Marathon Gold Reports High Grade Drill Results from Golden Chest Mine, Idaho
TORONTO, June 9, 2011 /CNW/ --
TORONTO, June 9, 2011 /CNW/ - Marathon Gold Corp. (TSX:MOZ) is pleased
to report continuing results from the core drilling program underway at
the Golden Chest Mine near Murray, Idaho. The Golden Chest Mine is a
joint venture with New Jersey Mining Company (OTCBB:NJMC), where NJMC
is the operator of the venture.
Surface core drilling has focused on extending the current underground
reserve block for the Idaho vein down dip and to the north,. Drill hole
GC-11-6 intersected 2.0 meters (true thickness) of the Idaho vein
assaying 9.31 grams per tonne (g/t) gold. A total of 13 holes were
completed and assays have been received for 8 of these holes. Two
drill rigs will now focus on the definition and expansion of the open
pit resource.. Four of the open pit resource holes have been
completed, and veining has been intersected where expected.
In addition, an underground drilling program has been completed in the
Mine about 400 meters north of the Idaho vein in an area known as the
Katie-Dora area. Drilling in GCU-11-7 returned 54.6 g/t over 1.1
meters and GCU-11-8 returned 34.44 g/t over 1.4 meters in the Katie
vein system.. The Katie-Dora drilling experienced difficult drilling
conditions in a zone of highly fractured mineralized rock and that has
resulted in poor core recoveries in some of the drill holes.
Highlights:
-- GC-11-6 returned 9.31 g/t gold over 2.0 m (true thickness)
about 30 meters below the existing underground reserve.
-- Core drilling of the Idaho vein down dip of the No. 3 Level has
been successful in increasing the area of gold mineralization
down dip and to the north of the current SEC compliant
underground reserve.
-- A hanging wall vein above the Idaho vein called the 'H' vein
was intercepted four more times with encouraging values.
-- GCU-11-7 and GCU-11-8, intercepted 54.6 g/t over 1.1 meters and
34.44 g/t over 1.1 meters, respectively, and confirmed the
presence of high grade gold mineralization in the Katie-Dora
area of the mine near existing workings.
-- The open pit program has commenced where two drill rigs will
drill at least 56 holes with a goal of estimating a NI 43-101
compliant resource by year end.
Table 1 - Significant Drill Intersections at the Golden Chest Mine (all
grades are uncut):
____________________________________________________________________
|DDH | Vein |From(m)|To (m)|Core Width| True |Gold (g/t)|
| | | | | (m) |Thickness (m)| |
|________|________|_______|______|__________|_____________|__________|
|GC-11-1 |Idaho | 165.7| 170.3| 4.6| 4.4 | 6.25|
|________|________|_______|______|__________|_____________|__________|
|GC-11-2 |Idaho | 152.3| 154.9| 2.6| 2.6 | 33.00|
|________|________|_______|______|__________|_____________|__________|
|GC-11-3 |H | 138.7| 140.9| 2.2| 0.8 | 14.93|
|________|________|_______|______|__________|_____________|__________|
| |Idaho | 206.6| 213.2| 6.6| 5.2 | 2.08|
|________|________|_______|______|__________|_____________|__________|
| |includes| 206.6| 208.2| 2.6| 1.3 | 4.94|
|________|________|_______|______|__________|_____________|__________|
|GC-11-4 |H | 87.9| 92.0| 4.1| 1.9 | 2.04|
|________|________|_______|______|__________|_____________|__________|
| |Idaho | 177.3| 179.3| 2.0| 1.6 | 2.18|
|________|________|_______|______|__________|_____________|__________|
|GC-11-5 |H | 138.8| 141.2| 2.4| 0.8 | 2.82|
|________|________|_______|______|__________|_____________|__________|
| |Idaho | 199.2| 204.3| 5.1| 4.0 | 2.03|
|________|________|_______|______|__________|_____________|__________|
|GC-11-6 |Idaho | 194.4| 197.5| 3.1| 2.0 | 9.31|
|________|________|_______|______|__________|_____________|__________|
|GC-11-7 |Idaho | 264.2| 270.0| 5.8| 3.3 | 2.30|
|________|________|_______|______|__________|_____________|__________|
| |includes| 264.2| 266.4| 2.2| 1.3 | 5.47|
|________|________|_______|______|__________|_____________|__________|
|GC-11-8 |H | 85.7| 87.8| 2.1| 1.1 | 2.12|
|________|________|_______|______|__________|_____________|__________|
| |Idaho | 180.8| 186.6| 5.8| 5.2 | 2.06|
|________|________|_______|______|__________|_____________|__________|
| |includes| 180.8| 183.8| 3.0| 2.7 | 2.94|
|________|________|_______|______|__________|_____________|__________|
|GCU-11-7|Katie? | 7.0| 8.1| 1.1|unknown((1)) | 54.60|
|________|________|_______|______|__________|_____________|__________|
|GCU-11-8|Katie? | 13.1| 14.5| 1.4|unknown((1)) | 35.44|
|________|________|_______|______|__________|_____________|__________|
(1) True thickness cannot be calculated until more vein intersections
are drilled.
GC-11-1 and GC-11-2 were previously released.
Katie-Dora drill holes GCU-11-3, GCU-11-5, GCU-11-6, GCU-11-9 and
GCU-11-11 did not return significant gold values.
The intercepts from the Idaho vein range from 65 to 155 meters
vertically below the No. 3 level which is the lowest level developed on
the Idaho vein. The drilling completed this year on the Idaho vein has
defined an area about 100 meters north and 100 meters down dip of the
current underground reserve block.
Phillip Walford, President of Marathon Gold Corp. commented 'The
intersections of the Idaho vein demonstrate that the structure is
robust and does have high grade areas typical of lode gold veins. More
work is justified in delineating the higher grade areas. The drill
results in the north end of the Mine are consistent with high grades
which were historically mined, and so are very encouraging. Our
current drilling program, which is designed to define an open pit
resource this year, is very important in the overall potential
development of the property. We have really just started systematic
exploration of the Mine and property.'
The Golden Chest Mine
The Golden Chest Mine is located two miles east of Murray, Idaho within
the gold belt of the Coeur d'Alene Mining District. Golden Chest LLC
operates the mine and is owned 50% by NJMC and 50% by MOZ. A surface
and underground drilling program of at least 10,000 meters is planned
for 2011 with the goal of producing a NI 43-101 compliant resource
estimate for the property.
The mine has over 3,900 meters of underground workings and has the
permits necessary to drill and operate on the deposit. The property
includes 24 patented mining claims and 70 unpatented mining claims
covering 497 hectares. The patented claims that cover the mine workings
have mineral rights and surface rights enabling the JV to work easily
on the mine property.
Gold mineralization can be found along at least 1,500 meters of strike
length along the Idaho fault on the property. The veins in the north
end of the mine were historically mined at higher grades, estimated to
have been 17 g/t gold, whereas the Idaho vein in the south end of the
mine was thicker but lower in grade (175 m on the main level grading
6.71 g/t gold). The lowest major level of the Golden Chest mine is the
No. 3 level, which is near the valley bottom elevation. The drilling
to-date has only probed the Idaho vein about 160 meters below this
level in a district known for hosting orebodies that outcrop on surface
and continue at depth for 2,500 meters.
The Idaho vein has an SEC compliant proven and probable underground
reserve of 242,000 tonnes grading 5.10 g/t Au containing 40,000 ounces
(ozs) of gold. The Idaho vein outcrops and a measured and indicated
open pit resource of 1.2 Mt grading 1.35 g/t Au has been estimated
with an additional inferred resource of 5.5 Mt grading 0.98 g/t gold.
The open pit resource was estimated in early 2010 using a cutoff grade
of 0.5 g/t. The resource is not NI-43-101 compliant.
There will be two drills working this summer on the surface to define
the open resource on the Idaho vein. The underground drilling has been
suspended to allow the rehabilitation of the main drift of the No. 3
level to begin. This rehabilitation effort will consist of ground
repair, the installation of services, and the excavation of drill
stations in the high grade Kati-Dora area in preparation for
underground drilling this winter.
All of the samples were analyzed by American Analytical of Osburn,
Idaho, an ISO certified laboratory. Samples were analyzed using lead
collection fire assay with a gravimetric finish.
Marathon Gold President and CEO, Phillip Walford, is the Company's
Qualified Person on the Golden Chest JV and has reviewed and verified
the contents of this news release
About Marathon Gold Corporation
Marathon Gold Corporation is one of Canada's newest gold resource
development companies, with projects located in the mining friendly
province of Newfoundland, Labrador and North Idaho in the USA.
Marathon Gold has a tiered project pipeline consisting of early stage
exploration to advanced resource development projects which can be
built into mineable reserves. Marathon Gold is continually evaluating
new gold resource development projects of merit that are located within
the Americas. Marathon Gold's focused and low-cost approach to
resource development and exploration has an established record of
delivering rapid growth. Marathon Gold is the operator of the
Valentine Lake Project under the sub-option and joint venture agreement
('OJVA') between Mountain Lake Resources Inc. and Marathon Gold owns a
50% interest in Golden Chest LLC, owner of the Golden Chest mine in
North Idaho.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
Except for statements of historical fact relating to Marathon, certain
information contained herein constitutes 'forward-looking statements'.
Forward-looking statements include statements that are predictive in
nature, depend upon or refer to future events or conditions, or include
words such as 'expects', 'anticipates', 'plans', 'believes',
'considers', 'intends', 'targets', or negative versions thereof and
other similar expressions, or future or conditional verbs such as
'may', 'will', 'should', 'would' and 'could'. We provide
forward-looking statements for the purpose of conveying information
about our current expectations and plans relating to the future and
readers are cautioned that such statements may not be appropriate for
other purposes. By its nature, this information is subject to inherent
risks and uncertainties that may be general or specific and which give
rise to the possibility that expectations, forecasts, predictions,
projections or conclusions will not prove to be accurate, that
assumptions may not be correct and that objectives, strategic goals and
priorities will not be achieved. These risks and uncertainties include
but are not limited to those identified and reported in Management's
Discussion and Analysis for the year ended December 31, 2009.
Other than as specifically required by law, we undertake no obligation
to update any forward-looking statement to reflect events or
circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events, whether as
a result of new information, future events or results otherwise.
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Phillip Walford, President,
416 987 0711