VANCOUVER, Feb. 25 /CNW/ - Entrée Gold Inc. (TSX:ETG; NYSE AMEX: EGI;
Frankfurt:EKA - "Entrée" or the "Company") comments on 2008 exploration
results and announces 2009 exploration budgets and work programs.
Highlights of 2008 exploration include:
- Discovery of bituminous to anthracite coal on Entrée's 100%-owned
Togoot licence in Mongolia;
- Discovery of porphyry copper-gold mineralization on our Lordsburg
property, New Mexico;
- Definition of drill-ready porphyry targets on two of the four
Empirical properties in New Mexico and Arizona;
- Completion of the first phase geochemical program at Huaixi, China
and definition of anomalous values over a 7 km-long trend.
Greg Crowe, President and CEO of Entrée Gold commented, "The discovery of
coal on our Togoot license has reinvigorated our exploration efforts on
Lookout Hill west. This year's program is designed to expand the known zones
of coal mineralization and locate additional targets."
"At our Lordsburg property, we have started a second phase of drilling.
The results from Hole 002, drilled in 2008, indentified porphyry-style
copper-gold mineralization for the first time in this area. Additional work
will be required to better outline the extent and grade of this copper-gold
In 2008, several new coal targets were discovered in the northwest
portion of the 100%-owned Togoot Licence. These targets lie within
stratigraphy believed to be similar to that hosting the Tavaan Tolgoi
metallurgical coal deposit. The prospective area comprises some 38.5 square
kilometres, and lies approximately 70 km southeast of Tavaan Tolgoi. During
2008, a total of 40 holes totaling 4,979 m were completed on three separate
targets. Twelve of the forty holes were abandoned due to difficult drilling
The main target, Nomkhon Bohr, is a near-surface discovery in a complex
geological environment. Although the zone does not crop out on surface, it has
been traced by drilling and trenching over a strike length of 1,300 m.
Analyses to date indicate the Nomkhon Bohr coal is low- to medium-volatile
bituminous to anthracite coal with low sulphur and high ash contents.
Coal-bearing horizons in drill holes can be up to 57 m in apparent thickness;
within these, multiple high-ash coal seams are usually present, ranging in
apparent thickness from 0.2 m to 4.35 m. True thicknesses are uncertain due to
possible repetition of the host stratigraphy.
The other two coal targets, Coking Flats and Khar Suul, are blind
discoveries underlying Cretaceous conglomerates and sandstones which are up to
130 m thick. Coal intercepts are narrower when compared to Nomkhon Bohr. To
date, no analytical results have been received for these targets.
On the 100% owned portion of the Shivee Tolgoi Licence, Entrée drilled
three holes in 2008. Two holes on the Altan Khulan gold target did not return
significant gold assays. One hole on the Tom Bogd copper-molybdenum target was
abandoned due to drilling conditions prior to reaching target depth.
Entree has budgeted approximately US$2.6 million for first phase 2009
exploration. Core and reverse-circulation drilling is anticipated to resume in
early March 2009 and will focus on continued testing of the Nomkhon Bohr
target along strike, and the search for additional targets in the unexplored
area to the west.
Mongolian Government Initiatives
An agreement has reportedly been reached between parties negotiating the
Oyu Tolgoi Investment Agreement. This agreement is currently being reviewed
and considered by the Security Council and Cabinet before being submitted to
the Mongolian Parliament for review. The Company continues to monitor
Entrée completed geophysical (IP and AMT), geological and geochemical
surveys over the Lordsburg project in the first half of 2008 to test for
buried porphyry-style mineralization. Based on results from these surveys,
four widely-spaced diamond drill holes totaling 2,563 m (8,405 ft) were
completed to test the principal targets. Hole EG-L-08-002 intersected 310 m of
0.14% copper and 0.08 g/t gold with intervals of higher grade mineralization
up to 0.33% copper and 0.26 g/t gold. Complete results for EG-L-08-002 are
listed in a news release dated January 15, 2009. No significant assays were
returned for holes EG-L-001, EG-L-003 and EG-L-004.
Entrée has budgeted approximately US$550,000 for further drill testing of
this new discovery. The zone remains open in all directions with the closest
drill hole currently located 1.3 km (0.8 miles) to the southeast of
EG-L-08-002. The second phase drill program commenced in mid-February.
Geophysical (IP and AMT), geological and geochemical surveys were
completed on the Gold Hill, Duncan and Ash Peak porphyry copper targets in
Arizona and New Mexico. Based on encouraging results, approximately US$300,000
has been budgeted to drill test Gold Hill and Duncan in the second quarter of
2009. No further work is planned at Ash Peak.
At Bisbee, an approximately 9 line-km test AMT survey budgeted at
US$43,000 has recently been completed. The results of the survey will help to
define possible drill targets.
In late 2008, Entrée completed a property-wide stream sediment survey and
a grid-controlled soil geochemical survey over selected areas of the Huaixi
property. The surveys highlighted a 7 km long, northwest-trending structural
corridor with a strong, multi-element porphyry signature. Approximately
US$260,000 has been budgeted in 2009 for in fill geochemistry and geophysical
(IP and magnetic) surveys to better define possible drill targets.
QUALITY ASSURANCE AND CONTROL
Robert Cann, P.Geo., Entrée's Vice-President, Exploration and James R.
Foster, P.Geo., Entrée's Exploration Manager - Lookout Hill, qualified persons
as defined by NI 43-101, supervised the preparation of the technical
information in this news release.
ABOUT ENTREE GOLD INC.
Entrée Gold Inc. is a Canadian mineral exploration company focused on the
worldwide exploration and development of gold and copper prospects. In North
America, the Company is exploring for copper porphyry systems in the southwest
USA under agreements with Empirical Discovery LLC.
The Company is a large landholder in Mongolia, where it holds three
exploration licenses that comprise the 179,590-hectare Lookout Hill property.
Lookout Hill completely surrounds the 8,500-hectare Oyu Tolgoi project of
Ivanhoe Mines, and hosts the Hugo North Extension of the Hugo Dummett deposit
and the newly discovered Heruga deposit.
The Company continues to explore its large landholdings in Mongolia as
well, including the coal discovery Nomkhon Bohr. Entrée is also evaluating new
opportunities throughout the region and elsewhere in Asia. Entrée is exploring
the Huaixi copper project in Zhejiang Province in China, under the terms of an
agreement with the No. 11 Geological Brigade.
The Company is also seeking additional opportunities to utilize its
expertise in exploring for deep and/or concealed ore deposits. With a treasury
in excess of C$50 million, the Company is well funded for future activities.
Ivanhoe Mines and Rio Tinto are major shareholders of Entrée, holding
approximately 15% and 16% of issued and outstanding shares respectively.
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 or
our industry's actual results, levels 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
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 suggested herein. Except as required
by applicable law, including the securities laws of the United States, the
Company does not intend to update any of the forward-looking statements to
conform these statements to actual results. Readers are referred to the
sections entitled "Risk Factors" in the Company's periodic filings with the
British Columbia Securities Commission, which can be viewed at www.SEDAR.com,
and with the United States Securities and Exchange Commission, which can be
viewed at www.SEC.gov.
For further information:
For further information: Mona Forster, VP & Corporate Secretary, Entrée
Gold Inc., Tel: (604) 687-4777, E-mail: firstname.lastname@example.org; Primoris
Group, Tel: 866-368-7330, Email: email@example.com