3,500 metre diamond drill program in progress to test the strike
extension of the DAC Deposit
Drilling will test the under-explored one kilometre section of the
Despinassy Shear between the DAC Deposit and the Darla Zone
As of January 2011, the DAC Deposit contains an Indicated Resource of
364,000 ounces of gold plus an Inferred Resource of 247,000 ounces of
VANCOUVER, Jan. 17, 2012 /CNW/ - Next Gen Metals Inc. ("Next Gen") TSX.V: N and Alto Ventures Ltd.
("Alto") TSX.V: ATV (together "the Companies") are pleased to announce the resumption of exploration diamond drilling
on the Destiny Gold project, located near Val-d'Or, Quebec.
The drill program is focused mainly on testing the under-explored area
between the DAC Deposit and the Darla Zone at shallow depths (Figure
1). The DAC Deposit is one of several significant gold zones along a
four kilometre segment of the Despinassy Shear Zone. As of January
2011, the DAC Deposit has Indicated Resources of 10.8 Mt grading 1.05
g/t Au (at 0.5 g/t Au cutoff) for 364,000 ounces of gold, and Inferred
Resources of 8.3 Mt grading 0.92 g/t Au (at 0.5 g/t Au cutoff) for
247,000 ounces of gold.
Previous drilling at the Darla Zone, one kilometre to the east,
intersected high gold grades, including 19.5 g/t Au over 2.1 m and 20.6
g/t Au over 0.8 m within strongly altered rocks similar to those that
host DAC Zone. The one kilometre of strike length between the DAC Deposit and the Darla
Zone has previously been tested by only two drill holes, and therefore
remains under explored. The assay results for the two holes indicate that the gold-mineralizing
system was active between DAC and Darla, such that there is excellent
potential for discovery of new gold zones here (Figure 1). If results
from these widely spaced holes are positive, infill drilling will be
planned to generate sufficient data for the preparation of an updated
NI43-101 compliant Mineral Resource Estimate report incorporating
results from previous Darla drilling and all new data from between the
Darla Zone and the DAC Deposit.
About the Destiny Project:
The property consists of 177 claims totalling 7,421 ha and is located
approximately 100 km by road north of the city of Val-d'Or. The
property is accessible by provincial highway 397 which passes through
On September 26, 2011, Pacific North West Capital Corp. (PFN) assigned
its interest in the initial Option Agreement with the property owner,
Alto Ventures Ltd., to Next Gen Metals Inc. Under the terms of the
Option Agreement, Next Gen is responsible for all remaining cash
payments and exploration expenditures due to be paid or incurred, as
the case may be under the initial option with Alto Ventures Ltd.
PFN has fulfilled its obligations for the first two years of the Option
Agreement and will continue to be responsible for issuances of common
shares to Alto.
Figure 1 - Map showing the location of the 2011 drill program in the
under-explored area between DAC deposit and Darla Zone:
About the DAC Deposit
The main area of mineralization on the Destiny Gold Property is the DAC
Deposit which occurs over a strike length of about 600 m. In this area,
five identifiable intervals of quartz veining and shear-related
alteration zones carry significant gold mineralization for which a
Mineral Resource Estimate Report was prepared in 2011.
The Mineral Resource Estimate Report was prepared for the DAC Deposit by
Wardrop, a Tetra Tech Company (Wardrop) and filed on Sedar on March 7,
2011. Using a cut-off grade of 0.5 g/t gold and the Inverse Distance Squared
(ID2) estimation method, the five gold zones that make up the DAC
Deposit contain an Indicated Resource of approximately 10.8 million
tonnes with an average grade of 1.05 g/t gold (364,000 contained
ounces). In addition, the Inferred Resource totals approximately 8.3
million tonnes with an average grade of 0.92 g/t gold (247,000
contained ounces). The resources block considers the mineralization to
start at approximately 15 m below surface down to a depth of 400 m for
the deepest zone. The mineralization remains open below 400 m. For
details regarding the resource estimate methods and calculation
parameters used in preparation of the Report please see the news
releases issued by Alto and PFN on March 7, 2011. The Report can be
view on each of the Company's websites at www.nextgenmetalsinc.com and www.altoventures.com. Mineral Resources are not Mineral Reserves and by definition do not
demonstrate economic viability.
The DAC Deposit remains open along strike and to depth and is one of
several significant gold occurrences along a four kilometre segment of
the Despinassy Shear Zone. The Darla Zone, which lies one km east of
the DAC Zone, was discovered in 2006. At this location, drilling
intersected 19.5 g/t gold across 2.1 m and 20.6 g/t over 0.8 m . The
occurrence of high grade gold mineralization in the Darla, DAC and 20
and 21 zones clearly indicates that the mineralizing system occurs
across a significant portion of the property. The gold mineralization
at these occurrences starts near surface, and with additional drilling
these targets could add significant contained ounces to the already
defined resources at the DAC Deposit.
Qualified Person Statement
This news release has been reviewed and approved for technical content
by Mike Koziol, P. Geo, a qualified person under the provisions of
national instrument 43-101.
About Alto Ventures Ltd
Alto Ventures Ltd. is an exploration and development company with a
portfolio of highly prospective Canadian gold and base metals
properties. The Company is active in Quebec in the Abitibi greenstone
belt on the Destiny gold property and in Ontario, exploring in the
Beardmore-Geraldton gold belt. In Manitoba, the Company is focused on
the gold and base metals potential of the highly prospective but
relatively under-explored Oxford Lake property.
For more details regarding the Company's projects, please visit our
website at www.altoventures.com.
About Next Gen Metals Inc
Next Gen is a mineral exploration company whose current focus is on
silver, gold and base metals projects in North America. The Company has
acquired a 60% option interest (TSX.V: N) on the Destiny Gold Project
(Indicated Resource of 364,000 ounces plus an Inferred Resource of
247,000 ounces of gold). In addition, Next Gen is presently advancing
the Silver Chalice Project, located in Alaska, and the Fate Gold
Project adjacent to the Destiny Gold Project, both of which are located
in the Abitibi Greenstone Belt of Northwest Québec, one of the most
famous gold and base metals regions in the world. Next Gen continues to
aggressively negotiate for additional advanced-stage silver, gold and
base metal projects on an international scale.
Next Gen http://www.nextgenmetalsinc.com is the newest company to join the International Metals Group ("IMG") (www.internationalmetalsgroup.com). The Board of Directors is comprised in part with directors from other
companies within the IMG group who, along with management, have a
combined 150 years or more of experience in all aspects of managing
public companies related to the resource industry.
On behalf of the Board of Directors
Chairman and CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
Note: this release contains forward-looking statements that involve
risks and uncertainties. These statements may differ materially from
actual future events or results and are based on current expectations
or beliefs. For this purpose, statements of historical fact may be
deemed to be forward-looking statements. In addition, forward-looking
statements include statements in which the Company uses words such as
"continue", "efforts", "expect", "believe", "anticipate", "confident",
"intend", "strategy", "plan", "will", "estimate", "project", "goal",
"target", "prospects", "optimistic" or similar expressions. These
statements by their nature involve risks and uncertainties, and actual
results may differ materially depending on a variety of important
factors, including, among others, the Company's ability and
continuation of efforts to timely and completely make available
adequate current public information, additional or different regulatory
and legal requirements and restrictions that may be imposed, and other
factors as may be discussed in the documents filed by the Company on
SEDAR (www.sedar.com), including the most recent reports that identify important risk
factors that could cause actual results to differ from those contained
in the forward-looking statements. The Company does not undertake any
obligation to review or confirm analysts' expectations or estimates or
to release publicly any revisions to any forward-looking statements to
reflect events or circumstances after the date hereof or to reflect the
occurrence of unanticipated events. Investors should not place undue
reliance on forward-looking statements.
SOURCE Next Gen Metals Inc.
For further information:
Vice President Exploration
Next Gen Metals Inc.