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Glass Earth Gold Limited (TSX VENTURE:GEL - News; NZAX:GEL)
("Glass Earth") is pleased to announce the commencement of drilling
activities at the Serpentine gold prospect in central Otago,
New Zealand (refer to map below).
Serpentine (Rough Ridge - Lake Onslow, Central Otago)
Diamond drilling commenced on March 29, 2011 as part of a 5 hole program to test a 12 km long gold anomalous shear
zone. Rock chips ranging from 2 - 30 g/t gold together with coincident high
soil gold geochemistry (up to 1500ppb), mapped mineralized shears and
magnetic/resistivity anomalies provide strong encouragement for drill testing
this prospect (see map below).
The CEO of Glass Earth, Mr Henderson,
commented that "he was excited to be finally drilling one of Glass
Earth's highest priority targets, as this drilling was originally planned 2
years ago but had been delayed for various financial and weather related
reasons".
Background Information on Serpentine Gold Prospect
The Serpentine gold prospect lies in the centre of the Otago schist belt, a mesothermal
gold province host to the 7M oz Macraes Mine (OceanaGold 100%) currently producing in excess of 200,000
oz gold per annum. Historically this region was a prolific placer gold
producer, with some 8M oz of gold recovered. Placer gold production continues
on a moderate scale today.
Glass Earth undertook a major geophysical survey over the entire area
in 2007-2008 targeting major structures likely to host Macraes
style mesothermal gold. A targeting and ranking
exercise using the detailed geophysical data from the airborne surveying completed
in 2007, initially highlighted the Serpentine prospect.
Four areas of highly anomalous gold, arsenic, tungsten - key
ingredients of "Macraes"-style mineralisation strike out over 15kms. Hard-rock legacy
sampling of shears indicated numerous rock chip values in the 1-15gm/t Au
range. Glass Earth sampling repeated these gold values with further work
returning individual rock chips up to 31gm/t gold, and 2.1gm/t gold in soils.
Pan concentrates (fine gold grains in pan examined under microscope) indicate
gold very close to source(s). Shears mapped were narrow, steep and numerous,
and mapped over hundreds of metres (length and
width). The area has been subject to pre-20th Century placer and some hard
rock mining.
Otago
Region exploration has focused on developing targets recognised
as having the signature of orogenic - mesothermal gold mineralisation
and the size to generate large gold deposits.
Field Exploration Office re-established in central Otago
In March 2011, a large office/workshop was established in Alexandra,
central Otago and 4 additional staff employed. All
field equipment and other exploration staff have relocated into these
premises in preparation for an increased level of drilling and exploration
activity.
About Glass Earth Gold Limited
Glass Earth is one of the largest New Zealand-based gold exploration
companies exploring a land position of over 2,800 square kilometres
in the North and South Islands.
In the North Island, exploration efforts are focused on large
epithermal gold systems in the Hauraki/Central Volcanic Region. This Region
is host to the 10 million ounce Martha Gold Mine, (Newmont Mining).
Hauraki Region - Glass Earth occupies a significant ground position
around the Waihi/Martha Gold Mine; The
Newmont-Glass Earth Waihi West JV (Newmont earning
60%) and Hauraki JV (North and Central Areas - 65/35) are currently being
explored and managed by Newmont. Exploration at the WKP gold prospect is
ongoing following the very encouraging 2010 drilling results on that
prospect.
Central Volcanic Region - Glass Earth has defined several significant
epithermal gold targets in this region including the Muirs
Reef project (Mamaku district).
In the South Island, exploration efforts are focused on the Otago Region for mesothermal
"Macraes-style" gold targets and alluvial
gold.
Otago
Region - Field programmes to support the drilling
of highly ranked Serpentine and Game Hen gold targets are underway.
Two alluvial mining operations continue into the 2011 year, coupled
with an acceleration of alluvial exploration and resource definition; Glass
Earth / Dunstan Mining (placer mining 50/50 partner) anticipates a
significant increase in gold output in 2011.
To receive Company news via email, contact jennie@chfir.com and mention "Glass
Earth news" in the subject line.
To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/gel0328fig1.pdf.
To view Figure 2, please visit the following link: http://media3.marketwire.com/docs/gel0328fig2.pdf.
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the TSX Venture
Exchange) nor New Zealand Exchange Limited has reviewed this release and neither accepts responsibility for the adequacy or accuracy of this
release.
Contact:
Simon Henderson
Glass Earth Gold Limited
President and Chief Executive Officer
+64 4 903 4980
info@glassearthlimited.com
www.glassearthgold.com
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