New Guinea Gold Announcement: Coppermoly Demonstrates Major Copper System at Nakru-1 With Drill Intersection of 190.85m at 1.01% Copper and 0.36g/t Gold
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 07/12/10 -- New Guinea Gold Corporation's (NGG or the Company) (TSX VENTURE: NGG)(FRANKFURT: NG8) associate company Coppermoly Ltd announced on July 12, 2010, that J/V partner, Barrick (PNG Exploration) Ltd, in its first diamond drill hole at Nakru-1 intersected excellent copper plus gold mineralisation over a drill length of 190.85m from 74.45m to 265.30m down hole. Assays are pending to final hole depth of approximately 360m.
Bob McNeil CEO and Chairman commented: 'This is an excellent result for the first hole drilled by Barrick at the Nakru 1 property. Full results are given in Coppermoly's ASX release below'.
NGG has a 18.57% interest in Coppermoly (25,473,684 shares). Current market value is AUD$3.44 million.
The information in this release was prepared under the direction of Peter A. McNeil a Member of the Australian Institute of Geoscientists, Chairman of Coppermoly Ltd, and a 'qualified person' as defined by National Instrument ('NI') 43-101. Mr McNeil has read and approves the information contained herein.
For further information on this release or on other NGG projects such as the Sinivit Gold Mine, contact Forbes West toll free at (888)6555532, email forbes@sherbournegroup.ca, info@newguineagold.ca, or access our website - www.newguineagold.ca.
ON BEHALF OF THE BOARD
R.D.McNeil, CHAIRMAN & CEO
Forward Looking Statements - Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of NGG, including, but not limited to the impact of general economic conditions, industry conditions, volatility of commodity prices, risks associated with the uncertainty of resource and reserve estimates, currency fluctuations, dependence upon regulatory approvals, the availability of future financing and exploration risk. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.
Coppermoly's release follows:
12TH July 2010 ASX Announcement ASX Code: COY
-- Major Copper Mineralised System Demonstrated by Drilling at Nakru-1,
With 190.85m Grading 1.01% Copper + 0.36 g/t Gold Including:
-- 13.55m of 2.8% copper + 0.23g/t gold in supergene mineralisation
from 74.45m
-- 10.75m barren interval
-- 166.56m of 0.93% copper + 0.4 g/t gold, finished in primary
mineralisation
-- 272.3m to the end of hole (approximately 360 m) are still being
analysed
-- The copper - gold mineralisation correlates directly with the 3D -
Induced Polarisation geophysical anomaly.
-- The main section of the 3D - Induced Polarisation anomaly at nearby
Nakru 2 Prospect is yet to be drilled. Previous drill results from the
anomaly margins are 27.7m of 1.90% copper and 73m of 0.96% copper,
demonstrating the very high prospectivity of the Exploration Licence.
Hole BWNBDD0001 (Refer to Figure 1) was drilled at EL 1043 - Nakru 1 Prospect by a Barrick Gold Corporation subsidiary under an agreement with Coppermoly Ltd. The agreement allows Barrick to spend A$20 million to earn 72% of EL 1043 (Nakru), EL1077 (Simuku) and EL1445 (Talelumas). Coppermoly Ltd retains 100% ownership until earn-in is complete.
The diamond core hole very successfully demonstrated significant grades and thicknesses of copper and gold mineralisation (cut-off grade of 0.2% copper), as noted in Table 1.
Table 1: Mineralised Intercepts in diamond core hole BWNBDD0001
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Mineralisation Depth From Intercept Width
Style (metres) (metres) Copper (%) Gold (g/t)
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Secondary 74.45 13.55 2.80 0.23
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Including 76.00 3.00 7.51 0.57
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Primary 98.75 166.55 0.93 0.40
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Including 98.75 22.25 1.47 0.13
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and 147.20 5.3 1.87 0.33
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and 194.00 7 2.37 1.29
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and 206 24 1.35 1.03
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Diamond drillhole BWNBDD0001 is located at 222202m E and 9339109m N and it was terminated at 361.1m depth due to poor ground conditions. The hole is 200m east-northeast of drillhole NAK017 (Refer to Figure 2), which intersected 210.1 metres grading 0.45% copper (including 8.8m grading 1.95% copper from 61.2m depth) on the southwest margin of the 3D - Induced Polarisation anomaly.
The second hole currently underway at Nakru 1 and is designed to test the eastern flank of the Induced Polarisation anomaly.
NOTE: To view FIGURE 1: Cross Section Showing Zones of Mineralisation, please visit the following link - http://media3.marketwire.com/docs/ngg10712.pdf
NOTE: To view FIGURE 2: Geophysical Induced Polarisation Anomaly with Drillholes and Surface Trench Results, please visit the following link - http://media3.marketwire.com/docs/NGG20712.pdf
On behalf of the board,
Peter McNeil, CHAIRMAN
For further information please contact Peter Swiridiuk or Maurice Gannon on (07) 5592 1001 or visit www.coppermoly.com.au,
The information in this report that relates to Exploration Results and is based on information compiled by Peter Swiridiuk, who is a Member of the Australian Institute of Geoscientists. Peter Swiridiuk is a consultant to Coppermoly Ltd and employed by Aimex Geophysics. Peter Swiridiuk has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Peter Swiridiuk consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
Notes:
-- All stated intersections are weighted assay averages ((Sum of each total
interval x grade) / Total length of intersection).
-- Drillhole samples from drillholes were transported to the camp site,
logged, orientated and sampled between 1m and 2m intervals from core
split by saw. The split samples are then transported to the town of
Kimbe where they are air freighted to Intertek in Lae (PNG) for sample
preparation. Samples are dried to 106 degrees C and crushed to less than
2 mm. Samples greater than 2kg are rifle split down to 1.5kg and
pulverised to 75 microns. The final 300g sized pulp samples are then
sent to Intertek laboratories in Jakarta for geochemical analysis.
Intertek analyse for gold using a 50g Fire Assay with Atomic Absorption
Spectroscopy finish. Other elements are assayed with ICPAES Finish.
Copper values greater than 0.5% are re-assayed. Intertek laboratories
have an ISO 17025 accreditation. Unused half core is stored on site
before being transported to the town of Kimbe for permanent storage.
-- Drillhole BWNBDD0001 Drill Core is PQ, HQ and NQ in size with core
recovery predominantly 100%.
-- Drillhole co-ordinates are given in UTM Zone 56, AGD66 Datum.
-- Mineralised intersections are quoted as downhole widths.
Neither 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:
New Guinea Gold Corporation
Forbes West
Toll Free: (888) 655-5532
forbes@sherbournegroup.ca, info@newguineagold.ca
www.newguineagold.ca