Press release from Marketwire
Geologix's Tepal Drilling Continues to Extend South Zone at Depth With Higher Grade Interval of 1.45 g/t Gold and 0.44% Copper Over 104.8 Metres
Tuesday, January 17, 2012
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 17, 2012) - Geologix Explorations Inc. (TSX:GIX)(FRANKFURT:GF6)(BERLIN:GF6)(MUN:GF6)(STUT:GF6) (the "Company") is pleased to announce the results of the remaining South Zone drill assays from the recently completed resource expansion and infill drilling program at its 100% owned Tepal property in Michoacán state, Mexico. Results from the last 17 holes from a total of 37 holes drilled at the South Zone have now been received.
The latest results indicate the presence of a higher grade system being encountered at depth in the southeast portion of the South Zone. Substantial depth extension intervals of gold grades up to three times greater than the South Zone's resource average (see April 2011 PEA mine plan) have been encountered, and remain open at depth. Highlights from the latest batch of results include hole TEP-11-026 which intersected 104.80 metres (m) grading 1.45 grams per tonne (g/t) gold and 0.44 percent (%) copper, within a broader interval of 188.80m of 1.04 g/t gold and 0.40% copper to a drill depth of 498.00m, extending the mineralization approximately 200m below the bottom of the model pit used in the April 2011 PEA mine plan (see news release dated April 11, 2011). Similarly, holes TEP-11-128 and TEP-11-130 also encountered encouraging gold and copper mineralization well below the bottom of the PEA pit outline (extending 150m and 100m deeper respectively). This higher grade mineralization remains open in multiple directions and appears to be plunging moderately to the south. See drill section and plan map at the Company's website (www.geologix.ca).
Details of the highlight holes from the latest South Zone drilling include:
|Hole ID||Zone||From||To||Interval (m)||Au g/t||Cu %||Ag g/t||AuEq*|
|Significance: Extends depth of mineralization nearly 200m below PEA pit outline. Au grades 3x greater than resource avg. Cu grades double resource avg.|
|Significance: Extends mineralization below PEA pit outline. Au and Cu grades approximately double resource avg.|
|Significance: Extends depth of mineralization 150m below PEA pit outline. Au grades more than double resource avg.|
|Significance: Extends depth of mineralization nearly 100m below PEA pit outline.|
|Au = gold, Cu = copper, Ag = silver, *AuEq g/t = gold equivalent based on metal prices of $1,000 Au, $2.75 Cu, and $16 Ag.|
Dunham Craig, President & CEO stated, "Once again, we are very pleased with the progress being made through this latest drill program. Not only do these results expand the depth of mineralization with elevated gold and copper grades, but the large footprint and steadily increasing grade at depth give us an opportunity to consider adding an underground bulk mining element in to the mine plan, which would be a positive add-on to the current open pit mining schedule. Given that these extension intervals coarsely define an area, below the pit bottom, measuring 200m x 200m x 100m, this additional discovery has potential to add considerably to the Tepal project's economics."
Additionally, the 13 other holes being reported in this batch returned assay results consistent with South Zone mineralization and provide necessary infill drill data. A complete table of all 17 drill holes being reported, as well as previously reported assay results, along with drill sections and plan maps, can be found on the Tepal Project page of the Company's website (www.geologix.ca).
A total of over 30,000 metres and 160 holes were drilled in the latest drill program. Additional assay results from 96 holes, from both the North and Tizate zones, are still pending and will be reported as they become available. Upon receipt of all assays, and completion of data compilation, a new resource estimation (to a Measured and Indicated category) will be prepared as part of the pre-feasibility study work that is currently underway.
Geologix's Resource Geologist, Andrew Hamilton, B.Sc., P. Geo., a 'qualified person' for the purposes of National Instrument 43-101 Standards of Disclosure for Mineral Properties of the Canadian Securities Administrators, has verified the data (including sampling and analytical data) and prepared the information contained in this news release. All samples were collected from the project by ALS-Chemex, and taken to their sample preparation facility in Guadalajara, Jalisco State, Mexico, with the analytical work being completed at their North Vancouver, B.C. laboratory. A QA/QC program has been implemented to ensure all core and sample handling procedures are in accordance with the best possible practices. The assay protocol includes the insertion of standards, blanks and duplicates into the sample stream.
Geologix Explorations Inc. is a mineral exploration company focused on acquiring, exploring and developing mineral resource opportunities with the potential to host world class mineral deposits. The Company's primary focus is the Tepal Gold-Copper Porphyry Project in Michoacán state, Mexico, where the Company has completed a Preliminary Assessment study ("PA") of the existing resource and is continuing to aggressively explore for additional gold and copper mineralization in an effort to expand the size of the resource and scale of the possible future mining operation.
To view the maps accompanying this press release, click on the following link: http://media3.marketwire.com/docs/g116g.pdf
FOR FURTHER INFORMATION PLEASE CONTACT:
Dunham Craig Geologix Explorations Inc. President & CEO 604.694.1742 or Toll Free: 1.888.694.1742 email@example.com
Jeffrey Wilson Geologix Explorations Inc. VP Corporate Communications 604.694.1742 or Toll Free: 1.888.694.1742 firstname.lastname@example.org wwwgeologix.ca
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