Castle Peak Follow-Up Drilling Intersects 5.0M of 8.5 g/t Gold and 3.0M of 11.6 g/t Gold at Apankrah
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 01/14/13 -- Castle Peak Mining Ltd. ('Castle Peak' or the 'Company') (TSX VENTURE: CAP), is pleased to report the final 2012 drill results from the follow up drill program at the Apankrah target on the Company's Akorade project in the southern Ashanti belt, Ghana, West Africa. The compilation and understanding of these results will provide the basis for unlocking additional value with selective exploration programs in 2013. All maps, sections and results tables are available on the Castle Peak website at www.castlepeakmining.com.
Highlights:
-- Apankrah Shoot has now been intersected with a total of 12 drill holes
with an average intercept length of 6.6 metres ('m') and an average
grade of 5.7 grams per tonne ('g/t') gold ('Au') (bonanza grades in hole
NKD022 capped to 50 g/t Au).
-- Apankrah structure, open in all directions, is host the to the Apankrah
Shoot which has an average strike length of over 100m and is open in all
directions and has been traced approx. 300m down plunge and remains open
at depth.
Highlight intercepts from the Apankrah follow-up drill program:
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Length Au Grade
Hole ID Target (m) (g/t)
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NKDDH029 Apankrah Shoot 3.0 11.6 Includes 1.1m of 30.5 g/t Au
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NKDDH030 Apankrah Shoot 5.0 8.5 Includes 1.5m of 10.2 g/t Au
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President and CEO Darren Lindsay stated, "I am pleased with the successful completion of our Apankrah drill program on the Apankrah Shoot target. The limited program followed the strong grades down plunge and down dip, and the shoot remains open in all directions. The coarse visible gold style of mineralization with lower grade halo shows the expected high grade variability. Our next step is to internally model this target to determine additional potential of the Apankrah and surrounding structures."
Apankrah Shoot
Modeling of the Apankrah target area has begun and will assist the Company in determining our next exploration steps and further potential of this higher grade target area (see Figure 1 and 2 at http://www.castlepeakmining.com/i/pdf/2013-1-14_NR.pdf). Tracking of both the broader alteration halo and the core mineralization may provide enough geological confidence to contemplate a preliminary resource estimate in 2013.
Drill hole NKDDH029, a roughly 50m step-out down dip of NKDDH022 (a drill hole which returned, uncut, a 6.0 m interval grading 80 g/t Au - August 14, 2012 press release), returned a narrow alteration zone hosting a 3.0 m interval grading 11.58 g/t Au, including 1.1 m of 30.5 g/t Au.
Drill hole NKDDH030, a roughly 50m step-out down plunge of NKDDH022, returned a greater than 13m alteration zone hosting 5.0 m of 8.49 g/t Au, including 1.5 m of 10.2 g/t Au.
Drill hole NKDDH031, an approximate 50m step-out down dip of NKDDH029, returned two alteration zones of 10m scale. The shallower alteration zone hosts poorly developed Apankrah Shoot style mineralization, carbonate, pyrrhotite, pyrite and silica, and returned 4.0 m of 3.28 g/t Au, including 1.0m of 6.94 g/t Au. Of importance was the observation of a number of low to moderate angle fault zones indicating that the area is geologically more complex than initially interpreted.
Drill hole NKDDH032, an approximate 50m step-out down plunge of NKDDH029 (100m down plunge step-out from NKDDH022), returned a single poorly developed alteration corridor of roughly 20m width hosting weak mineralization returning 5.34m of 0.3 g/t Au. Similar faulting to that observed in NKDDH031 was also observed in this drill hole.
Drill hole NKDDH033 was completed between NKDDH022 and NKDDH030. A number of alteration zones were intersected ranging from 1.1m to greater than 15m in core length. The largest alteration zone hosted Apankrah Shoot style mineralization returning 7.0m of 0.64 g/t Au. Given the coarse nature of the gold observed in the Apankrah structure it can be expected that some intercepts, although exhibiting the expected style of mineralization, may return values lower than anticipated.
These drill hole intercepts together with previously released NKDDH009ext, 010, 016, 017, 018, 022 and 028 intercepts are beginning to better define the Apankrah Shoot; a steeply plunging high grade shoot with a strike length averaging over 100m and increasing with depth and a down plunge/dip extent of over 300m which is open to the west and at depth (see Figure 2 at http://www.castlepeakmining.com/i/pdf/2013-1-14_NR.pdf). This high grade shoot is located within the auriferous Apankrah structure which has a known strike length of greater than 250m and is open in all directions.
The mineralized structure is defined by an assemblage of silica, carbonate, pyrrhotite, pyrite and gold with the highest grades correlating directly to the presence of visible gold. This structure, along with the parallel Nana structure and third un-named structure, are hosted in a package of poorly understood Birimian mafic metavolcanic rocks and are currently interpreted to be roughly parallel to flow contacts.
Table of drill results from Apankrah follow-up program:
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From To Length Au
Hole ID Target (m) (m) (m) (g/t) Notes
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NKDDH029 Apankrah 273.0 276.0 3.0 11.6 50m down dip of NKDDH022
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NKDDH030 Apankrah 232.0 237.0 5.0 8.5 50m down plunge of NKDDH022
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Includes 235.5 237.0 1.5 10.2
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NKDDH031 Apankrah 271.0 275.0 4.0 3.3 50m down dip of NKDDH029
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Includes 273.0 274.0 1.0 6.9
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NKDDH032 Apankrah 288.2 293.5 5.3 0.3 50m down plunge of NKDDH029
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Includes 292.4 293.5 1.1 0.7
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NKDDH033 Apankrah 200.0 207.0 7.0 0.6 25m down plunge of NKDDH022
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Includes 203.0 204.3 1.3 2.7
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I. Lengths are core lengths; true widths are estimated between 75-90% of
core length.
II. Composites are uncapped, length weighted averages with a cut off of 0.1
g/t Au and inclusive of up to 3m of assays below the cut off value
unless otherwise noted.
Please refer to the Akorade Project section at www.castlepeakmining.com to view complete table of 2012 drill results.
Technical Disclosure
Castle Peak's technical disclosure in this news release has been reviewed and approved by Darren Lindsay, P.Geo., Castle Peak's President and CEO, who serves as a Qualified Person under the definition in National Instrument 43-101 ('NI 43-101'). The exploration activities are supervised by Clive Arthur, Castle Peak's Vice President Exploration. The procedures include the systematic insertion of blanks, standards and duplicates into the sample stream both in the field and at the lab; drill and road cut channel samples are placed in sealed bags and are delivered to SGS Laboratory Services GH Ltd. in Tarkwa, Ghana, for routine gold analysis by 50g charge fire assay with atomic absorption finish. Samples with visible gold or returning greater than 5 g/t Au from fire assay are subject to analysis using screen metallic assay. Multi-element soils survey samples are placed in sealed bags and are delivered to ALS Minerals in Kumasi, Ghana, for routine aqua regia ICPMS multi-element analysis. The Akorade project is an early stage exploration project and does not contain any mineral resources as defined by NI 43-101. The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information is available in the NI 43-101 compliant technical report dated February 14, 2011 and entitled "NI 43-101 Technical Evaluation Report on Nkwanta & Ayiem concessions, Wassa-West District, Republic of Ghana, West Africa" authored by Daniel Gaudreault, P.Eng. and Alain-Jean Beauregard, P.Geol. of Geologica Groupe-Conseil Inc., and in the NI 43-101 compliant technical report dated January 2, 2012 and entitled "NI 43-101 Technical Report on the Asuogya License, Ghana" authored by Gareth O'Donovan, Corporate Exploration Consultant, of SRK Exploration Services Ltd, copies of which are filed under the Company's profile on SEDAR at www.sedar.com.
About Castle Peak
Castle Peak Mining Ltd. is a Canadian-based exploration and development company focused on advancing greenfields and early stage gold projects. The Company holds a strategic land package in the Ashanti belt adjacent to several producing gold mines in Ghana, West Africa. The Ashanti belt is known as one of the most prolific gold belts in the world, putting Ghana as the second largest gold producer in Africa with past production of greater than 150 million ounces. The investment inflow for Ghana's mining sector was $2.5 billion from 2009 to 2011, with increasing annual production reaching 3.6 million ounces in 201 (source: Ghana Business News, November 11, 2012).
On behalf of the Board of Castle Peak Mining Ltd.:
Darren Lindsay, President and Chief Executive Officer
For additional information please visit www.castlepeakmining.com.
FORWARD-LOOKING STATEMENTS
Except for statements of historical fact, this news release contains certain 'forward-looking information' and 'forward-looking statements' within the meaning of applicable securities laws including statements regarding proposed exploration, sampling and drilling at the Akorade Project and statements concerning the anticipated results of that exploration, sampling and drilling, including statements relating to the timing and publication of a mineral resource estimate in 2013. Such forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to known and unknown risks, uncertainties and assumptions that could cause actual results to vary materially from the anticipated results or events predicted in these forward-looking statements, including those risk factors identified in the Company's Annual MD&A and Filing Statement filed under the Company's SEDAR profile. As a result, readers are cautioned not to place undue reliance on these forward-looking statements. The forward-looking statements contained in this news release are made as of the date of this release. Except as required by applicable law, Castle Peak disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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:
Castle Peak Mining Ltd.
Marlo Hamer-Jackson
Investor Relations Manager
604 681 1466 (X225)
604 681 1404 (FAX)
info@castlepeakmining.com
www.castlepeakmining.com