Jul. 22, 2010 (TheNewswire.ca) --
GANDER, NEWFOUNDLAND - July 22, 2010 - Golden Dory Resources Corp. (TSXV:GDR)("Golden Dory") and partner Paragon Minerals Corporation (OOTC:PAONF) (TSXV:PGR) are pleased to announce final results from the recently completed 14 hole, 3016 meter diamond drill program at the Huxter Lane gold project in central Newfoundland. Highlights include:
-Step out holes intersect up to 115 metres of mineralization including multiple zones of + 1 g/t gold
-Deposit expanded by up to 150 metres up dip and 250 metres down dip
-Revised NI 43-101 resource estimate underway with results expected early fall
Assays have now been received for all of the 14 holes completed at the Mosquito Hill deposit, part of the Huxter Lane property under option from Paragon Minerals Corporation. Highlights of the full program are tabled below. Complete Phase 1 results are available at www.goldendoryresources.com
HX-10-47* From (m) To (m) Length (m) g/t Au Grams x Meters
Dip -55o 77.00 145.00 68.00 0.78 53.04
incl. 78.00 108.00 30.00 1.02 30.60
and 83.00 87.00 4.00 2.18 8.72
HX-10-50* 68.58 80.00 11.42 0.56 6.39
Dip -45o incl. 75.32 80.00 4.68 1.02 4.77
91.00 201.00 110.00 0.50 55.00
incl. 91.00 101.00 10.00 1.52 15.20
and 120.00 130.87 10.87 1.13 12.28
HX-10-52* 72.50 155.00 82.50 0.56 46.20
Dip -45o incl. 102.00 148.00 46.00 0.70 32.20
and 102.00 120.00 18.00 1.01 18.18
HX-10-55 212.00 274.00 62.00 0.70 43.42
Dip -45o incl. 218.00 242.00 24.00 1.00 24.00
HX-10-58 210.00 325.04 115.04 0.46 53.10
Dip -70o incl. 210.00 220.45 10.45 1.18 12.40
and 294.13 320.04 25.91 0.64 16.50
incl. 303.18 311.09 7.91 1.10 8.70
* Previously released results.
The Mosquito Hill deposit has NI 43-101 compliant resources (prepared by Giroux Consultants) which include an indicated resource of 4.47 million tonnes averaging 0.526 g/t Au for 75,600 ounces gold, and an inferred resource of 32.9 million tonnes averaging 0.461 g/t Au for 488,800 ounces gold at a cutoff of 0.30 grams per tonne gold. Over 90% of the existing resource estimate occurs at depths shallower than 200 metres below surface and the current program was successful in extending the limits of the current resource in both the up dip and down dip directions. The new data will be included in a revised resource estimate which is expected early this fall. The mineralized intrusion is exposed along its northern edge and dips gently to the southwest and remains open for expansion along strike and dip. The Huxter Lane project has excellent road access and is located near existing infrastructure including power and skilled labour. To date no economic assessment or scoping study of the Mosquito Hill Deposit has been performed. Golden Dory is earning up to a 70% interest in the Huxter Lane property from Paragon Minerals Corporation (see February 25, 2009 News Release).
Golden Dory's drill program at Mosquito Hill focused on adding tonnage in both the up dip and down dip directions, increasing the overall average grades, and converting inferred ounces to indicated or higher categories. Kevin Keats, President and CEO states, "Mosquito Hill is a very large system and we continue to intersect significant thicknesses of mineralization including step outs such as holes HX-10-55 and 58. We will immediately begin the process of updating the current NI 43-101 resource estimate so that we can keep our shareholders as up to date as possible on our progress."
The Huxter Lane project is contiguous with Golden Dory's 100% owned Brady Property which hosts the Reid Porphyry Zone which has significant intrusion hosted gold mineralization similar in style to Mosquito Hill. Both projects are targeting bulk tonnage, open pit mineable intrusion associated gold deposits similar to the Fort Knox deposit in Alaska which has proven and probable reserves of 252 million tonnes averaging 0.47 grams per tonne gold or 3.80 million ounces of gold (Kinross Gold website). In 2003, previous operators at Brady reported strong drill intercepts including 41.1 metres grading 1.1 grams per tonne gold from the Reid Porphyry Zone. The proximity and similarity of the two zones (1600 metres apart) as well as additional untested coincidental geochemical and geophysical targets suggests the area could host a cluster of near surface zones of gold mineralization which collectively could prove very significant.
Assaying for this program was carried out by Accurassay Laboratories of Thunder Bay, Ontario. NQ drill core was sawn in half, and placed in sealed bags and delivered by Golden Dory personnel to the Accurassay prep facility in Gambo, Newfoundland. The core was then assayed by Fire Assay methods with AA finish. Industry certified standards and blanks were also inserted into the sample stream as part of QA/QC.
Golden Dory would like to thank the Government of Newfoundland and Labrador for its support of this project through a financial contribution from the Junior Exploration Assistance program.
About Golden Dory
Golden Dory is focused on gold exploration in Nevada, USA, and in the province of Newfoundland and Labrador, Canada. The company can acquire a 70% interest in the Pequop South property in Elko County Nevada through an agreement with Reno, Nevada based AuEx Ventures Inc. (TSX:XAU) Golden Dory is earning a 70% interest in the Huxter Lane intrusion hosted gold property from Paragon Minerals Corporation. The company owns a 100% interest in the Brady gold property, and other early stage gold properties including the Little Rattling Brook, Aztec and Lamaline properties.
Golden Dory has 100% interests in the Burin intrusion hosted uranium property, and a 50% interest in the Sims Ridge Athabasca type uranium property in western Labrador. Golden Dory has the right to earn 100% interests (subject to a 2% NSR) in the Root Lake lithium-rare metals property, and the Jackpot lithium property, both in northern Ontario. Golden Dory is seeking partners to jointly explore the Burin uranium property, Little Rattling Brook and Brady gold properties and the Root Lake and Jackpot lithium properties.
This news release has been reviewed and approved by Timothy Froude, P. Geo., a "Qualified Person" under National Instrument 43-101. For further information contact Kevin D. Keats, President and CEO of Golden Dory at (709) 256-4201.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Investors are cautioned that trading in the securities of the Corporation should be considered highly speculative. The TSX Venture Exchange Inc. has neither approved nor disapproved the contents of this press release. Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Golden Dory will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by Golden Dory.
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