Crocodile Gold Announces New Uranium, Platinum, Palladium and Gold Discoveries From JV Partner Thundelarra On Two Previously Untested Targets
TORONTO, ONTARIO -- (Marketwire) -- 11/10/10 -- Crocodile Gold Corp. (TSX: CRK)(OTCQX: CROCF)(FRANKFURT: XGC) ('Crocodile Gold' or the 'Company') is pleased to announce reverse circulation ('RC') drill results completed by its joint venture partner, Thundelarra Exploration Ltd ('Thundelarra') on two previously untested targets at the Hayes Creek Project located approximately 140 kilometres south of Darwin in the Northern Territory of Australia (refer to Figure 1 below). The Hayes Creek Project includes the previously drilled Thunderball prospect and two new targets named the Moonraker and Goldeneye prospects (refer to Figure 2 below).
Crocodile Gold has an agreement with Thundelarra in which Thundelarra has the right to explore for uranium on certain Crocodile Gold tenements while Crocodile Gold retains all other metal rights including precious metals and base metals. Crocodile Gold has 100% of the gold rights for drill results reported on the Goldeneye Prospect while Crocodile Gold has a 30% free carried interest in the uranium rights until development through the agreement with Thundelarra. The drillhole results on the Moonraker prospect in hole TPCRC115 are held on ground where Crocodile Gold holds a 20% interest on all metals. The location of the properties included in the joint venture and of the Hayes Creek Project can be viewed in Figure 1 below.
Thundelarra has discovered anomalous gold, platinum and palladium associated with the uranium mineralization for the first time within the Hayes Creek project area. Full drill results are shown in Table 1 below.
The Moonraker prospect is located roughly south along the strike of the Hayes Creek structural corridor which hosts Crocodile Gold's current mining areas of Princess Louise and North Point. The Goldeneye prospect is located just to the southeast of the same structural corridor. Both prospects are located in an area of numerous past producing mines and near the historic open pit called Golden Dyke which historically produced around 28,000 ounces of gold since the 1980s. Approximately 41,000 ounces have been mined from pits in the area including Golden Dyke, Afghan Gully, Davis 2, Langley and Fisher Lode since the early 1980s.
Thundelarra plans to recommence drilling at the Thunderball prospect shortly.
Table 1: Hayes Creek Project Drill Results
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Hole ID Grid Coordinates Survey Data Interval
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Grade
From To Interval Grade (g/t Au+
Easting Northing Azimuth Dip (m) (m) (m) (% U3O8) Pt+Pd)
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GOLDENEYE PROSPECT (70% Uranium, 100% Base and Precious Metals Crocodile
Gold)
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TPCRC107 770406 8498212 -60 24 16 20 4 - 1.06
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and 30 32 2 0.02 0.18
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and 35 47 12 0.03 0.13
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including 39 40 1 0.12 0.09
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and 51 52 1 - 0.92
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TPCRC109 770403 8498205 -90 0 24 36 12 - 0.95
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including 28 32 4 0.01 1.60
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and 40 43 3 - 0.91
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and 44 47 3 0.28 0.43
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including 44 45 1 0.75 1.11
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and 49 50 1 0.02 0.10
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TPCRC111 770325 8498282 -60 31 24 28 4 0.01 BLD
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and 29 35 6 0.04 BLD
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including 33 34 1 0.10 BLD
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TPCRC112 770321 8498275 -90 0 15 19 4 0.01 BLD
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MOONRAKER PROSPECT (Intersection on ground with 20% Crocodile Gold interest)
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TPCRC115 773701 8502378 -60 114 36 38 2 0.02 0.01
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and 41 43 2 0.09 0.03
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including 41 42 1 0.15 0.04
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Note: BLD = Below Lower Detection Limit
Further details on this press release can be viewed at the Thundelarra web site http://www.thundelarra.com.
About Crocodile Gold
Crocodile Gold is a Canadian company with operating gold mines in the Northern Territory of Australia and a land package of over 2,500 km(2). Crocodile Gold is currently mining from the Howley, North Point and Princess Louise open pit mines and the Brocks Creek underground mine. Crocodile Gold commenced mining in November 2009 and announced its first gold pour in December 2009 at its Union Reefs Mill. The Company is currently developing the Cosmo underground mine. Ore is currently processed at the 2.4 million tonne per year Union Reefs Mill. Crocodile Gold has 3.3 million ounces of NI 43-101 compliant measured and indicated resources (47 million tonnes at an average grade of 2.2 g/t gold) and 1.9 million ounces of inferred resources (25 million tonnes at an average grade of 2.3 g/t gold) (see the Amended Annual Information Form dated November 5, 2010 and Crocodile Gold press releases dated September 8, 2009, January 25, 2010 and October 14, 2010). The Company has an exploration program in place with a main focus on the Cosmo/Howley corridor which covers a five kilometre strike length of a 25 kilometre trend.
Qualified Person
Mark Edwards, Geology Manager of Crocodile Gold Australia Operations is a 'qualified person' as such term is defined in National Instrument 43-101 and has reviewed and confirmed the technical information and data included in this press release.
Drill samples were prepared by Amdel in Darwin with analysis by Ultratrace in Perth.
Cautionary Note
Certain information set forth in this press release contains 'forward-looking statements', and 'forward-looking information under applicable securities laws. Except for statements of historical fact, certain information contained herein constitutes forward-looking statements which include management's assessment of Crocodile Gold's future plans, operations and mineral resource estimates and are based on Crocodile Gold's current internal expectations, estimates, projections, assumptions and beliefs, which may prove to be incorrect. Some of the forward-looking statements may be identified by words such as 'expects' 'anticipates', 'believes', 'projects', 'plans', and similar expressions. These statements are not guarantees of future performance and undue reliance should not be placed on them. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause Crocodile Gold's actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to: liabilities inherent in mine development and production; geological, mining and processing technical problems; Crocodile Gold's inability to obtain required mine licenses, mine permits and regulatory approvals required in connection with mining and mineral processing operations; competition for, among other things, capital, acquisitions of reserves, undeveloped lands and skilled personnel; incorrect assessments of the value of acquisitions; changes in commodity prices and exchange rates; currency and interest rate fluctuations; various events which could disrupt operations and/or the transportation of mineral products, including labour stoppages and severe weather conditions; the demand for and availability of rail, port and other transportation services; the ability to secure adequate financing and management's ability to anticipate and manage the foregoing factors and risks. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Crocodile Gold undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements.
To view the Figures associated with this Press Release, please visit the following link: http://media3.marketwire.com/docs/crkFIGS1to5.pdf.
Contacts:
Crocodile Gold Corp.
Michael Hoffman
President and CEO
416-861-2964
Crocodile Gold Corp.
Ashleigh Clelland
Manager, Investor Relations
416-861-5899
info@crocgold.com