|September 25, 2012|
GEGL confirms potential for the discovery of a significant gold deposit at WKP
Wellington, New Zealand, Tuesday, 25 September 2012
Glass Earth Gold Limited ("Glass Earth Gold" or "the Company"; TSX,V:GEL) is pleased to announce encouraging progress of its 5,500 metre diamond drill program at the WKP gold-silver prospect, Hauraki, New Zealand (Glass Earth Gold 35%; Newmont Mining 65%).
Within a halo of 111m @ 0.6 g/t Au and 1.8 g/t Ag.
The current program, commenced in April, has delivered encouraging results from drill holes WKP31, 32A and 33, and confirmed the tenor of high grade veins within a broad lower grade central mineralised central zone. The on-going drilling aims at confirming the major structural controls on mineralisation, with WKP35 already providing further new and encouraging visual evidence of a major mineralised structure on the EG zone, allowing a focus on resource definition in follow-up drilling campaigns.
This Press Release reports on:
WKP T-Stream High Grade Vein
WKP 31 (news release 29 February 2012) reported a defined high grade interval named the T-Stream vein that has been followed northwards in drill holes 33 and 34. Significant results not previously reported from 31 include 6m @ 1.5g/t Au and 1.5 g/t Ag from 232m down hole.
WKP 31 Significant Intervals are tabled below:
WKP Central Zone
WKP 32A tested the southern extensions of the Central Zone and into the Western Zone anomaly at depth demonstrating that this broad zone of mineralisation is persistent to the south, with narrow high grade veins (0.5m @ 61.3 gm/t Au, 19 g/t Ag; 1.2m @ 20.3g/t Au and 12.4g/t Ag), residing within a broader halo of 111.4m @ 0.6g/t Au; 1.8g/t Ag. This broad zone of +0.5g/t Au mineralisation is persistent over 750 metres.
WKP 32A Significant Intervals are tabled below:
WKP 33 intersected the targeted extension of the T-Stream vein at 221.9 m, reporting 8.2m @ 6.6 g/t Au and 2.7 g/t Ag, within a broader halo of 42m @ 1.9g/t Au and 2.3g/t Ag. The system continues to demonstrate size and persistence of higher grade intervals to the north, with intervals such as 1.2m@ 20 g/t Au and 9.3 g/t Ag from 307.4m.
WKP 33 Significant Intervals are tabled below:
Simon Henderson, President and CEO of Glass Earth Gold, commented "Exploration within the WKP area continues to demonstrate that it is a large permissive gold system with potential to host significant epithermal gold deposit(s). The current 5,500m program is testing both northern and southern extensions of known targets, and probing the Eastern Graben margin which has shown promising resistivity features indicative of a major fault structure."
WKP Project, Sep 2012
(Click to enlarge)
The WKP prospect is a joint venture between Glass Earth Gold (35%) and Newmont Mining (65%). The prospect is a large, three by five km mineralised alteration zone, just 10km from Newmont's producing Martha gold mine at Waihi (approximately 10Moz gold equivalent) and 5km northeast of the Golden Cross deposit (634,000oz gold). The program is budgeted to cost approximately $C3.3M (Glass Earth Gold's share ~$C1.2M).
The WKP epithermal system has magnetic/alteration characteristics similar to the Martha epithermal system and has open-along-strike potential of at least 1-2km. The WKP Central zone currently outlines an area approximately 180m wide with a strike continuity of over 800m.
The Glass Earth Gold/Newmont Joint Venture began drilling exploration at the WKP prospect with DDH WKP 24 in March 2010. Highlights from results achieved to date are summarised below:
Significant drilling results from Glass Earth Gold/Newmont Joint Venture exploration at WKP Project
About Glass Earth Gold
Glass Earth Gold is one of New Zealand's most active gold exploration companies with landholdings proximal to world-class gold deposits and cash flow from its wholly owned placer projects. With an experienced geological team the Company is exploring promising gold prospects across both the North and South Islands. The Company held a net cash position of C$1.0 million at the end of Q2 2012.
In the North Island, exploration efforts are focused on large epithermal gold systems in the Hauraki Region, akin to the 10Moz gold equivalent Martha Hill mine, (Newmont Mining).
In the Hauraki Region, Glass Earth Gold has identified and developed significant ground positions around the active Martha Hill gold mine operations at Waihi. The Newmont-Glass Earth Gold Waihi West JV (Newmont earning in) and Hauraki JV (65/35), including drilling at the WKP discovery, are being actively explored and managed by Newmont in collaboration with Glass Earth Gold.
Glass Earth Gold has also defined several significant epithermal gold targets to independently explore in this region, including the Muirs Reef Gold project.
In the South Island, exploration efforts are focused on the Otago Region, home to OceanaGold's 7Moz Macraes Goldfield, for identification of mesothermal "Macraes-style" gold targets and revenue generation through placer (alluvial) gold production.
Mr Simon Henderson, MSc Geology (CODES), an AusIMM Chartered Professional under the Discipline of Geology; is a Qualified Person as defined by National Instrument 43-101 and an employee of the Company, has reviewed and approved the technical information given in this press release.
For more information on Glass Earth Gold, please visit www.glassearthgold.com or contact:
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Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor New Zealand Exchange Limited has reviewed this release and neither accepts responsibility for the adequacy or accuracy of this release.
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