Feb 16, 2010
Merrex Announces 20,000 Metre Drill Program for Siribaya Gold Project
HALIFAX, NOVA SCOTIA -- (Marketwire -- February 16, 2010) - Gregory Isenor, P.Geo., President and CEO of Merrex Gold Inc. ("Merrex")(TSX Venture: MXI) announces details of a Can$2.5MM exploration program for its Siribaya Gold Project comprised of 14,500 metres of reverse circulation ("RC") drilling, up to 6,000 metres of auger drilling, geophysics, and soil and termite mound geochemistry.
"Merrex is pleased to announce that the joint Merrex-IAMGOLD Corporation ("IAMGOLD") project management team has approved an aggressive drill program for the Siribaya Gold Project" said Merrex President Gregory Isenor.
"While testing only a limited percentage of the known Siribaya strike, the 2010 drilling program will begin defining just how big the Siribaya Gold Deposit may be. We had great success with the 2009 exploration program. Specifically, at Zone 1B we increased the grade, we elevated our Inferred resource to the Indicated classification and confirmed the continuity of that resource, and we refined the geological model. In addition, the termite mound geochemistry and the airborne survey have assisted identifying additional significant targets both inside and outside the Siribaya mega-structure.
With the increased confidence from our 2009 exploration success, particularly that our Zone 1B deposit was elevated to an Indicated resource with sufficient average grade, and our greater certainty that the Siribaya Gold Deposit will stand up to rigorous drilling, we are prepared to mount a 14,500 metre RC drill campaign beyond the boundaries of the Indicated resource with east-west drill fences to the north and south of Zone 1B across both the 1A and 1B substructures at step-outs of 500 metres.
We are also expanding our exploration efforts on target areas outside of the Siribaya mega-structure including up to 6,000 metres of auger drilling at Zone Bambadinka, on the Babara and Kofia permits and on significant anomalous clusters offsetting the Siribaya mega-structure. Ground geophysics and geochemical surveys will be conducted throughout the Permits."
Reverse Circulation Drill Program
The 2010 drilling program is comprised of approximately 14,500 metres of RC drilling. Six drill fences, oriented at -50° to approximately 100 metres target depth at 50 metre spacing, will be placed east-west across the entire width of the 1A and 1B substructures. One drill fence will be north of Zone 1B with the remaining five drill fences to the south of Zone 1B at 500 metres step-outs. The southern-most 500 metre step-out will reach the old Berekegni underground artisinal workings on the 1B substructure and the major RAB anomaly at Zone 1A.
Auger Drill Program
The second component of the 2010 drilling program is comprised of up to 6,000 metres of auger drilling. This program will: a) further test the Zone Bambadinka geochemical anomaly over clusters of anomalous termite mounds and where previous pitting results warrant follow-up, b) test significant isolated anomaly clusters close to the Siribaya mega-structure and previously identified by the 2009 termite mound sampling program, and c) test the highest priority regional anomalies identified on the Babara and Kofia permits
A ground geophysical program will be undertaken across the Siribaya- mega-structure. Gradient array IP on 100 metre spaced lines will cover approximately sixteen square kilometres to the north and to the south of Zone 1B, and pole-dipole IP on 100 metre spaced lines will survey the one square kilometre area of Zone 1B.
Soil and Termite Mound Geochemical Surveys
Soil and termite mound geochemical surveys will be completed on areas of interest throughout the permit area and samples remaining from 2009 termite mound program will be analyzed.
About the Siribaya Gold Project
Merrex controls 100% of the Siribaya Gold Project comprising over 800 square kilometres of contiguous exploration permits in West Mali including the Siribaya mega-structure. Within the Siribaya mega-structure, Zone 1B, the primary subject of the current resource estimate is a 100 metre wide by 800 metre mineralized zone within the 500 metre wide by 10.5 kilometre long 1B substructure, and Zone 1A is part of the twin 500 metre wide x 9.5 kilometre long 1A sub-structure. The Siribaya mega-structure has yielded ore-grade drill intercepts in a number of selected targets along its entire length.
In December, 2008 Merrex closed an Option Agreement with IAMGOLD pursuant to which IAMGOLD may incur up to CDN$10.5 million in exploration expenditures over 4 years, to earn a 50% interest in the Siribaya Gold Project, of which $3.0 million has been spent to date. Merrex will be the Project Operator for two years or until exploration expenditures of $5.5 million after which IAMGOLD can elect to be the Operator. Since 2005 Merrex and IAMGOLD have invested over $11,000,000 in exploration at Siribaya. The current exploration program will satisfy IAMGOLD's next $2,500,000 exploration obligation.
Gregory P. Isenor, P. Geo., is the Qualified Person as defined under NI 43-101 who has reviewed and is responsible for the technical information presented in this news release.
Merrex is a Mali focused gold exploration company with experienced management, a solid exploration team, a prominent gold-producer as a partner and an expanding gold resource ... a winning combination offering investors an extraordinary opportunity.
Please visit our website at www.merrexgold.com for the most recent presentation.
On Behalf of the Board
Gregory Isenor, P.Geo.
President & CEO
Merrex Gold Inc.
1550 Bedford Highway
Suite 802, Sun Tower
Bedford, NS B4A 1E6
Tel.: (902) 832-5555
Fax: (902) 832-2223
Renmark Financial Communications Inc.
Jason Roy: [email protected]
Barbara Komorowski: [email protected]
Tel.: (514) 939-3989 or (416) 644-2020
This press release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future exploration drilling, exploration activities and events or developments that the Company expects, are forward looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions.
Neither the 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.
You can view the Next News Releases item: Thu Mar 4, 2010, Merrex Commences RC Drilling at Siribaya Gold Project
You can view the Previous News Releases item: Wed Feb 3, 2010, Merrex 2010 Resource Increases Grade and Establishes Indicated Resource at Siribaya
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