LA JOLLA, Calif., Aug. 14, 2009 (GLOBE NEWSWIRE) -- Tonogold Resources, Inc. (Pink Sheets:TNGL) has leased 120 unpatented mining claims (2,400 acres) covering key portions of the Goldstrike District in Washington County, Southwest Utah. Goldstrike is an advanced gold exploration project.
The Goldstrike property consists of two mining leases covering areas of shallow historic open pits, separate unmined areas with thick gold drill intercepts, and untested structural and stratigraphic extensions. Lease terms are for ten years with an option for renewal, a total annual work commitment of $25,000, and annual bonus and advance minimum royalty payments.
Pre-modern mining at Goldstrike on high grade veins followed immediately after the 1904 discovery of a 28-pound gold nugget. Modern exploration began with Gold Resources, Inc in 1975. Disseminated gold deposits were announced in the 1980s by other companies, and mining soon followed. A series of twelve shallow open pits were mined by Tenneco and later USMX from 1989 to 1996 for a cumulative production of 280,000 ounces of gold.
Goldstrike's ores were mined from Tertiary conglomerates, Tertiary andesites and rhyolites, and Pennsylvanian limestone. The last phase of close-spaced exploration drilling at Goldstrike ended in the 1990's. Thick, shallow, apparently oxidized gold intercepts were encountered in close-spaced drilling during this last exploration phase beneath the southwestern slopes of Mineral Mountain. The best historic drill intercept at Mineral Mountain was reported to be 110 feet of 4.3 gpt Au (BR-21).
The Mineral Mountain gold mineralization occurs in a northwest-striking structural zone incorporating all of the above stratigraphic units and is open along strike and down dip. Tonogold's first priority at Goldstrike will be to verify the historic mineralized drill intercepts on the slopes of Mineral Mountain. Tonogold has acquired past exploration data on the areas of interest at Goldstrike and is preparing a summary report.
Tonogold Resources, Inc. is a minerals exploration company based in La Jolla, California. For more information on the Company visit their website www.tonogold.com.
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
This press release contains certain forward-looking information about Tonogold Resources, Inc. ("Tonogold") which is intended to be covered by the safe harbor for "forward-looking statements" provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. Words such as "expect(s)," "feel(s)," "believe(s)," "will," "may," "anticipate(s)," and similar expressions are intended to identify forward-looking statements. These statements include, but are not limited to, financial projections and estimates and their underlying assumptions; statements regarding plans, objectives and expectations with respect to future operations, products and services; and statements regarding future performance. Such statements are subject to certain risks and uncertainties, many of which are difficult to predict and generally beyond the control of Tonogold Resources, Inc., that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. These risks and uncertainties include: our lack of operating revenue and earnings history, our need for additional capital to pursue our business strategy, the grade and quantity of minerals in our projects may not be economic, we do not have fee title to our properties, but derive our rights through leases and the Mining Law, we are a non-reporting company and as such do not make periodic filings with the Securities and Exchange Commission, we trade on the Pink Sheets and there can be no assurances that a liquid market will develop in our securities, mining is subject to extensive environmental regulations and can create substantial environmental liabilities, gold and silver are commodities which have substantial price fluctuations, a drop in gold and/or silver prices could adversely affect future profitability and/or capital raising efforts, and mining can be dangerous and present operational hazards for employees and contractors. Readers are cautioned not to place undue reliance on these forward-looking statements. Tonogold does not undertake any obligation to republish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.