Choice Gold Corp.
CNSX : CHF

Choice Gold Corp.

April 06, 2011 13:00 ET

Choice Gold Corp. Outlines Exploration Plans for Sugarloaf Peak Gold Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 6, 2011) - Choice Gold Corp. (CNSX:CHF) ("Choice Gold" or the "Company") is pleased to provide the following overview of its plans for advancing the Sugarloaf Peak Gold Project ("Sugarloaf Peak") in western Arizona. Choice Gold's multi-phased exploration work at Sugarloaf Peak has already begun. The 2011 program includes:

  1. Detailed structural mapping of the property and in particular the western portion of the known mineralized zones, which have little historical data.
  2. A cutting edge Titian 24 induced polarization survey performed by Quantec Geoscience and a detailed aeromagnetic survey, both of which are currently underway with results expected in the near future.
  3. A multi phase combined diamond core and RC drill program. The first phase of 5,000 meters will test extensions of the known mineralized areas open at depth and on strike. A second phase of up to 5,000 meters will be drilled subject to the results of phase 1 and may be enhanced due to the deep and wide along strike untested exploration potential at Sugarloaf Peak.
  4. The Company will engage a best-in-class, locally based metallurgical consultant to determine most economic mineral extraction method.
  5. Throughout the work program all information gathered on Sugarloaf Peak will be organized into a data room for future use.
  6. The team that has been assembled by Choice Gold to advance this strategy is a recognizable and diverse group of geologists, engineers and public markets professionals. Management, insiders and Riverside Resources Inc. (TSX VENTURE:RRI) own 35% of Choice Gold.

Historical Work at Sugarloaf Peak

For over 50 years Sugarloaf Peak has been the subject of intermittent drilling and small scale mining. Previous exploration identified higher grade zones which indicate the potential for multi-gram high grade gold, with wide shear zones that will be part of the focus for Choice Gold's exploration work. The project's hydrothermal system has extensive quartz-sericite-pyrite alteration consistent with a large mineralized system. The historical drilling tested less than half the area exposed at surface and generally only to depths of 100 metres, leaving large volumes to further drill test. The wide spaced drilling did not focus on finding high grade zones but instead began outlining a large body of shallow mineralization with possible high grade zones which could positively impact the economics of a potential mine. Sugarloaf Peak has a historical, non-National Instrument 43-101 compliant estimated resource of 60 million metric tonnes at 0.6 g/t gold average grade (Dausinger, 1992) with mineralization open to depth and along strike.

2009 drilling by Riverside Resources Ltd. (TSX VENTURE:RRI) identified continuous mineralization in all five drill holes, confirming the presence of an extensive mineralized body. This drill program targeted mineralization associated with the geologic models found at the nearby Herradura Mine (Newmont Mining & Industrias Penoles), Mesquite Mine (New Gold), and El Chanate Mine (Capital Gold) and disseminated gold mineralization found during this program appears similar to that found at the deposits mentioned, all of which are large, low-cost, open pit gold mines extracting low grade gold near surface.

About Choice Gold Corp.

Choice Gold Corp. was created to acquire and advance select, high-potential mineral projects and thereby unlock shareholder value. With this goal in mind, the company has entered an option agreement with Riverside Resources Ltd. (TSX VENTURE:RRI) to acquire a 100% interest in the Sugarloaf Peak Gold Project just west of Quartzsite, Arizona. Sugarloaf Peak covers over 12 km² and was the subject of intermittent drilling and small scale mining from the 1950′s through to the 1990′s. The project is the subject of a historical, non-National Instrument 43-101 compliant mineral resource and Choice Gold has a mandate to prove its economic viability. For more information about Choice Gold please visit our website at www.choicegoldcorp.com.

Certain statements contained in this release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words "could", "intend", "expect", "believe", "will", "projected", "estimated", "anticipates" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company's current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. In particular, this release contains forward-looking information relating to the business of the Company, the Property, financing and certain corporate changes. The forward-looking information contained in this release is made as of the date hereof and the Company is not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein.

CNSX has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

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