GoldMining Inc. press release
Virgin Metals Inc. Announces Initial Drill Results at Los Verdes
TSX - Toronto Stock Exchange · Gold · Copper · Silver · Uranium · Canada
TSX Venture Exchange Symbol: VGM Shares Outstanding: 56,006,090
TORONTO, Aug. 22 /CNW Telbec/ - Virgin Metals Inc. (the "Company" or "Virgin Metals") (VGM TSX-V) announces that it has received assay results for the first three holes of its drill program currently under way at its Los Verdes copper, molybdenum, tungsten project in the state of Sonora, northern Mexico. The drill program, designed to replicate the drill pattern completed by Cominco Ltd and Industriales Penoles some thirty five years ago, is now well in hand and some 10 reverse circulation drill holes totaling 1375 m. in length have been completed. The holes were, where possible, collared adjacent to the historic Cominco / Penoles drill holes. Most holes will, like the historic holes, be vertical but two drill sites are inaccessible and angle holes will be used. The assay results for molybdenum, copper, tungsten and silver for drill holes LVRC0106 through LVRC0306 are as follows:
<< Table 1. Summary of Drill results
Cominco/ Total VGM Penoles Inclination Depth From To Drill Drill Hole Hole (metres) (metres) (metres)
LVRC0106 C-10 vertical 172.26 25.91 99.08
including 25.91 60.96 and 64.02 76.23
LVRC0206 C-31 vertical 160.06 16.77 147.69
including 88.41 143.29
LVRC0306 C-20 vertical 153.96 19.82 129.57
including 35.06 70.12 and 76.22 91.46 and 96.05 128.05
Mo VGM Intercept (Total) Cu W Ag Drill Hole (metres) % % % g/t
LVRC0106 73.17 0.24 1.08 0.08 5.6
including 35.05 0.29 1.54 0.09 9.1 and 12.21 0.44 1.45 0.09 3.5
LVRC0206 130.92 0.15 0.67 0.09 3.4
including 54.88 0.26 0.83 0.12 2.7
LVRC0306 109.76 0.10 1.08 0.06 6.4
including 35.06 0.05 1.53 0.06 4.4 and 15.25 0.67 1.61 0.14 15.2 and 32.00 0.23 1.15 0.05 6.5 Note: Old workings, where intersected, are included as intercepts of 0 grade No high values have been cut >>
The mineralization occurs in a prominent ridge and consists of typical porphyry style mineralization which is modified by leaching at the surface and accompanied by re-concentration in a zone of secondary enrichment. Drill hole intersections to date confirm the presence of a leached cap within an overlying hydrothermal (quartz-tourmaline) breccia, a secondary enrichment zone identified by the presence of elevated copper mineralization (above), and an underlying granodiorite. It is believed that the reported intercepts represent the true width of the secondary enrichment zone. The samples, each representing 1.52 linear meters, were riffle split at the drill with approximately 12% of the recovered material (5 - 10 kg.) placed in a plastic bag and immediately fastened with a security tag. Little moisture has been encountered in drill holes to date resulting in free flowing material of all size fractions. Where moisture was present, a sampling cyclone was utilized with drill cuttings collected in buckets then placed in a large porous bag and immediately fastened with a security tag. The reject material for all samples have also been secured and stored for future use. The samples were securely stored locally then collected by ALS Chemex personnel and transported to the ALS Chemex laboratory in Hermosillo where sample preparation was performed. All assay work was carried out at the ALS Chemex laboratory in Vancouver, BC. In addition to the routine quality control work carried out by ALS Chemex, the Company has established a quality control protocol consisting of the routine use of sample duplicates, blank samples and certified sample assay standards obtained from WCM Sales Ltd., Burnaby B.C. The Company has recently increased its land position surrounding the known mineralization to a total of 5,176.22 hectares and has commenced a regional stream sediment sampling program as a first step in identifying additional exploration targets. Chris Davie, President and CEO of Virgin Metals, said: "The average grades shown in these few holes are consistent with the historical resource estimates (see Technical Report titled "Report on the Los-Verdes Molybdenum-Copper Project, Sonora, Mexico" dated November 14, 2005, as amended June 17, 2006, which was filed at www.sedar.com on June 28, 2006). However the extent of some of the higher grade intersections is quite startling and indicates the potential for early significant cash flow from the planned pilot scale operation." A feasibility study has not been completed for the Los Verdes property, and thus, there is no certainty that the Company's plans will be realized.
This report has been prepared by Mr. Gary Lohman, a Registered Professional Geologist and Qualified Person (QP) as defined by NI 43-101 of the Canadian Securities Administrators. Mr. Lohman is the QP for the Los Verdes exploration program.
FORWARD-LOOKING STATEMENTS
This press release includes certain "forward-looking information" within the meaning of the Securities Act (Ontario), including, but not limited to, statements as to timing and extent of exploration programs, the availability of exploration results, the possibility of future production from the Los Verdes property and the cash flow to result from such production. As such, forward-looking information addresses future events and conditions and so involves inherent risks and uncertainties, as disclosed under the heading "Risk Factors" and elsewhere in Virgin Metals documents filed from time to time with the Ontario Securities Commission and other regulatory authorities. Actual results could differ significantly from those currently projected as a result of, among those factors, adverse weather, regulatory changes, delays in receiving permits, accidents, delays in completing exploration activities, results of exploration activities if and when completed and the price of molybdenum and copper changing from current levels, not all of which are in the control of Virgin Metals. The forward-looking information contained herein is Virgin Metal's reasonable estimate today of future events and conditions, but no assurance can be given that such events or conditions will occur.
About Virgin Metals Inc.:
Virgin Metals is a junior exploration and development company rapidly evolving to production status. It has two advanced exploration stage molybdenum - copper porphyry properties in Sonora State, northern Mexico.
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