Echo Bay Begins Drilling at Eastgate JV
FAIRMILE GOLD CORPORATION
CDNX: FLA
For Immediate Release
June 1, 2000
Echo Bay Begins Drilling at Eastgate JV
Vancouver, BC: Fairmile Gold Corporation (Fairmile, CDNX: FLA) is pleased to announce that JV partner Echo Bay Exploration has begun its first-phase-drilling program at the Eastgate Project. Eastgate is located in central Nevada, approximately 10 miles northwest of Fairmile's Highland project, where high-grade gold and silver occur in a similar geologic setting. Echo Bay is earning a 51% interest in the Eastgate project by spending US$500,000 over a six-year period (for more details, see News Release dated April 5, 1999).
Geologic work to date suggests that the project has geologic characteristics of an upper level, low-sulfidation-type epithermal gold/silver deposit. The target is a lower level of this system where higher grades of gold and silver are thought to exist. Echo Bay plans to drill 3 or 4 holes during this phase to test the geologic model. Drill results will be reported in a timely manner.
Veins cut Tertiary volcanic rocks at Eastgate, and the main vein historically produced a small amount of high-grade gold. Freeport McMoran in 1987 and U.S. Borax & Chemical Co. in 1988 explored the project for disseminated gold. Their surface and underground sampling and limited drilling of the main vein were encouraging, with the best intercept being 15 feet (not true thickness) of 0.343 ounces of gold per ton in Borax hole EG-4. Cabot Resources Corp. in 1990 drilled a fan of four reverse-circulation holes up section and one hole down section from EG-4. They reported intervals between 5 and 20 feet long (not true thickness) with grades between 0.073 and 0.565 ounces of gold per ton. These holes tested only a small portion of the main vein. Geologic surface and underground mapping and sampling during 1999 by Echo Bay refined the geologic model.
To obtain more information about Fairmile, visit our Web Site at fairmile.com or contact Investor Relations at 1-604-257-4254 for more information.
On Behalf of the Board of Directors,
"Joseph Anthony Kizis, Jr."
Joseph Anthony Kizis, Jr., President and CEO
This News Release contains forward-looking statements that are subject to various risks and uncertainties. Such statements contained herein represent management's best judgment as of this date based on information currently available. Actual results may differ materially from those currently anticipated in these statements.
The Canadian Venture Exchange has neither approved nor disapproved the information contained herein. |
