Drilling Commences At Columbus Gold's Four Metals Project
Vancouver, British Columbia, Canada. March 19, 2007. Columbus Gold Corporation (CGT: TSX-V) (“Columbus Gold” or the “Company”) is pleased to announce that Black Pearl Minerals Consolidated Inc. (“Black Pearl”) has commenced drilling at the Company’s Four Metals Polymetallic property in Arizona. The core drilling program will consist of approximately 1,500 metres (m) (5,000 feet) and will focus on expanding the existing high-grade core of the deposit. The target is further development of a breccia-type pipe deposit similar to those in the productive Cananea district, located approximately 80 kilometers (50 miles) to the south in Mexico.
Surface and underground drilling by previous operators has returned numerous significant intercepts of copper, molybdenum, silver and gold. Significant intercepts drilled by previous operators and assayed for both copper and molybdenum include:
The Four Metals Property consists of 40 mineral claims, covering approximately 335 hectares (826 acres), located in the Patagonia District 16 kilometres (10 miles) north of Nogales, Santa Cruz County, Arizona. Subject to a net smelter royalty, Columbus owns a 50% interest in 16 claims and a 100% interest in 24 claims that make-up the property. Columbus has optioned its interest in the Four Metals Property to Black Pearl Consolidated Minerals Inc., for cash and common share payments over a four year period totaling US$300,000 and 600,000 shares respectively. Columbus will retain a 1.5% net smelter return royalty on certain claims that form the property subject to a US$500,000 buy-down on half of the royalty (0.75%) in favor of Black Pearl.
The property covers the Four Metals copper mine which is hosted within a crudely circular breccia pipe, approximately 300 m (1,000 feet) in diameter, intruding batholitic granite rocks. Mineralization consists of a shallow zone of supergene enriched chalcocite mineralization underlain by a larger body of primary mineralization containing chalcopyrite, pyrite, and molybdenite.
Four Metals has been intermittently investigated since the 1960’s by Duval Copper, Noranda Mines and Metallic Ventures. The programs have included underground development, surface and underground core drilling, metallurgical test work, various investigations of a leach copper mining operation at the site and various historical resource estimates. Metallic Ventures also developed a conceptual mining scheme whereby the existing underground development, augmented by injection wells, could be utilized for an in-situ copper leaching operation.
John Prochnau B.Sc. (Mining Engineering), M.Sc. (Geology), and Director of Columbus Gold is the Qualified Person who reviewed and approved the technical contents of this news release.
ABOUT COLUMBUS GOLD
Columbus Gold Corporation is a gold exploration and development Company operating principally in Nevada. The Company has an experienced management group with a strong background in all aspects of the acquisition, exploration, development and financing of precious metal mining projects. Columbus controls a 100% interest, subject to royalties, in 20 gold projects strategically located along or near Nevada’s most productive gold trends and 5 silver and copper projects located in Arizona and Utah. The Company’s project activities are managed by Cordilleran Exploration Company (“Cordex”), owned and operated by John Livermore and Andy Wallace who have a long and successful history of gold discovery and mine development in Nevada.
The Company maintains active generative (prospecting) and evaluation programs and, as a key element of strategy, broadens exposure, minimizes risk and maintains focus on high priority prospects while seeking industry finance through joint ventures on selected projects. The Company currently has 11 of its projects joint ventured to major and junior mining companies.
ON BEHALF OF THE BOARD,
President & CEO, Director
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
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