SOURCE: Gold American Mining Corp.

Gold American Mining Corp.

September 07, 2010 09:00 ET

Gold American Mining Corp. to Initiate Field Operations at La Escondida Project

RENO, NV--(Marketwire - September 7, 2010) - Gold American Mining Corp. (OTCBB: SILA) ("Gold American" and/or "the Company") is pleased to report that its Board of Directors has approved the initiation of the first phase of field operations at its La Escondida Project in Sonora State, Mexico.

Gold American has completed the initial evaluation of all historical data on the La Escondida property and has decided to move forwards with its first phase of exploration. This phase will consist of detailed sampling within the mineralized zones, mapping, and a structural evaluation of the area. Subject to the results of this phase, the Company will decide to proceed with the second phase, which would consist of a comprehensive geophysics program of the property.

"We are excited to begin exploration operations at La Escondida, at a time when Gold American is seeking to find new silver-gold deposits. The project has an exciting potential, the infrastructure in place is excellent and multiple exploration targets have already been identified," commented Johannes Petersen, President of Gold American. "We expect this phase to last 3 to 4 weeks and it will focus on locating, measuring and sampling of historical workings and geological mapping of the property. Several of the target zones remain open in at least one direction and it has been determined that historic workings were shallow, leaving open the possibility of finding mineralization over much greater strike lengths and depths," added Mr. Petersen.

La Escondida Property Summary

La Escondida property is comprised of two mineral concessions that cover 439.8 acres. It is located approximately 124 miles northeast of the city of Hermosillo in Sonora State, Mexico. The property is located in a region that has seen significant recent activity by foreign mining companies. It is located 19 miles southwest of NYSE-listed Yamana Gold Inc.'s Mercedes project, a development stage gold-silver project which is expected to start production at a rate of approximately 120,000 gold equivalent ounces per year from 2012. The La Escondida project is also located 18 miles south of Cerro Prieto project of Oroco Resources Corp., which recently reported 383,833 ozs gold and over 6 million ounces of silver reserves.

The property is host to two distinct mineralized targets associated to a fault: a bulk tonnage-style gold-silver-lead disseminated area and a high-grade epithermal vein-hosted silver and gold area. Small gambusino-style workings occur at different points on these targets, where historical sampling returned selected results as high as 1.85g/t Gold and 908.69 g/t Silver. The high-grade vein-hosted silver and gold target consists of two veins. One vein is exposed over an area at least 800m long and is reported to be 3-5 meters wide. The second vein is exposed over an area at least 500m long and is reported to be 1-2 meters wide. The disseminated zone is found between these two veins, approximately 100 meters wide. These zones are open both along strike and at depth.

Gold American Mining Corp. is a publicly traded (OTCBB: SILA) precious metals exploration company focused on the aggressive, ongoing acquisition and exploration of holdings with rich gold and silver production potential. Based in Reno, Nevada, Gold American has developed a promising portfolio of international properties in regions marked by stable politics, sound economies and friendly business relations. For more information the Company and its projects, visit Gold American's website at


Gold American Mining Corp.
Johannes Petersen, President

Forward-Looking Statements
The statements by our officers, and other statements regarding optimism related to the business, expanding exploration and development activities and other statements in this press release are forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Such statements are based on current expectations, estimates and projections about the Company's business. Words such as expects, anticipates, intends, plans, believes, sees, estimates and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. Actual results could vary materially from the description contained herein due to many risk factors that affect the industry the Company operates in and other risk factors listed from time to time in the Company's Securities and Exchange Commission (SEC) filings under "risk factors" and elsewhere. The forward-looking statements contained in this press release speak only as of the date on which they are made, and the Company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.

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