TAC Gold Corp.

April 07, 2010 12:23 ET

TAC Gold Corp.: News Release

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 7, 2010) - TAC Gold Corp. (CNSX:TCG) (the "Company "or "TAC") -

TAC Gold Corp., a Vancouver based gold exploration company, announces it has entered into an option agreement to earn a 100% interest in the Iowa Canyon property located in Lander County, Nevada. In order to earn the 100% interest the Company is obligated to make cash payments of $300,000 and undertake work expenditures of $2,200,000 over a 7 year period with a $20,000 payment and $200,000 work commitment in the first year. The optionor will retain a 3% net smelter royalty.

Iowa Canyon Property Summary

The property, located in Lander County, Nevada is located approximately 30 miles southeast of the Cortez Hills deposit and 20 miles southwest of the Cove-McCoy mine. Access to the property is via paved highways, gravel and dirt roads.

This project represents a nearly untested exploration opportunity with several gold bearing targets within a six square mile area. Previous work conducted in the 1960's by Hemlo Gold and Brancote identified gold and silver bearing jasperoids within upper and lower plate sediments and Tertiary tuff as well as gold and molybdenum-rich porphyry dikes. Sampling by the above groups and Rio Algom assayed up to 5.6 g/t gold from select samples of jasperoid developed within the lower plate carbonates and 600 g/t silver from gossanous zones within upper plate siliceous rocks. A single drill hole on the western side of the property contains up to 800 ppm molybdenum and 0.2 g/t gold over ten foot widths. The lower plate Hanson Creek Formation, a favourable host rock for Carlin style mineralization, has been identified in both outcrop and drilling on the north, east and west portions of the project.

Goldfields West commencement of work

The company has initiated two CSMT geophysical surveys designed to find major offsets in the basement rocks beneath the Tertiary volcanics as these offsets indicate the location of major faults. Both surveys are located in areas where previous shallow drilling found thick intercepts of low-grade gold (50-300 feet @ 0.5-1.0 g/t gold). This gold is thought to be associated with a nearby feeder fault, but its exact location is currently uncertain. For example, the Gemfield deposit which is 5 miles to the northeast is located where a major feeder fault intersects the basal volcanics.

After the geophysical survey TAC plans on drilling deep RC/core holes to test any anomalies found. Environmental permitting of the drilling program is currently in progress and approval is expected very soon. Drilling is planned for May.

The technical information in this release has been reviewed and approved by Mr. Richard Kern, P. Geo., a 'qualified person', as defined by NI 43-101, Standards for Disclosure of Mineral Projects unless otherwise noted.

TAC Gold Corp. will continue to focus on the acquisition and development of gold projects in the western United States.

This press release includes "forward-looking statements" including forecasts, estimates, expectations and objectives for future operations that are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of TAC Gold Corp. Statements regarding future fund raising and completion of the Acquisition are subject to all of the risks and uncertainties normally incident with the raising of capital and completing corporate transactions including, but are not limited to, financing risks, inflation and costs of goods and services, property title issues and regulatory approvals. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. Such forward-looking information represents management's best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. TAC Gold Corp. does not assume the obligation to update any forward-looking statement, except as required by applicable law.

Contact Information

  • TAC Gold Corp.
    Drew N. Brass
    TAC Gold Corp.
    Graham B. Abbott