Batero Gold Corp.
TSX VENTURE : BAT

Batero Gold Corp.

October 31, 2011 09:23 ET

Batero Gold Drills Vertical Hole at La Cumbre Intersecting 212.00 Metres Grading 1.01 g/t Gold and 0.15% Copper From 3.00 Metres Below Surface

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 31, 2011) - Gold Corp. (TSX VENTURE:BAT) is pleased to report the latest drill results from its 56,000-metre 2011 diamond drill program on the Company's 100-per-cent-owned Batero-Quinchia project in Risaralda, Colombia. A total of five holes (1,712.04 metres) are being released and the Company has now reported results for 62 holes (28,761.56 metres) drilled. Three drill holes reported are located at La Cumbre and two drill holes at Matecana. (to view the Project Plan Map, please click the following link: http://media3.marketwire.com/docs/BAT_OCT31_FIG3a.pdf).

The three drill holes at La Cumbre (LC018, LC021 and LC023) were collared along an east-west fence spanning a distance approximately 200.00 meters (to view Figure 1 – La Cumbre drill hole locations along the East-West fence, please click the following link: http://media3.marketwire.com/docs/BAT_OCT31_FIG1.pdf). These drill hole results, specifically LC023, are some of the most significant to date reported at La Cumbre porphyry.

Highlights at La Cumbre include:

  • LC018 is a vertical hole intersecting from 70 metres below surface 400.00 metres grading 0.54g/t gold and 0.11 % copper; including 152.0 metres grading 0.80 g/t gold and 0.15 & copper.

  • Angled drill hole LC021 intersected 6.00 meters below surface 182.00 metres grading 0.61 g/t gold and 0.15% copper; including 137.00 metres grading 0.71 g/t gold and 0.16% copper.

  • LC023 is a vertical hole intersecting from 3.00 metres below surface, 352.09 metres grading 0.75 g/t gold and 0.13% copper; including 212.00 metres grading 1.01 g/t gold and 0.15% copper; including 118.00 metres grading 1.22 g/t gold and 0.15% copper. The drill hole remained in mineralization with the last 10.29 metres grading 0.34 g/t gold and 0.08% copper (to view Figure 2 – Strip Log of Drill Hole LC02, please click on the following link: http://media3.marketwire.com/docs/BAT_OCT31_FIG2.pdf – all strip logs of all drill holes released to date at the project can be viewed at www.baterogold.com).

"We are pleased with the continued successful results from the drilling at La Cumbre porphyry including drill hole LC023 which has returned to date at the project the longest mineralized intercept grading greater than 1.0 g/t gold. This was near surface and continues to contribute to the growth of the surface footprint of elevated gold and copper grade at the Project. Also, the result from LC023 has both extended the eastern boundary of the porphyry and has also enhanced the overall grade of the porphyry in this sector while remaining open at depth," stated Brandon Rook, President and CEO.

There are results pending from two additional vertical holes completed along this east-west fence (LC027 and LC028) that systematically step-out 50 metres east from LC023 and with positive results can further expand the eastern boundary and overall size of the porphyry significantly (see Figure 1). The furthest east vertical drill hole, LC028, is also located approximately 75 metres west from the Cumbre artisanal mines in the Amarilla Structural Corridor, host to near surface epithermal gold mineralization. Results will be released once received, analyzed, and verified.

Matecana results:

In the Matecana zone, Hole QAP-DDH-036 was drilled from the same platform as holes QAP-DDH-012, 021 and 028 which yielded a new discovery of porphyry mineralization at or near surface (News Release of July 27, 2011). The platform is located approximately 100 meters east of the Amarilla Structural Corridor in medium grained diorite. Holes QAP-DDH-036 and 028 were drilled towards the northwest and did not intersect mineralization. In contrast, holes QAP-DDH-012 AND 021, drilled to intersect the Amarilla Structural Corridor did intersect gold mineralization (see linked Project Plan Map and www.baterogold.com in the project section for past results).

Hole MT001 was collared approximately 75 meters north of QAP-DDH-036 near the western limit of the Amarilla Structural Corridor. The hole, collared in medium grained diorite and drilled southeasterly towards the Amarilla Structural Corridor, intersected two zones of gold mineralization (Table 1).

Corporate Update:

The Company announces that it has added an additional 1,000 metres to the 2011 exploration and delineation drill program which now totals 56,000 metres. The drill program is scheduled to complete after the first week of November, 2011. As of October 30, 2011 55,000 metres of drilling has been completed. The Company anticipates following up the aggressive 2011 drill campaign with an initial resource estimate comprising approximately 4,000 metres of historic drilling and all drilling completed in 2011 totaling approximately 60,000 metres. The initial resource estimate is anticipated to be finalized at the end of the year.

Batero Gold Corp was recently added to the S&P/TSX Venture Select Index which took effect on October 24, 2011.

And lastly, the Company has prepared a 3-Dimensional representative video to portray gold mineralization intersected through drilling activities thus far. This model will be updated as additional results become available: (http://www.youtube.com/watch?v=ZyGxnZiXiHE).

Table 1 & 2 below summarize assay results and see attached Project Plan View Map showing drill hole locations.

Table 1- Intersections Table
Hole From (m) To (m) Interval (m)* Au (g/t) Cu (%)
LC018 70.00 470.00 400.00 0.54 0.11
including 272.00 424.00 152.00 0.80 0.15
and 492.00 562.00 70.00 0.32 0.09
LC021 6.00 188.00 182.00 0.61 0.15
including 6.00 143.00 137.00 0.71 0.16
and 259.00 363.00 104.00 0.47 0.08
and 375.00 427.00 52.00 0.24 0.08
LC023 3.00 355.09 352.09 0.75 0.13
including 3.00 215.00 212.00 1.01 0.15
including 3.00 121.00 118.00 1.22 0.15
MT001 31.000 45.00 14.00 0.33 0.05
and 72.00 93.00 21.00 0.48 0.06
QAP-DDH-036 No significant intersections – drill shut-down after 65 metres
*Interval length represents down hole distance and not true width with the exception of LC023 and LC018 which are vertical holes

Table 2 - Drill Hole Specifications
Hole Easting Northing Elevation Azimuth Dip EOH (m)
LC018 420950.40 585304.99 1868.42 0 -90 611.70
LC021 420885.20 585306.48 1873.90 275 -50 465.60
LC023 421090.04 585293.32 1841.84 0 -90 355.09
MT001 421622.21 584877.00 1611.55 112 -50 214.65
QAP-DDH-036 421610.50 584815.62 1587.00 290 -60 65.00

To see all maps and figures, please visit www.baterogold.com.

Sample preparation, assays and quality assurance/quality control

Core is collected and initially logged at Batero Gold's drilling camp at the project area. The core is then shipped securely in core boxes to Batero's core processing facility in Pereira, Colombia, where it is logged in detail, cut and sampled. All QC samples are introduced before shipment to ALS Chemex's sample preparation facilities in Bogota, or Medellin, Colombia. Prepared samples are then shipped to ALS's analytical facilities in Lima, Peru or La Serena, Chile for analyses. Gold is fire-assayed using a 50.0 gram aliquot sample and Atomic Absorption finish (AA). Multi-element analysis is achieved by Four Acid Digestion and an Induced Coupled Plasma (ICP) finish.

The Company's QA/QC program includes the regular insertion of blanks, multiple certified assay standards and duplicate samples into the sample shipments. These QC samples are inserted in every assay batch, which is composed of 25 samples. Regular monitoring of these QC samples is a critical part of Batero Gold Corps QA/QC protocols.

Darren Anderson, P.Geo., is the Company's QA/QC consultant.

Kieran Downes, Ph.D., P.Geo., a qualified person as defined by National Instrument 43-101, is responsible for the technical information provided in this release.

ON BEHALF OF THE BOARD OF BATERO GOLD CORP.

Brandon Rook, President & CEO

Batero Gold Corp.

About Batero Gold:

Batero Gold Corp. (TSX VENTURE:BAT) is a Vancouver-based precious and base metals exploration and development company focused in Colombia's emerging and prolific Mid-Cauca porphyry gold and copper belt. Batero is located within the Quinchia district and has 100% ownership in the Batero-Quinchia Project, comprising a 1407 hectare tenement. The Batero-Quinchia Project includes three known gold-copper porphyry centres. The Quinchia district and Batero's project is considered socially stable and mining friendly and is supported with a comprehensive infrastructure network. Batero has assembled a strong management and technical team in Colombia that has contributed to numerous significant discoveries throughout Colombia. Batero plans to leverage its strategic share structure with strong local and regional relationships, and long-term financial partners, to develop its prospective project into what the Company believes will be Colombia's next major mining venture.

FORWARD-LOOKING STATEMENTS: Certain of the statements and information in this press release constitute "forward-looking statements" or "forward-looking information". Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects", "anticipates", "believes", "plans", "estimates", "intends", "targets", "goals", "forecasts", "objectives", "potential" or variations thereof or stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information. Forward-looking statements or information relate to, among other things: the timing and scope of expected diamond drilling; the timing of the delivery of a resource estimate on the Batero-Quinchia project; potential existence and size of mineralization within the Batero-Quinchia project; timing of receipt of permits and regulatory approvals; the sufficiency of the Company's capital to finance the Company's operations; geological interpretations and potential mineral recovery processes.

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: fluctuations in the spot and forward price of gold or certain other commodities; changes in national and local government legislation, taxation, controls, regulations and political or economic developments in Canada, Colombia or other countries in which the Company may carry on business in the future; the uncertainties involved in interpreting geological data; business opportunities that may be presented to, or pursued by, the Company; operating or technical difficulties in connection with mining activities; the speculative nature of gold exploration and development, including the risks of obtaining necessary licenses and permits; diminishing quantities or grades of reserves; and contests over title to properties, particularly title to undeveloped properties. In addition, there are risks and hazards associated with the business of gold exploration, development and mining, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins, flooding and gold bullion losses (and the risk of inadequate insurance, or the inability to obtain insurance, to cover these risks).

This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company's Filing Statement dated as of June 22, 2010 under the heading "Risk Factors". Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information.

The Company's forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management's assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

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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