Newstrike Capital Inc. (TSX VENTURE:NES) (“Newstrike” or the “Company”) announces the results from 3,973 meters of drilling completed this period as part of the 2012 drill program in progress at the Company’s 100%-owned Ana Paula Project in the Guerrero Gold Belt. The results are from the ongoing delineation program in the southeast quadrant and from new exploration in the southwest quadrant. Results from the Breccia zone delineation program indicate that mineralization still remains open in several directions and at depth. New step out drill holes are planned to follow up on these results.
Highlights from the delineation program include:
- AP-12-97 includes a best intersection of 12.34 meters of 32.11 g/t Au (uncut), that includes 0.50 meters of 760.00 g/t Au. Other intersections include 26.00 meters of 1.24 g/t Au, 26.25 meters of 0.68 g/t Au, 12.50 meters of 1.11 g/t Au, 17.35 meters of 1.40 g/t Au and 13.43 meters of 0.65 g/t Au.
- AP-12-100 intersected 37.60 meters of 4.81 g/t Au at surface within a 197.00 meter mineralized interval.
- AP-12-101 intersected very strong mineralization from surface to 224.84 meters with local course visible gold including a 103.11 meter interval of 5.06 g/t Au that includes a 12.74 meter interval of 21.61 g/t Au that also includes 4.24 meters of 57.22 g/t Au.
- AP-12-102 also intersected strong mineralization over multiple intersections including 48.50 meters of 2.48 g/t Au at surface. Other intersections include 20.70 meters of 3.14 g/t Au, 12.18 meters of 0.80 g/t Au and 8.23 meters of 3.22 g/t Au.
Selected highlights from this series of drill results are presented in the following table.
Southeast Quadrant – Delineation drill program
Drill holes AP-12-97 and AP-12-99 through AP-12-103 are part of the ongoing delineation drill program.
Drill hole AP-12-97 is a steeply inclined hole that tested the downdip continuity of the Breccia Zone at depth stepping out 50 meters to the southwest of AP-11-76 (January 27th, 2011). AP-12-97 intersected multiple intervals of strong mineralization downhole between 550.16 and 731.30 meters including a best intersection of 12.34 meters of 32.11 g/t Au (uncut) with 3.6 g/t Ag. This interval includes a 0.50 meter sample with visible gold that assayed 760.00 g/t Au with 52.6 g/t Ag, which is the highest grade intersection to date on the project. Other intersections in AP-12-97 include 26.00 meters of 1.24 g/t Au, 6.40 meters of 2.48 g/t Au, 26.25 meters of 0.68 g/t Au, 12.50 meters of 1.11 g/t Au, 17.35 meters of 1.40 g/t Au with 10.7 g/t Ag and a 13.43 meter interval of 0.65 g/t Au.
Drill hole AP-12-99 tested the lower grade mineralization located to the south of the Breccia Zone and is an inclined hole drilled to the east to test the continuity of mineralization intersected in AP-11-55 (August 3rd, 2011). Multiple lower grade intervals were intersected including 11.35 meters of 0.66 g/t Au, 6.25 meters of 0.47 g/t Au with 74.5 g/t Ag, 5.45 meters of 1.39 g/t Au and 11.88 meters of 0.81 g/t Au.
Drill hole AP-12-100 is an inclined hole drilled to the east from AP-11-37 (April 20th, 2011) to test the eastern contact of the Breccia Zone. AP-12-100 intersected strong mineralization from surface to 37.60 meters of 4.81 g/t Au and 6.35 g/t Ag that corresponds to the Breccia Zone. Multiple lower grade intersections also occur to a downhole depth of 197.00 meters including 5.73 meters of 0.72 g/t included within a 15.75 meter interval of 0.45 g/t Au, 5.80 meters of 0.79 g/t Au with 6.88 g/t Ag and 8.85 meters of 1.30 g/t Au with 15.78 g/t Ag.
Drill holes AP-12-101 and AP-12-102 are part of a series of vertical to near vertical delineation drill holes planned as step out holes to test the limits of the Breccia Zone. The results from these two holes have extended the near surface high grade mineralization about 30 meters to the north and northeast and still remains open.
Drill hole AP-12-101intersected the strongest mineralization in this series over multiple intersections including a best interval of 103.11 meters starting at 20.50 meters from surface that returned 5.06 g/t Au with 3.59 g/t Ag. This interval also includes a 12.74 meter interval of 21.61 g/t Au with 13.42 g/t Ag that also includes a 4.24 meter interval of 57.22 g /t Au and 26.56 g /t Ag. Other mineralized intersections in this hole include 17.09 meters of 1.34 g/t Au with 2.12 g/t Ag, 26.08 meters of 3.83 g/t Au with 8.11 g/t Ag that includes a 7.50 meter interval of 12.83 g/t Au and 27.65 g/t Ag that also includes a single 0.89 meter interval of 76.61 g/t Au and 103.00 g/t Ag.
Drill hole AP-12-102 also intersected strong mineralization from surface with 48.50 meters of 2.48 g/t Au and 4.6 g/t Ag. Other near surface intersections in this hole include 20.70 meters of 3.14 g/t Au and 5.7 g/t Ag, 12.18 meters of 0.80 g/t au and 1.4 g/t Ag and 8.23 meters of 3.22 g/t Au and 9.9 g/t Ag.
AP-12-103 is a vertical infill hole that tested the lower grade mineralization about 150 meters to the north of the Breccia Zone. This hole intersected the weakest mineralization in this series of drill holes, including 3.60 meters of 0.50 g/t Au and 9.75 g/t Ag, another 0.62 meter interval of 6.16 g/t Au and 30.30 g/t Ag and a 3.74 meter interval of 1.70 g/t Au and 7.14 g/t Ag.
The delineation drill program is continuing as planned. New holes were added to the program to follow up these results and complete delineation of the breccia zone. The Company continues to advance Ana Paula towards a resource estimate. Deposit modelling is ongoing and until that process is complete true widths can be assumed to be less than or equal to the reported intervals.
Southwest Quadrant – Exploration drill program
AP-12-98 is an inclined hole drilled to the east that is one of a series of exploration holes testing the contact zone between highly altered sediments and an altered and mineralized intrusion that outcrops in this area. Lower grade mineralization was intersected in this hole over multiple intersections, some of the better intersections include 10.34 meters of 0.46 g/t Au with 7.1 g/t Ag, 10.85 meters of 0.67 g/t Au with 16.3 g/t Ag and 7.58 meters of 0.71 g/t Au with 3.0 g/t Ag. The Company will continue to test a variety of new exploration targets as drilling progresses throughout 2012.
The Ana Paula Project is central to Newstrike’s 88,000 hectare mineral claims located in the Guerrero Gold Belt and forms part of a district scale mining camp that is host to Torex Gold’s advanced Morelos Project and to Goldcorp’s producing Los Filos Mine. Ken Thorsen, a director of the company and a qualified person under NI43-101 has reviewed the contents of this press release.
Newstrike maintains strict QA-QC protocols for all aspects of their exploration programs that include the systematic insertion of blanks and standards into each sample batch. SGS laboratories or ALS Chemex performed assay analyses reported in this release. All samples are assayed using the respective laboratories certified and industry standard assay techniques for gold and multi-element packages and for over limits; Au was analyzed by 50 gram fire assay with an atomic absorption finish, and other elements were analyzed by multi-element ICP packages.
The reported mineralized intervals in core tend to be separated by “barren” intervals that may or may not contain narrow anomalous sections and local high-grade spikes that are not included in the calculations of mineralized intervals. Unless specified otherwise, reported intersections are calculated according to a protocol that uses a 0.20 g/t Au cut off for bounding assays. Reported grade intervals are based on the original uncut assay certificates as received from the assay labs. They do not include check assays pending at the time of reporting. The dip of the geology and the mineralized intersections varies across the property and the true widths are not accurately known at this time. True width can be expected to be equal to or smaller than the reported intervals.
A table of all weighted grade intercepts over a 0.20 g/t cut off is available on the company website together with drill location maps and sections at www.newstrikecapital.com.
A table of selected drill assay highlights:
About Newstrike (TSX VENTURE:NES)
Newstrike Capital Inc. is a gold-silver focused explorer, targeting known and historic mining districts in Mexico. Key senior members of the Company’s current management and directors have participated in all the Guerrero Gold Belt discoveries, including Goldcorp Inc.’s producing Los Filos Mine and Torex Gold Resources advanced stage Morelos Project in Guerrero State.
Newstrike holds a 100% interest in certain exploration properties in Mexico located within two established mining districts; the Au (Ag-Cu) skarn-porphyry camp of the Guerrero Gold Belt, and the polymetallic Pb-Zn-Ag (Au-Cu) rich epithermal camp of the mining districts of Oaxaca State.
Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding potential mineralization and resources, exploration results, expectations, plans and objectives of Newstrike Capital Inc. are forward-looking statements that involve various risks. The following are important factors that could cause Newstrike Capital Inc.’s actual results to differ materially from those expressed or implied by such forward-looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future exploration activities and cash flows, and the uncertainty of access to additional capital. There can be no assurance that forward-looking statements will prove to be accurate as actual results and future events may differ materially from those anticipated in such statements. Newstrike Capital Inc. undertakes no obligation to update such forward-looking statements if circumstances or management’s estimates or opinions should change. The reader is cautioned not to place undue reliance on such forward-looking statements.
Neither the TSX Venture Exchange (the “TSXV”) nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) has reviewed, nor do they accept responsibility for the adequacy or accuracy of, this release.