News Release: August 8th, 2005
2005 Diamond Drilling Program
Results from the Caballo Blanco Gold-Silver Project, Mexico
Almaden is pleased to announce that it has
received results from a diamond drilling program carried out
by partner Comaplex Minerals Ltd. ("Comaplex") designed
to test for high sulphidation gold-silver-copper mineralization
of the Yanacocha, Pascua or Veladero type in a portion of the
Northern zone of the company's Caballo Blanco project, Veracruz
State, Mexico. The Caballo Blanco project is optioned to Comaplex
who can earn a 60% interest in the project by spending US$2 Million
over four years. The property is located roughly 60 kilometers
north of Veracruz City, Mexico. Infrastructure is excellent as
the prospective areas of the property are all located within
10 kilometers of a paved highway and Mexico's only nuclear power
plant. The property covers three areas of alteration and mineralization
known as the Northern, Highway and Central Grid zones. In 2003,
Comaplex completed a large field program over both the Highway
and Northern zones of the property, the centres of which are
located roughly 7 kilometers apart. Geologic and alteration mapping
in these areas has identified extensive zones of acid-sulphate
alteration including quartz-alunite and residual or vuggy silica
alteration zones. These zones of alteration, developed in flat
lying volcanic rocks, are interpreted to represent a large high
sulphidation gold-silver system.
Diamond drilling on the Caballo Blanco property
for the 2005 season began in late May. A total of 3 holes
totaling 523 meters were drilled from the same setup on the top
of Cerro la Cruz in the Northern Zone. A total of 1,500 meters
was planned for the program, but further drilling at this time
is not possible due to the intensity of the current rainy season.
In addition Comaplex has reported the drilling was extraordinarily
slow and logistically difficult due to the extremely hard and
broken nature of the rock. The Northern zone is an area where
sampling, geologic mapping and PIMA analyses have defined a large,
roughly 6 by 5 kilometer zone of alteration, which includes several
areas of massive silicification and vuggy silica, one of which
is the Cerro la Cruz area. These areas of massive Silicification
and vuggy silica are recognized worldwide to be the prospective
parts of high-sulphidation gold systems. The Cerro la Cruz area
of massive silicification and vuggy silica was the target of
drilling in the Northern zone because past sampling on surface
has identified significant gold grades in this area. In January
2005 Almaden and Comaplex staff sampled the Cerro La Cruz area
where outcrop of massive silicification and vuggy silica alteration
occurs. Thirty-two rock chip samples were collected over a roughly
35 by 100 meter area. These samples averaged 0.62 g/t gold and
ranged from 0.01 to 4.67 g/t gold. Eleven samples returned gold
grades above 0.50 g/t gold and six above 1.00 g/t gold.
Due to drilling difficulties outlined above
two of the three holes had to be terminated before they reached
their intended depths. All three holes encountered more massive
silicification that seems to grade with depth into more brecciated
and vuggy silica bodies. Drillhole CB05-1 was vertical and reached
a depth of 136.5 meters. This hole encountered largely massive
silica to 76 meters at which point more vuggy material was intersected.
The entire length of this hole (136.5 meters) averaged 110 ppb
gold while the first 22 meters sampled (2 to 24 meters depth)
averaged 216 ppb gold. Hole CB05-2 was drilled to the east (110
Azimuth) and at a dip of -65. This hole also encountered massive
and vuggy silica bodies but was lost at the shallow depth of
72 meters. This hole encountered increasing gold values to the
end of the hole in both massive and vuggy silica. The entire
72 meters of this hole averaged 295 ppb gold with the last 14.85
meters averaging 477 ppb gold where the hole ended. Hole CB05-03
was drilled at an azimuth of 342 and a dip of -50 and was the
only hole completed to its intended depth which was 314 meters.
A section of massive and vuggy silica was intersected from the
collar to 200 meters where clay altered volcanic rock was encountered
to the end of the hole. This entire section (from the top
of the hole to 214 meters) averaged 700 ppb gold. Within this
section a zone of strongly brecciated and vuggy silica was encountered,
a 108 meter section of which (from 66 meters to 174 meters depth)
averaged 1.14 g/t. This includes a 40 meter section from 74 to
114 meters depth which averaged 2.35 g/t gold.
Almaden considers these results to be highly
encouraging. More massive silica zones with lower gold values
appear to cap vuggy and brecciated zones which carry the most
significant gold values as evidenced by hole CB05-3. The intersection
in this hole indicates the potential for both grade and size
in an entirely untested high-sulphidation gold system. It should
be emphasized that the Cerro la Cruz area represents one of several
massive and vuggy silica zones within the Northern Zone. In addition
the Highway zone, located seven kilometers south of the Northern
zone, is also an area of high-sulphidation alteration containing
zones of massive and vuggy silicification. In both the Highway
and Northern zones areas of massive silicification are dominant
which, in light of the results of the current drill program,
may cap further zones of brecciated and vuggy silica like that
encountered at Cerro la Cruz.
Anomalous gold values have been returned from
surface rock samples taken from several massive and vuggy silica
zones in both the Highway and Northern Zones over the exploration
history of the Caballo Blanco property. Comaplex has reported
to Almaden results of additional surface geochemical sampling
of massive and vuggy silica zones. This work was carried out
concurrent with the drilling reported in this news release. In
this sampling two areas in the Northern Zone of strong silicification
returned anomalous gold values in the sub 100 ppb gold range.
These areas are targeted for follow-up sampling. At the Highway
zone in 2003, Comaplex carried out a program of sampling, geologic
mapping and induced polarization (IP) geophysics, complimented
by analysis of alteration mineralogy with a PIMA portable infrared
spectrometer that outlined several prominent areas of alteration
and mineralisation. In the Highway zone a significant resistivity
and chargeability anomaly has resulted from this work over a
roughly 5 by 3 kilometer area of acid sulphate alteration characterised
by hypogene alunite and vuggy silica. A diamond drill hole was
completed close to the area by Noranda Inc. in 2001. This hole
was drilled in an area of extensive acid sulphate argillic alteration
and had several interesting gold intersections. These included
stockwork veining from 51.35 to 84 meters depth within which
a 6 meter section averaged 1.42 g/t gold. A sample from 192 to
195 meters depth within a zone of lower temperature argillic
alteration averaged 2.5 g/t gold and the final sample of the
hole from 212.0 to 212.5 meters depth returned a gold value of
4.98 g/t gold. The hole was lost at this point due to poor drilling
conditions. To date no further drilling has been carried out
at the Highway Zone.
Mr. Mark Balog, P.Geo. of Comaplex Minerals
Corp. was the qualified person, under the meaning of National
Instrument 43-101, reviewing the sampling reported in this news
release. The samples were analysed at ALS Chemex Laboratories
in North Vancouver, Canada using conventional fire assay, and
inductively coupled plasma atomic emission spectroscopy (ICP)
methods.
Readers are referred to Almaden's website
(http://www.almadenminerals.com/Projects/Papers/Epithermal_CB.pdf)
where a summary report can be viewed which contains maps illustrating
the IP and geology and containing background geologic information
pertaining to the property and high-sulphidation epithermal deposits
in general.
Almaden will report the results of all future
work from the Caballo Blanco project as soon as they are received
from Comaplex. Almaden currently has 12 active joint ventures,
including 8 in which other companies are carrying all
costs in order to earn an interest in the projects. Almaden will
continue with its successful business model of identifying exciting
new projects through early stage grass roots exploration and
managing risk by forming joint ventures in which partner companies
explore and develop our projects in return for the right to earn
an interest in them.
ON BEHALF OF THE BOARD
OF DIRECTORS
Morgan Poliquin
The Toronto Stock Exchange
has not reviewed nor accepted responsibility for the adequacy
or accuracy of the contents of this news release which has been
prepared by management. Statements contained in this news release
that are not historical facts are forward looking statements
as that term is defined in the private securities litigation
reform act of 1995. Such forward -looking statements are subject
to risks and uncertainties which could cause actual results to
differ materially from estimated results. Such risks and uncertainties
are detailed in the Company's filing with the Securities and
Exchange Commission.
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