Confederation Minerals Ltd.: Drilling at Newman Todd Intersects 11.25 Metres of 5.75 g/t Gold and 58.00 Metres of 1.11 g/t Gold
VANCOUVER, BRITISH COLUMBIA–(Marketwire – Nov. 22, 2011) - Confederation Minerals Ltd. (TSX VENTURE:CFM) (“Confederation”) is pleased to report continued high grade drill results from the on-going drilling program at the Newman Todd property in the Red Lake Gold District, Ontario. The work is being operated and funded by Confederation pursuant to an option to earn a 70 percent interest in the project from Redstar Gold Corp. (TSX VENTURE:RGC).
To date, 52 drill holes totaling 20,000 metres have been completed in 2011, and drilling continues with two drills operating 24 hours per day. Drilling has focused on the Newman Todd Structure (NTS) where gold mineralization has been discovered over a strike length 1.6 kilometres and remains open to the SE.
Results reported in this release include Hole NT-087, drilled into the Hinge Zone, which intersected five separate high grade gold intervals with an additional wide interval of 1.11 g/t gold over 58.0 metres.
- Hole NT-087 intersects 10.60 g/t gold over 0.50 metres and 15.90 g/t gold over 1.00 metres and 11.25 g/t gold over 5.75 metres including 97.80 g/t gold over 0.50 metres and 12.80 g/t gold over 1.00 metres.
- Hole NT-087 also intersects 58.00 metres of 1.11 g/t gold.
- Hole NT-089 intersectes 10.40 g/t gold over 1.0 metres.
- Hole NT-090 intersects 28.80 g/t gold over 1.0 metres.
- Hole NT-091 intersects 11.60 g/t gold over 1.0 metres.
Discussion of Results:
This latest group of results are from drill holes located within the Hinge Zone (NT-087 and NT-086) and continue to exhibit wide-spread, high-grade gold mineralization within the central part of the NTS. Holes 88 and 91 were drilled in the north-eastern part of the NTS, approximately 400 metres northeast of the Hinge Zone while holes 89 and 91 were drilled in the south-western part of the NTS approximately 400 metres southwest of the Hinge Zone (refer to Confederation’s web site at www.confederationmineralsltd.com for figures showing the location of the NTS, all drill holes announced to date, the Hinge and other zones of high-grade gold mineralization and a complete listing of assay results).
Gold mineralization continues to be associated with veining and silica-sulphide replacement zones within the widespread iron-carbonate alteration system of the NTS. These zones continue to be intersected in drilling along the entire drilled strike length of the NTS – now approximately 1.6 km of the total projected 2.2 km strike length. The Hinge Zone represents a major flexure within the NTS, where, similar to other major gold deposits, gold-bearing fluids have been focused and therefore have formed wider, and higher-grade mineralized bodies. This same model is proposed for the NTS at depth, as well, where flexures in the vertical sense have similarly acted as fluid traps, and could host yet higher grade and more continuous mineralization than that already discovered at Newman Todd. Further drilling, subsequent to detailed interpretation of the major amount of data collected over the past year of continuous drilling with two drills, will focus on following the lateral strike and vertical plunge of Hinge Zone-type dilational structures.
Lawrence Dick, Ph.D., P.Geo., President and CEO of Confederation Minerals states: “We continue to be extremely pleased and very excited and optimistic with results from the 2011 drill program. Although we are still in the early stages of drilling, the data to date have shown incredible continuity of the gold mineralizing system along the entire drilled area, which is now approaching 2 kilometers. We are also starting to observe wider zones of lower-grade gold mineralization in close association with, or enveloping the high grade intercepts. The grade and widths of our results are comparable to those being intersected at Goldcorp’s High Grade Zone where narrow drill intercepts account for a significant gold reserve and resource (Goldcorp NI 43-101 report dated January 15, 2011). Given the difficulty in intersecting high-grade gold zones in Red Lake-style deposits, the fact that our drilling has intersected gold mineralization in almost every hole drilled this year along a 1.6 kilometer strike length gives us ample reason for optimism. Now that the first-pass reconnaissance drilling is nearly finished, with fences of drill holes along 1.6 kilometers of the structural-alteration zone, attention will shift to demonstrating continuity along strike and with deeper holes to depth. The fact that multiple zones of gold mineralization are being intersected in individual holes indicates the presence of multiple, sub-parallel striking structures, adding to the potential of the project.”
Table of results from nine recently completed holes:
|Hole||From (m)||To (m)||Au (g/t)||Width (m)||Section|
|NT-092||weakly anomalous (drilled outside of the NTS)||Anomalie 1|
* Width is calculated as core length and does not imply true width of the zone. Weighted average gold intervals apply a 0.25 g/t lower cut-off. Internal dilution within reported intervals does not exceed core lengths of two metres unless otherwise indicated.
** Cross sections are spaced 25 metres apart across the entire NTS, Section 1375 marks the centre of the Heath Bull Zone.
Exploration work at the Newman Todd project is funded by Confederation Minerals Ltd. (Confederation) (TSX VENTURE:CFM). Confederation can earn a 50% interest in the project by spending $5.0 million in exploration by November 2013, and an additional 20% by producing a Preliminary Economic Assessment (PEA) by November 2016. During the earn-in period, Confederation is the operator of the project.
Core samples from the program were cut in half, using a diamond cutting saw, and were sent to Activation Laboratories Ltd. in Red Lake Ontario, an accredited mineral analysis laboratory, for analysis. All samples were analyzed for gold using standard Fire Assay-AA techniques. Samples returning over 3.0 g/t gold were analyzed utilizing standard Fire Assay-Gravimetric methods. Certified gold reference standards, blanks and field duplicates were routinely inserted into the sample stream, as part of Confederation’s quality control/quality assurance program.
Bob Singh, P.Geo., is the qualified person as defined by National Instrument 43-101 and has reviewed this news release. Mr. Singh has been engaged through a third party service provider by Confederation Minerals Ltd. to manage the project, and is also the Canadian Exploration Manager for Redstar Gold Corp.
About Confederation Minerals Ltd.
Confederation Minerals Ltd. is a British Columbia based company engaged in the business of acquisition, exploration and development of mineral properties. Its objective is to locate and develop economic precious and base metals properties of merit. Confederation Minerals Ltd. holds an option agreement to acquire up to 70% of the Newman Todd project in the Red Lake Mining District of Northern Ontario as well as 100% ownership in two other properties in the Red Lake Mining District of Ontario.
On Behalf of the Board,
Confederation Minerals Ltd.
Lawrence A. Dick, Ph.D., P.Geo., President, CEO, and Director
This release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, that address events or developments that Confederation Minerals Ltd. (the “Company”) expects to occur are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.