               

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

GAINEY ARRANGES FINANCING

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

 Vancouver, BC – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has arranged a non-brokered private placement of up to 23,000,000 Units (the “Units”) in the capital of the Company at a price of C$0.05 per Unit for gross proceeds of up to C$1,150,000 (the “Offering”).  Each Unit will consist of one common share and one non-transferable common share purchase warrant (a “Warrant”) exercisable at C$0.10 to purchase an additional common share for a period of 48 months from closing.  Closing is expected to occur on or before December 15, 2018.

The net proceeds of the Offering will be used to advance exploration activities at the Company’s Las Margaritas property located in the State of Durango, Mexico, as well as for general working capital.  Finder’s fees may be paid on the Offering pursuant to the policies of the TSX Venture Exchange.

About Gainey Capital Corp.

Gainey is a gold and silver exploration, development and ore processing company exploring an aggregate of 16,000 hectares strategically located in the gold/silver-rich Sierra Madre Occidental Trend in western Mexico. The Company’s mill, located on its El Colomo property, is capable of processing up to 300 tons of ore per day.  Additional information on Gainey, its current operations and its vision, is available on the Company’s website at www.gaineycapital.com or from info@gaineycapital.com.

 

ON BEHALF OF THE BOARD OF DIRECTORS

David Coburn

David Coburn, Chief Executive Officer

For information, please contact the Company:

Phone: 480-347-8904

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

 

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

GAINEY RECEIVES TSXV CONDITIONAL APPROVAL OF LAS MARGARITAS ACQUISITION

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that the Company has received conditional approval from the TSX Venture Exchange (“TSXV”) on the Las Margaritas Option Agreement signed with First Mining Gold Corp. (“FMG”) on August 2, 2018.  A requirement of conditional approval was the submission by the Company and approval by the TSXV of the NI 43-101 Technical Report on the Las Margaritas concession, which has now occurred.  The Report was authored by David Dupre/QP and John Wilson/QP.  The Company will now complete the necessary requirements to receive full approval from the TSXV within the next 30 days.

David Coburn, Gainey CEO commented “Receiving TSXV approval on the 43-101 Report is a major step in moving forward with Las Margaritas.  We can now focus on completing the transaction with FMG and moving our exploration strategy forward.”

 

About Gainey Capital Corp.

Gainey is a gold and silver exploration, development and ore processing company exploring an aggregate of 14,000+ hectares strategically located in the gold/silver-rich Sierra Madre Occidental Trend in western Mexico. The Company’s mill, located on its El Colomo property, is capable of processing up to 300 tons of ore per day.  Additional information on Gainey, its current operations and its vision, is available on the Company’s website at www.gaineycapital.com or from info@gaineycapital.com.

 

ON BEHALF OF THE BOARD OF DIRECTORS

 

    “David Coburn”

David Coburn, Chief Executive Officer

 

 

For information, please contact the Company:

Phone: 480-347-8904

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

 

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

                 

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

GAINEY CAPITAL ANNOUNCES PHASE 1 EXPLORATION PROGRAM AT LAS MARGARITAS GOLD/SILVER PROJECT, MEXICO

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce the commencement of its Phase 1 exploration program at the newly optioned (subject to approval by the TSX-V) Las Margaritas gold/silver project in the State of Durango, Mexico. The exploration program will be led by senior geologist, Rafael Gallardo, of Minera Cascabel S.A. de C.V., and his team of geologists who have been working in the area for the past 4 years.

The Servicio Geologico Mexicano (Mexican Geological Survey) and First Mining Gold Corp. originally identified a mineralized vein system on the Las Margaritas property. This system extends at least 1500 meters along strike and averages approximately 1 to 2 meters in width. Phase 1 of Gainey’s  exploration program will include detailed mapping and sampling of the vein system. The objective of program is to identify prospective zones that provide the best drill targets. Rafael Gallardo stated “My geology team from Cascabel is excited that Gainey Capital has optioned the Las Margaritas property as we feel this is the epicenter of the mineralized zone at El Colomo and on strike with the Golden Zone.”

David Coburn, Gainey Capital’s CEO commented “We are hoping to have initial assay results back from the Las Margaritas Phase 1 Exploration in late September or early October and will then identify targets for drilling in Q4 2018.”

Gainey’s Exploration and Technical Team will continue to be led by Senior Geologist Rafael Gallardo of Cascabel S.A. De C.V., who with his team has actively been working the project for the past 5 years. David Dupre P Geo who is the author of Gainey’s 43-10 will continue as the company’s QP and technical advisor. Mark Bailey, M. Sc. P. GEO. and Dr. Peter Megaw PhD President, Cascabel/Imdex will continue to act as Gainey technical advisors. Brian Mentzenheim will no longer act as Gainey VP Exploration and we thank him for his time at Gainey.

Technical aspects of this news release have been reviewed and approved by David Dupre, P.Geo., designated as a qualified person under National Instrument 43-101.

ON BEHALF OF THE BOARD OF DIRECTORS

“David Coburn”

David Coburn, Chief Executive Officer

 

For information, please contact the Company:

Phone: 480-347-8904

E-mail: info@gaineycapital.com

Web site: www.gaineycapital.com

 

Cautionary Note Regarding Forward-Looking Statements:

Certain disclosures in this document constitute “forward looking information” within the meaning of Canadian securities legislation, including statements regarding the Las Margaritas project, the exploration program, the Company’s plans for advancing the Las Margaritas project and expected outcomes. In making these forward-looking statements, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company will receive required regulatory approvals, that the Company will continue to be able to access sufficient funding to execute its plans, and that the results of exploration and development activities are consistent with management’s expectations. However, the forward-looking statements in this document are subject to numerous risks, uncertainties and other factors, including factors relating to the Company’s operation as a mineral exploration and development company and the Las Margaritas project, that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including that results of exploration and development activities will not be consistent with management’s expectations, the uncertainties involved in interpreting drill results and other exploration data, delays in obtaining or inability to obtain required government or other regulatory approvals or financing, failure of plant, equipment or processes to operate as anticipated, the risk of accidents, labor disputes, competition and loss of key personnel, inclement or hazardous weather conditions, unusual or unexpected geological conditions, ground control problems, earthquakes, flooding and all of the other risks generally associated with the development of mining facilities. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

 Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

GAINEY CAPITAL SIGNS OPTION AGREEMENT WITH FIRST MINING GOLD TO ACQUIRE THE LAS MARGARITAS PROPERTY, STATE OF DURANGO, MEXICO

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has entered into an option agreement with First Mining Gold Corp. (“First Mining”)  granting Gainey the right to earn a 100% interest in the Las Margaritas property located in the State of Durango, Mexico.

The property is located approximately 140 kilometres to the southeast of Mazatlan, Sinaloa and is comprised of two mineral concessions encompassing a total of 500 hectares.  As shown in the map below, the concessions lie to the north of Gainey’s El Colomo project and within El Colomo’s overall claim package.

Location of the Las Margaritas Property relative to existing exploration properties and mines.

Prior surface work on the Las Margaritas property by the Servicio Geologico Mexicano (Mexican Geological Survey) and First Mining identified a vein system extending for at least 1,500 metres along strike and averaging approximately 1 metre in width.  Numerous prospect pits occur along the structure where gambusinos (Mexican prospectors) have worked the vein for high grade gold.  With no evidence of prior drilling on the claims, the property represents a grassroots, high grade gold target, most likely of underground configuration.

Under the terms of the four year option agreement, Gainey can elect to make either annual share or cash payments to First Mining in the following amounts:

Payment Term CAD$ Aggregate Value of Gainey Common Shares (applicable Mexican VAT to be paid in cash) CAD$ Cash Payment (inclusive of applicable Mexican VAT @ 16%)
Upon approval by the TSX Venture Exchange (“TSX-V”) $75,000 in Shares N/A
($12,000 in Cash – VAT)
First anniversary date of the agreement $175,000 in Shares $174,000 in Cash
($28,000 in Cash – VAT)
Second anniversary date of the agreement $250,000 Shares $261,000 in Cash
($40,000 in Cash – VAT)
Third anniversary date of the agreement $225,000 Shares $232,000 in Cash
($36,000 in Cash – VAT)
Fourth anniversary date of the agreement $225,000 Shares $232,000 in Cash
($36,000 in Cash – VAT)

 

In addition, as per the terms of the option agreement, Gainey will make annual cash payments to First Mining of USD$25,000 from September 2018 to September 2020, and USD$250,000 in September 2021 in connection with an existing agreement on the property, and will incur exploration expenditures on the Las Margaritas property totaling USD$1,000,000 over the four year option period.  Upon completion, Gainey will obtain 100% ownership of the Las Margaritas project and First Mining will retain a 2% net smelter returns (“NSR”) royalty, with Gainey having the right to buy back 1% of the NSR royalty for USD$1,000,000 up until the first anniversary of the commencement of commercial production at the project.

David Coburn, Gainey Capital’s CEO commented, “The signing of this option agreement with First Mining Gold is the culmination of several years of discussions and negotiations regarding the Las Margaritas Property. We are now looking forward to advancing and exploring what may prove to be the most interesting portion of the El Colomo district.”

Gainey anticipates initiating preliminary exploration work on the property in early August, including mapping, sampling, drill target definition and permitting.

The transaction and the issuance of Gainey’s common shares pursuant to the option agreement is subject to acceptance by the TSX Venture Exchange.

Brian Metzenheim, the Company’s Vice President, Exploration, is the “Qualified Person” for the purposes of National Instrument 43-101 Standards of Disclosure for Mineral Projects and he has reviewed and approved the technical information contained in this news release.

 

ON BEHALF OF THE BOARD OF DIRECTORS

 

    “David Coburn”

David Coburn, Chief Executive Officer

 

For information, please contact the Company:

Phone: 480-347-8904

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

 

 

GAINEY CAPITAL completes upgrades at huajicori mill

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has completed upgrades to its Huajicori mill and anticipates processing the mineralized bulk sample material during the coming weeks.

The upgrades at the 300 tonne per day Huajicori mill included electrical and mechanical improvements and maintenance. Major upgrades to the electrical system were completed and approved by engineers from the Comisión Federal de Electricidad (CFE), the government controlled power company.  In addition, wear parts in the grinding circuit have been inspected and replaced.  With the repairs and upgrades now complete, the mill is ready to begin processing material.

The Company is now planning to move forward with processing the bulk sample to be sourced and supplied by Grupo Wolinak S.A. de C.V., as outlined in the news release dated February 28, 2018.  Results of the bulk sample processing will be released once the testwork is finalized.

In conjunction with advancing the toll milling operations, the company continues to evaluate additional gold – silver exploration projects located in Mexico for acquisition as it moves to establish a more diversified presence.

 

ON BEHALF OF THE BOARD OF DIRECTORS

    “David Coburn”

David Coburn, Chief Executive Officer

 

For information, please contact the Company:

Phone: 480-347-8904

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

 

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

            Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

 

 

Gainey Capital Signs Letter of Intent with Grupo Wolinak for Bulk Sample Processing at Huajicori Mill

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has signed a letter of intent (“LOI”) with Grupo Wolinak S.A. de C.V. (“Grupo Wolinak”) for the purchase and processing of a gold and silver mineralized bulk sample at the Company’s Huajicori mill.  The bulk sample will be sourced from mineralized material located on surface at a historic gold, silver district within trucking distance of the mill.  Prior work indicates grades of the bulk sample should be in the range of 2 – 2.5 g/t gold and 250 – 300 g/t silver.  Results of the test work will be utilized to determine the viability of entering into a longer term processing agreement.

As part of the LOI, Grupo Wolinak will source the mineralized material for the bulk sample which will be transferred to the Huajicori mill for processing.  Initial shipments are anticipated to arrive at the mill during the week of March 5th.  Grupo Wolinak is a private Mexican company based in Torreon, Coahuila with knowledge of low cost sources of mill feed within Mexico and could be instrumental in establishing additional mill feed sources for Gainey.

Results from processing of the bulk sample will determine the average grade of the sampled material, the recoveries attainable by the mill and costs associated with processing the material.  If the results are favorable, the parties intend to move forward by negotiating a formal ore processing agreement and evaluating the remaining surface mineralized material.  A study completed in 2007 estimated in excess of 30,000 tonnes of surface mineralized material located at various locations on the property at an average grade of 2.65 g/t gold and 300 g/t silver.  While the report is justification for proceeding with a bulk sample it was not prepared in accordance with NI 43-101 and should not be relied upon until verified.

In addition to the property potentially representing a low cost source of feed material for the Huajicori mill, the Company is also reviewing the property as a potential exploration acquisition.  Initial due diligence indicates numerous historic high grade Au-Ag workings clustered in a number of closely spaced districts.  The majority of the mineralized zones are within short trucking distance of each other and highway access.  Potential exists for the discovery of both small scale mineralized structures as well as larger tonnage, high grade zones.

David Coburn, Gainey Capital’s CEO stated, “We are confident this processing partnership will allow Gainey to establish a longer term tolling strategy utilizing our 300 TPD gravity/ flotation mill.  Positive cash flow generated from a potential agreement will allow the company to move forward more aggressively on exploration projects we are currently considering.”

In light of recent opportunities, the company has elected to not move forward with the La Minita property located in Sinaloa, Mexico.

Brian Metzenheim, Vice President Exploration, Gainey Capital Corp. is the Company’s Qualified Person as defined by NI 43-101 and has reviewed and approved the technical information in this news release.

 

ON BEHALF OF THE BOARD OF DIRECTORS

 

    “David Coburn”

David Coburn, Chief Executive Officer

 

For information, please contact the Company:

Phone: 480-347-8904

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

 

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

               

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

 

Gainey Capital Issues CEO’s Letter to Shareholders

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to provide David Coburn’s year-end summary of company milestones achieved in 2017 and a look at plans for 2018.

Dear Valued Shareholders,

For Gainey Capital, 2017 has proven to be a pivotal year as we advanced existing assets, negotiated the acquisition of an additional exploration project and secured further funding.  The last several years have been trying times in the junior exploration sector but I believe the work we have completed to date positions us to add significant value to the company in the coming years.  In addition, our success should be complimented by a gradual improvement in the natural resources sector over the longer term.   

During 2017, we continued to advance the El Colomo project.  Early in the year our geological team finalized the Phase I drilling program which had successfully encountered near surface mineralization at the La Nueva Victoria zone, including 70.85 m of 0.65 g/t Au and 35.31 g/t Ag.  The drilling confirmed the district hosts significant gold and silver mineralization in line with results of surface sampling performed by the company.  In the latter half of 2017 a second phase of exploration work was initiated on the property to follow up on results of the Phase I program and further define a number of the remaining untested mineralized zones.  A number of drill ready targets have been defined and will be prioritized in line with other opportunities being considered by the company.                    

In an effort to diversify its exploration portfolio, the company has been actively reviewing projects located in western Mexico.  As part of this program, the La Minita property was identified as a likely candidate for acquisition based on signicant copper, gold and silver grades at surface and substantial exploration potential across the large land package (approximately 9,200 hectares).  Additionally the La Minita property, located in southern Sinaloa state, presents great infrastructure and location as it lies less than 5 kilometers from Mexican Highway 15 and less than 10 kilometers from a rail line.  In late 2017 we successfully negotiated terms to acquire 100% of the property and signed a letter of intent with the company controlling the property.  We look forward to finalizing the formal purchase agreement in early 2018 and beginning work on this exciting project.  

During the second half of 2017 the company successfully closed a private placement that consisted of several tranches and raised nearly $2,000,000 CAD.  We are now finanacially positioned to carry out the next phases of exploration at El Colomo and La Minita.  In 2017 we were also able to strengthen our technical team with the addition of Mark Bailey as Technical Advisor and Brian Metzenheim as VP of Exploration, both with significant prior experience operating in Mexico with Minfinders Corporation.    

In 2018 we are looking forward to leveraging our exploration assets, financial position and expertise to unlock additional value for our shareholders.  With formal acquisition of the La Minita property slated to take place in early 2018, we will quickly advance to a first phase exploration program on the property.  Work will focus on defining drill targets along known mineralized trends as well as identifying additional zones.  Barring unforeseen circumstances, we should be drilling on the property by the second quarter of 2018.  At El Colomo, we will continue to evaluate the potential of the numerous untested mineralized zones on the property and weigh their potential against success at La Minita to prioritize exploration efforts and funds.  Furthermore, we continue to evaluate outside exploration opportunities with several intriguing possibilities currently being considered.  Additionally, the company is carrying on its evaluation and review of sources of feed material for our processing mill located near Huajicori in Nayarit, Mexico. Toll milling contracts are currently being discussed with a number of major companies within Mexico and I look forward to updating shareholders on this in the near future.

With a number of significant opportunities facing the company, 2018 promises to be a busy and transformative year for Gainey Capital.  I would like to thank all of our shareholders for their loyal support over the last several years and extend best my best wishes for the coming year.  We look forward to a successful year as we continue to explore our properties and implement strategies to increase shareholders value.       

 

Thank you,

David Coburn

 

CEO

Gainey Capital Corp.

 

Brian Metzenheim, Vice President Exploration, Gainey Capital Corp. is the Company’s Qualified Person as defined by NI 43-101 and has reviewed and approved the technical information in this news release.

 

For information, please contact the Company:

Phone: 480-347-8904    

E-mail: info@gaineycapital.com

Website: www.gaineycapital.com

 

FORWARD LOOKING STATEMENTS: This press release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date such statements were made. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

               

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.

Gainey Announces Private Placement Closing

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

VANCOUVER, BC – Gainey Capital Corp. (the “Company” or “Gainey”) (TSX-V:GNC) is pleased to announce that it has closed the second, and final tranche of its previously announced non-brokered private placement by issuing an additional 4,132,316 units at a price of $0.12 per unit to raise gross proceeds of $495,878 with all securities issued having a four-month hold period which expires on May 9, 2018. Total gross proceeds of the Offering are $1,699,558 with a total of 14,162,986 shares, 14,162,986 warrants, 75,000 Finders’ shares, and 325,000 Finders’ Warrants being issued.

As previously announced, each Unit in this offering consists of one common share in the capital of the Company (each a “Common Share”) and one share purchase warrant (a “Warrant”). Each full warrant entitles the Unit holder to purchase one (1) additional GNC common share at a price of $0.24 per share at any time within 36 months of the closing.

With respect to finders’ fees, the Company will pay an aggregate of $30,000 in cash, issue 75,000 shares, and issue 325,000 Finders Warrants in connection with this offering. The Company issued 250,000 Finders’ warrants exercisable at a price of $0.16 for a period of 24 months and 75,000 Finders’ warrants at an exercise price of $0.24 for a period of 36 months, and 75,000 Finders’ shares.

The net proceeds of the Offering will be used to advance exploration activities at the Company’s Mexican El Colomo property as well as for general working capital.

Gainey Signs Letter of Intent to Acquire the 9,200 Hectare La Minita Property in Sinaloa, Mexico

Gainey Signs Letter of Intent to Acquire the 9,200 Hectare La Minita Property in Sinaloa, Mexico

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has entered into a non-binding Letter of Intent (“LOI”) with Asteria Mining Services, S.A.P.I. de CV of Mazatlán, Sinaloa (“AMS”) to acquire 100% of the La Minita Copper /Gold/Silver Property (“La Minita” or “the property”) located in the state of Sinaloa, Mexico. The property is comprised of five mineral claims or applications encompassing approximately 9,200 hectares located 80 kilometers to the southeast of Mazatlán. The property borders Marlin Gold’s La Trinidad mine property to the northeast and Agnico Eagle’s El Coral property to the southeast. 

The La Minita property consists of a series of northwest trending shears that host copper/gold/silver porphyry style mineralization associated with intermediate and felsic dikes.  The shears are poorly exposed but have been observed to extend for greater than 300 meters along strike and measure up to 10 meters in width.  Over the last several years, local prospectors (gambusinos) have identified and excavated a number of these shear zones at various locations over an area extending for 4.5 kilometers along strike by up to 600 meters wide.  Alteration and mineralization exposed in the workings includes fine grained sericitic alteration, silicification, quartz stockworks and copper sulfides (bornite, chalcopyrite) as disseminations and veins.  The more intense mineralization is hosted in felsic and intermediate composition dikes intruding the shears, indicating an intrusive related source of mineralization. 

In 2015, a reconnaissance study and report was completed for AMS over portions of the 4.5 kilometer long trend.  The study identified the Tio Alejo area centered along the northwestern extent of the trend and the Los Camole area centered along the southeastern extent as being of highest importance based on recent gambusino activity.  Both areas exhibit a similar trend and style of mineralization.  As part of the program, 37 rock chip samples were collected from the workings.  Sample locations, widths, and assay results from the report were reviewed in the field with the supervising geologist and found to adhere to acceptable standards and procedures. 

Notable sample results from the Tio Alejo region include:

  • 0.4 m of 3.98% Cu, 9.81 g/t Au and 125 g/t Ag
    • 1.2 m of 2.15% Cu, 1.065 g/t Au and 35.4 g/t Ag
    • 0.7 m of 2.89% Cu, 1.03 g/t Au and 72.2 g/t Ag

Notable sample results from the Los Camole region include:         

  • 0.3 m of 1.225% Cu, 3.96 g/t Au and 324 g/t Ag
  • 1.3 m of 0.0396% Cu, 4.10 g/t Au and 2.2 g/t Ag
    • 0.8 m of 0.301% Cu, 3.31 g/t Au and 20.9 g/t Ag

Brian Metzenheim, Gainey Capital’s VP of Exploration commented, “The style of mineralization found in the shears may represent the upper extents of a moderately sized porphyry deposit that could host economic grades of copper, gold, and silver. I am encouraged by the regional distribution of the shears and the consistency of grades and alteration hosted by them and look forward to initiating exploration work on the project.”   

David Coburn, Gainey Capital’s CEO stated, “Our technical team led by Brian Metzenheim have spent the last several months on site and reviewing technical data from the property.  We are excited to add La Minita to El Colomo as part of our growing portfolio of exploration projects.  The property is favorably located amongst a number of other projects being advanced by companies such as Marlin Gold (TSXV: MLN), Agnico Eagle (TSX: AEM), First Majestic Silver (TSX: FR), Starcore International Mines (TSX: SAM), SSR Mining (TSX: SSRM), and Garibaldi Resources (TSXV: GGI).”

Terms of the agreement and proposed exploration plans for the property will be summarized in future news releases. 

Brian Metzenheim, Vice President Exploration, Gainey Capital Corp. is the Company’s Qualified Person as defined by NI 43-101 and has reviewed and approved the technical information in this news release.

Gainey Announces Field Review of the El Colomo Project by Vp Exploration and Completion of the Initial Portion of the Phase II Exploration Program

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce the completion of a project review by Gainey’s recently appointed VP Exploration, Brian Metzenheim. Further, Gainey announces the completion of the mapping and sampling portion of the Phase II exploration program at the El Colomo Gold-Silver project (“El Colomo”) located in the States of Nayarit and Durango, Mexico. 
 
During the latter half of October, Mr. Metzenheim toured the El Colomo property, reviewed work completed to date and evaluated work proposed as part of the Phase II exploration program.  Details of the Phase II program at El Colomo were outlined in the news release dated October 3, 2017. The tour included a review of the previously drilled La Nueva Victoria and La Higuerita zones and related drill core, field review of the El Arrayan, Las Minitas, La Bufa, and El Guayabo zones, and an overview of the exploration potential to the north and northwest of the Golden Corridor where prior reconnaissance stream sediment sampling has identified several drainage basins with anomalous gold. Rafael Gallardo, Senior Geologist with Minera Cascabel S.A. de C.V. led the tour and has directed exploration work on the project in the past.
 
Following the field review of the El Colomo project and exploration work, Brian Metzenheim commented “Rafael and his group have done an exceptional job advancing the project and bringing targets to the drill stage.”  Regarding the potential on the El Colomo property, he stated, “I am encouraged by the presence of an extensive mineralized system that hosts significant precious metal grades.  The next step is to define and expand the most favorable portions of the system and build on past exploration success.”    
 
In conjunction with the project review by Mr. Metzenheim, field crews from Minera Cascabel were mobilized to the project and completed geologic mapping, rock chip sampling and stream sediment sampling. The work was designed to elevate zones within the Golden Corridor to the drill stage, identify additional mineralized zones outside the Golden Corridor, and to evaluate large areas of the company’s claims where no known modern exploration work has been carried out. The majority of the program was carried out as planned, though a portion of the reconnaissance work had to be postponed due to high water flows in the larger arroyos and rivers following the rainy season. A total of 64 rock chip and 13 stream sediment samples were collected.  Field work was finalized in early November and assay results have now been received. Results will be released once they have been assembled and reviewed in conjunction with prior exploration work.
 
In addition to advancing the El Colomo project, the company has also been actively reviewing projects located throughout western Mexico with the goal of acquiring additional properties to add to the company’s exploration pipeline. Projects are being considered on the basis of exploration potential and acquisition costs to minimize risk to capital while ensuring a reasonable probability of identifying an economic deposit.   
 
Brian Metzenheim, Vice President Exploration, Gainey Capital Corp. is the Company’s Qualified Person as defined by NI 43-101 and has reviewed and approved the technical information in this news release.

Gainey Announces Closing of Private Placement

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

VANCOUVER, BC – Gainey Capital Corp. (the “Company” or “Gainey”) (TSX-V:GNC) is pleased to announce that it has closed the second, and final, tranche of its previously announced non-brokered private placement by issuing an additional 5,979,653 units at a price of $0.12 per unit to raise gross proceeds of $717,758 with all securities issued having a four-month hold period which expires on March 11, 2018. Total gross proceeds of the Offering are $1,957,558 with a total of 16,312,986 shares, 16,312,986 warrants, and 385,000 Finders’ Warrants being issued.

As previously announced, each Unit in this offering consists of one common share in the capital of the Company (each a “Common Share”) and one share purchase warrant (a “Warrant”). Each full warrant entitles the Unit holder to purchase one (1) additional GNC common share at a price of $0.24 per share at any time within 36 months of the closing.

With respect to finders’ fees, the Company will pay an aggregate of $30,000 in cash, issue 135,000 shares, and issue 385,000 Finders Warrants in connection with this offering. The Company issued 250,000 Finders’ warrants exercisable at a price of $0.16 for a period of 24 months and 135,000 Finders’ warrants at an exercise price of $0.24 for a period of 36 months.

The net proceeds of the Offering will be used to advance exploration activities at the Company’s Mexican El Colomo property as well as for general working capital.

Gainey Announces the Appointment of Brian Metzenheim to Vice President Exploration

Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce the appointment of Brian Metzenheim as Vice President Exploration, effective immediately.

Brian Metzenheim has over 20 years experience in mineral exploration with a focus on precious metals.  Most recently, Mr. Metzenheim spent 15 years with Minefinders Corporation managing generative reconnaissance programs and project exploration across Northern Mexico including the advanced stage La Bolsa property.  Following the acquisition of Minefinders by Pan American Silver Corp.  Mr. Metzenheim assumed the position of Manager, US Exploration with Pan American Silver, managing the drill confirmation of a 100+ million ounce silver deposit and evaluation of potential acquisition targets. Mr. Metzenheim holds a BSc in Geology from the University of Nevada, Reno, is a Qualified Person as defined by NI 43-101 and is fluent in Spanish.  

“I am excited to join Gainey Capital as VP Exploration and look forward to leading the team that will take the El Colomo project to the next level,” said Brian Metzenheim. “Given the geological similarities of the project to many of the mineral occurrences I have successfully advanced elsewhere in Mexico, I am confident we can unlock the maximum value from El Colomo.”

David Coburn, Gainey’s CEO, stated, “We are very excited to have Brian Metzenheim as our VP Exploration and now leading our exploration strategy and exploration team at Gainey. Brian has had a tremendous amount of success in Mexico with geological systems similar to what we are targeting at our El Colomo project.”

Gainey Announces Phase II Exploration Program at El Colomo

Vancouver, BC – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that as of October 15, 2017, the Company will commence its Phase II exploration program at the El Colomo Gold-Silver project (“El Colomo”) in the States of Nayarit and Durango, Mexico. The Phase II program will be divided into four stages, as follows:

Stage 1

Detailed mapping program along the known Golden Corridor, paying particular focus on the El Arrayan, Las Minitas, La Bufa and El Guayabo mineralized zones, located 1.2 km to the south-southeast of the La Nueva Victoria and La Higuerita mineralized zones which have been drill tested by Gainey and have encountered gold and silver mineralization.

Stage 2

Detailed mapping and rock chip sampling to the north of El Colomo’s Golden Corridor where four anomalous gold showings have been identified through the Company’s stream sediment sampling program. Highlights from this program include anomalous gold values of 129 ppb (“parts per billion”), 115 ppb, 74 and 75 ppb. 

These results were encountered in the State of Durango in an area 1.5 km wide by 2.5 km long of strongly argillically-altered and iron-stained volcanic rocks cut by multiple northwest-trending quartz veins. These altered areas, called Las Lajitas-Masparillo, El Verano-Los Aguacates y El Corpo-Encino Prieto, appear to be on-strike with, and may be an extension of, a 2.5  to 4 km to the Northwest of  the mineralized called the Golden Corridor which includes the La Nueva Victoria, La Higuerita, El Arrayan-Las Minitas and La Bufa-El Guayabo mineralized zones.

Stage 3

Stream sediment sampling to the west-northwest of the known Golden Corridor where the Company has completed exploration work on more than 3,000 hectares including mapping, sampling, and drilling.

Stage 4

Drilling program of approximately 3,000 m testing the targets at El Arrayan-Las Minitas and La Bufa-El Guayabo mineralized zones.

Rafael Gallardo, Senior Geologist of Minera Cascabel S.A. de C.V., who is leading the exploration program, stated “After encountering positive mineralization throughout our Phase I exploration program, our technical team has a deeper understanding of the geology surrounding the known gold-silver epithermal systems present throughout the El Colomo project. The exploration that was completed within Phase I has allowed us to define multiple, new targets which we are looking forward to expose.”

Technical aspects of this news release have been reviewed and approved by David Dupre P.Geo., designated as a qualified person under National Instrument 43-101.

Gainey Closes $1.2M First Tranche of Private Placement

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

 

GAINEY Completes $1.2M First Tranche of Private Placement

 Vancouver, BC – Gainey Capital Corp. (TSXV: GNC / OTC: GNYPF) (“Gainey” or the “Company”) announces that it has closed the first tranche of its private placement (the “Offering”) announced on June 21, 2017.

The Company has issued a total of 10,033,333 units (“Units”) at a price of $0.12 per Unit for gross proceeds of $1,204,000.  Each Unit was comprised of one common share and one common share purchase warrant (“Warrant”), each Warrant entitling the holder to purchase one additional common share of the Company at a price of $0.24 for a period of 36 months (increased from the originally-announced term of 24 months). All securities issued in connection with the Offering will be subject to a statutory four-month hold period.

Insiders of the Company participated for a significant portion of the first tranche closing, including Eric Sprott through a company beneficially owned by him (2176423 Ontario Ltd.), who is a new insider by way of his subscription for 4,166,666 Units for gross proceeds of $500,000. As a result of the Offering, Mr. Sprott is the beneficial owner of 4,166,666 Common Shares and 4,166,666 Warrants representing approximately 7.6% of the issued and outstanding common shares of the Company on a non-diluted basis and 14.2% on a partially diluted basis. Prior to the Offering, Mr. Sprott did not directly or indirectly own any securities of the Company.

The Units were acquired by Mr. Sprott, through 2176423 Ontario Ltd. for investment purposes. Mr. Sprott has a long-term view of the investment and may acquire additional securities of the Company either on the open market or through private acquisitions or sell securities of the Company either on the open market or through private dispositions in the future depending on market conditions, reformulation of plans and/or other relevant factors. A copy of 2176423 Ontario Ltd.’s early warning report will appear on the Company’s profile on SEDAR and may also be obtained by calling (416) 362-7172 (200 Bay Street, Suite 2600, Royal Bank Plaza, South Tower, Toronto, Ontario M5J 2J2).

The proceeds of the Offering will be used for exploration activites at the Company’s 100%-owned El Colomo project located in the states of Nayarit and Durango, western Mexico.  The El Colomo project hosts 23 gold/silver mineralized zones which the Company continues to explore with drilling and geophysical testing.   Finders fees may be paid on portions of the Offering in accordance with TSX Venture Exchange regulations.

Gainey Files Updated NI 43 101 Technical Report on the El Colomo Gold-Silver Project

Vancouver, BC – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) announces that the Company has filed a National Instrument 43-101 (“NI 43-101”) on their El Colomo Gold-Silver project located in the Sierra Madre Occidental Trend in western Mexico.

The independent NI 43-101 technical report for the El Colomo project was prepared for Gainey by David Dupre, PGeo and John Wilson, PGeo, both of whom are Qualified Persons under NI 43-101 standards.  The report has been filed on SEDAR at www.sedar.com and on the Company website at www.gaineycapital.com.

Gainey Arranges $2,500,000 Non-Brokered Private Placement

Vancouver, BC – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) announces that the Company has arranged a non-brokered private placement (the “Offering”) of up to 20,833,333 units (“Units”) in the capital of the Company at a price of $0.12 per Unit for gross proceeds of up to $2,500,000.

Each Unit will be comprised of one common share and one common share purchase warrant (“Warrant”), each Warrant entitling the holder to purchase one additional common share of the Company at a price of $0.24 per share for a period of 24 months. All securities issued in connection with the Offering will be subject to a statutory four-month plus one-day hold period. Finders’ fees may be paid in connection with this Offering.

The proceeds of the Offering will be used for exploration activites at the Company’s 100%-owned El Colomo project located in the states of Nayarit and Durango, western Mexico. The El Colomo project hosts 23 gold/silver mineralized zones which the Company continues to explore with drilling and geophysical testing. Detailed drill results from the La Nueva Victoria zone, one of the 23 El Colomo zones, are available in Gainey press releases dated September 28, 2016 and October 3, 2016, available at www.sedar.com.

Gainey Adds Mark Bailey to Advisory Board

Vancouver, BC – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that the Company has added Mr. Mark Bailey to its Advisory Board.

Mr. Bailey holds a Master’s degree in geology, is a registered professional geologist with over 40 years experience, most recently in the role of President & CEO of TSX-listed Minefinders Corporation Ltd. from 1995 to its sale in 2012. While with Minefinders, he was responsible for the discovery and development of resources totaling more than 3 million ounces of gold and 165 million ounces of silver as well as the eventual sale of the company to Pan American Silver Corp. for C$1.5 Billion in 2012. Prior to his tenure with Minefinders, Mr. Bailey held senior positions with Equinox Resources Inc. and Exxon Minerals. He is presently a director of Entree Gold, Mason Resources, Dynasty Metals & Mining, and Northern Lion and owner of M.H. Bailey & Associates LLC, a consulting Geologist company.

 

David Coburn, CEO of Gainey Capital, commented, “I am excited to add Mark Bailey to our Advisory Board, his experience within Mexico as well as his relationships within the investment community will be a major asset for Gainey Capital as we move the company forward and continue exploration on the El Colomo project.”

Gainey Provides Corporate, Operations, and Exploration Update

March 30, 2017 – Vancouver, BC – Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) provides the following corporate and exploration updates:

Corporate and Operations Update

The Company reports that the process of updating its NI 43-101 Technical Report on the El Colomo Gold-Silver project (“El Colomo”) located in the Sierra Madre Occidental Trend in Western Mexico is nearing completion and should be filed with the regulatory authorities shortly. 

The Company is pleased to report that it is currently negotiating ore supply contracts with multiple local Mexican mining operators to supply its 300-ton per day mill at Huajicori. As the resource industry continues to rebound, and with gold prices relatively stable, local producers have begun restarting operations – the Company is well-positioned to ramp up processing immediately. As needed, capacity at the Gainey mill can be scaled to up to 600 tons per day on an extremely cost-effective basis. 

Exploration Update – El Colomo Project

The Company is currently completing its Phase 1 drill program focused on the La Higuerita mineralized zone (“La Higuerita”) and the near-surface La Nueva Victoria Mineralized zone (‘La Nueva Victoria’) which are two of the Company’s 21 known mineralized zones within El Colomo. Drilling results from La Nueva Victoria have been released in previous news releases dated September 28 and October 3, 2016.  Results from La Higuerita, which have been sampled and shipped to ALS Chemex Labs in Vancouver, BC for analysis, will be reported as soon as they become available. 

La Higuerita is a part of Gainey’s 100%-owned, 187 km2  El Colomo Gold-Silver project that hosts 21 highly prospective, gold-silver mineralized zones located within the Sierra Madre Golden Belt, Mexico.

Drilling at El Colomo has to date returned significant gold and silver mineralization (see news releases dated September 28 and October 3, 2016).  Due to these results, Gainey continues to develop current prospects and identify additional drilling targets at El Colomo. 

David Coburn, CEO of Gainey Capital, commented, “Gainey will continue to push forward with our exploration program, drilling our most prospective identified targets. Our geological team has recently completed a comprehensive onsite technical review and is expecting to establish several new targets for a Phase 2 Drill program shortly.  We expect to provide more specifics on both the Phase 2 exploration and additional targets as soon as they become available.”

 

Gainey Provides Drilling Update

January 09, 2017 – Vancouver, British Columbia - Gainey Capital Corp. (TSXV: GNC) (OTC: GNYPF) (“Gainey” or the “Company”) is pleased to announce that the Company’s Phase 1 drill program is progressing and has been expanded at the El Colomo Gold-Silver project (“El Colomo”) located in the Sierra Madre Occidental Trend in Western Mexico. The drilling is focused on the La Higuerita mineralized zone (“La Higuerita”) and the La Nueva Victoria Mineralized zone (‘La Nueva Victoria’) which are two of the Company’s 21 known mineralized zones within El Colomo.

As reported in the Company’s news release on October 13, 2016, the drilling of three additional drill holes targeting La Higuerita was announced, two of which have been completed, sampled and shipped to ALS Chemex Labs in Vancouver, BC for analysis and the remaining drill hole is currently in progress.

The La Higuerita mineralized zone is located approximately 250 meters northeast of La Nueva Victoria, from which Gainey drill tested and released  assay results on September 29, 2016 and October 04, 2016 (see Table 1 below).

Further, due to the positive results received at La Nueva Victoria in Q4 2016 (see Table 1 below), the Company is planning to drill an additional four holes, along the La Nueva Victoria trend, 140 meters to the northeast of holes DHEC160001-3, and in between the La Nueva Victoria and La Higuerita zones.

Table 1 – Previously released drill results from the La Nueva Victoria Zone:

HOLE ID

FROM(m)

TO(m)

Width(m)

Au_g/t

Ag_g/t

Au_Equivalent*

DHEC160001

5.15

76.00

70.85

0.65

35.31

1.14

Including

5.15

44.8

39.65

0.79

43.86

1.39

and

60.50

76.00

15.50

0.73

38.54

1.27

DHEC160002

19.40

91.60

72.20

0.41

20.21

0.69

Including

57.00

73.20

16.20

0.74

28.88

1.14

DHEC160003

10.50

44.70

34.20

1.19

86.57

2.39

Including

10.50

14.00

3.50

4.32

438

10.39

And

27.10

44.70

17.60

1.29

37.06

2.29

*Au Equivalent calculated using a price of $1,300 US/oz for gold and $18 US/oz for silver.

 David Coburn, CEO of Gainey Capital, commented, “we are pleased with the drilling progress thus far on La Higuerita and we are looking forward to the first set of results from this zone to be disseminated in early 2017.”

La Higuerita is a part of Gainey’s 100% owned, 187 km2  El Colomo Gold-Silver project that hosts 21 highly prospective, gold-silver mineralized zones located within the Sierra Madre Golden Belt, Mexico.

Qualified Person

David Hladky, P. Geo. is the Qualified Person with respect to NI 43-101 at El Colomo and has approved the content of this news release. 

Clarification of Technical Disclosure on the El Colomo Property

Vancouver, BC – January 06, 2017 – Gainey Capital Corp. (TSXV: GNC) (OTCMKTS: GNYPF) (“Gainey” or the “Company”) reports that as a result of a review by the British Columbia Securities Commission, it is issuing this news release to retract certain points of technical disclosure. 

The informational facts in question, which disclosed mineral resource estimates for the La Higuerita and La Nueva Victoria zones of the El Colomo Project, were included in the Company’s corporate presentation, “Gainey Capital Corp. Q3 2016,” on pages 9, 12, and 15 which appeared on the Company’s website, www.gaineycapital.com. This version of the presentation has been removed from the website and an updated version has replaced it.

The Company would like to retract these mineral resource estimates from the removed corporate presentation as they were not compliant with National Instrument 43-101 Standards of Disclosure for Mineral Projects. The Company has no current mineral resource estimates for the El Colomo Property.

The Company is currently drilling on the El Colomo property and anticipates filing an updated and current Technical Report early in 2017.

Qualified Person

David Hladky, P. Geo. is the Qualified Person with respect to NI 43-101 at El Colomo.

Gainey Continues to Drill New Zones at La Higuerita within The ‘El Colomo Gold-Silver Project’ in Mexico

October 13, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTC PINK: GNYPF) (“Gainey” or the “Company”) is pleased to announce the continuation of the Company’s Phase 1 drilling program of an additional three holes at the ‘La Higuerita Gold-Silver mineralized zone’ (“La Higuerita”) located in the Sierra Madre Occidental Trend in Western Mexico.

La Higuerita is a part of Gainey’s 100% owned, 187 kmEl Colomo Gold-Silver project that hosts 21 highly prospective, gold-silver mineralized zones located within the Sierra Madre Golden Belt, Mexico. The Company is currently in the process of drill testing at La Higuerita which has encountered the following surface samples, located in Table 1 below, that appear on the Gainey news release disseminated on October 06, 2015:

 

Surface Sample Highlights:

 

Table 1 – La Higuerita Length: 1,000 Meters, Width: 80 Meters

Width (meters)

Au g/t

Ag g/t

0.40

33.30

1,550.00

1.00

20.00

895.00

2.00

3.20

147.00

0.50

1.54

491.00

 

Gainey recently announced the drilling results from the ‘La Nueva Victoria mineralized zone’ which can be seen in Table’s 2 and 3 below:

 

Table 2 – Hole DHEC160001 from La Nueva Victoria Zone (released September 29, 2016):

HOLE ID

FROM

TO

Width

Au_g/t

Ag_g/t

Au_Equivalent*

DHEC160001

5.15

76.00

70.85

0.65

35.31

1.14

Including

5.15

44.8

39.65

0.79

43.86

1.39

and

60.50

76.00

15.50

0.73

38.54

1.27

*Au Equivalent calculated using a price of $1,300 US/oz for gold and $18 US/oz for silver.

  

Table 3 – Holes DHEC160002/3 from La Nueva Victoria Zone (released October 04, 2016):

HOLE ID

FROM(m)

TO(m)

Width(m)

Au_g/t

Ag_g/t

Au_Equivalent*

DHEC160002

19.40

91.60

72.20

0.41

20.21

0.69

Including

57.00

73.20

16.20

0.74

28.88

1.14

DHEC160003

10.50

44.70

34.20

1.19

86.57

2.39

Including

10.50

14.00

3.50

4.32

438

10.39

And

27.10

44.70

17.60

1.29

37.06

2.29

*Au Equivalent calculated using a price of $1,300 US/oz for gold and $18 US/oz for silver.

 

Rafael Gallardo, Senior Geologist of Minera Cascabel S.A. de C.V., who is leading the drill program, commented, “The target of ‘La Higuerita mineralized zone’ host the same characteristics of mineralization and alteration as was encountered at the La Nueva Victoria target and all three zones are part of the Golden Corridor. These two targets have strong potential to find veins of high grade values hosted in felsic dykes and permeable lithic tuff. We are very excited to drill these two additional targets.”

David Coburn, CEO of Gainey, commented, “we are very encouraged by the success and drill results that have been encountered at the near-surface, La Nueva Victoria mineralized zone.  As we continue to move forward with our Phase 1 drilling program on La Higuerita, we are most encouraged by the fact that the Company’s El Colomo Project hosts a further 19, drill-ready, prospective gold-silver mineralized zones that Gainey plans on drill-testing in the near future.”

El Colomo Property

El Colomo is a highly prospective, 187 km2 property with district-scale gold-silver potential located within the ‘Golden Corridor’ in Sierra Madre, Mexico. High-grade and bulk tonnage targets have already been identified through prior exploration and there are strong indications of continuity between La Higuerita, La Nueva Victoria and El Arrayan (at least 2 km in strike length).

97% of this 18,766-hectare project has not been explored using modern concepts & technology. All 21 mineralized zones identified to date are located in the central portion of the property and within a 1.5 km radius of each other.

Qualified Person

David Hladky, P. Geo. is the Qualified Person with respect to NI 43-101 at El Colomo.

 

Gainey Intersects Further Near-Surface Mineralization of 34.2 Meters of 2.39 g/t Au Eq at La Nueva Victoria, Mexico

October 04, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce assay results from the second and third holes of the Company’s Phase 1 drill program at the near surface, La Nueva Victoria Mineralized Zone (“La Nueva Victoria”) of the El Colomo property in Sierra Madre Golden Belt, Mexico.

The mineralization encountered in hole DHEC160002 (“Hole 2”) commenced at 19.40 meters from surface for 72.20 meters of 0.41 g/t Au and 20.21 g/t Ag (0.69 g/t Au Eq) and for hole DHEC160003 (“Hole 3”) commenced at 10.50 meters from surface for 34.20 meters of 1.19 g/t Au and 86.57 g/t Ag (2.39 g/t Au Eq).

 

Table 1 – Holes DHEC160002/3 from the La Nueva Victoria Zone at El Colomo:

HOLE ID

FROM(m)

TO(m)

Width(m)

Au_g/t

Ag_g/t

Au_Equivalent*

DHEC160002

19.40

91.60

72.20

0.41

20.21

0.69

Including

57.00

73.20

16.20

0.74

28.88

1.14

DHEC160003

10.50

44.70

34.20

1.19

86.57

2.39

Including

10.50

14.00

3.50

4.32

438

10.39

And

27.10

44.70

17.60

1.29

37.06

2.29

*Au Equivalent calculated using a price of $1,300 US/oz for gold and $18 US/oz for silver.

 

Holes 2 and 3 targeted the center of the silicified vein breccia zone, consisting of gray quartz veining and permeable lithic tuff. Hole 2 was targeted at -80° below, the previously released, hole DHEC160001 and Hole 3 was targeted to intersect this zone to the northwest, by approximately 28 meters. Hole 1 intercepted over 70 meters of 1.14 g/t Au Eq (please see the Company’s news release dated September 28th, 2016).

Rafael Gallardo, Senior Geologist of Minera Cascabel S.A. de C.V., who is leading the drill program, commented, “the results encountered from drill holes 2 and 3 show that Au-Ag mineralization is being encountered near surface and the mineralized structure is open at depth and along strike at La Nueva Victoria.”

David Coburn, CEO of Gainey, commented, “we are encouraged by the further success of the drill program at the La Nueva Victoria zone. This is one of 21 surface mineralized zones that we have identified in the 3 km by 1 km area of the El Colomo Project referred to as the “Golden Corridor” and we are looking forward to progressing through our drill testing of these zones to evaluate their mineralization potential”.

El Colomo Property

El Colomo is a highly prospective, 187 km2 property with district-scale gold-silver potential located within the ‘Golden Corridor’ in Sierra Madre, Mexico. High-grade and bulk tonnage targets have already been identified through prior exploration and there are strong indications of continuity between La Higuerita, La Nueva Victoria and El Arrayan (at least 2 km in strike length).

97% of this 18,766-hectare project has not been explored using modern concepts & technology. All 21 mineralized zones identified to date are located in the central portion of the property and within a 1.5 km radius of each other.

Qualified Person

David Hladky, P. Geo. is the Qualified Person with respect to NI 43-101 at El Colomo.

La Nueva Victoria Drilling and Assay QA/QC

All drill core from this release is drilled at HQ diameter and is split into equal halves near site. All samples are assayed using standard 33 element ICP and 50 gram fire assay with atomic absorption finish by ALS in Vancouver, Canada.

QA/QC programs using internal standard samples, field and lab duplicates and blanks, indicate good accuracy and precision in a large majority of standards assayed. As the mapped mineralized corridors strike N-S, the drill holes were designed to have azimuths perpendicular or as close to perpendicular to the strike as the permitted pad would allow. As this is the first drill program by Gainey at El Colomo, the dip of the main structure is not entirely known but is believed to dip steeply to the west based on mapping and historical work, and thus the intercept is estimated to represent 50-60% of the true width.  No intercept was reported that averaged less than 0.4 g/t Au and/or 10.0 g/t Ag and no intercept had more than five consecutive meters of less than 0.2 g/t Au and/or 10 g/t Ag, or began or ended with values less than 0.2 g/t Au and/or 10 g/t Ag.

Gainey Intersects Near-Surface Mineralization Over 70 Meters of 1.14 g/t Au Eq at La Nueva Victoria, Mexico

September 29, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce assay results from the first hole of the Company’s ongoing, Phase 1 drill program at the near surface, La Nueva Victoria Mineralized Zone (“La Nueva Victoria”) of the El Colomo property in Sierra Madre Golden Belt, Mexico. The mineralized interval commences at 5.15 meters from surface for 70.85 meters of 0.65 g/t Au and 35.31 g/t Ag (1.14 g/t Au Eq), please see Table 1 below for more details:

 

Table 1 – New drill results from the La Nueva Victoria Zone at El Colomo:

HOLE ID

FROM

TO

Width

Au_g/t

Ag_g/t

Au_Equivalent*

DHEC160001

5.15

76.00

70.85

0.65

35.31

1.14

Including

5.15

44.8

39.65

0.79

43.86

1.39

and

60.50

76.00

15.50

0.73

38.54

1.27

*Au Equivalent calculated using a price of $1,300 US/oz for gold and $18 US/oz for silver.

Hole 1 targeted the center of the silicified vein breccia zone, consisting of grey quartz veining and permeable lithic tuff, of the La Victoria structure at a dip of -60 degrees. Two additional holes targeting this zone are currently being processed, and the results are anticipated shortly.

Rafael Gallardo, Senior Geologist of Minera Cascabel S.A. de C.V., who is leading the drill program, commented, “the results that we have received for the first drill hole are very encouraging and I look forward to the results from the other two holes designed to target this zone. The near-surface Au-Ag mineralization we have encountered is typical of epithermal low-sulphidation type deposits found in the area.”

David Coburn, CEO of Gainey, commented, “the maiden drill results on La Nueva Victoria confirm our model for sub-surface mineralization following up on our initial detailed sampling program. Further drilling along trend and at depth has the potential to see this zone expand significantly and, in addition to future drilling at La Higuerita and El Arrayan, have the potential to support the discovery of an under-explored gold-silver mineralized system.”

 

El Colomo Property

El Colomo is a highly prospective, 187 km2 property with district-scale gold-silver potential located within the ‘Golden Corridor’ in Sierra Madre, Mexico. High-grade and bulk tonnage targets have already been identified through prior exploration and there are strong indications of continuity between La Higuerita, La Nueva Victoria and El Arrayan (at least 2 km in strike length). Please refer to Figure 1 on page 2 of this release for a map showing the extent of the El Colomo property.

97% of this 18,766-hectare project has not been explored using modern concepts & technology. All 20 mineralized zones identified to date are located in the central portion of the property and within a 1.5 km radius of each other. 

 

Qualified Person

David Hladky, P. Geo. is the Qualified Person with respect to NI 43-101 at El Colomo.

La Nueva Victoria Drilling and Assay QA/QC

All drill core from this release is drilled at HQ diameter and is split into equal halves near site. All samples are assayed using standard 33 element ICP and 50 gram fire assay with atomic absorption finish by ALS in Vancouver, Canada.

QA/QC programs using internal standard samples, field and lab duplicates and blanks, indicate good accuracy and precision in a large majority of standards assayed. As the mapped mineralized corridors strike N-S, the drill holes were designed to have azimuths perpendicular or as close to perpendicular to the strike as the permitted pad would allow. As this is the first drill program by Gainey at El Colomo, the dip of the main structure is not entirely known but is believed to dip steeply to the west based on mapping and historical work, and thus the intercept is estimated to represent 50-60% of the true width.  No intercept was reported that averaged less than 0.4 g/t Au and/or 10.0 g/t Ag and no intercept had more than five consecutive meters of less than 0.2 g/t Au and/or 10 g/t Ag, or began or ended with values less than 0.2 g/t Au and/or 10 g/t Ag.

Figure 1 – Full Extent of the El Colomo Property

Gainey Provides Corporate Exploration Update

September 08, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) announces that the Phase 1 Drilling campaign has completed the first three Diamond Drill holes at the El Colomo Gold-Silver Project in Mexico. The first of the three holes targeting the La Nueva Victoria Mineralized Zone has been sampled and shipped to ALS Labs Vancouver, BC for analysis and the other two holes are currently being processed at the Company’s core logging facility to be submitted shortly. Preliminary results from these drill holes are anticipated within the next few weeks.

Furthermore, the Company is pleased to announce that the program continues to advance with the commencement of drilling on the first of four targets at the La Higuerita/El Arrayan Mineralized Zones.

Gainey’s exploration team, led by Rafael Gallardo of Minera Cascabel S.A. de C.V., notes that though they have encountered two serious weather systems in the region, the program has not met any serious delays, and drilling progress has continued on the target zones. David Coburn, CEO of Gainey, commented, “we are looking forward to the first set of drilling results over the next 2-3 weeks. The Exploration Team has done an excellent job meeting their objectives given they have encountered challenging weather conditions.” 

The Company recently upgraded its exploration team with the addition of David Hladky, P.Geo. to the Technical Advisory Board, who is also the Company’s acting Qualified Person as defined by NI 43-101, please see the Company’s news release on July 26, 2016 for full details. Mr. Hladky’s previous position was with Cayden Resources Inc. as the Qualified Person and one of the leaders in the exploration of the Morelos Sur and El Barqueno projects in Mexico, that were successfully sold to Agnico Eagle Mines for $205 Million in 2014.

The Company also reports the grant of up to an aggregate 2.5 million common share purchase options, exercisable at a price of $0.20 per share, to its directors, officers, employees and consultants.

Gainey Capital Announces Appointment to the Board

August 26, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce the appointment of Mr. Barry Lee to the Company’s Board of Directors. Mr. Lee is a co-founder of Gainey and was an original member of the Company’s Board until 2014.  He has extensive board and senior management experience and has provided strategic planning, corporate governance, and M&A expertise for both public and private companies within various sectors over the past twenty-two years.  He is currently a director and/or senior officer of several public companies listed in both Canada and the United States.

Mr. Lee has returned to the Board to replace Mr. Lawrence Segerstrom, who has resigned as a director.

“On behalf of the Board of Directors, I would like to thank Mr. Segerstrom for his dedication and service to the Company over the past two years,” said David Coburn, CEO of Gainey. “We are fortunate to have Mr. Lee rejoin our Board at such an important time for our Company.”

Gainey Capital Strengthens Technical Advisory Board

Gainey Capital Strengthens Technical Advisory Board

July 26 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce the addition of David Hladky, P.Geo, to its Technical Advisory Board.

David Hladky is a bilingual, registered Professional Geologist with over 18 years of international mineral exploration experience. Mr. Hladky’s last position was with Cayden Resources Inc. as the Qualified Person and one of the leaders in the exploration of the Morelos Sur and El Barqueno projects in Mexico that were successfully sold to Agnico Eagle Mines for $205 Million in 2014. Mr. Hladky also spent several years working for Great Panther Silver in the exploration of their Guanajuato Mine and Km 66 project, both also in Mexico.

“After visiting the El Colomo Property and analyzing the Company’s current drill program in progress, I am very excited to be an addition to the already strong technical team that has been assembled and is exploring the El Colomo Gold-Silver Project. I look forward to working with Rafael Gallardo and the Cascabel team in moving this exciting project forward,” said David Hladky.

David Coburn, President and CEO of Gainey Capital, stated, “David Hladky is a key addition to our team as we move our El Colomo Gold-Silver project forward. His direct experience within similar geological and mineralization settings in Mexico is a great asset for Gainey and our shareholders.”

Gainey Capital Provides Update on Phase 1 Drill Program at the El Colomo Gold-Silver Project in Western Mexico

July 5th, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to report that the Company is in the process of completing the first three holes of its Phase 1 drill program on the La Nueva Victoria mineralized zone located within the El Colomo Gold-Silver Project (“El Colomo”) in Western Mexico.  As these first three holes are completed, and the drill core is assayed, the Company will disseminate results to the public.

As previously announced in the Company’s news release on May 25th, 2016, Phase 1 of the drilling program will comprise between 2,000 and 5,800 meters of HQ diamond core drilling and will focus on the La Nueva Victoria, La Higuerita, El Arrayan, and La Penita mineralized zones which are hosted within the El Colomo Project.

David Coburn, CEO of Gainey, commented, “We are extremely pleased with the drilling progress at the La Nueva Victoria mineralized zone thus far. We look forward to publicly disseminating the assay results as soon as they become available.”

Gainey Capital Announces Drilling Program at the El Colomo Gold-Silver Project in Western Mexico

May 26, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to report that drilling will commence by the end of May 2016 at the El Colomo Gold-Silver Project (the “Project”), located in the Sierra Madre Occidental Trend in Western Mexico.

The Phase 1 drilling program will comprise between 2,000 and 5,800 meters of HQ diamond core drilling and will focus on the following four mineralized zones that have already been encountered by the Company:

  • La Higuerita: highlight assays of 33.30-gpt gold / 1,550.00-gpt silver and 20.00-gpt gold / 895.00-gpt silver;
  • La Nueva Victoria: highlight assays of 9.73-gpt gold / 155.00-gpt silver and 3.54-gpt gold / 261.70-gpt silver;
  • El Arrayan: highlight assays of 12.35-gpt gold / 938.00-gpt silver and 2.68-gpt gold / 248.10-gpt silver;
  • La Peñita: highlight assays of 24.50-gpt gold / 1,300.00-gpt silver and 2.36-gpt gold / 138.30-gpt silver

Gainey’s field crew has been mobilized and preparation of the drill pads is underway. The Company expects the Phase 1 drilling program to commence prior to the end of May 2016.   

David Coburn, CEO of Gainey, commented, “the commencement of the Phase 1 Drilling Program will target four out of the 21 high priority Mineralized Zones at El Colomo that have already been identified by the Company’s technical team. Our most recent exploration activity on the Project, which includes assay results and detailed mapping, gives us reason to be optimistic that the anticipated results of our Phase 1 drilling program will be the foundation of building a great company.” 

Gainey Provides Corporate Update on AGM Results

April 28, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce a record number of shareholders voting at the Company’s AGM on Wednesday, March 30, 2016 which includes a 99.98% vote in favour of the current Gainey management.  

 

The Company’s management team is looking forward to a strong 2016 with numerous Mineral Processing agreements expected to commence within the year as well as a Phase 1 drill program projected to start in May, 2016, on the Company’s El Colomo project.

 

Final negotiations are currently being undertaken at the El Colomo project between the Company and several drilling companies who are evaluating proposed drill targets.

 

Gainey’s renowned geologists: Larry Segerstrom, Director and QP of Gainey, and Rafael Gallardo, Senior Geologist of Minera Cascabel S.A. de C.V. (“Cascabel”), have signed-off on 21 priority drill targets totaling 5,800 meters, which could be divided into various tranches. These targets are within mineralized zones at El Colomo, which include:

  • La Higuerita, with highlight assays of 33.30-gpt gold / 1,550.00-gpt silver and 20.00-gpt gold / 895.00-gpt silver;
  • La Nueva Victoria, with highlight assays of 9.73-gpt gold / 155.00-gpt silver and 3.54-gpt gold / 261.70-gpt silver;
  • El Arrayan, with highlight assays of 12.35-gpt gold / 938.00-gpt silver and 2.68-gpt gold / 248.10-gpt silver;
  • La Peñita, with highlight assays of 24.50-gpt gold / 1,300.00-gpt silver and 2.36-gpt gold / 138.30-gpt silver

 

The Company also expects to commence several mineral processing agreements in the near future which have the potential for Gainey to operate its’ wholly owned, 300 TPD processing facility, in a cash flow positive environment. The 50/50 profit-sharing agreements between Gainey and local groups offer the potential for near-term revenues, which will be used to supplement the Company’s exploration and drilling programs on the El Colomo project.  

 

David Coburn, CEO of Gainey, commented, “With the high voter turnout at the Company’s most recent AGM, I am excited about 2016 for Gainey shareholders as the Company is in the process of finalizing and moving forward with the proposed drilling program. Furthermore, the Company is in the process of executing agreements for mineral processing with multiple miners.”

Gainey Provides Update on Exploration and Mineral-Processing Activities in Mexico

March 16, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to provide an update regarding important progress on the Company’s exploration activities at its highly acclaimed, 192-km2 El Colomo property located in the Sierra Madre Occidental Trend in Western Mexico and mineral-processing at its fully operational, 300-tpd processing centre located in Huajicori, Mexico. Gainey has maintained a low monthly burn rate over the past 24-months while gold prices have dropped as low as USD$1050/oz. this year. Gainey continues to be a strong exploration and mineral-processing company and has continued to find significant opportunity during the difficult precious metals market over the past several years.

Exploration Program: Gainey reported positive results from its initial mapping and sampling programs at El Colomo, which showed high-grade gold and silver from mineralized structural zones as well as lower grade mineralization with potential bulk tonnage in the host wall rock.

Gainey discovered a new high-grade mineral zone at El Colomo that carries a vein structure of 4 to 7 km in length, which may be the northern extension of an area of known mineralization called the “Golden Corridor.” Analytical results from the structure include 24.50-gpt gold / 1,300.00-gpt silver. The Company will begin detailed mapping of this particular mineralized zone and will announce details as the program is finalized.  

Drill Program: Results from Gainey’s mapping and sampling programs have helped to identify priority drill targets for Gainey’s Phase 1 drill program that is to commence Q2 2016. 5 high-priority mineralized zones have been identified at El Colomo and Gainey plans on drilling between 2,200 to 5,800 meters in these areas this year.

Gainey’s renowned geologists: Larry Segerstrom, Director and QP of Gainey, and Rafael Gallardo, Senior Geologist of Minera Cascabel S.A. de C.V. (“Cascabel”), have signed-off on 21 priority drill targets totalling 5,800 meters, which could be divided into various tranches. These targets are within mineralized zones at El Colomo, which include:

  • La Higuerita, with highlight assays of 33.30-gpt gold / 1,550.00-gpt silver and 20.00-gpt gold / 895.00-gpt silver;
  • La Nueva Victoria, with highlight assays of 9.73-gpt gold / 155.00-gpt silver and 3.54-gpt gold / 261.70-gpt silver;
  • El Arrayan, with highlight assays of 12.35-gpt gold / 938.00-gpt silver and 2.68-gpt gold / 248.10-gpt silver;
  • La Peñita, with highlight assays of 24.50-gpt gold / 1,300.00-gpt silver and 2.36-gpt gold / 138.30-gpt silver; and,

Detailed highlights from Gainey’s sampling program can be found here: GAINEY SAMPLES UP TO 33.30 GPT GOLD AND 1,550 GPT SILVER AT THE ‘GOLDEN CORRIDOR’

Drilling Companies: Gainey is in negotiations with several successful drilling companies that have extensive experience with the geological structures that are prominent throughout Gainey’s El Colomo property. Gainey plans to engage a drilling team within the next 30 days in order to devise and begin executing a strategic drilling program.

Mineral Processing: Gainey continues to grow its operations at it’s wholly owned, 300-tpd processing centre. The Company will continue to sample and process mineralized materials for local mining groups like: Goldplay, Nayarit Mining, El Escobar, etc. The 50/50 profit-sharing agreements between Gainey and these groups offer the potential for near-term revenues. Profits received by Gainey will be used to supplement the Company’s exploration and drilling programs. Gainey will continue to look for more sampling and processing opportunities while the precious metals market recovers.

In addition, Gainey plans on sampling its own mineralized material from its El Colomo property by Q2 2016, which could offer ongoing revenues to fund future exploration and development initiatives.    

Corporate Development: The recent surge in gold and silver prices has attracted significant interest from prominent mining and investment groups. These groups have visited Gainey’s El Colomo property for the following reasons:

  1. 192-km2 land package in a potentially high, gold and silver, mineralized zone;
  2. Significant assay results from detailed sampling program (noted above);
  3. Strong working agreement with the local Indian communities;
  4. No security issues in this region of Mexico; and,
  5. Infrastructure in place (water, power, labour force, roads, etc.)

Ocean Partners: Gainey has been working with Ocean Partners on an Off-Take Agreement (the “Agreement”) for the purchase of Gainey’s concentrate. Gainey will announce the terms of this Agreement in the near future. Ocean Partners of Connecticut, USA offers a complete range of trading services for miners, smelters, refiners and metal consumers around the world and provides numerous off-take agreements for some of the largest mining companies in Mexico, making them a very strategic group for Gainey to partner with.

David Coburn, CEO of Gainey, commented, “We’re pleased to announce that Gainey continues to find great opportunities at its El Colomo property despite the difficult precious metals market over the last several years. Gainey has taken full advantage of the current market conditions to develop a competitive and extensive drill program with some of the most renowned drilling companies in mining and exploration. Local communities, as well as local and federal governments throughout Mexico, have exhibited profound support in expediting Gainey’s exploration activities. Gainey remains to be a prominent exploration and mineral-processing company with a solid reputation in Mexico. We continue to move our projects forward in the most strategic and cost-effective manner and will continue to consistently create long-term shareholder value for many years to come.”

Gainey Begins to Process 6,500 tons of Mineralized Material for Goldplay Exploration

January 21, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has entered into a processing agreement with Goldplay Exploration (“Goldplay”) to process 6,500 tons of mineralized material from their gold properties located in the Rosario mining district in the State of Sinaloa, Mexico. During the week of February 1, 2016, the first tranche of mineralized material will be shipped to Gainey’s 100% owned, 300-tpd processing centre in Huajicori, Mexico.

Gainey has received several mineralized material shipments from Goldplay, which have been detailed in the following news releases: Gainey has Received Goldplay’s First Material Shipment at its Processing Centre  & Gainey Receiving Second Tranche of Mineralized Material from Goldplay . With the success of these sampling programs, Gainey and Goldplay have decided to enter into an agreement to process 6,500 tons of Goldplay’s mineralized material commencing the week of February 1, 2016. Gainey is confident that this opportunity will add, and continue to add, positive cash flow to the company and increase value for its shareholders.

Frank Powell, Head Geologist of Goldplay, commented, “We have spent several months sampling mineralized materials from our local gold properties at Gainey’s processing centre and have successfully completed the due-diligence necessary to advance to the next stages of our working agreement with Gainey.”

David Coburn, CEO of Gainey, commented, “We are continuing to develop the 50/50 profit split business model as mentioned in a previous news release: Gainey and Vetas y Minerales Mining Sign Letter of Intent and Processing Agreement . We feel this is an intelligent business model that will bring ongoing revenues to the company and offers the potential for future growth. Goldplay is a very strong partner that brings several revenue generating opportunities to the company. Gainey is exploring other exciting tolling opportunities with Goldplay, which we will announce on in the coming months.”

David Coburn, CEO of Gainey, continued, “In 2014 and 2015, the precious metals market proved to be very difficult and volatile. In response, Gainey has continued to adjust its operational strategies to adhere to these challenging market conditions. We’ve proven to be adaptable and resourceful, while continuing to grow our operations in Mexico. We’re confident that the low-cost structure of our business arrangements with Goldplay will allow both companies to be equitable, even at the current precious metal (gold and silver) prices. We will continue to provide updates as we ship mineralized material to our 300-tpd processing centre.”

  

About Goldplay Exploration

Goldplay is a private mineral exploration company comprising a group of experienced explorers and financiers with a track record of recent discoveries in Latin America. The group is responsible for the discovery and development of La Trinidad Mine in the Rosario Gold belt currently being mined by Marlin Gold. The Company has properties in Mexico and Central America and is currently focused in Rosario Sinaloa, Mexico, a prolific gold and silver mining belt. The Company’s has advanced several properties in the Rosario area to the resource stage and is sourcing methods to advance its projects to the next stage.

GAINEY REPORTS GOLDEN ANVIL S.A. De C.V. DEFAULTS ON PROMISSORY NOTE

Gainey Capital Corp. (TSXV: GNC) (“Gainey” or the “Company”) reports that Golden Anvil S.A. De C.V. (“Golden Anvil”) has defaulted on a Promissory Note issued to the Company as part of the Qualifying Transaction.

The Company received a signed Promissory Note in the amount of $266,215 from Golden Anvil to reflect amounts owing to Gainey Capital Corp. for various costs on its Mexican property. These costs were paid by Gainey Capital but were incurred by Golden Anvil prior to the finalizing of the Qualifying transaction which closed in September 2013.

The Note amount carries a 12% per annum interest rate compounded monthly and as of December 31, 2015 this debt, including interest, has a fair market value of $348,265. The Promissory Note is secured by 800,000 Consideration Shares (“Pledged Shares”) and personally guaranteed by Marco Antonio Rincon-Valdes and Francisco Rolando Rincon-Romo. Golden Anvil agreed to repay 50 percent of the Note on or before September 27, 2014, and the remaining 50 percent on or before March 27, 2015.

As per the Asset Purchase Agreement dated September 27, 2013, and given the 800,000 Consideration shares will not sufficiently cover the total outstanding, Gainey has instructed its legal counsel to settle this matter under Arbitration.

GAINEY SAMPLES UP TO 33.30 GPT GOLD AND 1,550 GPT SILVER AT THE ‘GOLDEN CORRIDOR’

October 6, 2015 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has it has received the assay results from its detailed sampling of the ‘Golden Corridor’ at its El Colomo project. The Golden Corridor is a northerly-trending area, 3.5-kms long by 1-km wide, with multiple exposures of sub-parallel mineralized structural zones associated with at least two dome-like felsic intrusions that are hosted by andesitic rocks. Six known mineralized zones are exposed in the Golden Corridor, and it appears to be open along strike.  The known zones are La Nueva Victoria, El Arrayan, La Higuerita, La Bufa, La Peñita and El Guayavo.

A total of 266 samples were taken at the Golden Corridor.  The width of these samples varies from 0.15 to 3.0-m wide.  Highlights from the sampling of these mineralized zones include:

To review sample results and geologic maps with the location of the samples, please visit: www.gaineycapital.com.

These mineralized outcrops in the Golden Corridor are comprised of veins, breccias, stockwork and disseminations, which are principally hosted by hydrothermally altered, rhyodacitic intrusive rock with quartz phenocrysts.  This intrusive rock forms dikes as well as at least two domes and is hosted by andesitic volcanic rocks.

Larry Segerstrom, Gainey Capital’s QP, commented, “The pervasive veining, argillic and silicic alteration, and size of the intrusive-hosted mineralized area suggests the presence of a strong hydrothermal system with the potential for large volumes of low-grade gold-silver mineralization at shallow depths.  This potential for bulk tonnage will begin to be tested by diamond drilling in early 2016.”  

Rafael Gallardo, Senior Geologist of Minera Cascabel that led the recent work, commented, “The field data and geochemical results obtained in this detailed mapping and sampling program suggest that the dikes that host the mineralization at La Nueva Victoria and El Arrayan may be connected at depth with the domes at La Higuerita and La Bufa.  This represents a significant potential for a low-grade, high-tonnage deposit.”

David Coburn, Gainey Capital’s CEO, commented, “Results from our detailed surface mapping program have shown high grade gold-silver from mineralized structural zones as well as lower grade with potential bulk tonnage in the host wall rock.  Our geology team is very excited with the results from this Phase 1 detailed mapping program and we will continue with our mapping of the central part of the El Colomo property which contains 15 unmapped, historic prospects and small mine workings outside the Golden Corridor.”

The Golden Corridor was mapped and sampled in detail with the aim of identifying priority drill targets for Gainey’s Phase 1 drill program commencing in early 2016. 

 

Qualified Person

Lawrence Segerstrom, a Director of the Gainey Capital Corp. and a Qualified Person under NI-43-101, reviewed and approves the content of this release.

Gainey Capital, CEO-David G Coburn, Exploration Update Blog

Over the next 30-45 days, Gainey will share the assay results from its detailed mapping and stream sediment sampling programs that were announced over the past months. These programs have been carried out by Minera Cascabel SA de CV of Hermosillo, Mexico, a group that is considered leaders in precious metals exploration throughout Mexico. Minera Cascabels Senior Geologist, Rafael Gallardo, is leading our aforementioned programs and has come up with some significant findings.

Early discussions with our geological team indicated that we could have a very large mineralized system with high gold and silver grades on our 100% owned El Colomo property located in the highly-prolific Sierra Madre Occidental Trend in Western Mexico

Rafael Gallardo was quoted earlier this year saying, El Colomo is one of the best properties with the highest potential I've seen in my 31 years of exploration. I'm excited to see our soon to be defined drill campaign test these prospective targets in the coming months.

Weve focused our detailed mapping initiatives on the aptly-named Golden Zone. This is an area 3 km long and 1 km wide within our El Colomo Mineral Concessions, which currently contains 21 mineralized vein systems. The Golden Zone is a prolific gold region along the Sierra Madre Occidental trend where our 192 km2 El Colomo property is located. The mineralized vein systems that we are focused on within the Golden Zone include La Nueva Victoria, La Higuerita, El Arrayan, La Bufa, El Guayabo and Las Minitas areas 

This detailed mapping program will help us identify specific drill targets for our proposed, upcoming drill program that is to commence early 2016. This drill program has been pushed into early 2016 because of the unexpected weather conditions we encountered this Monsoon Season in Mexico. Were currently negotiating with several drilling companies that have extensive experience with this type of geological system within Mexico. Numerous drilling companies will be visiting Gaineys Golden Zone area to conduct due-diligence site visits over the next 2-3 weeks in order to thoroughly analyze the property and targeted zones.

Gaineys El Colomo property is on the investment communitys radar and has been visited by several large precious metal investment groups, funds and corporations for the following reasons:

1) 192 km2 land package in a potentially high gold and silver mineralized zone

2) Strong working agreement with the local Indian community

3) No security issues in this region of Mexico

4) Infrastructure in place (water, power, labour force, roads, etc.

In addition, please continue to be aware that Gainey is close to putting together a solid revenue and profit sharing strategy with various local groups. We are continuing to sample and process their mineralized materials at our 100%-owned, 300-tpd Toll-Processing Facility, which can immediately expand to 600-tpd if needed. We will also continue to provide further updates on these collaborations over the next weeks and months.

Were on track to becoming a district play within Mexico and look forward to providing further updates on Gaineys exploration and toll-processing activities.

If you have any questions, please dont hesitate to be in touch. You can also connect with us on Twitter and LinkedIn for timely updates. 

David Coburn, CEO of Gainey Capital

Gainey and Vetas y Minerales Mining Sign Letter of Intent and Processing Agreement

Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has signed a Letter of Intent and Processing Agreement (“Agreement”) with Vetas y Minerales Mining, S.A. de C.V. (“Vetas y Minerales Mining”) to process mineralized material from Vetas y Minerales Mining’s mineral property (“Property”) in Acaponeta, Nayarit at Gainey’s 100%-owned, 300-tpd processing centre located outside of Huajicori, in Nayarit, Mexico.

Gainey has been sampling mineralized materials from Vetas y Minerales Mining’s Property over the past 60-days and has agreed to commence processing of ~1,800 tons of mineralized material starting the week of September 14, 2015.

Under the terms of the Agreement, Gainey and Vetas y Minerales Mining have agreed to a 50/50 profit split from proceeds generated from the sale of concentrate after all expenses are paid.

Vetas y Minerales Mining is a privately held Mexican mining company headquartered in Mazatlan, Sinaloa with mining operations in various locations around the Acaponeta, Nayarit area. Vetas y Minerales Mining’s representative, Alan Frias Lopez, is quoted as saying, “We are excited to work with a group like Gainey who has such extensive technical expertise. We have been sampling mineralized material with them over the past 60-days and they have proven to be a very strong processing partner. We look forward to continuing our work together.”

David Coburn, CEO of Gainey Capital, commented, “This is our first foray into a profit sharing business model, which we’re confident will be a very successful endeavour. With Vetas y Minerales Mining’s extensive knowledge of the area and strong financial backing, we feel this partnership will be mutually beneficial for both companies and will create significant value for our shareholders.”

Further Updates on Gainey’s Toll Processing Operations

We are very excited to share that the company is close to processing mineralized materials from several local groups in Western Mexico, which could add further cash flow to our company, greatly benefiting both shareholders and Gainey Capital. 

 

 

 

The varying levels of mineralized material that we’ve been sampling over the last few months has allowed us to get a strong handle on our overall costs, production efficiencies and productivity levels as well as establish strong working relationships with key local groups. I am very comfortable in saying that we will continue to be a very low-cost tolling operator in Mexico and we will eventually start to process some of our very own mineralized material from our 100%-owned El Colomo property. 

 

 

 

As the precious metals market and prices continue to fluctuate, we will survive and prosper in the months and years to come.

 

 

 

As I’ve mentioned, our strategy is to move towards a model that allows us to purchase and process mineralized material at a discount from properties in the area, which provides us with capital to further develop our own exploration properties.

 

 

 

In 2015, we will bulk sample our own mineralized material from our 192-km2, El Colomo property located in the highly prolific Sierra Madre Occidental Trend in western Mexico at our 100% owned Toll Processing Centre.

 

 

 

I’m happy to say that we are finally close to putting together a solid revenue and profit sharing strategy with the following local groups:

 

 

 

GOLDPLAY EXPLORATION

 

We have been sampling Goldplay’s mineralized material from 2 of its 3 highly prospective gold properties, which turned up very positive results that both Gainey and Goldplay were excited to discover. Based on these strong early results, we see a significant opportunity to executive a profitable processing strategy that could last as long as 12-14 months. We are very close to putting together a working agreement with Goldplay, which will be profitable for both companies. 

 

 

 

Goldplay’s properties are strategically located in close proximity to Gainey’s Huajicori, Nayarit Toll Processing Center. Mineralized material from Goldplay’s first, second and third property contains ~6,000-7,000 tons, ~10,000-12,000 tons and ~100,000 tons, respectively and could potentially total more.

 

 

 

As an added note, Goldplay is working on several other sampling and processing programs with Gainey. Goldplay comes with a very strong technical team who has over 30 years of experience working throughout this area and is led by Geologist, Frank Powell, who has a proven track record of major discoveries throughout Latin America.

 

 

 

BELMEX RESOURCES

 

We are working with Belmex on an opportunity that involves the shipment of mineralized material from a new property in the area that looks extremely promising. We’ve already begun receiving mineralized material from their properties and will further explore the potential of this new prospect. We will provide further updates soon.

 

 

 

EL TIGRE

 

Another exciting opportunity that has tremendous upside potential is the renowned El Tigre property, which is located merely 7-km from our Toll Processing Centre. El Tigre was once a very successful gold and silver producer with its own processing centre. More to come on this shortly as we continue to work with the owners of El Tigre.

 

 

 

PICACHOS EJIDO COMMUNITY

 

We’re currently discussing the many opportunities that the Ejido community has brought forth. They occupy 2,000-km2 in the area and are located only 3-km from our Toll Processing Center. More to come on this opportunity as well.

 

 

 

GARABALDI RESOURCES AND COSALA MINING

 

We’re are continuing to work on other processing opportunities with Garibaldi and Cosala, which may require further sampling in the months to come. There are a lot of factors to consider in the tolling process and we are moving forward in exploring all potential opportunities and synergies.

 

 

 

Through these new opportunities and strong working relationships with local groups, Gainey is one step closer to becoming one of the most successful tolling operations in Mexico. We’re very excited for the coming year and look forward to providing further updates on our progress as the year goes on.

 

 

 

If you have any questions, please don’t hesitate to be in touch. You can also connect with us on Twitter and LinkedIn for timely updates.

 

 

 

David Coburn, CEO of Gainey Capital

Gainey Discovers 3 New Anomalies from its Stream Sediment Sampling Program at its El Colomo Property

VANCOUVER, BC / ACCESSWIRE / July 15, 2015 / Gainey Capital Corp. (TSXV: GNC) (OTCQX:  GNYPF) (“Gainey” or the “Company”) is pleased to announce that is has identified 3 gold anomalies through the company’s steam sediment sampling program at its 100% owned, 192-km2, El Colomo property that is located in the Sierra Madre Occidental Trend in Western Mexico.

The first 35 stream sediment samples were collected over a 7-day period in the northwestern portion of the El Colomo mineral property in an area called La Chata. These samples resulted in 3 gold anomalies, including: 74 ppb (“parts-per-billion”), 17 ppb and 115 ppb. The anomalies were found in an area, 1.5-km wide by 2.5-km long, of strongly argillically altered and iron stained volcanic rocks cut by multiple northwest-trending quartz veins. 

This altered area, called Las Lajitas-Masparillo, appears to be on-strike with, and may be an extension of, the “Golden Corridor” (Nueva Victoria, La Higuerita, Las Minitas and El Arayan concessions), an area of known mineralization 7-km to the southeast.  Follow-up fieldwork, starting with mapping and outcrop sampling, will be incorporated into Gainey’s 2015 exploration plan.         

David Coburn, CEO of Gainey Capital commented, “These early results are very promising as they indicate that the mineralization at the Golden Corridor may continue along the same structural zone into the La Chata area, at least 7-km to the northwest. Also, the anomalies suggest the presence of a parallel mineralized zone 2-km east of the Golden Corridor, which greatly broadens our target area. We are very pleased with the discovery of these 3 anomalies as they offer Gainey new, highly prospective areas to add to the company’s exploration plan this year.”  

El Colomo Project

El Colomo is a highly prospective 192-km2 property with district-scale potential in a multi-million ounce gold and silver belt. High-grade and bulk tonnage targets have already been identified through prior exploration and there are very strong indications of continuity between La Higuerita, La Nueva Victoria and Las Minitas (at least 2 km in strike length).

Qualified Person

Lawrence Segerstrom, a Director of the Gainey Capital Corp. and a Qualified Person under NI-43-101, reviewed and approves the content of this release.

Gainey Commences Detailed Mapping and Sampling Program to Identify Drill Targets at its El Colomo Property

VANCOUVER, BC / ACCESSWIRE / July 7, 2015 / Gainey Capital Corp. (TSXV: GNC) (OTCQX:  GNYPF) (“Gainey” or the “Company”) is pleased to announce that is has commenced a detailed mapping and sampling program at its 100% owned, 192-km2, El Colomo property (the “Property”), located in the Sierra Madre Occidental Trend in Western Mexico, in order to identify drill targets for its exploration program that is planned to commence Q4 2015.

Within Gainey’s El Colomo property an area known as the ‘Golden Corridor’, a 1 km wide and 3 km long zone containing many of the property’s historic mine workings, will be mapped and sampled in detail with the objective of identifying priority drill targets for its phase 1 drill program commencing Q4 2015. The ‘Golden Corridor’ contains 21 prospects of bulk-tonnage as well as high-grade epithermal gold-silver mineralization. 

David Coburn, CEO of Gainey Capital commented, “We are very excited to be moving forward with a detailed mapping and sampling program to identify key drill targets at our El Colomo mineral concessions. We have strategically aligned ourselves with the local Indian community and put in tremendous effort to garner their ongoing support, which has allowed the company to seamlessly advance to this stage of our exploration program. We look forward to their ongoing support of our exploration activities at El Colomo and advancing the project to the next stages of exploration.”

El Colomo Project

El Colomo is a highly prospective 192-km2 property with district-scale potential in a multi-million ounce gold and silver belt. High-grade and bulk tonnage targets have already been identified through prior exploration and there are very strong indications of continuity between La Higuerita, La Nueva Victoria and Las Minitas (at least 2 km in strike length).

Qualified Person

Lawrence Segerstrom, a Director of the Gainey Capital Corp. and a Qualified Person under NI-43-101, reviewed and approves the content of this release.

Gainey Receiving Second Tranche of Mineralized Material from Goldplay

VANCOUVER, BC / ACCESSWIRE / June 23, 2015 / Gainey Capital Corp. (TSXV: GNC) (OTCQX:  GNYPF) (“Gainey” or the “Company”) is pleased to announce that it is receiving its second shipment of mineralization material from another one of Goldplay Exploration’s (“Goldplay”) gold properties, which is located in the Rosario mining district in the State of Sinaloa, Mexico. Goldplay’s first material shipment to Gainey’s 100% owned, 300tpd processing centre in Huajicori, Mexico resulted in successful completion of bulk-sampling activities. Goldplay has initiated a second shipment to follow up on positive sampling results from the first material shipment announced April 9, 2015: Gainey has Received Goldplay’s First Material Shipment at its Processing Centre.

The second tranche of mineralized material is to be bulk-sampled at Gainey’s 300tpd processing centre located in Huajicori in the state of Nayarit, Mexico, which is in close proximity and easily accessible by road to Goldplay’s properties. Gainey’s processing centre is the only one in the region with gravity and flotation circuits for optimized gold and silver recovery rates. Gainey’s processing centre can support a second 300tpd ball mill to increase throughput capacity to 600tpd when the company is ready for further expansion.

David Coburn, CEO of Gainey Capital, commented, “I am very pleased with the type of mineralized material we have seen coming from Goldplay’s gold properties. It has been a pleasure to work with Goldplay’s strong geological team, which is headed by Frank Powell who has extensive knowledge of the Rosario area and surrounding mineralized properties in the states of Sinaloa and Nayarit in Western Mexico. We’re in ongoing discussions with Goldplay on a number of business scenario’s in order to continue our strong working relationship.”

 

About Goldplay Exploration

Goldplay is a private mineral exploration company comprising a group of experienced explorers and financiers with a track record of recent discoveries in Latin America. The group is responsible for the discovery and development of La Trinidad Mine in the Rosario Gold belt currently being mined by Marlin Gold. The Company has properties in Mexico and Central America and is currently focused in Rosario Sinaloa, Mexico, a prolific gold and silver mining belt. The Company’s has advanced several properties in the Rosario area to the resource stage and is sourcing methods to advance its projects to the next stage.

Gainey Issues Clarifying News Release

VANCOUVER, BC / ACCESSWIRE / June 16, 2015 / Gainey Capital Corp. (TSXV: GNC) (OTCQX:  GNYPF) (“Gainey” or the “Company”) is issuing the following news release, as a result of a review by the British Columbia Securities Commission (“BCSC”), to clarify our disclosure. Gainey is issuing the following news release to clarify non-compliant disclosure.

On Gainey’s website, under the heading: Investors – Analyst Coverage, there was a hyperlink to a June 13, 2014 article by an analyst that erroneously stated that Gainey had a current resource on the El Colomo property. There are no current mineral resources on the El Colomo property. The analyst’s article did not refer to the NI 43-101 Technical Report on Gainey’s El Colomo property authored by David G. DuPre and filed on June 27, 2012. As Mr. DuPre states on page 48 of the report, which can be found on SEDAR, “The available drill data, surface sampling and test mining/milling are of historical significance only. It does not meet NI 43-101 criteria and thus, no Mineral Resource or Mineral Reserve Estimate can be assigned to the property by the author.” This hyperlink has been removed from Gainey’s website.

Portions of the Gainey website and the Gainey Corporate Presentation contained historic estimates for La Nueva Victoria and La Higuerita, which were not compliant with NI 43-101 requirements governing the disclosure of historic estimates. The portions of the corporate presentation that were non-compliant were on slides 9, 12 & 14. The sections of the website that were non-compliant were as follows:

•           Projects – El Colomo – Highlights 

•           Projects – El Colomo – Map titled, “A Prolific Mining District”  

•           Projects – El Colomo – La Nueva Victoria

•           Projects – El Colomo – La Higuerita

•           CEO Blog – September 30 2014 entry                                                                               

Specifically, these portions of the website and corporate presentation lack comments on the relevance and reliability of the historical estimates for La Nueva Victoria and La Higuerita, discussion of the assumptions, parameters and methods used in preparing these estimates, and comments on what work needs to be done to upgrade or verify these historical estimates as current mineral resources.

The historical estimate done by Robert Holladay in the year 2000 for La Nueva Victoria and reported in an internal Golden Anvil company report is not reliable for various reasons. The data used in this estimate came from closely spaced surface trenches that confirmed near-surface continuity along strike, but the shallow holes drilled by ASARCO in 1993 did not provide enough data to substantiate the down-dip continuity projections that were made by Holladay in his estimate. Also, for the drill sampling and assaying conducted on behalf of ASARCO, no information was found confirming the size of the drill holes, the initial weight of the samples, the methods and personnel used in splitting the samples, the security of the samples on site, or of the assayer. In this historical polygonal estimate, categories other than the ones defined by NI 43-101 were used; the categories of reserves and resources used are not compliant with CIM Definition Standards and are unreliable as discussed above.

Likewise, the historical estimate done by Jose Bravo Nieto in 1997 for La Higuerita is not reliable. Although surface sampling is dense, only one hole by ASARCO was drilled in the zone.  Mr. Bravo-Nieto’s estimate assumed a vertical continuity of 100 meters, which was not substantiated.

In conclusion, a qualified person has not completed sufficient work to classify the historical estimates for La Nueva Victoria and La Higuerita as current mineral resources or mineral reserves, and the Company is not treating these historical estimates as current mineral resources or mineral reserves.  A careful program of trenching and diamond drilling, designed and supervised by a qualified person, is needed to verify these historical estimates and perhaps upgrade them to current mineral resources. 

In addition to the non-compliant disclosure of historic resources, the Company used a regional map in the company presentation and website that contained non-compliant disclosures of mineral resources of nine properties held by other issuers in the Sierra Madre Occidental Trend.  This map was on slide 5 of the company presentation and in the website it was at the bottom of the Projects – El Colomo – Highlights page. On this regional map, the company disclosed mineral resources and mineral reserves that did not comply with NI 43-101. Specifically, in its statement of the resources for the nine properties, the Company did not use the applicable mineral resource and mineral reserve categories set out in NI 43-101, did not report each category of mineral resources and mineral reserves separately, did not state the extent to which mineral reserves were included in total mineral resources, erroneously added inferred mineral resources to the other categories of mineral resources, and did not state the grade or quality and the quantity for each category of the mineral resources and mineral reserves.  In addition, the Company stated metal equivalent grades without also disclosing the grade of each metal used to establish metal equivalent grade. In addition, this disclosure of mineralization found on properties in the same mineral trend was potentially misleading because the Company did not state as a caution that the disclosures regarding nearby properties did not imply that the Company could obtain similar results from El Colomo. The Company has removed the non-compliant resource disclosures on the regional map on its website.   

The final non-compliance issue to discuss in this news release is that the Company did not name the qualified person responsible for the technical information disclosed in either the Company website or the presentation.  

This news release was prepared by Lawrence Segerstrom, a Director of the Gainey Capital Corp. and a Qualified Person under NI-43-101.

GAINEY RECEIVING MATERIALS SHIPMENT FROM COSALA MINING CORP. OWNED BY IGNACIO ECHAVARRIA VALENZUELA

VANCOUVER, BC / ACCESSWIRE / June 3, 2015 / Gainey Capital Corp. (TSXV: GNC) (OTCQX:  GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has signed a Confidentiality Agreement with Ignacio Echavarria Valenzuela of Cosala Mining Corp. (“Cosala”). Gainey is in the process of receiving mineralized material from a number of Cosala’s concession holdings located in the Sierra Madre mining district in the state of Sinaloa, Mexico. This shipment of material is to be sampled and assayed at Gainey’s, 100%-owned, 300-tpd Processing Centre, which is in close proximity to Cosala’s properties.

Cosala is a privately held Mexican mining company, which is wholly-owned by Ignacio Echavarria Valenzuela, and has significant concession holdings in the highly prolific Sierra Madre mining belt located in Western Mexico.

The initial test shipment from Cosala will be comprised of mineralized vein material and tailings from their nearby properties. This preliminary material shipment will evaluate the economic feasibility of shipping to and processing at the Gainey,100%-owned, 300-tpd Processing Centre. Positive sample and assay results from this initial shipment will be followed by a subsequent shipment of 20,000 tonnes of production ready materials.

 Ignacio Echavarria Valenzuela, owner of Cosala, commented, “We’ve been eager to explore synergies between Cosala and Gainey for some time now. We’re excited to finally be entering into formal agreements to test, and potentially process, our materials at Gainey’s Processing Center, which is the best in the region with its upgraded gravimetric and floatation systems and facility efficiencies. We’re confident that this is the beginning of a long and significant working arrangement and look forward to collaborating with Gainey in the years to come.”

 David Coburn, CEO of Gainey Capital, commented, “We’re pleased to have such profound interest from local companies in the area like Cosala. We see this working relationship as an opportunity to expand operations at our processing centre and ramp up production. Gainey is ready to start processing Cosala’s first shipment at our 300-tpd processing centre, which can be expanded to 600-tpd if necessary. Establishing strong working relationships like this can open many doors and will only continue to increase the flow of incoming material to our Processing Centre in the coming year, which will benefit both local Mexican companies and our shareholders.”

About Cosala Mining Corp.

Cosala Mining Corp. is a private Mexican mineral exploration company that is wholly-owned by Ignacio Echavarria Valenzuela. The company holds numerous mineral concessions located in the Sierra Madre mining district in the state of Sinaloa, Mexico.

Gainey Grants Stock Options

VANCOUVER, BC / ACCESSWIRE / April 9, 2015 / Gainey Capital Corp. (TSXV: GNC) (OTCQX:  GNYPF) (“Gainey” or the “Company”)  is pleased to announce that, subject to regulatory approval and pursuant to the Company’s stock option plan, Gainey is offering up to a total of 2,500,000 incentive stock options to directors, officers, employees, and consultants of the Company.

 The options are exercisable at a price of $0.25 for a period of five years.

 

Welcome to Gainey Capital’s CEO Blog. Here Gainey’s CEO, David Coburn, talks about a variety of issues including company progress and items of industry interest. Gainey Capital, CEO-David G Coburn, Exploration Update Blog Wednesday, 23 September 2015 13:52 Read more… Further Updates on Gainey’s Toll Processing Operations Tuesday, 04 August 2015 06:45 Read more… Updates to Toll-Processing and Revenue Sharing Strategy

Gainey’s Toll Processing/Revenue Sharing Facility has been operational for little over 6 months and we have been making considerable headway. We want to provide our shareholders an update as we have been receiving considerable interest from mining groups in the area of western Mexico.

Let us highlight the following map that shows the mining groups that we’re currently in discussions with to process their mineralized material at Gainey’s 100% owned Toll Processing/Revenue Sharing Facility.

As you can see in the following map, there are numerous groups that have already entered into full discussions with the company. The overwhelming interest is just the beginning of Gainey’s strategy to become one of the largest toll-producers in the state of Nayarit, Mexico. We’re close to closing several of these tolling and revenue sharing agreements, which we expect to announce in this quarter.

Our Toll Processing/Revenue Sharing Facility is becoming well known in the area since the major overhaul and continuous upgrades to the Gainey processing centre. In addition to these major renovations, our attractive revenue sharing model continues to initiate countless high-level discussions between Gainey and local groups to process their materials from surrounding properties. Not to mention, current operations at our Toll Processing/Revenue Sharing Facility have resulted in the company being cash flow positive per our last two quarters at our Mexican operation.

We’d like to note that Gainey plans on bulk-sampling its own mineralized material from its 100% owned 18,766 hectare El Colomo property located in the Sierra Madre Occidental Trend in western Mexico in 2015 at its 100% owned Toll Processing/Revenue Sharing Facility. In conjunction to processing Gainey’s own material, as the company progresses, we aim to move towards a model that allows Gainey to purchase and process the mineralized material at a discount from properties in the area, which will give the company numerous funds to further develop its own exploration properties.

Gainey’s Toll Processing/Revenue Sharing Facility can support processing of 300 tpd and has the capacity to immediately expand to 600 tpd. Through these toll-processing agreements the company will further expand operations and has the capacity to process upwards of 1000 tpd when the opportunity arises.

Gainey is often compared to companies with the toll processing business model, like Dynacor Gold (TSX: DNG) and Inca One Gold (TSX.V: IO), who have been in business for many years. Given the historical progression of companies like these, Gainey is well ahead of the curve and making substantial headway in comparison.

We’re not going to be successful overnight but we are well on track to becoming a very successful Toll Processing/Revenue Sharing company in Mexico.

As we continue our regional outreach related to the many independents in Sierra Madre we’ll update this map and I’ll be sure to share with you. Meanwhile, if you have any questions, please don’t hesitate to get in touch.

David Coburn, CEO of Gainey Capital

Gainey has Received Goldplay’s First Material Shipment at its Processing Centre

VANCOUVER, BC / ACCESSWIRE / April 9, 2015 / Gainey Capital Corp. (TSXV: GNC) (OTCQX:  GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has signed a Confidentiality Agreement and Letter of Intent with Goldplay Exploration Ltd. (“Goldplay”) and is receiving mineralized material from one of Goldplay’s gold properties, which is located in the Rosario mining district in the State of Sinaloa, Mexico.

Goldplay is a Vancouver based, privately held, mineral exploration company with significant concession holdings in a prolific gold and silver mining belt in western Mexico that includes historical mines like the Rosario Mine (currently held by Peñoles), and operational mines such as La Trinidad Mine (Marlin Gold). Several multimillion ounce gold deposits exist in the Seirra Nevadas in this part of Mexico and include: Tayoltita (Primero), La Sienaga (Fresnillo) and Metates (Chesapeake). Goldplay is lead by geologist’s Freeman Smith and Frank Powell who have a record of recent discoveries throughout Latin America.

Goldplay’s properties are located in close proximity and easily accessible by road to Gainey’s 100%-owned processing centre. Gainey is receiving mineralized material to be bulk-sampled at the Company’s 300 tpd processing centre, which is the only one in the region with gravity and flotation circuits for optimized returns. Material processing allows Gainey to maintain its cash flow positive status in order to fund future exploration of the Company’s own assets.

Freeman Smith, President of Goldplay, commented, “We are lucky to have access to such an advanced processing centre in the Rosario mining district and are excited to work with Gainey to sample and process our materials as we are confident that the immediate synergies will translate into profits for all shareholders.”

David Coburn, CEO of Gainey Capital, commented, “Last week Goldplay toured Gainey’s processing centre at Huajicori and is expediting material. Gainey is very excited to be working with Goldplay’s team who has over 30 years of experience working throughout the Rosario mining district. This collaboration presents the opportunity to connect Gainey with other mining groups in the area, which could translate into a consistent flow of mineralized materials to our processing centre in the months and years to come.” 

 

About Goldplay Exploration

Goldplay is a private mineral exploration company comprising a group of experienced explorers and financiers with a track record of recent discoveries in Latin America. The group is responsible for the discovery and development of La Trinidad Mine in the Rosario Gold belt currently being mined by Marlin Gold. The Company has properties in Mexico and Central America and is currently focused in Rosario Sinaloa, Mexico, a prolific gold and silver mining belt. The Company’s has advanced several properties in the Rosario area to the resource stage and is sourcing methods to advance its projects to the next stage.

Map showing the proximity of Goldplay to Gainey’s processing centre

Gainey Capital Announces Initial Results from Exploration Program at El Colomo Project in State of Nayarit, Mexico

VANCOUVER, BC / ACCESSWIRE / April 7, 2015 / Gainey Capital Corp. (TSXV: GNC) (OTCQX:  GNYPF) (“Gainey” or the “Company”) is pleased to announce the initial results from its ongoing surface sampling program at its 100% owned El Colomo property located in the Sierra Madre Occidental Trend in Western Mexico. Analytical results received from the first 23 stream sediment samples and 3 rock chip-channel samples include strongly anomalous results. These samples were taken by IMDEX/Cascabel and were analyzed by ALS Minerals.

Gainey’s exploration team found a new high-grade vein structure during their sampling work.  This structure is located 700 meters north, and on-strike of known mineralization in the “Golden Corridor” (Nueva Victoria – La Higuerita – Las Minitas areas), and may be the northern extension of the Golden Corridor. Analytical results from the structure include 24.5 g/t gold and 1,300 g/t silver. This new vein is hosted by an auto-brecciated rhyolitic dike.  These dikes are common features in low-sulfidation systems and are found throughout Gainey’s El Colomo property, up to several kilometres long and up to 60 meters or more in width. 

Larry Segerstrom, Director and Qualified Person of Gainey Capital, commented, “El Colomo shares key geologic features with some multi-million ounce gold-silver districts in Mexico’s Sierra Madre Occidental such as Dolores (Pan American Silver Corp.) and Ocampo (Minera Frisco, formerly AuRico Gold Inc.) in Chihuahua including multiple felsic intrusive events as well as styles of mineralization. The gold-silver mineralization observed in these felsic dikes, as well as their abundance and size, suggests a potential for numerous, undiscovered high-grade vein structures including the possibility of large volumes of low-grade, bulk tonnage mineralization on the property. Sampling has barely begun and we expect a number of previously undocumented mineralized zones and extensions of known zones to be found during this initial phase of our exploration program.” 

Stream sediment samples also returned a number of anomalous results, including one with 1.97 g/t gold and 4.30 g/t silver, which are very high concentrations for this type of sample and indicate the nearby presence of mineralization. The 23 stream sediment samples taken are the first of 288 planned samples representing 9% of the El Colomo concession, as the sampling is ongoing.

Rafael Gallardo, Senior Geologist of Minera Cascabel that led the recent work, commented, “El Colomo is one of the properties with the highest potential I’ve seen in my 31 years of exploration. I’m excited to see our soon to be defined drill campaign test these prospective targets in the coming months.” 

David Coburn, CEO of Gainey Capital commented, “The excellent results obtained from these first rock and stream sediment samples taken by our team indicate, and indeed, confirm, the high potential that the El Colomo project has for hosting a district-scale, low-sulfidation epithermal gold-silver deposit. This baseline work, along with the historical work completed by Asarco LLC (drill hole C-1, which intercepted 7.5 meters of 13.64 g/t gold and 899 g/t silver (31.6 g/t AuEq)), is integral to defining the first set of drill targets to be initiated shortly.” 

El Colomo Project

El Colomo is a highly prospective 18,766-hectare property with district-scale potential in a multi-million ounce gold and silver district. High-grade and bulk tonnage targets have already been identified through prior exploration and there are very strong indications of continuity between La Higuerita, La Nueva Victoria and Las Minitas (at least 2 km in strike length).

Qualified Person

Larry Segerstrom, P.Geo, a Qualified Person as defined by National Instrument 43-101, reviewed and approves the content of this release.

Gainey Capital Announces 2015 Exploration Program at El Colomo Project in Western Mexico

VANCOUVER, BC / ACCESSWIRE / March 25, 2015 /Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce 2015 exploration plans at its 100% owned El Colomo property located in the Sierra Madre Occidental Trend in Western Mexico. To date, 21 high-grade gold and silver targets have been identified within a 1.5 square kilometer area with highly prolific targets along the La Nueva Victoria vein, intrusive-hosted La Higuerita zone and Las Minitas zone. Phase l of the exploration program will include:

  • Stream sediment sampling of the entire 18,766-hectare property;
  • Geological mapping and geochemical sampling over the most prospective areas found in the stream sediment survey, as well as over areas of historic production;
  • Trenching in the above areas, then mapping and sampling of these trenches;
  • Data compilation, interpretation and detailed drill target selection;
  • Road access and drill pad construction for drilling; and,
  • Diamond drilling of target areas defined in work above, totaling 3,000 – 5,000 meters.

Upon successful completion of Phase l of the exploration plan, a Phase ll program will be implemented to include follow up diamond drilling and geologic mapping as well as trenching and geochemistry of areas of dense mineralization.  The follow up diamond drilling would focus on targets that have the greatest potential of containing minable resources. The exploration program would include bulk sampling and analysis of highly mineralized zones, which would be processed through our 300 tpd mill.   

David Coburn, CEO of Gainey Capital commented, “As of March 2015, the company is comfortably positioned with $2.3 million in the treasury per Q3 financial filings filed January 2015. We are pleased to commence Phase 1 of our exploration program budgeted at $535,000. Moving forward, we will further define highly mineralized zones that will be processed at our 300 tpd gravimetric and flotation-processing center. In addition, we’ll target new, high-grade mineralized zones on our property, which could constitute Gainey Capital as a district play within the Sierra Madre Occidental Zone.“

El Colomo Project

El Colomo is a highly prospective 18,766-hectare property with district-scale potential in a multi-million ounce gold and silver district. High-grade and bulk tonnage targets have already been identified through prior exploration and there are very strong indications of continuity between La Higuerita, La Nueva Victoria and Las Minitas (at least 2 km in strike length).

Gainey Capital Receives Confirmation of Environmental Authorization for La Nueva Victoria, La Bufa and El Arrayan Mining Concessions

Secretary of Environmental, Natural Resources and Fisheries (SEMARNAP) Granted the Environmental Authorization to Proceed with Exploration/Exploitation Activities at La Nueva Victoria, La Bufa, and El Arrayan Mining Concessions

VANCOUVER, BC / ACCESSWIRE / March 11, 2015 / Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce it has confirmed that its 100% owned Mexican Sub Corp. “Minera Buena Fortuna” can operate under the Environmental Authorization from the Secretary of Environmental, Natural Resources and Fisheries (SEMARNAP), now Secretary of Environmental and Natural Resources (SEMARNAT).  This authorization applies to the Mineral concessions: La Nueva Victoria Mineral Concession, La Bufa Mineral Concession, and El Arrayan Mineral Concession for Exploration and Mining.  The Environmental Authorization will allow Minera Buena Fortuna to proceed with Exploration/Exploitation activities per its Exploration Strategy.

The Secretary of Environmental, Natural Resources and Fisheries (SEMARNAP) granted in July 12, 2001 the Environmental Authorization for the Gold and Silver Exploration at La Nueva Victoria Mineral Concession, La Bufa Mineral Concession, and El Arrayan Mineral Concession for 18 years following all the official ecological rules, norms and regulations issued by the Mexican Government. Such authorization will end as July 11, 2019.

David Coburn, CEO of Gainey Capital, commented, “With these environmental permits in place, we now have the ability to rapidly advance the exploration at El Colomo property. Gainey is cementing the path to achieve important discoveries following the designed plans for 2015 since we are teaming up with the local communities, a great exploration team and the collaboration of our directors to do so.”

Gainey and Garibaldi Sign Bulk Sampling Agreement; Potential for Long-Term Revenue Share

High-grade mineralized material from Garibaldi’s gold project to be bulk-sampled at Gainey’s advanced mill and processing centre

Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce it has signed a letter of intent with Garibaldi Resources to bulk sample mineralized material from Garibaldi’s La Patilla project at Gainey’s advanced 300 TPD mill and processing centre. Following successful bulk sampling of the material, which has assayed as high as 10.4 gpt Au, the companies will evaluate the potential for processing over the long term via a Tolling/Revenue/Profit sharing business model agreement.

Gainey’s 100%-owned mill and processing centre, which is the only one in the region with gravity and flotation circuits for optimized returns, is located in close proximity to Garibaldi’s La Pailla property. Both the mill and Garibaldi’s property are easily accessible and surrounded by excellent infrastructure in established mining districts.

David Coburn, CEO of Gainey Capital, commented, “ Garibaldi’s La Patilla gold mining project is located close to our mill and their 2014 drill program returned very impressive grades and wide mineralization. With our mill and processing centre fully operational and capable of doubling its capacity with very low additional capital expenditure and at short notice, we are excited by the potential for Gainey and Garibaldi.”

Steve Regoci, CEO of Garibaldi Resources, said, “Garibaldi acquired La Patilla as a near-term exploitation project and our drilling has delivered tremendous first pass results. What’s more, we own our own drill rig, which keeps costs low. This agreement with Gainey gives us access to the most advanced mill and processing centre in the region and has the potential for a longer term partnership that could deliver considerable economic gain for both companies.”

Gainey Signs 10 Year Community Working Agreement To Provide Additional Support for Exploration And Ore Processing

Latest community partnership provides further access to heavy equipment and workers

Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce it has signed a new 10 year “Working Agreement” with the San Andres Milpillas Indian Community (Comunidad Indigena de San Andres Milpillas), in the State of Nayarit, Mexico, where Gainey owns and operates the mining concessions of approximately 15,000 Hectares. The agreement includes increased access to a large number of skilled and unskilled local workers, as well as heavy equipment at very attractive rates. This is the final community agreement relating to Gainey’s Mexican mining concessions and is a key step in supporting Gainey’s aggressive 2015 ore processing and exploration plans at its El Colomo gold and silver property, where 21 strongly mineralized bodies have already been identified.

 

Located in the prolific gold and silver region of Sierra Madre, El Colomo has a large number of high-grade and bulk tonnage targets, including the aptly-named ‘Golden Zone’. Exploration work will be led by renowned geologist, Peter Megaw, and Minera Cascabel. The company plans to use profits from its advanced 300 TPD Mill, the only one in the region with gravity and flotation circuits for optimized returns, to help fund exploration programs at El Colomo.

 

David Coburn, CEO of Gainey Capital, commented, Forging a strong partnership with the local community has been a key goal for Gainey and we’re delighted to have achieved this milestone. Our ore processing business continues to grow and preparations are well underway for exploration at our remarkable El Colomo project. This agreement will enable us to pursue our goals and support the community at the same time that they are supporting us in the years ahead.

Gainey Signs New Community Working Agreement; Accelerates Ore Processing and Exploration Plans

Community partnership increases access to large pool of skilled workers

Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce its 100% owned/controlled Mexican Sub Corp, Minera Buena Fortuna S.A. DE C.V., has signed a new “Working Agreement” with the San Francisco De Lajas Indian Community in the State of Durango, Mexico. Gainey owns and operates mining concessions of approximately 6,000 Hectares in Durango and has recently identified several new mineral targets in these concessions. The agreement includes increased access to a large number of skilled local workers, which will facilitate Gainey’s plans to begin bulk-sampling its own ore from its advanced 300 TPD mill and processing centre in 2015. The agreement will also support the company’s aggressive 2015 exploration plans, details of which Gainey expects to announce by the end of February.

David Coburn, CEO of Gainey Capital, commented, “Our 2015 plans are aggressive, both for ore processing at our mill and also exploration. Durango is a very pro-business and pro-mining State and we’re excited to begin exploration work in our Durango concessions this February, as per the agreement.”

Gainey Signs 10,000 Ton Ore Processing Agreement

Gainey now taking delivery of high-grade ore at its advanced mill and processing centre

Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce that Belmex Resources has engaged Gainey to process a minimum of 10,000 tons of high-grade gold ore at its 300 TPD (tons per day) mill and processing centre in Mexico’s prolific gold and silver region of Sierra Madre. Gainey has begun taking delivery of the ore (assay grades from 5.8 to 12.2 GPT), delivered by truck from Belmex’s facility just 22km from the mill.

Gainey’s facility is the only one in the region that includes a gravimetric/flotation processing center to optimize gold and silver recovery rates. Its operational team is run by Gainey Operations Manager, George Cantua, who previously supervised Barrick Gold’s 24,000-tpd mill in the Dominican Republic.

David Coburn, CEO of Gainey Capital, commented, “We located our facility close to a large number of ore bodies specifically because there was no other mill in the region. We began sampling ore from multiple sources just days after completing our upgrade program and today’s announcement shows we have started the next phase of the toll processing part of our business.”

Gainey Provides Update on Toll Processing Negotiations and Exploration Strategy

Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to provide an update on ore processing negotiations and exploration plans. In addition, the company has finalized an agreement with the Municipality of Huajicori, which will enable Gainey to use the Municipality’s heavy equipment, such as backhoes and front end loaders, at attractive rates.

Cash Position: As at September 30, 2014, the Company had a total of approximately CDN$2.8 million in cash reserves. This, along with the positive operating margin and cash flow from ore processing, will be used to fund the Company’s exploration strategy.

Ore Processing: Gainey has now completed the ore sampling process with multiple local mining companies and is in negotiations regarding long-term processing contracts. The Company has received cash deposits from processing customers and has ore stockpiled at the mill. The Company’s mill and processing centre, which benefits from competitive operating costs, has consistently delivered recovery rates in excess of 90%. The Company expects to generate a positive operating margin and cash flow from its processing operations, which will be used to further fund exploration initiatives. Gainey plans to begin sampling its own ore in early 2015.

Exploration: Gainey is finalizing its exploration strategy and plans to announce details, in January 2015, of the upcoming program. The Company’s advanced gold/silver project at El Colomo is located in the gold/silver-rich Sierra Madre Occidental Trend in western Mexico. The project has a number of high-priority drill targets already established and exploration will be headed up by renowned geologist, Peter Megaw.

David Coburn, CEO of Gainey, commented, “It has been a busy period for Gainey since the acquisition of our assets in Mexico closed in Oct 2013. Our ore sampling program has enabled us to build relationships with the many independent mining operations in the region and we can now move towards arranging long term tolling contracts. The mill’s high efficiency and low operating costs are a particular advantage for the toll processing part of our business model. We are well-funded and are looking forward to the upcoming exploration and toll processing opportunities as 2015 approaches.”

Gainey Capital Progress Update

The current market conditions are making things tough for a lot of juniors out there. At Gainey, however, we’re in the enviable position of being well-funded and, due to our business model, have attracted best-in-breed shareholders such as Mexican billionaire Ernesto Eschavaria.

So, although the markets are volatile, we are excited at the opportunities in front of us. In particular, there are potential accretive acquisitions, in the form of high-grade ore bodies, lying close to our property. We are in the process of evaluating these possible targets with the aim of making acquisitions and running the ore through our nearby 300 tpd processing mill.

As you know, it’s our intention to use every possible advantage when it comes to growing the company and shareholder value. Here are just a few points I want to draw to your attention:

  • Gainey has over 192 km2 of exploration potential in the prolific gold/silver Sierra Madre region of Mexico and is surrounded by major producers with multimillion Oz deposits.
  • We already have 21 high-grade target zones identified at our El Colomo property.
  • We plan on using cash flow from our 100%-owned, 300tpd mill/processing centre to fund our ongoing exploration programs.
  • We plan to double our mill capacity to 600tpd in the near future at very low capital cost and with no additional permitting required
  • We’ve attracted the top geologists in Mexico, Peter Megaw and Minera Cascabel, who will be leading the work to prove out and host a new resource.

Please, at your leisure, peruse our current presentation and if you have any questions, please don’t hesitate to get in touch. You can also connect with us on Twitter and LinkedIn for timely updates.

David Coburn, CEO of Gainey Capital

Cash-Generating Engine – Gainey’s Mill and Processing Demand

It’s hard to describe just how much (unprocessed) high grade ore exists in the gold and silver-rich region of Sierra region in Western Mexico. Prolific is a popular term, so is abundant, plentiful… let’s just agree there’s a lot. Less common in the region are fully optimized, operational mills like ours that have gravimetric/flotation circuits for processing ore at a highly cost-effective and efficient rate.

Like any business, mining is all about economics: how much it costs to make a discovery, how much to get the ore out of the ground, how much to process it and how much to transport it. Just one month after beginning full operations, we have already accepted $240,000 in toll processing deposits and have several months of ore stockpiled and awaiting processing. Such rapid progress for the toll processing part of our business is not a coincidence. We have located the mill close to a number of high-grade ore bodies and, following our engineering upgrade program, we have the capability of delivering very high recovery rates.

We also have our growth plan carefully mapped out. At present, the mill has a 300 tpd (tons per day) capacity. In the event that demand continues to grow, we have the ability to upgrade the mill to 600 tpd with minimal incremental capital and without any need for additional permitting.

An additional distinct advantage for Gainey lies in our operations team. As you probably know, the mill and processing center is being run by Gainey Operations Manager, George Cantua, who previously supervised Barrick Gold’s 24,000-tpd mill in the Dominican Republic. Optimizing the mill, ensuring ongoing cost-efficient running and managing increased capacity at such time as we grow to 600 tpd and beyond is something Mr. Cantua is more than equipped for.

Our business strategy is to simultaneously grow the toll processing part of the company, while exploring our exciting, highly prospective El Colomo property. We expect to use profits from the mill to fund much, if not all, of our exploration costs thus avoiding the need to debt or shareholder dilution by going to the market for additional financing. This business model has been used to great success by Dynacor Gold and with our mill already in good flow, and an industry-leading exploration team on board, our feeling is that Gainey is making excellent progress.

If you have any questions, please don’t hesitate to get in touch. You can also connect with us on Twitter and LinkedIn for timely updates.

David Coburn, CEO of Gainey Capital

Gainey Receives Multiple $USD Cash Deposits for Gold Ore Sampling at 300 TPD Mill

Demand proving strong for Gainey mill’s optimized gold and silver recovery rates

Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce receipt of $240,000 USD in deposits from independent, private mining companies at its 300-tpd (tons per day) mill in the prolific gold/silver Sierra Madre region of Western Mexico. The Gainey mill is the only one in the region to include a gravimetric/flotation processing center, which optimizes gold and silver recovery rates. The company now has several months of ore from regional mining companies stockpiled at the mill.

The mill’s operational team is run by Gainey Operations Manager, George Cantua, who previously supervised Barrick Gold’s 24,000-tpd mill in the Dominican Republic.

David Coburn, CEO of Gainey Capital, commented, “Demand for our ore processing services is proving to be very strong and negotiations are taking place with a number of additional mining companies. With the only gravimetric/flotation processing center in the area we have a distinct advantage in productivity and costs. In the event that demand continues to grow, we have the ability to upgrade the mill to 600 tpd with minimal incremental capital and without any need for additional permitting.”

“We are also in the process of developing the exploration program for our tremendously prospective 18,766 Hectare, El Colomo gold and silver project, which has a number of high-priority drill targets already established. Exploration will be headed up by renowned geologist, Peter Megaw and his company Minera Cascabel.” Added Coburn.

Gainey completes mill upgrades, begins ore sampling

Mr. David Coburn reports

Gainey Capital Corp. has completed the upgrade program at its 300-tonne-per-day mill, increasing efficiency and substantially reducing operational costs. The work was supervised by Mexico operations manager, George Cantua, who was part of the Barrick Gold management team that constructed and then operated the 20,000-tonne-per-day mill at Barrick Gold's Puebla Viejo mine joint venture in the Dominican Republic.

The company is sampling ore feedstocks from multiple mining companies in the area, and ore-tolling agreements are being negotiated. The mill, located in the prolific gold/silver Sierra Madre Occidental trend in western Mexico, is the only one in the region to include a gravimetric/flotation processing centre, which optimizes gold and silver recovery rates.

A video showing the milling operation at the El Colomo property can be viewed on the company's website.

David Coburn, chief executive officer of Gainey, commented: "The upgrade program was completed on time and under budget. We are very pleased with the technical upgrades and will now pursue our strategy of running a tolling operation until such time as we can put our own ore into production."

Mr. Cantua, Mexico operations manager for Gainey, explained: "The region around our mill has a large number of smaller operating mines unable to support stand-alone processing centres and the potential demand for ore processing is considerable. The milling and gravimetric/flotation processing centre upgrade gives us a distinct advantage in productivity and costs, which ultimately will enable us to maximize any excess capacity and increase our overall return on investment."

The upgrade included maintenance work and focused on the main power system/grid, as well as electrical and mechanical systems and pumps, motors and water systems. The infrastructure is now in place to support a second 300-tonne-per-day ball mill, ramping up throughput capacity to 600 tonnes per day at such point as the company is ready to expand further.

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