Drilling by Agnico-Eagle Commences at Columbus Gold's Summit Property
April 21 2010 - 9:00AM
Marketwired
Columbus Gold Corporation (TSX VENTURE: CGT) ("Columbus Gold" or
the "Company") is pleased to announce that drilling has commenced
on the Company's Summit Project where joint venture partner
Agnico-Eagle Mines Limited (TSE: AEM)(NYSE: AEM) is earning an
initial 51% interest by undertaking staged annual exploration
expenditures and making annual cash payments to Columbus Gold.
The current program will consist of approximately 4,000 feet
(1,220 meters) of reverse circulation drilling in 2 holes. The
holes will test for the northeast strike extension of the Long
Canyon deposit being developed by AuEx Ventures, Inc. and Fronteer
Development Group Inc. A project area map can be viewed at the
following link:
http://www.columbusgoldcorp.com/i/nr/2010-04-21-map-summit.jpg
As reported by AuEx Ventures, the Long Canyon gold deposit
consists of multiple, sub-parallel north to northeast-directed
zones of oxidized Carlin-style gold mineralization, amenable to
open pit mining, aggregating 1,300 ft (400 m) in width with a
current strike length of approximately 1.60 miles (2.6 km) that is
still open to extension. Mineralization outcrops in the central
portion of the deposit and plunges shallowly to the northeast
towards Columbus Gold's Summit Property. Drilling at Long Canyon is
now estimated by Columbus to extend to within 3,280 ft (1,000 m)
outside of Columbus Gold's Summit Property boundary.
In March 2009, AuEx Ventures reported an indicated resource of
363,000 ounces gold from 4,808,000 tonnes averaging 2.35 g/t and an
inferred resource of 459,000 ounces gold from 8,780,000 tonnes
averaging 1.63 g/t, and reported the completion of a positive
initial Preliminary Economic Assessment. The reported resource and
assessment didn't include the results from more than 200 holes that
were drilled in 2009. AuEx has reported that about $20 million in
expenditures is planned at Long Canyon in 2010.
Andy Wallace is a Certified Professional Geologist (CPG) with
the American Institute of Professional Geologists and is the
Qualified Person under NI 43-101 who has reviewed and approved the
technical content of this news release. Mr. Wallace is a VP of
Columbus Gold's U.S. subsidiary and the principal of Cordilleran
Exploration Company ("Cordex"), which is conducting exploration and
project generation activities for Columbus Gold.
ABOUT COLUMBUS GOLD
Columbus Gold Corporation is a gold exploration and development
company operating principally in Nevada. The Company has an
experienced management group with a strong background in all
aspects of the acquisition, exploration, development and financing
of precious metal mining projects. Columbus Gold controls a 100%
interest, subject to royalties, in 22 gold projects strategically
located along or near Nevada's most productive gold trends. The
Company also holds a significant equity interest in Columbus Silver
Corporation, an exploration company with a growing portfolio of
silver projects in the Western United States.
Columbus Gold's and Columbus Silver's project activities are
managed on an exclusive basis by Cordilleran Exploration Company
(Cordex), which has a long and successful history of gold discovery
and mine development in the United States. Columbus Gold maintains
active generative (prospecting) and evaluation programs and, as a
key element of strategy, broadens exposure, minimizes risk and
maintains focus on high priority prospects while seeking industry
finance through joint ventures on selected projects. The Company
currently has 8 of its projects joint ventured to major and junior
mining companies.
ON BEHALF OF THE BOARD,
Robert F. Giustra
President & CEO, Director
This release contains forward-looking information and
statements, as defined by law including without limitation Canadian
securities laws and the "safe harbor" provisions of the US Private
Securities Litigation Reform Act of 1995 ("forward-looking
statements"), respecting the Company's exploration plans, and
Agnico-Eagle Mines Limited's ability to earn into the Summit
Project. Forward-looking statements involve risks, uncertainties
and other factors that may cause actual results to be materially
different from those expressed or implied by the forward-looking
statements, including without limitation the ability to acquire
necessary permits and other authorizations; environmental
compliance; decisions made by Agnico-Eagle that are outside of the
control of Columbus Gold; cost increases; availability of qualified
workers; competition for mining properties; risks associated with
exploration projects, mineral reserve and resource estimates
(including the risk of assumption and methodology errors);
dependence on third parties for services; non-performance by
contractual counterparties; title risks; and general business and
economic conditions. Forward-looking statements are based on a
number of assumptions that may prove to be incorrect, including
without limitation assumptions about: general business and economic
conditions; that Agnico-Eagle will decide to continue to earn into
the Summit Project; that Agnico-Eagle will continue to have
sufficient resources to earn into the Summit Project; the timing
and receipt of required approvals; availability of financing; power
prices; ability to procure equipment and supplies; and ongoing
relations with employees, partners and joint venturers. The
foregoing list is not exhaustive and we undertake no obligation to
update any of the foregoing except as required by law.
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: Columbus Gold Corporation Ray Lagace Investor
Relations 604-634-0970 or 1-888-818-1364 604-634-0971 (FAX)
info@columbusgoldcorp.com www.columbusgoldcorp.com