TORONTO, June 8 /CNW/ - Goldcrest Resources Ltd. (GCL-TSX.V) is pleased to announce the following news from its continuing exploration program in the Youanmi District, Western Australia:
- All assay results have been received from its positive, second "RC" (reverse circulation) drill campaign at the Commonwealth-Connemarra and Penny West prospects.
- Multiple drill targets have been identified under cover, using combined geophysical, geochemical and geological interpretations. A ranking study is in progress from which a shallow drill program will be designed, to commence by the end of July of this year.
- A detailed review of pre-existing drill data for the Commonwealth-Connemarra and Penny West prospects is currently under way and a "third party" report on revised mineral resource estimates is expected this month.
The RC drilling completed in April 2004 comprised a total of 2,696 m in 24 inclined holes, of which 1,407 m was drilled at Commonwealth-Connemarra (13 holes) and 1,289 m at Penny West (11 holes). All holes and locations are listed in Table 1.
The drilling at Commonwealth-Connemarra was designed to further test known lodes as well as extensions, and also to test low level geochemical signatures in the footwall sequence. Most holes intersected substantial sulphide alteration with gold grades of at least 0.5 g/t, with best minimum 2m intercepts of:
4m (at) 1.78 grams per tonne gold from 97m in 4CCRC0013
2m (at) 9.98 grams per tonne gold from 116m in 4CCRC0014
7m (at) 4.39 grams per tonne gold from 90m in 4CCRC0015
7m (at) 2.99 grams per tonne gold from 55m in 4CCRC0022
(incl. 2m(at) 7.28g/t Au)
The structurally controlled gold mineralization is associated with significant silica-carbonatepyrite alteration in sheared mafic and felsic volcanic rocks, containing "BIF" (banded iron formation) horizons.
This program has indicated that the gold mineralization is still open to the north and that the higher grade shoots in the ore zone may plunge shallowly to the north. Further drilling is required to test the extent of these high grade shoots after more detailed interpretation of these recent results.
At Penny West, three deeper angled RC holes were planned to test gaps in the existing drilling beneath the open pit, and specifically to test the concept that the majority of gold so far extracted from the open pit was contained in a strike limited, south plunging central zone, which might continue with depth. Only one deep RC hole (4PWRC0104) was drilled to 188m depth. Due to drill rig limitations, ground conditions and substantial water inflows in the first hole, it was decided not to drill any other deep RC holes. Follow up will require diamond core drilling. Results confirm the southerly plunge with an intercept of:
4m (at) 11.9 grams per tonne gold from 173m in 4PWRC0104
The Penny West mineralization is associated with a moderately to steeply east dipping sulphidic quartz vein, varying 0.5-6m in width, occurring near the contact of a porphyry and sheared gabbro. The intersection of the vein lode with this favorable lithological contact appears to control the plunge direction of the highest grade mineralization.
The intercept point as shown in long section (see attached) is located approximately 80 m vertically beneath the floor of the open pit and is very encouraging, in that it represents the deepest ore tenor intercept made to date at Penny West. The grade x thickness data is presented for the highest grade zones, and illustrates that there may be actually two south plunging shoots, split by a lower grade zone, all of which would have been mined in the open pit. This contouring not only demonstrates a clear south plunge, but also the very tight drill pattern required to further test depth potential of these very prospective, high grade shoots.
A fence of drill holes, approx 200m north of the pit showed encouraging intercepts including:
in 4PWRC0109: 2m (at) 1.09 grams per tonne gold from 43m, and
2m (at) 2.18 grams per tonne gold from 78m
in 4PWRC0110: 1m (at) 3.60 grams per tonne gold from 86m
2m (at) 3.59 grams per tonne gold from 92m
1m (at) 5.94 grams per tonne gold from 102m (repeat
27.0 g/t Au)
The drilling to the north of Penny West and the single drill hole below the pit has indicated that the mineralized system is still open and requires further drilling.
Commenting on these results, Mike Higgins, Vice President, Exploration and Business Development, stated "We are very encouraged by the drill results as they confirm continuity of lode systems at both Commonwealth-Connemarra and Penny West and have improved our geological understanding of factors controlling the location and grade of mineralization. At Commonwealth- Connemarra, the lodes appear to be more constrained than was anticipated, but may plunge shallowly to the north, which opens up additional potential in that direction. We are especially pleased to have proven the continuity at depth of the Penny West lode".
Under the guidelines of National Instrument 43-101 the qualified person for the Youanmi Gold Project is Mr. Michael Higgins who is a Fellow of the Australian Institute of Mining and Metallurgy.
Goldcrest Resources Ltd. is a mineral exploration company focused on growing shareholder value through the advancement of its Youanmi project in Western Australia and its Malba copper-gold project in Burkina Faso. The Youanmi project has a complete infrastructure including a CIP processing plant (GCL has an option to purchase), Bactech bio-oxidation plant and mine village on site. The CIP plant is capable of processing 600,000 tonnes per annum through its Carbon in Pulp (CIP) circuit and was built in 1986. The plant operated from 1987 through 1993 with an overall average recovery of 89.4% and is described in detail in the "Qualified Persons Report" prepared by RSG Global, which has been filed on SEDAR (www.sedar.com). The "Qualified Persons Report" also fully describes the Bactech bio-oxidation plant and other infrastructure. The Youanmi property has previously produced over 670,000 ounces of gold.
Goldcrest Resources Ltd. currently has 30,943,673 common shares outstanding and 41,651,065 common shares on a fully diluted basis.
To view chart and map, please see:
http://files.newswire.ca/329/GCLPressReleaseChart.pdf http://files.newswire.ca/329/GCLPressReleaseLS.pdf
The TSX Venture exchange does not accept responsibility for the adequacy or accuracy of this news release.
/For further information: please contact: Kevin Bullock, P.Eng., President & CEO, Goldcrest Resources Ltd., kbullock(at)goldcrestresources.com or Kent Britton, BRISCO Capital Partners Corp., kent(at)briscocapital.com, (403) 262-9888, Ph: (416) 867-2299, Fax: (416) 867-2298, Corporate Website: www.goldcrestresources.com/
© CNW Group
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