PHASE I CONFIRMATION DRILL AND RESOURCE EXPANSION PROGRAM PROGRESSING AT LEMHI GOLD PROJECT, IDAHO
Northern Vertex Capital Inc. has provided an update on the progress of its 2012 exploration and development programs on its newly consolidated Lemhi gold project in Idaho, its Moss gold-silver project in Arizona, and its Copley gold project in central British Columbia. The Company reports that budget allocations for drilling contracts, technical and manpower requirements for multi-phase exploration and drill programs at both the Lemhi Gold and Moss have been finalized for the Q1 and Q2, 2012 multi-phase programs.
States Northern Vertex CEO, Ken Berry, "We are pleased to report on Company activities as we prepare for a busy year ahead. Our main objective this year is to aggressively develop our gold and silver assets by building on our established ounces. Supported by our recent
$13.3 million non-brokered financing, we are currently well funded for an extensive confirmation drill and resource expansion program on the Lemhi Gold project and to accelerate activities at Moss. On the acquisition front, we will continue to evaluate accretive opportunities to grow the company".
Consolidated Lemhi Gold Project, Idaho
The Company reports its newly acquired Lemhi Gold project will be the site of extensive drilling and resource development over the current year. Through an upcoming $7.7 million, Phase I development and confirmation drill and resource expansion program, Northern Vertex will be applying the same proven resource growth model to Lemhi that it recently applied to its Moss project in Arizona that resulted in proving up a substantial NI 43-101 gold-silver resource in less than 7 months.
The objective of the upcoming 30,000 foot, Phase I confirmation drill and resource expansion program will be to begin proving up and bringing to 43-101 standards the extensive historical gold resource contained within the property's boundaries. Northern Vertex's Lemhi Project was recently assembled from four underlying property holders to form a newly consolidated advanced exploration opportunity. The Lemhi Gold Project includes Yamana's interest in the Humbug Gold Deposit and has a historical non-compliant 43-101 resource of 32.36 million short tons at a grade of 0.0375 ounces per short ton for 1.21 million contained ounces of gold, as reported by Pincock Allen & Holt in 1996 (the "PAH Report").
Northern Vertex cautions that a qualified person has not done sufficient work to classify the historical estimate, or has substantiated any data as it pertains to a pre-feasibility study, as current mineral resources or mineral reserves, therefore, it should not be relied upon on as actual resource or reserve estimates, and should be construed only as conceptual in nature. The Company is treating the historical estimate only a guideline to determining potential future mineral resources or mineral reserves, and not as current mineral resources or mineral reserves.
Moss Gold-Silver project, Arizona
The Company reports a phase II drill program recently commenced on the Moss Gold-Silver project in Arizona. The current program is supported by the favorable conclusions returned from a recent Independent Resource Calculation conducted on Moss by Scott E. Wilson Consulting that estimated Moss contains a gold Equivalent Indicated resource of 483,792 ounces and 106,628 Inferred ounces. The current program is designed to test the newly discovered western extension of the Moss Gold-Silver stockwork system.
Copley Gold Project, B.C., Canada:
The Company is awaiting assay results from a recent phase II drill program on its Copley gold property situated south of Fraser Lake in British Columbia's Nechako Plateau. A total of 12 drill holes have been completed to test the project's Smoking Pipe target where previous results indicated the mineralized zoning identified on the property is near surface and the zones of gold-enriched rocks identified in the system thicken to the west. Previous drilling on Copley included a 33 m intersection that returned grades of 0.271 g/t Au in hole 01-04. Of the
33 m: 5.6 m averaged 0.68 g/t Au, and 1.4 m averaged 1.57 g/t Au.
Company Geologist Dr. Bob Thompson notes the geological characteristics of Copley are similar to that of New Gold's Blackwater project, located 40 km the south.
The foregoing geological disclosure has been reviewed Dr. Bob Thompson, PhD P.Eng (a qualified person for the purpose of National Instrument 43-101, Standards of Disclosure for Mineral Projects).