COEUR DA'ALENE, Idaho, March 25, 2014 (GLOBE NEWSWIRE) -- New Jersey Mining Company ("NJMC" or the "Company") (OTC:NJMC) today announced more results from its recent underground channel sampling program at the McKinley Mine in central Idaho.
Channel samples were acquired from mine ribs and stoped areas at three separate zones on the same mine level. Out of the final 34 (of 104 total) samples analyzed, 16 returned gold assays exceeding 0.12 ounces per ton gold (opt) (or 4 grams per ton gold (gpt)). Highlights include:
- a 29.5-foot continuous channel (consisting of 6 separate samples) that returned a weighted average grade of 0.51 opt gold (9.0 meters of 17.47 gpt gold), including a 5-foot sample that returned 2.32 opt gold (1.5 meters of 79.3 gpt gold).
- a 2-foot continuous channel that returned 2.29 opt gold (0.6 meters of 78.5 gpt gold).
Other highlights include a 7-foot channel that returned 0.45 opt gold (2.1 meters of 15.55 gpt gold), a 3.5-foot channel that returned 0.50 opt gold (1.1 meters of 17.25 gpt gold), and a 2-foot channel that returned 0.67 opt gold (0.6 meters of 17.25 gpt gold). The weighted average grade of the continuous zones is based on the sample weights as reported by ALS Chemex. The channel lengths reported above are not true widths across the vein system.
NJMC CEO Del Steiner stated, "With available capacity just a few hours away at our New Jersey Mill, we are assessing the McKinley project for near-term production capability. The historic McKinley Mine has 3,900 feet of underground workings on four levels with two entrances, all of which remain in good condition, providing access to gold-bearing veins. We have advanced our work from chip sampling to channel sampling while we actively map and model the larger property, which includes other historic mines. Our near-term goal, for NJMC or a development partner, is to identify high-grade drill targets and delineate mineable tonnage."
NJMC's channel sampling program was conducted by a 2 to 4 man crew over a 3-week period. The crew used a specialized, two-bladed cut and break power saw to obtain channels 1-inch wide and up to 2-inches deep. All assays were performed by ALS Chemex.
Resulting data will supplement 195 rock chip samples already acquired to facilitate underground mapping for mineable grades. The process will soon be repeated at the nearby Big Easy Mine. Meanwhile, surface sampling of ridges and outcrops is also ongoing, providing data for geological mapping of the zone between the two mines.
The next exploration phase at the McKinley Mine will include surveying the underground workings, underground mapping, and detailed surface mapping over the immediate mine area to help determine mineralized body geometry and develop targets for a future drill program.
NJMC holds an exclusive exploration and mining lease on the McKinley Project, which covers several historic mines and prospects, including the McKinley Mine, Ibex Mine, and Big Easy Mine, on private land located in central Idaho near the town of Lucile. NJMC has received all rights and agreements, intellectual property, historic and recent due diligence, surveys and maps, along with a 12-month option to purchase the historic McKinley Mine, located on 62 acres within the overall land package.
About New Jersey Mining Company
The new management team at New Jersey Mining Company (NJMC) is implementing a new business plan. NJMC is located in North Idaho's Silver Valley where it built and is the majority-owner and operator of a fully-permitted 360-tonne per day flotation mill and concentrate leach plant. The Company is actively engaging clients for custom milling contracts while also pursuing its own small-scale production opportunities.
The Company also owns a 47.88-percent interest in the Golden Chest LLC which controls the Golden Chest Mine, a historical gold producer with more than 12,000 feet of underground workings. Since 2003, more than $6-million has been spent on exploration, drilling, and development at the Golden Chest Mine, including more than $5-million by Marathon Gold since 2010. Golden Chest LLC recently leased a portion of the Golden Chest Mine to Juniper Resources, a mine development and production company.
The Company's common stock trades on the OTC Market under the symbol "NJMC".
Forward Looking Statements
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.