Cortez Gold Corp.
TSX VENTURE : CUT

Cortez Gold Corp.

March 01, 2011 14:17 ET

Cortez Gold Corp.: Surface Soil Sampling Identifies New Exploration Targets on the Petlacala Gold-Silver Project, Mexico

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 1, 2011) - Cortez Gold Corp. (TSX VENTURE:CUT) (the "Company") is pleased to provide an update on surface exploration sampling carried out on the Petlacala Gold-Silver Project, Guerrero State, Mexico.

Soil and rock geochemical assay results from the Phase I exploration program have identified several new target zones at Petlacala. The exploration program at Petlacala has been targeting a low sulphidation vein system of the Astro, Karla-Guadalupe, Armazon, Ninfas, Madre, and California veins (see news releases dated April 12, August 11, October 19 and December 15, 2010, and January 31, 2011).

During its Phase I exploration program, 502 soil and 89 rock samples were collected.

Soil sampling at Petlacala is a very effective tool for identifying new targets. In soil samples collected during the Phase I exploration program, gold assay values range from below detection to 302 ppb, and silver from below detection to 7 ppm supported by elevated As and less pronounced Sb and Hg. Base metal values are low and they correspond to some degree with samples enriched in gold and silver.

The Phase I exploration program at Petlacala identified several important new target zones that warrant follow-up.

Soil sampling across the assumed trend of the California vein identified anomalous gold and silver indicating the possible extension of the California vein to the southeast from the California vein adit for almost 2 km. At the same time, an arsenic geochemical anomaly occurs in areas depleted in gold and silver. Other elements such as Hg, Sb, Cu, Pb, and Zn appear to be of limited assistance.

The Ninfas West vein discovered in hole Pet-7 Ni is likely represented by a strong gold lineation that presently can be traced for over 600 m and is open in each direction.

Soil sampling conducted on Cerro Gallegos indicated the presence of possible disseminated or stockwork-like silver and gold mineralization. The presence of elevated and widespread As with less abundant Sb and Hg indicates the possibility that this part of the property (topographically Cerro Gallegos is the highest point on the property) is in the upper part of the mineralized system with possible bonanza gold-silver mineralization several hundred meters beneath.

See table below for the most significant surface rock sample geochemistry.

Sample No. Sample Type Sample Width   Rock Type Au Ag
    [m]     [ppm] [ppm]
378 Chip 1.50   Quartz Vein 10.68 44.6
425 Chip 3.00   Quartz Vein 4.36 12.0
422 Chip 2.00   Quartz Vein 3.36 63.2
390 Chip 1.80   Quartz Vein 3.08 37.9
386 Chip 5.00   Quartz Vein 2.88 30.2
392 Chip 2.10   Quartz Vein 2.61 46.3
393 Chip 1.80   Quartz Vein 2.38 21.3
379 Chip 1.00   Quartz Vein 2.33 27.2
391 Chip 1.40   Quartz Vein 1.89 90.8
389 Chip 1.10   Quartz Vein 1.83 29.2

Soil and rock samples were submitted to ACME preparation laboratory in Guadalajara, Mexico, and were shipped to Vancouver for analysis. There were no Company standards or blanks inserted into the string of surface rock and soil samples, but the reproductivity of the ACME Lab internal quality control samples was monitored by the QP.

The Petlacala property covers approximately 3,200-hectares. It is located 220 km southwest of Mexico City, 70 kilometers west of Goldcorp's Los Filos and El Bermejal gold deposits, and approximately 200 km south of the El Oro – Tlalpujahua epithermal vein system, which is judged to be similar to Petlacala. (See the technical report entitled "TECHNICAL REPORT on the PETLACALA PROPERTY, GUERRERO STATE, MEXICO" dated July 16, 2010, by Piotr Lutynski, P.Eng. as filed on www.sedar.com.) For further details and property maps, please visit the Company's website at www.cortezresources.com.

Exploration work on the Petlacala project is being conducted by Reyna Mining. Piotr Lutynski, P.Eng., consulting geologist to Cortez Gold, is the Qualified Person, as defined by National Instrument 43-101, for the Petlacala exploration program and supervised the preparation of the technical information in this release.

ON BEHALF OF THE BOARD of Cortez Gold Corp.

Robert Eadie, President & Chief Executive Officer

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