Midas Gold Corp. (TSX:MAX) today announced assay results from its
ongoing infill and step-out core drilling program from the Yellow
Pine and West End deposits on its Golden Meadows Project, Idaho.
These most recent results both confirm the presence of inferred
gold mineralization within the resource-limiting pit shells and
document additional high grade gold mineralization outside of
previous mineral resource boundaries.
Significant assay results from these most recent drill holes are
summarized in Table 1, below, with more detailed results in Table 2
at the end of this release. Additional results from the ongoing
program will be released when assays are received and
validated.
Table 1: Highlights of Recent Drill Results from Yellow Pine & West End
Deposits
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Hole From To Interval Gold Silver
Hole-ID Type Area (m) (m) (m) (g/t) (g/t)
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MGI-12-307(1) Core Yellow Pine 201.0 250.6 49.5 5.42 2.5
---------------------------------------------------------------------------
Including 230.7 246.6 15.9 12.29 5.4
---------------------------------------------------------------------------
MGI-12-309 Core West End 139.0 200.7 61.7 1.97 3.7
---------------------------------------------------------------------------
Including 174.7 198.4 23.8 3.19 7.6
---------------------------------------------------------------------------
MGI-12-310 Core Yellow Pine 123.9 161.4 37.5 2.94 2.1
---------------------------------------------------------------------------
Including 141.6 159.4 17.8 5.43 2.9
---------------------------------------------------------------------------
1. Based upon the current 3D interpretation of the West End and Yellow
Pine deposits, the intervals quoted here are at or near true thickness
and are composited using a 0.5 g/t Au cut-off and may include short
intervals of internal waste below the cut-off grade. Intervals
denoted (1) are likely to have true widths less than the interval
reported herein.
"This fall's in-fill and step-out drilling programs at the
Yellow Pine and West End deposits continue to improve confidence in
our inferred mineral resources and to expand the overall limits to
mineralization," said Stephen Quin, President and CEO of Midas Gold
Corp. "We are especially pleased with the results of drill hole
MGI-12-307 as it demonstrates lateral continuity of a new
high-grade zone at the Yellow Pine deposit."
2012 Drill Program
Midas has completed over 46,000m of core and RC drilling as part
of its 2012 drilling program, and currently has three core rigs
operating on site after having as many as nine rigs operating over
the summer months.
Yellow Pine
Recent drilling activities in the Yellow Pine deposit are part
of Midas Gold's ongoing resource development drilling program which
consists of: (1) in-fill drill holes designed to convert inferred
mineral resources to the indicated category, (2) step-out drill
holes targeting new areas of gold mineralization adjacent to
existing mineral resources and, (3) drill holes for geotechnical
and metallurgy purposes. Generally, the in-fill drilling program
has been successful in confirming the presence of inferred mineral
resources at Yellow Pine. Some infill drill holes have cut
mineralization assaying higher grade than predicted but over
shorter widths while others are intersecting longer intervals of
slightly lower grade material than predicted in the models. In
addition, a number of step-out holes have intersected significant
mineralization outside the resource limits, especially west of the
old Yellow Pine pit and in the northeast of Yellow Pine. "Overall,
we are pleased with the results of the in-fill and step-out
drilling program. Our inferred resources are generally holding
together under tighter drill spacing and we anticipate successful
conversion of a substantial majority of the mineral resources to
the indicated category in preparation for our updated technical
study," said Stephen Quin.
Drill hole MGI-12-307, located at the northern end of the
Homestake area of the Yellow Pine deposit, was drilled through the
margin of the resource-limiting conceptual pit shell for
geotechnical purposes and intersected high-grade gold
mineralization over significant widths. The hole was completed
north of other new, significant intercepts in this area, including
those in holes MGI-12-263 and MGI-12-267, reported previously. Gold
mineralization in this area occurs within and adjacent to a
structural corridor along the contact between the metasedimentary
roof-pendant and igneous rocks of the Idaho batholith. The
mineralized zone is characterized by strong silicification and
sulphide mineralization and contains short intervals assaying
significantly higher grade than the broadly disseminated gold
mineralization characteristic of the main body of the Yellow Pine
deposit. The zone occurs below the historic property boundary
separating land parcels previously controlled by different
operators prior to Midas Gold's consolidation of district mineral
rights in 2011. Because of this, the area received minimal historic
drill testing. With additional drilling, this new zone may
constitute a significant addition to Yellow Pine mineral
resources.
West End
Production of oxide heap leach gold ores from the West End pit
ceased in the 1990's, but gold mineralization was documented
continuing well below the pit bottom by past exploration and
development drilling. Midas Gold initiated drilling in the West End
deposit in 2010 and the 2012 drilling campaign was designed to: (1)
confirm historic drill data, (2) in-fill and convert inferred
resources to indicated and (3) step-out around and below the
modeled resource pit bottom.
Drill holes MGI-12-269, MGI-12-295, MGI-12-305 and MGI-12-309,
reported herein, were drilled to improve confidence in inferred
mineral resources. These holes cut mineralization at significant
depth, where predicted, demonstrating the reliability of the West
End structural model. Drill holes MGI-11-120 and MGI-11-121,
pre-collared in 2011 and completed in 2012 as part of Midas Gold's
ongoing geotechnical pit slope stability program, cut
mineralization beneath and adjacent to the modeled
resource-limiting conceptual pit.
Exploration Permitting
Midas Gold has been advised that the US Forest Service's record
of decision in respect of permitting of certain drilling activities
planned for 2013 on US Forest Service land has been appealed. Midas
Gold is reviewing the basis of the appeal. In the meantime,
drilling activities continue under existing permits on Midas Gold's
private land and US Forest Service land.
Illustrations
To view the locations of current drill holes, please click here:
http://media3.marketwire.com/docs/MAX1121.pdf
Quality Assurance
The technical information in this news release has been prepared
in accordance with Canadian regulatory requirements set out in
National Instrument 43-101 ("NI43-101") and reviewed and approved
by Stephen P. Quin, P. Geo., President and CEO of Midas Gold Corp.,
and a Qualified Person. The exploration activities at Golden
Meadows were carried out under the supervision of Richard Moses,
CPG, Qualified Person and Field Operations Manager for the Golden
Meadows Project.
Samples are transported, handled and stored with chain of
custody procedures. Core is sawed or split in representative halves
with one half submitted to the laboratory for analysis and the
second half of the split saved for archival purposes. Typical core
samples are 1-2m in length. All gold assays are by a 30g Fire Assay
charge followed by an atomic absorption finish (with a 0.002g/t
lower reporting limit). Samples reporting values greater than 6g/t
are re-analyzed using a 30g Fire Assay charge followed by a
gravimetric finish. All composites utilize a 0.5g/t cut off and may
include internal waste. Silver is analyzed via a 4-acid digestion
followed by an ICP finish (with a 1.0g/t lower reporting limit).
Samples reporting values greater than 10g/t Ag are reanalyzed using
a 50g Fire Assay charge followed by a gravimetric finish. Some
intervals may not add or subtract correctly due to rounding, but
are deemed insignificant. Analyses are carried out by ALS CHEMEX in
their Reno and Winnemucca, Nevada and Vancouver, British Columbia
laboratories. Umpire samples are routinely submitted to third party
labs and blank and standard samples are used for quality assurance
and quality control and a review of the results of analyses of the
blanks, standards and duplicates by the Company's Qualified Person
indicates values are within normal and acceptable ranges.
About Midas Gold and the Golden Meadows Project
Midas Gold Corp., through its wholly owned subsidiaries Midas
Gold Inc., and Idaho Gold Resources, LLC, is focused on the
exploration and, if warranted, development of the Golden Meadows
Project in the Stibnite-Yellow Pine district of central Idaho. The
principal gold deposits identified to date within the Golden
Meadows Project are the Hangar Flats, West End and Yellow Pine
deposits, all of which are associated with important structural
corridors. Independent mineral resource estimates were reported for
all three deposits in a news release dated June 27, 2012 and are
detailed in a consolidated technical report entitled "Preliminary
Economic Assessment Technical Report for the Golden Meadows
Project, Idaho" dated August 15, 2012, (the "Technical Report") is
available on Midas Gold's website at www.midasgoldcorp.com or under
Midas Gold's profile on SEDAR at www.sedar.com. This Preliminary
Economic Assessment outlines a concept for the development of a
large scale, long life, low cost open pit gold mining operation
producing gold and by-product antimony based on the estimated
mineral resource, as well as outlining a number of opportunities
for potential enhancement of the conceptual project.
Yellow Pine is a significant past producer of gold, silver,
antimony and tungsten from the 1930s through the mid-1950s. The
Homestake deposit located at the northeast end of the Yellow Pine
deposit and was operated by Hecla Mining Company from 1987 through
1989. The area between Yellow Pine and Homestake, known as the
Clark Tunnel prospect, was the site of early 1930's and 1940's era
exploration, but no mining has occurred and it has seen only
minimal modern exploration drilling. Historical geologic, ground
geophysical and drilling data obtained by Midas suggested the
possibility that significant mineralization might be present in
this area and recent drill results confirm this potential. The West
End deposit was the site of open pit mining with heap leach
recovery of gold from the 1970s to the late 1990s.
Forward-Looking Statements
Statements contained in this news release that are not
historical facts are "forward-looking information" or
"forward-looking statements" (collectively, "Forward-Looking
Information") within the meaning of applicable Canadian securities
legislation and the United States Private Securities Litigation
Reform Act of 1995. Forward Looking Information includes, but is
not limited to, disclosure regarding possible events, conditions or
financial performance that is based on assumptions about future
economic conditions and courses of action; the timing and costs of
future exploration activities on the Corporation's properties;
success of exploration activities; permitting time lines and
requirements, requirements for additional capital, requirements for
additional water rights and the potential effect of proposed
notices of environmental conditions relating to mineral claims;
planned exploration and development of properties and the results
thereof; planned expenditures and budgets and the execution
thereof. In certain cases, Forward-Looking Information can be
identified by the use of words and phrases such as "plans",
"expects" or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates",
"potential" or "does not anticipate", "believes", or variations of
such words and phrases or statements that certain actions, events
or results "may", "could", "would", "might" or "will be taken",
"occur" or "be achieved". Statements concerning mineral resource
estimates may also be deemed to constitute forward-looking
statements to the extent that they involve estimates of the
mineralization that may be encountered if the Golden Meadows
Project is developed.
In making the forward-looking statements in this news release,
the Corporation has applied several material assumptions,
including, but not limited to, that any additional financing needed
will be available on reasonable terms; the exchange rates for the
U.S. and Canadian currencies in 2012 will be consistent with the
Corporation's expectations; that the current exploration and other
objectives concerning the Golden Meadows Project can be achieved
and that its other corporate activities will proceed as expected;
that the current price and demand for gold will be sustained or
will improve; that general business and economic conditions will
not change in a materially adverse manner and that all necessary
governmental approvals for the planned exploration on the Golden
Meadows Project will be obtained in a timely manner and on
acceptable terms; the continuity of the price of gold and other
metals, economic and political conditions and operations.
Forward-Looking Information involves known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Corporation to be materially
different from any future results, performance or achievements
expressed or implied by the Forward-Looking Information. Such risks
and other factors include, among others, risks related to the
availability of financing on commercially reasonable terms and the
expected use of proceeds; operations and contractual obligations;
changes in exploration programs based upon results of exploration;
changes in estimated mineral reserves or mineral resources; future
prices of metals; availability of third party contractors;
availability of equipment; failure of equipment to operate as
anticipated; accidents, effects of weather and other natural
phenomena and other risks associated with the mineral exploration
industry; environmental risks, including environmental matters
under U.S. federal and Idaho rules and regulations; impact of
environmental remediation requirements and the terms of existing
and potential consent decrees on the Corporation's planned
exploration on the Golden Meadows Project;
certainty of mineral title; community relations; delays in
obtaining governmental approvals or financing; fluctuations in
mineral prices; the Corporation's dependence on one mineral
project; the nature of mineral exploration and mining and the
uncertain commercial viability of certain mineral deposits; the
Corporation's lack of operating revenues; governmental regulations
and the ability to obtain necessary licences and permits; outcomes
of appeals of regulatory decisions; litigation; risks related to
mineral properties being subject to prior unregistered agreements,
transfers or claims and other defects in title; currency
fluctuations; changes in environmental laws and regulations and
changes in the application of standards pursuant to existing laws
and regulations which may increase costs of doing business and
restrict operations; risks related to dependence on key personnel;
and estimates used in financial statements proving to be incorrect;
as well as those factors discussed in the Corporation's public
disclosure record. Although the Corporation has attempted to
identify important factors that could affect the Corporation and
may cause actual actions, events or results to differ materially
from those described in Forward-Looking Information, there may be
other factors that cause actions, events or results not to be as
anticipated, estimated or intended. There can be no assurance that
Forward-Looking Information will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on Forward-Looking Information.
Except as required by law, the Corporation does not assume any
obligation to release publicly any revisions to Forward-Looking
Information contained in this news release to reflect events or
circumstances after the date hereof or to reflect the occurrence of
unanticipated events.
Table 2: Assay Results to Accompany Midas Gold Corp. News Release dated
November 21, 2012
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Inter- Sil- Anti- Tung-
Hole From To val Gold ver mony sten
Hole-ID Type Area (m) (m) (m) (g/t) (g/t) (%) (%)
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MGI-11-120 Core West 60.8 97.1 36.3 1.30 1.1 0.01 0.001
End
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MGI-11-121 Core West 144.8 172.5 27.7 1.91 11.1 0.01 0.001
End
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Including 159.7 172.5 12.8 2.67 21.6 0.01 0.001
---------------------------------------------------------------------------
MGI-11-121 Core West 232.9 260.6 27.7 1.37 5.4 0.01 0.003
End
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MGI-12-260 RC West 61.0 85.3 24.4 1.26 3.3 0.01 0.002
End
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And 144.8 167.6 22.9 0.57 0.4 0.01 0.002
---------------------------------------------------------------------------
And 173.7 207.3 33.5 1.72 1.3 0.00 0.002
---------------------------------------------------------------------------
And 216.4 245.4 29.0 0.70 1.4 0.01 0.001
---------------------------------------------------------------------------
MGI-12-269 RC West 118.9 179.8 61.0 1.05 0.8 0.01 0.001
End
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Including 149.4 169.2 19.8 1.50 1.0 0.00 0.002
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MGI-12-295 Core West 8.5 27.3 18.8 1.32 4.4 0.01 0.003
End
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And 168.4 179.5 11.1 0.67 0.0 0.00 0.001
---------------------------------------------------------------------------
And 258.3 305.0 46.6 1.03 1.8 0.01 0.002
---------------------------------------------------------------------------
MGI-12-297(2) Core Yellow 48.8 61.0 12.2 3.64 4.0 0.01 0.004
Pine
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MGI-12-303 Core West 149.5 163.4 13.9 0.64 0.8 0.01 0.004
End
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And 202.7 215.5 12.8 3.34 4.1 0.02 0.002
---------------------------------------------------------------------------
MGI-12-304 Core Yellow 29.6 42.7 13.1 0.54 0.0 0.00 0.001
Pine
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MGI-12-305 Core West 61.7 100.3 38.6 0.90 1.0 0.00 0.001
End
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And 107.1 119.8 12.7 0.73 1.1 0.02 0.001
---------------------------------------------------------------------------
And 133.5 144.9 11.4 2.81 2.7 0.01 0.002
---------------------------------------------------------------------------
And 165.5 194.5 29.0 1.15 0.8 0.01 0.001
---------------------------------------------------------------------------
MGI-12-307(1) Core Yellow 64.6 78.6 14.0 0.85 1.6 0.00 0.000
Pine
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And 101.0 121.6 20.6 0.63 0.7 0.00 0.001
---------------------------------------------------------------------------
And 201.0 250.6 49.5 5.42 2.5 0.00 0.002
---------------------------------------------------------------------------
Including 230.7 246.6 15.9 12.29 5.4 0.01 0.002
---------------------------------------------------------------------------
MGI-12-309 Core West 139.0 200.7 61.7 1.97 3.7 0.01 0.003
End
---------------------------------------------------------------------------
Including 174.7 198.4 23.8 3.19 7.6 0.01 0.004
---------------------------------------------------------------------------
And Core West 214.4 237.3 22.9 1.04 0.6 0.00 0.002
End
---------------------------------------------------------------------------
MGI-12-310 Core Yellow 123.9 161.4 37.5 2.94 2.1 0.04 0.001
Pine
---------------------------------------------------------------------------
Including 141.6 159.4 17.8 5.43 2.9 0.09 0.001
---------------------------------------------------------------------------
MGI-12-316 Core West 51.5 63.4 11.9 0.92 1.4 0.01 0.012
End
---------------------------------------------------------------------------
And 112.8 131.1 18.3 0.85 0.9 0.00 0.001
---------------------------------------------------------------------------
MGI-12-317 Core Yellow 235.8 254.1 18.3 0.68 1.7 0.05 0.001
Pine
---------------------------------------------------------------------------
MGI-12-318 Core Yellow 60.4 72.2 11.9 1.06 1.7 0.00 0.001
Pine
---------------------------------------------------------------------------
MGI-12-322 Core Yellow 35.7 51.8 16.2 2.54 3.3 0.01 0.002
Pine
---------------------------------------------------------------------------
1. Based upon the current 3D interpretation of the West End and Yellow
Pine deposits, the intervals quoted here are at or near true thickness
and are composited using a 0.5 g/t Au cut-off and may include short
intervals of internal waste below the cut-off grade. Intervals
denoted (1) are likely to have true widths less than the interval
reported herein.
2. Hole abandoned, terminated in mineralization.
Contacts: Midas Gold Corp. Liz Caridi Manager, Investor
Relations 778.724.4704info@midasgoldcorp.com
www.midasgoldcorp.com