Strike Minerals Inc.: Edwards #1 Zone Returns High Grade Gold Values Up to 69 g/t
TORONTO, ONTARIO -- (Marketwire) -- 04/25/12 -- Strike Minerals Inc. ("Strike") (TSX VENTURE: STK) announces that its underground exploration and development program on the 60m level of the Edwards Mine that commenced in early April, 2012 has encountered gold values up to 69 g/t. Short drill holes have been drilled on the left side of the recent drift that has encountered a high grade gold vein. The vein is a minimum of 1.1 metres in width but could be wider in some sections. Although the length tested so far is 9 meters based upon 7 test holes, we expect this to increase as we drift on the zone. Initial samples have grades ranging from 14.53 g/t Au to 69.52 g/t Au (a majority of hole intersections above 45.6 g/t Au) over 1.1 m in each hole. The current drift is about 30m in length. More detailed sampling is underway and the assay results will be published when received.
Drifting along the vein structure is continuing to determine the extent of the mineralization and will allow Strike to obtain a mini bulk sample as a representative sample for assaying and mill flow sheet design testing. The cross cut is about 25 m in length and is approaching the Edwards #5 zone. Attached is a plan of the 60m level showing the current drifting as well as the Edwards #1 and the test drill holes orientation (http://media3.marketwire.com/docs/Strike_map.pdf).
The underground exploration program consists of drifting on the 60m level and is designed to intersect the five known gold zones based on intersections from historical surface diamond drill holes between surface and the 100m level. Drifting is continuing along the first zone (Edwards #1) towards the targeted surface hole that encountered 29 g/t Au over 2.2 m. Cross cutting continues towards the other four zones continues. A similar program will be conducted on the 90m level.
It should be noted that the assays were performed by a reputable assay lab which is not an accredited lab. This lab was used as it had a very short turn around for gold assaying, a requirement for underground development. In the future, samples will be taken and sent to both this lab and an accredited lab. The accredited lab is expected to have a 2-4 week turnaround.
Milling Scenario:
The Company is evaluating its options for the processing of the ore from the Edwards Mine. Several alternatives being considered are: Tolling the ore at nearby mills; constructing its own gravity mill onsite; or creating joint ventures. The first step in this process is to obtain and send a representative bulk sample of ore to an accredited test facility for flow sheet design.
Mike Newbury CEO, comments, "The underground results appear to be confirming the size, orientation and grade of the gold mineralized veins based on the extrapolation from the surface drilling intersections. We will continue the underground work to intersect and follow more of these zones in the near future".
Schreiber Property:
Strike's exploration team is commencing work on the Schreiber property to review and plan surface exploration work on the claims adjacent to GTA Resources. Historical work has indicated that the Afric zone trends onto Strike's property. This future work is expected to include a drill program to confirm the extension of the Afric zone onto Strike's property and also determine the extent of the system.
Michael Newbury, P. Eng (ON), a "qualified person" as such term is defined by National Instrument 43-101 and an officer and director of Strike has verified the data disclosed in this news release, and has otherwise reviewed and approved the technical information in this news release on behalf of Strike. On site management of the sampling was managed by Bruce Edgar, P. Geol. a director of Strike.
About Strike:
Strike Minerals is a TSX-V listed company that is engaged in the exploration and development of precious metal properties in Canada. Its primary property is the former producing Edwards Gold Mine property in the Goudreau - Lochalsh Gold Camp near Wawa Ont. Historic production in the camp between 1930 and 2001 is estimated at 500,000 ounces. Between 1996 and 2001 underground development was completed through a decline to a depth of approximately 290 m and mining over the period resulted in 145,000 oz being produced from the Edwards property at an average grade of 0.39 opt. At present Strike has dewatered the underground workings to below the 120m level and is continuing development on the 60m and 90m level with the plan to be in production by the end of 2012.
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 Strike, including, but not limited to, the impact of general economic conditions, industry conditions, volatility of commodity prices, risks associated with the uncertainty of exploration results and estimates and that the resource potential will be achieved on exploration projects, currency fluctuations, dependence upon regulatory approvals, and the uncertainty of obtaining additional financing and exploration risk. There is no assurance that the company's exploration projects will add to Strike's resource base in the short-term, or at all. 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.
Neither the 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:
Strike Minerals Inc.
Kerry Smith
o: (416) 603-7200 ext 225
c: (416) 573-0840
info@strikeminerals.com