JANUARY 21, 1999
Argentina Gold: Hole 102: 106m of 5.84g/t gold & 61.43g/t
silver; incl. 65m of 8.88g/t gold & 63.82g/t silver;
incl. 25m of 14.5g/t gold and 68.12g/t silver
VANCOUVER, BRITISH COLUMBIA--Expected to Add Significant
High-Grade Volumes to Resource Estimate
Argentina Gold Corp. (the "Company") is pleased to announce the
results of Holes 102, 101 and the complete results of Holes 100
and 99, drilled at the Company's Veladero project in San Juan,
Argentina.
Amable Target - high-grade sector extended on east flank -
drilling continues in southeast
Hole 102, collared 50 metres east of Hole 76, returned 106 metres
of 5.84 grams per tonne gold and 61.43 grams per tonne silver
including a 65 metre interval of 8.88 grams per tonne gold and
63.82 grams per tonne silver and a 25 metre interval of 14.5 grams
per tonne gold and 68.12 grams per tonne silver.
Hole 102 confirms the extension of the high grade zone (above 5
g/t gold) along the eastern edge of the Amable target that was
intercepted by Holes 96, 90, 80 and 92. Furthermore, it
correlates with the structure observed in the geophysical surveys
(CSAMT) as the potential feeder zone for the hydrothermal activity
that lead to the brecciation and strong mineralization of the
Amable target. This hole is expected to add significant
high-grade volumes to the current inferred resource estimate of
2.1 million ounces of gold and 44 million ounces of silver.
Please see complete results on Hole 102 in the following table:
/T/
Total Gold
Hole Depth Interval From To Gold Silver Equiv.
(m) (m) (m) (m) (g/t) (g/t) (g/t)(x)
102 300 106 39 145 5.84 61.43 7.07
including 65 77 142 8.88 63.82 10.16
including 25 89 114 14.5 68.12 15.86
and 27 145 172 0.41 85.15 2.11
and 47 172 219 0.28 24.20 0.76
and 81 219 300 0.23 7.43 0.38
Hole Azimuth Angle Coordinates
102 270 -75 2407743 E
6750594 N
Elev: 4448
(x) 50 g/t Ag = 1 g/t Au
/T/
Hole 101, drilled 50 metres SSE of Hole 84, confirms the presence
of WNW trending fracture systems offsetting vertically the
southwestern portion of the Amable target. The lower grade
mineralization encountered correspond with the geological
indications of a peripheral alteration assemblage (alunite to weak
silica-alunite). Results for this hole and the complete results
for the previously reported Hole 99 are in the following table.
Results are pending on Hole 103 which was drilled 50 metres east
of Hole 96 in the southeastern area of the Amable target.
Hole 105 is complete with assays pending. This hole was drilled
50 metres east of Hole 90 on the eastern flank of Amable.
Hole 106 is underway and currently at a depth of 80 metres. This
hole is located 50 metres SSW of Hole 103.
Amable North - third RC rig brought on site to be dedicated to
Amable North target - Hole 100 open at depth
Complete results for the first hole drilled at the new Amable
North target are in. Total depth for Hole 100 was 350 metres and
results were previously reported down to 339 metres. The last 11
metres of the hole averaged 1.14 g/t gold and 11.02 g/t silver and
ended in mineralization. The last 11 metres of Hole 100 increases
the previously reported interval to 91 metres of 1.15 g/t gld and
11.7 g/t silver including 44 metres of 1.56 g/t gold and 11.82 g/t
silver. Complete details are in the following table.
The Amable North target is situated between the 2 million ounce
gold resource at Filo Federico and the 2.1 million ounces gold
resource at the Amable target and has similar geology and
geophysics. This new target opens up the entire eastern flank of
the northern Veladero project.
In view of the encouraging results received from the Amable North
target, a third RC rig has been brought on site and will be
dedicated to drilling the Amable North target. This third RC rig
replaces the second diamond rig that was recently brought on.
Total rigs on the property are now four (3 RC, 1 DD).
Western Filo Federico - drilling continues on western extension of
high-grade sector
Drilling is continuing west of the high grade (above 3 g/t gold)
sector of the 2 million ounce gold resource at Filo Federico.
Hole 104, located 50 SW of Hole 98, is complete with assays
pending.
Hole 107, located 50 SW of Hole 104, is underway and is currently
at a depth of 50 metres.
Approximately 400 metres further west of these holes is the
higher-grade 400,000 ounce gold resource at the NW target.
Preliminary indications with the drilling completed so far in the
western Filo Federico area are that the NW target resource may
link with the Filo Federico resource.
Diamond Drilling
The first diamond hole (DDA1) is progressing and is currently at a
depth of 225 metres. The entire hole has so far intercepted
strongly silicified breccias with increased re-brecciation and
jarosite in zones. Free gold has been observed in several zones.
Core from DDA1 will be exhibited at the Cordilleran Exploration
Roundup in Vancouver at the Hotel Vancouver (Waddington Room) on
January 28th and 29th, 1999.
Continued Exploration - western Filo Federico, eastern Filo
Federico, Amable North and Amable
Drilling will continue, testing promising new target areas.
Barrick Gold Corporation has approved a Phase II budget which will
provide for an additional 8,000 metres of RC drilling between
February and May, 1999.
With approximately 4.5 million ounces of gold and 119 million
ounces of silver resources outlined so far at the Veladero project
and with several promising new targets uncovered, Veladero is well
on the way to being established as multi-million ounce,
world-class deposit and has opened the Valle de Cura region in
Argentina as one of the most important new gold exploration areas
in the world.
Complete results from Holes 99, 100, 101 and 102 are in the
following table:
/T/
Total Gold
Hole Depth Interval From To Gold Silver Equiv.
(m) (m) (m) (m) (g/t) (g/t) (g/t)(x)
102 300 106 39 145 5.84 61.43 7.07
including 65 77 142 8.88 63.82 10.16
including 25 89 114 14.5 68.12 15.86
and 27 145 172 0.41 85.15 2.11
and 47 172 219 0.28 24.20 0.76
and 81 219 300 0.23 7.43 0.38
101 282 12 131 143 0.40 13.30 0.67
and 13 191 204 0.53 4.40 0.62
and 64 208 272 0.38 4.57 0.47
100 350 91 259 350 1.15 11.70 1.38
including 44 306 350 1.56 11.82 1.60
99 300 64 98 162 0.12 57.00 1.26
including 36 98 134 0.20 79.60 1.79
and 44 232 276 0.36 34.36
including 8 232 240 0.79 48.50
Hole Azimuth Angle Coordinates
102 270 -75 2407743 E
6750594 N
Elev: 4448
101 270 -75 2407659 E
6750329 N
Elev: 4370
100 270 -70 2407395 E
6751200 N
Elev: 4500
99 250 -75 2407520 E
6750505 N
Elev: 4447
(x) 50 g/t Ag = 1 g/t Au
/T/
A summary of all drill results to date for the 1998/1999 season is
available from the company at the number listed below.
Argentina Gold's Limited Duration Shareholder Rights Plan
Argentina Gold submitted its limited duration shareholder rights
plan to the Vancouver Stock Exchange on January 15, 1999, and has
been advised by the V.S.E. that they will defer review of the
rights plan until after the British Columbia Securities Commission
has determined whether it will intervene pursuant to National
Policy 62-202. The hearing before the B.C.S.C. is scheduled for
January 27, 1999, and the V.S.E. has confirmed to Argentina Gold
that if the B.C.S.C. chooses not to intervene, "the Exchange would
generally not object to the adoption of the rights plan in this
circumstance"
Please visit our website for maps and detailed information on the
Veladero project. The website address is www.argentinagold.com
Argentina Gold is the operator of the Veladero project holding a
60 percent interest. The Company's partner, Barrick Gold Corp.,
holds the remaining 40 percent. The drill samples are being
assayed by CIMM Labs of Chile using top quality control systems
and interlab check assays.
ON BEHALF OF THE BOARD
J. Patricio Jones, President |
