High Desert Gold Corporation

High Desert Gold Corporation

February 10, 2011 08:31 ET

High Desert Gold Corporation to Initiate Drill Program on the San Antonio Gold Property in Sonora, Mexico

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 10, 2011) - High Desert Gold Corporation ("HDG" or the "Company") (TSX VENTURE:HDG)(PINK SHEETS:HDGCF) is initiating a Phase I drill program at the Company's 100%-owned San Antonio gold property in Sonora state, Mexico, and anticipates having the drill rig onsite by February 15. The 1,500-metre reverse-circulation drill program is planned to test both high-grade structural targets and bulk targets associated with stratigraphically controlled gold mineralization.

The drill program will test approximately 2,000 metres of strike on the main structural zone, in addition to several stratigraphic units thought to represent bulk gold targets. For a summary of the strong initial exploration results achieved by Company geologists at the 4,230-hectare San Antonio property, please see the Company's news release dated May 19, 2010. In addition, newly discovered areas demonstrate much more extensive mineralization than had been previously identified and will be tested in the upcoming drill program as well.

Ralph Fitch, President and CEO, stated, "We are very excited about this drilling campaign. The exploration work-ups leading to drill target definition have been very extensive. This little-known project area holds very significant potential. The developing evidence that gold mineralization is disseminated through sandstone and carbonate units rather than just within structures significantly increases the potential of the property and this drilling program."

Recent mapping and sampling have expanded the drill targets at San Antonio. This work has shown that there are both structural and stratigraphic controls on the gold mineralization within the area of historic mining and in newly identified areas located 600 metres to the northeast where gold values up to 7.74 gpt gold have been obtained within chip samples and 1,000 metres to the northwest where samples of up to 2.45 gpt gold have been obtained.

Gold mineralization has now been identified in several sandstone and carbonate units as well as within both high- and low-angle structures.

The San Antonio property was the focus of both historic small-scale underground mining at the turn of the century and a small surface excavation which was completed within the past 20 years. The most recent surface excavation consists of a cut approximately 110 metres long, 5-10 metres wide and 10-30 metres deep that has been sampled by the Company. Sampling within the excavation has produced excellent results previously reported in HDG PR10-10, May 19, 2010, some of which are summarized below:

Sample Number Sample type/length   Sample Description Gold
73897 7.6m chip   Silicified siltstones with stringer quartz veins 3.5 22.3
73900 Grab   Skarn, massive black silica with magnetite 7.14 46.8
73949 2.1m chip   Massive silicified sandstone 3.66 119
73950 0.9m chip   Hematite stained clay 2.57 27.7
73951 0.6m chip   Fault zone, gouge+ limestone rock fragments 1.82 14.0
73952 3.1m chip   Gossan 1.71 9.6
73953 0.9m chip   Silicified sandstone with thin quartz veinlets 6.94 31.6
73954 1.22m chip   White vuggy quartz vein with rock fragments 100 70.5
73955 0.9m chip   Hematite stained quartz vein 8.3 491
73956 Grab   Open spaced white quartz 14.05 81.1
122449 1.52m chip   Open spaced quartz within arkosic sandstone 12.45 142
122450 2.74m chip   arkosic sandstone silicification+clay alteration 2.36 6.04
122451 4.57m chip   Silicified arkosic sandstone 2.11 12.25
122452 2.1m chip   Silicified arkosic sandstone 1.65 11.85
122453 2.44m chip   Silicified arkosic sandstone with rare quartz vein 22.3 46.5
122454 2.44m chip   Massive silicified arkosic sandstone 23.7 25.2
122455 2.44m chip   Massive silicified arkosic sandstone 21.3 113
122456 2.13m chip   Massive silicified arkosic sandstone 44.1 160
122457 3.66m chip   Clay altered arkosic sandstone 2.41 44.2
122458 2.74m chip   Clay altered arkosic sandstone 3.44 16.65
122460 2.44m chip   Silicified limestone with quartz veinlets 1.315 6.37
122463 2.44m chip   Silicified limestone with quartz veinlets 3.82 3.42
122464 2.44m chip   Gossan 3.87 18.05
122465 2.44m chip   Silicified limestone with quartz veinlets 3.45 14.75
  Sample widths of "vein material" are interpreted to be approximately true widths of the mineralization sampled, whereas other listed samples are interpreted to be part of a larger mineralized interval limited by exposure and so widths may not be representative of the true width.

Historically, the material from the excavation was placed on heaps for leaching with the higher grade material trucked offsite for processing. Bulk sampling by HDG of the material on one of the old leach pads (which appears to have been subjected to leaching) returned average values of 1.8 gpt gold and 35.3 gpt silver. Bulk sampling of a smaller pad, which does not appear to have been subjected to leaching, returned average values of 3.1 gpt gold and 40.4 gpt silver.

Assays in the above table were performed by ALS Chemex ("ALS") which is an ISO 9001:2000 certified laboratory. Gold was analyzed by the Au-AA23 method, with values >10 gpt re-assayed using Au- GRA21. All other elements were analyzed by the ME-MS41 method. Assays on the most recent chip samples mentioned in the first paragraph from San Antonio were performed by Inspectorate Laboratories, an ISO 9001:2000 Certified laboratory located in Reno, Nevada. Gold is analyzed by the Au-1AT-AA method that includes 1 assay tonne fire assay with an AA finish. Gold values greater than 2 gpt were re-assayed using the Au-1AT-GV method that includes a 1 assay tonne fire assay with a gravimetric finish.

The San Antonio property consists of 4 concessions acquired through location and purchase by HDG which cover a total of 4,230 hectares.

The Qualified Person on the San Antonio project is Randall Moore, EVP Exploration and a certified professional geologist. He has reviewed the content of this press release. Please see High Desert Gold Corporation's website, www.hdggold.com, for further information on the San Antonio gold project.


The Company is a mineral exploration company that acquires and explores mineral properties, primarily gold, copper and silver, in North America. The major properties held by HDG are the Gold Springs gold project situated along the border between Utah and Nevada and the San Antonio project in Sonora, Mexico. The Company recently completed a financing for gross proceeds of Cdn$3.0 million and is in the process of initiating drilling programs at San Antonio and, in early spring, at Gold Springs.

Certain statements contained herein constitute "forward-looking statements". Forward-looking statements look into the future and provide an opinion as to the effect of certain events and trends on the business. Forward-looking statements may include words such as "initiating", "anticipates", "planned", "will", "thought", "potential", "developing" and similar expressions. Information concerning the previous exploration of the San Antonio property may be considered forward-looking statements, as such information constitutes a prediction of what mineralization might be found to be present if and when a project is actually developed. These forward-looking statements are based on current expectations and entail various risks and uncertainties. Actual results may materially differ from expectations, if known and unknown risks or uncertainties affect our business, or if our estimates or assumptions prove inaccurate. Factors that could cause results or events to differ materially from current expectations expressed or implied by the forward-looking statements, include, but are not limited to, availability of equipment; equipment malfunctions; changes in project parameters as plans continue to be refined and other risks more fully described in the Company's Management Discussion & Analysis of Financial Position and Results of Operations, which is available on SEDAR at www.sedar.com. Readers are cautioned not to place undue reliance on the forward-looking statements contained in this press release. Except as required by law, HDG assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason.

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.

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