MEADOW BAY GOLD FINDS NEW TARGETS AT ITS ATLANTA GOLD MINE IN NEVADA
VANCOUVER, BRITISH COLUMBIA- June 6, 2012 – Meadow Bay Gold Corporation (“Meadow Bay Gold”) (TSX:MAY)(OTCQX:MAYGF)(FRANKFURT:20M)(WKN A1C3DN) has completed a combined IP/resistivity survey at its Atlanta Gold Mine Project, Lincoln County, Nevada.
Testing of the Atlanta Fault zone mineralization during the 2011 drill program discovered porphyry-hosted gold mineralization to the west of the historic Atlanta open pit. This porphyry-hosted mineralization is a distinctly different target than the gold-silver mineralization within the jasperoid breccias of the Atlanta Fault. In particular, the Atlanta Porphyry contains vein and disseminated pyrite that should allow it to be remotely detected through an induced polarization (IP) geophysical survey.
Quantec Geoscience Ltd was contracted to conduct the IP survey. An initial survey consisting of six lines evenly divided between the Atlanta Porphyry and a promising area known as the Western Knolls was expanded to ten lines covering 22.8km. The lines over the Atlanta Porphyry clearly show a region of enhanced chargeability with values up to 24 miliradians (5 times background values) indicative of disseminated sulfides beneath the area drilled in 2011. Based on the IP survey results, the chargeability anomaly suggests the porphyry is larger than previously interpreted and extends further to the north.
Previous reconnaissance exploration in the Western Knolls has revealed broad areas of silicification associated with several low-lying hills of Tertiary volcanic rocks. The IP results show multiple regions of chargeability with values up to 22 miliradians (two to 5 times background values), some quite close to the surface in the same area.
Both the IP results and a previous magnetic survey will be processed into a 3D model by Quantec. This model – in conjunction with further geological and geochemical investigations – will be used to guide future drilling in 2012.
Robert Dinning, CEO commented, “The results of this geophysical survey augment what we have been seeing. All of our previous efforts suggest that the Atlanta Mine is only one of many exploration targets in the Atlanta District. In particular, the IP results should help us define targets in the Western Knolls where recent assay results have been particularly encouraging.”
The Company considers these results highly significant but also cautions that they are preliminary in nature and not conclusive evidence of the likelihood of the occurrence of an economic mineral deposit.
Sample IP lines are available on the Meadow Bay Gold website at www.meadowbaygold.com and below:
To view Line 2 over the Atlanta Porphyry please click here: http://www.meadowbaygold.com/Line2Porph.pdf
To view Line 5 over the Western Knolls please click here: http://www.meadowbaygold.com/Line5Knolls.pdf
Full details of the Atlanta project and the 2011 drill program are given in the last Technical Report filed at www.sedar.com.
Dr. Matt Ball, P.Geo., a Qualified Person as defined by National Instrument 43-101 and independent consultant to the Company, has reviewed the contents of this press release.
Meadow Bay Gold is focused on developing the former producing Atlanta Gold Mine in Nevada, USA. Permitting for the next round of exploration drilling is ongoing.
For further information please contact:
Meadow Bay Gold Corporation
Robert Dinning, Chairman and CEO
Charles William Reed, Director
Danny Gravelle, Investor Relations
This release contains “forward-looking statements” within the meaning of applicable Canadian securities legislation, including predictions, projections and forecasts. Forward-looking statements include, but are not limited to, statements that address activities, events or developments that the Company expects or anticipates will or may occur in the future, including such things as future business strategy, competitive strengths, goals, expansion, growth of the Company’s businesses, operations, plans and with respect to exploration results, the timing and success of exploration activities generally, permitting time lines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, timing and possible outcome of any pending litigation and timing and results of future resource estimates or future economic studies. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”, “anticipates”, “does not anticipate” or “belief” or describes a “goal” or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved.
Forward-looking statements are based on a number of material factors and assumptions, including, the result of drilling and exploration activities, that contracted parties provide goods and/or services on the agreed timeframes, that equipment necessary for exploration is available as scheduled and does not incur unforeseen break downs, that no labour shortages or delays are incurred, that plant and equipment function as specified, that no unusual geological or technical problems occur, and that laboratory and other related services are available and perform as contracted. Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the interpretation and actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of gold; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors disclosed in the company’s publicly filed documents. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.