Linear Gold Corp.
TSX : LRR

Linear Gold Corp.

June 24, 2005 08:52 ET

Linear Intersects Deep Mineralization at Campamento Deposit-Ixhuatan Project, Mexico

HALIFAX, NOVA SCOTIA--(CCNMatthews - June 24, 2005) - Linear Gold Corp (TSX:LRR) is pleased to report additional drill results from the Campamento Deposit of the Ixhuatan Project, located in Chiapas Mexico.

Deep drilling on the Campamento Deposit, in Hole IX-56B has intersected mineralization at 345 metres vertical depth. This hole indicates the mineralization is extending 160 to 200 metres below previous reported drilling. Results from IX-66 and IX-64 extends the mineralization of the Campamento zone an additional 50 metres to the SW along strike. For an updated drill-hole map please see www.lineargoldcorp.com

Hole IX-56B, was drilled to the east at -70 degrees with the objective to test the potential for deep mineralization. This hole intersects a wide interval of 356 metres containing 1.3 grams per tonne gold and 4.6 grams per tonne silver from between 8 and 364 metres. The true width of this zone is estimated to be 60-70 metres wide, due to the fact that this hole intersects the structure at a highly oblique angle (approximately 45 degrees). Within this zone, two intervals of higher grade mineralization were observed:

- 2.8 grams per tonne gold and 11.9 grams per tonne silver over 32 metres (160-192)

- 3.1 grams per tonne gold and 5.8 grams per tonne silver over 64 metres (300-364) including 4.9 grams per tonne gold and 6.5 grams per tonne silver over 32 metres (330-332)

Results for the first 134 metres of IX-56B were previously released on May 26, 2005.

Future drilling will continue to focus on determining the true thickness of the higher grade zones.

Hole IX-66 drilled due west at -70 degrees was designed to test the south-west strike extension of the Campamento Zone. This hole also intersected a wide zone of fracture controlled mineralization and returned values of 1.2 grams per tonne gold and 4.5 grams per tonne silver over 192 metres. A smaller high grade internal zone between 158 and 174 metres returned values of 2.3 grams per tonne gold and 5.6 grams per tonne silver over 16 metres. This hole was also drilled at a high angle to the overall strike of the zone. The estimated true width of the mineralization is approximately 35-40 metres.

Hole IX-64 oriented due east at -70 degrees tested the width of the mineralized sequence to the SW. This hole returned a 30 metre interval between 106 and 136 metres which contained 1.1 grams per tonne gold and 4.3 grams per tonne silver.

The bottom part of hole IX-62, drilled vertical, assayed only anomalous gold 0.2 grams per tonne and 1.7 grams per tonne silver over 76.2 metres (342-396). The hole ran only anomalous values as it was situated well into the footwall away from the main NE structure. Hole IX-63 oriented due west at -70 showed only anomalous values as it was drilled into the hangingwall, outside the mineralized sequence.

Data table for Campamento:



------------------------------------------------------------------------
Hole From To Thickness Grams per Grams per Comment
tonne gold tonne silver
------------------------------------------------------------------------
IX-56B 8 364 356 1.3 4.6 8-134 metres
reported May 26
------------------------------------------------------------------------
incl 160 192 32 2.8 11.9
------------------------------------------------------------------------
incl 300 364 64 3.1 5.8
------------------------------------------------------------------------
incl 300 332 32 4.9 6.5
------------------------------------------------------------------------
incl 300 322 22 6.5 6.1
------------------------------------------------------------------------

------------------------------------------------------------------------
IX-64 44 48 4 1.8 4.3
------------------------------------------------------------------------
and 106 136 30 1.1 4.3
------------------------------------------------------------------------
And 168 176 8 1.3 6.1
------------------------------------------------------------------------

------------------------------------------------------------------------
IX-66 28 220 192 1.2 4.5
------------------------------------------------------------------------
incl 144 220 76 1.6 5.2
------------------------------------------------------------------------
incl 158 174 16 2.3 5.6
------------------------------------------------------------------------


Re-evaluation of past drilling combined with recent detailed mapping and results for this latest drill campaign demonstrate that the Campamento deposit is situated in a highly fractured fault zone that is trending in a NE-SW direction and dipping sub vertically. Drilling to date indicates this structure is up to 120 metres wide and extends for at least 200 metres along strike. The highest-grade gold mineralization is associated with calcite, clay, quartz fracture filling veinlets and with highly fractured zones. The mineralized fault structure is open NW, SE and down dip. The drill program in progress is now testing for strike extension to the NW and SW as well as the overall depth extent.

The Company is also pleased to report that it has acquired an additional 69,120 hectares to the west, north and south of the Ixhuatan concession. Following these property acquisitions, the Company's Ixhuatan property now covers 98,044 hectares.

Holes IX-65, 67, 68 and IXWA05-01 have been completed and assays are pending.

All samples were submitted to ALS Chemex Labs in Guadalajara Mexico with gold analyzed by 30g or 50g charge digestion Fire Assay - AA finish with samples greater than 10 g/tonne analyzed by Fire Assay - gravimetric finish. Other metals were analyzed by aqua regia digestion with ICP finish.

This press release has been prepared under the supervision of Bill Bond P.Geo. who serves as the qualified person for this project under National Instrument 43-101.

Linear Gold Corp. is actively exploring for gold and base metals in Mexico, and through joint ventures in Canada and the Dominican Republic.

Wade K. Dawe, President

Forward Looking Statement:

Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various degrees of risk. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital.

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

Contact Information

  • Linear Gold Corp.
    Wade K. Dawe
    President
    (902) 422-1421
    www.lineargoldcorp.com
    or
    Fuller Fletcher & Associates Ltd
    Nick Fuller or Samantha Fletcher
    European Investor Relations
    +44 207 256 5204
    +44 207 256 5678 (FAX)