High Desert Gold Corporation Provides Update on Activities at the Gold Springs Project and Its Equity Interest in Highvista G...
November 25 2011 - 1:21PM
Marketwired
High Desert Gold Corporation (TSX VENTURE:HDG)(OTCQX:HDGCF) ("HDG"
or the "Company") is continuing to advance its activities at the
Gold Springs gold-silver project that straddles the Nevada/Utah
border through follow-up surface exploration work and further land
acquisition in the area. The Gold Springs project is a joint
venture between HDG (60%) and Pilot Gold Inc. (40%) with HDG as the
managing partner. Following the successful ZTEM airborne
geophysical survey completed in June with final results received in
July (see HDG PR11-11, July 12, 2011), the Company has been staking
new areas that coincide with the 10 targets that were identified in
the ZTEM survey. As previously reported, this survey included
magneto-telluric and magnetic measurements to outline the potential
extensions to the known outcropping, gold-bearing siliceous
structures under the thin gravel cover. The gravel cover blankets
over two-thirds of the 38 sq. km. property.
The Company has been staking new lands over the past two months.
The first 122 claims registered with the US Bureau of Land
Management (the "BLM") comprise 975 hectares and have been added to
the Company's land position that now totals 3,649 hectares. A total
of 789 ha of the newly staked claims lie within the area of
interest of the HDG/Pilot Gold joint-venture and the remainder
outside the area of interest.
The ZTEM resistivity results showed an excellent correlation
with known gold mineralization. Follow-up investigations of the
ZTEM resistivity anomalies have discovered surface gold
mineralization in several new areas which are covered by the new
claim blocks. Sampling in the ZTEM target areas has identified
linier traces of vein material in float. These traces are along the
same orientations as the mineralized structures in the main part of
the district. Vein fragments range in size from a few tens of
centimetres across to more than two metres. HDG believes that the
vein fragments are weathering in place and have not been
transported significant distances, thus representing new target
areas outside of those thus far identified. The Company will
continue to follow up on the new ZTEM resistivity targets with the
expectation that new drill targets will emerge.
Examples of results from recent sampling in the new areas are
shown in the following table:
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Sample Number Description Gold (ppm) Silver (ppm)
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33224 Dump 1.62 6.0
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33225 Dump 1.424 10.0
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33345 Float 3.363 3.4
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33348 Float 5.386 31.3
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33354 Float 1.573 7.0
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33377 Float 1.917 16.8
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33398 Float 16.555 41.2
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33450 Float 2.061 12.8
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33451 Float 2.35 13.6
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33455 Float 8.975 78.7
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The Company is continuing to work with the BLM in seeking
permits for the next phase of drilling at Gold Springs. The Company
has completed its next phase drill permit in Utah and is
progressing with the permitting process in Nevada. Drilling is
planned for the spring of 2012.
Highvista Gold Inc. (TSX VENTURE:HVV) ("Highvista") recently
completed its qualifying transaction under the policies of the TSX
Venture Exchange, following which the Company holds 34.8% of the
Highvista common shares and is Highvista's largest single
shareholder. Based on the November 22, 2011 closing price on the
TSXV of $0.63 for Highvista's common shares, HDG's approximately
10.7 million shares are valued at approximately $6.7 million.
Highvista is currently drilling on its Canasta Dorada gold project
in Sonora, Mexico and results are expected to be released in the
near future.
Ralph Fitch, President and CEO of the Company stated "Now that
Highvista Gold Inc. is a public company, it is easier to see the
true value of our original Canasta Dorada property. Our share of
Highvista, now valued at approximately $6.7 million, adds
significant value to the Company and allows HDG to benefit from the
success of Highvista."
The Qualified Person on the Gold Springs property is Randall
Moore, Executive Vice President of Exploration of High Desert Gold
Corporation and he has reviewed and approved the content of this
press release. Assays were performed in Reno, Nevada by
Inspectorate Laboratories, an ISO 9001:2000 Certified laboratory.
Gold was analyzed by fire assay of a 30 gram sample with an AA
finish. Gold was analyzed by the Au-AA23 method, with values
greater than 3 g/t re-assayed using Au- GRA21. All other elements
were analyzed by the ME-MS41 method.
ABOUT HIGH DESERT GOLD
The Company is a mineral exploration company that acquires and
explores mineral properties, primarily gold, copper and silver, in
North America. The major properties held by HDG are the Gold
Springs gold project situated along the border between Utah and
Nevada and the San Antonio project in Sonora, Mexico. The Company
also has a 34.8% interest in the Canasta Dorada property in Sonora,
Mexico, through its equity interest in Highvista Gold Inc. There
has been insufficient exploration to define a mineral resource at
Gold Springs and at San Antonio and it is uncertain if further
exploration will result in the targets at these two projects being
delineated as a mineral resource.
Certain statements contained herein constitute "forward-looking
statements". Forward-looking statements look into the future and
provide an opinion as to the effect of certain events and trends on
the business. Forward-looking statements may include words such as
"believes", "target", "continue", "expectation", "progressing",
"planned", "expected" and similar expressions. These statements
include, but are not limited to, statements regarding the continued
advancement of the Gold Springs property. These forward- looking
statements are based on current expectations and entail various
risks and uncertainties. Actual results may materially differ from
expectations, if known and unknown risks or uncertainties affect
our business, or if our estimates or assumptions prove inaccurate.
Factors that could cause results or events to differ materially
from current expectations expressed or implied by the
forward-looking statements, include, but are not limited to, the
effect of capital market conditions and other factors on capital
availability; availability of sufficient financing to fund planned
or further required work in a timely manner and on acceptable
terms; changes in project parameters as plans continue to be
refined and other risks more fully described in the Company's
Management Discussion & Analysis of Financial Position and
Results of Operations, which is available on SEDAR at
www.sedar.com. Readers are cautioned not to place undue reliance on
the forward-looking statements contained in this press release.
Except as required by law, HDG assumes no obligation to update or
revise any forward-looking statement, whether as a result of new
information, future events or any other reason.
Neither the 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.
Contacts: High Desert Gold Corporation Richard Doran Executive
Vice President (303) 584-0608 (303) 758-2063 (FAX)
High Desert Gold Corporation (TSXV:HDG)
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