Vancouver, British Columbia, Canada. December 7th, 2010. Columbus Gold Corporation (CGT: TSX-V
) ("Columbus Gold
" or the "Company
") is pleased to announce that drilling has commenced on the Company's Guild Project where joint venture partner Sniper Resources Ltd., is earning an initial 51% interest by undertaking staged annual exploration expenditures totaling US$2 million by October 2nd, 2012.
The current first phase of the 24 drill hole program consists of 8 RC drill holes 500-600 feet in length (150-180m) for a total of 4,000 - 4,800 feet (1,200-1,450 m) of drilling.
Carlin-style gold mineralization is the target at Guild where a silicified ledge in Ordovician limestone carries gold values (thirty samples average 1.9 g/t (0.054 opt) gold) over 55 metres (180 feet) of its 700 metre (2,300 ft) total strike length. This jasperoid ledge formed along a northerly-trending structure which appears to extend south under what is thought to be a thin veneer of post-ore volcanic rocks.
A number of untested drill targets have been identified from geochemical sampling and mapping programs. A gravity survey as well as several line miles of CSAMT has been completed in order to identify the important overlaid structures. The principal target is an ore-controlling structure which extends for 1.6 km (1 mile) under shallow post-ore cover between the main Guild gold showing and a jasperoid in an area to the south, where it crosses the inferred position of the Roberts Mountain Thrust Fault. In addition, the structure should cut the Mississippian Webb Formation in the south end of the block (host for the Rain, Dee, and various other Nevada disseminated gold mines). Preliminary reconnaissance has recently found hydrothermal alteration in the form of silicification and barite veining in the Webb.
Andy Wallace is a Certified Professional Geologist (CPG) with the American Institute of Professional Geologists and is the Qualified Person under NI 43-101 who has reviewed and approved the technical contents of this news release. Mr. Wallace is a VP of Columbus Gold's wholly-owned US operating subsidiary, Columbus Gold (U.S.) Corporation and is the principal of Cordilleran Exploration Company ("Cordex"), which is conducting exploration and project generation activities for Columbus Gold on an exclusive basis.
About Columbus Gold
Columbus Gold Corporation is a gold exploration company pursuing early to advanced stage opportunities primarily in Nevada. The Company is an experienced project generator focused on advancing projects either through joint venture with industry partners or on its own where exploration risk is minimized and potential is particularly promising. Exploration and generative activities are managed by Cordilleran Exploration Company owned and operated by Andy Wallace who has a long and successful history of gold discovery and mine development in Nevada. The Company currently has 12 of its 23 projects joint ventured to major and junior mining companies, including Agnico-Eagle Mines Limited.
ON BEHALF OF THE BOARD,
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.
For more information contact:
This release contains forward-looking information and statements, as defined by law including without limitation Canadian securities laws and the "safe harbor" provisions of the US Private Securities Litigation Reform Act of 1995 ("forward-looking statements"), respecting drilling, Sniper Resources Ltd.'s ("Sniper") earn-in to the Company's property, and the Company's general exploration plans. Forward-looking statements involve risks, uncertainties and other factors that may cause actual results to be materially different from those expressed or implied by the forward-looking statements, including without limitation the ability to acquire necessary permits and other authorizations; Sniper's ongoing willingness and ability to earn into the project; environmental compliance; cost increases; availability of qualified workers and drill equipment; competition for mining properties; risks associated with exploration projects, mineral reserve and resource estimates (including the risk of assumption and methodology errors); dependence on third parties for services; non-performance by contractual counterparties; title risks; and general business and economic conditions. Forward-looking statements are based on a number of assumptions that may prove to be incorrect, including without limitation assumptions about: general business and economic conditions; the timing and receipt of required approvals; the assumption that Sniper will be willing and able to continue work on the project and to earn in to same; availability of financing; power prices; ability to procure equipment and supplies including without limitation drill rigs; and ongoing relations with employees, partners and joint venturers. The foregoing list is not exhaustive and we undertake no obligation to update any of the foregoing except as required by law.