Sep 16, 2010
Merrex Gold - Siribaya RC Drill Program Extends Both 1A and 1B Zones
HALIFAX, NOVA SCOTIA -- (Marketwire September 16, 2010) - Gregory Isenor, P.Geo., President and CEO of Merrex Gold Inc. ("Merrex") (TSX Venture: MXI) announces that the recent results from the RC drill program at Merrex's West Mali Siribaya Gold Project have further extended the gold mineralization of both Zones 1A, 1B and also the new zones of gold mineralization discovered earlier in this program.
"These final results from this phase of our Reverse Circulation (RC) drill program clearly establish that the drill program has accomplished everything we set out to achieve," said Gregory Isenor, President and CEO of Merrex Gold. "The gold mineralization in both Zone 1A and Zone 1B has continuity. The Zone 1A mineralization extends for at least two kilometres and Zone 1B for at least three kilometres. The gold mineralization in both Zones 1A and 1B remains open to both the north and south within the 10 kilometre long 1A and 1B substructures, and is also open to depth. Additionally, as indicated graphically on the attached map, multiple new and significant gold mineralized zones with continuity are present within each of the 1A and 1B substructures. These new zones also are open north, south and at depth." (See Map)
Note: Assay table intersections are drill intersection lengths, not true widths.
Working in concert with IAMGOLD Corporation ("IAMGOLD"), Merrex has completed the initial phase of a 14,500 metres RC reconnaissance drill program. Although some of the RC drilling results could be used in a future resource estimate, this program was not intended to expand the NI43-101 resource estimate; rather it was designed to explore new areas of the Siribaya Mega-structure and begin defining the potential magnitude of the mineralised areas within the Siribaya Mega-structure. The RC results will also aid identification of future diamond drill target areas.
Approximately 4.5 of the proposed six lines of RC drill holes were completed prior to the onset of the seasonal rains. The lines are 500 metres apart, consisting of drill holes oriented at 270° with a dip of -50° to approximately 100 metres target depth at 50 metre spacing, and have been placed east-west across the entire width of the 1A and 1B substructures. The first Line of drill holes, RC-L-1, is approximately 250 metres north of the Zone 1B NI 34-101 Resource area; the remaining five lines of drill holes are to the south of Zone 1B starting 40 metres south of the Zone 1B NI 43-101 Resource area and thereafter at approximately 500 metres step-outs. The southern-most line reached the old Berekegni artisanal underground gold workings on the 1B substructure and the major RAB anomaly at Zone 1A.
RC drilling is by BLY Mali SA, the Malian division of Boart Longyear Canada of North Bay, Ontario.
RC-L-3 540 metres south of Zone 1B
Drill results from line RC-L-3 located approximately 540 metres south of the Zone 1B NI 43-101 Resource area are interpreted as intersecting the southern projected extension of Zone 1B, and an additional new gold zone. Hole TYC-10-42 is interpreted as having intersected the projected southern extension of the Zone 1B NI 43-101 Resource increasing the Zone 1B interpreted strike length to at least three kilometres with continuity of mineralization and still open to the north and south. (See table of assays below.) Hole TYC-10-19 intersected an interpreted new zone of gold mineralization previously identified in L-2 500 metres to the north. This new mineralized zone has a projected strike length of 1.5 kilometres with continuity of mineralization and open to the north and south.
RC-L-4 1000 metres north of Zone 1A
Drill results from line RC-L-4 located approximately 1000 metres north of the Zone 1A NI 43-101 Resource area are interpreted as intersecting the northern projected extension of Zone 1A, and two additional new gold zones. Hole TYC-10-44 is interpreted as having intersected the projected northern extension of the Zone 1A NI 43-101 Resource increasing the Zone 1A interpreted strike length to at least two kilometres with continuity of mineralization and still open to the north and south. Holes TYC-10-46 intersected an interpreted new zone of mineralization and Holes TYC-10-48, 49 and 50 intersected a second new mineralized zone. Both of these new interpreted zones connect with similar zones encountered in L-6, L-4 and L-2 and strike lengths of up to two kilometres with potential continuity of mineralization are projected. All zones are open to the north and south.
Table of Assays
About the Siribaya Gold Project
Merrex controls 100% of the Siribaya Gold Project comprising over 840 square kilometres of contiguous exploration permits in West Mali including the Siribaya Mega-structure. The Siribaya Mega-structure has a CIM compliant NI43-101 resource estimate of 4,015,000 tonnes grading 2.39 g/t Indicated (308,200 oz Au) and 946,000 tonnes grading 2.29 g/t Inferred (69,500 oz Au). The NI43-101 resource is open to the north, south and at depth.
Within the Siribaya Mega-structure there are at least two distinct substructures; the 500 metre wide by 10.5 kilometre long 1B substructure and 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 approximately $5.5 million has been spent to date. The current exploration program will satisfy IAMGOLD's 2010 exploration obligation. Effective September 1, 2010 IAMGOLD replaced Merrex as the Project Operator.
Since 2005 the combined exploration expenditures of Merrex and IAMGOLD total over CDN$13,500,000 at Siribaya.
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 corporate 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.
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 forwardlooking 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 forwardlooking statements. Factors that could cause actual results to differ materially from those in forwardlooking 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.
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