Mega′s Winter Step out Drill Program at the Monument Bay Gold Camp Expands Open Pit Potential, Discovers Key Gold Mineralization Controls and Outlines a Satellite Gold Deposit within 2.2 km of the Current Resource
Mega Precious Metals Inc. (MGP:TSX-V) ('Mega?) is pleased to
announce initial step out drilling results from 30 core holes totaling
9,162 m. This program successfully expanded the current foot print of
the near surface open pit mineralization (previously announced Feb 22,
2012) and added a new satellite gold deposit, the Mid East Zone (Figure
1), within its 292 km2 land package at the Monument Bay Gold
Camp.
HIGHLIGHTS:
Burn Zone ? Open Pit Expansion Drilling (Figure 2 and 3)
TL 12-446 intersected 34.0 metres at 1.08 g/t gold and 17.0 metres
at 0.96 g/t gold
TL 12-448 intersected 94.0 metres at 0.98 g/t gold and 45.0 metres
at 0.90 g/t gold
TL 12-454 intersected 26.0 metres at 1.60 g/t gold
TL 12-473 intersected 131.0 metres at 0.80 g/t gold
TL 12-475 intersected 64.0 metres at 1.59 g/t gold
TL 12-484 intersected 94.0 metres at 1.00 g/t gold
A, B, GK and C Zones ? Open Pit Expansion Drilling (Figure 2)
TL 12-478 intersected:
- A Zone 7.0 metres at 1.03 g/t gold
- B Zone 5.9 metres at 2.19 g/t gold
TL 12-481 intersected:
- A Zone11.1 metres at 2.13 g/t gold
- B Zone 7.0 metres at 0.52 g/t gold
- C Zone 11.5 metres at 0.50 g/t gold
TL 12-485 intersected:
- GK Zone 42.0 metres at 0.37 g/t gold
- C Zone 63.0 metres at 0.52 g/t gold
Mid East Zone ? Open Pit Satellite Resource (Figure 4 and 5)
TL 12-468 intersected 6.0metres at 1.70 g/t gold
TL 12-471 intersected 9.0 metres at 0.73 g/t gold
TL 12-476 intersected 10.0 metres at 0.54 g/t gold
The significant assay results from the recent phase of drilling are
listed in Table 1, on the corresponding plans/sections accompanying this
news release and are also available on Mega′s website at www.megapmi.com.
With over 25 near surface targets outlined, Mega′s field team is
currently working on the conversion of these targets as they will
substantially increase the overall inventory, targeting near surface
open pit bulk tonnage mineralization and potentially provide a longer
mine life.
Many of the largest Archean gold camps (greater than 10 M ounces) have
strong proximal correlations between Tungsten and Gold mineralization.
All of the current mineralization in the open pit resource has a strong
proximal correlation between Tungsten (Scheelite) and Gold
mineralization. High grade gold mineralization is less than 10 metres
away from tungsten anomalies found in drill core. As such, the samples
are reviewed under UV lights to ?highlight the Scheelite which is
providing a low cost field analytic tool that is a cost reduction in
terms of analytical turnaround times and associated costs (Figure 6).
The satellite gold mineralization is also enriched with Scheelite and is
composed of 3 distinct parallel mineralized structures that have a
minimum strike length of 700 m with the potential for expansion in
several directions. Exploration target areas 1 and 2 (Figure 7 and 8)
are of particular interest, for they are directly west of the known gold
mineralization with enriched tungsten (32.6 g/t/1.0 m and 3.24 g/t/3.0
Wynne Bay Zone) that was recently drilled by North Superior Resources
along the Stull Lake Wunnummin Shear Zone.
Table 1: Assay Results from Winter Drilling Program
? | ? | MEGA 2012 Monument Bay Drill Results | |||||||||||||
| HOLE# | ? | ZONE | ? | Structure | ? | FROM (m) | ? | TO (m) | ? | INTERCEPT (m) | ? | Au Grade (g/t) | |||
? | ? | ? | ? | ? | ? | ? | |||||||||
| TL-12-446 | BURN | HW | 149.0 | 166.0 | 17.0 | 0.96 | |||||||||
? | BURN | FW | 226.0 | 260.0 | 34.0 | 1.08 | |||||||||
? | ? | includes | 258.0 | 260.0 | 2.0 | 9.88 | |||||||||
? | BURN | FW | 256.9 | 263.9 | 7.0 | 4.44 | |||||||||
TL-12-447 | BURN | HW | 111.0 | 129.0 | 18.0 | 0.40 | |||||||||
? | BURN | FW | 162.0 | 175.0 | 13.0 | 0.43 | |||||||||
| TL-12-448 | BURN | HW | 197.0 | 291.0 | 94.0 | 0.98 | |||||||||
? | BURN | FW | 414.0 | 459.0 | 45.0 | 0.90 | |||||||||
TL-12-451 | BURN | HW | 105.0 | 125.0 | 20.0 | 0.40 | |||||||||
? | BURN | FW | 227.0 | 231.0 | 4.0 | 0.80 | |||||||||
TL-12-452 | BURN | FW | 248.0 | 252.0 | 4.0 | 0.76 | |||||||||
| TL-12-454 | BURN | HW | 157.0 | 184.0 | 26.0 | 1.60 | |||||||||
| TL-12-455 | BURN | HW | 95.0 | 128.0 | 33.0 | 0.70 | |||||||||
TL-12-458 | BURN | HW | 90.5 | 117.0 | 26.5 | 0.88 | |||||||||
? | BURN | FW | 129.0 | 140.0 | 11.0 | 0.15 | |||||||||
TL-12-459 | AZ | HW | 64.0 | 68.0 | 4.0 | 0.48 | |||||||||
| TL-12-463 | BURN | HW | 119.0 | 170.0 | 51.0 | 1.25 | |||||||||
TL-12-465 | BURN | HW | 50.0 | 69.0 | 19.0 | 0.23 | |||||||||
? | BURN | FW | 154 | 168 | 14.0 | 0.24 | |||||||||
| TL-12-466 | BURN | HW | 102.0 | 191.0 | 89.0 | 0.81 | |||||||||
TL-12-467 | BURN | HW | 56.0 | 66.0 | 10.0 | 0.52 | |||||||||
? | BURN | FW | 107.0 | 115.0 | 8.0 | 0.30 | |||||||||
| TL-12-468 | Mid East | HW | 174.0 | 182.0 | 8.0 | 0.14 | |||||||||
? | Mid East | FW | 239.0 | 245.0 | 6.0 | 1.70 | |||||||||
| TL-12-470 | BURN | HW | 83.0 | 105.0 | 22.0 | 1.03 | |||||||||
TL-12-471 | Mid East | HW | 163.0 | 168.0 | 5.0 | 0.15 | |||||||||
? | Mid East | FW | 235.0 | 244.0 | 9.0 | 0.73 | |||||||||
| TL-12-473 | BURN | HW | 120.0 | 272.0 | 131.0 | 0.80 | |||||||||
| TL-12-475 | BURN | HW | 99.0 | 163.0 | 64.0 | 1.59 | |||||||||
TL-12-476 | Mid East | FW | 212.0 | 222.0 | 10.0 | 0.54 | |||||||||
TL-12-477 | BURN | HW | 80.0 | 109.0 | 29.0 | 0.72 | |||||||||
? | BURN | FW | 119.0 | 131.0 | 13.0 | 1.02 | |||||||||
? | BURN | FW | 153.0 | 188.0 | 22.0 | 0.14 | |||||||||
| TL-12-478 | A | HW | 87.0 | 94.0 | 7.0 | 1.03 | |||||||||
? | B | HW | 155.0 | 161.0 | 5.9 | 2.19 | |||||||||
? | ? | includes | 158.5 | 161.0 | 2.5 | 5.20 | |||||||||
? | C | FW | 210.0 | 217.0 | 7.0 | 0.60 | |||||||||
TL-12-479 | BURN | HW | 134.0 | 183.2 | 49.2 | 0.66 | |||||||||
TL-12-480 | BURN | HW | 230.0 | 309.0 | 79.0 | 0.41 | |||||||||
? | BURN | FW | 321.0 | 335.0 | 14.0 | 0.42 | |||||||||
| TL-12-481 | A | HW | 89.0 | 100.1 | 11.1 | 2.13 | |||||||||
? | B | FW | 136.0 | 143.0 | 7.0 | 0.52 | |||||||||
? | C | FW | 179.0 | 190.5 | 11.5 | 0.50 | |||||||||
TL-12-482 | A | HW | 126.5 | 130.0 | 3.5 | 0.41 | |||||||||
? | C | HW | 158.0 | 166.0 | 8.0 | 0.27 | |||||||||
| TL-12-484 | BURN | HW | 190.0 | 284.0 | 94.0 | 1.00 | |||||||||
? | BURN | FW | 307.0 | 322.0 | 15.0 | 0.17 | |||||||||
| TL-12-485 | GK | HW | 179.0 | 221.0 | 42.0 | 0.37 | |||||||||
? | C | FW | 256.0 | 306.0 | 63.0 | 0.50 | |||||||||
Note: The mineralized intervals reported in this news | |||||||||||||||
The ongoing partnership with the University of Manitoba continues to
significantly enhance the key controlling structural/lithological
stratigraphy and the geo-chemical path finders throughout the Monument
Bay Gold Camp. As a result, Mega has outlined 4 key exploration target
areas that demonstrate very encouraging Gold/Tungsten and geophysical
anomalies with corresponding mineralized structures (Figure 7) and as
such recently increased its land package surrounding the claims/MEL to
292 km2 (29216 ha).
James Rogers, President and CEO of Mega said, 'The new drilling at
Monument Bay Gold Camp continues to delineate and expand open pit
resources. We are very encouraged with the significant widths of gold
mineralization discovered below the current open pit as well as the
discovery of the satellite resources that have expanded the footprint of
gold mineralization over an area measuring greater than 8 kilometres.
The 25 enriched Gold/Tungsten anomalies all combine to support our
belief that we are sitting on a large gold system with the potential to
become a major new gold camp. Based on my experience with high grade
zone geometry in Red Lake, I am particularly excited by the
litho-structural patterns that could support low to medium grade bulk,
as well as high grade extension zones that could contribute to a
multi-deposit, centralized mill type production model.?
Mega′s geological team also compiled our 130,000 m core library, 250,000
soil/humus samples and geophysical anomalies to target key areas and
deliver the following results:
- Increased the open pit with step out drilling by focusing on
the high grade shoots within the Burn Zone
- Discovered a potential satellite open pit gold deposit
- Correlated all known mineralized zones with highly enriched
Scheelite (Tungsten) and Powelite (Molybdenum) traceable pathfinder
elements across the entire property
- Identified 25 Targets that have highly enriched Gold/Tungsten
anomalies
Burn Zone
The new drilling was successful in extending both the surface pit
mineralization and potential underground bulk mining. The initial
results continue to intersect broad gold mineralization that has
multiple visible gold and Scheelite drill core intercepts (Figure 6).
During the winter program, 28 holes were drilled over a strike length of
1800 m, intersecting significant mineralization from west to east.
Holes 12-446, 12-448, 12-473 and 12-484 all intersected significant gold
mineralization directly below the current open pit (Figure 3). Each hole
was much higher grade than what was estimated in the current block model
for the given area. Hole 12-484 had a drill estimate of 1.00 g/t over 94
m while the block model estimated approximately 0.5 g/t which
constitutes an increase of approximately 50% in gold grade and 20% in
width.
Holes 12-447 and 12-451 have successfully extended near surface gold
mineralization west of the potential open pit.
The Burn Zone remains open at depth and to the west.
A, B, GK and C Zones
The drilling on these eastern zones was completed outside the existing
pit-resource boundary and was successful in expanding the
mineralization. The initial results from holes 12-478, 12-481 and 12-482
continued to intersect broad gold mineralization in the A, B and C zones
within the top 250 m from surface.
Hole 12-485 intersected significant broad mineralization in the GK and C
Zones (>40 m) that was previously modeled as narrow structures due to
the lack of drill density. This is encouraging for it is one of the
areas where the pit shell was quite shallow.
All of these zones are open at depth and the A and B zones are open to
the west.
Mid East Zone
Holes 12-468, 12-471 and 12-476 confirmed all three zones continued to
expand Mid East potential open pit mineralization to the east by a
minimum of 200 metres. The drilling successfully expanded the
mineralization 200 m to the east and intersected multiple near surface
vertical zones that are open to the east and south where there are
currently Gold/Tungsten soil anomalies.
Previously, this area had undergone only minor exploration, including
some drilling and soil sampling. During the winter program the work
revealed that there are 3 parallel mineralized zones associated with the
sedimentary-volcanic contact and uncovered further Gold/Tungsten surface
anomalies in the footwall that will be tested later this year.
This strong multi-zone target remains open to depth, to the east and to
the south towards the Gold/ Tungsten anomalies.
Regional Exploration
Mega Precious Metals has conducted over 40,000 metres of drilling at the
Monument Bay Gold Camp since January 2011, making it one of the top most
active mineral exploration projects in the region.
Management believes success from these exploration programs will
continue to demonstrate that additional gold mineralization occurs
outside the existing resource boundary and can be a very meaningful
scale for outlining multiple satellite gold deposits to support ongoing
resource growth in the Monument Bay Gold Camp.
Quality Control
The design of Mega′s drilling programs, Quality Assurance/Quality
Control and interpretation of results is under the control of Mega′s
geological staff including qualified persons employing a QA/QC program
consistent with NI 43?101 and industry best practices. A detailed review
of Mega′s QA/QC procedures is filed in the NI 43101 report dated March
19, 2012 and on SEDAR. The drill core is logged and split with half?core
samples shipped to Accurassay Laboratories of Thunder Bay, Ontario and
analyzed employing the appropriate gold fire assaying technique. For
QA/QC purposes the Company as well as the lab submits standards and
blanks every 20 samples.
Glen Kuntz, Chief Operating Officer (COO), is the Qualified Person for
the information contained in this press release and is a Qualified
Person defined by National Instrument 43-101. Glen was Sr. Resource
Geologist at the Campbell Gold Mine and Global Spatial Data Systems
Coordinator for Placer Dome, Vice President Enterprise Mining Solutions
for Runge Ltd., and most recently, Vice President Global Operations for
GMC Global.
Mega Precious Metals Inc. is a well financed Canadian-based
mineral exploration company with several projects in Northwestern
Ontario, Manitoba and Nunavut. The Company is committed to an
accelerated growth strategy and is backed by a team of experienced
mining experts and a strong financial position. The Company is poised
for rapid expansion through quick response to new opportunities and
changes in the market. Mega′s common shares trade on the TSX Venture
Exchange under the symbol MGP.
For further information and presentation material, please review the
Mega website at www.megapmi.com
Forward-looking Statements
Certain statements in this press release relating to the Company′s
exploration activities, project expenditures and business plans are
'forward-looking statements' within the meaning of securities
legislation.The Company does not intend, and does not assume any
obligation, to update these forward-looking statements.These
forward-looking statements represent management′s best judgment based on
current facts and assumptions that management considers reasonable. The
Company makes no representation that reasonable business people in
possession of the same information would reach the same conclusions.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Company to be materially different
from any future results, performance or achievements expressed or
implied by the forward-looking statements.In particular,
fluctuations in the price of gold or in currency markets could prevent
the Company from achieving its targets.Readers should not place
undue reliance on forward-looking statements. More information about
risks and uncertainties affecting the Company and its business is
available in Mega Precious Metal′s filings which are posted on sedar at www.sedar.com.
There is no guarantee that drill results reported in this news
release will lead to the identification of a deposit that can be mined
economically, and further work is required to identify a reserve or
resource.
Neither 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.
Please click on the following link to view Figure 1: LOCATION OF CURRENT
MONUMENT BAY OPEN PIT AND SATELLITE GOLD DEPOSITS: http://www.usetdas.com/pr/megafigure1.jpg
Please click on the following link to view Figure 2: LOCATION OF Q1 2012
DRILLING: http://www.usetdas.com/pr/megafigure2.jpg
Please click on the following link to view Figure 3: 2012 LONG SECTION
OF BURN ZONE WITH BLOCK MODEL GRADE DISTRIBUTION: http://www.usetdas.com/pr/megafigure3.jpg
Please click on the following link to view Figure 4: MID EAST SATELLITE
GOLD DEPOSIT PLAN VIEW: http://www.usetdas.com/pr/megafigure4.jpg
Please click on the following link to view Figure 5: MID EAST SATELLITE
GOLD DEPOSIT CROSS SECTION: http://www.usetdas.com/pr/megafigure5.jpg
Please click on the following link to view Figure 6: STRONG PATH FINDER
ELEMENTS DISCOVERED IN THE MONUMENT BAY GOLD CAMP: http://www.usetdas.com/pr/megafigure6.jpg
Please click on the following link to view Figure 7: REGIONAL
GOLD/TUNGSTEN ANOMALIES AND REGIONAL EXPLORATION TARGET AREAS: http://www.usetdas.com/pr/megafigure7.jpg
Please click on the following link to view Figure 8: REGIONAL
EXPLORATION TARGETS AREAS VERY STRONG GOLD/TUNGSTEN ANOMALIES: http://www.usetdas.com/pr/megafigure8.jpg
Mega Precious Metals Inc.
Jim Rogers, President and Chief
Executive Officer
O: 807-766-3380
TF: 877-592-3380
info@megapmi.com