Edgewater Exploration Ltd.
TSX VENTURE : EDW
OTCQX : EDWZF

Edgewater Exploration Ltd.

July 20, 2011 09:30 ET

Drilling Continues to Intersect Gold Mineralization Near Surface and at Depth on Edgewater's Corcoesto Gold Project, Spain

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 20, 2011) - Edgewater Exploration Ltd. (TSX VENTURE:EDW)(OTCQX:EDWZF) -

  • 1.8 g/t gold over 16.7m intersected – confirming wide zone in previous drilling
  • 6.2 g/t gold over 4.7m intersected – additional results from high grade zone
  • In-fill drilling further defines known gold zones, mineralization remains open

Mr. George Salamis, President and CEO of Edgewater Exploration Ltd. ("Edgewater" or the "Company"), is pleased to provide an update on the drilling program and exploration activities for the Company's 100% owned Corcoesto Gold Project ("Corcoesto or the Project") in Galicia, Spain.

The on-going diamond drilling program has completed 33 drill holes totalling 8964.15 metres to date. Results for the first 21 drill holes were previously released (see News Releases dated January 31, 2011 and March 17, 2011).

George Salamis, President and CEO, states, "We are very pleased with the progress at the Corcoesto Gold Project. Over the past 12 months Edgewater successfully acquired this under explored gold asset in Galicia, Spain and increased the resource over 400%. These drill results continue to intersect gold mineralization and further demonstrate the potential for an economically viable gold project in Galicia. Edgewater is currently reviewing a number of development scenarios in our Scoping Study which is on budget and schedule for early Q4, 2011."

Highlights of the recent results are provided in the following table:

Drill       Length Au As Rec. GxT
Hole   From To (Meters) g/t % % (g-m/t)
11W30   77.70 94.40 16.70 1.8 0.43 100.0 30.1
11W30 incl 91.80 93.20 1.40 11.5 1.46 100.0 16.1
11W30 incl 89.80 94.40 4.60 5.2 0.94 100.0 23.7
11W27   13.10 17.80 4.70 6.2 0.51 78.1 29.0
11W25   110.45 117.20 6.75 4.2 1.35 100.0 28.2
11W25 incl 113.20 115.20 2.00 8.9 3.01 100.0 17.7
11W25   173.30 189.20 15.90 1.6 0.63 100.0 25.4
11W28   157.00 176.50 19.50 0.8 0.38 100.0 15.8
11W22   216.60 223.10 6.50 2.3 0.62 100.0 15.1
11W31   98.45 100.50 2.05 5.5 0.66 100.0 11.4
11W31   132.40 142.50 10.10 1.2 0.82 100.0 11.8
  Notes: 1) All reported intercepts are core lengths and true widths are estimated at 80 per cent of core lengths.
    2) Weighted averages calculated using uncut assays.
    3) See attached table for complete set of results.

Recent drilling has focused on the central portion of the Pozo de Ingles structure. For a detailed drill location map please view a Corcoesto Plan map on the Company's website at www.edge-water.com.

An updated 2011 NI 43-101 compliant resource at Corcoesto was announced on May 31, 2011 (see details in News Release dated May 31, 2011) and consists of a Measured and Indicated resource of 5,783,000 tonnes grading 1.74 g/t Au containing 325,000 ozs gold at a 0.65 g/t Au cut-off and an Inferred resource of 20,265,000 tonnes grading 1.76 g/t Au containing 1,149,000 ozs gold. Core recoveries continue to be excellent in most cases 100%. The current 12,000m drilling program is designed to expand the existing gold resource and upgrade a portion of the resource from Inferred to Measured and Indicated. The NI 43-101 Technical report on the updated resource estimate was filed on July 15th, 2011.

Work is progressing on the Scoping Study ("Preliminary Assessment" or "PA") on the Corcoesto Gold Project which will model the Project using the expanded resource and include the evaluation of both open pit and underground alternatives and synergies. The PA is scheduled to be completed early Q4, 2011. One diamond drill rig (soon to be expanded to two) is currently active on the Corcoesto Gold Project conducting a program of step-out and infill drilling to further define the total resource potential on the project. All exploration activities to date are progressing on budget and ahead of schedule.

Edgewater has signed an agreement with a local Galician firm (Guindeira Comunicación & Eventos) to provide public relations services and assist company personnel in their on-going community affairs activities. Starting immediately and continuing over the coming months a series of meetings and presentations will be completed with government officials and agencies, local and regional politicians, community groups, interested parties, and local residents in a proactive effort to inform and engage all stakeholders as the Company advances the Corcoesto Project.

Sample preparation and analyses are conducted using industry standard practices. Samples are delivered to Chemex Lab in Seville, Spain and sample analyses completed at independent commercial facilities of ALS Romania for gold and ALS Canada (Vancouver) for As. Both labs have the certificate of ISO/IEC 17025:2005. Sampling and analyses include a rigorous Quality Assurance/Quality Control (QA/QC) program consisting of the insertion of blanks, duplicate samples, and check assays. A review of the QA/QC results shows no significant bias and all results are considered highly reliable.

Mr. Gregory Smith, P.Geo., Vice-President of Exploration of the Company, is the Qualified Person as defined by NI 43-101, and is responsible for the accuracy of the technical data and information contained in this news release.

About Edgewater Exploration Ltd.

Edgewater is a mineral exploration company focused principally on acquisitions, advancement and development of precious metal properties. Edgewater is currently developing the Enchi Gold Project in Ghana, West Africa and the Corcoesto Gold Project in Northwest Spain.

On behalf of the board of EDGEWATER EXPLORATION LTD.

George Salamis, President and CEO

Drill       Length Au As Rec. GxT
Hole   From To (Meters) g/t % % (g-m/t)
11W22   36.60 37.60 1.00 0.9 0.16 100.0 0.9
11W22   195.00 199.65 4.65 0.4 0.41 100.0 2.0
11W22   216.60 223.10 6.50 2.3 0.62 100.0 15.1
11W22 incl 221.00 222.10 1.10 12.5 2.56 100.0 13.7
11W23   1.80 4.50 2.70 0.9 0.23 95.8 2.4
11W23 incl 1.80 3.00 1.20 1.0 0.17 100.0 1.2
11W23   172.00 173.00 1.00 1.3 0.18 100.0 1.3
11W23   185.00 191.00 6.00 0.5 0.24 100.0 3.2
11W23 incl 190.00 191.00 1.00 1.7 0.36 100.0 1.7
11W23   243.20 253.20 10.00 1.0 0.36 100.0 10.3
11W23 incl 247.00 253.20 6.20 1.4 0.39 100.0 8.6
11W23 incl 247.00 249.00 2.00 3.0 0.27 100.0 6.1
11W23   263.50 265.50 2.00 0.8 0.17 100.0 1.6
11W23   273.50 274.50 1.00 0.6 0.22 100.0 0.6
11W24   34.00 35.00 1.00 2.0 0.51 100.0 2.0
11W24   183.35 189.00 5.65 0.7 0.37 100.0 4.1
11W24 incl 188.00 189.00 1.00 2.9 0.54 100.0 2.9
11W24   198.00 199.00 1.00 6.9 1.30 100.0 6.9
11W24   213.10 214.10 1.00 6.3 0.97 100.0 6.3
11W24   239.00 252.90 13.90 0.7 0.29 100.0 9.3
11W24 incl 248.90 249.90 1.00 5.3 0.78 100.0 5.3
11W24   272.90 282.75 9.85 0.8 0.41 100.0 8.0
11W24 incl 272.90 279.75 6.85 1.0 0.48 100.0 6.7
11W24 incl 278.75 279.75 1.00 3.6 0.61 100.0 3.6
11W24   295.50 296.50 1.00 0.8 0.13 100.0 0.8
11W24   301.00 302.00 1.00 0.6 0.39 100.0 0.6
11W24   307.50 309.50 2.00 1.7 0.80 100.0 3.3
11W24 incl 307.50 308.50 1.00 2.4 0.78 100.0 2.4
11W24   319.50 320.50 1.00 3.9 1.53 100.0 3.9
11W25   75.20 78.35 3.15 0.9 0.67 100.0 2.8
11W25 incl 75.20 76.30 1.10 1.8 0.89 100.0 2.0
11W25   110.45 117.20 6.75 4.2 1.35 100.0 28.2
11W25 incl 113.20 115.20 2.00 8.9 3.01 100.0 17.7
11W25   124.20 128.70 4.50 0.6 0.27 100.0 2.7
11W25 incl 127.70 128.70 1.00 1.8 0.71 100.0 1.7
11W25   140.80 142.00 1.20 7.3 0.77 100.0 8.8
11W25   148.80 150.10 1.30 0.7 0.54 100.0 0.8
11W25   154.10 155.10 1.00 0.8 0.73 100.0 0.8
11W25   173.30 189.20 15.90 1.6 0.63 100.0 25.4
11W25 incl 173.30 175.40 2.10 6.6 1.27 100.0 13.9
11W25 incl 173.30 174.30 1.00 9.8 1.28 100.0 9.8
11W26   93.10 94.10 1.00 3.3 0.03 100.0 3.3
11W26   128.60 129.60 1.00 4.2 1.78 100.0 4.2
11W26   142.70 144.50 1.80 0.6 1.39 100.0 1.0
11W26   226.75 230.15 3.40 1.5 0.36 100.0 5.0
11W26 incl 229.15 230.15 1.00 3.8 0.60 100.0 3.8
11W26   253.00 254.00 1.00 0.6 0.35 100.0 0.6
11W26   274.90 276.20 1.30 8.2 0.76 100.0 10.7
11W26   282.60 287.60 5.00 1.9 0.41 100.0 9.7
11W26 incl 286.60 287.60 1.00 8.7 1.03 100.0 8.7
11W26   294.00 305.20 11.20 1.1 0.57 100.0 11.9
11W26 incl 294.00 298.00 4.00 1.7 0.70 100.0 6.6
11W26 and 304.20 305.20 1.00 2.8 0.89 100.0 2.8
11W26   320.40 321.40 1.00 0.5 0.34 100.0 0.5
11W26   324.00 325.00 1.00 0.6 0.23 100.0 0.6
11W26   336.00 337.30 1.30 0.7 0.50 100.0 0.9
11W27   13.10 17.80 4.70 6.2 0.51 78.1 29.0
11W27 incl 13.10 14.60 1.50 8.4 pending 66.7 12.6
11W27 and 16.20 17.80 1.60 9.4 0.88 68.8 15.1
11W27   30.00 31.00 1.00 0.7 0.31 92.0 0.7
11W27   50.00 54.30 4.30 2.8 0.98 95.5 11.9
11W27 incl 50.00 51.10 1.10 4.5 1.75 81.8 5.0
11W27 and 53.10 54.30 1.20 4.5 0.99 100.0 5.4
11W27   65.50 66.50 1.00 5.3 0.09 100.0 5.3
11W27   79.80 97.00 17.20 0.7 0.21 100.0 11.2
11W27 incl 86.40 87.70 1.30 3.3 0.27 100.0 4.3
11W27 and 94.00 95.00 1.00 2.7 0.22 100.0 2.7
11W27   131.00 132.00 1.00 0.9 0.66 100.0 0.9
11W28   76.00 79.00 3.00 1.1 0.51 100.0 3.2
11W28 incl 78.00 79.00 1.00 2.2 0.58 100.0 2.2
11W28   103.80 111.40 7.60 0.5 0.24 100.0 3.4
11W28 incl 108.40 109.40 1.00 1.0 0.34 100.0 1.0
11W28   115.40 117.40 2.00 1.7 0.30 100.0 3.4
11W28 incl 115.40 116.40 1.00 2.9 0.40 100.0 2.9
11W28   132.00 133.00 1.00 0.9 0.26 100.0 0.9
11W28   135.80 137.20 1.40 0.6 0.32 100.0 0.9
11W28   142.80 151.30 8.50 1.2 0.73 100.0 9.9
11W28 incl 142.80 145.40 2.60 2.1 0.47 100.0 5.5
11W28 and 148.00 151.30 3.30 1.1 1.10 100.0 3.8
11W28   157.00 176.50 19.50 0.8 0.38 100.0 15.8
11W28 incl 157.00 158.00 1.00 1.7 0.15 100.0 1.7
11W28 and 170.50 176.50 6.00 1.7 0.77 100.0 10.3
11W28 incl 170.50 171.50 1.00 3.8 1.21 100.0 3.8
11W28 and 174.50 175.50 1.00 3.6 1.35 100.0 3.6
11W28   182.00 183.00 1.00 0.6 0.23 100.0 0.6
11W28   187.00 191.00 4.00 1.9 0.61 100.0 7.6
11W28 incl 190.00 191.00 1.00 4.5 0.83 100.0 4.5
11W29   108.50 109.50 1.00 1.7 1.43 100.0 1.7
11W29   123.40 124.40 1.00 4.3 0.48 100.0 4.3
11W29   133.90 141.80 7.90 1.4 0.36 100.0 10.8
11W29 incl 137.90 141.80 3.90 2.2 0.39 100.0 8.6
11W29 incl 137.90 139.20 1.30 3.3 0.60 100.0 4.3
11W29   146.60 147.70 1.10 1.0 1.08 100.0 1.1
11W29   180.50 181.50 1.00 5.1 1.43 100.0 5.1
11W29   210.00 221.40 11.40 0.7 0.58 100.0 7.5
11W29 incl 217.30 220.40 3.10 1.6 0.80 100.0 4.9
11W30   28.00 29.00 1.00 1.3 0.12 100.0 1.3
11W30   32.00 33.00 1.00 1.3 0.25 100.0 1.3
11W30   37.40 38.50 1.10 0.5 0.40 100.0 0.6
11W30   43.45 47.45 4.00 1.6 0.40 100.0 6.3
11W30 incl 43.45 44.45 1.00 4.8 0.72 100.0 4.8
11W30   61.50 63.70 2.20 5.0 0.73 100.0 11.1
11W30 incl 61.50 62.70 1.20 7.7 0.86 100.0 9.3
11W30   77.70 94.40 16.70 1.8 0.43 100.0 30.1
11W30 incl 77.70 78.70 1.00 1.3 0.31 100.0 1.3
11W30 and 82.20 83.20 1.00 2.2 0.59 100.0 2.2
11W30 and 89.80 94.40 4.60 5.2 0.94 100.0 23.7
11W30 incl 90.80 93.20 2.40 8.0 1.10 100.0 19.3
11W30 incl 91.80 93.20 1.40 11.5 1.46 100.0 16.1
11W30   104.10 105.10 1.00 1.5 0.53 100.0 1.5
11W30   114.00 115.00 1.00 0.6 0.77 100.0 0.6
11W31   98.45 100.50 2.05 5.5 0.66 100.0 11.4
11W31 incl 99.50 100.50 1.00 9.6 0.78 100.0 9.6
11W31   113.80 115.00 1.20 0.6 0.70 100.0 0.7
11W31   132.40 142.50 10.10 1.2 0.82 100.0 11.8
11W31 incl 136.50 138.70 2.20 4.0 1.99 100.0 8.9
11W31   153.00 158.00 5.00 0.8 0.66 100.0 4.0
11W31 incl 153.00 154.00 1.00 3.0 1.18 100.0 3.0
11W31   172.00 173.00 1.00 2.7 0.23 100.0 2.7

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