Oro Gold drills 60.6 m of 3.4 g/t Au at Trinidad

Oro Gold drills 60.6 m of 3.4 g/t Au at Trinidad


2009-05-26 09:53 ET - News Release

Mr. Darren Bahrey reports

ORO GOLD DRILLS 3.4 G/T GOLD OVER 60.6 METRES IN NEW HIGH-GRADE ZONE AT TRINIDAD PROJECT, MEXICO

Oro Gold Resources Ltd. has released gold assay results received for two more diamond drill holes that twinned previous reverse circulation (RC) holes at the Taunus target on its Trinidad gold property near Mazatlan, Mexico.

09TR016, a core twin drilled in the new discovery zone at Taunus, intersected 5.2 grams per tonne gold over 36.5 metres (from 160.9 to 197.4 metres) within a larger interval of 3.4 grams per tonne gold over 60.6 metres (from 160.9 to 221.5 m). The recovery of the mineralized intervals was 80 per cent and 75 per cent respectively.

09TR017A, a core twin located south of the Taunus pit, which targeted a satellite near-surface gold anomaly, intersected 1.0 gram per tonne gold over 4.3 metres (from 41.1 to 45.4 m). The recovery of the interval was 75 per cent.

Oro Gold has now completed five core twin holes. The results of these core holes confirm RC drilling has been under-reporting the gold grade of the mineralized zones. A comparison of the core versus RC assay results in the higher grade mineralized intervals is summarized in table. Further drilling of twin holes is not planned in the current drill program.

The diamond drilling is focused on expanding and defining the limits of the high-grade new (breccia) zone. To date, eight diamond drill holes have been completed in the new zone, with four of them twins (08TR012/13/14 and 09TR016) and the other four step-outs (09TR015/18/19/20).

The step-out holes 09TR018, 19 and 20 extend the new zone to the south along strike 20 metres, 50 metres and 200 metres respectively. There is visual indication in the core that the mineralized breccia zone continues to the south and appears to be between 10 and 40 metres wide. The drilling has now tested this zone over a 350-metre strike length and down to a depth of 200 metres below surface. The spacing between the diamond drill holes range between 20 to 100 metres. The current interpreted dimension of the breccia zone is 350 metres long, 70 metres vertical, and 10 to 50 metres wide, and is still open in multiple directions. The high-grade portion of the mineralized breccia material is averaging above five grams per tonne gold. Assays are pending for 09TR018, 19 and 20. The next step-out holes will be determined based on assay results for these holes.

The location of the diamond drill holes with reference to the breccia zone can be viewed on a plan map at the "Latest Trinidad Drilling" link on the Oro Gold website. Also a summary table of the high-grade gold assay intervals in the diamond drill holes completed to date in the new zone as well as core photos can be viewed at the same page.

The objectives of the continuing diamond drill program are (i) to confirm by twinning holes that the gold grade of mineralized zones at the Taunus target is much higher than what has been reported in RC holes, and (ii) to define and expand the new high-grade breccia zone discovered by Oro Gold. Meeting these objectives is expected to have a positive impact on the company's reported National Instrument 43-101 inferred oxide gold resource of 200,930 ounces contained in 4.5 million tonnes at an average grade of 1.4 grams per tonne gold, based on a 0.5-gram-per-tonne cut-off. This resource estimate was released in July, 2008, and it does not include the high-grade gold results from the diamond drilling.


COMPARISON OF CORE VERSUS RC GOLD ASSAYS IN NEW ZONE

Core hole From To Interval Gold Distance
(m) (m) (m) (g/t) (m)*
08TR012** 151.0 212.1 61.1 8.5 8.0
08TR013 147.0 180.6 33.6 3.8 4.0
including 160.9 168.2 7.3 15.8 12.0
08TR014 106.2 114.0 7.8 5.3
and 131.0 138.0 7.0 9.7
09TR016 160.9 221.5 60.6 3.4 10.0
including 160.9 197.4 36.5 5.2

RC hole From To Interval Gold
(m) (m) (m) (g/t)

08TRRC023 148.0 212.0 64.0 1.5
08TRRC025 150.0 180.0 30.0 3.3
including 162.0 172.0 10.0 8.5
08TRRC029 96.0 102.0 6.0 2.2
and 122.0 130.0 8.0 1.8
08TRRC040 166.0 266.0 100.0 1.6
including 182.0 214.0 32.0 3.0

*Distance in metres between centres of mineralized intersections in
the corresponding core and RC holes; some of the distances are approximate
due to lack of down-hole surveys.
**Drill hole abandoned for technical reasons.


The Taunus gold target is interpreted as an oxidized low to intermediate sulphidation epithermal vein system. The mineralization is characterized by multiphase stockwork veining and hydrothermal brecciation hosted in a clastic unit, quartz feldspar porphyry intrusive and andesite volcanics.

It is important to acknowledge that there is significant exploration potential in the Trinidad district, as the company has identified 10 other gold targets with several of them having a similar footprint to Taunus and have yet to be drill-tested. Oro Gold's technical team is interpreting this district to be situated in a northwest trending structural corridor that extends for at least 80 kilometres formed by active deep-seated major fault structures. There is evidence of this in the recent drilling based on intersecting a thick clastic and conglomerate sequence that has a vertical profile exceeding more than 250 metres in depth. The Taunus deposit is interpreted to be hosted in a local pull-apart basin within this trend.


SUMMARY OF OBJECTIVES AND RESULTS OF DIAMOND DRILL HOLES (COMPLETED OR IN PROGRESS)

Objectives
1) Grade 2) Expansion 3) Geologic
Drill hole Area confirmation model Main result

08TR012 New zone Indicated higher 8.5g/t gold over 61.1m in
hrade new zone breccia and clastic unit

08TR013 New zone Confirmed 5.3 g/t gold over 23.6m in
higher grade breccia and clastic unit
new zone

08TR014 New zone Confirmed 9.7 g/t gold over 7.0m and
higher grade 5.3 g/t gold over 7.8m in
new zone breccia and clastic unit
09TR015 New zone Confirmed 5.3 g/t gold over 66.0m in
higher grade breccia and clastic unit
new zone
09TR016 New zone Confirmed 5.2 g/t gold over 36.5m in
higher grade in breccia and clastic unit
new zone
09TR017A SW pit Did not confirm 1.1 g/t gold over 4.4m
satellite zone grade in satellite
zone
09TR018 New zone Defined new Assays pending
zone Hydrothermal and tectonic
breccias
09TR019 New zone Defined new Defined W pit Assays pending, breccia
zone stratigraphy and clastic unit
09TR020 New zone S Extend new Defined W
expansion zone 100m S pit In progress
and at depth stratigraphy
09TR021 Pending Definition and Geologic Pending
possible
expansion
09TR022 Pending Possible Geologic Pending
expansion
09TR023 Pending Possible Geologic Pending
expansion