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VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 24, 2012) - High Desert Gold Corporation ("HDG" or the "Company") (News - Market indicators) (OTCQX:HDGCF) announces partial results from trenching at the Grey Eagle target at Gold Springs and the first two new drill holes out of a total of seven additional drill holes completed to date. The Gold Springs project straddles the Nevada/Utah border, 90 km west of Cedar City, Utah. The results reported here are from reverse circulation ("RC") drill holes GE 12-004 and GE 12-005 and a sampled trench that was described in HDG PR12-18, Oct. 15, 2012. Only results from the first 43 metres of the 59 metre long trench have been received from the lab, with additional results pending.
The trench is located approximately 20 metres to the north of the previously reported holes, GE 12-001 and GE 12-002 (see HDG PR 12-14, August 16, 2012) which included intervals of plus 6 g/t gold. The overall average for the full mineralized interval from these two holes combined, assuming a north-south vertical body, was 41 metres averaging 1.6 g/t gold. The partial trench results are similar and include 43 metres averaging 1.3 g/t gold-Eq. The trench ended in high grade mineralization of 3.2 g/t gold on the west end where it was cut-off by a fault. As was the case with the earlier drill holes the trench included a higher grade section that assayed 3.8 g/t gold-Eq over 3.7 metres. The azimuth of the trench was 68 degrees. The results are shown below:
|Grey Eagle Target
|Trench 20 metres north of GE 12-002
Continuous chip samples
|Combined RC holes GE 12-001 and 002
Assuming vertical N-S zone
|(The true width of these intercepts is not known).|
||Gold equivalent (AuEq) calculations reflect gross metal content using metal prices of $1,600/oz gold (Au), and $28/oz silver (Ag), and have not been adjusted for metallurgical recoveries.|
The two RC holes reported here were located, respectively, 50 metres to the west of the collars of GE 12-001 and GE 12-002 and 55 metres south-west of the same collars.
GE-12-004 located to the south-west intersected vein material beneath approximately 21 metres of cover rocks. Visually similar vein material to that seen in GE-12-002 was intersected and included 12.2 metres of 1.3 g/t gold-Eq, with the highest 1.5 metre interval being 4.4 g/t gold-Eq. The difference in grade to that seen in GE-12-002 may be due to normal variation in grade of the mineral system or because the vein material intersected is a different vein due to the complex structural setting of the mineralization.
GE-12-005 located to the west unexpectedly intersected approximately 40 metres of post-mineral cover rock in the location of the main vein and so only intersected the mineral system in the footwall to the vein. This hole included 15.2 metres of 0.6 g/t goldEq.
|Grey Eagle Target
Azimuth 100 deg.; dip 50 deg.
Azimuth 65 deg.; dip 45 deg.
|(The true width of these intercepts is not known).|
Ralph Fitch, President and CEO, stated, "These trench results are very encouraging, confirming a significant open-ended zone of mineralization similar to that found in drill holes GE 12-001 and GE 12-002. The two drill holes reported appear to have only clipped the main zone of mineralization due to a very structurally complex geologic setting. I continue to be very encouraged by the very extensive nature of the observed mineralization and look forward to getting results from the additional completed drill holes. Every time I visit Gold Springs I am deeply impressed by the fact that there is plus one gram gold mineralization exposed at the surface in many locations throughout the property, a fact that should be very beneficial as we continue to develop Gold Springs."
Current plans are to complete a minimum of 8 holes on the Grey Eagle Target to better define the orientation and extent of the system. Once the drilling at Grey Eagle is completed, the drill will be moved to the Jumbo zone on the Utah side of the Gold Springs project.
Gold Springs is a 70/30 Joint Venture with Pilot Gold Inc. in which HDG holds a 70% interest and is the operator of the Joint Venture.
Detailed maps of the target areas in both Utah and Nevada and the most recent Grey Eagle maps can be found on the Company's website at www.hdggold.com/goldsprings.html.
The Gold Springs Phase 2 drill program is designed to explore the Grey Eagle area and to drill potential extensions to the previously issued inferred resource at the Jumbo Target of 9.4 million tonnes grading 0.57 g/t gold and 12.9 g/t silver for a total of 173,000 oz. of gold and 3.88 M oz. of silver. This equates to 233,000 ounces AuEq** grading 0.77 g/t (see HDG PR11-18, December 22, 2011).
||Gold equivalent (AuEq) calculations reflect gross metal content using metal prices of $1,020.00/oz gold (Au), and $15.80/oz silver (Ag), and have not been adjusted for metallurgical recoveries. This Gold Equivalent calculation was used when reporting the initial resource at Gold Springs that was reported in December 2011.|
The Qualified Person on the Gold Springs property is Randall Moore, Executive Vice President of Exploration of High Desert Gold Corporation and he has reviewed and approved the content of this press release. Field collection procedures were verified and Sample Tags checked against footage drilled. Standard samples with known assays were submitted with each batch of samples submitted to the laboratory as a check on laboratory accuracy. All samples were collected under the supervision of Company geologists and dispatched via commercial transit or trusted Company personnel to the assay laboratory.
Assays were performed in Reno, Nevada by Inspectorate Laboratories, an ISO 9001:2000 Certified laboratory. Gold was analyzed by fire assay of a 30 gram sample with an AA finish. All other elements were analyzed by the ICP-AES 30 element method using a 4-acid digestion. The chip samples were collected every 2 to 5 feet and the average weight of each chip sample submitted to the laboratory was 7 kg. An RC sample was collected every 5 feet of hole and the average weight of each RC drill sample was 6.5 kg.
ABOUT HIGH DESERT GOLD
The Company is a mineral exploration company that acquires and explores mineral properties, primarily gold, copper and silver, in North America. The principal property held by HDG is a 70% interest in the Gold Springs gold project situated along the border between Utah and Nevada. The Company also holds direct interests in a number of other properties including the San Antonio project in Sonora, Mexico, the Gold Lake property in New Mexico, and the Kinkaid and Pinyon properties in Nevada. The Company also has a 34.2% interest in the Canasta Dorada property in Sonora, Mexico, through its equity interest in Highvista Gold Inc. There has been insufficient exploration to define a property-wide mineral resource at Gold Springs and it is uncertain if further exploration will result in the additional targets at Gold Springs being delineated as a mineral resource.
Certain statements contained herein constitute "forward-looking statements". Forward-looking statements look into the future and provide an opinion as to the effect of certain events and trends on the business. Forward-looking statements may include words such as "target", "look forward", "next", "further", "plans, "will", "should", and similar expressions. These statements include, but are not limited to, statements regarding the continued advancement of the Gold Springs property. In addition, information concerning the interpretation of drilling results may be considered forward-looking statements, as such information constitutes a prediction of what mineralization might be found to be present if and when a project is actually developed. These forward-looking statements are based on current expectations and entail various risks and uncertainties. Actual results may materially differ from expectations, if known and unknown risks or uncertainties affect our business, or if our estimates or assumptions prove inaccurate. Factors that could cause results or events to differ materially from current expectations expressed or implied by the forward-looking statements, include, but are not limited to, unexpected geologic formations, the timing for the return of assay results, the availability of sufficient financing to fund planned or further required work in a timely manner and on acceptable terms; changes in project parameters as plans continue to be refined and other risks more fully described in the Company's Management Discussion & Analysis of Financial Position and Results of Operations, which is available on SEDAR at www.sedar.com. The material assumptions that were applied in developing the forward-looking statements include: the timely receipt of assay results; the availability of equipment and qualified personnel, and the timely receipt of permits, to advance the Gold Springs project; and the execution of the Company's existing plans and further exploration and development programs for Gold Springs, which may change due to changes in the views of the Company or if new information arises which makes it prudent to change such plans or programs. Readers are cautioned not to place undue reliance on the forward-looking statements contained in this press release. Except as required by law, HDG assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason. Unless otherwise indicated, forward-looking statements in this release describe the Company's expectations as of October 24, 2012.