HALIFAX, NOVA SCOTIA--(Marketwire - Oct. 31, 2012) - Gregory Isenor, P.Geo., President and CEO of Merrex Gold Inc. ("Merrex") (TSX VENTURE:MXI) is pleased to make the following announcements regarding the Siribaya Gold Project in West Mali.
Diamond Drill Results - Siribaya Structure
Diamond drill results released are for six holes totaling 1,322 metres drilled between June 25, 2012 and July 14, 2012 when weather forced a temporary suspension until the end of the seasonal rains. All holes were drilled in the Siribaya 1A substructure south of the Zone 1A resource area. Of the six holes drilled, three returned significant assay intersections including hole TY-DD 12-069 which included 2.30 g/t Au over 3.0 m; three holes did not return significant intervals.
See attached map for drill hole locations.
To view the map of the drill hole locations please visit the following link: http://media3.marketwire.com/docs/MerrexSiribayaProject.pdf.
Table of Significant Assays for Diamond Drill Program Siribaya Structure
||INTERSECTION (g Au/t)/m
|0.85 g/t Au over 5.0 m
2.30 g/t Au over 3.0 m
1.12 g/t Au over 4.0 m
0.60 g/t Au over 1.0 m
||0.84 g/t Au over 2.0 m
||0.74 g/t Au over 1.0 m
Note 1: this table includes exhaustively all the mineralized intersections with a grade > 0.50 g/t Au; these intersections are considered as significant intersections.
Diamond Drilling Resumes
Diamond drilling has resumed after a temporary suspension due to the seasonal rains. The drill is presently located on the 1A sub structure and drilling south of the 1A resource block in the area of TY-DD-12-068 and 069 to test for potential gold mineralized cross-structures.
A total of 75,000 metres of drilling (Reverse Circulation, Diamond and Auger) was planned for 2012 at a budgeted expenditure of approximately $12 million. However, given the drilling interruption that followed the political unrest in March 2012, the total drill meterage originally planned for 2012 will not be reached during this calendar year. To date, approximately 18,946 metres of RC, 5,024 metres of DD and 1,030 metres of auger drilling are complete. It is anticipated that approximately 3000 metres of additional diamond drilling will be completed by calendar year end.
2013 Exploration Program
The 2013 Siribaya exploration program design and budgeting is in progress. It is expected that by year end the 2013 exploration program will be agreed to and budgets approved.
"The drill results from these holes are interesting, especially hole 12-069 which returned a 21 metre mineralized interval between 19 and 39 metres depth," commented President and CEO Greg Isenor. "However, the interpretation of all of the drill holes is still underway and the possibility of cross faults is being considered. The holes will be incorporated into our global interpretation which in turn will be used for planning both the remaining diamond drilling for 2012 and the overall exploration program for 2013."
About the Siribaya Gold Project
The Siribaya Gold Project is a 50/50 joint Merrex-IAMGOLD advanced-stage gold exploration project in West Mali comprised of approximately 910.5 square kilometres of gold-prolific exploration permits and permits applications pending where exploration expenditures to date exceed $28 million. IAMGOLD has advised that the required $10.5 million of exploration expenditures under the terms of the Earn-In Option Agreement has been completed. The accounting review of those expenditures is substantially complete after which IAMGOLD's 50% interest in the land package will formally vest. Exploration of the Siribaya Gold Project is ongoing under a joint management committee.
Merrex is primarily a West African focused gold exploration company with experienced management, a solid exploration team, a prominent gold-producer as a partner and an expanding gold resource...a winning combination offering investors an extraordinary opportunity.
For further details about Merrex Gold's exploration activities visit Merrex's website at www.merrexgold.com.
To be added to Merrex's email contact list please email your request to email@example.com.
Gregory P. Isenor, P. Geo., is the Qualified Person as defined under NI 43-101 who has reviewed and is responsible for the technical information presented in this news release.
On Behalf of the Board
Gregory Isenor, P.Geo., President & CEO
This press release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future exploration drilling, exploration activities and events or developments that the Company expects, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions.
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.