TORONTO, Jan. 24, 2012 /CNW/ - Atlanta Gold Inc., (TSXV: ATG; OTCQX: ATLDF) announces that the results of eight diamond drill holes drilled to
investigate the Atlanta Shear Zone between the Idaho Pit area (west end
of the Shear) and the Monarch Pit area (east end of the Shear), all
indicate continuity of the gold-bearing structure.
"We have now established continuity along the entire length of the 3,475
metre (11,400 foot) Atlanta Shear Zone, which we believe will be
mineable as one continuous open pit. In addition, the deepest hole
(D11159W53) indicates that the Shear continues to be mineralized to
depths of almost 900 metres (3,000 feet), further opening up the
potential for outlining bulk mineable zones below the open pit horizon"
said Ernest Simmons, Vice President and COO.
SELECTED ASSAY RESULTS FROM BUFFALO MINE ZONE |
Hole Identification | From (Metres) | To (Metres) | Width (Metres) | True Width (Metres) * | Assay (gpt Au) |
D11181W39 | 100.6 | 103.6 | 3.0 | 2.2 | 2.211 |
190.5 | 196.6 | 6.1 | 4.3 | 0.696 |
214.9 | 224.0 | 9.1 | 6.5 | 0.977 |
274.3 | 298.7 | 24.4 | 17.3 | 2.842 |
D11166W41A | 118.3 | 125.6 | 7.3 | 5.2 | 4.070 |
181.4 | 185.9 | 4.6 | 3.2 | 1.176 |
D11166W43 | 93.0 | 99.1 | 6.1 | 3.5 | 0.970 |
137.2 | 146.0 | 8.8 | 5.1 | 1.258 |
225.2 | 231.6 | 6.4 | 3.7 | 2.194 |
237.7 | 242.3 | 4.6 | 2.6 | 1.176 |
286.5 | 332.2 | 45.7 | 26.2 | 1.899 |
D11173W45 | 64.0 | 70.1 | 6.1 | 4.3 | 0.960 |
88.4 | 100.6 | 12.2 | 8.6 | 4.690 |
185.9 | 193.5 | 7.6 | 5.4 | 2.379 |
228.6 | 249.9 | 21.3 | 15.1 | 2.102 |
321.6 | 327.7 | 6.1 | 4.3 | 1.056 |
D11151W51 | 102.1 | 108.2 | 6.1 | 3.9 | 1.920 |
131.1 | 137.2 | 6.1 | 3.9 | 0.754 |
187.5 | 201.2 | 13.7 | 8.8 | 1.707 |
210.3 | 214.9 | 4.6 | 2.9 | 1.131 |
246.9 | 257.6 | 10.7 | 6.9 | 0.799 |
265.2 | 288.0 | 22.9 | 14.7 | 3.336 |
| 246.9 | 255.1 | 8.2 | 3.5 | 2.246 |
D11159W53 | 334.7 | 338.3 | 3.7 | 1.6 | 1.107 |
| 464.8 | 467.9 | 3.0 | 1.3 | 1.286 |
| 173.7 | 175.9 | 2.1 | 1.4 | 0.984 |
D11159W61 | 223.7 | 228.3 | 4.6 | 2.9 | 1.269 |
| 310.9 | 315.5 | 4.6 | 2.9 | 0.696 |
| 349.0 | 364.2 | 15.2 | 9.8 | 0.991 |
| 198.1 | 201.2 | 3.0 | 2.0 | 0.857 |
D11230W65 | 442.0 | 469.4 | 27.4 | 17.6 | 1.389 |
| 474.0 | 484.2 | 10.2 | 6.6 | 0.826 |
* True widths are estimates based on current available data and may be
subject to change.
All eight holes penetrated the Shear Zone, with four holes indicating
more than one highly altered zone. All are part of the Shear, or are
closely related splays or branches off the main Shear.
Several holes also indicate the potential to expand the higher grade
Newmont Zone (below the Monarch area).
P&E Mining Consultants Inc. ("P&E") is currently preparing an updated NI
43-101 report to reflect the results of the Company's 2011 drilling
program. The July 2011mineral resource estimate completed by P&E
estimated an Indicated mineral resource of 686,600 gold ounces within
6.83 million tons at an average grade of 0.101 opt (3.45 gpt) Au and an
Inferred mineral resource of 282,400 gold ounces contained within 1.79
million tons at an average grade of 0.158 opt (5.42 gpt) Au. Using a
gold to silver price ratio of 55.6:1, P&E estimated an Indicated
mineral resource of 719,000 gold equivalent ("AuEq") ounces within 6.83
million tons at an average grade of 0.106 opt (3.63 gpt) AuEq and an
Inferred mineral resource of 290,000 AuEq ounces within 1.79 million
tons at an average grade of 0.163 opt (5.59 gpt) AuEq. Gold cut-off
grades of 0.041 opt (1.41 gpt) for open pit and 0.113 opt (3.87 gpt)
for underground resources were established from metal prices, expected
recoveries, and estimated operating costs (see news release dated July
21, 2011).
Following completion of NI 43-101 resource estimate, P&E will prepare a
Preliminary Economic Assessment of the Project, as the Company advances
permitting and development of the mine.
Qualified Person
Information of a technical nature in this news release regarding Atlanta
has been reviewed by Edward D. Fields who is a designated "Qualified
Person" under NI 43-101. Mr. Fields is a Registered Member of the
Society for Mining, Metallurgy, and Exploration, Inc.
Quality Control and Assurance
Drill samples were handled and assayed in accordance with NI 43-101
standards. Assaying was done by Inspectorate America Corporation of
Sparks, Nevada, U.S.A. Samples were 30-gram fire assays of split
NQ-sized core (1⅞ inches in diameter). Quality control and assurance
of the analytical results is maintained by inserting standards, blanks,
and duplicates into the sample run, approximately every twenty samples
at the project site.
About the Company
Atlanta Gold Inc. holds through its 100% owned subsidiary, Atlanta Gold Corporation,
leases, options or ownership interests in its Atlanta properties which
comprise approximately 2,159 acres (8.74 square kilometres) located 90
air kilometres east of Boise, in Elmore County, Idaho. A long history
of mining makes Atlanta very suitable for development of new mining
projects. The Company is focused on advancing its core asset, Atlanta,
towards mine development and production.
Forward-Looking Information
This news release contains forward-looking information and
forward-looking statements (collectively "forward-looking statements")
within the meaning of applicable securities laws. All statements, other
than statements of historical fact, are forward-looking statements. We
use words such as "may", "intend", "will", "should", "anticipate",
"plan", "expect", "believe", "estimate" and similar terminology to
identify forward-looking statements, including with respect to the
interpretation of the exploration results received, the open pit mining
plan, the ability to mine below the pit horizon and the completion of a
preliminary economic assessment. Such are based upon assumptions,
estimates, opinions and analysis made by management in light of its
experience, current conditions and its expectations of future
developments as well as other factors which it believes to be
reasonable and relevant. These assumptions include those concerning the
accuracy of historical records, the accuracy of the Company's resource
estimates and of the geological, metallurgical and price assumptions on
which the estimates are based, the availability of adequate financing
and the ability to achieve operating cost estimates. Forward-looking
statements involve known and unknown risks, uncertainties and other
factors that may cause our actual results to differ materially from
those expressed or implied in the forward-looking statements and
accordingly, readers should not place undue reliance on those
statements. Risks and uncertainties that may cause actual results to
vary include, but are not limited to, the speculative nature of mineral
exploration, development and mining (including uncertainties with
respect to the interpretation of geology, continuity, size and grade
estimates and recoverability of mineral reserves and resources);
insufficient funding or delays in raising additional financing on
satisfactory terms; operational and technical difficulties which could
increase operating and/or capital costs; risks and hazards associated
with the business of mineral exploration, development and mining,
including environmental hazards, changes in laws or regulations and the
risk of obtaining necessary licenses and permits; fluctuations in
resource prices and in currency exchange rates; changes in general
economic conditions and in the financial markets; as well as other
risks and uncertainties which are more fully described in the Company's
annual and quarterly Management's Discussion and Analysis and in other
Company filings with securities and regulatory authorities which are
available at www.sedar.com. Should one or more risks and uncertainties materialize or should any
assumptions prove incorrect, then actual results could vary materially
from those expressed or implied in the forward-looking statements and
accordingly, readers should not place undue reliance on those
statements.
Readers are cautioned that the foregoing lists of risks, uncertainties,
assumptions and other factors are not exhaustive. The forward-looking
statements contained in this news release are made as of the date
hereof and the Company undertakes no obligation to update publicly or
revise any forward-looking statements contained herein or in any other
documents filed with securities regulatory authorities, whether as a
result of new information, future events or otherwise, except in
accordance with applicable securities laws.
NEITHER THE 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.
<table> <tr valign="top"> <td align="left"> Atlanta Gold Inc.:<br/> <br/> Bill Baird<br/> Vice President & CFO<br/> Telephone: (416) 777-0013<br/> Fax: (416) 777-0014<br/> E-mail: <a href="mailto:info@atgoldinc.com" cr="true">info@atgoldinc.com</a> </td> <td align="right"> </td> <td align="left" valign="top"> CHF Investor Relations:<br/> <br/> Juliet Heading<br/> Senior Account Manager<br/> Telephone: (416) 868-1079, extension 239<br/> Fax: (416) 868-6198<br/> E-mail: <a href="mailto:juliet@chfir.com" cr="true">juliet@chfir.com</a> </td> </tr> </table>