News Release: August 10th, 2005
Drilling at Caballo Blanco,
Mexico Intersects 108 meters of 1.14 grams per tonne Gold and
40 meters of 2.35 grams per tonne Gold
Further to a detailed and
technical News Release (http://www.almadenminerals.com/News%20Releases/2005/aug08-05M.html)
put out by Almaden Minerals Ltd. ("Almaden") on August
8, 2005 Almaden would like to further discuss the results from
the drill program on the Caballo Blanco high-sulphidation gold
property.
Three holes totaling 523 meters
were drilled from the same setup on the top of Cerro la Cruz
in the Northern Zone. The drilling suggests that there is a capping
zone of massive silica that contains anomalous gold values generally
less than 0.5 grams per tonne gold. One hole (CB5-03) penetrated
through this capping zone and intersected 40 meters of breccia
and vuggy silica grading 2.35 grams per tonne gold within a larger
interval of 108 meters of 1.14 grams per tonne gold. This latter
interval was within an even larger interval of 214 meters of
0.70 grams per tonne gold. The other two holes intersected highly
anomalous gold values in what is recognized as being weakly mineralized
capping material. Owing to bad drilling conditions these two
holes could not be completed to their target which is the prospective
rock beneath this capping massive silica material.
Almaden considers these results
to be highly encouraging. The grades and widths of gold mineralization
encountered in hole CB5-03 indicate the potential for both size
and high average grades, typical of high-sulphidation gold deposits
worldwide. For example Barrick Gold Corp. ("Barrick")
has identified a proven and probable reserve at Veladero in South
America of 39.7 Million tones averaging 1.1 grams per tonne gold
and a proven and probable reserve at Pascua of 36.1 Million tones
of 1.7 grams per tonne gold (taken from Barrick's website). As
a further example the Yanacocha deposit in Peru operated by Newmont
Gold Corp. ("Newmont") has a proven and probable reserve
of 377.2 Million tons of 1.1 grams per tonne gold (taken from
Newmont's website). Both at Veladero and Pascua much of the gold
ore is concealed beneath 30 to 150 meters of barren or weakly
mineralized rock. Almaden believes a similar environment to exist
at Caballo Blanco where massive silica appears to cap zones of
brecciation and gold grades like that intersected in hole CB5-03.
At Veladero it was the 76th drill hole which intersected 170
meters of 1.9 grams per tonne gold that is considered the "discovery"
drillhole for the Amable orebody. Considering the nature of mineralization
that is economic in similar deposits worldwide, hole CB5-03 drilled
at the Caballo Blanco project indicates significant potential.
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.
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 also 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.
For reference 1 gram per tonne
(g/t) gold is equivalent to 0.029 ounces per ton gold and 1000
parts per billion (ppb) gold.
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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