Corvus Gold Provides Update on LMS, West Pogo and Terra Gold Projects in Alaska
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 03/02/11 -- Corvus Gold Inc. ('Corvus' or the 'Company') (TSX: KOR) is pleased to provide an update from its joint venture partners on exploration work to be carried out at its LMS, West Pogo and Terra gold projects in Alaska. In 2011, over 6,000 metres is expected to be drilled at LMS and a further 1,500 metres to be drilled at West Pogo. In addition, the high-grade Terra gold project is being advanced towards potential near-term gold production for an anticipated 30,000 ounce per year operation. The Company's joint ventures are operated through Raven Gold Alaska Inc., its wholly owned Alaska subsidiary ('Raven Gold').
LMS Gold Project
Starting in March, Raven Gold's joint venture partner at the LMS project - First Star USA Inc., an Alaskan subsidiary of First Star Resources Inc. ('First Star') - has advised that it intends to carry out a winter drilling program consisting of over 1,000 metres of oriented core, which it proposes will be followed up with an aggressive summer drilling program of 5,000 metres. First Star intends to use the results from these programs for a new resource estimate on the project by the end of 2011. Further information on the LMS Project can be found at http://www.corvusgold.com/projects/alaska/lms/.
West Pogo Project
First Star has advised that it intends to carry out a 3D Induced Polarization (IP) Survey in May 2011 as well as geological mapping and geochemical surveys in June, with the aim of finding targets, testing areas presumed to be underlain by favorable geology, and expanding the geochemical expression of mineralized zones. In July, First Star plans to drill over 1,500 metres of oriented core to test an east-northeast striking gold and silver anomalous zone in order to better define the project. Further information on the LMS Project can be found at http://www.corvusgold.com/projects/alaska/west_pogo/.
Terra Project
On March 1, 2011, Terra Mining Corporation - whose wholly-owned Alaska subsidiary, Terra Gold Corporation ('Terra Alaska'), is Raven Gold's joint venture partner on the Terra project - was acquired by WestMountain Index Advisor, Inc. ('WestMountain'). With the acquisition, WestMountain has acquired, through its indirect ownership of Terra Alaska, the right to earn a 51% interest in the Terra Gold Project from Raven Gold by spending a total of $6.0 million. WestMountain can further increase its ownership to 80% with a $9.5 million capital investment over a four-year period.
The Terra Gold Project is a high-grade gold vein system with a current National Instrument 43-101 compliant Inferred Resource of 428,000 tonnes at 12.2 g/t Au (using a cutoff grade of 5.0 g/t Au) for contained metal content of 168,000 ounces. The project's primary focus is the Ben Vein, where 28 drill holes completed to date have returned 111 vein intersections of over 3 g/t gold. Initial metallurgical work has indicated a high recovery rate via gravity circuit, illustrating potential for near-term production.
WestMountain has advised that it is currently developing its 2011 drilling program to further define the gold vein along strike and at depth. Given the high-grade nature of the gold veins, coupled with the favourable mining configuration and gravity recovery characteristics, the deposit may be amenable to near-term gold production for an anticipated 30,000 ounce per year operation. Further information on the Terra Project can be found at http://www.corvusgold.com/projects/alaska/terra/.
About Corvus Gold Inc.
Corvus Gold Inc. is a resource exploration company focused in Alaska and Nevada which controls a number of exploration projects representing a spectrum of early-stage to advanced gold projects. Corvus is committed to building shareholder value through new discoveries and leveraging those discoveries via partner funded exploration work into carried and or royalty interests that provide shareholders with exposure to gold production.
On behalf of Corvus Gold Inc.
Jeffrey A. Pontius, Chairman and Chief Executive Officer
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements and forward-looking information (collectively, 'forward-looking statements') within the meaning of applicable Canadian and US securities legislation. All statements, other than statements of historical fact, included herein including, without limitation, statements regarding the anticipated content, commencement and cost of exploration programs, anticipated exploration program results, the discovery and delineation of mineral deposits/resources/reserves, the potential for the any mining at or gold production from the Terra project, business and financing plans and business trends, are forward-looking statements. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. In addition, information with respect to the proposed activities of the Company's joint venture partners on the Terra, LMS and West Pogo properties has been provided by the respective joint venture partners and, as such activities are not within the control of the Company, the Company take no responsibility for the accuracy of such statements. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward looking statements as a result of various factors, including, but not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, variations in the market price of any mineral products the Company may produce or plan to produce, the Company's inability to obtain any necessary permits, consents or authorizations required for its activities, the Company's inability to produce minerals from its properties successfully or profitably, to continue its projected growth, to raise the necessary capital or to be fully able to implement its business strategies, and other risks and uncertainties disclosed in the Company's latest interim Management Discussion and Analysis and filed with certain securities commissions in Canada. All of the Company's Canadian public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including the technical reports filed with respect to the Company's mineral properties.
This press release is not, and is not to be construed in any way as, an offer to buy or sell securities in the United States.
Contacts:
Corvus Gold Inc.
Shirley Zhou
Manager - Corporate Communications
1-888-770-7488 (toll free) or (604) 638-3246
(604) 408-7499 (FAX)
szhou@corvusgold.com
www.corvusgold.com