Bellhaven Copper & Gold Inc.
TSX VENTURE : BHV

Bellhaven Copper & Gold Inc.

April 20, 2011 07:11 ET

Bellhaven Drills Promising First Hole at El Limon Prospect, La Mina, Colombia

Prior Drill Hole at the Middle Zone Prospect Cuts Multiple Gold-Copper Intercepts

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 20, 2011) - Bellhaven Copper & Gold Inc. (TSX VENTURE:BHV) ("Bellhaven" or the "Company") is pleased to announce that DDH-21, the first drill hole targeting the El Limon prospect at La Mina, cut a 67-m wide intercept containing 0.25 g/t gold in rocks interpreted to represent the margins of a potentially productive porphyry gold deposit.

Paul Zweng, Bellhaven's Interim CEO and Director, commented as follows:

"The results of the first hole targeting El Limon are highly encouraging. At La Mina, the best gold and copper grades occur in rocks located about the core of the deposit (e.g., ~0.85 g/t gold and 0.35% copper—see drill results reported from the La Cantera prospect located approximately 1 km to the south). The presence of epidote with K-silicate altered rocks throughout the 67-m intercept suggests the drill hole cut the outermost edge of the deposit's core. Given its "fringe" position, it is remarkable that DDH-21 cut a wide zone assaying at-or-just below the inferred cut-off grade (starting at 293 m). This suggests that the core of El Limon may be located nearby, perhaps only 100 m away. We look forward to drilling our second hole at El Limon targeting the upper portions of the deposit's core. We have a good idea that this target likely lies to the northwest, towards the center of the magnetic anomaly."

Middle Zone: DDH-20

The prior drill hole (DDH-20) was collared at the Middle Zone prospect, located between the El Limon prospect to the north and the La Cantera prospect to the south. This hole cut a nearly continuous zone of gold-copper contained within four intercepts located between 60 and 234 m down the hole:

Table 1.DDH-20 Gold-Copper Intercepts, Middle Zone, La Mina
Intercept
Number
From
(m)
To
(m)
Intercept
(m)
Au
(g/t)
Cu
(%)
AuEq
(g/t)
160.00138.0078.000.380.200.72
2145.00167.0022.000.220.230.61
3183.00191.008.000.310.340.89
4204.00233.8029.800.250.220.63
Intercepts calculated using a 0.40 g/t AuEq cut-off grade. AuEq (g/t) = gold equivalent (g/t)
AuEq (g/t) calculated assuming a long-term gold price of $900/oz and a long-term copper price of $2.25/lb.
No adjustment has been made for metallurgical recoveries or net-smelter returns as these remain uncertain at this time.
AuEq formula: AuEq g/t = Au g/t + [(Cu% x 22.0462 x 2.25)/(900/31.1035)] g/t

Although these intercepts are lower in grade than those typically reported at the remarkably high-grade La Cantera porphyry gold prospect to the south, these grades are comparable to those for Xietongmen/Newtongman (Tibet) and Mt Milligen (British Colombia), the two most recently acquired porphyry gold projects (see Table 2 below):

Table 2.The Two Most Recent Global Acquisitions Pertaining to Porphyry Gold Deposits
ProjectResource (Mt)Au (g/t)Cu (%)AuEq (g/t)Transaction DetailsDate
Xietongmen &
Newtongman (Tibet)
873.50.340.250.77Jinchuan Group to acquire 100% of Continental Minerals for C$432 millionSept
2010
Mt Milligan
(British Colombia)
727.20.330.180.64Thompson Creek to acquire 100% of Terrane Metals for C$680 millionJuly
2010
Sources: Continental Minerals Corp. technical report dated 15 May 2009; Terrane Metals Corp technical report dated 23 Oct 2009

Paul Zweng, Bellhaven's Interim CEO and Director, commented as follows:

"Although the Middle Zone has returned some nice intercepts (e.g., 94 m @ 0.76 g/t gold and 0.39% copper in DDH-12 and 77 m @ 0.70 g/t gold and 0.27% copper in DDH-13), its average grade will likely be lower than our high-grade La Cantera porphyry gold prospect located 500 m to the south. Instead, the grades reported from this last drill hole at Middle Zone are comparable to many porphyry gold projects elsewhere, including the last two that were acquired, namely the Xietongmen/Newtongman and Mt Milligen projects (see Table 2 above). Although much work needs to be done, we currently believe that La Cantera will supply the initial, high-grade feed for a potential mining operation at La Mina, and that the Middle Zone (and/or possibly other prospects nearby) will provide subsequent feed once La Cantera is exhausted and/or the mining operation is more mature."

"Our plan remains on track to drill three or four more holes to define the limits of the La Cantera prospect so that we can place La Cantera into a NI 43-101 resource before year end. After these holes are completed at La Cantera, we will return to drill additional holes at the Middle Zone and El Limon. As well, we are eager to drill the untested prospects at La Mina, namely Filo de Oro where we announced on March 9th an average grade of 0.7 g/t gold across 22 meters in a trench that remains open at both ends. With two diamond-core rigs now operating at La Mina, we are confident that we can deliver on this plan."

Please see Table 3 below for more data related to DDH-20 and DDH-21. For a map showing the locations of DDH-20 and -21, please use the following link: http://media3.marketwire.com/docs/b419.pdf

Table 3.Drill-Hole Data for DDH-20 and -21, La Mina, Colombia.
Hole NumberEast UTM Coord (meters)North UTM Coord
(meters)
Elevation
(m.a.s.l)
Azimuth
(degrees)
Plunge
(degrees)
Total Length
(meters)
LM-DDH-20419,100.00655,300.001,957.9178.7-57.2260.60
LM-DDH-21419,100.00655,500.001,968.7360.4-63.2359.66
m.a.s.l = meters above sea level; Coord = Coordinate

ALS Colombia Ltda. prepared the drill-core samples, producing the sample pulps in Bogota. The South American Central Lab of ALS Chemex in Lima, Peru, performed all assays pertaining to the drill-core samples highlighted in the text and table above. Gold was analyzed by fire assay on a 50-gram sample with an atomic-absorption finish. Copper was analyzed using four-acid digestion, ICP-AES. The Company maintains a QA-QC program regarding the preparation, shipping, and checking of all samples, including the use of certified standard reference materials, blanks, as well as field- and pulp duplicates.

About the La Mina porphyry Au-(Cu) prospect

La Mina (also known as Venecia) lies within the Middle Cauca belt of Miocene-age volcano-plutonic rocks in central Colombia known to host large porphyry gold deposits such as La Colosa (12.3 Moz Au; AngloGold Ashanti), Titiribi (3.7 Moz Au; Sunward Resources), Quebradona (AngloGold Ashanti – B2Gold), and Quinchia (Batero Gold), as well as large epithermal gold districts such as Marmato (9.8 Moz Au; Medoro Resources).

In mid 2006, AngloGold Ashanti and Bema Gold drilled six holes at the La Cantera prospect, with DDH-02 (152 m @ 0.82 g/t Au, 0.26% Cu starting at 24 m) and DDH-05 (106 m @ 1.11 g/t Au, 0.40% Cu starting at 12 m) yielding 100+ m intercepts of greater than 1 g/t AuEq at shallow depths. Bellhaven added to these encouraging results with DDH-08 (87.3 m @ 1.07 g/t Au, 0.30% Cu starting at 0.70 m and 72.7 m @ 0.88 g/t Au, 0.39% Cu starting at 197.1 m), DDH-09 (142.4 m @ 0.70 g/t Au, 0.29% Cu starting at 194.8 m), DDH-14 (126 m @ 1.02 g/t Au, 0.36% Cu starting at 100 m), and DDH-16 (205.3 m @ 0.91 g/t Au, 0.31% Cu starting at 12 m).

The most important host rocks observed in drill core include the Combia Formation intermediate volcanic rocks as well as hydrothermal breccias and diorite porphyry. Alteration is typical of gold porphyry deposits as exemplified by a potassic-calcic core encircled by sericitic, intermediate argillic, and propyllitic alteration zones. Specifically, most of the gold and copper discovered so far at La Cantera are spatially associated with quartz-magnetite-chalcopyrite ± bornite veinlets in potassic altered porphyry and breccias containing elevated quantities of hydrothermal magnetite. As a result, the gold-bearing rocks are highly magnetic (ca. 200x10-3 SI) which creates a sharp contrast with the barren and weakly magnetic intermediate argillic-altered rocks as well as the non-magnetic sericite-altered rocks that surround the potassic core.

La Cantera is the principal porphyry gold-copper prospect at La Mina, Colombia. Five other prospects occur within one km of La Cantera and include the Middle Zone, El Limon, El Cafetal, La Virgen, Filo de Oro, and El Tanque. Most of the concession still remains unexplored. Bellhaven holds an option to earn 100% of the La Mina project (see press release dated May 17th, 2010).

This news release has been prepared under the supervision of Mr. Thomas J. Drown, P.Geo., who serves as the qualified person as defined by National Instrument 43-101 responsible for ensuring that the geological information in this release is accurate.

About Bellhaven

Bellhaven Copper & Gold Inc. is a Canadian-listed (TSX VENTURE:BHV) exploration company exploring for gold and copper in Panama and Colombia. The Company's objective is to become one of the best gold-copper companies operating in Panama and Colombia by discovering, acquiring, and developing high-quality resources in a safe and responsible manner to the benefit of all of its stakeholders.

The Company's principal assets include the La Mina porphyry gold-(copper) project in the Middle Cauca belt of Colombia, the Pitaloza and three other high-sulphidation epithermal gold-(copper) and porphyry copper prospects located on the Azuero Peninsula in Panama.

For more information regarding Bellhaven, please visit our website at www.bellhavencg.com.

On behalf of the board of directors,

Paul L. Zweng, CEO & Director

Statements in this press release, other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, may include forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in resource exploration and development. As a result, actual results may vary materially from those described in the 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.

Contact Information

  • Bel;lhaven Copper & Gold Inc.
    Paul Zweng, CEO/Director
    Corporate Contact in North America
    CEO/Director
    +1-808-377-1947
    pzweng@bellhavencg.com

    Bel;lhaven Copper & Gold Inc.
    Julio Benedetti, President/Director
    Corporate Contact in Panama
    President/Director
    Int'l No: +507-226-3967
    www.bellhavencg.com