CALGARY, ALBERTA--(Marketwire - April 19, 2011) - Sienna Gold Inc. ("Sienna" or the "Company") (News - Market indicators) (BVLAC:SGP) is pleased to announce the results of the latest hole in its current drill program at the Igor project in Peru. Hole CA-10-6 was drilled to a depth 776.0 meters and intersected eleven mineralized structures, the best of which returned 41.3 meters with an average grade 1.231 grams per tonne (g/t) gold and 16.9 g/t silver and included 11.3 meters with an average grade of 3.863 g/t gold and 45.5 g/t silver. All the structures were heavily oxidized and the entire hole returned moderate to strongly anomalous values in both gold and silver. The results from this campaign confirm the presence of a north-south trending mineralized structure at Callanquitas. Drilling is still underway to extend and confirm the continuity of this mineralization in all directions.
The results for hole CA-11-06 are presented below (the results from holes CA-10-1 to and CA-10-5 were announced in the news release issued on March 17th, 2011).
Hole |
|
From |
|
To |
|
Length |
|
Weighted average grade |
|
|
|
(m |
) |
(m |
) |
(m |
) |
Gold (g/t |
) |
Silver (g/t |
) |
CA-11-06 |
|
142.00 |
|
183.30 |
|
41.30 |
|
1.231 |
|
16.9 |
|
|
Including |
159.20 |
|
170.50 |
|
11.30 |
|
3.863 |
|
45.5 |
|
|
|
208.60 |
|
223.80 |
|
15.20 |
|
0.018 |
|
22.7 |
|
|
|
317.70 |
|
324.70 |
|
7.00 |
|
0.049 |
|
30.4 |
|
|
|
333.70 |
|
335.55 |
|
1.85 |
|
1.495 |
|
4.4 |
|
|
|
390.60 |
|
415.50 |
|
24.90 |
|
0.326 |
|
18.2 |
|
|
|
495.60 |
|
504.30 |
|
8.70 |
|
0.041 |
|
39.9 |
|
|
|
564.50 |
|
565.20 |
|
0.70 |
|
1.430 |
|
20.1 |
|
|
|
601.60 |
|
608.90 |
|
7.30 |
|
0.699 |
|
32.3 |
|
|
|
646.30 |
|
646.80 |
|
0.50 |
|
1.170 |
|
99.6 |
|
|
|
660.90 |
|
674.40 |
|
13.50 |
|
0.462 |
|
30.0 |
|
|
Including |
667.65 |
|
668.70 |
|
1.05 |
|
2.630 |
|
303.0 |
|
|
|
729.70 |
|
738.50 |
|
8.80 |
|
0.305 |
|
0.5 |
|
|
Including |
736.60 |
|
737.20 |
|
0.60 |
|
2.2 |
|
1.7 |
|
The Callanquitas Structure
Dr. Owen Miller, exploration manager for Sienna, comments, "The results from hole CA-11-06 confirm the new geological model for Callanquitas with a north-south trending zone with multiple, parallel structures. There also appears to be one large structure that has also been intersected in holes CA-11-02 (35.0 m @ 1.8 g/t gold and 21.1 g/t silver), hole CA-11-05 (24.0 m @ 0.814 g/t gold and 134.9 g/t silver) and hole CA-11-06.
In addition to the results from the current drill program detailed above, the "Discovery Hole", CA-01b, drilled in 2008 outlined 218 meters of mineralization, mostly oxidized, with an average grade of 0.6 g/t gold and 22.3 g/t silver. This includes 33.7 m at 1.8 g/t gold and 34.4 g/t silver. (See Sienna website for News Release of May 13, 2008.)
On the basis of these results the main mineralized structure at Callanquitas appear to be between 20 and 40m meters wide, with grades from 0.814 g/t to 1.8 g/t gold and 14.9 g/t to 134.9 g/t silver. The structure is approximately 300 meters long and open to the north, south and at depth. Surface sampling and the presence of historic workings suggest it is at least 1 kilometer long."
Drilling Update
Hole CA-11-07 is currently at 410 meters and is testing the northern extension of the structure as identified above. It is the belief of the Company that this structure is over 1 kilometer long running from north to south in the Callanquitas area.
A map showing the results to date along with other evidence supporting the geological model for Callanquitas will be available on the Company's website: http://www.siennagold.com/projects/index.html)
Mining Feasibility Study
Based on recent and historical exploration data the Company has initiated a mining feasibility study of the IGOR concession. Environmental and engineering work for an EIA submission is underway and an independent metallurgical review has been commissioned. If these studies and other permitting requirements prove positive, this work is proceeding on the basis of a 2013 production start up.
Additional development drilling is planned for the Domo and Tesoros area and is expected to commence by August of this year. This drilling will more clearly define the resources as stated in the current 43-101 that was filed February 12, 2008.
The Company continues to maintain a good relationship with the community of Callanquitas and to that end has signed a two (2) year agreement with the community to continue to work in the area.
Sampling Methodology
Cores taken from the Diamond drill rig are stored in plastic core boxes and transported to the camp for detailed logging. Afterwards, the core is cut on site with a Diamond saw.
One half is then sent to an accredited laboratory in various sample lengths. Randy Henkle (P.Geol.), the Company's independent Qualified Person, completed a chain of custody review to ensure the integrity of all sample data.
Assaying Methodology
The samples are analyzed by ALS Chemex Laboratories in Lima by inductively coupled plasma atomic emission spectroscopy for silver and 33 other elements and a 30 gram fire assay technique for gold. Samples above detection limits were re-assayed using a gravimetric fire assay technique. The specific lab procedures can be found in the Company's 43-101 report on the Igor property.
This press release was reviewed and approved by Dr. Owen Miller (Aus IMM Member No 207275), Manager of Exploration of Sienna Minerals. (a wholly owned subsidiary of Sienna Gold Inc.), who is a "Qualified Person" according to National Instrument 43-101.
Sienna Gold Inc. is a gold exploration company with property interests in Peru. Its key prospect is the Igor Mine Project, a formerly producing mine that the Corporation plans to explore further.
Advisory
Certain statements and information contained in this press release, including but not limited to management's assessment of Sienna's future plans and operations, production, reserves, , capital expenditure programs and debt levels contain forward-looking statements. In particular, this press release contains statements concerning the anticipated feasibility study and identification of drilling targets. All statements other than statements of historical fact may be forward looking statements. These statements, by their nature, are subject to numerous risks and uncertainties, some of which are beyond Sienna's control including the effect of general economic conditions, industry conditions, changes in regulatory and taxation regimes, volatility of commodity prices, escalation of operating and capital costs, currency fluctuations, the availability of services, imprecision of reserve estimates, geological, technical, drilling and processing problems, environmental risks, weather, the lack of availability of qualified personnel or management, stock market volatility, the ability to access sufficient capital from internal and external sources and competition from other industry participants for, among other things, capital, services,undeveloped lands and skilled personnel that may cause actual results or events to differ materially from those anticipated in the forward looking statements. Such forward-looking statements, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated in the statements made and should not unduly be relied on. These statements speak only as of the date of this press release. Sienna does not intend and does not assume any obligation to update these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Sienna's business is subject to various risks that are discussed in its filings on the System for Electronic Document Analysis and Retrieval (SEDAR).
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 release.