MEADOW BAY GOLD DISCOVERS PORPHYRY-HOSTED GOLD MINERALIZATION AT ITS ATLANTA GOLD MINE PROJECT IN NEVADA
Vancouver, BC –October 13, 2011 – Meadow Bay Gold Corporation (“Meadow Bay Gold”) (TSXV:MAY) (OTCQX:MAYGF) is pleased to report assay results from three additional core drill holes of its drilling program at the Atlanta Gold Mine in Lincoln County, Nevada.
The purpose of the drill program is to test for thickness and grade of gold and silver mineralization adjacent to the past producing Atlanta Pit that was closed in 1985 due to low gold prices. The mineralization occurs primarily in a jasperoid fault breccia between overlying Tertiary volcanic rocks and Paleozoic sedimentary rocks.
Drill hole DHRC-11-04C was an exploratory hole directed southwest of the Atlanta Pit to test a geophysical anomaly. Historic drilling to the southwest of the pit failed to recognize that disseminated gold mineralization is hosted in a late-state quartz latite intrusive porphyry. In contrast to the gold and silver mineralization in the jasperoid breccias within the Atlanta Fault, the porphyry-hosted mineralization is not silificified and is much thicker. The recognition of porphyry-hosted gold mineralization adds a second exploration target to the Atlanta Mine Project. Highlights of DHRC-11-04C include ~62m of 1.63g/t eAu (see table below).
Drill holes DHRC-11-06C and -09C were collared to the Southwest of the pit and are amongst confirmatory holes to test previous drilling. Results from drill holes DHRC-11-01C and -02C were reported by Meadow Bay Gold news release dated August 22, 2011 (see news releases at www.meadowbaygold.com).
Holes DHRC-11-03C and -07C will complete the six-hole confirmation program, in accordance with the guidelines set out by Gustavson Associates LLC of Boulder, Colorado, designed to review the current and historic data with a view to preparing an updated estimate of the gold and silver resources pursuant to National Instrument 43-101. Results from these holes are pending assay.
Below is a table summarizing the significant drill results:
These drill results show the effects of progressively moving away from the margin of the historic pit toward the quartz latite porphyry. Hole DHRC-11-09 shows both an increase in grade and thickness in altered rocks along the margin of the intrusive. Holes -04C and -06C include marginal faces of the intrusive that contain thick intercepts of gold mineralization. Thus far the extent and geometry of the intrusive porphyry are unknown. However, geophysics indicates that it is open to the west, north and south. Continued drilling (awaiting assay) also suggests in may be thickening to the west.
The drill hole location map (see link 1, see link 2) and cross section (see link) is also available on the Meadow Bay Gold website.
Robert Dinning, CEO commented, “We are very excited by this new discovery of a gold bearing porphyry directly adjacent to the known mineralized shear zone at Atlanta. This discovery has opened up a large additional tonnage opportunity for us in close proximity to the existing open pit. In addition, it has highlighted the need for us to explore – not just laterally along the breccia hosted ore-body to the north – but our other geophysical anomalies at the Atlanta project.”
Bill Reed, a Qualified Person as defined by National Instrument 43-101, and Director of Meadow Bay Gold has reviewed the contents of this press release. An ongoing QA/QC program is being employed including blank, duplicate and reference standards with samples are being assayed at the ALS Chemex lab in Elko Nevada, by fire assay with a gravimetric finish. Meadow Bay Gold is focused on developing the former producing Atlanta Gold Mine in Nevada, USA. Drilling continues as does reconnaissance exploration on recently staked claims to the northwest and southeast.
For further information please see www.meadowbaygold.com or contact:
Meadow Bay Gold Corporation
Robert Dinning, Chairman and CEO
Danny Gravelle, Investor Relations
Bobby Mullins, First Canadian Capital Corp.
Neither 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 press release.
This press release includes certain “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward looking information” within the meaning of Canadian securities laws. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual events and results to differ materially from Meadow Bay’s expectations include the need to satisfy the conditions set forth in any agreement entered into in connection with the Desert Hawk transaction and the equity financing; the need to satisfy regulatory and legal requirements with respect to the Desert Hawk transaction and the equity financing; risks related to the exploration stage of Meadow Bay’s projects; market fluctuations in prices for securities of exploration stage companies; and uncertainties about the availability of additional financing. Trading in the securities of Meadow Bay should be considered highly speculative. Meadow Bay does not intend, and does not assume any obligation, to update any forward-looking statements, other than as required by applicable law.
The press release makes reference to historical estimates. The historical estimates are by definition herein not NI 43-101 compliant and are included herein in for historic context and completeness. There can be no assurances that any of the historical estimates will be able to be categorized as a NI 43-101 compliant resource or reserve category or demonstrate any economic viability. Investors are cautioned not to rely on the historical estimates when making their investment decisions.