SOURCE: Cigma Metals Corporation

December 17, 2008 15:15 ET

Cigma Metals Corporation Announces the Results of 2008 Drilling Program on the Quartzite Gorka Prospect, Dostyk Gold-Copper Project in Kazakhstan

ALMATY, KAZAKHSTAN--(Marketwire - December 17, 2008) - Cigma Metals Corporation (the "Company," "Cigma") (PINKSHEETS: CGMX) (FRANKFURT: C9KA) is pleased to announce the results of 2008 drilling program at the Quartzite Gorka prospect in Kazakhstan.

HIGHLIGHTS

     -- Dostyk Project -- close resemblance to world class gold-copper
        deposits
     -- Quartzite Gorka Deposit is a part of large-scale
        gold-copper-porphyry mineralization system
     -- Deposit remains open along strike and at depth
     -- Best results
            - 119m at 1.0g/t gold equiv from 38m in drill hole Q19
            - 143.6m at 1.75g/t gold equiv from 102m in drill hole Q10
            - 78m at 1.46g/t gold equiv from 85m in drill hole Q1
            - 101.4m at 0.85g/t gold equiv from 212m in drill hole Q4

From a total of 29,000 meters drilled during the 2008 season in Dostyk, the Company has completed 20 Diamond Drill Holes (DDH) for a total of 5,300 meters with an average drill hole depth of 270 meters in Quartzite Gorka prospect. The drilling program was intended to explore both the lateral and vertical extension of the gold-copper mineralization controlled by north-west trending zone of hydrothermal alteration. The drilling confirmed over the 750 meters continuity of the mineralization along strike with an average width of approximately 50-70m. The gold-copper zone remains open both to south-east and to north-west. The mineralization zone is characterized by the steep dipping. It has been traced from the surface down to a depth of 400 m and remains open. The mineralization zone usually maintains the consistent width from the top to the bottom and varies from 30 to 120 meters. The most representative interceptions were observed along drilling fences F0, F1, F3, and F7.

     -- Drilling Fence F0
            - DDH Q19
­                - 119m grading 0.36 g/t gold and 0.25% copper
                  (1.0 g/t gold equiv) from 38.0m including 33.9m at
                  0.73 g/t gold and 0.41% copper (2.0 g/t gold equiv) from
                  0.1m.

     -- Drilling Fence F1
            - DDH Q10
­                - 143.6m grading 0.71 g/t gold and 0.42% copper
                  (1.75 g/t gold equiv), including 88.1m at 0.95 g/t gold
                  and 0.42% copper (2.0 g/t gold equiv) from 106.0m.

     -- Drilling Fence F3

The drill holes from fence F3 confirmed the results of historical drilling
and also extended the mineralization beneath previous drilling and
returned:

            - DDH Q1
­                - 144.6m grading 0.42 g/t gold and 0.18% copper
                  (0.97 g/t gold equiv) from 85.0m, including 78m at
                  0.71 g/t gold and 0.3% copper (1.46 g/t gold equiv) from
                  85.0m.
            - DDH Q9
­                - 96.4m grading 0.26 g/t gold and 0.08% copper
                  (0.46 g/t gold equiv) from -45.0m, including 13.8m at
                  0.5 g/t gold and 0.13 copper (0.83 g/t gold equiv) from
                  -72.0m.
            - DDH Q15
­                - 72.0 m grading 0.23 g/t gold and 0.11% copper
                  (0.53 g/t gold equiv) from 172.0m.

     -- Drilling Fence F7

The drill holes (Q4, Q6, Q7) of fence F7 extended the mineralization zone
to the South and opened up great potential for the deposit by revealing
extensive mineralization zones where drill hole Q6 was almost completely
stayed within the mineralization and recorded the following interval:

            - DDH Q6
­                - 238.0m grading 0.2 g/t gold and 0.2% copper
                  (0.7 g/t gold equiv) from 220.0m.
            - DDH Q4
­                - 101.4m grading 0.35 g/t gold and 0.2% copper
                  (0.85 g/t gold equiv) from 212.0m, including 6.7m at
                  1.1 g/t gold and 0.2% copper (1.6 g/t gold equiv) from
                  180.0m.
            - DDH Q7
­                - 130.0m grading 0.16 g/t gold and 0.06% copper
                  (0.30 g/t gold equiv) from 160.0m.
­                - 9.6m grading 0.11 g/t gold and 0.03% copper
                  (0.85 g/t gold equiv) from 15m.

Quartzite Gorka Deposit -- Primary Geology and Infrastructure

Quartzite Gorka is a part of a large-scale K-OZEK gold-copper-porphyry system with total area of 15km2 (Figure 2). The K-OZEK area is composed by strongly hydrothermally altered volcanic and intrusive formations with numerous geochemical gold-copper anomalies. The gold-copper mineralisation is associated with pyrite and chalcopyrite within wide-spread zones of chlorite-epidotic alteration. Beside Quartzite Gorka, the K-OZEK area comprises five other high-prospective gold-copper deposits with exploration potential over three million ounces of gold equivalent.

K-OZEK mineralization is a typical gold-copper-porphyry system with usually large dimensions and generally low grades. The presented figures are in line with many world class copper deposits that are actually in production. Porphyry-related deposits control over 70% of world copper resources. The ore resources of such systems normally extend hundreds of millions to first billion tonnes. Copper in these deposits is associated with gold, molybdenum, silver and other by-products.

Dostyk project of 14000 km2 (Figure 1) is located in the North-Eastern region of Kazakhstan near the Russian and Chinese border. Infrastructure is just perfect with roads and railways crossing the licence area. The region has been mined for gold, base metals, nickel, coal and others. Power lines with voltage up to 1,150 kw cross the project area.

The grades and other figures of the Quartzite Gorka deposit are in line with other economically viable World Class Porphyry Gold-Copper Deposits actually in production in different continents. Finally, the tonnages of the Quartzite Gorka deposit should be substantially higher than stated in the present Press Release, as the exploration is not completed and the deposit remains open along strike and at depth.

Cigma Metals Corporation is a mineral exploration company focusing on the exploration and development of its mineral exploration property located in the Pavlodar province of Kazakhstan and its two exploration properties in the Tomsk province of Russia. All the project areas were selected due to their proximity to a well-developed infrastructure, known mineral occurrences and from historical records of gold and base metals production. The Company's stock is quoted for trading in the United States of America on the OTC Pink Sheets under the symbol "CGMX.PK," and under the symbol "C9KA.F" on the Frankfurt Exchange, in Germany.

ON BEHALF OF THE BOARD
"Agustin Gomez de Segura"
Agustin Gomez de Segura
President, CEO and Director

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This press release contains statements that plan for or anticipate the future, called "forward-looking statements." In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "could," "expects," "plans," "intends," "anticipates," "believes," "estimates," "predicts," "potential" or "continue" or the negative of those terms and other comparable terminology.

These forward-looking statements appear in a number of places in this press release and include, but are not limited to, statements about: our market opportunity; revenue generation; our strategies; competition; expected activities and expenditures as we pursue our business plan; the adequacy of our available cash resources; our ability to acquire properties on commercially viable terms; challenges to our title to our properties; operating or technical difficulties in connection with our exploration and development activities; currency fluctuations; fluctuating market prices for precious and base medals; the speculative nature of precious and base medals exploration and development activities; environmental risks and hazards; governmental regulations; and conduct of operations in politically and economically less developed areas of the world.

Many of these contingencies and uncertainties can affect our actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, us. Forward-looking statements are not guarantees of future performance. These cautionary statements qualify all of the forward-looking statements made in this press release. Specific reference is made to our most recent annual report on Form 10KSB and other filings made by us with the United States Securities and Exchange Commission for more detailed discussions of the contingencies and uncertainties enumerated above and the factors underlying the forward-looking statements. These reports and filings may be inspected and copied at the Public Reference Room maintained by the U.S. Securities & Exchange Commission at 100 F Street, N.E., Washington, D.C. 20549. You can obtain information about operation of the Public Reference Room by calling the U.S. Securities & Exchange Commission at 1-800-SEC-0330. The U.S. Securities & Exchange Commission also maintains an Internet site that contains reports, proxy and information statements, and other information regarding issuers that file electronically with the U.S. Securities & Exchange Commission at http://www.sec.gov/.

We disclaim any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except to the extent required by applicable laws.

This press release is for informational purposes only and is not and should not be construed as an offer to solicit, buy, or sell any security.

Contact Information

  • For further information please contact:
    Agustin Gomez de Segura
    Address: 18, 80 Furmanova Str
    Almaty, Republic of Kazakhstan
    Telephone: Almaty Office +7 327 2611 026
    Website: http://www.cigmametals.com/