Cassius Ventures Ltd.

February 14, 2012 08:00 ET

Cassius Ventures Ltd. Announces Commencement of Drill Program

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 14, 2012) - Cassius Ventures Ltd. (TSX VENTURE:CZ) (the "Company") is pleased to announce the commencement of its 2,650 metre drill program in respect of its Nicaraguan Gold Properties.

As highlighted in the exploration program update news release dated December 19, 2011, the Company conducted a number of soil, rock chip, and stream sediment samples on the 8 MMD (Murra Mining District) concessions in northern Nicaragua. Trenching took place on the Deagueda and Manto de la Corona anomalies located on the La Jalapeña concession as well the El Olingo anomaly located on the Los Angeles concession. These anomalies represent 3 of the 4 drill targets of our drill program, with the fourth being the La Lampara anomaly, also in the Los Angeles concession (refer to Figure 1:

At Manto de la Corona, a total of four drill holes covering 1,000 metres have been planned over a 500 metre by 100 metre wide northwest trending Au soil anomaly. A total of 383 soil samples were taken with results ranging between 233 and 847 ppb Au. Furthermore, a significant amount of trenching activity in the area yielded assay values mostly between 0.3 g/t Au and 0.4 g/t with one assay yielding a result of 62.0 g/t Au. In one of the trenches, 222 samples were collected and returned an average grade of 0.5 g/t Au. The four drill holes focus on the best gold soil anomalies and results obtained through sampling and trench work.

At Deagueda, a program of two drill holes over 350 metres have been planned on a sub-horizontal vein system, where over 300 metres of trenching has already been cut; identifying a possible series of sub-parallel, sub-horizontal stockworks, each of which are 20-30 metres thick. A total of 252 soil samples were taken in this area with assay results ranging between 85 and 1,070 ppb Au and an average result of 300 ppb Au.

In the El Olingo anomaly, the Company expects to drill two holes covering approximately 350 metres cutting a stockwork oriented North-South, approximately 80 metres wide and 500 metres long. A total of 97 soil samples were collected in the area with assay results returning gold values ranging from 100 to 1,075 ppb with an average value of 266 ppb Au, some of which are samples taken from fairly oxidized rock.

A program of four drill holes covering 950 metres has been planned in the La Lampara area, which appears to be a sub-horizontal stockwork approximately 100 metres thick 1 km long. Although this area has not been trenched, La Lampara has become a significant drill target due to a remarkable gold-arsenic anomaly with a maximum gold value of 696 ppb and an arsenic value of 2095 ppm.

The drill program will commence in the Manto de la Corona and Deagueda anomalies in La Jalapeña concession and once completed, will move to the Olingo and Lampara anomalies in Los Angeles. The drill program is expected to be completed within 3 to 4 months' time.

The drilling will be of HQ diameter with core samples being collected up to a maximum length of 1.0 metre. Core samples collected will be sent to Inspectorate Laboratories in Managua, Nicaragua for sample preparation and assaying will be performed by Inspectorate Laboratories in Reno, Nevada.

John Thomas, President and CEO, added, "Based upon extensive programs of sediment and soil sampling and geological mapping, the Company has identified a large number of gold anomalies in the Murra Mining District. This drill program is designed to test the first four of these anomalies. In addition to this, we are continuing to identify additional drill targets based on our work around the four concessions in the Central West concession area (CWN). With its extensive land holdings and identified drill targets, Cassius Ventures is very well placed to meeting its objective of developing a significant gold resources in Nicaragua, a country that is becoming one of the most prospective and mining friendly destinations in the world."

Further updates will be provided in due course.

On behalf of the Board of Directors

John A. Thomas, P.Eng., CEO and President

Eddy Canova, P.Geo., consultant to the Company and a Qualified Person as defined by NI 43-101, has reviewed and is responsible for the technical information contained in this news release.

This news release contains forward-looking information (within the meaning of Canadian securities laws) about the Company and its future plans. Forward-looking information reflects management's expectations or beliefs regarding future events rather than historical facts, and in this news release includes, without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "scheduled", "believes", or variations of such words and phrases or statements that certain actions, events or results "potentially", "may", "could", "would", "might" or "will" be taken, occur or be achieved. There can be no assurance that forward-looking statements will prove to be accurate, and actual results could differ materially from those expressed or implied by the forward-looking statements. Forward-looking statements are based on certain assumptions that management believes are reasonable at the time they are made. In making the forward-looking statements in this news release, the Company has applied several material assumptions, including, but not limited to, the assumption that: (1) the Company's ability to discover minerals in commercially feasible quantities in Nicaragua, (2) the Company's ability to raise the necessary financing for ongoing operations and to complete any acquisitions or pursue any planned exploration programs, (3) there being no significant disruptions affecting operations, whether due to labour/supply disruptions, damage to equipment or otherwise; (4) permitting, development, expansion and power supply proceeding on a basis consistent with the Company's current expectations; (5) certain price assumptions for gold; (6) prices for availability of natural gas, fuel oil, electricity, parts and equipment and other key supplies remaining consistent with current levels; (7) the accuracy of current mineral resource work and studies on the Company's property; and (8) labour and material costs increasing on a basis consistent with the Company's current expectations. Important factors that could cause actual results to differ materially from the Company's expectations include, among others, risks related to the ability of the Company to obtain necessary financing and adequate insurance; the economy generally; fluctuations in the currency markets; fluctuations in the spot and forward price of gold or certain other commodities (e.g., diesel fuel and electricity); changes in interest rates; disruption to the credit markets and delays in obtaining financing; the possibility of cost overruns or unanticipated expenses; employee relations. Accordingly, readers are advised not to place undue reliance on forward-looking statements. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking statements, whether as a result of new information, future events or otherwise. Reference to the section entitled "Risks and Uncertainties" immediately preceding this section.

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

  • Cassius Ventures Ltd.
    John A. Thomas, P.Eng.
    CEO and President
    604-566-9081 (FAX)