Buritica West - CAThought you folks might be interested in what is happening next door with Caerus. This will definitely heat up.
Positive Sample Results at Buritica West Gold Project
Jan. 19, 2011 (Market News Publishing) --
CAERUS RESOURCE CORP ("CA-V") - Positive Sample Results at Buritica West Gold Project
Summary
The Company has completed a Stream Sediment and Metallic Mobile Ion sample program at it's Buritica West Gold Project immediately adjacent to the Continental Gold Buritica Project
Results suggest the potential for a continuation of the mineralization established at the Continental Gold Buritica Project onto Caerus's Buritica West Gold Project
Both Veta Sur and Yaragua Vein Systems trend west and to depth, toward the Caerus Resource Buritica West Gold Project boundary
Follow up work continues
Caerus Resource Corporation ("The Company") is pleased to report exploration results from the Buritica West Gold Project, located adjacent to the Aragua Mine owned by Continental Gold Limited (TSX:CNL). Geological personnel of Minera Ophir S.A., the wholly owned Colombian subsidiary of Caerus, are conducting an exploration and reconnaissance program on the project. Exploration completed includes a stream sediment sampling program on the north, east and south portions of the project and exploration in progress includes a Mobile Metal Ion soil sampling program (SGS Laboratories proprietary technique) on the northeastern border of the project with Continental Gold, for which some results have been received. In addition, two adits have been located and sampled, with results expected in the immediate future. The northeastern portion of the claim block is contiguous to the Yaragua area within which Continental Gold has completed recent drilling. As noted in their press release of December 21, 2010, it would appear that the Veta Sur and Yaragua Systems remains open along strike to the west and at depth, towards the Caerus property. This trend indicates the potential for the mineralization to continue onto the ground under option to Caerus. A Mobile Metallic Ion sample program was recently initiated, focusing on this area immediately bordering the Continental Gold property, in the northeastern portion of the project. The results of that program indicate a gold anomaly approximately 80 meters wide and 200 meters long. Mobile Metal Ion (MMI) soil geochemistry is an innovative proprietary geochemical process developed by SGS Laboratories. This technique has been in use for over 15 years and is a proven process based on numerous case studies. A sample is normally taken from 10 to 25 centimeters deep within the soil zone. Metals are recovered by leaching with weak acid solutions and then analyzed using an ICP (Inductive Coupled Plasma) technique. The gold values found in the MMI survey were analyzed in a frequency distribution chart. This indicates that values in excess of 42 ppb Au are definitely anomalous and those samples with values between 25 and 42 ppb Au are probably anomalous. The distribution curve also indicates that samples with values between 10 and 20 ppb Au, while not anomalous, are not part of the background population. These samples may represent the MMI response to disseminated gold. Results were received for only 75 of the 268 samples planned for this portion of the concession, and as additional results are received the lower limiting values of the anomalous categories may change. Only parts of five lines of MMI samples have been completed, due to topographical challenges. Samples were taken every 20 meters along lines 100 meters apart. The anomaly in Line 830 (1,128,300m E, Zone Bogota West) is open to the north, with four adjacent anomalous samples at the north end of the sampled portion. In Line 840 (1,128,400m E, Zone Bogota West) the anomalous zone appears to be as much as 160 meters wide, but four samples within that apparent anomalous area were not taken because of cliffs that limited both access and soil formation. This zone was open to the south. Soil geochemical sampling is continuing in the area. Sampling will continue Line 830 northwards to close off the anomaly, and sampling will fill in the gaps in Line 840. Minera Ophir S.A. has also reviewed and compiled the analytical results from the stream sediment sampling program. Twenty seven stream sediment samples and two overbank samples were taken from creeks in the north, east and south parts of the Buritica West Gold Project in order to identify the most prospective areas to initiate soil sampling and geophysical surveys. Sample sites were located in a natural sediment trap as near as possible to the mouths of major tributaries. Samples were taken from beneath cobbles and boulders in the stream bed and screened in the field to approximately -10 mesh. Approximately two kilograms of sample was taken in each sample location. Two samples of alluvium/colluvium were taken from the banks of streams where no suitable sediment trap was found near the tributary mouth. The samples were taken in a manner identical to the sediment samples and were analyzed using the same technique. Overbank sampling is a recognized geochemical technique. Samples were delivered to Inspectorate Laboratories in Medellin, Colombia, from which they were shipped to Reno, Nevada. The entire sample was analyzed by BLEG (Bulk Leach Extractible Gold) which is a 24-hour agitated cyanide leach with an Atomic Absorption analysis of the solution for gold, silver and copper. Inspectorate is an ISO accredited laboratory. The analytical results were analyzed statistically, taking as anomalous any samples with values exceeding the mean plus 2 times the standard deviation, in this case 184 ppb Au. Three of the 29 samples fell into this category, containing 278 ppb Au, 199 ppb Au and 189 ppb Au. The latter sample was an overbank sample. Review of the distribution of the analytical results for gold indicated values between 76 ppb Au and 96 ppb Au are probably anomalous, and that the one sample with an analytical result of 109 ppb Au should also be considered anomalous. The frequency distribution indicates that those analytical results between 13 ppb Au and 36 ppb Au represent a population of samples with a distribution distinct from those with lesser values. The creeks containing statistically anomalous values were all in the northern half of the concession, as were two of the marginally anomalous drainage areas. The anomalous drainages cluster in the eastern portion of the concession, and the MMI anomalous zone is located within the most anomalous drainage. As noted above, this area is adjacent to the area currently being drilled by Continental Gold. Caerus' management consider the results of the MMI and Stream Sediment sampling programs as indications of the potential continuation of veins or higher grade mineralization from the Veta Sur and Yaragua Systems of the adjacent CNL concessions. The next phase of exploration will include further MMI sampling and potentially a ground Induced Polarity evaluation to better define potential vein structures to identify potential drill targets. The solicitation covering the Buritica West Gold Project area was recently granted by Ingeominas ( the Colombian Mining Authority ) to a private Colombian individual, after being solicited by other parties. It is in the process of final title completion, which is expected shortly. The Company has completed adequate technical due diligence on the project, and has filed the necessary documentation to close the transaction, pending approval of the TSX Venture Exchange. The terms of acquisition are
* Upon approval of the TSX Venture Exchange: 100,000 shares * Upon the formalization of title by Ingeominas, $130,000 USD and 200,000 shares * 1st anniversary; $300,000 USD plus 200,000 shares * 2nd anniversary: $700,000 USD * A royalty of $ 10.00 per ounce of gold at bankable feasibility study The contents of this press release has been reviewed by Mr. Paul Pelke, a consulting geologist in the state of California, and a Qualified Person under NI 43-101.
On Behalf of the Board of Directors of Caerus Resource Corporation.
Adrian F.C. Hobkirk / President and Chief Executive Officer For further information, contact Adrian Hobkirk at 714-316-3272 or Allan Feldman at AJF Consultants Ltd. at 604-948-9663 or email: AJFConsultants@aol.com.
The TSX Venture Exchange has not reviewed the content of this News Release and therefore does not accept responsibility or liability for the adequacy or accuracy of the contents of this News Release. This news release contains certain - forward- looking statements - within the meaning of Section 21E of the United States Securities and Exchange Act of 1934, as amended. Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward- looking statements. Forward-looking statements are based upon opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors which could cause actual results to differ materially from those projected in the forward-looking statements. The reader is cautioned not to place undue reliance on forward-looking statements. The transaction described in this News Release is subject to a variety of conditions and risks which include but are not limited to : regulatory approval, shareholder approval, market conditions, legal due diligence for claim validity, financing, political risk, security risks at the property locations and other risks. As such, the reader is cautioned that there can be no guarantee that this transaction will complete as described in this News Release. We seek safe harbour.
Capitalization Report for Caerus Resource Corp
Shares Issued: 19171802
Shares Escrow: 4464
TSX Venture closing price for Caerus Resource C
Date: 2011/01/18
Closing Price: 0.870