Spanish Mountain Gold Reports Final Assay Results From In-fill Drilling Program-130.43m Grading 1.31 g/t Gold in Hole DH-1130
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 06/19/12 -- Spanish Mountain Gold Ltd. ("the Company") (TSX VENTURE: SPA) is pleased to announce the remaining results from the in-fill drilling program recently completed within the Main Zone of its Spanish Mountain Gold Project (the "Project") located in central British Columbia, Canada. The Company has now received all assay data from drill holes designed to reclassify gold mineralization from the Inferred to Measured and Indicated (M&I) categories.
Highlights of Drilling Results:
-- 130.43 metres (m) grading 1.31 grams per tonne (g/t) gold including
59.93m grading 2.40 g/t gold, a second interval of 31.00m grading 1.09
g/t gold and a third interval of 25.95m grading 1.44 g/t gold including
10.50m grading 3.27 g/t gold in hole DH-1130
-- 51.00m grading 2.88 g/t gold including 11.08m grading 11.76 g/t gold and
3.48m grading 36.6 g/t gold in hole DH-1128
-- 37.25m grading 4.12 g/t gold including 19.75m grading 6.95 g/t gold in
DH-1109
-- 131.95m grading 0.64 g/t gold including 40.50m grading 1.22 g/t gold in
hole DH-1113
-- 121.00m grading 0.64 g/t gold including 40.29m grading 1.01 g/t gold in
hole DH-1093
-- 67.50m grading 0.64 g/t gold including 17.00m grading 1.67 g/t gold in
hole DH-1094
-- 100.50m grading 0.71 g/t gold including 61.00m grading 1.03 g/t gold in
hole DH-1123
-- 131.36m grading 0.92 g/t gold including 91.36m grading 1.17 g/t gold in
hole DH-1126
Significant assay results are contained in Table 1 appended to this news release. A map showing the location of drill holes reported in this release may be found on the Company website: http://www.spanishmountaingold.com/s/SpanishMountain.asp?ReportID=531669.
Discussion of Results
The objective of the in-fill drilling program within the Project's Main Zone is to support a further reclassification of Inferred gold ounces, as previously reported in a resource statement on November 15, 2011, to Measured and Indicated ounces.
An updated resource estimate for the Main Zone incorporating all the results from the current drill program will be prepared. It is anticipated that this NI 43-101 compliant resource estimate will be finalized during the summer.
Judy Stoeterau, P.Geo., the Company's Vice-President of Geology and the qualified person as defined under National Instrument 43-101, has reviewed the contents of this news release. All core samples were assayed at ALS Chemex Laboratory in Vancouver, BC. The Company has retained Discovery Consultants of Vernon, BC, to monitor independently the quality control and quality assurance (QC/QA) data on the Spanish Mountain Gold Project. Analytical precision and accuracy are being measured and monitored by the use of duplicate core, prep and pulp samples and by standards (reference material). Possible contamination during the sampling and processing procedures is being monitored by the insertion of blank samples.
About Spanish Mountain Gold
Spanish Mountain Gold Ltd. is focused on the responsible development of its flagship Spanish Mountain gold project in southern central British Columbia, Canada. The Company has a strong cash position with no debt and owns 100% of four gold properties located in British Columbia. Additional information about the Company is available on its website: www.spanishmountaingold.com.
On Behalf of the Board,
SPANISH MOUNTAIN GOLD LTD.
Brian Groves, President and CEO
FORWARD-LOOKING STATEMENTS: Certain of the statements and information in this press release constitute "forward-looking statements" or "forward-looking information" Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects", "anticipates", "believes", "plans", "estimates", "intends", "targets", "goals", "forecasts", "objectives", "potential" or variations thereof or stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information.
Forward-looking statements or information relate to, among other things, the timing and scope of NI 43-101 technical reports in respect of the Spanish Mountain Gold Project, including a new PEA and subsequent feasibility study.
Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: results from infill and exploration drilling, geotechnical studies, metallurgical studies, planning of tailings facilities, access to power supply, fluctuations in the spot and forward price of gold or certain other commodities; timing of receipt of permits and regulatory approvals; the sufficiency of the Company's capital to finance the Company's operations; geological interpretations and potential mineral recovery processes, changes in national and local government legislation, taxation, controls, regulations and political or economic developments in Canada or other countries in which the Company may carry on business in the future; the uncertainties involved in interpreting geological data; business opportunities that may be presented to, or pursued by, the Company; operating or technical difficulties in connection with mining activities; the speculative nature of gold exploration and development, including the risks of obtaining necessary licenses and permits; diminishing quantities or grades of reserves; and contests over title to properties, particularly title to undeveloped properties. In addition, there are risks and hazards associated with the business of gold exploration, development and mining, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins, flooding and gold bullion losses (and the risk of inadequate insurance, or the inability to obtain insurance, to cover these risks).
This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company's continuous disclosure documents under the heading "Risk Factors". Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information.
The Company's forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management's assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.
Cautionary Note Regarding Mineral Resources and Mineral Reserves
Readers are advised that National Instrument 43-101 of the Canadian Securities Administrators requires that each category of mineral reserves and mineral resources be reported separately. Readers should refer to the Company's current technical reports and other continuous disclosure documents filed by the Company, available on SEDAR at www.sedar.com for further information the mineral resource estimates of the Company's projects, which are subject to the qualifications and notes set forth therein, as well as for additional information relating to the Company more generally.
Mineral resources which are not mineral reserves, have a great amount of uncertainty as to their existence and do not have demonstrated economic or legal viability. Inferred mineral resources have insufficient confidence to allow the meaningful application of technical and economic parameters or to enable an evaluation of economic viability suitable for public disclosure. Neither the Company, nor readers, should assume that all or any part of an inferred mineral resource will be upgraded to indicated or measured mineral resources. Most projects at the inferred mineral resource stage do not ever form the basis of feasibility or other economic studies, or achieve successful commercial production. Each stage of a project is contingent on the positive results of the previous stage and that there is a significant risk that the results may not support or justify moving to the next stage.
Table 1: Significant Assay Results
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Hole From To Length (m) Au g/t Ag g/t
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12-DH-1091 87.00 118.50 31.50 0.30 0.53
including 87.00 92.50 5.50 1.20 0.95
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12-DH-1092 11.00 21.50 10.50 0.62 0.56
including 15.50 21.50 6.00 1.00 0.61
----------------------------------------------------------------------------
12-DH-1093 71.50 97.50 26.00 0.21 0.30
including 86.50 88.50 2.00 1.32 0.25
12-DH-1093 158.00 174.00 16.00 0.29 0.78
including 158.00 163.50 5.50 0.67 1.46
12-DH-1093 185.00 306.00 121.00 0.64 0.50
including 195.50 209.00 13.50 1.03 0.63
including 222.50 262.79 40.29 1.01 0.66
and 234.50 255.00 20.50 1.81 0.94
----------------------------------------------------------------------------
12-DH-1094 26.50 94.00 67.50 0.64 0.56
including 66.00 83.00 17.00 1.67 0.73
12-DH-1094 112.50 162.50 50.00 0.24 0.35
including 130.00 132.50 2.50 0.97 1.00
including 146.00 155.00 9.00 0.41 0.25
----------------------------------------------------------------------------
12-DH-1095 95.00 107.50 12.50 0.20 0.25
12-DH-1095 176.00 213.96 37.96 0.24 0.56
including 176.00 188.66 12.66 0.39 0.70
----------------------------------------------------------------------------
12-DH-1096 49.00 65.93 16.93 0.49 0.57
including 62.50 65.93 3.43 1.62 1.50
12-DH-1096 81.00 124.00 43.00 0.51 0.43
including 81.00 85.50 4.50 1.42 0.42
12-DH-1096 172.50 181.50 9.00 0.28 0.38
including 172.50 174.00 1.50 0.90 0.25
----------------------------------------------------------------------------
12-DH-1097 158.00 169.00 11.00 0.21 0.33
including 165.50 169.00 3.50 0.37 0.39
12-DH-1097 200.00 208.00 8.00 0.29 0.48
including 206.50 208.00 1.50 1.05 1.50
----------------------------------------------------------------------------
12-DH-1098 13.00 52.70 39.70 0.20 0.56
including 35.00 39.50 4.50 0.52 0.58
including 48.30 52.70 4.40 0.40 1.38
12-DH-1098 64.50 104.50 40.00 0.30 0.92
including 64.50 72.00 7.50 0.57 0.88
including 91.00 97.00 6.00 0.63 0.71
12-DH-1098 122.50 142.34 19.84 1.07 0.64
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12-DH-1099 28.50 37.00 8.50 0.69 0.69
including 28.50 32.50 4.00 1.36 0.78
12-DH-1099 86.50 100.00 13.50 0.76 1.09
including 86.50 90.50 4.00 2.11 0.88
12-DH-1099 208.00 221.50 13.50 0.38 0.68
including 214.00 221.50 7.50 0.59 0.90
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12-DH-1100 62.00 73.70 11.70 0.72 0.56
including 66.50 73.70 7.20 1.06 0.70
12-DH-1100 124.00 125.50 1.50 3.78 0.70
12-DH-1100 228.00 278.89 50.89 0.39 0.84
including 255.50 269.00 13.50 0.99 0.90
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12-DH-1101 36.00 39.00 3.00 1.02 0.53
----------------------------------------------------------------------------
12-DH-1102 103.00 106.50 3.50 0.87 1.80
12-DH-1102 196.80 198.50 1.70 1.14 0.25
----------------------------------------------------------------------------
12-DH-1103 147.50 172.00 24.50 0.36 0.76
12-DH-1103 246.76 271.56 24.80 0.70 0.57
including 255.50 271.56 16.06 1.00 0.65
and 269.50 271.56 2.06 4.19 0.80
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12-DH-1104 98.50 100.00 1.50 0.80 0.25
----------------------------------------------------------------------------
12-DH-1105 69.00 97.00 28.00 0.39 1.16
including 69.00 82.00 13.00 0.68 1.32
12-DH-1105 163.78 237.00 73.22 0.47 0.86
including 163.78 171.00 7.22 1.46 1.45
including 201.50 208.00 6.50 1.32 0.78
including 235.00 237.00 2.00 1.77 0.60
----------------------------------------------------------------------------
12-DH-1106 102.00 104.50 2.50 0.34 0.25
12-DH-1106 186.00 188.06 2.06 0.31 0.25
----------------------------------------------------------------------------
12-DH-1107 108.00 110.34 2.34 0.47 1.50
----------------------------------------------------------------------------
12-DH-1108 95.94 101.74 5.80 0.31 0.92
----------------------------------------------------------------------------
12-DH-1109 14.00 48.84 34.84 0.94 0.97
including 14.00 15.50 1.50 1.90 0.25
including 26.50 48.84 22.34 1.29 1.25
and 45.00 48.84 3.84 5.23 2.97
12-DH-1109 81.50 118.75 37.25 4.12 2.37
including 81.50 101.25 19.75 6.95 3.55
and 97.50 101.25 3.75 34.46 13.94
12-DH-1109 165.50 167.00 1.50 3.15 1.90
12-DH-1109 217.00 279.81 62.81 0.51 0.64
including 244.50 279.81 35.31 0.81 0.75
----------------------------------------------------------------------------
12-DH-1110 79.00 90.52 11.52 0.57 0.82
including 84.60 85.60 1.00 2.14 1.20
----------------------------------------------------------------------------
12-DH-1111 56.00 71.50 15.50 0.28 0.88
including 65.00 67.00 2.00 1.02 0.80
12-DH-1111 125.00 203.50 78.50 0.26 0.69
including 166.50 182.50 16.00 0.41 0.87
including 191.50 193.00 1.50 1.07 0.90
----------------------------------------------------------------------------
12-DH-1112 6.57 16.00 9.43 0.23 0.50
12-DH-1112 117.82 121.00 3.18 0.42 1.50
----------------------------------------------------------------------------
12-DH-1113 55.00 64.00 9.00 0.46 0.64
including 59.50 61.00 1.50 1.06 1.40
12-DH-1113 88.00 113.50 25.50 0.45 0.65
including 88.00 95.00 7.00 0.97 0.97
12-DH-1113 155.00 286.95 131.95 0.64 0.92
including 156.50 159.50 3.00 1.32 1.10
including 241.50 282.00 40.50 1.22 0.65
and 265.50 270.00 4.50 4.78 1.58
and 279.00 282.00 3.00 1.99 0.25
----------------------------------------------------------------------------
12-DH-1114 26.00 37.50 11.50 0.69 0.50
including 32.00 37.50 5.50 1.33 0.70
12-DH-1114 104.00 263.50 159.50 0.29 1.20
including 213.55 256.00 42.45 0.47 0.82
and 246.50 256.00 9.50 0.79 1.13
12-DH-1114 275.50 276.76 1.26 1.72 2.60
----------------------------------------------------------------------------
12-DH-1115 85.50 103.00 17.50 1.14 1.18
including 100.00 103.00 3.00 4.80 2.60
----------------------------------------------------------------------------
12-DH-1116 122.00 148.25 26.25 0.42 1.05
including 147.50 148.25 0.75 10.90 2.40
----------------------------------------------------------------------------
12-DH-1117 43.72 52.85 9.13 0.82 1.39
including 46.50 49.50 3.00 1.30 2.55
12-DH-1117 160.00 183.00 23.00 0.42 0.52
including 177.00 183.00 6.00 1.14 0.35
----------------------------------------------------------------------------
12-DH-1118 36.00 41.50 5.50 0.21 0.50
12-DH-1118 147.00 150.50 3.50 0.27 4.53
----------------------------------------------------------------------------
12-DH-1119 65.50 114.50 49.00 0.53 0.72
including 65.50 69.50 4.00 1.12 1.63
including 85.00 96.50 11.50 0.98 1.00
including 111.50 114.50 3.00 1.88 1.20
----------------------------------------------------------------------------
12-DH-1120 11.00 15.50 4.50 1.16 0.58
12-DH-1120 51.50 78.00 26.50 0.22 0.36
including 57.00 61.50 4.50 0.54 0.68
including 72.00 78.00 6.00 0.34 0.34
12-DH-1120 114.00 175.50 61.50 0.31 0.72
including 114.00 126.50 12.50 0.45 0.63
including 149.69 159.00 9.31 0.52 0.85
12-DH-1120 240.50 245.67 5.17 0.40 0.65
----------------------------------------------------------------------------
12-DH-1121 36.50 54.50 18.00 0.23 0.27
including 49.50 54.50 5.00 0.44 0.33
12-DH-1121 68.00 78.00 10.00 0.37 0.29
including 68.00 71.50 3.50 0.58 0.25
----------------------------------------------------------------------------
12-DH-1122 148.50 174.00 25.50 0.33 0.54
including 154.50 157.00 2.50 1.25 2.10
including 161.50 163.50 2.00 0.94 0.25
12-DH-1122 196.50 242.22 45.72 0.29 0.73
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12-DH-1123 25.50 57.00 31.50 0.76 0.78
including 27.00 30.00 3.00 1.26 1.15
including 37.50 45.00 7.50 1.42 1.00
including 55.00 57.00 2.00 1.02 1.80
12-DH-1123 163.00 263.50 100.5 0.71 0.60
including 163.00 164.50 1.50 3.08 0.25
including 202.50 263.50 61.00 1.03 0.75
and 221.00 235.00 14.00 1.99 0.81
----------------------------------------------------------------------------
12-DH-1124 31.50 139.00 107.50 0.47 1.04
including 32.97 39.20 6.23 1.40 1.02
including 71.88 93.00 21.12 1.13 1.33
including 133.00 139.00 6.00 1.36 7.77
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12-DH-1125 26.00 38.00 12.00 0.67 1.07
including 26.00 29.50 3.50 2.03 1.81
12-DH-1125 172.51 226.00 53.49 0.43 1.53
including 212.55 226.00 13.45 1.15 2.75
----------------------------------------------------------------------------
12-DH-1126 71.50 100.50 29.00 0.51 0.41
including 71.50 75.50 4.00 2.22 0.46
12-DH-1126 136.00 152.50 16.50 0.53 0.34
including 148.00 152.50 4.50 1.17 0.58
12-DH-1126 171.00 302.36 131.36 0.92 0.65
including 191.96 196.50 4.54 1.94 0.91
including 211.00 302.36 91.36 1.17 0.67
and 281.00 302.36 21.36 2.30 1.21
----------------------------------------------------------------------------
12-DH-1127 43.00 44.67 1.67 1.13 0.50
12-DH-1127 103.00 160.50 57.50 0.66 1.07
including 110.50 139.50 29.00 0.92 0.96
including 158.50 160.50 2.00 1.14 1.50
----------------------------------------------------------------------------
12-DH-1128 49.00 100.00 51.00 2.88 0.66
including 49.00 60.08 11.08 11.76 1.29
and 55.00 58.48 3.48 36.60 3.18
----------------------------------------------------------------------------
12-DH-1129 57.00 75.29 18.29 0.26 2.33
12-DH-1129 110.92 136.00 25.08 0.33 0.28
including 127.25 136.00 8.75 0.62 0.30
12-DH-1129 155.50 173.00 17.50 0.71 0.38
including 155.50 167.00 11.50 1.03 0.45
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12-DH-1130 4.57 135.00 130.43 1.31 1.22
including 4.57 64.50 59.93 2.40 2.20
and 4.57 33.00 28.43 4.90 2.60
and 29.12 33.00 3.88 32.37 17.14
12-DH-1130 147.00 157.53 10.53 1.40 1.06
including 150.00 154.50 4.50 2.12 1.57
12-DH-1130 216.00 247.00 31.00 1.09 0.60
including 226.50 239.50 13.00 1.88 0.70
12-DH-1130 263.00 288.95 25.95 1.44 2.70
including 266.50 277.00 10.50 3.27 3.11
----------------------------------------------------------------------------
12-DH-1131 24.00 69.66 45.66 0.20 0.71
12-DH-1131 185.50 188.37 2.87 0.72 0.25
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The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Contacts:
Spanish Mountain Gold Ltd.
Colin Clancy
(604) 601-3651
info@spanishmountaingold.com
www.spanishmountaingold.com
Proconsul Capital Ltd.
Andreas Curkovic
(416) 577-9927
