-- Posted Thursday, 24 May 2012 | | Disqus
MONTREAL, QUEBEC--(Marketwire - May 24, 2012) - Midland Exploration Inc. ("Midland") (MD.V, MIDLF.PK) is pleased to report the discovery in drill hole of a new gold-bearing structure on its Patris project, currently held 100% by Midland and located about 35 kilometres northeast of Rouyn-Noranda, Quebec. This project, consisting of 77 claims, covers a surface area of about 32.6 square kilometres and is located about 10 kilometres northeast of the Joanna gold deposit, held by Aurizon, which contains a global (measured and indicated) resource of 2.2 million ounces of gold.
New gold-bearing structure discovered in drill hole
During the last drilling program, drill hole PAT-11-15 encountered a silicified, weakly sheared felsic intrusion in contact with a major shear zone, which yielded an interval grading 0.48 g/t Au over 17.0 metres from 87.0 to 104.0 metres, including a zone at 0.94 g/t Au over 4.0 metres from 100.0 to 104.0 metres. This new gold-bearing zone (SW Zone) is associated with pervasive hematite alteration with 1-2% pyrite in clusters, veinlets and disseminations. The second gold-bearing zone (NE Zone), is located north of the fault zone and graded 0.86 g/t Au over 3.0 metres from 177.0 to 180.0 metres, in mafic volcanic rocks altered to chlorite and injected by a network of quartz veinlets with 2-3% pyrite mineralization. Drill hole PAT-11-16, collared along the same section at about 125 metres southwest of PAT-11-15, will be deepened by about 200 metres so as to intersect the two gold-bearing zones at a distance of about 100 metres below drill hole PAT-11-15. These new gold zones remain open and untested in all directions.
Trenching on historical showing KE-3
In conjunction with the drilling program, mechanical stripping and channel sampling were carried out on historical showing KE-3, originally discovered by Orco Resources in 1993 during a prospecting campaign. At the time, a grab sample from the showing graded 6.34 g/t Au and 0.32% Cu (source:Sigeom MRNF NTS sheet 32D07). Channel samples collected in the fall of 2011 by Midland and Aurizon on this historic showing yielded grades of 1.6 g/t Au over 1.65 metres including 4.73 g/t Au over 0.40 metre. This gold-bearing zone is associated with strongly silicified aplite dykes hosted in mafic to ultramafic volcanic rocks exhibiting intense iron carbonate alteration. Further prospecting work is planned for the summer of 2012 in this high-potential area which has seen very little exploration.
Induced polarization survey
In addition, ground-based geophysical work, namely a magnetic survey and an induced polarization survey totalling 23.3 kilometres, led to the identification of new targets in the southeast part of the property. These targets are located a few hundred metres north of the La Pause Fault, in an area corresponding to the same stratigraphic and structural horizon as the new gold-bearing zones discovered in drill hole PAT-11-15.
The next phase of the exploration program will consist of an additional 2,000 metres of drilling. Its two main objectives will be to test the extensions of the new gold-bearing structures intersected in hole PAT-11-15 and to test new induced polarization anomalies identified in the southeast part of the property.
Terms of the Option Agreement with Aurizon
Aurizon can acquire 50% of Midland's interest during a four-year period under the following conditions:
-- A total of $230,000 in cash payments including a payment of $40,000 upon signing the agreement;
-- A total of $3,000,000 in exploration expenditures including a firm commitment of $600,000 in the first year.
Midland will be the initial operator. Upon acquiring a 50% interest, Aurizon will have the option to acquire an additional 10% interest by delivering a positive pre-feasibility study on the property within a four-year period under the following terms and conditions:-- Make cash payments of $80,000 per year to Midland, until the delivery of the pre-feasibility study; and
-- Incur exploration work, including 40,000 metres of drilling, until the delivery of the pre-feasibility study.
Quality control
The exploration program on the Patris project is conducted by Midland under the supervision of Mario Masson, P.Geo. VP Exploration at Midland and Qualified Person as defined by National Instrument 43-101. Assay samples are taken from NQ-size drill core sawn in half; one half is shipped to a commercial laboratory and the other half is kept for future reference. Analyses are conducted by Techni-Lab Laboratories in Sainte-Germaine-Boule, where a strict internal quality control program is in place. Quality control samples are systematically inserted in the sample stream by Midland. Drill intersections are reported as core lengths and their true thickness remains to be determined.
About Midland
Midland targets the excellent mineral potential and the favourable investment climate of Quebec to make the discovery of new world-class deposits of gold, base metals and rare earth elements. Midland is proud to count on reputable partners such as Aurizon Mines Limited, Osisko Mining Corporation Agnico-Eagle Mines Limited, North American Palladium Limited, Japan Oil, Gas and Metals National Corporation and SOQUEM Inc. Midland prefers to work in partnership and intends to quickly conclude additional agreements in regard to newly acquired properties. Midland is currently evaluating new opportunities and other projects in order to increase the portfolio of the Company.
This press release was prepared by Mario Masson, VP Exploration at Midland and Qualified Person as defined by NI 43-101. For further information, please consult Midland's website.
This press release may contain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to vary materially from targeted results. Such risks and uncertainties include those described in Midland's periodic reports including the annual report or in the filings made by Midland from time to time with securities regulatory authorities.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
-- Posted Thursday, 24 May 2012 | Digg This Article
| Source: GoldSeek.com
