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TORONTO,
ONTARIO--(Marketwire - Oct. 14, 2009) - US GOLD CORPORATION (NYSE
Amex:UXG)(TSX:UXG) is pleased to announce that drilling at its Gold Bar
Project in Nevada's prolific Cortez Trend continues to expand the known
mineralization, encountering good grades and widths. Nine out of ten
holes designed to follow-up on results released on September 9th hit
economically significant mineralization. The objective of the drilling
was to increase the size of the NI 43-101 compliant resource in three
areas: 1) West Pick, 2) East Pick, and 3) North Ridge as illustrated in
Figure 1. (See Table 1 for complete assay results. The true widths of
the intercepts are unknown.)
WEST PICK
Drilling successfully extended the known mineralization by
approximately 170 ft. (50 m) to the southwest of hole GB48, which
returned a good result: 0.085 opt (2.9 gpt) gold over 150 ft (45.7 m).
Results indicate the gold is localized in two low-angle zones of
similar grade and thickness. Hole GB70 had the best intercept from the
most recent set of results, returning: 0.065 opt (2.24 gpt) gold over
120 ft. (36.6 m). The mineralization remains open to further expansion
and potential remains to join Gold Pick and Gold Ridge. Assays are
pending for holes designed to extend the zone farther to the southwest
(Figure 1). Highlights of drilling are as follows:
------------------------------------------------------------------------ HOLE# Gold From To Length Au From To Length ------------------------------------------------------------------------ opt ft ft ft gpt m m m ------------------------------------------------------------------------ GB70 0.065 320 440 120 2.24 97.5 134.1 36.6 Including 0.121 325 360 35 4.15 99.1 109.8 10.7 GB71 0.057 390 400 10 1.96 118.9 121.9 3.0 Including 0.090 395 400 5 3.10 120.4 121.9 1.5 GB72 0.034 320 325 5 1.17 97.5 99.0 1.5 And 0.046 385 470 85 1.59 117.3 143.2 25.9 Including 0.090 420 445 25 3.07 128.0 135.6 7.6 GB89 0.027 25 45 20 0.92 7.6 13.7 6.1 And 0.018 115 135 20 0.62 35.1 41.2 6.1 And 0.074 210 265 55 2.53 64.0 80.8 16.8 Including 0.144 215 240 25 4.92 65.5 73.1 7.6 GB90 0.043 335 420 85 1.48 102.1 128.0 25.9 Including 0.108 345 360 15 3.70 105.2 109.8 4.6 ------------------------------------------------------------------------ (opt equlas Troy ounces per short ton, gpt equals grams per metric tonne)
EAST
PICK
Drilling intercepted 0.064 opt (2.18 gpt) gold over 65 ft (19.8 m) and
0.042 opt (1.45 gpt) gold over 95 ft (29 m) in two holes drilled as
follow-up to GB68, which returned a good intercept of 0.070 opt (2.39
gpt) gold over 105 ft (32.0 m). Mineralization in this zone was
expanded by 260 ft. (80 m) east from the stated NI 43-101 resource and
remains open for further expansion. Drilling to further extend the
mineralization is currently underway. Highlights are as follows:
------------------------------------------------------------------------ HOLE# Gold From To Length Au From To Length ------------------------------------------------------------------------ opt ft ft ft gpt m m m ------------------------------------------------------------------------ GB84 0.042 495 590 95 1.45 150.9 179.9 29.0 Including 0.123 505 520 15 4.22 153.9 158.5 4.6 GB85 0.064 460 525 65 2.18 140.2 160.0 19.8 Including 0.110 505 520 15 3.77 153.9 158.5 4.6 ------------------------------------------------------------------------
NORTH
RIDGE
Two holes were completed at North Ridge where the mineralization was
interpreted to be open for expansion. Drilling in this area encountered
0.055 opt (1.87gpt) gold over 60 ft. (18.3 m), which extended the
mineralized zone 65 ft. (20 m) to the east. Further opportunities to
extend the zone in this area are being evaluated. Highlights are as
follows:
------------------------------------------------------------------------ HOLE# Gold From To Length Au From To Length ------------------------------------------------------------------------ opt ft ft ft gpt m m m ------------------------------------------------------------------------ GB86 0.028 80 130 50 0.97 24.4 39.6 15.2 And 0.055 155 215 60 1.87 47.2 65.5 18.3 Including 0.095 190 205 15 3.27 57.9 62.5 4.6 And 0.016 235 260 25 0.54 71.6 79.2 7.6 GB88 0.052 165 185 20 1.78 50.3 56.4 6.1 And 0.026 250 295 45 0.90 76.2 89.9 13.7 ------------------------------------------------------------------------
Drilling at the Gold Bar
Project is ongoing, with two drill rigs currently operating on the
property.
EL GALLO (MEXICO) EXPLORATION UPDATE
Drilling at the El Gallo Silver Project in Sinaloa, Mexico, is
scheduled to resume during the third week of October 2009. Drilling was
suspended in order to permit a larger area around the initial discovery
and to accommodate for Mexico's rainy season. US Gold will resume
exploration with four core drills in an effort to complete the maximum
amount of drilling possible before the end of the first quarter 2010
when an initial resource estimate is scheduled to be published. Surface
prospecting over the past month has identified numerous areas of
high-grade silver and gold values up to 0.6 miles (1.0 km) north and
south of the current area of drilling. These newly discovered areas
away from the main zone demonstrate there is considerable potential to
expand the size of this discovery.
ABOUT US GOLD
US Gold Corporation is a Colorado incorporated gold and silver
exploration company with a strong treasury, no debt and significant
land holdings in Nevada next to Barrick Gold's multi-million ounce
Cortez project, along with a high-grade silver/gold discovery in
northwestern Mexico. US Gold's shares trade on the NYSE Amex and
Toronto Stock Exchanges under the symbol UXG.
QUALIFIED PERSON
This news release has been prepared, reviewed and approved by Steve
Brown, US Gold's Chief Geologist and full-time employee of the company,
who is a Qualified Person as defined by National Instrument 43-101 and
is responsible for program design and quality control of mineral
exploration undertaken by the company at its Nevada exploration
properties.
All assays are uncut, with analysis conducted by ALS Chemex utilizing a
30 gram fire assay charge with an AA finish. Drilling was performed
with a standard reverse circulation (RC) rig, and samples are 5 feet in
length. Quality assurance/quality control is assured by inserting
standards and blanks every 40th sample and check assays sent to a
second lab every 20th sample.
Certain statements contained herein and subsequent oral statements made
by and on behalf of the Company may contain "forward-looking
statements" within the meaning of the Private Securities
Litigation Reform Act of 1995. Such forward-looking statements may be
identified by words such as "intends,"
"anticipates," "believes," "expects" and
"hopes" and include, without limitation, statements regarding
the Company's results of exploration, plan of business operations,
potential contractual arrangements, receipt of working capital,
anticipated revenues and related expenditures. Factors that could cause
actual results to differ materially include, among others, those set
forth in the Company's Annual Report on Form 10-K for the fiscal year
ended December 31, 2008 and other filings with the Securities and
Exchange Commission, under the caption "Risk Factors". Most
of these factors are outside the control of the Company. Investors are
cautioned not to put undue reliance on forward-looking statements.
Except as otherwise required by applicable securities statutes or
regulations, the Company disclaims any intent or obligation to update
publicly these forward looking statements, whether as a result of new
information, future events or otherwise.
U.S. investors should be aware that the issuer has no
"reserves" as defined by Guide 7 and are cautioned not to
assume that any part or all of the potential target mineral resources
will ever be confirmed or converted into Guide 7 compliant
"reserves."
This press release also contains information about adjacent properties
on which we have no right to explore or mine. We advise U.S. investors
that the SEC's mining guidelines strictly prohibit information of this
type in documents filed with the SEC. U.S. investors are cautioned that
mineral deposits on adjacent properties are not indicative of mineral
deposits on our properties.
To view Table 1 - All Significant Assays, please click on the following
link:
http://media3.marketwire.com/docs/uxgtable_1.pdf
To view Figure 1 - Gold Bar Project Drill Hole Locations - Plan
(Aerial) View, please click on the following link:
http://media3.marketwire.com/docs/uxgfigure1.pdf
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