ICN Resources Resumes Drilling at Goldfield Project Closes Dunes Transaction
September 29 2011 - 4:53PM
Marketwired
ICN Resources Ltd. (TSX VENTURE: ICN) ("ICN" or the "Company") is
pleased to announce the initiation of a Phase II drill program at
the Goldfield Bonanza Project. The Goldfield project, under option
from Lode Star Gold, Inc. ("Lode Star"), a private Nevada
corporation, is located in the historic Goldfield mining district
of Nevada. The Goldfield district is well known for multi-ounce,
bonanza grade gold ores and has recorded historic production in
excess of 4.1 million ounces of gold at an average grade of greater
than 17 g/t Au (0.5 oz/t). The first 10 years of reported
production in the district (1903 to 1912) produced 2.98 M oz Au
from a total of 1.65 Mt of ore (average grade of 1.81 oz/t or 62
g/t Au), Nevada Bureau of Mines and Geology Bulletin 78 (1972). For
further information on the option to acquire an 80% interest in the
Goldfield Bonanza Project form Lode Star see the Company's news
releases dated March 29, 2011 and April 13, 2011.
Two drill rigs have been mobilized to site to initiate a 20,000
foot (6,000 metre) Phase II drill program. Both a core rig and a
reverse circulation (RC) drill will be utilized to follow-up on
previous high grade results and to continue initial testing of both
geophysical and exploration targets. The core rig is expected to
complete approximately 5,000 feet (1,500 metres) in 15 holes,
primarily as step out drilling in the high grade Church Zone.
Previous drilling in this area encountered 2.9 m of 1,454 g/t Au
followed by 42.7 m of 4.18 g/t Au in drill hole ICN-003 (see ICN
news release dated May 17, 2011). In addition, holes ICN-013 and
ICN-014 reported 14.9 m of 164.5 g/t Au (including 1.4 m @ 1,764
g/t); and 12.0 m of 222.6 g/t Au (including 2.9 m @ 918 g/t),
respectively (see ICN news release dated August 15, 2011). The core
program is designed to step out and expand the mineralization
discovered in the Church Zone. Historic production in the district
came from individual quartz-alunite ledges, each averaging around
100,000 tons, but containing from 100,000 to 500,000 oz Au. This
fact demonstrates the fact that well mineralized ledges are small
targets, in particular when under cover, and will require close
spaced drilling.
The RC drilling program is designed to complete 50 holes for a
total of approximately 15,000 feet (4,600 m). This drilling will
focus primarily on further testing of geophysical and exploration
targets, as well as to follow-up in other areas of the property
where lower grade mineralization was encountered in the Phase I
program. Following the receipt of assay results from ICN's initial
drilling, the assay data was incorporated into the geophysical
database, and the CSAMT (Controlled Source Audio Magnetotellurics)
was re-interpreted. Two significant results from this work have
assisted in refining drill hole targeting based on the property
wide CSAMT survey. First, it was determined that a distinct
correlation exists between good gold grades in the drill holes and
the edges of resistivity highs, as outlined by the CSAMT. Since
gold mineralization at the property is associated with
quartz-alunite-dickite-kaolinite alteration (silica and clay), the
prime CSAMT targets appear to be along the edges of the resistivity
highs, not the center of the highs (silica only), as previously
thought. Secondly, it is the fact that the very high grade
mineralization discovered in the Church Zone directly under
younger, post-mineral rock is reflected in the CSAMT data. The high
grade silicified rock discovered in the Church Zone forms a
topographic high (or knob) under the post-mineral cover. The CSAMT
maps the base of the cover rock, and the silicified knob containing
the high grade is evident in the geophysical data. Numerous other
similar appearing CSAMT anomalies are found elsewhere on the
property and are prime targets for the RC drilling. Results from
this target testing may or may not be the same as was found in the
Church Zone, but the fact that at least a half dozen other similar
geophysical anomalies exist elsewhere is encouraging.
Carl Hering, President and CEO of ICN Resources stated that, "We
have abundant new targets to test and are anxious to get the drills
turning with the hopes of discovering yet other high grade zones
that have remained undiscovered because they lie under the younger
cover."
In addition to the initiation of the Phase II drill program at
Goldfield, ICN has closed the transaction for the sale of their
Dunes claims to Paramount Gold and Silver (announced in ICN news
release dated August 24, 2011). ICN has received 400,000 Paramount
shares (subject to a statutory hold period), along with a retained
royalties payment for the claims which lie between the Sandman and
Sleeper deposits. This transaction allows the Company flexibility
in budgeting for work programs on other projects and will generate
further funds for the Company upon the sale of the Paramount shares
described above.
Tim Percival, CPG and a P.Geo., a Qualified Person as defined by
National Instrument 43-101 and Chief Geologist for the Company, has
reviewed and approved the technical information contained in this
news release.
About ICN Resources
ICN is primarily focused on exploration for volcanic-hosted
precious metal deposits in western Nevada, emphasizing targets with
geological similarities to Sleeper, Sandman, Hollister, Midas and
Aurora. ICN plans to explore the feeder zones associated with large
low-grade gold and silver systems, as well as explore for high
grade deposits at the new Goldfield Bonanza Project located in
western Nevada. ICN continues to evaluate opportunities in
established metallogenic belts elsewhere in the United States. The
ICN management and geological team have extensive experience in
Nevada and worldwide, utilizing this experience to generate prime
opportunities for ICN shareholders.
On Behalf of the Board of Directors of ICN Resources Ltd.,
Carl Hering, President & CEO
ICN Resources Ltd.
www.icnresources.com
The forward-looking information contained in this press release
is made as of the date of this press release and, except as
required by applicable law, ICN does not undertake any obligation
to update publicly or to revise any of the included forward-looking
information, whether as a result of new information, future events
or otherwise. By its very nature, such forward-looking information
requires ICN to make assumptions that may not materialize or that
may not be accurate. This forward-looking information is subject to
known and unknown risks and uncertainties and other factors, which
may cause actual results, levels of activity and achievements to
differ materially from those expressed or implied by such
information.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Contacts: ICN Resources Ltd. Tasso Baras 1-877-738-3882 or
604-738-3882 www.icnresources.com
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