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News Release: May 6th, 2006
Almaden's 100% owned ELK gold
deposit is located roughly two kilometres ("km") south
of Highway 97 and 45 km southeast of Merritt in the Okanagan
area of Southern British Columbia, Canada. The mine is known
for its very high gold grades and in the 1990's, 51,750 ounces
of gold were produced from 18,400 tons of mesothermal quartz
vein ore extracted from the B vein system in open pit and underground
operations. To date a total of eight mineralised veins have been
discovered on the property. Four vein systems have been drilled
in the ELK area: the B system, the WD zone, the GCW zone and
the Bullion Creek (BC) zone. Of these two main veins, the B and
WD veins have been the focus of practically all the drilling
to date and are the only veins for which a resource has been
calculated. Almaden has received a new, National Instrument 43-101
compliant resource estimate from the independent Vancouver based
Engineering firm Giroux Consultants Ltd. This estimate used geostatistical
methods and incorporated drill results from 2004 and 2005 that
were not included in the last estimate which was calculated in
early 2004.
In the course of analysing
the data for the calculation of the 2004 resource estimate it
was recognised that, adjacent to both the B and WD vein systems,
parallel, less continuous splay veins have been intersected in
the drilling. As a result two resource estimates were produced;
a two dimensional model which considers only the B and WD veins
in what would be an underground mineable resource and a three
dimensional model which considers the parallel splay veins, in
the B vein only, to allow for the possibility of bulk tonnage
mining "Bulk Open Pit Target". Tabulated results of
the 2006 resource estimate is as follows (gold grades are reported
in grams per tonne (g/t) and contained ounces are reported as
troy ounces):
As a means of comparison the 2004 and 2006 resource estimates
are tabulated together below.
Both the bulk tonnage and high
grade vein resources are open along strike in both directions
and to depth. In 2001 a possible extension to the B and WD vein
systems was found by trenching roughly two km along strike to
the east, on the other side of an area of overburden cover. Grab
samples of the vein material taken at surface returned averaged
analyses of 0.922 oz/ton (31.6 grams/tonne) gold and 3.04 oz/ton
silver (104.4 grams/tonne). A 0.5 by 0.5 m panel sample of the
same vein taken in the wall of the trench returned 0.635 oz/ton
gold (21.8 grams/tonne) and 0.96 oz/ton (32.9 grams/tonne) silver.
This discovery was extremely significant as it adds two kilometres
of prospective, unexplored strike length to the high-grade vein
system where to date no drilling has been carried out. The main
thrust of the drilling in 2004 and 2005 was to focus on the main
resource block areas and increase the portion of resource categorized
as Measured and Indicated. Management is very pleased with the
results of this drilling effort and the new resource calculation.
The 2006 drilling program will be focused on increasing resources
in all categories.
During 2005 and early 2006,
a new geologic model pertaining to the emplacement of gold bearing
quartz veins in the region surrounding the ELK deposit, lead
Almaden to stake an additional 133 adjoining claim units. A work
program will be instituted to explore the potential of these
new claims in 2006.
Mr. Gary Giroux, M.A.Sc., P.Eng.
of Giroux Consultants Ltd. produced the resource estimate and
is the qualified person under the meaning of National Instrument
43-101. The qualified person and supervisor for the 2005 and
2006 exploration drill programs was Wojtek Jakubowski, P. Geo.
All samples were analyzed at Acme Analytical Labs in Vancouver
using wet geochemical, fire assay and metallics techniques. Duplicate
and blank samples and standards were included in the sample shipments
sent to Acme and confirmed procedural quality. Check assays were
carried out by ALS Chemex Labs in Vancouver.
In addition to the ELK Gold
Mine, Almaden currently has thirteen active joint venture projects
including nine in which a partner is earning an interest in an
Almaden property through spending, and a regional exploration
joint venture with Japan Oil, Metals and Gas National Corporation
("JOGMEC") to explore for base metals over a large
area of Mexico.
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. |
