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IN THE UNITED STATES/
TORONTO, Oct. 14 /CNW/ - Atlanta Gold Inc. (TSX: ATG) announces that the
first phase of its trenching program identified significant gold bearing
mineralization in nine trenches at its Atlanta gold property in Idaho.
Sampling of the walls and bedrock floor of the nine trenches indicated values
ranging from 0.001 ounces per ton gold up to 1.476 opt gold. Approximately 81
samples were taken from the nine trenches, which are generally perpendicular
to the Shear and spaced 50 to 350 feet apart within a distance of about 1,200
feet. Trenching commenced approximately 500 feet easterly and up slope from
the historic Monarch shaft. Most of the samples were decomposed bedrock.
The material partially overlying the Shear is an overburden consisting
chiefly of altered and decomposed rock that makes up the Atlanta Shear Zone.
In the three trenches where the overburden was sampled, gold values in the
overburden ranged up to 0.240 and 0.396 opt gold and the average grade was
0.1028 opt gold. Values at the bedrock interface in these same three trenches
ranged up to 0.584 and 1.476 opt gold and averaged 0.2486 opt gold.
These results dictate the need for completion of the trenching program
and a more thorough evaluation of the overburden material. The overburden is
estimated to be 15 feet deep by 100 feet wide. Trenches will be excavated at
approximately 100-foot intervals down to bedrock along the 100-foot wide
Atlanta Shear Zone. The second phase of the trenching program will cover a
distance of 2,500 feet and is expected to be completed in late 2008, weather
permitting, or in mid-2009.
The program is being conducted to determine grade and processing
characteristics for shallow open pit mining. Trench samples are being taken as
continuous chip samples of the overburden and exposed bedrock.
The Atlanta Shear Zone currently has a strike length of 8,000 feet and
remains open at depth. The results of the first phase of this sampling
program, together with the results of the 2008 surface drilling program
continue to support the hypothesis that the Atlanta Shear Zone and surrounding
region has significant potential to host additional gold-silver deposits which
the Company expects to identify using modern and systematic exploration
techniques. To date, the Company has covered less than 16 % of the mineralized
structure with the current trenching program.
The Company has all of the permits and licenses required to conduct its
2008 exploration programs.
As previously announced, the Company changed the strategic focus of its
Atlanta Gold project from bulk mining, cyanide heap leaching, to a combined
shallow open-pit and an underground operation with an on-site milling facility
with no cyanide circuit, producing both a gravity concentrate and a precious
metal rich sulphide concentrate to be custom smelted. This will reduce the
environmental footprint by 95% and increase expected metal recovery rates from
63% to 90%.
The Atlanta trenching program is managed and supervised by William L.
(Bill) Josey; the Company's Chief Geologist and designated "Qualified Person"
under NI 43-101, who has reviewed and verified the data. Mr. Josey is a
registered professional geologist in the State of Arizona. Information of a
technical nature in this news release regarding Atlanta has been reviewed by
Quality Control and Assurance
Samples were 30-gram fire assays which were handled and assayed in
accordance with NI 43-101 standards. Assaying was done by Chris
Christopherson, Inc., an Umpire laboratory for major mining companies, which
is based in Kellogg, Idaho, and American Assay Laboratories, Inc. ("AAL"), in
Sparks, Nevada. AAL is a well known international lab that has operated in
Nevada for more than 20 years.
About the Company
Atlanta Gold Inc. (TSX: ATG) holds through its 100% owned subsidiary,
Atlanta Gold Corporation, a 100% interest in the Atlanta property which
comprises approximately 2,081 acres and is located 65 miles east of Boise, in
Elmore County, Idaho. A long history of mining makes Atlanta very suitable for
development of new mining projects.
The Company is focused on advancing its core asset, Atlanta, towards mine
development and production and on acquiring, exploring and developing other
attractive gold projects.
This news release contains forward-looking information and
forward-looking statements within the meaning of applicable securities laws.
All statements, other than statements of historical fact, are forward-looking
statements. We use words such as "may", "will", "should", "anticipate",
"plan", "expect", "believe", "estimate" and similar terminology to identify
forward looking information and statements. Such are based upon assumptions,
estimates, opinions and analysis made by management in light of its
experience, current conditions and its expectations of future developments as
well as other factors which it believes to be reasonable and relevant. Forward
looking information and statements involve known and unknown risks,
uncertainties and other factors that may cause our actual results to differ
materially from those expressed or implied in the forward looking information
and statements and accordingly, readers should not place undue reliance on
those statements. Risks and uncertainties that may cause actual results to
vary include, but are not limited to, the speculative nature of mineral
exploration, development and mining (including with respect to size, grade and
recoverability of mineral reserves and resources); operational and technical
difficulties; risks and hazards associated with the business of mineral
exploration, development and mining, including environmental hazards;
government action or delays in the receipt of governmental approvals, permits
and licenses; changes in resource prices and fluctuations in currency exchange
rates; the Company's limited financial resources and the availability of
financing alternatives; contests to the title of Company property and changes
in general economic conditions or conditions in the financial markets; as well
as other risks and uncertainties which are more fully described in the
Company's annual information form on Form 20-F, annual and quarterly
Management's Discussion and Analysis and in other Company filings with
securities and regulatory authorities which are available at www.sedar.com.
Readers are cautioned that the foregoing lists of risks, uncertainties
and other factors are not exhaustive. The forward-looking statements contained
in this news release are made as of the date hereof and the Company undertakes
no obligation to update publicly or revise any forward-looking information or
statements contained herein or in any other documents filed with Canadian and
U.S. securities regulatory authorities, whether as a result of new
information, future events or otherwise, except in accordance with applicable
For further information:
For further information: Bill Baird, President and CEO, Telephone: (416)
777-0013, Fax: (416) 777-0014, E-mail: firstname.lastname@example.org