KELLOGG, Idaho, Feb. 28, 2012 (GLOBE NEWSWIRE) -- New Jersey Mining Company (OTCBB:NJMC) is pleased to announce the drill intercept of 26.2 meters of 2.20 g/t gold (true thickness) in drill hole GC 11-90 from a core drilling program underway at the Golden Chest mine in Murray, Idaho. The Golden Chest is owned 50% by NJMC and 50% by Marathon Gold Corporation (TSX:MOZ) and NJMC is the operator.
"These drill holes are encouraging as they demonstrate that there is expanded open pit potential at the Golden Chest Mine. With two drills currently turning, we anticipate that this year's 20,000 m drill program will further define the full potential of the deposit," stated Phillip Walford, President and CEO of Marathon Gold.
All grades in this release are uncut, and all thicknesses are estimated true thicknesses.
Highlights:
- GC 11-90 returned 2.20 g/t gold over 26.2 meters from 24.4 meters to 60.2 meters including 4.5 meters of 9.55 g/t gold. This hole was drilled on the 4700N section which is 150 meters north of Idaho Hill, where most of the open pit resource drilling was completed in 2011, which is encouraging for expanding the open pit resource area.
- GC 11-98 returned 2.27 g/t gold over 17.7 meters from 4.0 meters to 21.7 meters down the hole. This hole was drilled 300 meters north of Idaho Hill.
- NI 43-101 resource estimation work is underway using the 11,300 meters of drilling completed during 2011. The resource is expected to be completed in the first quarter of 2012.
Table 1 – Drill Intersections at the Golden Chest Mine
|
DDH |
Section |
From (m) |
To (m) |
Core Width (m) |
True Thickness (m) |
Gold (g/t) |
| GC 11-89 | 4700N | 17.6 | 29.9 | 12.3 | 12.3 | 0.20 |
| GC 11-90 | 4700N | 24.4 | 60.2 | 35.8 | 26.2 | 2.20 |
| including | 24.4 | 30.5 | 6.1 | 4.5 | 9.55 | |
| GC 11-91 | 4650N | No significant intercepts | ||||
| GC 11-92 | 4725N | 4.4 | 13.1 | 8.7 | 6.3 | 1.00 |
| GC 11-93 | 4700N | 8.8 | 16.0 | 7.2 | 7.2 | 0.41 |
| GC 11-94 | 4750N | No significant intercepts - footwall | ||||
| GC 11-95 | 4750N | No significant intercepts - footwall | ||||
| GC 11-96 | 4750N | No significant intercepts - footwall | ||||
| GC 11-97 | 4800N | 4.1 | 12.8 | 8.7 | 7.5 | 0.89 |
| GC 11-98 | 4825N | 4.0 | 21.7 | 17.7 | 17.7 | 2.27 |
| GC 11-99 | 4825N | 77.3 | 80.2 | 2.9 | 0.9 | 1.69 |
| 4825N | 90.4 | 123.0 | 32.6 | 10.5 | 0.61 | |
| GC 11-100 | 4850N | 30.8 | 39.1 | 8.3 | 8.1 | 1.00 |
Drill holes GC 11-94, GC 11-95, and GC 11-96 were collared in the footwall of the Idaho fault and, apparently outside of the main mineralized zone.
Currently, there are two core drills working on the property. One drill is working to expand the Idaho vein underground resource down-dip below the No. 3 Level while the second drill is targeting the southern extension of the gold mineralization.
The Golden Chest Mine
The Golden Chest Mine is located two miles east of Murray, Idaho within the gold belt of the Coeur d'Alene Mining District. The mine has over 3,900 meters of underground workings and has the permits necessary to drill and operate on the deposit. The property includes 24 patented mining claims and 70 unpatented mining claims covering 515 hectares. The patented claims that cover the mine workings have mineral and surface rights enabling the joint venture to work easily on the mine property.
All of the samples were analyzed by American Analytical of Osburn, Idaho, an ISO certified laboratory. Samples were analyzed using lead collection fire assay with a gravimetric finish. A series of known assay standards are submitted with each drill hole as part of a quality assurance- quality compliance program.
About New Jersey Mining Company:
New Jersey Mining Company is involved in exploring for and developing gold, silver and base metal resources in the Coeur d'Alene Mining District of northern Idaho. New Jersey Mining Company has a portfolio of mineral properties in the Coeur d'Alene Mining District including the New Jersey Mine, which includes a fully-permitted flotation mill and a concentrate leach plant.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended that are intended to be covered by the safe harbor created by such sections. Such statements are based on good faith assumptions that New Jersey Mining Company believes are reasonable but which are subject to a wide range of uncertainties and business risks that could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Factors that could cause actual results to differ from those anticipated are discussed in New Jersey Mining Company's periodic filings with the Securities and Exchange Commission.