Atlanta Gold Inc. (ATLDF: OTC Link) | Atlanta Gold Confirmation Drilling Intersects High Grade Gold at Atlanta Property Including 3.01 gpt Au over…

Jul 27, 2012

OTC Disclosure & News Service

Toronto, ON, Canada -

NEWS RELEASE

October 12,2011

Atlanta Gold Confirmation DrillingIntersects High Grade Gold at Atlanta Property Including 3.01 gpt Au over 10.1Metres

 

Toronto, Ontario -Atlanta Gold Inc. (TSXV: ATG: OTCQX: ATLDF) announces drill results from two holes from itsdrilling program in the Buffalo Mine zone of the Atlanta shear at its Atlantaproperty in Idaho. Assay results from the ongoing drilling program in theMonarch and East Extension areas west of the Buffalo Mine zone includedweighted average gold values of 3.01 grams per tonne (“gpt”) Au over 10.1metres, as set out in the first table below.  

Thesecond table shows continuous core intervals assaying greater than 1.41 gpt Au (thesame cut-off grade used by P&E Mining Consultants Inc. (“P&E”) to estimate the NI 43-101 open pit mineralresource in July 2011). “We areencouraged by these intermediate depth long intercepts. These are low cost bulkmining widths within the footwall / hanging wall contacts with minimaldilution.  In addition, the top of thesemining blocks are relatively shallow, located immediately below the proposedpit bottoms at the Atlanta Project and easily accessible from short ramps. Anew option is being developed as drilling continues to expand this zone alongstrike and depth. Additional assays are pending for recently completed holes”,said Ernest Simmons, Vice President of Mining and COO of the Company. 

 

 

*             True widths are estimates based on current availabledata and may be subject to change.

**        Assays of less than 1.41gpt Au have notbeen reported.

***      Grades are weighted averages.

In July 2011, P&E completed a mineral resource estimateat the Company’s Atlanta Gold Project. P&E estimated an Indicated mineralresource of 686,600 gold ounces within 6.83 million tons at an average grade of0.101 opt (3.45 gpt) Au and an Inferred mineral resource of 282,400 gold ouncescontained within 1.79 million tons at an average grade of 0.158 opt (5.42 gpt)Au. Using a gold to silver price ratio of 55.6:1, the new Indicated mineralresource is 719,000 gold equivalent (“AuEq”) ounces within 6.83 million tons atan average grade of 0.106 opt (3.63 gpt) AuEq and the Inferred mineral resourceis 290,000 AuEq ounces within 1.79 million tons at an average grade of 0.163opt (5.59 gpt) AuEq. Gold cut-off grades of 0.041 opt (1.41 gpt) for open pitand 0.113 opt (2.25 gpt) for underground resources were established from metalprices, expected recoveries, and estimated operating costs (see news releasedated July 21, 2011).

Qualified Person

Informationof a technical nature in this news release regarding Atlanta has been reviewedby Edward D. Fields who is a designated “Qualified Person” under NI43-101.  Mr. Fields is a RegisteredMember of the Society for Mining, Metallurgy, and Exploration, Inc.

 

Quality Control and Assurance

Drillsamples were handled and assayed in accordance with NI 43-101 standards.  Assaying was done by Inspectorate AmericaCorporation of Sparks, Nevada, U.S.A. Samples were 30-gram fire assays of splitNQ-sized core (1⅞ inches in diameter). Quality control and assurance of the analytical results is maintained byinserting standards, blanks, and duplicates into the sample run, approximatelyevery twenty samples at the project site.

 

About the Company

AtlantaGold Inc. holds through its 100% owned subsidiary, Atlanta Gold Corporation,leases, options or ownership interests in its Atlanta properties which compriseapproximately 2,159 acres (8.74 square kilometres) located 90 air kilometreseast of Boise, in Elmore County, Idaho. A long history of mining makes Atlantavery suitable for development of new mining projects.  The Company is focused on advancing its coreasset, Atlanta, towards mine development and production.

 

Forward-LookingInformation

This news release contains forward-lookinginformation and forward-looking statements (collectively “forward-lookingstatements”) within the meaning of applicable securities laws. All statements,other than statements of historical fact, are forward-looking statements. Weuse words such as “may”, “intend”, “will”, “should”, “anticipate”, “plan”,”expect”, “believe”, “estimate” and similar terminology to identifyforward-looking statements, including with respect to the exploration resultsreceived.  Such are based uponassumptions, estimates, opinions and analysis made by management in light ofits experience, current conditions and its expectations of future developmentsas well as other factors which it believes to be reasonable and relevant. Theseassumptions include those concerning the accuracy of historical records, theaccuracy of the Company’s resource estimates and of the geological,metallurgical and price assumptions on which the estimates are based, the availabilityof adequate financing and the ability to achieve operating cost estimates.Forward-looking statements involve known and unknown risks, uncertainties andother factors that may cause our actual results to differ materially from thoseexpressed or implied in the forward-looking statements and accordingly, readersshould not place undue reliance on those statements. Risks and uncertaintiesthat may cause actual results to vary include, but are not limited to, thespeculative nature of mineral exploration, development and mining (includinguncertainties with respect to the interpretation of geology, continuity, sizeand grade estimates and recoverability of mineral reserves and resources);insufficient funding or delays in raising additional financing on satisfactoryterms; operational and technical difficulties which could increase operatingand/or capital costs; risks and hazards associated with the business of mineralexploration, development and mining, including environmental hazards, changesin laws or regulations and the risk of obtaining necessary licenses andpermits; fluctuations in resource prices and in currency exchange rates;changes in general economic conditions and in the financial markets; as well asother risks and uncertainties which are more fully described in the Company’sannual and quarterly Management’s Discussion and Analysis and in other Companyfilings with securities and regulatory authorities which are available atwww.sedar.com. Should one or more risks and uncertainties materialize or shouldany assumptions prove incorrect, then actual results could vary materially fromthose expressed or implied in the forward-looking statements and accordingly,readers should not place undue reliance on those statements.

 

Readers are cautioned that the foregoing lists ofrisks, uncertainties, assumptions and other factors are not exhaustive.  The forward-looking statements contained inthis news release are made as of the date hereof and the Company undertakes noobligation to update publicly or revise any forward-looking statementscontained herein or in any other documents filed with securities regulatoryauthorities, whether as a result of new information, future events orotherwise, except in accordance with applicable securities laws.

 

Forfurther information contact:

 

Atlanta Gold Inc.:   Bill Baird Vice President & CFO Telephone: (416) 777-0013 Fax: (416) 777-0014 E-mail: info@atgoldinc.com

Investor Cubed Inc.:   Neil Simon Telephone: (647) 258-3311, (888) 258-3323 Fax: (416) 363-7977 E-mail: info@investor3.ca

CHF Investor Relations:   Juliet Heading Senior Account Manager Telephone: (416) 868-1079, extension 239 Fax: (416) 868-6198 E-mail: juliet@chfir.com

 

NEITHERTHE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM ISDEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FORTHE ADEQUACY OR ACCURACY OF THIS RELEASE.

 

 

 

 

 

The above news release has been provided by the above company via the OTC Disclosure and News Service. Issuers of news releases and not OTC Markets Group Inc. are solely responsible for the accuracy of such news releases.

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