RE: NewsMerrex Gold Inc.TSX VENTURE:
MXI
Jan 11, 2011 08:45 ET
Merrex-IAMGOLD to Proceed With Minimum US$3,000,000 2011 Exploration Program at Siribaya
HALIFAX, NOVA SCOTIA--(Marketwire - Jan. 11, 2011) -Gregory Isenor, P.Geo., President and CEO of Merrex Gold Inc.("Merrex") (TSX VENTURE:MXI) is pleased to announce the details of the2011 exploration program for the Siribaya Gold Project, Mali.
2011 Siribaya Exploration Program
The50/50 Merrex-IAMGOLD Corporation ("IAMGOLD") joint project managementcommittee has approved a minimum US$3,000,000 exploration program forthe 2011 field season at the Siribaya Gold Project.
Theexploration objectives of the 2011 program aim at (1) developing themineral potential of the Siribaya permits and (2) confirming thepotential for a 2 to 4 million ounce deposit along the strike extent ofthe Siribaya trend.
More specifically, the 2011 program includes:
-Up to 17,000 metres of RC drilling to: i) investigate the strike lengthof the 1A and 1B Siribaya substructures for approximately twokilometres to the north of Zone 1B and approximately one kilometre tothe south of Zone 1A, and ii) selective infill drilling along 200 – 300metre spaced fences to follow up on mineralization intersected during2010 drilling. (see map: https://media3.marketwire.com/docs/Merrex_Jan11.pdf)
- Complete the regional 400 x 100 m termite mound geochemical sampling over the full concession areas.
-Infill termite mound geochemical sampling (200 x 40 m) as a follow upon soil and termite mound geochemical anomalies as detected duringprevious geochemical sampling programs. The program will initiallyfocus on the Babara anomalous trends and a geochem trend to the west ofSiribaya.
- Finalise mechanized auger drilling along the Bambadinka trend to the west of Siribaya.
- Initiate mechanical auger drilling along the Babara trends and the western Siribaya trend.
About the Siribaya Gold Project
TheSiribaya Gold Project in West Mali is Merrex's flagship property.Beginning in 2005 when most gold explorers were focusing further north,Merrex assembled an 848 km2 land package, the largestcontiguous group of gold exploration permits in Mali. The Siribaya GoldProject is in the same gold-prolific sequence of Birimian-agegreenstones shared by Randgold's Loulo mine, AnglogoldAshanti/IAMGOLD's Sadiola and Yatela mines and others in Western Mali.
Between2006 and 2008 Merrex spent over C$8,000,000 in direct exploration andadvanced the property from a grassroots exploration project to aninitial NI 43-101 compliant Inferred resource estimate.
Atthe end of 2008 IAMGOLD joined forces with Merrex to explore Siribayaby optioning a 50% interest in return for incurring C$10,500,000 ofexploration expenditures over a four year period. Since joining forceswith Merrex, IAMGOLD has spent approximately C$6,000,000 on directexploration both within the Siribaya mega-structure and across majorportions of the total land package including diamond and RC drilling, ahigh resolution airborne survey, soil and termite mound geochemicalsampling and ground IP. The 2009 diamond drill program in the Zone 1Barea concluded with an updated NI 43-101 compliant resource estimate of378,000 oz gold (4,015,000 tonnes grading 2.39 g/t Indicated plus946,000 tonnes grading 2.29 g/t Inferred (including a smallcontribution to the resource from Zone 1A). Mineralization at Zones 1Band 1A remained open to the north, south and at depth, and except forthe small contribution to the resource from Zone 1A, the currentresource estimate covers only a small fraction of the 1B substructure,just one of two major substructures within the 10.5 km long NE-SWstrike length of the Siribaya mega-structure.
Thecurrent NI 43-101 resource estimate includes drill holes over less thanone kilometre of strike length. Subsequent drilling of 500 metre spacedstep-out drill fences has demonstrated continuity of mineralizationover a three kilometre strike length along the Siribayatrends. Interpretations based on all available exploration dataindicate that the 10.5 kilometre long Siribaya mega-structure containstwo distinct substructures: the 10.5 km long 1B substructure (over tentimes as long as the strike of the Zone 1B NI 43-101 compliant resourcearea) and the 9.5 km long 1A substructure to the east of the 1Bsubstructure. The substructures are interpreted to contain multiplesmaller parallel gold-mineralized structures.
IAMGOLD,which assumed operatorship of the project in September 2010, recentlyaccelerated its rate of exploration expenditure and IAMGOLD is ahead ofschedule to earn its 50% interest. In 2010 a total of 16,142 m of RCdrilling was carried out along the Siribaya trend and concurrently thegeochemical trend at Bambadinka was pursued with 4,823 m of mechanicalauger drilling. An additional 17,000 metres of RC drilling is plannedfor 2011. This drilling will further extend the explored strike lengthof the Siribaya trends from three to six kilometres.
Outsideof the Siribaya mega-structure new mineralized trends have beendiscovered; Siribaya West which lies to the west of the Bambadinkatrend and the Babara trends which lie to the east of Siribaya on theBabara and Kofia permits. These trends will be further tested duringthe 2011 field season.
Merrex is a Mali focused goldexploration company with experienced management, a solid explorationteam, a prominent gold-producer as a partner and an expanding goldresource … a winning combination offering investors an extraordinaryopportunity.
Please visit our website at www.merrexgold.com for the most recent corporate presentation.
On Behalf of the Board
Gregory Isenor, P.Geo.
President & CEO