Champion Iron Limited press release
Paramount Gold Adds Important Ground adjacent to their San Miguel project in Mexico
TSX - Toronto Stock Exchange · Iron · Aluminium · Manganese · Copper · Zinc · Australia
CHIHUAHUA, MEXICO, Feb. 3 /CNW Telbec/ - Paramount Gold Mining Corp. (OTC:PGDP and Frankfurt:P6G) is pleased to announce that it has acquired a 70% interest in the Santa Cruz mining concession which is located adjacent to their San Miguel project in the Sierra Madre Gold-Silver belt, Mexico. Bill Reed, Manager of exploration in Mexico commented "The Santa Cruz concession is a very key addition to our San Miguel holdings. An alteration zone is obvious on the concession and I believe the structures that host the silver and gold mineralization on the San Miguel claims continue onto this concession. In particular, the San Jose zone is open to the NNE in the direction of Santa Cruz." The Santa Cruz mining concession is located adjacent to and east of Paramount's El Carmen concession at San Miguel, SW Chihuahua and approximately 1000 meters north of the San Jose silver prospect (100 meters by 250 meters, averaging 225 g/t Ag), where the Company continues with an ongoing exploration program. At Santa Cruz, old mine workings were developed on a NW striking quartz vein that dips 75 degrees to the NE. A 1997 report by the Fomento Minero, a Federal Mexican agency, reports an average vein width of 0.80 meters with an average grade of 0.80 grams per tonne gold and 880 grams per tonne silver. There is some indication that the wall rock on either side of the quartz vein may also contain lower grade silver mineralization. Thin soil cover and vegetation mask the surface in the area of the old mine workings, and outcrops are limited. Trenching and drilling will be required to substanciate silver and gold mineralization in the wall rocks and to locate other veins. The Santa Cruz concession will be included in the joint venture agreement Paramount signed with Amermin S.A. de CV, a subsidiary of American Stellar Energy Inc., where Paramount can acquire a 70% interest in the San Miguel project.
About Paramount Gold
Paramount Gold Mining Corp. is a precious metals exploration and development company. It is management's objective to grow Paramount into a significant gold and precious metals producer by developing the San Miguel and Linda projects in Mexico and Peru, and by acquiring other advanced-stage projects and/or producing mines in the most prolific precious metal districts in the world. The Company trades on the OTC market under the symbol "PGDP" and on the Frankfurt Exchange under the symbol "P6G". For more information, please visit the Company's web site at: www.paramountgold.com (now available in the following languages: English, German, French, Spanish, and Mandarin).