TORONTO, Aug. 14, 2012 /CNW/ - Atlanta Gold Inc. (TSXV: ATG; OTCQX: ATLDF) (the "Company") today announces results from its initial surface soil sampling of A and B Horizons (top and middle layers of soil profile) that consisted of 408 samples at 5-foot (1.5-meter) intervals from a 2,040-foot (622-meter) long by 2-foot (0.6-meter) deep baseline trench. This trench was excavated as part of a baseline study's condemnation work to determine appropriate locations for proposed buildings and other surface infrastructure prior to construction.
The baseline trench was excavated 550 feet (168 meters) south of, and parallel to, the Main Shear. A rubber-tired backhoe was used to excavate and mix both the A and B soil horizons into a windrow. Following panning of hand samples, it was determined that the diluted material from the trench excavation warranted further sampling. Two sections of the trench measuring 245 feet (75 meters) and 225 feet (69 meters) in length returned anomalous gold as shown in the table below. The 245-foot (75-metre) section averaged greater than 0.01 grams per ton ("gpt") Au and the 225-foot section averaged 0.089 gpt Au. Two samples in each section were less than 0.01 gpt Au but were included for continuity.
|Sample No.|| Average
Collectively, these results demonstrate widespread gold-bearing soil that warrants further exploration.
"Historically most high grade mines at Atlanta were developed to production from mining northwest-trending splays on the north slope. The Minerva and the Last Chance were two past producers located on the south slope. Further trenching will determine the strike length and width of the anomalous area and this will be followed by a drilling program. The baseline trench is on the upper south bench of the planned open pit and outside previously explored areas. The north slope has shallow ground cover and an abundance of exposed outcroppings but the south side area is covered with overburden up to 15 feet (4.6 meters) deep. We believe that the gold-bearing soil samples on the south side are likely located over southeast-trending splays that are extensions of northwest splays that supported historic production north of the Main Shear. This hypothesis clearly indicates further investigation is needed since this area has not been previously explored by confirmation drilling. These anomalies are another example of the untested exploration potential of the Atlanta Property," commented CEO Wm. Ernest Simmons.
Information of a technical nature in this news release regarding Atlanta has been reviewed by Edward D. Fields who is a designated "Qualified Person" under NI 43-101. Mr. Fields is a Registered Member of the Society for Mining, Metallurgy, and Exploration, Inc.
Quality Control and Assurance
Samples are handled and analyzed in accordance with NI 43-101 standards. Analyses are done by Inspectorate America Corporation of Sparks, Nevada, U.S.A. Inspectorate is a well known international laboratory that has operated in Nevada for more than 10 years. The facility is ISO certified 9001:2008.
Quality control and assurance of the analytical results is maintained at the laboratory by inserting standards, and blanks, into the sample run. The Company is not following the same protocol with the trench samples as with the drill core.
About the Company
Atlanta Gold Inc. holds through its 100% owned subsidiary, Atlanta Gold Corporation ("AGC"), leases, options or ownership interests in its Atlanta properties which comprise approximately 2,159 acres (8.74 square kilometers) located 90 air kilometers 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.
This news release contains forward-looking information and forward-looking statements (collectively "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", "intend", "will", "should", "anticipate", "plan", "expect", "believe", "estimate" and similar terminology to identify forward-looking statements, including with respect to the interpretation of the sampling results received and the completion of additional trenching and drilling exploration programs. 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. These assumptions include those concerning the successful and timely completion of sufficient additional financings by the Company and/or AGC; the availability of requisite equipment and manpower; the ability of AGC to comply with the order of the Idaho Court by October 31, 2012; and general business and economic conditions. Forward-looking 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 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 Company's limited financial resources and its ability to raise sufficient funds on a timely basis to fund the capital and operating expenses necessary to carry out the terms of the Court's order and the SPOO, achieve its business objectives and continue as a going concern; operational and technical difficulties which could increase operating and / or capital costs; the speculative nature of mineral exploration and mining (including uncertainties with respect to the interpretation of geology, continuity, size and grade estimates and the recoverability of reserve and resource estimates); risks and hazards associated with the business of mineral exploration, development and mining, including environmental, health and safety hazards, changes in laws or regulations and the risk of obtaining necessary consents, licenses and permits; the implementation of additional penalties by the Court should compliance with the Court's order not be achieved in the time permitted; fluctuations in resource prices and currency exchange rates; changes in general economic conditions and in the financial markets; as well as other risks and uncertainties which are more fully described in the Company's 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. Should one or more risks and uncertainties materialize or should any assumptions prove incorrect, then actual results could vary materially from those expressed or implied in the forward-looking statements and accordingly, readers should not place undue reliance on those statements. Readers are cautioned that the foregoing lists of risks, uncertainties, assumptions 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 statements contained herein or in any other documents filed with securities regulatory authorities, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws.
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SOURCE: Atlanta Gold Inc.
For further information:
Atlanta Gold Inc.
Wm. Ernest Simmons
President and CEO
Telephone: (208) 424-3343
Fax: (208) 338-6513
E-mail: [email protected]
Atlanta Gold Inc.
Vice President and CFO
Telephone: (416) 777-0013
Fax: (416) 777-0014
E-mail: [email protected]
CHF Investor Relations
Senior Account Manager
Telephone: (416) 868-1079 ext. 239
Fax: (416) 868-6198
E-mail: [email protected]