Chesstown Capital Inc.
TSX VENTURE : FG

July 14, 2011 09:27 ET

Chesstown Capital Announces Completion of Drilling Program on the Burton Gold Property, Ontario

SUDBURY, ONTARIO--(Marketwire - July 14, 2011) - Chesstown Capital Inc. (TSX VENTURE:FG), ("Chesstown" or the "Company") is pleased to announce the completion of its planned initial diamond drilling campaign on the Burton Gold Property located near Gogama, Northeastern Ontario.

Results of the drilling program will be released as they become available.

About The Burton Property

The Burton Gold Property is located in the Swayze Greenstone Belt, Northeastern Ontario, approximately 150 kilometres (km) south of Timmins and 180 km north of Sudbury. The property is well-positioned in a very actively explored geological belt and is approximately 38 kms northwest of the Cote Lake Deposit of Trelawney Mining and Exploration Inc. which has an inferred resource of 4.22 M oz Au (131 M tonnes @ 1.00 g/t)1 and is approximately 10 km northwest of the past producing Jerome Gold Mine which produced 56,878 ounces gold from 1941 to 1943 (303,966 tonnes @ 6.72 g/t)2. The Burton Gold Property has been the target of limited past exploration efforts, however, historical diamond drill intersections include 9.34 g/t Au over an intersection length of 7.75 metres (m) in the Shaft Zone and 9.53 g/t over an intersection length of 1.45 m located approximately 450 m east of the Shaft Zone at the East Zone.

The Burton Gold Property is road accessible and consists of 6 patented mining claims and 16 unpatented mining claims encompassing 22 claim units (356 hectares) located in Esther Township, Porcupine Mining Division, Ontario.

About Chesstown Capital Inc.

Chesstown Capital Inc. is focused on gold exploration in Canada. The Company commenced trading on the TSX Venture Exchange on May 3, 2011 after completing its Qualifying Transaction and trades under the symbol FG.

Qualified Person and NI 43-101 Disclosure

Jamie Lavigne, P.Geo. Vice President Exploration for Chesstown is the Qualified Person, as defined in National Instrument 43-101, who has reviewed and approved this press release and is responsible for the technical information reported herein.

1 Data from Trelawney Mining and Exploration Inc. press release dated March 7, 2011.

2 Data from Ontario Ministry of Northern Development and Mines, 1988.

On Behalf of the Board of Directors

CHESSTOWN CAPITAL INC.

Edward Stringer, President, CEO and Director

Statements in this document which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Forward looking statements in this news release include that the diamond drilling results on the Burton Gold Property will be released as they become available.

It is important to note that the actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements. Risks and uncertainties include economic, competitive, governmental, environmental and technological factors that may affect the Company's operations, markets, products and prices. Factors that could cause actual results to differ materially may include misinterpretation of data; that we may not be able to obtain equipment or labor as we need it; that we may not be able to raise sufficient funds to complete our intended exploration and development; that our applications to drill may be denied; that weather, logistical problems or hazards may prevent us from exploration; that equipment may not work as well as expected; that analysis of data may not be possible accurately and at depth; that results which we or others have found in any particular location are not necessarily indicative of larger areas of our properties; that we may not complete environmental programs in a timely manner or at all; that market prices may not justify commercial production costs; and that despite encouraging data there may be no commercially exploitable mineralization on our properties. Readers should refer to the risk disclosures outlined in the Company's Filing Statement and other documents available on SEDAR.

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.

Contact Information

  • Chesstown Capital Inc.
    Edward Stringer
    President, CEO and Director
    705-524-3777