|
|
Gold Canyon Resources Inc. (TSX-V:GCU - News)(PINK SHEETS:GDCRF - News) ("Gold
Canyon" or "the Company") is pleased to announce that a very
long intercept of gold mineralization in hole SP10-022, 223 meters at 1.45
grams per tonne gold (731 feet at 0.042 oz per ton gold)
including 27 meters at 4.64 grams per tonne gold
(89 feet at 0.135 oz per ton gold), extends the Portage Zone an additional 50
meters southeast (please see attached map: http://media3.marketwire.com/docs/gcu1117m.pdf).
This hole was lost at 396 meters in broken ground before it could reach its
targeted depth. Hole SP10-024 twinned SP10-022,
reached its targeted depth, and assays are expected back soon. Springpole Gold Project is 100% controlled by the Company
and is located in the Red Lake Mining District of Ontario, Canada.
-- Hole
SP10-022 was collared approximately 50 meters southeast of hole
SP10-019 (307 meters
at 1.44 grams per tonne gold announced in news
release dated
November 2, 2010) intersected 223 meters at 1.45 grams per
tonne
gold (731 feet at 0.042 oz per ton gold) including 27 meters at
4.64 grams per tonne gold (89 feet at 0.135 oz per ton gold). Hole SP10-
022 was drilled at
an azimuth of 220 degrees true north and inclination
of -45 degrees,
parallel to hole SP10-019. Because hole SP10-022 did not
reach its intended
depth, a twin hole, SP10-024, was drilled nearby and
successfully reached
a targeted depth of 506 meters.
-- Hole
SP10-022 extends the Portage Zone a further 50 meters southeast.
This hole
demonstrates good continuity of mineralization in this part of
the Portage Zone.
Holes SP10-022 and -024 are the southeast-most holes
drilled by the
Company in 2010. The Portage Zone is wide open to the
southeast and this
extension will be the focus of drilling this winter.
-- The
strike length of the northwesterly striking Portage Zone presently
stands at
approximately 950 meters. In the vicinity of SP10-022, this
zone is believed to
be dipping 75 degrees to the southwest to near
vertical. Because
SP10-022 did not reach its targeted depth, the true
width of the zone
cannot be estimated. Pending results from hole SP10-
024, the twin of
SP10-022, should allow estimation of the true width of
the Portage Zone in
this area.
-- Results
from the remaining eight holes from this summer's drill program
are due back from
the lab by mid-December. Hole SP10-024 is a longer
twin of SP10-022.
Holes SP10-026 and -29 test the Portage Zone in areas
below holes
SP10-007, -009 and -011 (see August 16, 2010 and August 30,
2010 new releases)
at the northwest end of the Portage Zone. Hole SP10-
028 tests the mid portion
of the zone. Three other holes, SP10-021, -023
and -025, test other
targets on the property. Hole SP10-027 was
terminated at 115
meters when the drill hole deviated off course and
thus was unable to
reach its intended target zone. In total, the Company
has drilled
approximately 10,300 meters of diamond core at Springpole
in
2010.
-- Silver
assays have returned from holes SP10-012 and -016 (see table
below). Silver was
never routinely analyzed at Springpole in the past,
but the Company now
conducts systematic assaying of silver on all new
holes. The Portage
Zone demonstrates appreciable silver such as hole
SP10-012, 133 meters
at 8.55 grams per tonne silver (436 feet at 0.250
oz per ton silver).
Silver to gold ratios from the Portage Zone
generally range from
2.5:1 to 11:1.
-- Plans
are being made for the Winter 2011 Diamond Drill Program. The
Company is planning
an aggressive drill program, funded by the recently
completed $6,000,000
financing (see news release dated October 29,
2010), to further
evaluate the size of the Portage Zone. Up to 10,000
meters of drilling
are planned utilizing three diamond core rigs
beginning in early
January, 2011, weather permitting.
"The Portage Zone continues to deliver
consistent drill results," comments Dr. Quinton Hennigh,
technical advisor to Gold Canyon. "Hole SP10-022 is the southeast-most
hole drilled by Gold Canyon to date. We feel confident our upcoming winter
drill program will continue to expand this very large gold system. We are
also pleased to see consistently high silver from the Portage Zone. Our
silver assays suggest that, in essence, we are finding a few ounces of silver
for every ounce of gold."
---------------------------------------------------------------------------
Summary of Significant Intervals in Hole SP10-022
Gold
From
To
Length (grams per Length
Gold
Hole
(meters) (meters) (meters) tonne)
(feet) (oz per ton)
SP10-022
155
378
223
1.45
731
0.042
includes
180
207
27
4.64 89
0.135
Poor to no core recovery was experienced from 378 to the end of the hole at
396 m where the hole was lost in
broken ground
Hole SP10-024 twinned SP10-022 and drilled to 506 m depth; assays are
pending
---------------------------------------------------------------------------
Reported intervals apply a 0.34 gram per tonne gold
(0.01 oz per ton gold)
cutoff.
Weighted averages were use to calculate all
reported intervals.
Internal dilution within reported intervals does not exceed core lengths of
12 meters.
1 troy ounce = 31.103 grams
Conversion factor - grams per tonne to troy ounces
per short ton; g/t
divided by 34.2857 or g/t multiplied by 0.0292
1 meter = 3.28 feet
----------------------------------------------------------------------------
Gold and Silver Intervals from Holes SP10-012 and -016
Previously
Announced
Previously
Gold Silver Announced
Silver Silver
(grams (grams
Gold (oz to
From To Length per per
Length (oz per per
Gold
Hole
(meters)(meters)(meters) tonne) tonne) (feet) ton) ton) Ratio
SP10-012
275
408
133 0.79 8.55 436 0.023 0.250 10.9
includes
275
284
9 2.54 6.06 30 0.074 0.177 2.4
includes
359
362
3 8.76
128.37 10 0.256 3.748 14.6
This hole deviated, and as a result, did not test the full width of the
targeted zone.
Short intervals of no core recovery were encountered at 314-317 m, 329-332 m
and 362-365 m.
Zones of no recovery were given 0 gold and silver grade
in the weighted
averages above.
SP10-016
181
187
6 0.94 17.42 20 0.027 0.509 18.8
206
511 305 1.03 4.71 1000 0.030 0.138 4.6
includes
289
463
174 1.35 5.62 571 0.039 0.164 4.2
includes
289
292
3 7.30 58.80 10 0.213 1.717 8.1
includes
312
322
10 2.94 8.72 33 0.086 0.255 3.0
includes
387
397
10 2.08 7.52 33 0.061 0.220 3.6
Hole ends in mineralization.
Short intervals of no core recovery were encountered at 247-250 m, and 445-
448 m.
Zones of no recovery were given 0 gold and silver grade
in the weighted
averages above.
----------------------------------------------------------------------------
Reported intervals apply a 0.34 gram per tonne gold
(0.01 oz per ton gold)
cutoff.
Weighted averages were use to calculate all
reported intervals.
Internal dilution within reported intervals does not exceed core lengths of
8 meters.
1 troy ounce = 31.103 grams
Conversion factor - grams per tonne to troy ounces
per short ton; g/t
divided by 34.2857 or g/t
multiplied by 0.0292
1 meter = 3.28 feet
The Summer 2010 Diamond Drill Program, now complete,
is part of an ongoing program of drilling and remodelling
of the Springpole deposit to move it towards
prefeasibility. Drilling is planned to continue through April 2011, at which
time work will begin on revising the resource estimate for the deposit.
Springpole is an alkaline intrusion hosting a gold system that
represents a potentially new style of Canadian Archean
Shield gold deposit. Springpole shares many
similarities with deposits such as the Cripple Creek Gold deposit in
Colorado. The Portage Zone is hosted by a trachytic
porphyry intrusion displaying polyphase autolithic breccias that contain gold mineralization of
remarkably uniform grade. Other zones including East Extension, Camp and Main
consist of high grade veins and pods hosted in diatreme
breccias composed of intrusive and country rocks. These diatreme
breccias surround the northwest and northern margins of the Portage Zone. The
known mineralized zones underlie a total known area of about 4 square kilometres representing only about 15 percent of the
greater alkaline intrusive complex which yet remains to be explored.
Core was logged, then split using diamond saws, with
one half sent for analyses and the other half stored for future reference.
Quality control programs include the use of duplicates, standards and
internal and external check assaying. Certified sample standards were
submitted with the normal sample stream. Gold and silver assays were
completed by SGS Canada Inc. in Red Lake and Toronto, Ontario using a 30 gram
charge, fire assay, with an ICP finish. For over limit assay results, initial
assays in excess of 10.0 grams per tonne Au, a
gravimetric finish is utilized.
Quinton Hennigh, Ph.D., P.Geo. and Alan Roberts, M.Sc., P.Geo. are the Qualified Persons
pursuant to National Instrument 43-101 responsible for, and have reviewed and
approved, the technical information contained in this news release. Dr. Hennigh is acting as a technical adviser to Gold Canyon
and Alan Roberts is the Senior Geologist of Alaska Earth Sciences, Inc. and
Project Manager at Springpole.
About Gold Canyon Resources Inc.:
Gold Canyon is engaged in the acquisition and
exploration of mineral and precious metals properties. The Company controls a
100% interest in the Springpole Gold - Horseshoe
Island Gold, Platinum, Palladium Project and Favourable
Lake Poly-metallic property currently under option to Shoreham Resources Inc.
pursuant to an option and joint venture agreement entered into in December
2005 - all in the Red Lake Mining District of Ontario, Canada.
Through its wholly owned U.S. subsidiary, Gold
Canyon Resources USA Inc., the Company controls a 100% interest in the
Cordero Gallium Project situated in Humboldt County, Nevada, U.S.A.
Gold Canyon entered into a Joint Exploration
Agreement with the Japan Oil, Gas and Metals National Corporation (JOGMEC) in
January 2009.
Additional information can be found on the Company's
website: www.goldcanyon.ca.
Akiko Levinson, President & Director
Certain statements contained in this news release
using the terms "may", "expects to", "project",
"estimate", "plans", and other terms denoting future
possibilities, are forward-looking statements in respect to various issues
including upcoming events based upon current expectations which involve risks
and uncertainties that could cause actual outcomes and results to differ
materially. The future conduct of the Company's business and the feasibility
of its mineral exploration properties are dependent upon a number of factors
and there can be no assurance that the Company will be able to conduct its
operations as contemplated and the accuracy of these statements cannot be
guaranteed as they are subject to a variety of risks that are beyond our
ability to predict or control and which may cause actual results to differ
materially from the projections or estimates contained herein. The risks
include, but are not limited to, the risks described in the above press
release; those risks set out in the company's disclosure documents and its
annual, quarterly and current reports; the fact that exploration activities
seldom result in the discovery of a commercially viable mineral resource and
are also significant amounts of capital to undertake and the other risks
associated with start-up mineral exploration operations with insufficient
liquidity, and no historical profitability. The Company disclaims any
obligation to revise any forward looking statements as a result of
information received after the fact or regarding future events.
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this news
release.
Contact:
Contacts:
Gold Canyon Resources Inc.
(604) 682-3234 or Toll free: 1 (888) 242-3234
(604) 682-0537 (FAX)
info@goldcanyon.ca
www.goldcanyon.ca
Gold Canyon Resources Inc.
Leo Karabelas
Investor Relations
(416) 543-3120
leo@frontlineir.com
|
|