Company Press Release-Thursday September 18 1:00 PM EDT
Medinah Uncovers More Gold In Andacollo
LAKE ELSINORE, Calif.--(BUSINESS WIRE)--Sept. 18, 1997--Medinah Energy Inc. wishes to announce that Howe Chile Ltda. is currently completing a geological evaluation of the Grupa Santiago claims in the Andacollo mining district on behalf of Sierra La Plata SA., a wholly owned subsidiary of Medinah Energy Inc. (Medinah). The claims, located 2.5 kilometers northeast of the Dayton mine (130 million tons grading 0.7 grams gold per ton), are part of a large land package in the Andacollo area that Medinah is currently exploring.
Howe Chile has recently completed a program of reconnaissance geological mapping and sampling and has uncovered a series of west to northwest trending auriferous faults and veins over a strike length exceeding 1500 meters. Individual veins range from 0.5 meters to 1.5 meters in width with zones on multiple subparallel fractures and stockworks fracturing extending the width in places to 10 to 15 meters.
Follow up trenching and channel chip sampling across these zones is currently underway. To date 8 trenches totaling 282 meters have been completed and sampled over 2 meter intervals across their entire length. Analytical results of these samples have yielded intervals including: 0.90 grams gold per ton over 12 meters, 3.5 grams gold per ton over 3.5 meters (the main vein was not sampled in this trench due to unstable old workings, this would have likely extended this zone by 3 to 5 meters), 0.42 grams gold per ton over 20 meters (this zone is open to the northeast and trenching is currently underway to extend this zone), 2.42 grams gold per ton over 4 meters (the zone is open to the southwest and trenching is currently underway to extend this zone).
Further to the trenching and sampling program, a 36 kilometer magnetometer survey has been completed to identify auriferous zones and trends in our surrounding properties as well as the Grupa Santiago claims. Analysis of the results will be available in a few days. Considering the fact that the trenching samples were of surface material, the results are very encouraging.
Howe Chile is recommending a 7 hole drill program to test these zones to a depth of 150 meters. The drill program should commence immediately.
Medinah Energy Inc. holds a 80% interest and NP Energy Corporation a 20% interest in the Grupa Santiago properties.
On behalf of the Board of Directors, Per: Larry Regis, President
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Contact:
Investor Relations: Dave DiRicco
415-261-9608 |
