Melkior Resources Inc.

Melkior Resources Inc.

August 19, 2010 08:00 ET

Melkior Intersects 28.25 g/t Over 1.60 Metres on the Carscallen Gold Project, West Timmins Area, Ontario

Multiple and broadening intercepts continue to demonstrate high-grade nature of Carscallen system

OTTAWA, ONTARIO--(Marketwire - Aug. 19, 2010) - Melkior Resources Inc. ("Melkior") (TSX VENTURE:MKR) is reporting the latest 6 holes completed at Carscallen. Drilling has continued to intersect multiple zones of high-grade mineralization from the Zam Zam, Shenkman, and 1010 zones demonstrating the vertical continuity of these structures. Recent intercepts indicate the presence of multiple high-grade, sub-parallel structures at depth and may indicate a significant broadening of the gold mineralized package.

Based on the most recent results, which continue to indicate the association of high-grade gold mineralization with semi-massive pyrite bearing quartz veins and associated silica alteration a down-hole induced polarization survey has been completed.

The survey, which is in the process of being interpreted, initially suggests important sulphide mineralization below 500 metres depth, which is the target of the upcoming drilling. This survey, along with a systematic review of the results to date will be used in planning the next phase of drilling on the Carscallen Project.

The Carscallen Project shares approximately nine kilometres of common boundary with Lake Shore Gold Corp. The Zam Zam Shenkman gold bearing structures have been traced from surface to a depth of approximately 500 metres over a distance of approximately 1200 metres. These zones are six kilometres due east of the Lake Shore Timmins Mine and Thunder Creek gold deposit, which are currently nearing production.

Drill Results:

The attached table indicates the results from the latest six holes. Two of the holes, CAR-52-2010 and CAR-57-2010, were drilled to approximately 500 metres on the Shenkman and Zam Zam zones. The others were drilled to test an east-west structure south of the Shenkman. The results indicate a broadening of the mineralized structures at depth with a multiplicity of high grade gold intercepts.

Melkior also assayed additional intercepts in CAR-51-2010 and increased the previous released results to 12 metres grading 1.87g/t gold from 11 metres grading 1.78g/t gold (Press Release July 23td, 2010). This hole intersected the Shenkman zone at a vertical depth of 207 metres. 

Table 1: Significant Results.

Hole # From (metres) To (metres) Length (metres) Gold (g/t)
CAR-56-2010 80.35 81.55 1.20 7.65
including 80.35 80.85 0.50 17.70
CAR-56-2010 97.75 98.25 0.50 9.47
CAR-56-2010 145.00 145.75 0.75 1.70
CAR-56-2010 183.30 184.00 0.70 21.20
CAR-56-2010 303.15 303.65 0.50 2.31
CAR-56-2010 310.45 311.45 1.00 0.91
CAR-57-2010 61.10 62.00 0.90 4.76
CAR-57-2010 146.80 148.00 1.20 1.74
CAR-57-2010 188.90 190.50 1.60 28.25
including 188.90 190.40 0.50 89.50
CAR-57-2010 364.50 365.00 0.50 1.71
CAR-57-2010 368.20 368.70 0.50 0.91
CAR-57-2010 397.20 401.65 4.45 0.78
CAR-57-2010 417.90 420.70 2.80 0.74
CAR-57-2010 454.90 455.40 0.50 1.12
CAR-52-2010 466.00 466.50 0.50 1.63
CAR-53-2010 39.00 39.50 0.50 1.56
CAR-54-2010 157.80 158.40 0.60 3.31
CAR-51-2010 322.00 334.00 12.00 1.87

Drilling below the 500 metre level is planned to continue in late September after all the present data has been compiled and interpreted. The presence of numerous gold intercepts increasing at depth within a short distance of a new significant gold mine is highly promising for continued exploration at Carscallen. Melkior has approximately $6,000,000 in cash, which permits the company to continue and expand the exploration program in West Timmins.

Quality Assurance / Quality Control

Core processing included descriptive logging and systematic sampling for analysis. The drill core was sawed in half, with one half delivered to a commercial laboratory and the other half retained for future reference, gold assays were performed at ALS CHEMEX Laboratories in Val d'Or, Quebec. The processed samples were submitted to a standard Fire Assay with AA technique (Au-AA-23) and Inductively Coupled Plasma Emission Spectroscopy (ME-ICP-41) on a 30 gram sub-sample. Standards and blanks were inserted randomly into the sample shipments as part of the sampling protocol.

This Press Release was prepared by Jens E. Hansen, P.Eng, President of Melkior Resources Inc, Qualified Persons under National Instrument 43-101 with assistance from geologist Eric Hebert.

About Melkior:

Melkior is a junior exploration company with active exploration projects in West Timmins and the Mc Faulds "Ring of Fire" areas of Ontario. Melkior also holds a 49% interest in the Delta Kenty nickel-copper-platinum-palladium deposit in Ungava and has several other gold properties in Ontario and Quebec.

This press release may contain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to vary materially from targeted results. Such risks and uncertainties include those described in Melkior's periodic reports including the annual report or in the filings made by Melkior from time to time with securities regulatory authorities.

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.

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