Plato Gold Corp.
TSX VENTURE : PGC

Plato Gold Corp.

December 08, 2009 10:09 ET

Plato Gold Reports High-Grade Gold Intersection at Nordeau East Property

TORONTO, ONTARIO--(Marketwire - Dec. 8, 2009) - Plato Gold Corp. (TSX VENTURE:PGC) ("Plato") an exploration company with a portfolio of properties in the prolific gold mining camps of Northern Ontario, Northern Quebec, and Santa Cruz, Argentina, is pleased to announce significant drill-core assay results from Holes NE09-01 and NE09-02, on its Nordeau East property 40 km east of Val-d'Or, Quebec. To date, 12 holes totaling 5,019 metres of the ongoing 6,000 metre, 14-hole exploration program (the "Project") have been completed on the contiguous Nordeau East and Bateman East properties.

Plato has received assays from the first two holes of the drilling campaign: Hole NE-09-01 successfully intersected the targeted mineralized zone from 294.00 m to 299.50 m. The mineralized intersection yielded a grade of 14.35 g/t Au over the 5.50 metre interval. Hole NE-09-02 intersected the targeted mineralized zone from 223.30 m to 230.00 m, and yielded an average grade of 8.01 g/t Au over the 6.70 metre interval.

"I am extremely pleased and encouraged by our drill results. These very impressive gold intersections at Nordeau East indicate that Plato Gold Corp. likely has a significant new gold resource in Val-d'Or, Quebec that is open at strike-length, depth and in all directions. Plato's technical team has done a first-rate job. I'm optimistic about our future given our existing gold resource at Nordeau West, our exciting Santa Cruz property in Argentina, and our Timmins properties.," said Anthony Cohen, President and CEO. "We have a good partnership with Globex Mining Enterprises Inc. and Quebec is the best mining jurisdiction in the world in which to operate."

The following table presents the analytical results from the mineralized intersections from holes NE09-01 and NE09-02. Gold (Au) values are in grams per tonne (g/t).

HoleFromToInterval (m)Au 11Au 22  MS3Au Final4
        
NE09-01294.00295.501.501.103.15 2.13
 295.50296.400.9057.10 74.70*74.70
 296.40297.000.600.080.06 0.07
 297.00298.001.006.306.72 6.51
 298.00299.501.501.231.37 1.30
   5.50   14.35
        
NE09-02223.30224.401.100.760.59 0.68
 224.40225.401.0043.10 34.40*34.40
 225.40226.401.0018.65 14.9514.95
 226.40227.401.000.620.40 0.51
 227.40228.901.500.390.58 0.49
 228.90230.001.102.012.18 2.10
   6.70    8.01

1 Initial fire assay
2 Check fire assay
3 Total metallic sieve fire assay of coarse crush reject
4 Au Final is the average of the two fire assays or the metallic sieve result, when available
* Visible gold noted within sample interval during drill core logging

Holes NE09-01 and NE09-02 were collared 150 metres apart along the same northing, on the western part of the Nordeau East Property. Both holes were designed to target the projected down-dip extension of a possible zone of mineralization that was intersected by holes PG-06-11 and PG-06-15, drilled in 2006. Hole PG-06-11, located at half the distance between holes NE09-01 and NE09-02 but further south, intersected a zone of mineralization grading 5.97 g/t Au over 4.5 metres at a vertical depth of approximately 40.00 metres, whereas hole PG-06-15 located 50m east of PG-06-11 intersected gold mineralization grading 6.50 g/t Au over 1.00 metre at a corresponding vertical depth. The reported intersections from hole NE09-01 (272 metres vertical) and hole NE09-02 (204 metres vertical) align well with the extension of the 340º/70º orientation projected from the 2006 intersections. It remains to be conclusively determined whether the intersections from these four holes correspond to a single continuous zone or a series of en-echelon lenses.

Results of the detailed metallic sieve assays for the 3 samples that initially assayed greater than 10 g/t Au by fire assay methods (two of which contained visible gold), show that on average, 59% of the gold content is hosted by the -150 mesh fraction indicating that the reported high gold values are not the result of a "nugget effect".

Following the receipt of preliminary assay results, the technical team made the decision to halt drilling on the Bateman East Property after the second of five proposed holes was completed, and the drill rig was moved back to Nordeau East. On Dec 2nd, a new hole (NE09-07) was collared half way between NE09-01 and NE09-02. This hole intersected a mineralized zone between 300.00 and 310.00 metres down hole. Assay results are pending. Another hole, NE09-10, was drilled on Dec 4th and Dec 5th, at the same location as NE09-07, but at a shallower angle (-50º rather than -70º). A zone of alteration and sulphide mineralization was intersected and sampled – assay results are pending. The third new hole (NE09-11) is a 100 metre step-back hole that will undercut the new zone in order to test down dip continuity. Hole NE09-11 was collared on Dec 6th and is expected to intersect the mineralized target zone at the 400 metre mark.

The Nordeau East Property lies within a highly sheared sequence of altered greywacke, iron formation and mafic volcanic rocks along the eastern extension of the prolific "Larder Lake - Cadillac Break", in the Abitibi Greenstone Belt. The gold mineralization typically occurs within quartz veins containing disseminated to locally semi-massive sulphides. Gold is found as free grains within quartz veins and with associated sulphide mineralization that consists of arsenopyrite, pyrite, pyrrhotite, and minor chalcopyrite.

The Nordeau East drilling program is being supervised by Martin Bourgoin P.Geo. and John Langton M.Sc. P.Geo., who are the Project's Qualified Persons under the guidelines of National Instrument 43-101. The Project's Qualified Persons have verified the data disclosed in the press release, including the analytical and test data disclosed herein.

Complete assay results, location maps and drill sections are available on Plato's website at: www.platogold.com.

QA/QC Procedures

The Company has implemented a quality control program to ensure best practices in sampling and analysis of the core samples. The core is logged and then split. Half of the core is sent for assay, and half retained for verification and reference purposes. Duplicates, standards and blanks are inserted randomly into the sample stream. The samples are delivered, in security bags, directly to ALS-Chemex Laboratories Ltd. in Val-d'Or, Quebec for analysis. Samples with visible gold are analyzed by total metallic sieve fire assay methods, whereas the remaining samples undergo conventional fire assaying. For the reported intersections, total metallic screen check assays were completed on the remaining coarse crush reject for all samples reporting greater than 10 g/t Au from the initial fire assay. Other samples within the intersection below 10 g/t Au were check fire assayed from original pulps. The final reported gold grade for a sample is the metallic screen result, when available, otherwise, it is the average of the two fire assays.

The accredited ALS-Chemex Laboratories Ltd. of Val-d'Or, Quebec is the only assay laboratory being used for lithogeochemical analyses. ALS Chemex has attained ISO 9001:2000 registration, which requires evidence of a quality management system covering all aspects of the assaying process. To ensure compliance with this system regular internal audits are undertaken by staff members specially trained in auditing techniques.

About Plato Gold Corp.

Plato Gold Corp. is a Canadian junior gold exploration company listed on the TSX Venture Exchange with exploration projects in Northern Ontario, Northern Quebec and the Lolita Property in the province of Santa Cruz, Argentina.

The Northern Ontario project includes 5 properties: Guibord, Harker, Harker-Garrison, Holloway and Marriott in the Harker/Holloway gold camp located east of Timmins, Ontario.

The Northern Quebec project includes 7 properties: Nordeau Bateman, Vauquelin, Vauquelin Pershing, Vauquelin Horseshoe, Pershing Denain, Hop O'My Thumb and Once Upon a Time. All 7 properties are located near Val-d'Or, Quebec.

Plato is in the advanced exploration stage on the Nordeau West site with a NI 43-101 compliant gold resource reported on March 12, 2009. Highlights of the Nordeau West mineral resource update include:

  1. indicated resources of 30,212 oz Au on average grade of 4.17 g/t and 225,342 tonnes; and
  2. inferred resources of 146,315 oz Au on average grade of 4.09 g/t and 1,112,321 tonnes.

On August 8, 2006, the Company entered into an option agreement with Globex Mining Enterprises Inc. to acquire a 100% interest in mineral claims known as the Nordeau East and Nordeau West Property in Vauquelin Township, Quebec, and a 60% interest in certain contiguous mineral claims known as the Bateman Claims in Vauquelin Township, Quebec ("Nordeau Bateman Properties"). For the current year, the Company must incur aggregate exploration expenditures of $3 million by December 31, 2009, of which $2,406,777 had been incurred as of November 28, 2008 last year. Furthermore, the Company must complete the next payment of $125,000 and issuance of 500,000 common shares by December 31, 2009. The Company expects to meet all 2009 requirements on or before December 31, 2009.

In Argentina, the Lolita Property is comprised of 3 contiguous concessions and initial work has been started on this property. For additional company information, please visit: www.platogold.com.

Forward Looking Statements

This news release contains "forward-looking statements", within the meaning of applicable securities laws. These statements include, but are not limited to, statements regarding potential mineralization and resources, exploration results, and future plans and objectives. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, use of proceeds, level of activity, performance or achievements of Plato to be materially different from those expressed or implied by such forward-looking statements, including but not limited to risks related to: exploration; actual resource viability, and other risks of the mineral exploration and mining industry . Although management of Plato has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not undertake to update any forward-looking statements herein, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws.

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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