Drilling Confirms Bedrock Gold Source at Kelly Creek Project
November 2, 2011 - Vancouver, British Columbia - Cedar Mountain Exploration Inc. (CED: TSX-V) (“Cedar Mountain” or the "Company") today announced drill results from the North Fox, Wolverine and Wolf Prospects at its Kelly Creek Project on the Seward Peninsula, Alaska. Drilling of gold-in-soil targets at all three prospects have returned multiple zones of anomalous gold values associated with graphitic quartz schist.
“Cedar’s 2011 drilling at the North Fox, Wolverine and Wolf prospects has confirmed the presence of gold in bedrock associated with broad geochemical soil anomalies at all three of these targets” stated Charles Chebry, President and CEO, “The extent of gold distribution over the area and apparent strong structural control on mineralization have improved our understanding of the prospectivity of the project and important geochemical targets have yet to be drill tested” added Mr. Chebry.
The North Fox prospect is located 3 km northwest of the Kelly Creek prospect. At North Fox anomalous gold-in-soil values (20 to 468 ppb) cover a 1,400 m by 400 m area underlain by carbonaceous schist. Six drill holes totaling 668.5 m, inclined across the dip of the host carbonaceous schist were completed in the western part of the soil anomaly in August, 2011. Assay data for soil samples in the eastern part of the soil anomaly were not available when drilling was underway.
Anomalous gold values (+0.1 g) were returned from all drill holes. The gold-bearing zones are strongest where sheared and brecciated quartz vein stockworks are present. The gold intercepts are relatively narrow and low grade (4.5 m @ 0.32 g/t Au in 11NF03, 4.5 m @ 0.42 g/t Au in 11NF04, 4.5 m @ 0.50 g/t in 11NF05, and to 4.5 m @ 0.70 g/t Au in 11NF06), but intercepts systematically increase in grade towards the eastern and stronger part of the gold-in-soil anomaly completed in 2011 which remains untested by drilling (see accompanying map).
The Wolverine prospect is a large, linear gold-in-soil anomaly about 6 km east-northeast of the Kelly Creek prospect. Seven drill holes totaling 755.4 m tested this prospect in 2011. Four drill holes (11WO01, 11WO04, 11WO05, and 11WO06) were directed northeast (-600) and two drill holes (11WO03 and 11WO07) were directed southwest (-600) across the trend of the soil anomaly. 11WO02 was a short, vertical hole drilled at the same location as 11WO01.
All of the drill holes encountered at least one mineralized interval (from 1 to 5.5 m long) with 0.1 g or more gold. Two of the holes (11WO01 and 11WO03) encountered five such intervals. The strongest of these intervals was 4.5 m @ 0.44 g/t Au in 11WO01. The gold-bearing zones are predominantly hosted within sheared and quartz veined, partly calcareous, mica quartz schist and graphite quartz schist.
The Wolf prospect is a gold-in-soil anomaly, apparently localized along a high angle fault, about a kilometre south of the Kelly Creek. Four drill holes totaling 473.8 m were completed at Wolf in 2011. The drill holes included three in a line (11WF01, 11WF02, and 11WF03) directed across the projected trace of the high angle fault. Drill hole 11WF04 encountered poorly sheared and broken up rocks and was abandoned prior to reaching target depth. The completed holes all encountered narrow mineralized zones containing at least 0.1 g/t Au. 11WF01 intercepted four 1.5 m zones with 0.12 to 0.48 g g/t Au, 11WF02 returned1.5 m @ 0.17 g/t Au, and 11WF03 contained 1.5 m @ 0.28 g/t Au. The gold-bearing zones are sheared and quartz-veined intervals in partly calcareous mica graphite quartz schist.
The Kelly Creek Property is located on the Seward Peninsula, Alaska, 145 km north of Nome. Kelly Creek is a drill-permitted early-stage gold exploration property comprising 105,280 acres (42,605 hectares) that cover an entirely new gold district. Historic results indicate the presence of disseminated gold deposits in metasedimentary rocks. These deposits have similarities to disseminated gold deposits in Nevada and are a new type for the region.
The Company’s disclosure of a technical or scientific nature in this press release has been prepared by Dr. Travis Hudson, registered geologist, who serves as a Qualified Person under the definition of National Instrument 43-101. The Kelly Creek project represents an early stage property and does not contain any mineral resources as defined by National Instrument 43-101.
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About Cedar Mountain Exploration Inc.
Cedar Mountain Exploration Inc. is a mineral exploration company with a clear and distinct business strategy to identify, acquire, and explore high potential projects ready for rapid advancement. The flagship Kelly Creek Property on the Seward Peninsula of Alaska fits with the Cedar Mountain business strategy and demonstrates substantial potential for major gold discoveries.
Cedar Mountain is a member of the Discovery Group of Companies: www.discoveryexp.com
ON BEHALF OF THE BOARD
Chief Executive Officer
Tel: (403) 283-0001
For more information on Cedar Mountain Exploration Inc., please visit the Company’s website:
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This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address exploration drilling, exploitation 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 the 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, continuity of mineralization, uncertainties related to the ability to obtain necessary permits, licenses and title and delays due to third party opposition, changes in government policies regarding mining and natural resource exploration and exploitation, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, investors should review the Company's continuous disclosure filings that are available at www.sedar.com