NEWS out !!!
DrillingIntersects Near Surface Gold Mineralization 700m Northeast Along Strikefrom Leprechaun Deposit in Central Newfoundland
Filing Services Canada Inc.
FSC / Press Release
Drilling Intersects Near Surface Gold Mineralization 700m Northeast Along Strike from Leprechaun Deposit in Central Newfoundland
Latestresults from 25,000 metre resource expansion and exploration drillingprogram include 1.85 g/t Au over 20m in hole 264, within 20m of surface
Halifax,Nova Scotia CANADA, May 04, 2011 /FSC/ - Mountain Lake Resources Inc(MOA - TSX Venture, MLKRF - OTCBB_Pink_Sheets), is pleased to announcethe near surface intersection of a wide interval of gold mineralizationin an area of the Sprite Zone, located 700 metres (m) northeast alongstrike from the Leprechaun Gold Deposit. Drill hole VL-11-264intersected 16.86 g/t gold (Au) over 1m within a wider interval of 1.85g/t Au over 20m, within 20m of surface. Historical drilling in theSprite Zone, in widely spaced drill holes over a 1.1 kilometre (km)strike length (see Figure - SZ:https://www.mountain-lake.com/VL-DDH-maps_2011/Figure-SZ_050411.jpg), hasreturned significant gold values including 2.28 g/t Au over 36.51m(with 10.6 m of unsampled core in the interval) including 19.17 g/t Auover 3.0m in hole VL-27; as well as 3.18 g/t Au over 4.1m in VL-35, and3.01 g/t Au over 4m in VL-50.
"The wide, near surfaceintercept in VL-11-264 coupled with broad historic intervals in theSprite Zone demonstrates the excellent potential to significantlyincrease the global resource on the Valentine Lake Project. This is anarea that despite its high potential has received very little work inthe past as the historic emphasis has been on exploring the adjacentLeprechaun Deposit. Anomalous gold values occur in every drill hole fora 1.1 km stretch and a focused drill program in this area is now beingplanned," said Gary Woods, President and CEO of Mountain Lake.
Highlights:
*The wide gold intersection of 1.85 g/t Au over 20.0m with 16.86 g/t Auover 1.0m in VL-11-264 confirms the potential for additional nearsurface mineralization as we plan future exploration drilling at theSprite Zone.
* These new drill results show the continuation ofnear surface gold mineralization, including wide intervals withhigh-grade intercepts, northeast along strike in an area ~700m from thecurrent NE boundary of the Leprechaun Gold Deposit (see Figure - SZ:https://www.mountain-lake.com/VL-DDH-maps_2011/Figure-SZ_050411.jpg).
*Future drilling between the Leprechaun Deposit and Sprite Zone willexplore the potential for development of an open pit that extends 700mbeyond the current Leprechaun Deposit pit boundary into the Sprite Zone.
TABLE 1: New Assay Results for the Sprite Zone
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DDH Section From To Core Gold
(m) (m) width (g/t)
(m)
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VL-11-260 11200 131 134 3 0.47
VL-11-262 11175 145 148 3 0.65
VL-11-264 11175 8 11 3 1.88
VL-11-264 11175 23 43 20 1.85
including 11175 28 29 1 16.86
VL-11-264 11175 61 72 11 0.45
VL-11-267 11162.5 66 71 5 0.65
VL-11-267 11162.5 95 98 3 0.55
VL-11-270 11212.5 37 41 4 0.56
VL-11-270 11212.5 73 76 3 1.02
VL-11-277 11200 38 41 3 0.73
VL-11-279 11187.5 29 36 7 0.89
including 11187.5 29 32 3 1.59
VL-11-279 11187.5 89 92 3 0.51
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Note:(1) True widths for the Sprite Zone are unknown at this time and willbe determined with further drilling this spring/summer; (2) VL-11-272lost water and the hole was lost
All of the samples wereanalysed at Eastern Analytical Laboratory Ltd., in Springdale,Newfoundland. Samples were assayed using lead collection fire assaywith AA (atomic absorption) finish. Results from fire assay are usedfor drill hole planning only. Assay results for the future updates ofthe December 2010 resource will be determined by an ongoing metallicscreening process. Due to the coarse nature of the gold at theLeprechaun Deposit, the metallic screening method is used oneconomically important intersections using standard fire assaytechniques. The reported values in this release are fire assay results.
Toreview results previously announced to date in 2011 see news releasesof February 3 (5 holes):https://www.mountain-lake.com/2011_MOA_News/MOA-NR-020311_VLake-DrillResultsI.html,February 18 (6 holes):https://www.mountain-lake.com/2011_MOA_News/MOZ-MOA_PR_02-18-11_VL-ResultsII.pdf,March 2 (5 holes):https://www.mountain-lake.com/2011_MOA_News/MOZ-MOA_PR_03-02-11_VL-ResultsIII.pdf,March 8 (3 holes):https://www.mountain-lake.com/2011_MOA_News/MOZ-MOA_PR_03-08-11_VL-ResultsIV.pdf,and March 29 (12 holes):https://www.mountain-lake.com/2011_MOA_News/MOA_NR_03-29-11_VL-ResultsV.pdfand April 26 (16 holes):https://www.mountain-lake.com/2011_MOA_News/MOA_NR_04-26-11_VL-ResultsVI.pdf.
About the Valentine Lake Joint Venture: The ValentineLake Project is a 50/50 joint venture between Marathon Gold and MountainLake. The Leprechaun Gold Deposit is situated at the south-western endof the Valentine Lake Property with the Sprite Zone and the ValentineEast Zone, located ~700 metres and ~13 kilometres (km) respectivelyalong strike to the northeast from the Leprechaun Deposit. These goldoccurrences form part of a 23 km long, highly prospective gold-bearingmineralized corridor. Marathon is the operator of the Project, and thecompanies have agreed to jointly fund a $6 million budget in 2011 thatwill include a planned 25,000 metres of drilling.
LeprechaunGold Deposit: The Leprechaun Deposit has a NI 43-101 compliant Measuredand Indicated Resource of 3,284,000 tonnes grading 2.62 g/t gold for atotal estimated 277,000 ounces of gold; and an associated inferredmineral resource of 4,409,000 tonnes grading 2.01 g/t gold for anestimated 285,000 ounces of gold. The resource was estimated using a0.5 g/t gold minimum cut-off over a 3m minimum width. The LeprechaunDeposit is open at depth and along strike with 74% of the current M& I ounces occurring within 150 metres of surface (see news releaseof December 16, 2010:https://www.mountain-lake.com/2010_MOA_news/MOA-NR-121610_VLake-Resource-Estimate.html).
MountainLake President and CEO, Gary Woods, P. Geo, is the Company's QualifiedPerson on the Valentine Lake Joint and has reviewed and verified thecontents of this news release.
About Mountain Lake Resources Inc.
MountainLake Resources Inc. (TSX-V: MOA) is a diversified junior explorationcompany, whose corporate strategy is to build shareholder value throughthe exploration and development of economically viable mineralproperties all located on the pro-mining island of Newfoundland.Mountain Lake's current projects include: a 50% interest in theValentine Lake gold property (drilling again later this quarter) underthe joint venture with Marathon Gold Corp.; a 100% interest in theGlover Island gold exploration property (drilling this quarter); anoption to earn a 100% interest in the Little River gold-antimonyexploration property (drilling this quarter); a 100% interest in theBobby's Pond base metals property. For more information visit:www.mountain-lake.com
For corporate, media, or investor inquiries, please contact:
Greg Lytle,
Mountain Lake Resources Inc.
North America toll-free: (866) 285-5817
International & Vancouver: (604) 839-6946
Email: info@mountain-lake.com
ON BEHALF OF THE BOARD OF DIRECTORS
s/"Gary Woods"
President & CEO
NEITHERTHE TSX VENTURE EXCHANGE, NOR ITS REGULATION SERVICES PROVIDER (AS THATTERM IS DEFINED UNDER THE POLICIES OF THE EXCHANGE) ACCEPTSRESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE.
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Source: Mountain Lake Resources Inc (TSX-V: MOA)
https://www.mountain-lake.com
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