Lupaka Gold Corp.
TSX : LPK

Lupaka Gold Corp.

February 02, 2012 08:00 ET

Lupaka Gold Corp. Drills 67 Metres at 1.36 g/t Gold Including 27 Metres at 2.64 g/t Gold as A-1 Zone Continues to Expand to the North

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 2, 2012) - Lupaka Gold Corp. ("Lupaka Gold" or "the Company") (TSX:LPK) announces that it has received assay results on the final two drill holes from the recently completed 2011 drill program on its Crucero Gold Project in southern Peru. The Company reports results on noteworthy intercepts at Crucero assaying 1.36 g/t gold over 67 metres and containing higher grade intercepts of 2.64 g/t gold over 27 metres and 3.83 g/t gold over 11.25 metres.

Gold intercepts are highlighted below, with more comprehensive results and drill hole co-ordinates reported in Table 1. All of these results are from the A-1 Zone and all numbers are in metres except Gold which is in grams per tonne ("g/t"):


Drill Hole
Total
Depth
Intersection Intercept Gold (g/t)
From To
DDH-51 360.15 226.00 293.00 67.0 1.36
Including 226.00 253.00 27.0 2.64
Including 238.00 249.25 11.25 3.83
DDH-52 300.50 146.00 156.00 10.0 1.23

Eric Edwards, President and CEO of Lupaka Gold, commented, "We have completed another very successful year of exploration, exceeding our drilled-meters resource expansion objective for the A-1 Zone, while delivering consistent grade and width intercepts in step-out drilling. We expect our 2012 drill program to continue to follow and identify the northern extension of the A-1 Zone at Crucero."

The Company stopped drilling for the 2011 season as planned on December 31, 2011. A total of 23 core drill holes and over 7,300 metres were drilled from May 2011 through the end of the year, mainly focused on resource expansion at the A-1 Zone. Final assay results to date show that the Company has not yet defined the northern limit of the A-1 resource, and that the A-1 Zone mineralized envelope remains open and continues to the north.

To see Plan View of A-1 Zone at Crucero Project visit: http://media3.marketwire.com/docs/LPK202_F1.pdf.

2012 Drill Program

Drilling for the 2012 season is expected to commence in April 2012. During the drilling hiatus over the next three months, the Company will focus on finalizing an updated National Instrument ("NI") 43-101 resource update, completing all core logging and geologic interpretation, and preparing for the upcoming drilling season. Company staff remain at the Crucero site year-round for continuity with community relations and environmental activities.

The Company has planned for 11,000 metres of drilling for the 2012 program with 5,500 metres planned for resource expansion on A-1 and 5,500 metres for exploration on the other anomalies within the Company's 5,500 hectare property area. The Company recently filed permit applications for the A-3/A-4/A-5 Zone areas, approximately 2 kilometers to the east of the A-1 Zone and plans to commence exploration drilling on these exploration anomalies by mid-year 2012. A significant program of mapping, soil sampling and geophysics is also planned across the property to better define drill targets for the exploration anomalies.

The Company intends to release an updated NI 43-101 resource update for the A-1 Zone in March 2012 that will include assay results from all drilling through December 31, 2011.

About the Company

Lupaka Gold is aggressively exploring and developing the Crucero Gold Project, its 5,500 hectare gold property located in southern Peru. The Company, based in Vancouver, Canada, is project operator and holds a 100% interest in the property. Since commencing active exploration in April 2010, the Company has reported a NI 43-101 compliant gold resource (see the Company's most recent technical report on sedar.com). In addition to the existing resource, Lupaka Gold has identified several exploration targets within the Crucero Property that display similar anomalous characteristics. Lupaka Gold is led by a strong management team with a proven ability to develop, finance and operate mining projects. The Company completed an initial public offering of its common shares and warrants on the Toronto Stock Exchange on June 28, 2011.

Quality Control and Assurance

Assaying for this drilling campaign was carried out by SGS Peru in Lima, Peru, exercising a thorough Quality Assurance and Control program (QA/QC). As part of QA/QC protocol, duplicates, standards and blanks were inserted into the sample processing stream. The core was photographed for reference, logged and mineralized sections were sawed in half. Sample lengths vary between 0.5 to 2.0 metres. Half core samples were bagged, sealed and delivered to SGS Peru in Juliaca, Peru, an accredited laboratory. The remaining core is stored on site for reference. Gold was assayed by a 50 gram fire assay with an AAS finish. All SGS Peru labs are ISO 9000 registered.

William Burstow, Lupaka Gold's consulting geologist and a "qualified person" as defined by National Instrument 43-101, has reviewed and approved the scientific and technical information contained in this news release, and is responsible for the disclosure of the drill results. Mr. Burstow has verified the technical and scientific information including sampling, analytical and test data underlying the information or opinions contained in this news release.

Forward-Looking Information

This news release includes forward-looking statements or forward-looking information (together, "forward-looking statements") for the purposes of applicable securities laws and the U.S. Private Litigation Reform Act of 1995, including statements relating to drilling results and geological interpretations for the Crucero Property, the size and quality of the Company's mineral resources, progress in development of the Crucero mineral property, the prospective mineralization of the Crucero Property and planned exploration programs. There can be no assurance that such forward-looking statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such forward-looking statements. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the key assumptions and parameters on which the geological interpretations are based are reasonable, that the Company will be able to obtain the necessary financing, supplies, equipment, personnel, permits and local community approval of drilling plans to conduct its planned exploration and development activities, that the exchange rates of the U.S., Canadian and Peruvian currencies will be consistent with the Company's expectations, that the Company's current exploration and other objectives concerning the Crucero Property can be achieved and that its exploration and other activities will proceed as expected. However, the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Such risks, uncertainties and other factors include that actual results of exploration activities will be different than anticipated, that data and assumptions underlying the geological interpretations may prove to be inaccurate, incomplete or to have been incorrectly interpreted, that the Company may not be able to obtain the financing, supplies, equipment, personnel, permits and local community approval of drilling plans required to pursue its exploration and development objectives, changes in exploration programs based upon results of exploration; currency fluctuations; equipment or materials; increased costs as a result of changes in project parameters; failure of equipment to operate as anticipated; accidents, effects of weather and other natural phenomena and other risks of the mineral exploration industry; political risks and risks related to community relations and activities of stakeholders. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as required by applicable securities legislation.

Table 1
Crucero Gold Project
New A-1 Zone Drilling Results
Total
Depth
(Metres)

From
(Metres)

To
(Metres)

Intercept*
(Metres)
Gold (g/t)
DDH-51 360.15 137.00 143.00 6.00 0.42
226.00 293.00 67.00 1.36
including 226.00 253.00 27.00 2.64
including 228.00 232.00 4.00 3.60
including 238.00 249.25 11.25 3.83
including 267.00 276.00 9.00 0.78
including 289.00 293.00 4.00 1.95
DDH-52 300.50 129.00 131.00 2.00 0.67
136.00 140.00 4.00 0.76
146.00 156.00 10.00 1.23
HOLE LOCATIONS Metres
East North Elevation Azimuth Inclination
DDH-51 410,693 8,433,406 4,415 236° -60
DDH-52 410,694 8,433,406 4,415 236° -45
* The Company does not have sufficient geological data to determine true widths of the intercepts.

Contact Information

  • Lupaka Gold Corp.
    Scott Warren
    Manager, Investor Relations
    +1 (604) 681-5900
    www.lupakagold.com