VANCOUVER, Jan. 19, 2012 /CNW/ - Gold Mountain Mining Corporation (TSX-V:GUM) (the "Company" or "Gold Mountain") is pleased to announce final assay results from the Company's 2011 exploration program at its 100% owned Elk Gold project near Merritt, BC. These latest results demonstrate the significant additional mineralization potential of several regional targets on the property, drilled outside the historic pit area which hosts the currently known resource. Highlights of the holes announced today include the following:
SND11-139 1.29 meters of 7.07 g/t gold and 20.32 g/t silver
SND11-150 1.20 meters of 4.43 g/t gold and 10.32 g/t silver
SND11-153 1.80 meters of 16.74 g/t gold and 64.28 g/t silver
SND11-155 1.50 meters of 11.42 g/t gold and 43.40 g/t silver
During the 4 month field program, the Company completed 14,000 meters of core drilling in 77 holes. The 2011 drill program was designed to confirm and upgrade the existing resource and to test three other high priority targets on the property. Results from the first 45 drill holes in the historic pit area (numbered 88 to 132) were previously reported (November 28, 2011). Highlights from the remaining 32 regional holes (numbered 133- 164) drilled on the Gold Creek, Lake and South Zones are tabulated below.
|Hole||From (m)||To (m)||Interval (m)||Au (g/t)||Ag (g/t)|
|GOLD CREEK ZONE|
Please note that the gold assays above have been composited to a "minimum mining width" of 1-2 meters (which may include zero grade material) to reflect the average widths used in the existing block model resource estimate. All widths reported above are down hole intercepts only, with true widths ranging from approximately 70 to 100 % of the reported width. All holes were drilled to the north and dip between -50 and -70 degrees.
In the South Zone, historic drilling had outlined a 210 meter long, NE trending, moderately south dipping structural zone up to 30 meters wide, containing at least two narrow veins, which returned gold assays as high as 32 g/t over 0.2 meters. Drilling in 2011 has now extended this zone at least 50 meters to the west with drill hole SND11-131, which returned two intercepts of 22.9 g/t and 22.3 g/t gold over 0.2 meters each. The same zone has also been extended 80 meters to the east with drill hole SND11-144, which returned intercepts up to 31.7 g/t gold over 0.25 meters and 13.1 g/t gold over 0.2 meters. The South zone has now been defined over a strike length of at least 340 meters and vertical depth of 130 meters, and is interpreted to contain at least four discrete veins over a 50 meter zone width, which remains open along strike and to depth.
In the Lake Zone, previous wide spaced drilling had outlined a 340 meter long, E-W trending, moderately south dipping structural zone roughly 50 meters wide, containing at least two significant veins, which returned assays as high as 55.44 g/t gold over 0.55 meters. Follow up drilling in 2011 has now extended the zone to at least 385 meters in strike length and 140 meters depth, returning assays up to 30.7 g/t gold over 0.2 meters in drill hole SND11-151, and confirming the presence of at least three discrete veins over a zone width up to 60 meters wide, which remains open along strike and to depth.
In the Gold Creek Zone, previous shallow drilling had outlined a 300 meter long, NW trending, shallowly south dipping structural zone containing at least one significant vein, carrying grades up to 78.5 g/t gold over 0.3 meters. Deeper drilling in 2011 has now extended the zone to at least 160 meters down dip, returning grades up to 71.7 g/t gold over 0.25 meters in drill hole SND11-154, and the zone remains open.
Gold Mountain's CEO Jim O'Rourke commented: "These results demonstrate the excellent exploration upside on the Elk property, where our recent drilling has returned significant assays and added strike length and depth to known zones. We look forward to continuing our regional exploration program next year, while also advancing with pre-feasibility work in the historic pit area of the Elk property, which currently hosts a half million gold resource."
The current NI 43-101 resource estimate, based on drill data available in 2009, stands at 2,190,000 tonnes Measured and Indicated at an average grade of 4.26 g/t Au (for 301,000 ounces gold contained), plus 1,150,000 tonnes Inferred at an average grade of 7.13 g/t Au (for 263,000 ounces gold contained).
Gold Mountain adheres to a strict QA/QC monitoring program that includes the insertion of blanks, standards and duplicates into the sample stream, as well as the re-submission of select samples for check assays by a third party laboratory. Core samples were analyzed by Ecotech Labs (a Stewart Group company) in Kamloops BC, and by ALS Chemex of Vancouver BC, using Fire Assay methods with a gravimetric finish for results over 10g/t gold, or an Atomic Absorption finish for results under 10 g/t.
The Company's Vice President of Exploration, Peter Thiersch, M.Sc., P.Geo., was responsible for the design and management of the 2011 field program and also acts as the Company's Qualified Person for technical disclosure per National Instrument 43-101.
About Gold Mountain Mining
Gold Mountain is a new public resource company managed by an experienced team of professionals with a solid track record of exploration and development success. The Company owns 100% of the 16,700 hectare Elk Gold property, which it intends to develop into a precious metal producer within the next two years, and is also seeking additional near-term production assets to further build shareholder value. Additional information is available at www.sedar.com or on the Company's new website at www.aumtn.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this Release.
ON BEHALF OF THE BOARD
"Peter Thiersch" (signed)
Peter Thiersch, Vice President Exploration
Forward-Looking Statements: This news release contains forward-looking statements that are based on the Company's current expectations and estimates. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur, and include, without limitation, statements regarding the closing of further tranches of the Offering, the use of proceeds from the Offering and the Company's plans with respect to the exploration and development of its projects. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
For further information:
James O'Rourke, Chief Executive Officer and Chairman, or Rod Shier, Chief Financial Officer, or Peter Thiersch, VP Exploration, of Gold Mountain Mining Corporation, at 604 558-4653