Sandstorm Gold Announces 44 Metres of 4.94 g/t and a Drill Program Extension at Luna Gold's Aurizona Mine
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VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 28, 2011) - Sandstorm Gold Ltd. ("Sandstorm") (TSX VENTURE:SSL) is pleased to announce that drilling from the Aurizona Mine, owned and operated by Luna Gold Corp. ("Luna") (TSX VENTURE:LGC) has reported positive assay results from eight new holes. Significant mineralized intercepts are:
32.00 metres @ 2.78 g/t Au including 1.00 metre @ 6.62 g/t Au and 6.50 metres @ 7.10 g/t Au in BRAZD304
44.00 metres @ 4.94 g/t Au including 0.50 metres @ 21.40 g/t Au, 0.50 metres @ 14.35 g/t Au and 5.00 metres @ 30.51 g/t Au in BRAZD306
17.00 metres @ 5.18 g/t Au including 3.50 metres @ 12.71 g/t Au and 2.00 metres @ 14.32 g/t Au in BRAZD314
"The drill results that we continue to receive from Luna point to a potential extension of the current mine life," said Sandstorm President & CEO Nolan Watson. "We eagerly anticipate the release of the Aurizona resource upgrade expected in the fourth quarter of this year."
In accordance with Sandstorm's gold purchase agreement with Luna, Sandstorm is entitled to purchase 17% of the life of mine gold produced from the Aurizona Mine at a per ounce price equal to the lesser of US$400 and the then prevailing market price.
Of the current 20,000 metre drill program, which commenced in August 2010, assays from 39 holes totaling 10,668 metres have been received and samples from 10 additional holes are currently at the assay lab. The most recent assay results are for eight drill holes totaling 2236 metres drilled on six sections covering a strike extent of 900 metres in the west central portion of the Piaba deposit. In seven holes, core was not recovered from surface. All drill holes intersected considerable zones of gold mineralization and the deposit remains open at depth on all sections. Based on the success of the current program and the potential to increase resources at the Piaba deposit, Luna has extended the current drill program by 20,000 meters.
For more information visit the Luna website at www.lunagold.com. Significant mineralized intercepts are tabulated below. |
