Belvedere Resources Ltd.

TSX VENTURE : BEL


Belvedere Resources Ltd.

August 13, 2012 16:14 ET

Belvedere Resources Ltd.: Recent Drilling Confirms Potential of Osikonmäki West; Geophysics Expands Potential of Osikonmäki East

 

 

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 13, 2012) - Belvedere Resources Ltd. (TSX VENTURE:BEL) ("Belvedere") is pleased to announce results of the first three drill holes for Phase 2 of the 2012 (Osikonmäki) Drill Program. These holes were drilled to test and expand the gold mineralisation at the Western end of the 3+ km long Osikonmäki shear zone, part of the Rantasalmi project. These are the first drill holes that have been drilled in this portion of the shear zone since its initial identification by the Geological Survey of Finland in 1988 - 1991. All of the more recent drilling has been focused on the high grade and bulk tonnage potential areas in the Eastern portion of the shear zone. Of the current three holes, two returned significant, near surface intercepts, with BELOSI 93 returning 1.4g/t over 5.8m and BELOSI 94 returning 1.0g/t over 7.1m.

In addition to the drilling program, a geophysics program was carried out over the Eastern end of the shear zone to assist in better characterizing the high grade and bulk tonnage potential in that area. The results of this program have not yet been fully interpreted but initial indications are that the geophysical anomalies associated with the mineralized shear zone continue to extend further to the East. The next phase of drilling will target this area.

David Pym (CEO) and Mark Burridge (Chairman of the JV partner REBgold) comment, "The results from the drilling at the Western end of the shear zone confirm the potential for additional gold mineralization beyond that previously identified in the Eastern part of the shear zone. The geophysics program indicates that the geophysical anomalies extend well beyond the current Eastern limit of the previously identified shear zone and will be a target for follow-up drilling. The indication of eastern extension is of particular interest as it is on the far Eastern end that the best intercepts of the 2011 and 2012 Drill Programs were encountered."

Hole_id From To Interval Au g/t GT
BELOSI093 47.01 52.84 5.83 1.38 8.1
  including 47.01 49.99 2.98 2.32 6.9
  including 47.01 47.96 0.95 5.15 4.9
BELOSI094 30.04 37.15 7.11 0.99 7.1
  including 30.04 32.16 2.12 1.66 3.5

Table 1: Intersections using a 0.5 g/t Au cut-off with a grade thickness (GT= grade x thickness) greater than 1 gram metres. No top cut is applied. Maximum grade is 5.15g/t Au over 0.95m, one of six individual samples over 1 g/t Au. Intersections are estimated to be 70-90% of true width. BELOSI 92 returned no significant intercepts, although did contain anomalous levels of gold.

HoleID Easting Northing Elevation Depth Azimuth Dip
BELOSI092 3562040 6883210 107.7 65.35 0 50
BELOSI093 3561900 6883180 109.6 91.20 0 65
BELOSI094 3561934 6883212 110.7 49.50 0 60

Table 2: Details of drillhole locations

The drilling was undertaken by Drillcon SMOY of Finland, providing 42 mm diameter core. Samples are comprised of half diamond core. Intersections are estimated to be 70-90% of true width. No top cuts are applied with the highest individual assay being 5.15 g/t gold over 0.95 metres. Core samples are sawn in half on site, prepped and assayed by 30g fire assay with an AAS finish at the internationally accredited laboratories of ALS Chemex in Finland. The quality assurance-quality control (QAQC) program consists of the insertion of certified standards of known gold content every 20 samples, with blanks at the beginning of each batch. In addition, ALS Chemex inserts a number of blanks and standards into the analytical process. Standards, blanks and duplicates make up approximately 15% of the samples assayed. The remaining half core is retained on site for verification and reference purposes.

About Belvedere:

Belvedere Resources Limited is a mining company incorporated in British Columbia with a primary focus on nickel, gold, cobalt and copper in Finland. The Company currently produces 2200t of nickel in concentrate/year from the Hitura nickel mine in Central Finland. The Company has a number of advanced gold projects in close proximity to the Hitura mine.

About the Joint Venture with REBgold (TSX.V:RBG)

REBgold Corporation has the right to earn up to a 50% interest in a special purpose joint venture company which holds the Kiimala and Rantasalmi projects by contributing expenditures of C$6 million over a 4 year period. If REBgold proceeds with and completes the feasibility study it will increase its stake in the projects to between 55% and 75% depending on the level of Belvedere's contribution to the study. A further 5% can be earned if REBgold's bioleaching technology can lead to a material improvement in the project economics. REBgold currently owns 14% of the project.