KELLOGG, Idaho, Dec. 5, 2011 (GLOBE NEWSWIRE) -- New Jersey Mining Company (OTCBB:NJMC) is pleased to announce the drill intercept of 18.1 meters of 4.59 g/t gold (true thickness) in drill hole GC 11-63 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.
"Since the commencement of this 10,000 m drilling program, we have had consistent encouraging results at Golden Chest. These intercepts demonstrate that the open pit potential extends beyond the historic open pit resource. We anticipate the release of a NI 43-101 compliant resource estimate in Q1 2012 and in an effort to continue developing and expanding this deposit, Golden Chest will be undergoing an aggressive drilling program in 2012. We have seen significant advancements at Golden Chest in 2011 and we anticipate further advancements with a large 2012 drill program," stated Phillip Walford, President and CEO of Marathon Gold Corporation.
All grades in this release are uncut, and all thicknesses are estimated true thicknesses
Highlights:
- GC 11-63 returned 4.59 g/t gold over 18.1 m (true thickness) from 46.2 meters down the hole.
- GC 11-56 returned 1.83 g/t gold over 23.7 m (true thickness) from 99.4 meters down the hole.
- GC 11-64 returned 1.27 g/t gold over 27.0 m (true thickness) from 67.7 meters down the hole including 1.6 m (true thickness) of 13.4 g/t gold from 10.0 meters to 11.6 meters.
| Table 1 – Significant Drill Intersections at the Golden Chest Mine | ||||||
| DDH | Section | From (m) | To (m) | Core Width (m) | True Thickness (m) | Gold (g/t) |
| GC 11-50 | 4475 | 95.6 | 112.0 | 16.4 | 12.9 | 0.35 |
| and | 128.0 | 137.0 | 9.0 | 7.1 | 1.15 | |
| GC 11-56 | 4525 | 99.4 | 135.5 | 36.1 | 23.7 | 1.83 |
| GC 11-58 | 4400 | 14.5 | 101.7 | 87.2 | 12.6 | 1.52 |
| GC 11-60 | 4500 | 24.1 | 31.2 | 7.1 | 4.8 | 0.52 |
| and | 56.8 | 85.0 | 28.2 | 18.8 | 0.67 | |
| GC 11-61 | 4500 | 33.2 | 46.2 | 13.0 | 12.9 | 1.05 |
| GC 11-62 | 4550 | 36.2 | 47.7 | 11.5 | 7.6 | 2.25 |
| and | 84.3 | 101.3 | 17.0 | 11.2 | 0.30 | |
| GC 11-63 | 4550 | 46.2 | 84.7 | 38.5 | 18.1 | 4.59 |
| GC 11-64 | 4550 | 9.0 | 36.0 | 27.0 | 27.0 | 1.27 |
| including | 10.0 | 11.6 | 1.6 | 1.6 | 13.4 | |
| GC 11-65 | 4550 | 23.2 | 43.8 | 20.6 | 12.1 | 0.85 |
| GC 11-66 | 4475 | 19.8 | 34.2 | 14.4 | 9.4 | 0.83 |
| GC 11-67 | 4475 | 28.0 | 36.3 | 8.3 | 6.7 | 0.65 |
| GC 11-68 | 4475 | 49.2 | 82.2 | 33.0 | 19.0 | 0.66 |
| Note that hole numbers missing in the sequence above may have already been released, are in the process of being logged by geologists, or are awaiting assay analysis. | ||||||
Initial results from the N 4550 section indicate that there may be a higher grade ore shoot present on the north end of the 25 meter grid. Core drilling is now focused on 50 meter step-out holes along strike to the north with the goal of increasing the open pit resource. Drilling will continue on surface until the weather no longer permits it. Two drill rigs are currently working on open pit resource drilling and have completed approximately 10,000 meters to date.
An initial NI 43-101 report has been filed, but it does not include a new resource estimate based on current drilling. The resource estimation using this year's drilling results is scheduled to be completed by the first quarter of 2012.
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 JV 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.