Update on Columbus Gold's Eastside Gold Discovery in Nevada
VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 8, 2014) -
Columbus Gold Corporation (TSX-VENTURE:CGT) ("Columbus Gold") is
pleased to provide the following update on its 100% controlled
Eastside gold project in Esmeralda County, Nevada.
Columbus Gold has located a large area of shallow oxide gold
mineralization still open to the south that measures about 1,000 by
600 meters (3,280 by 1,968 ft) at Eastside, that was not discovered
by early Nevada prospectors, although it is in the heavily
mineralized Walker Lane Gold Belt and within 20 miles of Tonopah,
and only a few miles from the Monte Cristo deposit at Gilbert.
Columbus drilling at Eastside has identified both: 1)
better-grade gold mineralization, generally 0.75 to 2.0 g/t gold
overall but containing narrower higher-grade zones (up to 3.3 m of
9 g/t) associated with faults, and also 2) lower-grade disseminated
mineralization irregularly distributed in breccias and
silicification referred to as "cloud" mineralization which
generally ranges from 0.12 to 0.5 g/t gold. The better-grade
mineralization, along the faults, cuts through the broad area of
"cloud" mineralization identified by surface mapping, sampling, and
drilling. Silver is directly associated with better gold in some of
the drill holes, but over narrower widths (best is 12.2 m of 54.1
g/t silver in ES-14). The better-grade drill intercepts are shown
in the attached assays tables:
www.columbusgoldcorp.com/i/nr/2014-05-08-assays.pdf
Three important fault structures have been identified so far,
one called the West Fault, or West Zone, and two parallel fault
structures collectively making up the East Zone. Gold occurs
associated with silicification, iron-staining, and brecciation
along these faults with gold values spreading away from the fault
planes as much as 30 meters (100 ft) into the wall rocks. The
following drill plans show all drilling to date with vertical
projections of gold intercepts in the angle holes:
www.columbusgoldcorp.com/i/nr/2014-05-08-drillplans.pdf
Better-grade gold mineralization along the West Zone fault has
been cut by drill holes ES-27, 31, 20, 33, 34, and 36. Drill
intercepts associated with the West Zone fault are shown on a
vertical, longitudinal projection in the attached link. The best
intercept was in ES-27 which cut 64 m of 1.43 g/t gold. Columbus
believes the West Zone gold mineralization is open and continues
up-dip to the surface, and remains open to depth and to the south
along strike. Outcrops are sparse on the surface above the West
Zone, which is mostly covered with thin talus and alluvium, but
Columbus has collected over 100 float and outcrop samples directly
above the West Zone drill intercepts along the 760 meters (2,500
ft) of strike indicated in the drilling. These samples range from
nil to 3.13 g/t gold. On the basis of the surface sampling,
mapping, and drilling already completed, Columbus believes the zone
of better-grade gold mineralization in the West Zone can be
expanded with more drilling.
A vertical longitudinal of the West Zone can be viewed at the
following link:
www.columbusgoldcorp.com/i/nr/2014-05-08-long-w.pdf
Better-grade gold mineralization has also been cut in the East
Zone by drill holes ES-19, 21, 32, 14, 4, 13, and possibly in
ES-26. The best intercept was in ES-14 which cut 53.3 m of 1.11 g/t
(including a total of 18.2 meters of +2.0 g/t gold within that
intercept). East Zone drilling is harder to interpret than the West
Zone as there are two faults in the East Zone, and there is an
abundance of "cloud" low-grade in all the holes in this area.
Surface mapping and sampling, along with the drilling, indicates
the East Zone faults extend well to the south of the current
drilling, and gold mineralization in the East Zone extends to the
surface above the drill intercepts. More drilling will be required
to fully delineate the better grade East Zone gold
mineralization.
A vertical longitudinal of the East Zone can be viewed at the
following link:
www.columbusgoldcorp.com/i/nr/2014-05-08-long-e.pdf
Columbus is in the process of permitting a program of road
building and 180 drill stations which would allow Columbus to drill
up to 300 holes. The drilling is designed to expand the
better-grade West and East Zones, particularly up dip and to the
south. Columbus also plans to test the large area of anomalous
surface sampling, particularly to the east of the existing drilling
(see above drill plan map). Columbus believes that other
mineralized structures, besides those now known in the East and
West Zones, which can host better-grade gold can be found by this
drilling. This drilling is planned to begin in the fall of
2014.
Eastside has district scale potential, covering 574 mining
claims over 11,480 acres or 46.3km2 (17.9 miles2). Columbus is
currently mapping the claim block at 1:4800 scale and beginning
geochemical sampling of altered areas. The main structures
controlling gold mineralization have been traced for 1.6 km (1
mile) south of the drilled area, along with coincident
silicification, quartz veining, and iron oxide staining. Sampling
of the south extension is in progress.
Eastside has outstanding infrastructure for mining and
processing; the project is 32 km (20 miles) west of Tonopah,
Nevada, and lies 9.7 km (6 miles) north of paved highway US 95, the
main road route from Las Vegas to Reno. A good gravel road,
maintained by Esmeralda County, leads from the highway through the
claim block. A major power transmission line passes through the
claim block. The drilling area is on the east flank of the Monte
Cristo Range and a portion of the claim block extends well into the
adjacent flats which would provide excellent operating sites. The
valley is known to have shallow water available in the same aquifer
which provided water for milling the Tonopah ores in the early
1900s. The area is high desert with sparse vegetation, and
year-round drilling is possible.
Photos and a location map showing infrastructure can be viewed
at the following link:
www.columbusgoldcorp.com/i/nr/2014-05-08-infrastructure.pdf
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 press release. Mr. Wallace is a director
of Columbus Gold and the principal of Cordilleran Exploration
Company (Cordex), which is conducting exploration and project
generation activities for Columbus Gold on an exclusive basis.
ON BEHALF OF THE BOARD,
Robert F. Giustra, Chairman & CEO
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.
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 drilling, mapping, sampling, metallurgical
studies, potential mining methods, the expectations that the West
Zone can be expanded and that other mineralized structures can be
found after more drilling and Columbus Gold's general exploration
plans. 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; cost increases; availability of qualified workers and
drill equipment; 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; the timing and receipt of required approvals;
availability of financing; power prices; ability to procure
equipment and supplies including without limitation drill rigs; and
ongoing relations with employees, partners and joint venturers. The
foregoing list is not exhaustive Columbus Gold undertakes no
obligation to update any of the foregoing except as required by
law.
Columbus Gold CorporationInvestor Relations604-634-0970 or
1-888-818-1364(604)
634-0971info@columbusgroup.comwww.columbusgroup.com