Zoloto Resources Ltd. ("Zoloto" or the "Company") (ZR - TSX-V), is pleased to update its exploration activity at the Company's 100% owned Ozherelie Project in Irkutsk region of Russia (Southern Siberia), and to announce initial results from the Phase 1 drilling program at Ozherelie's Zone 1, which was completed last week.
Highlights include:
A total of 57 Diamond drill holes have now been completed in Zone 1, with all holes intersecting the target quartz horizon. Results for 12 holes have been received, and significant gold mineralization is evident in 11 of the 12 holes assayed to date, including:
. 348A - 2.19g/t over 35.0 metres from 38.0 to 73.0 metres,
. 358 - 7.14g/t over 3.0 metres from 100.7 to 103.7 metres, and,
. 359 - 2.99g/t over 12.0 metres from 133.8 metres to 145.8 metres
Tim Petterson, President of Zoloto, comments: "We are very pleased with the initial results in Zone 1. They validate the results from previous drilling, but more importantly, significant gold-bearing intervals have now been delineated approximately 300 metres away from the initial bulk sample."
"The remaining holes from the late 2007 to early 2008 programme are currently being assayed and will be reported in the fourth quarter, while the 28 holes drilled this summer have all intersected 20 to 60 metre thick intervals of quartz veining corresponding to the mineralized zone. These drill core samples are now being prepared for assaying."
Zone 1 Drilling
In order to provide comprehensive results, a three-phase exploration program on the Ozherelie deposit was designed. Phase 1 includes drilling of NQ diameter (61-63 mm) holes. In total, 6,550 metres in 45 holes were drilled in 2007-early 2008, and the drilling of a further 6,220 metres in 28 holes commenced in July and completed mid-September. Of the total 73 holes drilled to date, 57 holes have been drilled in Zone 1, as detailed in the Drill Hole Plan Map. The main objective of Phase 1 at Ozherelie is to outline the mineralized structure.
click to view Ozherelie_Drill_Hole_Plan_Map.pdf
As detailed in the 'Project Geology' section at the end of this release, mineralization at Ozherelie is characterized by fine and coarse-grained gold and sulphides in the form of pyrite. Drill holes 348A, 348B and 348C were collared 1 to 2 metres from drill hole 348. This was planned to test the continuity of gold grades over short distances. All four holes returned notable gold mineralization up to 39 metres thick, starting on average 38 metres below surface. A higher grade 10 to 13 metre zone, starting on average at 43 metres below surface was consistently evident in all four holes, with grades averaging between 1.75g/t to 6.02g/t. A similar test has been conducted around drill hole 351. Results are pending for these holes.
Results of the 12 holes assayed to date are summarized in the table below and are also annotated on two longitudinal sections available followed below.
Significant Intersections: 2007-8 drill holes, Ozherelie Zone 1
|
Section |
Hole |
Interval (m) |
Au (g/t) |
|
From |
To |
Length |
|
7-4 |
347 |
8.0 |
9.0 |
1.0 |
0.34 |
|
|
348 |
37.0 |
76.0 |
39.0 |
0.81 |
|
|
incl |
46.0 |
57.0 |
11.0 |
1.62 |
|
|
incl |
52.0 |
54.0 |
2.0 |
2.96 |
|
|
348A |
38.0 |
73.0 |
35.0 |
2.19 |
|
|
incl |
44.0 |
54.0 |
10.0 |
6.02 |
|
|
incl |
52.0 |
54.0 |
2.0 |
24.22 |
|
|
348B |
38.0 |
74.0 |
36.0 |
0.99 |
|
|
incl |
42.0 |
53.0 |
11.0 |
2.29 |
|
|
incl |
51.0 |
53.0 |
2.0 |
8.81 |
|
|
348C |
39.0 |
73.0 |
34.0 |
0.99 |
|
|
incl |
40.0 |
53.0 |
13.0 |
1.75 |
|
|
incl |
52.0 |
53.0 |
1.0 |
10.84 |
|
|
350 |
59.0 |
63.0 |
4.0 |
0.59 |
|
|
|
69.0 |
70.0 |
1.0 |
1.29 |
|
|
351 |
23.6 |
26.6 |
3.0 |
0.41 |
|
|
|
44.6 |
51.6 |
7.0 |
1.09 |
|
|
352 |
71.0 |
82.0 |
11.0 |
0.81 |
|
|
incl |
77.0 |
82.0 |
5.0 |
1.44 |
|
7-2 |
356 |
136.5 |
144.5 |
8.0 |
0.51 |
|
|
357 |
86.2 |
99.2 |
13.0 |
0.31 |
|
|
358 |
70.7 |
90.7 |
20.0 |
0.33 |
|
|
|
100.7 |
103.7 |
3.0 |
7.10 |
|
|
incl |
100.7 |
101.7 |
1.0 |
20.54 |
|
|
|
106.7 |
107.7 |
1.0 |
18.24 |
|
|
|
117.7 |
124.7 |
7.0 |
0.81 |
|
|
359 |
133.8 |
145.8 |
12.0 |
2.99 |
|
|
|
144.8 |
145.8 |
1.0 |
28.76 |
Longitudinal Section 7-2 Logitudinal Section 7-4
(click to view pdf) (click to view pdf)
The results reported above are consistent with the holes drilled in Zone 1 by the previous owners, but the historical results cannot be validated. These results, have not been previously published but are shown in the Table 2 below and on the sections, for comparative and display purposes only.
Significant Intersections: Historical drilling, Ozherelie Zone 1
|
Hole |
Interval (m) |
Au (g/t) |
|
From |
To |
Length |
|
c1 |
17.75 |
35.10 |
17.35 |
0.33 |
|
c2 |
18.10 |
26.25 |
8.15 |
0.74 |
|
incl |
24.00 |
26.25 |
2.25 |
1.64 |
|
|
37.10 |
41.10 |
4.00 |
1.50 |
|
|
53.10 |
54.10 |
1.00 |
14.88 |
|
c3 |
11.60 |
22.00 |
10.40 |
0.71 |
|
incl |
16.30 |
19.40 |
3.10 |
1.10 |
|
c4 |
42.20 |
74.30 |
32.10 |
0.90 |
|
incl |
44.90 |
47.20 |
2.30 |
1.84 |
|
|
67.30 |
67.70 |
0.40 |
19.53 |
|
c5 |
43.00 |
65.20 |
22.20 |
0.94 |
|
incl |
49.10 |
51.30 |
2.20 |
2.96 |
|
c6 |
28.00 |
35.00 |
7.00 |
1.22 |
|
incl |
30.00 |
32.80 |
2.80 |
2.11 |
|
c8 |
32.30 |
42.00 |
9.70 |
2.73 |
|
incl |
39.50 |
40.90 |
1.40 |
16.28 |
|
|
39.50 |
40.10 |
0.60 |
36.49 |
|
c11 |
20.10 |
23.10 |
3.00 |
12.89 |
|
incl |
20.10 |
21.10 |
1.00 |
37.48 |
|
|
65.00 |
71.25 |
6.25 |
1.14 |
|
c29 |
2.00 |
12.00 |
10.00 |
2.12 |
|
incl |
3.40 |
4.20 |
0.80 |
19.59 |
The second exploration phase will include drilling (some 2,400 metres) of larger-diameter (108 mm) holes on selected intersections encountered during the first phase drilling. This will provide larger volumes of mineralized material for more representative assaying as well as guiding the third and final phase of underground bulk sample testing. This third phase, planned for spring 2009, will include establishing an adit with some 600 metres of underground drifting and raising to provide mineralized material for bulk sampling. Planning and permitting for this adit is currently underway.
Project Geology
The Ozherelie Project (and corresponding gold deposit) is situated in the Bodaibo mineralized district incorporating a series of hard rock and placer gold deposits. In particular, the district incorporates one of the world's largest gold deposits, Sukhoi Log (>70 Moz gold), with several accompanying large and medium-size gold deposits controlled by regional-scale east-west-trending lineaments. These gold deposits vary in style of gold mineralization, and are characterized by a predominance of either quartz veins with irregular coarse gold concentrations or stockworks of gold-bearing quartz stringers and disseminated mineralization. The Ozherelie deposit is localized on the western extension of the lineament zone, some 40 km west of Sukhoi Log. The placer gold deposits of the district, in production since the 1850s', have produced greater than 1,500 tonnes of gold. A large (some 50 tonnes of gold) placer containing angular gold-bearing quartz fragments and large gold nuggets immediately adjoins the Ozherelie deposit and is currently owned and operated by Polyus1.
The Ozherelie deposit is a large tabular mineralized zone outcropping on surface and plunging 10-20� in a northerly direction; this zone is believed to correspond to district-scale thrust-faulting occurring almost parallel to sedimentary bedding and hosted by a metasedimentary sequence of calciferous to carbonaceous slates and sandstones. This mineralized zone contains 10-50% quartz by volume, +/-Fe-carbonate, muscovite-sericite and sulphide veins and veinlets that are also gently dipping or crosscutting the bedding at a shallow angle. The broader mineralized zone is associated with the most enriched quartz horizons. The highest grade mineralization is seen in a fold of this mineralized zone and this gently sloping fold is established in the bore hole profiles for a distance of more than 500m. This geological setting and mineral composition appear to be similar to those on many distal thrust-fault-hosted, intrusive-related gold deposits worldwide.
Work to date has been directed and managed by Dr. Anatoly Ivanov, Director General of Siberian Geological Company. Dr. Ivanov holds a Ph.D. in geology. He has been involved with the exploration and development of
mining projects for over 34 years, primarily in the Irkutsk Region of Russia. Dr. Ivanov and his team discovered both the Ozherelie and Ykanskoye deposits. As such, all sampling and evaluation procedures are designed to satisfy Russian regulatory standards of practice of the GKZ (Russia's State Commission for Reserve Evaluation). Assay procedures on core samples have involved total gold extraction from processing of total core. North American 43-101 standards of practice are being introduced into current work programs.
Historically, five mineralized zones have been identified at Ozherelie. At Zone 1, the outcropping part of the Ozherelie deposit was bulk sampled by a small open pit. In total, 5,000 tonnes of mineralized material were mined and processed on site, from which 15 kilograms of gold were recovered. The mining was reported to have demonstrated the coarse nature of native gold: about 70% of the gold was represented by gold nuggets exceeding 1 mm across including 13-18% of the gold represented by nuggets exceeding 7 mm across - Much larger (up to 20-40 mm across) gold nuggets were also recovered1.
Dr Ivanov adds "This phenomenon is known at many gold deposits as 'nugget effect', and it generally leads to the incorrect estimation of actual gold grades - particularly with relatively small diameter drilling (61-63 mm). Consequently, now that the mineralization has been traced successfully, future exploration in Zone 1 will move to larger diameter drilling (108mm) and then underground drifting and raising. The greater volumes of material processed will then allow for a more accurate assessment of gold grade in light of this 'nugget effect' at Ozherelie"
The results contained in this press release conform to Russian, but not CIM, exploration standards. The technical data in this press release has been read and reviewed by T. Greg Hawkins, P. Geo., and Director of CME & Company (CME). Mr. Hawkins is the Qualified Person for the Ozherelie project.
1 See NI 43-101 Technical Report
About Zoloto Resources
Zoloto is a gold exploration company whose primary focus is to become a mid-tier gold producer through the advancement of its gold exploration properties in the Russian Federation. In addition, Zoloto's management will continue to evaluate acquisition opportunities within the Russian Federation. Zoloto's philosophy is to unlock shareholder value in a socially and environmentally responsible manner.
Tim Petterson, Director
For more information please contact:
Alan Tenenbaum/Yana Bobrovskaya
Investor Relations
Zoloto Resources Ltd.
Phone: (604) 608-0223
Toll-Free: (866) 608-0401
Fax: (604) 608-0344
Email: info@zolotoresources.com
This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, the Company's objectives, goals or future plans. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, those risks set out in the Company's public documents filed on SEDAR. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
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