October 14, 2008
Golden Dory Completes Airborne EM at the Sterling Copper Project, Newfoundland — Rock Sampling Returns Cobalt and Silver
Golden Dory Resources (TSX-V: FA) (a 100% owned subsidiary of 540 Capital Corp) is pleased to announce that a deep penetrating airborne EM and magnetic survey has been completed on the 100% owned 195 claim (2375 hectare) Sterling property near Springdale, on the northeast coast of Newfoundland. The contract was awarded to Aeroquest Incorporated of Mississauga, Ontario and consisted of a helicopter borne Aerotem IV system with a depth penetration capability of 400 meters. Final processed maps are expected in 6 to 8 weeks.
The Sterling property covers four significant zones of copper rich massive sulphide mineralization, the Sterling, Lady Pond, Twin Ponds and Sullivan, that were first discovered in the late 1880s and from which small tonnages of hand cobbed ore were mined from surface (< 500 tonnes*), specifically from the Sterling and Lady Pond mines (historical data obtained from the Geological Survey of Newfoundland). In the 1960s and early 1970s, Brinex explored in the Sterling-Twin Pond-Lady Pond area including the drilling of 51 holes (9,545 m) on the Sterling and Twin Pond prospects which are about 1 kilometer apart and less than 2 kilometers from navigable tidewater. This drill program intersected stringers, and lenses of massive sulphide hosted by chlorite schist returning drill intercepts (historical drill results, not verified by Golden Dory) highlighted as follows;
Sterling Zone SP-68-1 5.50% Cu/4.42 meters (incl.13.8% Cu/1.40 meters) starting at 38 meters down the hole; SP-68-6 1.70% Cu/13.72 meters (incl. 2.32% Cu/6.10 meters) starting at 108 meters down the hole; Twin Ponds SP-69-26 0.80% Cu/30.48 meters (incl. 3.10% Cu over 3.04 meters) starting at 222 meters down the hole; SP-69-39 0.50% Cu/29.56 meters (incl. 1.70% Cu/3.04 meters) starting at 405 meters down the hole. (no assaying was reported for cobalt, silver or gold)
A 16 hole diamond-drill program also tested the Lady Pond area returning drill intercepts ranging from 0.62% to 2.59% Cu* and where drilling by Falconbridge Exploration returned 1.70% Cu over 8.02 meters* in 1953. Insufficient work has been carried out to allow a resource calculation on any of the zones, but the Sterling mineralization has been traced by drilling to 225 meters vertical depth and remains open with alteration and mineralization widths increasing at depth.
Surface grab sampling of representative massive sulphide mineralization by Golden Dory personnel at Sterling and Lady Pond has verified the presence of copper but also returned potentially significant cobalt, silver and gold assays as follows (assays performed at Eastern Analytical Ltd., Springdale, Newfoundland);
Sterling/Twin Ponds Cu% Co% (lbs Co/Tonne) Ag (g/t) Au (ppb) 0025G4K 8.50 0.063 1.39 13.40 178 0026G4K 9.30 0.059 1.30 7.88 129 0027G4K 6.60 0.075 1.65 14.00 276 0028G4K 3.00 0.069 1.52 8.22 115 Lady Pond Cu% Co% (lbs Co/Tonne) Ag (g/t) Au (ppb) 0029G4K 6.80 0.137 3.01 6.5 269 17913 5.48 0.055 1.21 3.0 1084 17914 3.31 0.062 1.36 4.0 201 71196 8.13 0.083 1.83 7.0 407 (assays performed at Eastern Analytical Limited and Accurassay Laboratories)
The Sterling property lies within the Notre Dame Subzone of the Dunnage Zone and is underlain by Cambro-Ordovician ophiolitic rocks of the Lushs Bight Group. The group is host to approximately 100 volcanogenic sulphide occurrences including the adjacent and past producing Little Bay, Whalesback and Little Deer** mines which collectively produced* in excess of 6 million tonnes of ore grading between 1% and 2% Cu, with minor by product gold. The most important deposit of this type in northeastern Newfoundland was the Tilt Cove deposit which produced in excess of 8 million tonnes* grading 2.83% Cu with nearly 43,000 ounces of gold recovered (gold was not recovered during the early years (1864-1917) when the highest copper grades were mined).
The Sterling Property exhibits the potential to host economic concentrations of copper mineralization as well as previously unrecognized cobalt and silver. Given the amount of previous exploration, including diamond drilling, Golden Dory plans to carry out a deep penetrating airborne EM geophysical survey to test for prospective massive sulphide targets deeper than 200 m (i.e. below levels previously tested by drilling and ground geophysics).
*All drill intercepts and past production figures reported in this news release are historical in nature and not verified by Golden Dory Resources, all data obtained from Newfoundland Geological survey archives and database.
**The Little Deer property is currently the focus of a deep drilling program by Cornerstone Capital Resources Inc. and Thundermin Resources where recent drilling has intercepted up to 2.2% Cu over 74 meters (Cornerstone Capital Resources Inc. website).
About Golden Dory
Golden Dory recently obtained a listing on the TSX Venture Exchange and is focused on uranium, gold and base metal exploration in Newfoundland and Labrador, Canada. Golden Dory has 100% interests in the Burin uranium property (surface samples assaying up to 1.88% U3O8, the Brady (Au) property (historical DDH of 41.4 m grading 1.1 g/t Au), a 50% interest in the Sims Ridge (U) property in western Labrador (historical float up to 0.18% U3O8), and a 30% interest in the grassroots stage Portage Lake (Ni, Cu) property in western Newfoundland. Golden Dory is seeking partners to jointly explore of its property holdings.
Golden Dory Resources acknowledges the financial support provided by the Province of Newfoundland and Labrador under its Junior Exploration Assistance program.
This news release has been reviewed and approved by Timothy Froude, P. Geo., a "Qualified Person" under National Instrument 43-101. For further information contact Kevin D. Keats, President and CEO of Golden Dory at (709) 674-4200.
Investors are cautioned that trading in the securities of the Corporation should be considered highly speculative. The TSX Venture Exchange Inc. has neither approved nor disapproved the contents of this press release. Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Golden Dory will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included n the documents filed from time to time with the Canadian securities regulatory authorities by Golden Dory.
(Not for dissemination in the United States of America)
Distributed by Filing Services Canada and retransmitted by Marketwire
Contact: Windward Global P: 704.588.8600 F: 704.588.9967
SOURCE: Golden Dory Resources