Related Document
Spanish Mountain Gold Ltd. ("the Company") (SPA-TSXV) is pleased to announce further results from the in-fill drilling program recently completed within the Main Zone of its Spanish Mountain Gold Project (the "Project") located in central British Columbia, Canada. The results presented in this news release represent approximately an additional 20% of the total number of drill holes designed to reclassify gold mineralization from the Inferred to Measured and Indicated (M&I) categories. Results from the remaining drill holes are expected to be available within 4 weeks.
The results presented herein include one intersection of gold mineralization that yielded some of the highest assay results for the project to date.
Highlights of Drilling Results:
- 64.00 metres (m) grading 3.25 grams per tonne (g/t) gold including 41.50m grading 4.85g/t gold, 18.00m grading 10.73g/t gold and 8.50m grading 22.47g/t gold in hole DH-1060
- 31.50m grading 1.14g/t gold (at shallow depth) and 63.00m grading 0.79g/t gold in hole DH-1056
- 89.00m grading 0.52g/t gold in hole DH-1054
- 62.50m grading 0.51g/t gold including 23.10m grading 0.98g/t gold in DH-1057
- 52.60m grading 0.75g/t gold in hole DH-1059
- 21.50m grading 1.88g/t gold in hole DH-1070
- 53.90m grading 0.70g/t gold in hole DH-1073
- 43.50m grading 1.05g/t gold in hole DH-1086
Significant assay results are contained in Table 1 appended to this news release. A map showing the location of drill holes reported in this release may be found on the Company website: http://www.spanishmountaingold.com/i/pdf/2012-Infill-DDH_NewsRelease-may29.pdf
Discussion of Results
The objective of the drilling program within the Main Zone is to support a further reclassification of Inferred gold ounces, as previously reported in a resource statement on November 15, 2011, to Measured and Indicated ounces.
The assays from the highly mineralized intersections within Hole DH-1060 exceed any previous drill results and are interpreted as an indication of the gold concentrations present within one of the rock units hosting gold in the Main Zone. This hole is located in an area between two mineralized regions within the Main Zone that previously had been assumed to have little potential to host gold mineralization. The Company now believes that a recently completed re-interpretation of controls on gold mineralization combined with these drilling results supports the view that the potential of this area has been under-estimated.
Upon receipt of all assay results for this program, an updated resource estimate for the Main Zone will be prepared. It is anticipated that this NI 43-101 compliant resource estimate will be finalized during the summer and will be incorporated in a technical report for the Project to be published in the fall of 2012. The Feasibility Study for the Project is currently on schedule for completion in the third quarter of 2013.
Brian Groves, President and CEO commented: "The results from Hole DH-1060 are very encouraging in returning the best assays to date for the Project. The results from this hole and others presented in this release support our belief that we will be successful in increasing the Measured and Indicated gold resource for the Project."
Judy Stoeterau, P.Geo., the Company's Vice-President of Geology and the qualified person as defined under National Instrument 43-101, has reviewed the contents of this news release. All core samples were assayed at ALS Chemex Laboratory in Vancouver, BC. The Company has retained Discovery Consultants of Vernon, BC, to monitor independently the quality control and quality assurance (QC/QA) data on the Spanish Mountain Gold Project. Analytical precision and accuracy are being measured and monitored by the use of duplicate core, prep and pulp samples and by standards (reference material). Possible contamination during the sampling and processing procedures is being monitored by the insertion of blank samples.
About Spanish Mountain Gold
Spanish Mountain Gold Ltd. is focused on the responsible development of its flagship Spanish Mountain gold project in southern central British Columbia, Canada. The Company has a strong cash position with no debt and owns 100% of four gold properties located in British Columbia. Additional information about the Company is available on its website: www.spanishmountaingold.com
On Behalf of the Board,
SPANISH MOUNTAIN GOLD LTD.
Brian Groves,
President and CEO
Contact:
Colin Clancy
(604) 601-3651
info@spanishmountaingold.com
www.spanishmountaingold.com
Andreas Curkovic,
Proconsul Capital Ltd.
(416) 577-9927
This News Release contains forward-looking statements. Forward looking statements are statements which relate to future events. In some cases, you can identify forward-looking statements by terminology such as "may", "should", "expects", "plans", "anticipates", believes", "estimates", "predicts", "potential", or "continue" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our actual results, level of activity, performance or achievements to be materially different from any future results, levels of activity, performance, or achievements expressed or implied by these forward-looking-statements. Management has assumed that these will be our major projects going forward. Risks include that we are unable to satisfy environmental or other regulators, that we determine that our resources are not commercially viable, or that we have difficulties due to unavailability of labour or equipment.
While these forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding the direction of our business, actual results will almost always vary, sometimes materially, from any estimates, predictions, projections, assumptions or other future performance suggests herein. Except as required by applicable law the Company does not intend to update any forward-looking statements to conform these statements to actual results.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Table 1: Significant Assay Results
| Hole | From | To | Length | Au g/t | Ag g/t |
|---|---|---|---|---|---|
| 12-DH-1051 | 16.00 | 19.00 | 3.00 | 3.50 | 0.3 |
| 12-DH-1051 | 57.50 | 78.05 | 20.55 | 0.34 | 0.5 |
| including | 72.50 | 78.05 | 5.55 | 0.63 | 0.6 |
| 12-DH-1051 | 146.00 | 168.50 | 22.50 | 0.75 | 0.9 |
| including | 146.00 | 156.77 | 10.77 | 1.37 | 1.4 |
| 12-DH-1052 | 111.00 | 155.00 | 44.00 | 0.25 | 1.5 |
| 12-DH-1053 | 6.10 | 67.50 | 61.40 | 0.35 | 1.1 |
| including | 23.26 | 47.00 | 23.74 | 0.56 | 1.2 |
| and | 35.00 | 43.00 | 8.00 | 1.03 | 1.1 |
| 12-DH-1053 | 93.00 | 126.13 | 33.13 | 0.65 | 0.5 |
| including | 93.00 | 94.50 | 1.50 | 1.54 | 0.7 |
| including | 120.50 | 126.13 | 5.63 | 2.27 | 0.4 |
| 12-DH-1054 | 63.09 | 107.50 | 44.41 | 0.22 | 2.0 |
| 12-DH-1054 | 125.00 | 214.00 | 89.00 | 0.52 | 0.4 |
| including | 125.00 | 151.50 | 26.50 | 0.74 | 0.4 |
| and | 128.00 | 137.00 | 9.00 | 1.11 | 0.6 |
| including | 195.50 | 198.50 | 3.00 | 2.62 | 1.3 |
| including | 207.50 | 214.00 | 6.50 | 0.80 | 0.5 |
| 12-DH-1055 | 80.50 | 239.00 | 158.50 | 0.36 | 1.6 |
| including | 85.50 | 88.50 | 3.00 | 1.00 | 1.2 |
| including | 180.00 | 200.50 | 20.50 | 1.06 | 0.5 |
| including | 215.00 | 226.00 | 11.00 | 0.60 | 0.8 |
| 12-DH-1056 | 7.50 | 39.00 | 31.50 | 1.14 | 0.7 |
| including | 7.50 | 31.50 | 24.00 | 1.46 | 0.7 |
| and | 18.08 | 22.00 | 3.92 | 4.32 | 2.1 |
| and | 28.50 | 31.50 | 3.00 | 3.89 | 0.4 |
| and | 25.50 | 31.50 | 6.00 | 2.06 | 0.3 |
| 12-DH-1056 | 60.00 | 123.00 | 63.00 | 0.79 | 1.4 |
| including | 72.00 | 123.00 | 51.00 | 0.93 | 1.1 |
| and | 102.00 | 121.50 | 19.50 | 1.49 | 0.8 |
| and | 102.00 | 108.50 | 6.50 | 3.58 | 1.4 |
| 12-DH-1056 | 200.00 | 226.50 | 26.50 | 0.21 | 2.4 |
| including | 212.00 | 214.32 | 2.32 | 0.67 | 5.4 |
| 12-DH-1057 | 67.50 | 130.00 | 62.50 | 0.51 | 0.6 |
| including | 88.90 | 112.00 | 23.10 | 0.98 | 0.6 |
| and | 93.50 | 102.50 | 9.00 | 1.54 | 0.9 |
| 12-DH-1057 | 142.50 | 203.61 | 61.11 | 0.34 | 1.2 |
| including | 149.00 | 174.50 | 25.50 | 0.54 | 1.9 |
| and | 162.50 | 166.50 | 4.00 | 1.51 | 1.0 |
| 12-DH-1058 | 86.55 | 148.00 | 61.45 | 0.35 | 2.2 |
| including | 134.50 | 140.00 | 5.50 | 1.05 | 0.4 |
| 12-DH-1058 | 194.50 | 210.50 | 16.00 | 0.94 | 0.7 |
| including | 199.50 | 210.50 | 11.00 | 1.33 | 0.8 |
| 12-DH-1058 | 228.00 | 234.00 | 6.00 | 0.62 | 0.3 |
| including | 228.00 | 229.50 | 1.50 | 1.57 | 0.3 |
| 12-DH-1059 | 38.40 | 125.00 | 86.60 | 0.30 | 1.0 |
| including | 69.00 | 70.50 | 1.50 | 1.08 | 1.4 |
| including | 79.50 | 94.50 | 15.00 | 0.56 | 1.6 |
| 12-DH-1059 | 161.50 | 198.00 | 36.50 | 0.28 | 0.5 |
| including | 161.50 | 167.85 | 6.35 | 0.69 | 0.5 |
| 12-DH-1059 | 234.40 | 287.00 | 52.60 | 0.75 | 0.5 |
| including | 234.40 | 265.56 | 31.16 | 1.13 | 0.6 |
| and | 234.40 | 240.40 | 6.00 | 4.08 | 0.8 |
| 12-DH-1060 | 55.50 | 119.50 | 64.00 | 3.25 | 0.9 |
| including | 55.50 | 97.00 | 41.50 | 4.85 | 1.3 |
| and | 79.00 | 97.00 | 18.00 | 10.73 | 1.2 |
| and | 83.50 | 92.00 | 8.50 | 22.47 | 2.1 |
| 12-DH-1060 | 140.50 | 166.00 | 25.50 | 0.89 | 1.2 |
| including | 140.50 | 160.00 | 19.50 | 1.10 | 1.0 |
| 12-DH-1060 | 181.50 | 188.37 | 6.87 | 1.72 | 1.3 |
| 12-DH-1061 | 51.00 | 66.00 | 15.00 | 0.61 | 2.7 |
| including | 51.00 | 57.00 | 6.00 | 1.15 | 1.6 |
| 12-DH-1061 | 80.50 | 89.00 | 8.50 | 0.68 | 0.5 |
| 12-DH-1061 | 153.00 | 175.50 | 22.50 | 0.28 | 1.7 |
| including | 153.00 | 165.50 | 12.50 | 0.34 | 2.6 |
| 12-DH-1062 | 9.00 | 126.00 | 113.95 | 0.40 | 0.5 |
| including | 9.00 | 24.20 | 12.15 | 0.70 | 1.4 |
| including | 39.00 | 46.50 | 7.50 | 0.93 | 0.7 |
| including | 121.50 | 126.00 | 4.50 | 1.44 | 0.7 |
| 12-DH-1062 | 156.00 | 166.50 | 10.50 | 0.50 | 0.6 |
| 12-DH-1062 | 198.00 | 201.00 | 3.00 | 4.13 | 0.3 |
| 12-DH-1063 | 96.50 | 107.00 | 10.50 | 1.19 | 0.9 |
| including | 96.50 | 102.50 | 6.00 | 1.96 | 1.2 |
| 12-DH-1063 | 124.50 | 133.00 | 8.50 | 0.84 | 1.9 |
| 12-DH-1063 | 195.50 | 198.75 | 3.25 | 0.70 | 0.8 |
| 12-DH-1063 | 240.00 | 241.00 | 1.00 | 1.04 | 0.3 |
| 12-DH-1064 | 16.00 | 47.00 | 31.00 | 0.70 | 0.6 |
| including | 23.50 | 31.00 | 7.50 | 1.00 | 0.8 |
| including | 42.50 | 47.00 | 4.50 | 1.48 | 0.6 |
| 12-DH-1065 | 40.00 | 64.50 | 24.50 | 0.53 | 0.5 |
| including | 40.00 | 54.00 | 14.00 | 0.78 | 0.6 |
| and | 43.00 | 49.00 | 6.00 | 1.22 | 0.8 |
| 12-DH-1066 | 32.00 | 83.00 | 51.00 | 0.58 | 0.6 |
| including | 53.50 | 57.46 | 3.96 | 3.22 | 1.8 |
| including | 60.50 | 65.00 | 4.50 | 1.05 | 0.8 |
| including | 69.50 | 77.00 | 7.50 | 1.09 | 0.5 |
| 12-DH-1066 | 116.00 | 158.50 | 42.50 | 0.30 | 0.3 |
| including | 120.50 | 122.00 | 1.50 | 1.36 | 0.3 |
| including | 134.00 | 142.00 | 8.00 | 0.42 | 0.3 |
| 12-DH-1066 | 200.50 | 212.45 | 11.95 | 0.57 | 0.5 |
| including | 207.50 | 212.45 | 4.95 | 0.98 | 0.7 |
| 12-DH-1067 | 14.00 | 23.50 | 9.50 | 0.63 | 0.3 |
| including | 14.00 | 15.72 | 1.72 | 3.22 | 0.3 |
| 12-DH-1067 | 47.00 | 56.00 | 9.00 | 0.99 | 0.4 |
| including | 50.00 | 56.00 | 6.00 | 1.33 | 0.5 |
| 12-DH-1067 | 73.00 | 107.00 | 34.00 | 0.51 | 0.3 |
| including | 85.00 | 100.50 | 15.50 | 0.86 | 0.3 |
| 12-DH-1068 | 61.05 | 77.00 | 15.95 | 0.81 | 0.6 |
| including | 61.05 | 72.00 | 10.95 | 1.14 | 0.8 |
| and | 68.50 | 72.00 | 3.50 | 2.48 | 1.3 |
| 12-DH-1068 | 134.50 | 136.30 | 1.80 | 1.77 | 0.6 |
| 12-DH-1068 | 166.00 | 167.50 | 1.50 | 1.72 | 1.2 |
| 12-DH-1069 | 18.00 | 19.50 | 1.50 | 1.13 | 0.8 |
| 12-DH-1069 | 30.00 | 47.87 | 17.87 | 1.01 | 0.4 |
| 12-DH-1069 | 95.50 | 97.00 | 1.50 | 1.18 | 0.3 |
| 12-DH-1070 | 44.00 | 48.50 | 4.50 | 1.37 | 0.8 |
| 12-DH-1070 | 92.50 | 114.00 | 21.50 | 1.88 | 0.6 |
| including | 92.50 | 105.00 | 12.50 | 3.05 | 0.3 |
| and | 97.00 | 103.50 | 6.50 | 5.44 | 0.4 |
| 12-DH-1070 | 198.50 | 200.00 | 1.50 | 1.72 | 0.3 |
| 12-DH-1070 | 227.50 | 241.50 | 14.00 | 0.21 | 0.8 |
| 12-DH-1071 | 20.07 | 24.50 | 4.43 | 0.33 | 0.3 |
| 12-DH-1071 | 99.00 | 103.00 | 4.00 | 0.83 | 0.8 |
| 12-DH-1072 | 27.00 | 41.60 | 14.60 | 0.57 | 0.7 |
| including | 36.00 | 41.60 | 5.60 | 0.82 | 1.2 |
| 12-DH-1073 | 6.10 | 60.00 | 53.90 | 0.70 | 2.0 |
| including | 6.10 | 24.50 | 18.40 | 1.67 | 1.8 |
| and | 6.10 | 13.50 | 7.40 | 3.38 | 3.1 |
| 12-DH-1073 | 84.00 | 93.00 | 9.00 | 0.55 | 0.6 |
| 12-DH-1073 | 108.00 | 117.00 | 9.00 | 0.70 | 0.8 |
| including | 111.00 | 114.00 | 3.00 | 1.42 | 1.0 |
| 12-DH-1073 | 129.50 | 130.62 | 1.12 | 1.93 | 0.9 |
| 12-DH-1074 | 48.00 | 59.50 | 11.50 | 0.41 | 0.3 |
| including | 56.50 | 59.50 | 3.00 | 1.31 | 0.4 |
| 12-DH-1075 | 9.14 | 38.00 | 28.86 | 0.73 | 0.3 |
| including | 9.14 | 24.50 | 15.36 | 0.95 | 0.4 |
| and | 12.00 | 21.50 | 9.50 | 1.11 | 0.4 |
| 12-DH-1076 | 206.50 | 222.00 | 15.50 | 1.34 | 2.4 |
| 12-DH-1077 | 27.00 | 55.50 | 28.50 | 1.48 | 0.5 |
| including | 27.00 | 42.00 | 15.00 | 2.73 | 0.7 |
| and | 32.57 | 37.50 | 4.93 | 7.22 | 0.8 |
| 12-DH-1077 | 69.00 | 82.00 | 13.00 | 0.32 | 0.3 |
| including | 69.00 | 73.50 | 4.50 | 0.50 | 0.3 |
| 12-DH-1078 | 32.00 | 53.00 | 21.00 | 0.50 | 0.9 |
| including | 32.00 | 33.50 | 1.50 | 3.87 | 0.3 |
| including | 51.50 | 53.00 | 1.50 | 1.34 | 0.7 |
| 12-DH-1078 | 65.00 | 95.00 | 30.00 | 0.73 | 0.6 |
| including | 65.00 | 77.00 | 12.00 | 1.37 | 1.0 |
| 12-DH-1079 | 60.50 | 62.00 | 1.50 | 0.55 | 0.3 |
| 12-DH-1080 | 6.10 | 18.13 | 12.03 | 0.70 | 0.8 |
| including | 14.88 | 18.13 | 3.25 | 1.38 | 1.6 |
| 12-DH-1081 | 36.50 | 42.00 | 5.50 | 0.60 | 0.3 |
| 12-DH-1082 | Hole was Abandoned | ||||
| 12-DH-1083 | 15.00 | 23.89 | 8.89 | 0.91 | 0.3 |
| including | 21.50 | 23.89 | 2.39 | 2.98 | 0.3 |
| 12-DH-1083 | 64.00 | 65.50 | 1.50 | 1.72 | 0.8 |
| 12-DH-1083 | 90.50 | 96.00 | 5.50 | 0.46 | 0.3 |
| including | 90.50 | 92.00 | 1.50 | 1.45 | 0.3 |
| 12-DH-1083 | 148.50 | 151.00 | 2.50 | 2.71 | 2.0 |
| 12-DH-1083 | 196.50 | 198.00 | 1.50 | 1.62 | 1.8 |
| 12-DH-1084 | 7.62 | 17.00 | 9.38 | 0.52 | 0.3 |
| 12-DH-1085 | 8.00 | 55.50 | 47.50 | 0.25 | 0.4 |
| including | 8.00 | 30.50 | 22.50 | 0.37 | 0.6 |
| including | 27.50 | 30.50 | 3.00 | 1.03 | 0.7 |
| 12-DH-1085 | 76.50 | 86.00 | 9.50 | 0.49 | 0.3 |
| including | 84.00 | 86.00 | 2.00 | 1.87 | 0.3 |
| 12-DH-1086 | 6.10 | 12.00 | 5.90 | 0.66 | 0.6 |
| 12-DH-1086 | 149.00 | 192.50 | 43.50 | 1.05 | 1.8 |
| including | 155.93 | 174.50 | 18.57 | 2.16 | 2.6 |
| and | 157.50 | 165.00 | 7.50 | 4.50 | 2.7 |
| 12-DH-1086 | 221.78 | 229.75 | 7.97 | 0.56 | 1.9 |
| 12-DH-1087 | 21.00 | 36.00 | 15.00 | 0.22 | 0.6 |
| 12-DH-1088 | 79.00 | 81.69 | 2.69 | 0.26 | 0.3 |
| 12-DH-1089 | 6.10 | 46.50 | 40.40 | 0.51 | 0.7 |
| including | 22.00 | 28.00 | 6.00 | 0.80 | 0.6 |
| including | 39.00 | 45.00 | 6.00 | 1.03 | 1.1 |
| 12-DH-1089 | 81.00 | 95.00 | 14.00 | 1.20 | 1.0 |
| including | 85.50 | 93.50 | 8.00 | 1.73 | 1.4 |
| 12-DH-1089 | 158.00 | 176.50 | 18.50 | 0.54 | 1.0 |
| including | 158.00 | 170.25 | 12.25 | 0.74 | 1.4 |
| and | 167.00 | 170.25 | 3.25 | 2.50 | 4.5 |
| 12-DH-1089 | 188.06 | 195.50 | 7.44 | 0.30 | 0.5 |
| 12-DH-1090 | 14.50 | 49.00 | 34.50 | 0.24 | 0.3 |
| including | 19.50 | 32.00 | 12.50 | 0.45 | 0.4 |
| 12-DH-1090 | 74.50 | 80.50 | 6.00 | 0.60 | 0.3 |
