Ely Gold & Minerals Inc. ("Ely Gold" or the "Company") is pleased to provide the following update on its 100% owned Green Springs property located in White Pine County, Nevada. An exploration Plan of Operations (POO) has been submitted to the U.S. Forest Service in October, 2013. An Environmental Assessment (EA) is also in progress for this POO.
The proposed project area covers several drill targets identified from historic drill assays, soil samples and the CSMAT geophysical survey. Enviroscientists, Inc is coordinating the permitting and environmental requirements for the EA. A map of the proposed project area is available on the Ely Gold website at www.elygoldandminerals.com
Green Springs lies approximately 5 miles south of Ely Gold's Mt. Hamilton project and 14 miles southeast of Midway Gold's ("Midway") Pan Deposit, 7 miles southeast of Midway's Goldrock project and 10 miles northwest of Pilot Gold's Griffon project. The Mt Hamilton Project is being managed by Solitario Exploration & Royalty Corp. ("Solitario") under a joint venture agreement with Ely Gold whereby Solitario owns 80% and Ely Gold owns 20%. Green Springs is owned 100% by Ely Gold and is not part of the joint venture with Solitario. Mt. Hamilton, Pan and Goldrock are currently in the permitting process for mine development.
The Company, in conjunction with SRK Consulting, has now compiled all the historical data including previous work by U.S. Minerals Exploration Company ("USMX") during the 1980's. The USMX work outlined six zones of gold mineralization from approximately 680 reverse circulation drill holes. Using a cut off grade of 0.7g/t Au, USMX developed and produced from three of these mineralized zones. Historic production records, from 1988-1990, indicates that 1.1 million metric tons of ore averaging 2.1 g/t gold were mined by open pit mining and heap leaching. Gold recoveries of approximately 80% were obtained from a relatively coarse crush. USMX abruptly ceased production when they purchased Alligator Ridge in 1990. Three mineralized zones remained un-mined and very little exploration work was done on peripheral or deeper targets after the initial discoveries. The Company has identified drill targets designed to twin USMX holes and test upslope extensions of the existing pits based on extensive ground sampling, mapping and the CSMAT geophysical survey. Drilling is anticipated in fall of 2014.
"We have now compiled the extensive data packages we received with the Green Springs acquisition and we are anxious to begin a drill program in 2014", stated Trey Wasser, Ely Gold's President & CEO. "After identifying the historic mineralized zones and compiling the other data we have identified multiple targets that stretch the entire length of the property. We have decided to file the POO and institute a more aggressive development plan than would be allowed under USFS categorical exclusions. Completing the EA will also allow us to begin a full Environmental Impact Study during the exploration phase".
John Brownlie, Ely Gold's Executive Chairman commented on the permitting process, "Nevada has emerged as the premium jurisdiction for mine development, despite a longer permitting process. We have chosen to invest in Green Springs by beginning this process with the longer term view of having a project fully permitted for exploration and development. These permits will add significant value to what we believe is a very high quality property."
This press release has been read and approved by Stephen Kenwood, P. Geo, a director of the Company and is a Qualified Person as defined by National Instrument 43-101.
On Behalf of the Board of Directors
Signed "Trey Wasser"
Trey Wasser, President & CEO
Source: http://www.elygoldandminerals.com/