FDG Mining Inc.

FDG Mining Inc.

July 09, 2012 11:40 ET

FDG Mining: Prospecting, Geological Mapping and Trenching Extend the Known Strike of the Topacio Vein to 3.4 km; Six Previously Unknown Auriferous Quartz Veins Discovered in the Rebecca Area

TORONTO, ONTARIO--(Marketwire - July 9, 2012) - F.D.G. Mining Inc. ("FDG" or the "Company") (TSX VENTURE:FDG) is pleased to report that ongoing work on its Topacio concession in eastern Nicaragua has extended the known strike of the Topacio vein to 3.4 kilometres. An historic drift and mill site, probably from the 1900 to 1917 period of production on the property, was discovered at the northeastern known extent of the Topacio vein. This site is two kilometres east northeast from the Inferred Mineral Resources previously reported on the property.

Approximately two kilometres southeast of the known resources in the Topacio vein, in the Rebecca area, six previously unknown auriferous quartz veins have been discovered. This brings the total of known veins on the concession to 24. Values up to 22 g/t gold across three metres have been returned from chip sampling of the newly discovered veins in the Rebecca area. These veins strike northwest, roughly at right angles to the trend of the Topacio vein swarm. A new area of the northwest striking veins has recently been discovered further to the north of the original vein set discovery. The junction of these northwest trending veins and the east northeast trending Topacio vein contain some large quartz breccia bodies. These breccia bodies have been sampled. Assays will be reported when received.

The completion of an all weather road to the Topacio property has allowed work to continue through the rainy season. FDG's very dedicated and competent team, including four geologists, has continued to explore the property in spite of the heavy rains (450 mm/month) that occur at this time of year. Drilling and mechanized work have been suspended until drier conditions prevail in the fall. In the future, as infrastructure is improved on the property (essentially more gravel) drilling and mechanized trenching will be possible year round.

A ceremony celebrating the completion of the road, which will include the Mayor of Muelles de Los Bueyes and officials from the Ministry of Mines from Managua, is scheduled to take place on the property on the 10th of July, 2012.

The Company has refurbished a building on the Topacio property which is being used as a temporary school for the local elementary age children. A commitment has been made by the Company to finance 50% of the construction of a new permanent school on the same site.

Pursuant to the Company's quality-control, quality assurance procedures, samples will be submitted for re-analysis based on their proximity to a certified reference standard that returned a gold value greater than three-standard deviations higher or lower than the mean value for that standard. In addition, any two consecutive reference standards falling outside the two-standard deviation threshold will be considered to have failed. Since every twentieth sample is a reference standard, ten samples above and below a failed standard will be re-analyzed. The same protocol will be applied to duplicate samples considered to have unacceptably divergent gold values. Periodically, random samples will be submitted to another laboratory as an external check on the results provided by the primary lab. The scientific and/or technical information relating to the property disclosed in this news release have been reviewed by Robert Suda, P. Geo., Vice-President Exploration of FDG and a Qualified Person as defined under National Instrument 43-101.

On Behalf of the Board of Directors

David St. Clair Dunn, P.Geo., President and CEO

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

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

  • FDG Mining Inc.
    David St. Clair Dunn, P.Geo.
    President and CEO