Post by Zoinkers on Jul 12, 2006 19:32:04 GMT -5
Mon Jun 26, 2006
Morgain Minerals -- New Mineralized Areas Discovered at Castillo Gold Project
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Vancouver, BC, June 26, 2006 . . . Morgain Minerals Inc. ("Morgain") (TSX-V: MGM) announces the discovery of two new mineralized areas on its 100% owned Castillo Gold Project ("the Project") located in the State of Durango, Mexico.
The first mineralized area, the Santiago Prospect, is located approximately 0.5 kilometers southeast of the planned Castillo open-pit. The second mineralized area, the Coyote Prospect, is located 800 meters southwest of the planned pit.
Both areas were found by surface sampling and by reviewing the historical drilling database completed by the former operator of the property, Battle Mountain Gold. It is believed Battle Mountain overlooked the potential of these areas because much of the mineralization was uneconomic at the time of their exploration program (from 1997 to 2000).
The Santiago Prospect covers the top and west side of a hill. All chip samples taken from exposed rocks within that target zone contain anomalous gold values. Many of them have grades that Morgain considers to be potentially economic.
The Coyote Prospect occurs along the south side of a ridge. Here, mineralization exposed to date is smaller in extent and lower in grade than in the Santiago area. However, the importance of the Coyote area is bolstered by the fact that the one Battle Mountain drill hole (CA-51) that intersected the surface projection of the mineralized zone at depth, cut 19.5 meters of mineralized material grading 0.75 grams of gold per tonne. This intercept is approximately 140 meters below the surface. All assayed samples from this drill hole contain anomalous gold values.
Management intends to commence an exploration program on these two new discoveries after placing the Castillo project into production. Drilling rigs are currently in short supply, and Morgain's focus remains on establishing early production from the main Castillo deposit.
Certain technical information set out in this news release has been reviewed and verified by Richard J. Adams, P.Eng., MBA, a Director of Morgain, who is a Qualified Person for the purposes of National Instrument 43-101.
About Morgain Minerals Inc.
Morgain Minerals is a resource exploration company with a number of precious and base metal properties in Mexico. Its corporate strategy is to acquire properties with known resources that can be further developed to production status. Visit our website at www.morgainminerals.com for the latest corporate information.
For further information, please contact:
Chester F. Millar -- Chairman and President
Telephone: 604-643-1727
Facsimile: 604-643-1726
morgain@telus.net
www.morgainminerals.com
The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.
Morgain Minerals -- New Mineralized Areas Discovered at Castillo Gold Project
--------------------------------------------------------------------------------
Vancouver, BC, June 26, 2006 . . . Morgain Minerals Inc. ("Morgain") (TSX-V: MGM) announces the discovery of two new mineralized areas on its 100% owned Castillo Gold Project ("the Project") located in the State of Durango, Mexico.
The first mineralized area, the Santiago Prospect, is located approximately 0.5 kilometers southeast of the planned Castillo open-pit. The second mineralized area, the Coyote Prospect, is located 800 meters southwest of the planned pit.
Both areas were found by surface sampling and by reviewing the historical drilling database completed by the former operator of the property, Battle Mountain Gold. It is believed Battle Mountain overlooked the potential of these areas because much of the mineralization was uneconomic at the time of their exploration program (from 1997 to 2000).
The Santiago Prospect covers the top and west side of a hill. All chip samples taken from exposed rocks within that target zone contain anomalous gold values. Many of them have grades that Morgain considers to be potentially economic.
The Coyote Prospect occurs along the south side of a ridge. Here, mineralization exposed to date is smaller in extent and lower in grade than in the Santiago area. However, the importance of the Coyote area is bolstered by the fact that the one Battle Mountain drill hole (CA-51) that intersected the surface projection of the mineralized zone at depth, cut 19.5 meters of mineralized material grading 0.75 grams of gold per tonne. This intercept is approximately 140 meters below the surface. All assayed samples from this drill hole contain anomalous gold values.
Management intends to commence an exploration program on these two new discoveries after placing the Castillo project into production. Drilling rigs are currently in short supply, and Morgain's focus remains on establishing early production from the main Castillo deposit.
Certain technical information set out in this news release has been reviewed and verified by Richard J. Adams, P.Eng., MBA, a Director of Morgain, who is a Qualified Person for the purposes of National Instrument 43-101.
About Morgain Minerals Inc.
Morgain Minerals is a resource exploration company with a number of precious and base metal properties in Mexico. Its corporate strategy is to acquire properties with known resources that can be further developed to production status. Visit our website at www.morgainminerals.com for the latest corporate information.
For further information, please contact:
Chester F. Millar -- Chairman and President
Telephone: 604-643-1727
Facsimile: 604-643-1726
morgain@telus.net
www.morgainminerals.com
The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.