TORONTO, ONTARIO--(Marketwire - April 14, 2010) - VictoriaGold Corp. (TSX VENTURE:VIT) ("Victoria" or the "Company") is pleasedto report results from diamond drill holes BH-5, BH-6, and KR-1 fromthe Santa Fe gold exploration project, Nevada.
"Santa Fe's exploration results continue to exceed our expectations", said Chad Williams,President, CEO, and Director. "The results from hole BH-6 areparticularly encouraging and we anticipate that the information gainedfrom this hole will facilitate the targeting of other higher-gradezones on the property. Santa Fe has become a very promising explorationasset and Victoria is of the view that it is showing signs of being alarge gold system."
These holes were part ofVictoria's Phase 1 drill program, which was designed primarily todetermine the post-mineral faulting on, and the vertical extent of, gold mineralization in two targeted zones called "BH" and "KR".
Thegold mineralization in BH-6 extends more than 30 meters beneath themineralization in BH-3 (284 meters grading 2.50 g/t announced January12, 2010). In addition, the higher gold grades in BH-6 occur near thesurface and therefore may be more easily accessible for possible openpit mining. BH-6 results are summarized in the table below.
Table 1: Drill Hole BH-6 Gold Assay Summary Table:
The table above includes all intervals of >1.52 meters grading >=300 ppb gold
BH-5intersected numerous zones of mineralization separated bypost-mineralization faults that contained lower gold grades. The depthof mineralized zones extends to a down hole depth of 831 meters (776meters vertical) in BH-5. A minimum of two mineralized zones occur deeper than any mineralization drilled by previous operators.
Table 2: Drill Hole BH-5 Gold Assay Summary Table:
The table above includes all intervals of >1.52 meters grading >=300 ppb gold
KR-1was a step-out exploration hole which targeted a structuralintersection zone 1,000 meters northwest of BH-5 and 300 metersnorthwest of the pit. KR-1 encountered 7.5 meters of gold grading 0.58g/t from a depth of 23.3 meters to 30.8 meters. KR-1 mineralization wascut off at 35 meters down hole by a post-mineral fault zone. The restof the hole did not contain gold. KR-1 is thought to have been drilledinto a "leakage zone" which is an area of lower gold values locatednear the source of higher gold grades. KR may be a distinct mineralizedzone from BH.
A plan view and cross sections of thelocation of BH-6 (azimuth 331°, inclination –75°), BH-5 (azimuth 44°,inclination –69°), and KR-1 (azimuth 278°, inclination –64°) is locatedat www.vitgoldcorp.com. Additional geologic descriptions and cross sections can also be found on the website.
Conclusions and Next Steps:
ThePhase 1 drill program was successful and provides a foundation forfuture drilling by Victoria at Santa Fe. Principal observations were:
Post-mineral faulting is critical to understanding both the vertical and horizontal extent of gold mineralization at Santa Fe. Post-mineral faults correlate between drill holes and with structures mapped on the surface.
The gold mineralization blocks between post-mineral fault zones are tabular in shape. Mineralized fractures within the blocks occur at varying angles to the post-mineral fault zones. The geometry of the mineralized blocks will be further defined in more detailed mapping of the core.
Post-mineral faults cause variable dilution of the grade within the juxtaposed blocks of mineralized limestone. BH-5 was an example of this, encountering numerous gold zones of greater than 1 g/t (including 3 meters of gold grading 7.42 g/t) separated by zones with less than 0.30 g/t (see BH-5 table). These mineralized zones extend for 600 meters down hole and thus more than 200 meters beneath previously known mineralization.
The large gold intercept of BH-6 is one of the most continuous and largely unfaulted zones of gold mineralization in the drilling thus far.
The styles of gold mineralization within the mineralized blocks between the post-mineral faults include variable amounts of silica and sulfide in breccias and fracture zones. No correlation of these blocks has been made to date, although strikes and dips of fracture and breccia systems are systematically oriented within the blocks.
Ash-flow tuff which is prevalent on the property, altered in several holes and contains gold mineralization of 0.3 g/t to 1 g/t in BH-6.
The Phase 2 exploration program has begun. All gold mineralization zones defined by Victoria to date remain open at depth and laterally. The true thickness of the mineralization drilled in Phase 1 is unknown.
Future drilling will seek higher-grade and more continuous gold values in the host rock that has been displaced by these multiple faults.
Victoria will continue to test the KR area in an attempt to vector into higher, more continuous gold values.
The gold mineralization in ash-flow tuff along with targeted structural intersections will also be explored during Phase 2 drilling.
Victoria will host a conference call on the drilling results at Santa Fe, Nevada. The call will be hosted by Chad Williams, President, CEO, and Director and John McConnell, Executive VP and Director.
An archived audio recording of the call will be available on the Company's website following the call. www.vitgoldcorp.com
Santa Fe Background
Victoriahas the right to earn from Homestake Mining Company of California, anindirect subsidiary of Barrick Gold Corporation (TSX:ABX)(NYSE:ABX), upto a 70% interest in the Santa Fe gold property, which comprises 24patented claims and 226 unpatented claims, by incurring explorationexpenses in an aggregate amount of at least US$6.5 million over a sixyear period. Cumulative expenditures in the past two years against theUS$6.5 million earn in are approximately US$2.0 million. Victoria hasalso staked 42 unpatented claims within the Area of Interest for theSanta Fe project. Homestake Mining does not have a back-in right withrespect to the Santa Fe project. A summary table of historical drillingat the Santa Fe property can be found at www.vitgoldcorp.com.
Drillingof BH-5, BH-6 and KR-1 was carried out using HQ and NQ-sized core. Theassays were prepared, processed and assayed by Inspectorate in Reno,NV. The cut-off grade for exploration purposes used by Victoria at theSanta Fe project is 300 ppb. Assaying was done by fire assay with anatomic absorption ("AA") finish, and samples with AA results greaterthan 3,000 ppb were re-run by fire assay with gravimetric finish.Standards, blanks, and duplicate assays were also run for QA-QC. Assaysshown include all intervals over 1.5 m and grading 0.300 g/t gold ormore.
The technical contents in this press releasewere reviewed by Nancy J. Wolverson, Independent Consulting Geologist.Ms. Wolverson reviewed the analytical results and the QA/QC proceduresin place at the facilities of the Company and the analyticallaboratory. Ms. Wolverson is a Certified Professional Geologist (C.P.Geo.) through the American Institute of Professional Geologists (AIPG)and is a Qualified Person as defined in National Instrument 43-101. Dr.Raul Madrid, Vice President, Exploration of the Company, directs thedrilling and logging procedures and is responsible for the geologicinterpretation.
Victoriais a high growth gold company with a focus on adding value per sharethrough efficient exploration, project development, accretiveacquisitions and effective marketing. Maintaining a low risk profilethrough project diversification, sound financial management, andoperating in secure jurisdictions are key priorities for Victoria'smanagement team.
On Behalf of Victoria Gold Corp.
Chad Williams, P. Eng, CEO, President & Director
Cautionary Language and Forward-Looking Statements
Thispress release includes certain statements that may be deemed"forward-looking statements". All statements in this discussion, otherthan statements of historical facts, that address future explorationdrilling, exploration activities and events or developments that theCompany expects, are forward looking statements. Although the Companybelieves the expectations expressed in such forward looking statementsare based on reasonable assumptions, such statements are not guaranteesof future performance and actual results or developments may differmaterially from those in forward-looking statements. Factors that couldcause actual results to differ materially from those in forward-lookingstatements include metal prices, exploration successes, continuedavailability of capital and financing, and general economic, market orbusiness conditions. Accordingly, readers should not place unduereliance on forward-looking statements.
Thisnews release and the information contained herein does not constitutean offer of securities for sale in the United States and securities maynot be offered or sold in the United States absent registration orexemption from registration.
Neither the TSX Venture Exchange nor itsRegulation Services Provider accepts responsibility for the adequacy oraccuracy of this release.