Z-Gold Adds to Abitibi Gold Property
August 25 2010 - 11:10AM
Marketwired
Z-Gold Exploration Inc. (TSX VENTURE: ZGG) ("Z-Gold") is pleased to
announce the acquisition of a group of claims contiguous to its
Abitibi Gold Property in Munro Twp, Ontario. The property is
located in the famous Timmins-Porcupine mining camp within
proximity to past and existing producers.
The Abitibi Gold Extension II Property (AEP) consists of 24
unpatented Mining Claims (29 units) located in the Munro Township
in the Timmins-Porcupine Mining Camp. The property is located 20.9
air Kilometres from the town of Matheson. The property is easily
accessible via Highway 101 and in the North, thru bush road through
the property itself.
Z-Gold will acquire an additional 29 unit claim package known as
the Abitibi Gold Extension II in the Munro Township. To acquire a
100 % interest in the property, the Company will pay $25,000 CDN
and issue 500,000 common shares at the signature of the agreement
and Z-Gold will have to pay $25,000 CDN and issue 500,000 common
shares at the first anniversary of the agreement.There currently
exist a 2% NSR on the property in favor of a former owner. This
agreement is subject to regulatory approvals.
Gold exploration activity in the general Munro Township Region
has accelerated as the result of exploration successes in
neighbouring townships and along the regional strike to the east.
In Hislop Township, Apollo Gold is currently mining their Black Fox
deposit. The current proven and probable reserves are 6,460,000
tonnes grading 6.4 grams gold per tonne (Apollo Gold website).
The gold zones in Hislop (immediate vicinity; South West of
Munro Twp) and Guibord Townships (immediate vicinity; South of
Munro Twp) are associated with the regional Destor-Porcupine Fault
Zone and / or associated splay faults that trend through the region
to the south of and generally parallel to the Pipestone Fault Zone.
Further to the east in the Harker & Holloway Townships Area (20
km to the East of Munro Township) where the Pipestone Fault Zone
joints with the Destor-Porcupine Fault Zone there are two gold
mines which belong to St. Andrews Goldfields.
Two old mines , Holt McDermott and Harker-Holloway that are now
owned by St. Andrew Goldfields have historic production (1988-2004)
totaling 8.18 millions tons at a grade of 0.162 opt Au(1) (7.42
million tonnes @ 5.6 gpt Au). Measured and indicated resources
reported in 2006 for the Holt Mine are 2.99 million tonnes at a
grade of 7.3 gpt Au(2). Production at the Holloway Mine to 2004 is
reported as 4.73 million tons at a grade of 0.166 opt Au(1) (4.29
million tonnes @ 5.7gpt Au). Measured and indicated resources
reported in 2006 for the Holloway Mine are 1.04 million tonnes at a
grade of 7.8 gpt Au(2).
The Abitibi Greenstone Belt is well known to have hosted a large
number of world class gold mines both large and small. Current and
past producers in the area include the Croesus Mine (1.5 km to the
South West of the Abitibi Gold Property (AGP)), St. Andrews
Goldfields (20 km to the East of the AEP), Apollo Gold (10 km to
the South West of the AGP), and the Harker Holloway Gold Mine (20
km to the East of the AEP).
The Destor-Porcupine fault zone (DPFZ) extends 200 km from
Timmins, Ontario, to Destor, Quebec. The DPFZ is part of Abitibi
Greenstone belt, known as the largest and most prolific Archean
greenstone belt in the world. In Timmins, mines are characterized
by richly mineralized and extremely deep deposits with relatively
short strike lengths but large down-plunge extensions. They have
plunge lengths of up 2 km and most remain open at depth.
Mines in the Timmins-Porcupine camp have produced over 70
millions ounces of gold (Timmins Resident Geologist Annual Report
2010, MNDM Website). Recent discoveries have added another 20
millions ounces of mineable reserves : Goldcorps Hoyle Pond
complex, as well as the Lakeshore's Timmins West mine, and their
Thornloe discovery bodes well for the Timmins mining camp.
Detailed prospecting has been conducted on the property since
1984. Said exploration has included the re-evaluation of a number
of previously known gold-bearing quartz vein zones; and has
resulted in the discovery of additional associated gold zones as
well as previously undiscovered gold-bearing areas. A number of
these auriferous zones have been tested by old pits and shallow
prospect shafts. More recent exploration during the period 1984-94
has included stripping/trenching/sampling; geophysical surveys; and
follow-up, limited diamond drilling.
This gold-bearing vein in places contains abundant blebs and
coarse needles (laths) of arsenopyrite. Subsequent examinations
have shown that visible gold (spectacular in places) is present in
both the flat-lying vein and in thin, cross-cutting quartz
stringers within the highly altered (carbonatized) basaltic wall
rocks. The higher-grade gold values appear to be associated with
zones of abundant arsenopyrite present in both the quartz veins and
the adjacent wallrocks. Accessory minerals also present in the
quartz veins are minor chalcopyrite, sphalerite and fuchsite.
About Z-Gold Exploration Inc.
The head office of Z-Gold is located at 15, rue Gamble East,
Suite 204, Rouyn-Noranda, QC, J9X 3B6. Z-Gold Exploration Inc. is
exploring for gold and base metals in the Abitibi Greenstone
Belt.
Z-Gold has as its flagship property the Abitibi Gold Property
located in Munro Township in the famous Timmins mining camp. There
are many surface gold showings that require investigation by ground
geophysical surveys and followed up by a diamond drilling program.
A recent airborne survey has successfully outlined many EM and
magnetic structural features. A geophysical feature similar to the
Croesus mine has been identified. The Abitibi Gold Property
consists of five mining leases containing 85 claims (91 units)
located approximately 86 kilometres east northeast of the city of
Timmins in the Larder Lake Mining Division, Ontario.
Z-Gold Exploration Inc. is a publicly listed company trading on
the TSX Venture (ZGG).
This press release was prepared by Z-Gold Exploration Inc.
Neither the TSX Venture Exchange Inc nor its Regulation Services
Provider (as that term is defined in the Policies of the TSX
Venture Exchange) has reviewed or accepts responsibility for the
adequacy or accuracy of this release.
This document may contain forward-looking statements relating to
Z-Gold's operations or to the environment in which it operates.
Such statements are based on operations, estimates, forecasts and
projections. They are not guarantees of future performance and
involve risks and uncertainties that are difficult to predict and
may be beyond Z-Gold's control. A number of important factors could
cause actual outcomes and results to differ materially from those
expressed in forward-looking statements, including those set forth
in other public filling. In addition, such statements relate to the
date on which they are made. Consequently, undue reliance should
not placed on such forward-looking statements. Z-Gold disclaims any
intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, save and except as may be required by applicable
securities laws.
(1) Historic production figures were obtained from the Ontario
MNDM website (www.mndm.gov.on.ca). The original imperial tons and
ounce per ton (opt) grades are quoted and the equivalent metric
tonnes and grams per tonne (gpt) grades indicated in
parentheses.
(2) Resources for St. Andrew Goldfield's Holt and Holloway Mines
are quoted form St. Andrew Goldfield's website
(www.standrewgoldfields.com) and the company's NI 43-101 Compliant
Technical Report dated October 2, 2006. Only Measured and Indicated
Resources are quoted. Inferred Resources have not been quoted.
Contacts: Rodrigue Tremblay President and CEO 800-388-8668
819-797-8668 (FAX) zgoldexploration@gmail.com