Harvest Gold Corporation
TSX VENTURE : HVG

Harvest Gold Corporation

May 20, 2010 06:30 ET

Harvest Gold Begins Drill Program at Rosebud

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 20, 2010) - Harvest Gold Corporation (TSX VENTURE:HVG) (the "Company") is pleased to announce that its first phase drill program has commenced at the Rosebud Gold Mine project in northwestern Nevada. Envirotech Drilling LLC has mobilized a reverse circulation drill rig onto the property and has begun drilling the first hole. Drilling is expected to be completed within approximately eight weeks. Drill shifts will be 15 days on and 6 days off until the program is completed.

Nine to eleven reverse circulation drill holes, totaling approximately 10,500 feet (3,200 m) or more, are planned to test six target areas. Target types include: high grade volcanic-hosted stockwork and disseminated mineralization within the bulk tonnage halo surrounding the deposit; extensions and definition of the bulk tonnage halo; and high grade feeder veins within metamorphic basement rocks.

The targets are borne out of a new structural interpretation of the deposit. This is based on compilation, evaluation, and 3D modeling of a large volume of data from prior explorers and mine operators, as well as geologic mapping and surface geochemistry carried out by the Company. Historical high grade, in-ground drill intercepts (originally reported by Harvest on August 5, 2009) occur near or within many of the targets.

About Rosebud

The Rosebud property is an advanced exploration project consisting of 54 unpatented mining claims centered on the former Rosebud underground mine, which produced nearly 400,000 oz gold and 2,300,000 oz silver between 1997 and 2000. The underground operation mined three high-grade ore zones, with an average production grade of 0.416 oz Au/t (14.2 g/tonne), 2.42 oz Ag/t (83 g/tonne). Due to falling gold prices, the cut-off grade was increased from 0.15 oz Au/t (5.1 g/tonne) to 0.18 oz Au/ton (6.2 g/tonne) over the life of the mine, and mineralized material below the cutoff was not mined. An in-place, non-43-101-compliant Measured and Indicated Global resource of 242,000 oz Au, 2,130,000 oz Ag (6.81 million t @ 0.036 oz Au/t, 0.31 oz Ag/t), was calculated by Hecla at the close of mining in 2000. (This historical resource estimate was made by a source believed to be reliable, however the Company has not yet independently verified the estimate according to CIM standards and thus this historical estimate should not be relied upon.) The Harvest Gold 43-101 report on Rosebud can be accessed on our website at: http://www.harvestgoldcorp.com/pdfs/Rosebud_43101l_10Sept08.pdf

The Rosebud deposit is a high-grade low-sulfidation volcanic-hosted precious metals deposit, similar in origin, geologic setting, and mineralization style to other low-sulfidation gold deposits in northern Nevada, including the high-grade multi-million-ounce Sleeper and Midas deposits. The property is located in a highly mineralized portion of the Lovelock-Austin Mineral Belt, about 5 miles south of Allied Nevada's (TSX:ANV) Hycroft mine.

The company has an option to acquire a 100% interest in the property, subject to a net smelter royalty.

Greg Hill, Certified Professional Geologist, the President of Harvest Gold Corp. (US), is the Qualified Person that has reviewed the contents of this news release.

About the Company

Harvest Gold Corporation is a mineral exploration company working in Nevada, USA and Manitoba, Canada. In Nevada, the Company is exploring the 100% optioned Rosebud Mine property, and a generative gold property at Garcia Flats in the South Carlin Trend. In Manitoba, Harvest is exploring one group of claims in the Rice Lake Gold Belt of south eastern Manitoba and at Assean Lake, Manitoba.

This news release may contain forward-looking statements which include, but are not limited to, comments that involve future events and conditions, which are subject to various risks and uncertainties. Except for statements of historical facts, comments that address resource potential, upcoming work programs, geological interpretations, receipt and security of mineral property titles, availability of funds, uncertainties of resource and reserve estimations, and others are forward-looking. Forward-looking statements are not guarantees of future performance and actual results may vary materially from those statements. Fluctuations in metals prices, availability of financing, and general business conditions are all factors that could cause actual results to vary materially from forward-looking statements.

On behalf of the Board of Directors,

John Roozendaal, President

Harvest Gold Corporation

Neither 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

  • Harvest Gold Corporation
    Keith Patey
    Director of Communications
    (604) 986-2020 or Toll Free: 1-866-816-0118
    (604) 986-2021
    www.harvestgoldcorp.com
    or
    Progressive Investor Relations
    Andrew Mugridge
    604-689-2881
    or
    Progressive Investor Relations
    Benjamin Curry
    604-689-2881