Oct 6 2012
Mexivada Mining is pleased to announce it has discovered additional, significant high-grade gold mineralization in drilling at its Roger property, located near the 147 and Gibson zones of gold mineralization owned by Brigus Gold at Matheson, Ontario.
Mexivada successfully completed its Phase 1 four-hole NQ core drilling program on the Roger property, drilling 1,669 metres of core. The company has to date logged over one half of the core, and approximately one quarter of the footage has been cut and sent to ALS Laboratories in Timmins for gold assaying and further check assays.
Visual and core sample assays of the core in the Leroux Zone in the eastern part of the Roger property to date have shown evidence of locally significant zones of strong gold mineralization in and near moderately gray quartz with finely disseminated pyrite. The core in hole R12-1 has to date yielded local gold assays of 10.4 and 11.0 grams per tonne gold ("g/t Au") over 1-metre intervals, with significant visual gold mineralization at 307.8 metres (see core photo on Mexivada website) in the underlying metre that yielded 0.207 g/t Au. Some of the core is now being re-assayed using the screen fire gold technique, which attempts to catch larger gold particles present due to the "nugget effect" of gold in general. Strong visual gold mineralization also has been found in hole R12-3. Holes R12-2 and R12-4 have not been detail logged nor sampled yet. Mexivada will report further on the core logging and assays as the work proceeds.
The Roger property is located 400 metres southwest and 750 metres south of Brigus Gold's 147 and Gibson gold zones, respectively. The Roger property also is adjoined on the east side by property controlled by St. Andrew Goldfields Ltd. Mexivada has the option to earn up to 60% working interest in the Roger property from Romios Gold Resources Inc. (see Press Release dated January 11, 2012).
Private Placement: Mexivada has received strong shareholder approval to consolidate the company's common shares on a 3.5:1 basis. Mexivada has arranged a non-brokered private placement on a best efforts basis of up to 15,000,000 units ("Units") of Mexivada (on a post-Consolidation basis) at a price of $0.10 per unit (the "Offering") to raise gross proceeds of up to $1.5 million. Each Unit will consist of one common share in the Company ("Share") and one full common share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder to purchase one common share of the Company at a price of $0.15 per common share for a period of 24 months following the closing date. Mexivada may pay a finder's fee in connection with the offering. The offering and the consolidation are subject to the approval of the TSX Venture Exchange. The company anticipates closing of the Offering and Consolidation as soon as practicable, subject to receipt of all necessary regulatory approvals.
The Company's President and CEO, Richard R. Redfern, M.Sc., a Certified professional Geologist and 'qualified person' for the purposes on National Instrument 43-101 Standards of Disclosure for Mineral Properties, has verified and approved the information contained in this news release.
Source: http://www.mexivada.com