Nevada Exploration Inc Continues 2008 Exploration Program with Phase I Drilling at Bull Creek
June 27, 2008
Nevada Exploration Inc. (TSX-V: NGE) (“NGE”) is pleased to announce that it has commenced a Phase I reverse circulation (RC) drilling program at its Bull Creek gold project (the “Property”), located 60km west-northwest of Winnemucca, Nevada. The Phase I program will consist of 10 to 15 RC drill holes, ranging in depth from 75m to 300m (250ft to 1,000ft), and is designed to test the drill targets identified by NGE’s proprietary groundwater chemistry technology, combined with soil geochemistry, seismic, gravity, and airborne magnetic data.
Anomalous gold and trace elements in groundwater were initially identified at Bull Creek in 2006 during a reconnaissance groundwater chemistry sampling program. Responding to these findings, NGE established a land position consisting of 268 claims (21sq-km, 8sq-mi.) covering the gold in groundwater target. Initial work focused on delineating the extent of the gold in groundwater anomaly with a detailed groundwater chemistry survey using NGE’s industry-first, direct-push groundwater sampling equipment. The results of the detailed groundwater survey defined a primary target, and demonstrated that the anomalous concentrations of gold in groundwater were focused in one part of the Property.
With the encouragement from the detailed groundwater survey, NGE used conventional exploration methodologies to investigate the expected structural and mineralization controls responsible for the gold in groundwater anomaly, in order to identify specific drill targets within the large covered area:
- A soil geochemistry program across the Property was completed in two phases to detect the possible vertical migration of gold and trace elements from the underlying bedrock into the soils above. The soils program successfully identified several areas of anomalous gold and trace metal geochemistry coincident with, and adjacent to the gold in groundwater anomaly, further suggesting the presence of nearby gold mineralization;
- A seismic line was then completed across the Property and was successful in detecting the general depth to bedrock and the presence of significant underlying fault zones;
- A detailed gravity survey of the Property was completed and successfully identified large areas where bedrock is believed to be very close to the surface, as well as areas of high relief suggestive of major, block faulting; and
- A detailed airborne magnetic survey of the Property identified a pronounced fabric suggesting varied rock types, covered structure, and possible hydrothermal alteration lying beneath a thin veneer of alluvial gravels.
NGE is pleased to report that the combined Bull Creek exploration dataset suggests a major structural fabric beneath the Property coincident with both anomalous gold in groundwater, and anomalous gold in soils. Based on these results, NGE has nearly doubled its land position to more than 500 claims (>40sq-km, >15sq-mi), and has permitted and bonded 34 drill sites to test the high priority targets.
Drilling at Bull Creek started on June 4, 2008, and six (6) holes have been completed to date. Bedrock has proven to be shallow – less than 70m (200ft) over much of the property. To date, visual results suggest significant thicknesses of oxidized, hydrothermally altered siltstone and shale with significant silica veining.
Wade Hodges, president and CEO says, “Our exploration pipeline is built on 11 previously unexplored properties identified by our unique groundwater sampling methodology. We are very excited to be the first to explore such high quality project areas. Each of our properties is well advanced along the same exploration path of thorough, systematic data collection and analysis, as exemplified by our Bull Creek property. Since moving our two drill rigs from Fletcher Junction, we are benefitting from significant increases in drilling production and decreases in drilling costs. We look forward to reporting on the progress and the results of our exploration program through 2008 and into 2009.”
NGE is an exploration company focused, through its wholly-owned Nevada incorporated subsidiary Pediment Gold LLC, on gold exploration in Nevada. NGE is led by an experienced and historically successful exploration management team.
NGE has developed a proprietary groundwater chemistry exploration technology specifically designed to discover new gold deposits. NGE is the first to apply this technology and the first to complete a comprehensive survey of Nevada’s groundwater. Management believes the results of the survey are significant in that they demonstrate that Nevada’s known gold deposits exhibit measurable and recognizable groundwater chemistry.
NGE has identified and acquired 11 exploration properties with groundwater chemistry similar to that at known gold mines, and is now testing whether such groundwater chemistry can be followed “up-stream” to discover new gold deposits.
The TSX-V has in no way passed upon the merits and does not accept responsibility for the adequacy or accuracy of this press release.
For further information please contact:
Wade A. Hodges
President, CEO & Director
Nevada Exploration Inc.
Tel: (775) 359-7740
Wade A. Hodges is the Qualified Person, as defined in National Instrument 43-101, and is responsible for the preparation of the technical and scientific information contained in this News Release.
Cautionary Statement on Forward-Looking Information: This release contains certain "forward-looking statements" including, without limitation, expectations, beliefs, plans and objectives regarding the potential transactions and ventures discussed in this release. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are the risks inherent in mineral exploration, the need to obtain additional financing, environmental permits, the availability of needed personnel and equipment for exploration and development, fluctuations in the price of minerals, and general economic conditions.