Eagle Hill Exploration Corporation: Additional Near Surface Assays Include 41.8 Meters of 4.60 g/t Gold at the Windfall Lake Property-More Evidence of Open Pit Potential
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 07/11/12 -- Eagle Hill Exploration Corporation ("Eagle Hill" or the "Company") (TSX VENTURE: EAG) is very pleased to announce additional assay results from its current drill program which include more near surface gold mineralization at the Windfall Lake Gold Deposit in Northwestern Quebec. These results are part of an ongoing drill program designed to increase the size of the mineral resource estimate published in November 2011.
A series of drill holes have been completed to test the near surface gold mineralization over a 400 meter strike-length from section 2125m to section 2525m East. The ultimate objective of this targeted drill program is to define a gold mineral resource, close to surface, that could be mined through an early stage open pit operation centered on or around the Upper Extension of Zone 27.
Results from these assays include a wide mineralized interval of 4.60 g/t gold over 41.8 meters in drillhole EAG-12-394. In this drill hole, the gold mineralization starts at only 40 meters from surface and extends to a depth of 71 meters below surface. This gold mineralization was intersected 50 meters to the east of drill hole EAG-12-393 (11.8 g/t Au over 47.2m, announced on June 21st, 2012). Also, new assay results from the upper portion of drillhole EAG-12-393 show that the gold mineralization actually extends by a further 11.5 meters closer to surface and now assays of 9.75 g/t gold over 58.7 meters at a depth of only 30 meters from surface.
Drill holes EAG-12-377 and EAG-12-378 also intersected significant gold mineralization near surface with 25.4 g/t Au over 3.8 meters and 1.3 g/t Au over 30.1 meters. These drill holes tested the upper extension of Zone 27 and parallel near surface zones. This new drilling confirms the lateral extent of the near surface and very wide gold mineralization.
The drill program initiated in late May 2012 is focusing on three main objectives:
1. Detailed definition drilling of the near surface gold mineralization
with an objective to prove out a gold mineral resource that could be
mined by an open pit operation;
2. Expansion of the known gold zones to the east through a systematic drill
pattern - the expansion of this gold mineralization to a depth of up to
450 meters could be mined through the existing ramp infrastructure at
the Windfall Lake Property; and
3. Discovery of additional continuous gold mineralization below the Red Dog
intrusion where significant gold mineralization has been discovered by
our recent drilling. Eagle Hill believes that more gold mineralization
can be found at greater depths since Archean gold deposits generally
have a much greater vertical extent then their strike length. The gold
mineralization at Windfall Lake has a current horizontal strike length
of 650 meters and is still open to both the East and West.
In addition to near surface gold mineralization, the drilling to the East and below the Red Dog has intersected significant pyrite mineralization in association with visible gold. Assays are pending for the drillholes completed to the East and below the Red Dog intrusion.
"The exploration program at Windfall Lake is now at a stage where the drilling systematically builds on the existing model to add more gold ounces to the initial resource estimate published in November 2011. Although the model is constantly being refined, the objective is to continue to expand the size of this gold deposit while forming a better understanding of how the gold will be extracted, " stated Brad Kitchen, President and Chief Executive Officer of Eagle Hill Exploration. "Further, we are very excited about the results of the near surface drilling. With such wide intercepts of significant grade, we have decided to continue to drill-test the upper extension of Zone 27. Our objective is to delineate gold mineralization that could be extracted by open pit method".
The gold mineralized zones defined to date at Windfall Lake cover a lateral extension of more than 650 meters and include, from South to North, the Caribou South zone, the Caribou zone, the Mink zone, Zone 27 South, Zone 27, the Mallard zone, and the Mallard North zone. All the zones are near vertical and vary in thickness between 2 meters and 35 meters. In addition to the near surface gold mineralization present at Windfall, recent drilling has demonstrated that mineralized zones continue to a depth of 770 meters below the surface with intercepts such as 8.9 g/t Au over 14.0 meters and 5.5 g/t Au over 15.0 meters below the Red Dog intrusion (March 1, 2012 press release).
A map of the Windfall Lake property outlining the location of the gold zones, drill holes and areas of potential expansion, together with cross-sections, a longitudinal section and pictures of core showing the mineralization style have been posted on Eagle Hill's website, www.eaglehillexploration.com/sections.
The table shows the most significant assay results discussed in this press release.
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Drill Hole From To
Number (m) (m) Gold Interval Comments
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EAG-12-374 83.90 85.00 19.4 g/t Au over 1.1 m 5-10% pyrite, Zone 27
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EAG-12-376 54.15 67.00 1.9 g/t Au over 12.9 m 2-10% pyrite, Zone 27
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EAG-12-377 2-3% pyrite, parallel
72.20 76.00 25.4 g/t Au over 3.8 m to Zone 27
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EAG-12-378 65.00 95.10 1.3 g/t Au over 30.1 m 5-10% pyrite, Zone 27
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EAG-12-383 20.90 22.80 4.2 g/t Au over 1.9 m 10-30% pyrite, Zone 27
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EAG-12-386 Trace pyrite, parallel
81.00 82.00 11.15 g/t Au over 1.0 m to Zone 27
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EAG-12-387 5.00 6.00 6.91 g/t Au over 1.0 m 10-30% pyrite, Zone 27
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EAG-12-393 3-5% pyrite, parallel
35.50 94.20 9.75 g/t Au over 58.7 m to Zone 27
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incl. (announced on June
47.00 94.20 11.8 g/t Au over 47.2 m 21st, 2012)
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EAG-12-394 57.25 99.00 4.60 g/t Au over 41.75 m 2-30% pyrite, Zone 27
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incl. 57.25 72.00 10.50 g/t Au over 14.75 m
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incl. 58.20 61.60 32.74 g/t Au over 3.4 m
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The true widths are interpreted to be approximately 60 per cent of reported width. The other drill holes of this sequence not presented in this table returned only anomalous gold values or have assay results pending.
Gold analyses reported in this release were performed by standard fire assay using a 30-gram charge with atomic absorption finish and a gravimetric finish for assays greater than 10 grams per tonne and by metallic sieve method for samples containing significant amounts of pyrite or visible gold. All assays were performed by ALS Chemex Laboratory Group, in Val d'Or, Que. Sampling and analytical procedures are subject to a comprehensive quality assurance and quality control program. The QA-QC program includes duplicate samples, blanks and analytical standards.
Jean-Philippe Desrochers, PhD, PGeo, is a qualified person registered in Quebec as defined by NI-43-101 and has reviewed the technical information that this press release contains.
About the Windfall Lake Property
The Windfall Lake Property is comprised of 362 contiguous claims (over 12,000 hectares) in the Abitibi mineralized belt of northern Quebec. This area between Val-d'Or and Chibougamau is known for its gold and copper production and excellent infrastructure for exploration and mining. Historically, the Windfall Lake Property has had extensive grassroots exploration work. Along with its independently acquired claims at the Windfall Lake Property, Eagle Hill has also signed options with Murgor Resources Inc., Cliffs Natural Resources Inc. (formerly, Freewest Resources Canada Inc.), and Noront Resources Inc. to acquire the Windfall Lake Property. During November 2011, the Company received its initial mineral resource estimate, the results of which are displayed in the table below:
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Indicated Inferred
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Cut-Off Quantity Grade Contained Quantity Grade Contained
Grade Gold ('000 Gold Gold ('000 Gold Gold
(g/t) tonnes) (g/t) (ounces) tonnes) (g/t) (ounces)
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3.0 1,144 9.10 334,719 1,690 6.70 364,093
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About Eagle Hill Exploration Corporation
Eagle Hill Exploration Corporation is a Canadian mineral exploration company focused on the exploration and development of gold and precious metal prospects. The Company is set to become an advanced stage gold exploration company with its acquisition of the Windfall Lake high grade gold project, located in Urban Township, Quebec, between Val-d'Or and Chibougamau. Eagle Hill seeks projects that contain or have potential to have large resource potential. The Company's website at www.eaglehillexploration.com and public filings at www.sedar.com provide additional information on its properties and other information with respect to its management and operations.
ON BEHALF OF THE BOARD,
P. Bradley Kitchen, President
FORWARD LOOKING STATEMENTS
Statements in this news release, which are not purely historical, are forward-looking statements within the meaning of applicable United States and Canadian securities laws, including any statements regarding beliefs, plans, expectations or intentions regarding the future. These statements involve risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements contained herein. Such risks and uncertainties may include, but are not limited to, the ability to obtain additional financing, title to mineral properties, the ability to manage growth, acquisitions of technology, equipment or human resources, the effect of economic and business conditions, the ability to attract and retain skilled personnel, the risks inherent in exploration and factors outside the control of the Company. These forward-looking statements are made as of the date of this news release, and the Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although the Company believes that the beliefs, plans, expectations and intentions contained in this news release are reasonable, there can be no assurance those beliefs, plans, expectations or intentions will prove to be accurate. Investors should consider all of the information set forth herein and should also refer to the risk factors disclosed in the Company's most recent Annual Information Form filed on SEDAR which is available at www.sedar.com. This news release shall not constitute an offer to sell or the solicitation of an offer to buy securities.
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.
Contacts:
Eagle Hill Exploration Corporation
David Matousek
Corporate Communications
604.697.5791
info@eaglehillexploration.com
www.eaglehillexploration.com
MI3 Communications Financieres Inc. (Montreal)
Nathalie Dion
514.904.1333
nathalie@mi3.ca
www.mi3.ca