- Extension of Golden Arrow Zone along SW-trending fault system
- SW zone extension 500 m to 700 m SW of Open Pit has a minimum width of 90 m at surface
- New gold discovery in two holes 500 m and 1000 m south of Open Pit on a new NS-trending structure
KINGSTON, ON, May 31, 2012 /CNW/ -Murgor Resources Inc. (TSXV: MGR) today announced new drill results from its exploration drill holes at the Golden Arrow Gold project, located south of the Town of Matheson and 65 km east of Timmins, Ontario. The exploration drill program tested the Golden Arrow Fault, near surface, up to 700m southwest of the southern edge of the current open pit. The program also tested the south contact of the same syenite intrusion which hosts the Golden Arrow deposit, approximately1 km directly south of the open pit, where a new discovery was made.
Golden Arrow West Extension Discovery:
Further to the first announcement of the West Zone Discovery on February 28, 2012, four drill holes have now been completed on lines 700S to 900S, defining the new Golden Arrow West Extension over a minimum strike length of 200 m. At line 700S, both drill holes AE12-03 and AE12-11 intersected the mineralized zone which reaches a minimum width of 90m, at surface. The Golden Arrow West Zone now extends the gold deposit to a total strike length of approximately 1.1 km.
Complete results from the Golden Arrow West Extension are shown below while maps and sections are available on Murgor's website at www.murgor.com:
| Line 700S:
|| Drill Hole AE12-03:
Drill Hole AE12-11:
|| 78.0 metres assaying 0.63 g/t gold
57.0 metres assaying 0.52 g/t gold
|Line 800S:||Drill Hole AE12-01:||78.0 metres assaying 0.64 g/t gold (released February 28, 2012)|
| Line 900S:
|| Drill Hole AE12-02:
| 21.0 metres assaying 0.53 g/t gold
18.0 metres assaying 0.92 g/t gold
"This is a very significant new discovery at Golden Arrow because it speaks to the potential size of the deposit. These results now show that the Golden Arrow Deposit has the potential to become a bulk-tonnage, low grade gold deposit not unlike Lake Shore Gold's Fenn Gib and Northern Gold's Garrcon deposits which are also located near Matheson" said Andre Tessier, President and CEO of Murgor Resources.
Golden Arrow South Discovery:
Directly south of the open pit and as far as 1,000 m away, drill holes AE12-06 and AE12-07, define the Golden Arrow South Discovery. The Golden Arrow South Discovery is believed to be associated with a NS-trending structure extending from the Golden Arrow Open Pit area towards the south and displacing the south contact of the syenite intrusion. Drill holes AE12-06 and AE12-07 define a possible mineralized strike length of at least 500 m. The true width of the mineralized zone is unknown since drill hole AE12-06 collared into the gold mineralization within the syenite intrusion while drill hole AE12-07 ended in the mineralized structure within volcanic rocks.
Results from both drill holes are as follows (intersections are open in both drill holes):
| Drill Hole AE12-06:
| 21.0 metres assaying 1.15 g/t gold (underneath the overburden at surface)
15.0 metres assaying 1.42 g/t gold
| Drill Hole AE12-07:
| 12.3 metres assaying 1.50 g/t gold (drill hole ended in the structure)
4.5 metres assaying 5.48 g/t gold
"The brand new Golden Arrow South Discovery demonstrates the potential for the new orebodies at surface, associated with the south contact of the syenitic intrusion, and elsewhere at the Golden Arrow property. We have a lot more work to do here since the property at large remains largely unexplored and a number of additional targets have been established following our South Discovery" commented Mr. Tessier.
Please visit Murgor's website at www.murgor.com to view the new maps of the Golden Arrow deposit and the location of the new drill holes, a complete new set of sections of the Golden Arrow Deposit, a complete listing of assay results and a new 3D model of the Golden Arrow Gold Deposit or CLICK HERE.
The syenite-hosted gold mineralization at Golden Arrow consists of a stockwork of quartz veins and veinlets enclosed in a halo of pink to brick-red potassic alteration with 2-3% disseminated pyrite. Most of the gold mineralization to date has been associated with the NE-trending Golden Arrow fault, but recent drilling by Murgor has shown that NS-trending faults are also mineralized. This style of gold mineralization is very similar to the syenite-hosted gold mineralization at the Young-Davidson Mine located approximately 50 km south of Golden Arrow. Through drilling, Murgor continues to test this hypothesis.
To date, Murgor has completed 46 drill holes, for a total of nearly 14,768 metres, aimed at expanding the Golden Arrow Mineral Resource. Murgor completed an additional 11 drill holes, for a total of 1,733 metres, aimed at exploring new targets at the property-scale. Murgor is currently waiting for additional assay results from drill holes A11-42, A12-43, A12-44 and A12-45 to complete its assay database.
Complete results from Murgor's new exploration drill holes are as follows:
|SECTION||Easting||Az||Incl.||Length (m)||HOLE-ID||FROM (m)||TO (m)||LENGTH (m)*||AU (g/t)|
|Hole ended at 114m due to broken rods.|
|900S||50W||132||-45||41||AE12-04||Hole abandoned re-drilled with AE12-05|
|900S||100W||132||-45||149||AE12-05||No significant intercept|
|350S||470W||132||-45||161||AE12-08||No significant intercept|
|150N||1050E||132||-45||161||AE12-09||No significant intercept|
|150N||1250E||132||-45||146||AE12-10||No significant intercept|
*True widths unknown at this time.
Gold analyses reported in this release were performed by standard fire assay using a one assay ton aliquot with a gravimetric finish. All assays were performed by Activation Laboratories Ltd. in Timmins, Ontario. Sampling and analytical procedures are subject to Murgor's comprehensive Quality Assurance and Quality Control program. The QA-QC program includes duplicate samples, blanks and analytical standards.
About the Golden Arrow Gold Mine
The Golden Arrow property consists of 17 mining patents and leases, and four mining claims covering 723 hectares in Hislop Township and located 65 kilometres east of the City of Timmins in Ontario. In 1981 and 1982, a total of 303,449 tons of ore was mined at a grade of 0.066 oz/t (2.15 g/t) from the Arrow open pit. Mining ceased due to low gold prices.
The property was originally explored underground in the 1940's by the Golden Arrow Mining Company Ltd. who sank a shaft to a depth of 435 ft (130 m) below surface and undertook about 700 m of horizontal development on the 250 ft (76 m) and 400 ft (122 m) levels.
The Golden Arrow property is underlain by mafic flows and syenite intrusions cut by post mineral diabase dikes. Gold mineralization is generally hosted within a syenite intrusion and consists of a stockwork of quartz veinlets situated within a broader halo of pink to brick-red potassic alteration. Mineralized zones are related to the NE-SW Golden Arrow Fault, a splay off the Porcupine-Destor Break. The property covers a two kilometre strike extent of this NE-SW structure. The Golden Arrow gold deposit is located 9 km SW of the past-producing Ross Gold Mine which produced nearly one million ounces of gold between 1936 and 1989. Also located in Hislop Twp are the presently producing Hislop Mine of St Andrew Goldfields Ltd. and the Black Fox Mine of Brigus Gold Corp. Please visit www.murgor.com for additional information about the Golden Arrow Gold Mine.
About Murgor Resources
Murgor Resources Inc. is a mineral exploration and development Company focused on near-term production at the Golden Arrow Gold Mine in Ontario. Murgor also owns a 100% interest in two gold-copper deposits in the Snow Lake and Flin Flon mining districts of Manitoba. The Company further owns an exceptional portfolio of gold properties in proven mining districts of Canada, as well as a 1% NSR royalty in the Barry Gold Mine and the Windfall Gold Project in Québec.
The table below shows the total 43-101 compliant resource for Murgor's Hudvam and Wim deposits.
|INDICATED||Metric Tonnes||Cu %||Zn%||Au g/t||Ag g/t||Cu (lb)||Zn (lb)||Au (oz)||Ag (oz)|
|INFERRED||Metric Tonnes||Cu %||Zn%||Au g/t||Ag g/t||Cu (lb)||Zn (lb)||Au (oz)||Ag (oz)|
|* Based on a 2.0% copper equivalent cut-off grade.|
|For statement of resources, see Murgor Press Releases: Aug. 28, 2008 for Hudvam and Sept. 09, 2008 for Wim.|
The technical information in this news release has been reviewed by Mr. Randall Salo, P.Geo, a qualified person in accordance with Canadian regulatory requirements as set out in National Instrument 43-101.
This news release includes certain "forward-looking statements". All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization, resources and reserves, exploration results, and future plans and objectives of Murgor, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Murgor's expectations are exploration risks detailed herein and from time to time in the filings made by Murgor with securities regulators.
Neither 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.
For further information:
FOR FURTHER INFORMATION PLEASE VISIT MURGOR'S WEBSITE AT WWW.MURGOR.COM OR CONTACT:
Cathy Hume, CEO
CHF INVESTOR RELATIONS
Tel: (416) 868-1079 ext 231
Jeremy Hill, Associate Account Manager
CHF INVESTOR RELATIONS
Tel: (416) 868-1079 ext 238