Feb 7 2011
Goldgroup Mining Inc., in coordination with DynaResource, Inc. ("DynaUSA"-"DYNR-OTCBB"), has announced that diamond drilling from the current 18,500 meter diamond drilling program at the San José de Gracia project in Sinaloa, Mexico has encountered notable gold mineralization yielding 18.47 g/t Au over 8.04 metres including 34.36 g/t Au over 4.10 metres, (Hole SJG-10-226) plus many intercepts above the 2.0 g/t Au cut-off grade.
Following on from the successful drill results at the San Pablo shoot, Goldgroup is pleased to announce the latest 8 diamond drill results from the Tres Amigos shoot located approx 800 metres to the north of the San Pablo shoot. Mineralisation on this shoot continues open down plunge to the west and to the north along strike. Significant assay results from this diamond drill program (SJG-10-225 to SJG-10-232) drilled in the Tres Amigos vein are presented in the tables below:
The holes presented above intersected mineralization in excess of the 2.0 g/t Au cut-off grade used in estimating the inferred mineral resource presented in the San José de Gracia NI 43-101 Technical Report dated March 22, 2010. Results from these latest holes and the prior 98 holes announced in the news releases of June 11, 2010, September 8, 2010, September 20, 2010, December 7, 2010 and January 13, 2011 represent new drilling completed since the calculation of the current mineral resource estimate and are intended to be used in the estimation of an updated mineral resource.
The San José de Gracia District, covering 99,500 hectares, is 100%-owned by DynaResource de Mexico S.A. de C.V ("DynaMexico"). Goldgroup currently owns 25% of DynaMexico after completing the initial stages of its earn-in and has the right to earn an additional 25% (total of 50%) by advancing a remaining US$3.0 million by March 15, 2011. The recent drilling expenditures were incurred in connection with the earn-in of the additional 25% of DynaMexico. The remaining interest in DynaMexico is owned by DynaUSA. San José de Gracia is a high-grade advanced exploration project hosting a NI 43-101 compliant mineral resource estimate contained in four separate veins: Tres Amigos, San Pablo, La Union area and the La Purisima trend. Please refer to the NI 43-101 technical report on San José de Gracia dated March 22, 2010 which is available on SEDAR.
Assaying and Qualified Person
After project geologists logged and marked the core, technicians cut the individual lengths with a diamond saw, then tagged the bags and secured them with security clips. The samples were then trucked to Hermosillo, Mexico where Inspectorate America Corp. ("Inspectorate") crushed each sample to -150 mesh. The rejects remained with Inspectorate while the pulps were air couriered to Inspectorate's Richmond, BC, Canada facility and analyzed for gold by fire assay with Atomic Absorption ("AA") finish. Samples over 1.0 grams per tonne gold were re-run using fire assay with gravity finish. In addition, a 30 element Inductively Coupled Plasma ("ICP") analysis (aqua regia digest) was conducted on all samples. A QA/QC program was implemented as part of the sampling procedure for the drill program. One standard, one blank or one duplicate was inserted per group of 20 samples sent the laboratory. These standards were purchased commercially from Rocklabs Ltd. of Auckland, New Zealand. The San José de Gracia drill program is under the direct supervision of Kevin Sullivan, B.Sc., MAusIMM, contracted by Mineras de DynaResource S.A. de C.V., the operating entity at San José de Gracia. Mr. Sullivan is Goldgroup's Vice President, Exploration and a qualified person, as defined by NI 43-101. Mr. Sullivan has reviewed the technical information contained in this news release and reviewed the release.
Source: Goldgroup Mining Inc.