Harvest Gold Corporation
TSX VENTURE : HVG

Harvest Gold Corporation

August 25, 2010 06:30 ET

Harvest Gold Drills 12.2 Metres of 1.81 g Au/t and 20.9 g Ag/t Near Surface at the Valley Target at Rosebud

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 25, 2010) - Harvest Gold Corporation (TSX VENTURE:HVG) (the "Company") is pleased to announce gold and silver assay results from the two reverse circulation drill holes that tested the Valley target. HGR-9 and HGR-10 were completed during the Company's first phase drill program at its Rosebud Mine property in Pershing County, Nevada.

Greg Hill, President of Harvest Gold Corp. (US) states: "We are very pleased to have drilled shallow, multi-gram gold mineralization at the Valley target, adjacent to the Rosebud Mine. The uppermost gold intercept in HGR-10 is among the best to have ever been drilled at the Valley target and is within 17 metres (55 feet) of surface. The Valley target is largely unexplored and is open in all directions."

HGR-10 contains intercepts of:

12.2 metres of 1.81 g Au/t and 20.9 g Ag/t (2.13 g AuEq/t)

Including:

3.0 metres of 4.26 g Au/t and 15.3 g Ag/t (4.49 g AuEq/t) and

1.5 metres of 3.53 g Au/t and 58.6 g Ag/t (4.42 g AuEq/t)

HGR-9 contains an intercept of:

3.0 metres of 1.16 g Au/t and 7.7 g Ag/t (1.28 g AuEq/t)

The top intercept in HGR-10 begins approximately 17 metres (55 feet) from surface and is one of the highest grade and thickest intercepts drilled at the Valley target to date. There is mineralization in historical drill holes 40 metres (130 feet) to the east and 65 metres (215 feet) to the west of the HGR-10 intercepts. This begins to define a new mineralized zone, open in all directions.

The Valley target has been tested by approximately 20 drill holes, including HGR-9 and HGR-10, and is spread over an area approximately 700 metres (2300 feet) by 500 metres (1600 feet). Many of the historic holes contain ore grade or anomalous mineralization.

 All of the intercepts in the Valley target are within Tertiary volcanic or volcaniclastic rocks.

TABLE 1; SUMMARY OF HOLES HGR 1 – HGR 10
  FROM TO INTERVAL Au Ag AuEq
  metres metres metres g/t g/t g/t
*HGR-1 77.7 85.3 7.6 0.74 11.1 0.90
*HGR-2 259.1 269.7 10.6 0.61 13.1 0.81
*HGR-3 315.5 350.5 35.1 0.82 238.1 4.43
including 318.5 330.7 12.2 1.58 564.3 10.13
  including 323.1 327.7 4.6 2.47 1235.1 21.19
    including 324.6 326.1 1.5 1.00 2159.8 33.72
    and 326.1 327.7 1.6 6.24 473.5 13.42
*HGR-4 79.2 93.0 13.8 0.28 4.0 0.34
  342.9 347.5 4.6 0.10 14.6 0.32
  349.0 352.0 3.0 0.07 12.1 0.26
  406.9 410.0 3.1 0.53 4.9 0.61
*HGR-5 97.5 211.8 114.3 0.49 4.7 0.56
including 106.7 108.2 1.5 2.59 3.8 2.65
and 129.5 134.1 4.6 2.16 3.9 2.22
and 163.1 172.2 9.1 1.40 4.6 1.47
*HGR-6 140.2 204.2 64.0 0.48 2.9 0.52
including 163.1 167.6 4.6 1.31 5.5 1.39
and 195.1 199.6 4.6 1.64 2.6 1.68
*HGR-7 42.7 56.4 13.7 0.12 25.4 0.50
including 50.3 54.9 4.6 0.13 60.7 1.05
*HGR-8 129.5 137.2 7.6 0.69 1.4 0.71
  202.7 219.5 16.8 0.21 21.9 0.54
  234.7 266.7 32.0 0.27 2.4 0.30
  289.6 301.8 12.2 0.39 3.4 0.44
  367.3 374.9 7.6 0.92 16.8 1.18
  403.9 405.4 1.5 0.93 5.1 1.00
HGR-9 13.7 16.8 3.0 1.16 7.7 1.28
HGR-10 19.8 32.0 12.2 1.81 20.9 2.13
including 21.3 24.4 3.0 4.26 15.3 4.49
and 27.4 29.0 1.5 3.53 58.6 4.42
  48.8 50.3 1.5 2.77 12.2 2.96
  61.0 77.7 16.8 0.21 31.5 0.69
  129.5 138.7 9.1 0.20 8.3 0.32
Gold equivalent (AuEq) values calculated using a Ag:Au ratio of 66:1, based on a gold price of US$1160/oz and a silver price of US$17.60/oz. No Ag or Au recovery factors have been applied due to a lack of appropriate metallurgical data. All holes are inclined except for HGR-1. True widths are not known and additional modeling and drilling will be required to determine true widths. *Intervals for HGR-1 through HGR-8 previously reported 5 Aug 2010 and 11 Aug 2010.

Drill samples were collected at the drill site, transported to Sparks, NV and assayed by Inspectorate America of Reno, following standard industry practice. Gold results were determined using standard fire assay techniques on a 30 gram sample with an atomic absorption finish. Samples returning assays exceeding 10 grams Au per tonne were re-assayed using a gravimetric finish. Silver results were determined by ICP. Samples returning assays exceeding 200 grams Ag per tonne were re-assayed using a gravimetric finish. Rigorous QA/QC was employed including the insertion of standards and blanks into the sample stream.

The Rosebud property is an advanced exploration project consisting of 54 unpatented mining claims centered on the former Rosebud underground mine, which produced nearly 400,000 oz gold and 2,300,000 oz silver between 1997 and 2000. The underground operation mined three high-grade ore zones, with an average production grade of 0.416 oz Au/t, 2.42 oz Ag/t. Due to falling gold prices, the cut-off grade was increased from 0.15 oz Au/t to 0.18 oz Au/ton over the life of the mine, and mineralized material below the cutoff was not mined. An in-place, non-43-101-compliant Measured and Indicated Global resource of 242,000 oz Au, 2,130,000 oz Ag (6.81 million t @ 0.036 oz Au/t, 0.31 oz Ag/t), was calculated by Hecla at the close of mining in 2000. (This historical resource estimate was made by a source believed to be reliable, however the Company has not yet independently verified the estimate according to CIM standards and thus this historical estimate should not be relied upon.) The Harvest Gold 43-101 report on Rosebud can be accessed on the website at: http://www.harvestgoldcorp.com/pdfs/Rosebud_43101l_10Sept08.pdf

The Rosebud deposit is a high-grade low-sulfidation volcanic-hosted precious metals deposit, similar in origin, geologic setting, and mineralization style to other low-sulfidation gold deposits in northern Nevada, including the high-grade multi-million-ounce Sleeper and Midas deposits. The property is located in a highly mineralized portion of the Lovelock-Austin Mineral Belt, about 5 miles south of Allied Nevada's Hycroft mine.

The company has an option to acquire a 100% interest in the property, subject to a net smelter royalty.

Greg Hill, Certified Professional Geologist, the President of Harvest Gold Corp. (US), is the Qualified Person who has reviewed the contents of this news release.

Harvest Gold Corporation is a mineral exploration company working in Nevada, USA and Manitoba, Canada. In Nevada, the Company is exploring the 100% optioned Rosebud Mine property, and a generative gold property at Garcia Flats in the South Carlin Trend. In Manitoba, Harvest is exploring one group of claims in the Rice Lake Gold Belt of south eastern Manitoba and at Assean Lake, Manitoba.

This news release may contain forward-looking statements which include, but are not limited to, comments that involve future events and conditions, which are subject to various risks and uncertainties. Except for statements of historical facts, comments that address resource potential, upcoming work programs, geological interpretations, receipt and security of mineral property titles, availability of funds, uncertainties of resource and reserve estimations, and others are forward-looking. Forward-looking statements are not guarantees of future performance and actual results may vary materially from those statements. Fluctuations in metals prices, availability of financing, and general business conditions are all factors that could cause actual results to vary materially from forward-looking statements.

On behalf of the Board of Directors,

John Roozendaal
President
Harvest Gold Corporation

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Harvest Gold Corporation
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    (604) 986-2020 or Toll Free: 1-866-816-0118
    (604)-986-2021 (FAX)
    www.harvestgoldcorp.com
    or
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    (604) 689-2881