Geologix Explorations Inc.

Geologix Explorations Inc.

April 03, 2007 08:26 ET

Geologix Intersects 284 Metres of 1.70 g/t Gold Equivalent in 500 Metre Step-Out Hole at San Agustin, Durango, Mexico

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 3, 2007) - Geologix Explorations Inc. (TSX VENTURE:GIX)(FRANKFURT:GF6) is pleased to announce the results from the first four holes of an eight hole drill program on the San Agustin property in Durango, Mexico.

Dunham Craig, P. Geo., President and CEO stated: "We are very pleased to drill significant mineralization in San Agustin Zone 2, 500 metres southwest of the Main Zone known resource area (Figure 1, It significantly expands the potential to add to the resource by doubling our drill target area in this direction. The results confirm our exploration model expectations and indicate that our exploration approach is appropriate. Drill hole grades and widths of the mineralization are indicating Geologix is on the right track for discovering a large bulk mineable deposit. We look forward to our pending drill results in Zone 3, which is 1,200 metres northeast of the resource area. This would expand the prospective area to over 2 kilometres of strike with drilling confirmation."

Hole # Zone From To Length Au Ag Pb Zn Au equiv.
(m) (m) (m) (g/t) (g/t) (%) (%) (g/t)

SA-94 Main 0 336.9 336.9 0.65 6.1 0.01 0.20 1.02
incl. 42 144 102 1.05 12.0 0.01 0.50 1.90

SA-95 Main 0 262 262 0.99 6.9 0.00 0.32 1.53
incl. 35 232 197 1.21 6.9 0.01 0.40 1.84

SA-96 Two 0 422.95 422.95 0.27 15.8 0.12 0.52 1.27
incl. 130 414 284 0.33 20.7 0.17 0.71 1.70

SA-97 Two 0 306.1 306.1 0.15 3.9 0.02 0.13 0.40

Note: Metal Prices for Gold Equivalent in USD: $550/oz. Gold, $10/oz.
Silver, $1.00/lb Zinc & $0.50/lb Lead

Phase 1 diamond drilling commenced on the property during January 2007 with a planned 2,500 metres of HQ diameter in 8 holes utilizing orientated core techniques. To date, 4 drill holes have been completed and assayed. Two (2) holes, SA-94 and SA-95 were located in the Main Zone near Trench F to identify mineralization styles, continuity and structural controls. Three holes, SA-96, SA-97 and SA-98 have been completed in Zone 2 with assay results pending for hole SA-98 (Figure 2, The drill hole collars were located to test the extent of mineralization under Trench C, 500 metres southwest of the Main Zone. (Figure 3, The results from Geologix's drilling are summarized as follows:

In the Main Zone, holes SA-94 and SA-95 were drilled at a 90 and a 45 degree angle respectively to the NE Gold Trend to test mineralization continuity across the structure. The company is pleased with the continuity as it gives greater confidence to past resource calculations.

Geologix is currently drilling in Zone 3 (SA-99, SA-100) where significant outcrop and road cut chip sampling results extended the mineralized gold/silver trend 1,200 metres northeast from the Main Zone (see press release dated March 2, 2007).

Subsequent to Zone 3 drilling, SA-101 will be testing the Zone 4 extension. Zone 4 contains long drill intervals of zinc-gold-silver mineralization in a parallel and separate zone located 300 metres southeast of the Main Zone (Figure 1, The drill hole will test an un-drilled area 100 metres on strike from the following 3 holes drilled by previous operators:

From To Length Au Ag Pb Zn Au equiv.
Hole # (m) (m) (m) (g/t) (g/t) (%) (%) (g/t)
SA-02(i) 32 100 68 0.30 10.9 0.1 0.9 1.63

SA-82(i) 50 126 76 0.48 23.2 0.1 0.7 1.76

SA-83(i) 77 200 123 0.54 16.9 0.1 1.1 2.23

(i)Drilled by previous operators

Note: Metal Prices for Gold Equivalent in USD: $550/oz. Gold, $10/oz.
Silver, $1.00/lb Zinc & $0.50/lb Lead

The current inferred resource at San Agustin is 11.22 million tonnes averaging 0.96 grams per tonne of gold and 12.86 grams per tonne of silver (346,000 ounces of gold, 4.6 million ounces of silver). For particulars of this resource see Geologix's news release dated August 29, 2006 and its resource report entitled Technical Report on the San Agustin Property, Revised dated October 10, 2006 prepared by James A. McCrea, P. Geo., both of which have been filed on SEDAR.

The Company's President and CEO, Dunham L. Craig, B.Sc., P. Geo., a 'qualified person' for the purposes on National Instrument 43-101 Standards of Disclosure for Mineral Properties, has verified the data (including sampling, analytical and test data) and prepared or supervised the preparation of the information contained in this new release.

The Company has implemented a quality assurance and control (QA/QC) program to ensure sampling and analysis of all exploration work is conducted in accordance with the best possible practices. The drill core is sawn in half with half of the core samples shipped to ALS Chemex Laboratory Services Limited in Vancouver, British Columbia for analysis. The other half of the core is retained for future assay verification. The company QA/QC policy includes the chain of custody monitoring, insertion of blanks, standards and duplicates in the initial samples submitted. The laboratory provides an additional internal control program.

Geologix Explorations Inc. is a mineral exploration company focused on acquiring, exploring and developing gold properties in North and South America. The Company has a wealth of experience in the mining industry taking early stage exploration prospects to final feasibility and ultimately to production.

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.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Geologix Explorations Inc.
    Michael Mallard
    V.P. Corporate Communications
    (604) 694-1742 / Toll Free in Canada and USA: 1-888-694-1742
    Geologix Explorations Inc.
    Dunham Craig
    President & CEO
    (604) 694-1742 / Toll Free in Canada and USA: 1-888-694-1742