Nov 3 2010
Newmac Resources Inc. (TSX VENTURE:NER)(FRANKFURT:N3M) has received results from its trenching program and a second VLF-EM and magnetic survey recently completed on the Company's Raft Property located approximately 35 km northeast of Clearwater, British Columbia.
Trench E has located the high grade bedrock source of gold on the Raft property for the first time in history. Representative grab samples of mineralization in two meter intervals from the central part of Trench E assayed 46.9 g/t Au, 59.9 g/t Ag and 1.56 g/t Au, 3.9 g/t Ag respectively. The actual total width of mineralization remains unknown as deeper than expected overburden only allowed for a portion of the VLF-EM target to be tested. Soil samples taken continuously beside the mineralized bedrock to the northeast of the high grade samples for 30 meters assayed between 3 and 50 ppb gold indicating that the zone could be wider than the 4 meters sampled. The mineralization is epithermal in character from an intrusive gold deposit as shown by the gold to silver ratio with associated base metals, arsenic, trace bismuth and antimony. The mineralized samples are on a 500 meter long VLF-EM conductor which has only been tested by Trench E. Numerous other VLF-EM conductors in a similar orientation remain untested on the property.
A total of 5 trenches (numbered A – E) were completed to test 5 different VLF-EM and magnetic structures located near anomalous gold soil samples. The first three trenches (A-C) did not locate mineralization. Trench D encountered anomalous levels of gold (165 ppb in one representative grab of soil). All 5 trenches were sampled by taking representative grab samples every 2 meters of either rock or soil. Grab samples are selective by nature and are unlikely to represent average grades on the property.
The Company has also completed a second VLF-EM and magnetic survey on an area not covered by the initial survey. A number of the new structures have been outlined in this survey, and the company plans to follow up on them in the future.
The Raft property has now been expanded to 13,881.21 hectares or 138.81 square kilometers.
David Schmidt, President and CFO of Newmac Resources Ltd. Stated "Making a brand new discovery in British Columbia is an exciting way to finish off our Phase One program at Raft. 2011 will be an exciting year as we will further test this VLF-EM structure and several other similar ones located on the property."
The Company is currently planning a second phase program to follow up on this very successful first phase program.
Historically a stream sediment of 87 ppb gold was obtained from Martin Creek by the property vendor during his initial prospecting of the property. He also in 1999, uncovered a highly oxidized bolder of intrusive breccias which assayed 29.3 g/tonne gold and 202 g/tonne silver.
The Company views the Raft project as an excellent target for intrusion related gold mineralization because of several tungsten skarns in the area, anomalous gold, tungsten, molybdenum, arsenic in stream sediments, and Shuswap metamorphic terrain intruded by Cretaceous granites which have been recognized as causing the mineralization.
The Company has the right to earn a 100% interest in the Ready Mix claims (part of the Raft Property) by making an initial payment of $5,000 and issuing 150,000 common shares. Within two years the company will need to pay an additional $25,000 and issue 500,000 common shares, in two stages. The property will also be subject to a 2% Net Smelter royalty, where the full 2% may be purchased by the Company for $1 million at anytime.
Technical content of this news has been reviewed by David J. Bridge, P.Geo, a qualified person within the definitions of National Instrument 43-101.
Source: Newmac Resources Inc.