Inter-Citic Reports Gold Mineralization Found in 25 of 27 New Drill Holes. Results Include 12.0 Metres Averaging 7.39 GPT Contained Gold
Posted on: Monday, 3 March 2008, 09:00 CST
Inter-Citic Minerals Inc. (TSX: ICI) ("Inter-Citic" or "the Company") President and CEO James Moore, is pleased to report results received from the seventh and final set of drill holes from its 2007 diamond drill program at its Dachang Gold Project in China, as well as a summary of 2007 trenching results.
"We are very pleased with the success of the 2007 exploration season," said Mr. Moore. "In addition to conducting in-fill drilling on a substantial portion of the Dachang Main Zone, we have now been able to confirm the extension of the strike of the mineralized zone by more than a kilometre outside the previously known resource area. The vast majority of Inter-Citic's diamond drill work at Dachang has been conducted between surface and 150 metres of depth. At the conclusion of 2007 this mineralized zone remains open throughout at depth as well as to the east. In addition, new surface discoveries were made from trenching in the Dachang East area. These newly discovered areas will be prioritized for drilling during 2008."
In 2007 the company completed 196 drill holes for a total of 27,926 metres of drilling at Dachang. Of these, 24,312 metres of drill testing was on the Dachang Main Zone (DMZ) and it's eastern extensions. A total of 164 drill holes were completed on the DMZ in 2007, representing both infill drilling to confirm 2006 drill intercept continuity and drilling in new areas that resulted in the extension of the DMZ by approximately one kilometre to the east of the current resource area. Gold mineralization was intersected in 152 or 93% of these holes on the DMZ. In addition to drilling on the DMZ, 3,614 meters in 32 holes of HQ drilling was completed on the Placer Valley and Ruby Zones during the 2007 exploration program.
With the receipt of the final drill results for 2007, the Company expects to be in a position to update its mineral resource estimate in late March / early April, 2008.
Trenching in 2007 continued to report results of strong surface gold mineralization, which has been successfully used by the Company to locate underlying mineralization for their drilling program. Trenching on the DMZ Extension (DMZ-X) in 2007 returned results including:
- T-1401 with 31.0 m at 8.34 gpt for 258.5 gram/metres
- T-3001 with 34.0 m at 3.57 gpt for 121.38 gram/metres
Most of the reported trenching in this release that is outside the DMZ Extension represents new areas of discovery, including the South East Anomaly (SEA) with 35 trenches, the mostly unexplored Placer Valley Zone (PVZ) with 67 trenches, and additional others areas surrounding the DMZ (OTH).
Trenching in these areas in 2007 returned results including:
- T-1502 with 12.5 m at 4.59 gpt for 57.4 gram/metres (PVZ)
- T-33501 with 18.0 m at 4.5 gpt for 81.0 gram/metres (PVZ)
- T-3507 with 13.5 m at 5.46 gpt for 73.7 gram/metres (PVZ)
- T-4302 with 9.0 m at 9.4 gpt for 84.4 gram/metres (PVZ)
- T-4801 with 11.0 m at 7.6 gpt for 83.7 gram/metres (PVZ)
- T-22501 with 15.0 m at 4.8 gpt for 71.7 gram/metres (OTH)
- T-1304 with 15.0 m at 6.7 gpt for 100.2 gram/metres (OTH)
Drill Highlights:
- 25 of 27 drill holes reported in this release returned mineralized gold zones, with aggregate drill widths up to 44 metres within potential open pit depths.
- Drill hole CJV-316 intersected multiple mineralized zones, including 12.0 metres of mineralization averaging 7.39 GPT contained gold, another zone of 20.0 metres of mineralization averaging 2.58 GPT contained gold, and another zone of 5.0 metres of mineralization averaging 3.96 GPT contained gold.
- Drill hole CJV-321 intersected multiple mineralized zones, including 7.0 metres of mineralization averaging 3.64 GPT contained gold.
- Drill hole CJV-328 intersected multiple mineralized zones, including 6.0 metres of mineralization averaging 5.82 GPT contained gold.
- Drill hole CJV-332 intersected multiple mineralized zones, including 3.0 metres of mineralization averaging 6.92 GPT contained gold and another zone of 4.0 metres of mineralization averaging 3.79 GPT contained gold.
Drill holes on the Dachang Main Zone Extension (DMZ-X) are in new areas and outside the limits of the resource blocks in the company's current DMZ resource estimate. Infill holes on the original Dachang Main Zone (DMZ) are testing continuity of the Company's existing NI 43-101-compliant resource area.
Detailed drilling results are set out in the chart below:
----------------------------------------------------------------------- ---- Diamond Section/ Dip/ From To Drill Gold Drill Location Azimut (Metres) (Metres) Width Assay Hole (Degrees) (Metres) (grams No. per tonne) --------------------------------------------------------------------------- CJV-307 900E/DMZ-X -85/20 15.00 16.00 1.00 5.10 52.00 54.00 2.00 11.15 107.00 110.00 3.00 1.13 114.00 116.00 2.00 1.05 126.00 127.00 1.00 0.65 135.00 136.00 1.00 1.62 143.00 149.00 6.00 1.06 CJV-308 2400E/DMZ-X -45/20 55.00 57.50 2.50 2.42 CJV-309 No significant mineralization CJV-310 2400E/DMZ-X -85/20 88.00 89.00 1.00 0.52 CJV-311 2900E/DMZ-X -85/20 86.00 87.00 1.00 1.32 CJV-312 5400W/DMZ-X -45/200 107.00 122.00 15.00 1.90 CJV-313 2400E/DMZ-X -45/20 39.00 42.00 3.00 1.61 49.00 51.00 2.00 7.58 85.00 86.00 1.00 0.75 CJV-314 12700W/DMZ-I -65/20 69.00 74.00 5.00 1.60 77.00 78.00 1.00 0.78 81.00 82.00 1.00 1.28 87.00 89.00 2.00 4.60 93.00 94.00 1.00 1.24 97.00 100.00 3.00 0.60 103.00 104.00 1.00 1.00 116.50 120.00 3.50 1.04 CJV-315 No significant mineralization CJV-316 2400E/DMZ-X -85/20 49.00 53.00 4.00 1.07 60.00 65.00 5.00 3.96 68.00 80.00 12.00 7.39 84.00 104.00 20.00 2.58 118.00 119.00 1.00 0.77 123.00 124.00 1.00 2.68 180.00 181.00 1.00 0.69 CJV-317 400E/DMZ-X -45/20 14.00 18.00 4.00 1.45 32.00 39.00 7.00 1.15 44.00 45.00 1.00 0.62 50.00 54.00 4.00 1.97 71.00 72.00 1.00 1.45 78.00 80.00 2.00 0.63 111.00 112.00 1.00 0.90 CJV-318 400E/DMZ-X -65/20 9.00 15.00 6.00 0.84 24.00 25.00 1.00 1.46 30.00 31.00 1.00 1.57 34.00 40.00 6.00 2.38 44.00 55.00 11.00 0.78 62.00 65.00 3.00 1.52 69.00 70.00 1.00 2.33 77.00 87.00 10.00 0.89 CJV-319 2400E/DMZ-X -60/20 40.00 51.00 11.00 1.72 76.00 77.00 1.00 1.10 79.00 80.00 1.00 0.54 123.00 125.00 2.00 1.14 130.00 131.00 1.00 0.53 147.00 148.00 1.00 1.23 CJV-320 2400E/DMZ-X -65/20 67.00 68.00 1.00 0.52 101.00 103.00 2.00 6.61 CJV-321 5400W/DMZ-X -65/200 125.00 127.00 2.00 2.87 147.00 154.00 7.00 3.64 CJV-322 12700W/DMZ-I -85/20 67.00 69.00 2.00 4.09 88.00 89.00 1.00 0.92 95.00 97.00 2.00 5.90 106.00 107.00 1.00 1.65 112.00 113.00 1.00 1.49 CJV-323 400E/DMZ-X -85/20 13.00 15.50 2.50 1.28 19.00 20.00 1.00 0.75 33.00 34.00 1.00 3.08 37.00 38.00 1.00 0.81 44.00 45.00 1.00 2.45 59.00 63.00 4.00 1.04 70.00 72.00 2.00 2.56 87.00 89.00 2.00 2.12 112.00 114.00 2.00 3.07 123.00 126.00 3.00 2.44 136.00 137.00 1.00 0.74 CJV-324A 2400E/DMZ-X -85/20 28.00 29.00 1.00 10.10 CJV-325 900E/DMZ-X -65/20 33.00 34.00 1.00 6.28 45.00 46.00 1.00 0.97 127.00 128.00 1.00 4.27 142.00 143.00 1.00 15.90 168.00 169.00 1.00 0.52 CJV-326 100W/DMZ-X -65/20 26.00 28.00 2.00 0.72 89.00 90.00 1.00 1.78 CJV-327 900E/DMZ-X -85/20 106.00 110.00 4.00 0.72 114.00 116.00 2.00 0.62 147.00 149.00 2.00 0.62 CJV-328 100W/DMZ-X -85/20 46.00 52.00 6.00 5.82 65.00 68.00 3.00 1.51 78.00 79.00 1.00 0.50 CJV-329 400E/DMZ-X -60/20 59.00 61.00 2.00 1.03 74.00 77.00 3.00 0.61 89.00 92.00 3.00 1.17 95.00 102.00 7.00 1.64 117.00 130.00 13.00 0.64 135.00 136.00 1.00 0.65 167.00 170.00 3.00 2.87 CJV-330 100W/DMZ-X -60/20 6.00 7.00 1.00 0.89 61.00 65.00 4.00 2.91 83.00 86.00 3.00 3.53 95.00 98.00 3.00 2.31 103.00 104.00 1.00 8.18 114.00 120.00 6.00 1.36 134.00 135.00 1.00 1.18 146.00 147.00 1.00 0.69 CJV-331 400E/DMZ-X -85/20 14.00 15.00 1.00 1.82 86.00 88.00 2.00 1.23 114.00 115.00 1.00 1.35 117.00 118.00 1.00 0.58 140.00 143.00 3.00 2.21 CJV-332 100W/DMZ-I -85/20 6.00 8.00 2.00 2.45 76.00 80.00 4.00 3.79 84.00 87.00 3.00 6.92 90.00 91.00 1.00 1.86 113.00 116.00 3.00 3.61 CJV-333 625W /DMZ-X -50/20 11.00 13.00 2.00 2.99 29.50 30.50 1.00 0.50 49.50 53.50 4.00 0.80 60.00 61.00 1.00 1.56 70.00 71.00 1.00 0.83 102.00 105.00 3.00 1.09 109.00 110.00 1.00 0.55
Assay cut-off for the above table was at 0.5 gpt Au, however, intervals were determined by geological interpretation of consistent mineralized zones. Broader intervals may include waste intervals of up to 2m. There was no evidence of nugget effect and none were topcut. True widths for the intervals above have yet to be determined.
DMZ: Dachang Main Zone - A 2 km long zone of mineralization defined by the 2006 DDH program
DMZ-I: Dachang Main Zone-Infill - A 2007 infill hole drilled on the DMZ
DMZ-X: Dachang Main Zone Extension - A new zone of mineralization extending off the eastern end of the DMZ
PVZ: Placer Valley Zone - A new south dipping mineralized fault 1 km south of DMZ
Drill holes on the Dachang Main Zone Extension (DMZ-X) are in new areas and outside the limits of the resource blocks in the company's current DMZ resource estimate. Infill holes on the original Dachang Main Zone (DMZ) are testing continuity of the Company's existing NI 43-101-compliant resource area.
During the 2006 and 2007 drill programs, the fault controlled mineralization that hosts the gold at Dachang has now been defined along a 3+ km strike length. This sulphide mineralization is open to depth along most of this defined fault structure and last section tested (Section 2900 East) shows that the DMZ mineralization is still open to the east.
This work on widely spaced drill fences has defined two different styles of gold mineralization both controlled by flat lying brittle fault zones (30-45 degree south dipping faults). In the western portion of this fault structure, drilling intersected weak gold intercepts in an area of cross faulting between sections 625 W and 900E. Further east (1400E -2900 E) much stronger sulphide zones were intersected and these sulphides zones are still open to the east and at shallow depths.
Maps of the property showing the areas of the 2007 drill program described in this release can be found on the Company's web-site at www.inter-citic.com.
TRENCH RESULTS
A total of 146 trenches were excavated on the Dachang property in 2007. Complete results from 123 of these trenches have been received to date. Mineralization was encountered in 111 of these 123 trenches. Trenching was undertaken in four separate areas:
- Placer Valley Zone (PVZ) with 67 trenches (7,329 linear metres);
- South East Anomaly (SEA) with 35 trenches (5,982 linear metres);
- Dachang Main Zone Extension (DMZ-X) with 13 trenches (1,087 linear metres); and,
- Other areas in the immediate vicinity of the Dachang Main Zone identified by soil geochem (OTH) with 31 trenches (2,631 linear metres).
All 2007 trench locations are shown on the attached map.
Trenching in 2007 again defined many new areas of gold mineralization both along strike with the Dachang Main Zone and on new fault zones within 8 kilometres of the DMZ. Trenching continues to be one of the most successful and cost-effective methods of gold exploration at Dachang due to the thin soil cover and near-surface mineralization observed throughout the property. A consistent spatial relationship has been observed between the gold in soil anomalies, trench values and underlying strongly altered and mineralized fault zones, and was what originally led to the discovery of the DMZ resource area. Favourable trench results provide targets of priority for the Company's upcoming 2008 drilling program.
A review of the most significant gold intervals (those containing more than 8 gram meters of gold) returned from this work include the following trenches grouped by area:
----------------------------------------------------------------------- Trench Number From To Width Gold Assay Gram Metres (grams per tonne) ----------------------------------------------------------------------- PLACER VALLEY (PVZ) T-1502 54.50 67.00 12.50 4.59 57.38 T-21503 8.00 12.00 4.00 2.51 10.04 T-21503 16.00 22.00 6.00 2.10 12.60 T-2313 100.00 105.00 5.00 2.64 13.20 T-2313 108.00 117.00 9.00 2.44 21.96 T-2313 123.00 135.50 12.50 1.84 23.00 T-2507 9.50 15.50 6.00 1.51 9.06 T-2906 66.00 68.00 2.00 4.76 9.52 T-2907 13.00 18.50 5.50 2.10 11.55 T-3105 28.50 30.00 1.50 31.00 46.50 T-3307 34.00 42.00 8.00 4.31 34.48 T-3308 118.00 122.00 4.00 2.58 10.32 T-3308 143.00 146.50 3.50 2.46 8.61 T-33501 13.50 31.50 18.00 4.50 81.00 T-33502 7.00 11.50 4.50 9.03 40.64 T-3507 52.50 66.00 13.50 5.46 73.71 T-3911 76.00 82.00 6.00 2.27 13.62 T-41504 12.50 29.50 17.00 2.56 43.52 T-41504 39.00 47.50 8.50 4.40 37.40 T-4302 8.50 15.00 6.50 1.69 10.99 T-4302 25.00 35.50 10.50 2.93 30.77 T-4302 45.50 54.50 9.00 9.38 84.42 T-4506 73.00 76.50 3.50 3.62 12.67 T-4507 21.00 28.00 7.00 1.27 8.89 T-4507 41.00 44.00 3.00 6.89 20.67 T-4507 93.00 95.00 2.00 4.03 8.06 T-4705 26.00 31.00 5.00 3.24 16.20 T-4705 60.00 67.00 7.00 1.59 11.13 T-8501 32.00 34.00 2.00 4.18 8.36 T-87501 73.00 86.00 13.00 2.73 35.49 T-87501 102.50 107.00 4.50 1.99 8.96T-89501 10.00 12.00 2.00 10.25 20.50 T155001 81.00 87.50 6.50 3.12 20.28 T155001 143.00 144.50 1.50 7.76 11.64 T155001 158.00 171.50 13.50 2.95 39.83 T175002 68.00 72.00 4.00 2.38 9.52 T1902-1 104.90 110.00 5.10 1.80 9.18 T2313-1 37.50 43.00 5.50 1.86 10.23 T2313-1 104.00 108.00 4.00 3.86 15.44 T2313-1 112.00 138.00 26.00 2.56 66.56 T295001 124.00 133.00 9.00 1.45 13.05 T315003 175.00 183.00 8.00 1.83 14.64 T335002 10.50 16.50 6.00 4.99 29.94 T335002 124.00 135.50 11.50 5.26 60.49 T335002 139.50 141.00 1.50 5.46 8.19 T3706-1 15.80 26.00 10.20 2.62 26.72 T3706-1 30.50 37.00 6.50 1.66 10.79 T415002 71.50 75.50 4.00 2.74 10.96 T435003 48.00 54.00 6.00 3.18 19.08 T-4801 202.00 213.00 11.00 7.61 83.71 T-6401 15.00 22.00 7.00 3.54 24.78 T-6401 78.00 85.00 7.00 7.22 50.54 T-6401 102.30 104.30 2.00 4.18 8.36 T-8802 20.00 22.00 2.00 4.79 9.58 SOUTH EAST ANOMALY (SEA) T-25401 101.50 104.00 2.50 4.05 10.13 T-27001 31.00 34.00 3.00 3.38 10.14 T-27001 80.00 93.00 13.00 1.25 16.25 T-27401 57.00 60.00 3.00 6.68 20.04 T-27802 57.00 77.00 20.00 1.50 30.00 T-28201 63.00 67.50 4.50 1.78 8.01 T-28202 227.50 233.50 6.00 1.81 10.86 T-28203 51.00 63.00 12.00 1.18 14.16 T-29401 168.00 176.50 8.50 1.37 11.65 T-29401 183.00 188.00 5.00 1.62 8.10 T-29402 25.00 35.00 10.00 1.56 15.60 T-29402 120.00 127.00 7.00 2.08 14.56 T-29601 21.00 30.00 9.00 2.10 18.90 T-32201 82.00 94.00 12.00 0.91 10.92 T-32201 265.00 268.00 3.00 2.67 8.01 T-33401 117.50 118.50 1.00 30.40 30.40 DACHANG MAIN ZONE EXTENTION (DMZ-X) T-0 32.00 40.00 8.00 4.97 39.76 T-125W 0.00 12.00 12.00 1.96 23.52 T-125W 84.00 88.00 4.00 2.28 9.12 T-1401 14.00 45.00 31.00 8.34 258.54 T-1401 83.00 87.00 4.00 4.18 16.72 T-16501 11.50 27.50 16.00 4.53 72.48 T-16501 30.50 35.50 5.00 2.56 12.80 T-3001 19.00 53.00 34.00 3.57 121.38 T-3001 68.00 74.00 6.00 1.98 11.88 T-300E 56.00 72.00 16.00 1.21 19.36 T-700E 68.00 80.00 12.00 1.54 18.48 OTHER AREAS (OTH) T-1001 39.00 53.00 14.00 2.77 38.78 T-1002 147.50 150.00 2.50 10.71 26.78 T-1102 96.50 102.50 6.00 2.52 15.12 T-11702 20.00 31.30 11.30 2.10 23.73 T-11702 37.50 40.50 3.00 3.39 10.17 T-11702 43.00 54.00 11.00 3.56 39.16 T-11702 59.60 62.60 3.00 2.84 8.52 T-1201 12.00 14.00 2.00 4.65 9.30 T-22501 38.00 42.50 4.50 3.86 17.37 T-22501 71.00 86.00 15.00 4.78 71.70 T-2403 5.00 7.00 2.00 5.26 10.52 T-2403 37.00 44.00 7.00 2.03 14.21 T-3104 18.50 22.50 4.00 3.74 14.96 T-3104 26.50 41.50 15.00 6.68 100.20 T-401 33.00 35.00 2.00 7.69 15.38 T-601 34.50 47.50 13.00 1.64 21.32 T-601 51.50 59.50 8.00 1.82 14.56 T-810 46.00 50.00 4.00 3.87 15.48 T-8502 64.50 67.50 3.00 3.70 11.10
Assay cut-off for the above table of trenches was at 8.0 Gram/Metres Au, however, intervals were determined by geological interpretation of consistent mineralized zones. Broader intervals may include waste intervals of up to 2m.
Sample Methodology:
Drill core samples were taken at geologically significant intervals, typically over one metre. Core recovery was in excess of 90%. The designated sample intervals were cut with a diamond saw by qualified technicians. One half of the cut core was selected for assay with the remaining half being placed back into the core box. Care was taken to ensure that neither half of the core represents a bias with respect to the nature and mineral content of the sample. The sample interval and methodology are consistent with industry standards. Drill core samples were shipped to SGS Geochemical Laboratories ("SGS") located in Kunming and Tianjin, China for sample preparation and 50g fire assay with AA finish. SGS is the world's leading inspection, verification, testing and certification company. Analytical work is performed in accordance with recognized standards such as ASTM, ISO, JIS, and other accepted industry standards. Accuracy of the results is tested through the systematic inclusion of reference samples and duplicate samples.
Trench chip-channel samples were taken at geologically established intervals consistent with the width of each mineralized area exposed in the trench. The sample interval was typically one meter. The individual samples collected over the designated intervals are representative of the material for the respective intervals. The sample interval and collection methodology are consistent with industry standards.
Each of the trenches listed above was excavated on lines spaced variably at a minimum of 40m to a maximum of 400m intervals. All trenches sampled in 2007 were excavated by backhoe and most uncovered broken bedrock at depths of 1.5 to 2.5 metres, which was typically altered and highly deformed sediments. All trenches are mapped in detail and channel samples are taken at one metre intervals across all mineralized zones. The gold bearing zones intersected coincided with areas of secondary sulphide enrichment in these Triassic sediments.
Samples were collected using 1.0 to 1.5 metre chip samples, each weighing approximately 3 to 5 kg. Qualified Chinese geologists and technicians under the direct field supervision of Mr. Garth Pierce, Inter-Citic's Vice President of Exploration, carry out the trench sampling.
Each sample is secured and transported to the Qinghai Institute of Rock and Mineral Testing and Application, located in Xining, Qinghai, PRC, or to the Research Center of Xi'an Institute of Geology and Mineral Resources located in Xi'an, Shaanxi Province, PRC, both independent arm's length Chinese government laboratories. At each respective laboratory, each sample is dried, crushed and a portion ground to minus 200 mesh. The gold content of each sample was determined by analyzing a 20 gram sample of the minus 200 mesh material through an aqua regia acid digestion and then analyzed for gold using atomic absorption. Accuracy of the results is tested through the systematic inclusion of standards and replicate samples.
Security of Samples: All of the samples collected at Dachang are stored in a restricted secure storage area. Samples are shipped by truck to Golmud and delivered to Inter-Citic's courier agent in Golmud for shipment to the various laboratories for analysis. Inter-Citic's courier agents are present at all transshipment points between Golmud and the laboratories. Exploration at Dachang was conducted with the assistance of the numerous professionals from the Qinghai Geological Survey Institute, working in co-operation with Inter-Citic's technical team on site and supervised by Mr. Garth Pierce, Vice-President of Exploration.
Mr. Michael W. Leahey, P.Geo., the Company's internal Qualified Person under the requirements of National Instrument 43-101, has reviewed a copy of this press release.
Mr. B. Terrence Hennessey, P.Geo., of Micon International Limited is a Qualified Person under the requirements of National Instrument 43-101 and has reviewed a copy of this press release.
On Behalf of the Board:
James J. Moore, President & CEO
ABOUT INTER-CITIC:
Toronto-based Inter-Citic Minerals Inc. is an exploration and development company with properties in the People's Republic of China, including its Dachang Gold Project in Qinghai Province. Inter-Citic is listed on the TSX under the symbol ICI. Inter-Citic's website is www.inter-citic.com.
Investors are encouraged to review "Risk Factors" associated with the Dachang project as outlined in the Company's 2006 Financial Statements and Annual Information Form available on the SEDAR website at www.sedar.com. The statements herein that are not historical facts are forward-looking statements. These statements address future events and conditions and so involve inherent risks and uncertainties, as disclosed under the heading "Risk Factors" in the company's periodic filings with Canadian securities regulators. Actual results could differ from those currently projected. The Company does not assume the obligation to update any forward-looking statement. The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.
Contacts: Inter-Citic Minerals Inc. Stephen Lautens Vice President, Corporate Communications (905) 479-5072 x 227 Email: stephen@inter-citic.com Website: www.inter-citic.com
SOURCE: Inter-Citic Minerals Inc.
Source: MARKET WIRE
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