VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 3, 2011) - Amarillo Gold Corp. (News - Market indicators) ("Amarillo" or the "Company") is pleased to announce the 2nd round of results from the current resource definition drilling program at its Mara Rosa Gold project, with the release of gold assays from nine holes as shown in Table 1. The total number of assays received from drill holes now stands at 15 (includes 6 holes from the NR dated February 1, 2011), bringing the total metres from assays reported to 2597.5m. At site, drill hole number 29 of the 34 drill hole program is nearing completion. Core from ten drill holes are at the laboratory awaiting assay. The current drill program is designed to upgrade existing inferred resources to the indicated and measured categories. This work is an integral part of the pre-feasibility study (PFS) currently underway.
Table 1: Composite Assay Results
Table 2: Collar information for the drill holes reported in Table 1.
The results are as expected when compared to the current resource model. Cross Sections and plans showing the recent and past results can be viewed on our website, by following the link: http://amarillogold.com/projects/mara-rosa or at www.corebox.net. Amarillo Gold will be presenting core and data on the Mara Rosa project at PDAC 2011 in Toronto, March 6-7 (Sunday-Monday), Booth #5017A.
The qualified person for this report as per the NI 43-101 guidelines is Buddy Doyle, B. App. Sc. Member AUSIMM, a geologist of 30 years experience.
ABOUT AMARILLO:
Amarillo Gold Corp. is focused on the acquisition, discovery, and definition of gold resources in Brazil. The Company's principal projects are the Mara Rosa gold project in the state of Goiás and the Lavras do Sul gold project in the state of Rio Grande do Sul. The Posse Deposit at Mara Rosa contains 623,000 ounces indicated from 11.9 MTonnes @ 1.62 g/t Au and 451,000 ounces inferred from 10.1 MTonnes @ 1.38 g/t Au at a 0.5g/t cut-off grade (NI 43-101 compliant resource as independently determined by AEFS). The Mara Rosa project is in the economic evaluation stage. The Posse deposit was successfully mined by WMC during the 1990's (mined areas are excluded from the above resource figures) and is located in an area of excellent infrastructure. Mara Rosa is located some 36 km NE of Yamana's Chapada open pit Cu-Au operation, 105 km NE of the Serra Grande underground Au mine, 105 km NNW of Anglo American's nickel laterite project (in construction), 95 km NW of Votorantim's Niquelandia nickel laterite mine and approximately 60 kms NE of Yamana's Pilar Au project (in feasibility). Grid power to the site was established during the previous open pit mining operation and the Serra da Mesa 450 MW hydro-electric dam lies 35 km to the east.
The Lavras do Sul gold project is in the advanced exploration stage with over 16,000m of drilling with encouraging gold mineralization being discovered and defined, also in an area of excellent infrastructure. The initial resource estimate at the Butia prospect reported 215,000 indicated ounces from 6.4MT @ 1.05 g/t Au and 308,000 inferred ounces from 12.9MT @ 0.74 g/t Au at a 0.3 g/t cut-off. The Company also has a portfolio of earlier stage projects. All properties under Amarillo's management are located in areas of good infrastructure and robust community support.
ON BEHALF OF THE BOARD OF DIRECTORS:
AMARILLO GOLD CORP.
Buddy Doyle, President
FORWARD LOOKING STATEMENTS:
This news release contains Forward Looking Statements regarding our intentions and plans. Various factors may prevent or delay our plans, including but not limited to, contractor availability and performance, weather, access, mineral prices and success and failure of the exploration and development carried out at various stages of the program. Readers should review risk factors applicable to junior mining exploration companies generally to understand the variety of risks that can affect the Company.
Neither 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 release.
