Columbus Gold Plans Drilling at Paul Isnard 1.9 Million Oz. Gold Project; Shareholders to Vote on Acquisition in May
Vancouver, British Columbia, Canada, April 28th, 2011. Columbus Gold Corporation (CGT: TSX-V) (“Columbus Gold”) is pleased to announce that it has prepared and mailed a management information circular for its Annual General Meeting of Shareholders to be held on May 25th, 2011. At the Annual General Meeting, Columbus Gold shareholders will be asked to vote on the acquisition of the Paul Isnard Gold Project in French Guiana which includes the 1.9 million oz. (36.7M tonnes at 1.6g/t) 43-101 compliant inferred Montagne d’Or Gold Deposit.
Subject to shareholder and regulatory approvals, including the approval of the TSX Venture Exchange (the “Approvals”), Columbus Gold has engaged a full-time dedicated Country Manager who has agreed to relocate to French Guiana and arranged for a diamond core drill to be available for Columbus Gold in French Guiana toward the end of the rainy season in July. Columbus Gold intends to engage a second core drill rig to accelerate its planned resource definition program at Montagne d’Or, as quickly as one can be sourced.
Subject to the Approvals, the initial Columbus Gold program will consist of approximately 14,300 meters of drilling in about 50 holes at the Montagne d’Or gold deposit where past work has outlined an inferred resource of 1.9 million ounces of gold in a tabular body tested on wide drill centers for a strike length of about 2,000 meters and to a vertical depth of 50 to 150 meters. The deposit remains open at depth and laterally and the initial program objective is expansion of the reported resource, through drill holes at 50 meter centers, internally and down dip to a depth of 200 meters.
Exploration programs at Paul Isnard will be managed by Mr. Christian Plouffe, as Columbus Gold’s Country Manager - French Guiana. Mr. Plouffe is a Professional Geologist (P. Geo) with the Order of Geologist of Quebec (OGQ). He has over 23 years of industry experience in a wide variety of roles and has managed mining projects at all stages of development from grassroots exploration to feasibility, with a particular specialization in gold exploration. From 1983 to 1991, Mr. Plouffe was actively engaged in gold exploration in Quebec and Ontario for a number of junior exploration companies, and from 1992 to 1995 he was employed with a Quebec-based environmental consulting firm where he acquired complementary skills in environmental characterization and remediation. Since 1996, Mr. Plouffe has been engaged principally as Exploration Manager or Chief Geologist for several junior gold exploration companies in West Africa, including Orezone Resources, African Aura, and Merrex Gold, where he managed programs that led to the discovery of several gold deposits. Mr. Plouffe holds a Bachelor of Science in Geology and a Master of Science in Geology, from the University of Quebec in Montreal.
Columbus Gold’s independent consultant and Qualified Person, John Prochnau (P. Geo), B.Sc. (Mining Engineering), M.Sc. (Geology), has reviewed and approved the technical content of this news release.
ON BEHALF OF THE BOARD,
Robert F. Giustra
Chairman & CEO
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.
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This release contains forward-looking information and statements, as defined by law including without limitation Canadian securities laws and the “safe harbor” provisions of the US Private Securities Litigation Reform Act of 1995 (“forward-looking statements”), respecting the Approvals and the availability of drills and personnel to carry out exploration and development work at the project. Forward-looking statements involve risks, uncertainties and other factors that may cause actual results to be materially different from those expressed or implied by the forward-looking statements, including without limitation the ability to obtain the Approvals; the ability to obtain drills and workers; the ability to obtain applicable exemptions from prospectus and registration requirements in connection with the issuance of securities of Columbus Gold in connection with the acquisition of Paul Isnard; the fundraising required thereunder; the ability to complete milestones pursuant to the Paul Isnard agreement (if ultimately approved) in order to earn into the project, including without limitation the ability to obtain qualified workers, financing, permits, approvals, equipment, and ultimately a Bankable Feasibility Study in connection therewith; ability to obtain alternate financing; general political risk in France and French Guiana; changes in the market; decisions respecting whether or not to pursue the transactions contemplated under the Paul Isnard agreement (either at the pre-approval stage, or post-approval stage, if ultimately approved); non-performance by contractual counterparties; and general business and economic conditions. Forward-looking statements are based on a number of assumptions that may prove to be incorrect, including without limitation assumptions about: general business and economic conditions; that Columbus Gold and Auplata will be able to successfully complete the conditions precedent to the Paul Isnard Agreement, including without limitation the ability to obtain a positive title opinion, complete required fundraisings, and the ability to obtain the Approvals; that France and French Guiana will remain stable political environments; that Columbus Gold will be able to complete necessary milestones under the Paul Isnard Agreement in a timely and successful fashion; that French law will allow the transactions contemplated under the Paul Isnard Agreement to succeed; that Columbus Gold will desire to continue earning into the Paul Isnard project over time; the ability to locate sufficient financing for ongoing operations; and general market conditions. The foregoing list is not exhaustive and Columbus Gold undertakes no obligation to update any of the foregoing except as required by law.