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Amarillo
Gold Corp. (TSX VENTURE:AGC - News;
"Amarillo" or the "Company") is pleased to announce
results from the current resource definition drilling program of the Posse
gold deposit at its Mara Rosa project in Goias
state. These six drill holes represent the first 1251m of drilling of the
planned 7000m, (34 hole) infill drilling program, which 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. The drill assay results are summarized in Table 1 below.
Table 1: Composite Assay Results
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Hole No. From (metres) To (metres)
Interval True Width Grade (g/t Au)
(metres)
(metres)
MRP0015
57
62
5.0
4.8
0.82
66
71
5.0
4.8
0.74
MRP0016
33
54 21.0
19
1.15
MRP0017
129
156
27.0
24.5
1.18
MRP0018
48
85
37.0
35.7
2.67
MRP0019
177
216
39.0
35.4 1.11
MRP0020
117
128
11.0
10
0.79
Notes: All drill hole samples consist of split HQ diamond drill core.
The
samples were sent to Acme Laboratories in Goiania, Brazil, and
Vancouver,
Canada. Gold is determined using fire assay using 30g aliquots with an ICP
finish. All samples are subject to a chain of custody and are submitted with
standards and blanks to check the assay results. The laboratories also use
internal standards and repeat analysis. For the results reported in this
release all the standards, blanks and repeats delivered acceptable results.
Intercepts were calculated using a minimum of a 0.5 g/t cut off where
any
one sample point lies within a 5m intersection averaging at least 0.5
g/t
Au. True width was determined assuming the mineralization has an average dip
of 45 degrees.
Table
2 provides the drill hole locations. Figure 1
depicts the location of the drill holes in relation to the Posse Pits and
previous drill collars.
Table 2: Collar information for the drill holes reported in Table 1.
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Hole No. Total depth
Azimuth
Dip Easting UTM
Northing Elevation
(metres) (degrees) (degrees)
UTM (metres)
MRP0015
140.40
140.00
60.00
696489
8454211
446
MRP0016
129.35
140.00
70.00
696582
8454251
433
MRP0017
200.05
140.00
70.00
696438
8454307
441
MRP0018 110.20 140.00 60.00 696667 8454383
435
MRP0019
267.30
140.00
70.00
696455
8454404
443
MRP0020
255.05
140.00
70.00
696376
8454226
440
Notes: Collars located by hand held GPS and are yet to be surveyed to
high
resolution.
The
results are as expected when compared to the current resource model.
Drill
holes MPR0034, MPR0033 are currently in progress with one rig moving to
MPR0036, 20 holes have been completed in the program to date with a total of
4890m drilled. Several holes are at the laboratory awaiting assay.
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.
To
view Figure 1. Location Map: showing drill holes reported in table 1 in
relation to previous, current and planned drill holes, please visit the
following link:
http://media3.marketwire.com/docs/Figure%201%20Amarillo%20Gold%2002-01-11.pdf
ABOUT
AMARILLO:
Amarillo
Gold Corp. is focused on the acquisition, definition, and discovery of gold
resources in Brazil. Its principal projects are Mara Rosa in the state of Goias, and Lavras do Sul in the state of Rio Grande do Sul.
The Posse Deposit at Mara Rosa contains 650,000 ounces of gold indicated from
12.4 MTonnes @ 1.62 g/t Au, and 471,000 ounces of
gold inferred from 13.8 MTonnes @ 1.38 g/t Au at a
0.5 g/t cut-off grade (Independent NI 43-101 compliant preliminary economic
assessment study conducted by Whitehouse and Hoogvliet).
The Mara Rosa project is in the economic evaluation stage. The Posse deposit
is located in an area of excellent infrastructure some 35 km NE of Yamana's Chapada open pit Cu-Au
operation, 105 km NE of Serra Grande's underground Au mine, 105 km NNW of
Anglo American's Ni laterite project (in construction), 95 km NW of Votarintim's Niquelandia Ni
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 hydro-electric dam lies 35 km to
the east. A new railroad is being constructed within 1.6 km of the project.
The
Lavras do Sul property is
an advanced exploration stage project with encouraging gold mineralization
discovered and defined by more than 15,000 metres
of drilling. Lavras do Sul
is also located near excellent infrastructure. The Company also has a
portfolio of earlier stage projects. All properties under Amarillo's
management are located in areas of good infrastructure and mining-friendly
communities.
ON
BEHALF OF THE BOARD OF DIRECTORS:
AMARILLO
GOLD CORP.
Per:
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
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