Castle Gold Corp
Castle Gold Replicates Historic Drilling at its La Fortuna Gold-Silver-Copper Project
In what could be an indication of ambitious plans and growth objectives, Castle Gold Corporation (TSX.V: CSG) has initiated the formation of two advisory committees namely Mergers and Acquisitions Advisory Committee (M&AAC) and Finance Advisory Committee (FAC). The M&AAC is expected to seek out and advise on candidates for potential mergers or acquisitions by or of the Company, provide increased M&A networking, analysis and access to legal and advisory services in an effort to increase efficiencies in the advancement of multiple M&A opportunities. FAC is mandated to work with the management of the Company to seek out solutions to optimize the use of the Company's balance sheet to meet its development and growth objectives through an efficient team effort.
These developments come on the heels of its ongoing drill programme at the La Fortuna project located in Durango, Mexico. According to the Company's independent Qualified Person, the results from the 6 diamond drill holes, positioned to twin historical drill holes, correlated very well with the results from the previous exploration work completed at the site. Consequently, the validity of the historic data base has been confirmed as an adequate representation of the potential mineral resources contained within the deposit. On this basis, the Company is in the process of recalculating the historic mineral resources to National Instrument 43-101 standards.
There have been a number of attractive intersections replicated from this 2008 twin hole drill programme. These include 21.2 metres grading 5.59 grams per tonne gold (Hole LF28-08), 42.3 metres grading 3.76 grams per tonne gold (Hole LF30-08) and 31.2 metres grading 5.52 grams per tonne gold (Hole LF61-08).
The results from the diamond drill hole twinning campaign correlate very well with the historical drilling results. Within the 6 recent twin holes, 180.6 meters of ore intercepts were identified versus a corresponding 181.8m of intercepts from the historical holes (variation of 0.7%). When the average gold grades are compared the twin holes averaged 3.58 g/t compared to 3.29 g/t in the original holes. This represents an increase of 8.8%. Given the abundance of visible gold in the mineralization observed at La Fortuna, these variations represent a very good correlation.