Geologix Explorations Inc.
TSX VENTURE : GIX
FRANKFURT : GF6

Geologix Explorations Inc.

October 10, 2007 08:49 ET

Geologix Explorations Inc.: San Agustin Preliminary Metallurgical Testwork Positive With High Recoveries

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 10, 2007) - Geologix (TSX
VENTURE:GIX)(FRANKFURT:GF6) is pleased to report that preliminary scoping metallurgical test work on it's San Agustin gold-silver-lead-zinc project has received positive results on flotation and cyanidation test work. Composite core samples from the Main Zone, Zone 4 and Zone 2 indicate that gold and silver recover very well to the rougher concentrates as does zinc when activated at a relatively coarse grind of -80% passing 150 to 200 mesh.

Dunham Craig, President and CEO states "Although our process design program has just begun, we are encouraged that the metallurgical response indicates we have an avenue for processing metals that looks like it is in concert with a large bulk mineable type gold-silver-lead-zinc deposit. We are immediately continuing with a second phase of metallurgical testing to refine and fine tune the test work in preparation for a prefeasibility study after our Phase 2 drilling program is completed this year".



PRECIOUS METAL FLOTATION TEST WORK

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Table 1 - Precious Metals Flotation

Head
Drill Grade Recovery
Test hole Sample Metallur- Au Ag Au Ag Flotation
# Zone Composite Type gical Test g/t g/t % % Test Design
---------------------------------------------------------------------------
Zone SA-101 Sulphide Rougher Con 0.17 18.6 96% 89% Au, Ag
1 4 (1-4) 1st, Zn 2nd
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Zone Rougher Con Au,Ag,Pb,Zn
2 2 SA-96 Sulphide (1-4) 0.18 15.2 96% 92% at same
time
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Rougher Con
3 Main SA-95 Sulphide (1-2) plus 1.50 8.5 99% 94% Au, Ag Only
scavenger
---------------------------------------------------------------------------
Rougher Con
4 Main SA-95 Sulphide (1-4) plus 0.50 2.3 93% 82% Au, Ag Only
scavenger
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Excellent precious metal recoveries of 93-98% for gold and 82%-94% silver occur in rougher flotation concentrates regardless of the activation method used in the tests. Additionally, recoveries remain robust regardless of high, medium or low head grades indicating that if precious metals are present regardless of grade, flotation captures the metals to the concentrate.

BASE METAL FLOTATION TEST WORK

Base metal test work was divided into a series of different flotation methods. Test 2 was a simple flotation test designed to recover all metals in a simple rougher circuit. Results show high recoveries of 91% and 92% for lead and zinc, respectively. Test 1 attempted to float metals separating gold and silver from the zinc concentrate. Recoveries of 84% and 64% for lead and zinc, respectively, were achieved. Tests 3 and 4 used different methods to float gold and silver only without attempting to float lead and zinc.

The purpose of Tests 1- 4 are to indicate where secondary test work should focus for process designing. Preliminary work indicates that sulphide flotation test work should continue working to refine a producing gold/silver concentrate for refining on site and producing a secondary zinc concentrate for shipping off site to a smelter.



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Table 2 - Base Metals Flotation

Drill Head
Test hole Sample Metallurgical Grade Recovery Flotation
# Zone Composite Type Test Pb% Zn% Pb% Zn% Test Design
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Zone Rougher Con Au Ag 1st,
1 4 SA-101 Sulphide (1-4) 0.21 1.19 84% 64% then Zn 2nd
Zone Rougher Con Au, Ag Pb, Zn
2 2 SA-96 Sulphide (1-4) 0.16 0.56 91% 92% at same time
Rougher Con
(1-2) plus
3 Main SA-95 Sulphide scavenger 0.01 0.1 58% 43% Au, Ag Only
Rougher Con
(1-4) plus
4 Main SA-95 Sulphide scavenger 0.01 0.94 37% 7% Au, Ag Only
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PRECIOUS METALS CYANIDE EXTRACTION TEST WORK

Cyanidation recovery test work was conducted on the Main Zone gold and silver mineralization by grinding to 80% passing 200 mesh using 96 hour bottle roll tests. Oxide recovery was good at 87% and 53% for gold and silver, respectively, indicating that heap leaching the oxide material may be a viable method. In the sulphide zones gold and silver recoveries decrease at depth indicating that a finer grind may be required for gold and silver liberation deeper in the sulphide zone. Further test work is on-going examining optimizing cyanidation precious metal recoveries.



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Table 3 - Precious Metals Cyanidation

Consum-
Drill Head Grade ption
Test hole Sample Au Ag Recovery NaCN
# Zone Composite Type Met Test (g/t) (g/t) Au% Ag% (kg/t)
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SA-95
C1 Main (31-49 m) Oxide CN Bottle Roll 1.06 9.5 87% 53% 0.90
SA-95
C2 Main (105-140m) Sulphide CN Bottle Roll 2.12 9.5 71% 31% 1.12
SA-95
C3 Main (221-232m) Sulphide CN Bottle Roll 0.72 2.8 59% 28% 0.87
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Original drill core samples were assayed by ALS Chemex Laboratory Services Limited in Vancouver, British Columbia. Metallurgical test work was completed by Process Research Associates Ltd. located in Richmond, BC. Metallurgical assays were completed by International Plasma Labs Limited located in Richmond, British Columbia.

Qualified Person

Geologix's President and CEO, Dunham L. Craig, B.Sc., P. Geo., a 'qualified person' for the purposes of National Instrument 43-101 Standards of Disclosure for Mineral Properties of the Canadian Securities Administrators, has verified the data (including sampling, analytical and test data) and prepared or supervised the preparation of the information contained in this new release.

Quality Assurance & Control

The Company has implemented a quality assurance and control (QA/QC) program to ensure sampling and analysis of all exploration work is conducted in accordance with the best possible practices. The drill core is sawn in half with half of the core samples shipped to ALS Chemex Laboratory Services Limited in Vancouver, British Columbia for analysis. The other half of the core is retained for future assay verification. The QA/QC policy includes the chain of custody monitoring, insertion of blanks, standards and duplicates in the initial samples submitted. The laboratory provides an additional internal control program.

About Geologix

Geologix Explorations Inc. is a mineral exploration company focused on acquiring, exploring and developing gold properties in North and South America. The Company has a wealth of experience in the mining industry taking early stage exploration prospects to final feasibility and ultimately to production.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Geologix Explorations Inc.
    Michael Mallard
    V.P. Corporate Communications
    (604) 694-1742 or Toll Free in Canada & USA: 1-888-694-1742
    Email: mmallard@geologix.ca
    or
    Geologix Explorations Inc.
    Dunham Craig
    President & CEO
    (604) 694-1742 or Toll Free in Canada & USA: 1-888-694-1742
    Email: dcraig@geologix.ca
    Website: www.geologix.ca