ATAC Resources Ltd.

ATAC Resources Ltd.

August 30, 2011 08:30 ET

ATAC Resources Cuts 32.01 Metres of 4.25 g/t Gold at Osiris Zone and Trenches New High-Grade Discovery 550 m Along Strike of Osiris

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 30, 2011) - ATAC Resources Ltd. (TSX VENTURE:ATC) is pleased to announce assay results for the first five diamond drill holes from the Osiris Zone as well as a new bedrock gold discovery, located within the Nadaleen Trend of the Company's wholly-owned 1,600 sq/km Rackla Gold Project in central Yukon. Assays results for all other drilled targets will be reported when results are received and compiled.

The Osiris Zone is one of four Carlin-type gold zones drilled to date within the Nadaleen Trend. Diamond drilling at the Osiris Zone is focused on expanding gold mineralization near last year's discovery hole that intersected 65.20 m of 4.65 g/t gold (see news release dated Sept 1, 2010). The 2011 Osiris Zone highlights and drill results are included below:

Hole ID Dip/Azimuth From (m) To (m) Interval (m) Au (g/t)
OS-11-023 -50°/090° 15.24 56.39 41.15 2.48
incl. 38.10 53.34 15.24 4.90
OS-11-026 -50°/270° No Significant Assays
OS-11-031 -50°/045° 39.62 71.63 32.01 4.25
incl. 52.86 63.45 10.59 11.04
OS-11-032 -50°/270° 119.44 124.97 5.53 4.73
OS-11-033 -50°/135° 104.55 131.06 26.51 1.46
incl. 126.65 131.06 4.41 4.04

Reported intersections are drilled thicknesses. True widths are not known as mineralization is controlled by both structure and bedding.

The first phase of 2011 drilling at the Osiris Zone was done with short step outs from 2010 drill intercepts to establish a better understanding of the structural and stratigraphic controls on gold mineralization. This work, combined with detailed mapping of trench and bedrock exposures, has identified two distinct, gold localizing structural settings. The first is a strong north trending, steeply dipping structural zone referred to as the Osiris Shear. The Osiris Shear parallels near vertical bedding in the west limb of the Osiris anticline. Gold-bearing intersections within drill holes OS-11-023, OS-11-031 and OS-10-001 (the 2010 discovery hole) occur where this shear system coincides with reactive limestone beds.

The second structural setting is a series of vertical shears that crosscut and offset south dipping beds in the east limb of the Osiris anticline. Gold mineralization here is best developed where reactive limestone beds are partially replaced with silica sinter and realgar. The current drill and hand trenching programs have intersected mineralization in both structural settings. Gold assays are pending for much of this work as assay turnaround times have been longer than anticipated.

Holes OS-11-026, OS-11-032 and OS-11-033 intersected the Osiris Shear within non-reactive dolomitized limestone that lies at the top of the Osiris limestone sequence in the apex of the anticline. These holes are interpreted to have drilled overtop the favorable stratigraphy and drilling is being redirected to fully assess that area.

The Osiris Shear system is approximately 50 m wide and has been traced along strike for a 550 m horizontal distance and a 300 m vertical distance from the top of Osiris Ridge to the new discovery called the Osiris North Zone. Between these locations, the Osiris Shear is interpreted to lie almost entirely within favorable limestone beds. The Osiris North Zone was discovered by excavator trenching a surface arsenic anomaly down to bedrock and exposing approximately 10 m of the Osiris Shear System. The Osiris North Zone Trench was truncated at both ends due to thick overburden.

Assay results from representative grab samples of the various rock units in the Osiris North Zone trench are presented below:

Au (g/t) Osiris North Zone Trench Character Samples
3.95 Grey decarbonatized limestone with realgar
22.60 Sheared grey clay with realgar
12.50 Decarbonatized brown limestone with realgar
4.16 Black decarbonatized limestone
6.24 Scorodite altered decarbonatized limestone

Assay results from chip samples from the Osiris North Zone Trench are presented below:

From (m) To (m) Interval (m) Au (g/t) Osiris North Zone Trench Chip Samples
0 1.80 1.80 80.40* Sample taken along sub-horizontal shear with realgar and grey clay alteration
1.80 2.80 1.00 63.70* Sample taken along sub-horizontal shear with realgar and brown oxide
0 1.52 1.52 29.40* Oxide material around sub-horizontal shear
0 9.50 9.50 3.07 Representative chip sample across face of trench above sub-horizontal shear

* Samples collected along the exposed length of select zones of sub-horizontal shears that are part of the larger Osiris Shear system. The altered zones sampled in the trench are incompletely exposed parts of connective structures that cross the Osiris Shear system. The style and intensity of alteration is not representative of the Osiris shear system as a whole and samples do not represent true width. The mineralization and type of alteration at the Osiris North Zone, however, are significant and they are similar to those in higher grade Carlin-type systems.

In the near term, two drills will continue to test the higher elevation parts of the Osiris Shear system with a series of widely spaced drill locations along strike toward the Osiris North Zone trench. Diamond drilling will be conducted beneath the Osiris North Zone exposure and along the trace of the lower elevation portions of the Osiris Shear later in the field season for logistical reasons. An annotated photo of the Osiris North Zone trench and a drill hole plan map can be viewed on ATAC's website.

An additional drill is being added within the next week to the two drills currently testing the Conrad Zone where hole OS-11-10 intersected 114.93 m grading 3.15 g/t gold (see news release dated July 6, 2011). A sixth drill will begin operation by the end of the month. It will be used to test priority exploration targets identified during the 2011 sampling and prospecting in the Osiris area.

Samples were forwarded to ALS Minerals in Whitehorse, Y.T. where they were fine crushed before a 250 gram split was pulverized to better than 85% passing 75 microns. The pulverizing circuit was cleaned with quartz sand twice between samples. Pulps were then sent to ALS Minerals in North Vancouver, B.C. where gold determinations were carried out and splits of the pulverized fraction were routinely dissolved in aqua regia and analyzed for 49 elements using inductively coupled plasma (ICP) together with mass spectrometry (MS) or atomic emission spectroscopy (AES). Gold analyses were by the Au-AA26 procedure that involves fire assay preparation using a 50 gram charge with an atomic absorption spectroscopy finish and mercury analyses are performed using atomic absorption spectroscopy (AAS).

Rigorous procedures are in place regarding sample collection, chain of custody and data entry. Certified assay standards, duplicate samples and blanks are routinely inserted into the sample stream to ensure integrity of the assay process.

The technical information in this news release has been reviewed by Robert C. Carne, M.Sc., P.Geo., a qualified person for the purpose of National Instrument 43-101.

About ATAC

ATAC is a well-funded, Yukon-based exploration company focused on developing Canada's only Carlin-type gold discovery at its 100% owned, Rackla Gold Project. For additional information concerning ATAC Resources Ltd., please visit our website at

On behalf of the Board,

Graham Downs, CEO

This news release may contain forward looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and other risk factors

Neither the 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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