SOURCE: General Metals Corporation

November 19, 2008 08:08 ET

General Metals Reports Mineralized Intercepts Including 150 Feet of Oxide Mineralization From Surface in Hill Zone Discovery at Independence Project

RENO, NV--(Marketwire - November 19, 2008) - General Metals Corporation (the "Company") (OTCBB: GNMT) (FRANKFURT: GMQ) is pleased to announce recently received and interpreted results for drill holes GM-71, 72, 75 and 76, all situated on Section 3400 North, which include 150 feet of oxide mineralization from surface in GM-75.

The Company's drilling has identified a large body of near surface oxide mineralization over a strike length of more than 4,100 feet and discovered the new Hill Zone. Mineralization is open to depth and along strike to the north.

After a thorough review of the Company's drill data to date, combined with historic drill data, the Company's consultants calculate a drill inferred Global Estimate of 39,089,939 tons of mineralized material, containing 569,347 ounces of gold and 11,327,160 ounces of silver in the near surface oxide mineralization. This estimate is a global estimate of mineralization in the now targeted zones on the property, and does not yet indicate the material is minable or economical.

Discussion

This drilling significantly expands the surface oxide mineralization up and down dip from hole GM-54 and establishes continuity of mineralization between adjacent sections in the Hill Zone. The Company continues to be very encouraged by its drilling at the Independence Project.

Every hole of its combined 2007 - 2008 program has thus far encountered significant surface oxide mineralization which coupled with the demonstrable continuity of mineralization along strike and down dip, confirm the Company's confidence in near term production potential at the Independence.

Drilling has been targeted to expand known surface oxide mineralization and provide sufficient drill density and sampling to maximize the surface oxide resources in these areas in preparation for completing an Independent Technical Report containing a resource estimate.

Table 1 presents the salient drill data for holes GM-71, 72, 75, 76 and GM-54.

Section 3400 North

Drill hole GM-54, as announced in the Company's press release dated June 8, 2008, was the first hole drilled in the high grade Hill Zone and contained a 100 foot intercept of oxide mineralization, approximately 100 feet up dip from similar mineralization exposed in the historic mine workings. Holes GM-71, 72, 75 and 76 were drilled up and down dip on nominal 100 foot offsets, to test projected extensions of the intercept in GM-54. All holes intersected significant mineralization within the target zone and confirm continuity of mineralization between Sections 3200 North and 3600 North. As reported GM-54 contained a deeper sulfide zone of gold silver mineralization, which appears to be continuous with mineralization on strike in holes 55 and 56, and a second zone of mineralization in GM-71 from 195 to 220 feet. All mineralization remains open at depth and is normally completely oxidized within 300 to 400 feet of the surface.

Planning For Near Term Production

Engineering and permitting for production is underway by Dyer Engineering of Reno who is planning an open pit mine and cyanide heap leach recovery operation for the Company.

A detailed description of the 2007 - 2008 Phase 1 Definition Drilling Program is available on the Company's web site, under "Independence Interim Drilling Report" link on our Homepage at www.gnmtlive.com.

About General Metals Corporation: General Metals Corporation is an aggressive junior minerals exploration and development company, based in Reno, Nevada. The Company is actively exploring its 100% controlled Independence property strategically located in the prolific and highly prospective Battle Mountain Mining District, Nevada. Permitting and Engineering for heap leach production is underway at the Independence Mine. The Company recently entered into an agreement to sell its 150 sq. km. mining concession for gold, diamonds and base metals in Ghana, West Africa for $1,000,000 in cash and stock and retains a royalty.

Notice Regarding Forward-Looking Statements

This news release contains "forward-looking statements," as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, that the proceeds from the recent private placement will allow the Company to proceed with Phase 1 drilling at its Independence Mine in Nevada or any shallow mining production later this year, the budget for the Phase 1 drilling program, that an estimated 569,347 ounces of gold and 11,327,160 ounces of silver are contained in the mineralized material in the "Shallow Target," and is proposed to be mined and loaded onto a cyanide heap leach pad, or any future financings that the Company may enter into.

Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration. We are not in control of metals prices and these could vary to make development uneconomic. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-KSB for the 2008 fiscal year, our quarterly reports on Form 10-QSB and other periodic reports filed from time-to-time with the Securities and Exchange Commission.

Contact Information

  • Contact:
    Wayne Meyerson
    Investor Relations
    General Metals Corporation
    wayne@gnmtlive.com
    775.686.6078 office
    775.830.6429 cell