Golden Tag Resources Ltd.: Commencement of Drilling on San Diego Property, Mexicoadmin
Golden Tag Resources Ltd.(TSX VENTURE: GOG) (“the Company”) is pleased to report the commencement of surface diamond drilling on the San Diego property in Durango State, Mexico. Preliminary road construction has been completed (see Company news release of August 2, 2006)) and one surface diamond drill has been mobilized to site. The field program is supervised by joint venture partner ECU Silver Mining Inc. (“ECU”). The initial program of exploration on the property is planned to entail approximately 4,000 meters of drilling focused on testing at least three of the six known vein systems to expand known Resources on the property. The Company must expend a total of $US1.5 million in exploration expenses over three years in increments of US$500,000 per year to earn a 50% interest in the Property from ECU.
Never previously subject to modern exploration, the San Diego property is an historic silver producer boasting at least four major silver-lead-zinc with some gold vein systems with 11 shafts and 10 adits attesting to limited prior silver production with earlier rudimentary mining methods. Ores from historical mining more than 25 years ago were locally processed and shipped to smelters in Torreon, 1 hour distant by truck. Strong similarities are recognized between the ore and structural environment on the San Diego property with those demonstrated in areas of the ECU operations and focus, approximately 6 km to the west. Potential to expand San Diego Resources is considered excellent.
An NI 43-101 qualified resource statement (Roscoe Postle Associates, July 10, 2005) has initially identified more than 1.11 million oz. silver (and 3,400 oz. gold) as an Indicated Resource – with an additional 1.1 million oz. silver (plus 2,100 oz. gold) in the Inferred Resource category – based on intensive underground sampling to industry standards. The new drill program will test the depth extensions of the laterally extensive shallowly-mined veins. Its main objective is to significantly increase the size of the present resource.
Work on the property is supervised by Ms. Kateri Marchand, P.Geol. and Qualified Person as defined under NI 43-101 guidelines. Drilled core will be split in half with one half retained for future reference and the other half sent to ERSA laboratory in Torreon, Coahuila, Mexico. Approximately 25% of samples including all samples with significant assays will be check assayed at SGS new facility in Durango, Mexico. A strict QA/QC program is followed which includes mineralized standards, blanks and duplicates for each batch of samples.
The TSX Venture Statements in this release that are “forward-looking statements” are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially. We undertake no duty to update any forward-looking statement to conform the statements to actual results or changes in our expectations.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release
Contacts: Golden Tag Resources Ltd. Marc Carrier President (514) 426-8542 (514) 426-8543 (FAX) email@example.com