Atacama Pacific Gold Corporation
TSX VENTURE : ATM

Atacama Pacific Gold Corporation

March 09, 2012 08:00 ET

Atacama Pacific Announces Further Results from Cerro Maricunga Drilling Including 144 Metres Grading 1.02 g/t Gold

TORONTO, ONTARIO--(Marketwire - March 9, 2012) - Atacama Pacific Gold Corporation (TSX VENTURE:ATM) ("Atacama Pacific") is pleased to report further drill results the ongoing Phase III drill program at its Cerro Maricunga Gold Project, located 140 kilometres northeast of Copiapo, Chile. Drill assay highlights include:

  • 1.02 grams per tonne gold ("g/t Au") over 144 metres (CMD-104) from the Crux Zone
    • including 34 metres at 2.11 g/t Au; and,
  • 0.74 g/t Au over 278 metres (CMD-111) from the Lynx Zone
    • including 46 metres at 1.29 g/t Au.

A summary of the drill results is presented in Table 1.

Initial Phase III drilling has focused on increasing the size of the Crux Zone which represents the southern centre of gold mineralization along the 2.5 kilometre northwesterly trending Cerro Maricunga oxide gold deposit. The Crux Zone was not fully outlined during the Phase II drill program. A higher grade core zone of gold mineralization measuring approximately 300 metres by 200 metres and extending to depth has been identified at the Crux Zone. This higher grade zone was cut by CMD-104 (1.02 g/t Au over 144 metres) following up on previous results from CMR-098 (1.54 g/t Au over 96 m) and CMD-001 (1.53 g/t Au over 92 m).

In addition to outlining a higher grade core zone, the current drilling at the Crux Zone has pushed the northeast contact of the Zone outwards a further 100 metres for a total width in excess of 450 metres. The mineralization remains partially open to the northeast and is open to depth.

At the southern end of the Phoenix Zone, on section 1150, drill hole CMR-110 cut a broad zone of lower grade mineralization, 116 m grading 0.36 g/t Au starting from surface, which was previously unknown. This was followed by further zones of 0.2 to 0.3 g/t Au down hole including 50 metres grading 0.26 g/t Au. This intercept represent a new zone of low grade gold immediately adjacent and parallel to the main mineralized trend.

"The drill results are largely as anticipated with positive surprises at the Crux Zone such as the widening of the zone as well as the identification of a higher grade core of gold mineralization", said Carl Hansen, President and CEO of Atacama Pacific. "Drilling continues to progress well with over 27,000 metres from the budgeted 42,000-metre Phase III campaign completed to date. The engineering scoping study is also progressing with a late Q2 delivery date anticipated."

Table 1 - Summary of Cerro Maricunga Drill Assay Results
Hole # Section From To Interval Grade* Zone Notes
(metres) (metres) (metres) (g/t Au)
CMD-093 1400 50 72 22 0.37 Crux
166 186 20 0.66
288 302 14 0.42
416 430 14 0.40
CMD-096 1500 20 38 18 0.50 Phoenix
64 108 44 0.71
254 274 20 0.51
306 318 12 0.40
CMD-099 1550 266 366 100 0.41 Phoenix at a 0.2 g/t cut-off grade
including 318 366 48 0.57
380 394 14 0.57
412 422 10 0.57
436 460 24 0.57
CMD-104 400 24 44 20 0.53 Crux
120 342 222 0.78 at a 0.2 g/t cut-off grade
including 122 266 144 1.02
including 124 158 34 2.11
and 166 192 26 1.24
CMR-106 450 48 142 94 0.71 Crux
including 80 96 16 1.63
CMR-107 500 0 18 18 0.41 Crux
180 210 30 0.37
222 236 14 0.34
CMR-109 500 32 52 20 0.40 Crux
96 108 12 0.41
166 188 22 0.41
314 326 12 0.38
CMR-110 1150 0 116 116 0.36 Phoenix at a 0.2 g/t cut-off grade
including 0 14 14 0.67
and 60 88 28 0.51
CMD-111 2200 112 424 312 0.69 Lynx at a 0.2 g/t cut-off grade
including 140 418 278 0.74
including 238 284 46 1.29
and 298 332 34 1.38
CMR-112 700 no significant results Crux
CMR-113 550 no significant results Crux
CMR-114 450 12 50 38 0.46 Crux
CMR-115 550 28 130 102 0.61 Crux
144 164 20 0.54
CMR-116 450 64 182 118 0.39 Crux at a 0.2 g/t cut-off grade
including 90 104 14 0.39
and 116 146 30 0.73
292 304 12 0.35
326 344 18 0.54
CMR-118 650 12 36 24 0.40 Crux
CMR-120 1750 6 24 18 0.41 Phoenix
82 92 10 0.34
158 216 58 0.59
264 290 26 0.39
CMR-124 2350 0 28 28 0.49 Lynx near northern end of zone
52 72 20 0.39
204 216 12 0.57
230 248 18 0.83
284 344 60 0.91
including 302 336 34 1.27
CMR-125 1350 88 198 110 0.30 Phoenix at a 0.2 g/t cut-off grade
including 98 146 48 0.39
CMR-129 550 0 154 154 0.59 Crux
including 48 66 18 1.04
Notes: Drill holes prefixed "CMD" are diamond drill holes; holes prefixed "CMR" are RC drill holes. All intervals represent down-hole lengths and not true widths. Unless otherwise noted, reported gold grades are composited at a 0.3 g/t Au cut-off.

Renmark Financial

Atacama Pacific has retained the services of Renmark Financial Communications Inc. ("Renmark") to assist in its marketing initiatives. Renmark is an established firm providing marketing services to the Canadian publically-listed companies. In consideration of the services to be provided, the Company has agreed to a contractual arrangement at a monthly retainer of $7,000. Renmark does not have any interest, directly or indirectly, in Atacama Pacific Gold Corporation or its securities, or any right or intent to acquire such an interest.

About Atacama Pacific Gold Corporation

Atacama Pacific's principal business is the acquisition, exploration and development of precious metals resource properties in Chile. Atacama Pacific's primary mineral property is the Cerro Maricunga oxide-associated, breccia-hosted gold project. Atacama Pacific's goal is to become a producer of gold through the exploration and development of the Cerro Maricunga Gold Project. Atacama Pacific also owns four other mineral properties within close proximity to the Cerro Maricunga Project and a fifth property in Chile's Region I.

The Cerro Maricunga resource estimate stands at 1.62 million ounces of gold (92.8 million tonnes grading 0.54 g/t Au) in the indicated category with a further 1.95 million ounces (116.7 million tonnes grading 0.52 g/t Au) in the inferred category. The resource estimate was based upon a cut-off grade of 0.3 g/t Au.

National Instrument 43-101 Compliance

The Cerro Maricunga resource estimate was prepared under Canadian Institute of Mining, Metallurgy and Petroleum Definition Standards (2005). Michael Easdon is the independent qualified person, as defined by National Instrument 43-101 ("NI 43-101"), for the resource estimate. SRK Consulting (Chile) S.A undertook to prepare and is responsible for the resource estimate. Joled Nur, Geostatistical Engineer for SRK Consulting (Chile) and a member of the Australasian Institute of Mining and Metallurgy, is the qualified person who prepared the resource estimate. For further details on the resource estimate, please review Atacama Pacific's August 24, 2011 press release. Mr. Easdon, an independent qualified person as defined by NI 43-101, has reviewed and verified the contents of this press release.

FORWARD LOOKING STATEMENTS

This release contains forward-looking statements, including predictions, projections and forecasts. Forward-looking statements include, but are not limited to, statements with respect to completion of economic assessments, exploration results, the success of exploration activities generally, mine development prospects, and future gold production Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "planning", "expects" or "does not expect", "continues", "scheduled", "estimates", "forecasts", "intends", "potential", "anticipates", "does not anticipate", or "belief", or describes a "goal", or variation 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 involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the results of due diligence activities, the interpretation and actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of gold; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors disclosed in Atacama Pacific's publicly filed documents. Although Atacama Pacific has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking 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.

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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