Merrex Gold Inc.
TSX VENTURE : MXI

Merrex Gold Inc.

November 16, 2006 15:50 ET

Merrex Exploration Update

HALIFAX, NOVA SCOTIA--(CCNMatthews - Nov. 16, 2006) - Gregory Isenor, President & CEO of Merrex Gold Inc. (TSX VENTURE:MXI)("Merrex") is pleased to provide and update on the following exploration projects:

West Mali Gold Project

A 40,000 Metre RAB drilling program has been designed to drill test the ten kilometer long Siribaya Structure located in the prolific West Mali gold producing area of the West Africa Gold Belt. The Siribaya structure contains several strong gold geochemical anomalies including the Zone 1A anomaly that previously reported a trench assay of 35m of 3.1g/t Au including 17m of 5g/t Au (see press release: July 25, 2006). This anomaly will be the initial target of the RAB drilling program that will include 19 lines of RAB drill holes spaced 10 to 30 meters apart and drilled to an average planned depth of 50 meters. The RAB program is planned to commence in mid November after access roads have been completed and the drilling rig has been mobilized. Merrex has a signed drill contract in place (see press release: October 16, 2006). Merrex currently controls five mineral permits covering over 700 square kilometers in West Mali. Drilling updates and analytical results will be released as received by Merrex.

Jubilee Zinc Project

Diamond drilling has been underway since September on the Merrex Jubilee Zinc property, located in Cape Breton, Nova Scotia. The program will consist of 10 - 15 holes totaling approximately 4000 - 5000 meters and is designed to detail and expand the Jubilee Zinc Deposit (see press release: September 27, 2006). The known areas of zinc mineralization are spatially associated with near-vertical northwest trending fault structures. One such zone of high grade zinc mineralization lies both adjacent to and within the Jubilee Fault and will be tested for its strike extension to the northwest. To date seven holes have been completed and assays will be forthcoming. The Jubilee property covers the Jubilee zinc deposit and totals 228 claims of which 205 are 100% Merrex owned and 23 optioned from AUR Resources (see press release: September 19, 2006).

West Voisey's Bay Nickel Project

The West Voisey's Bay Nickel Project is located approximately 12 kilometers southwest of the Voisey's Bay nickel-copper-cobalt deposit in Labrador and is a 50/50 Joint Venture with Celtic minerals, the project operator. The West Voisey's Bay property consists of 511 mineral claims aggregating 127.75 square kilometers, including 60 claims under option agreement with CanAlaska Ventures Inc. and Columbia Yukon Explorations Inc. (see press release: September 8, 2006). Four holes of the planned six-hole drill program totaling 5000 meters (see press release: September 12, 2006) have been completed during 2006 to test priority geophysical targets within a four kilometer long by 1.5 kilometer wide east-west aligned corridor. Structural zones and positive indicators consisting of olivine bearing gabbro and some gneissic and melagabbro or ultramafic xenoliths have been intersected in drilling. These appreciable zones of gabbro and similar troctolitic rocks are known to host the Voisey's Bay ore deposits. Results of the drilling program are anticipated in the near future.

Red Lake Gold Project

Merrex holds three claim groups totaling 229 individual claims in the Birch Lake area located east of the very active Red Lake, Ontario mining camp. During the past summer's field season, crews have been on the claim groups at Goodall, Skinner and Shabumeni Lake locations prospecting, collecting rock samples and conducting humus surveys. The Skinner claims are adjacent to the Sabina Silver Corporation's Golden Sidewalk showing near Bathurst Lake. Most of the work completed by Merrex concentrated on the Shabumeni Lake claims where old showings were located, mapped and sampled. A total of 81 rock samples and 98 humus samples were collected for analysis. It is planned that a final report with analytical results for this recent work will be completed early in the first quarter of 2007. Future exploration will include line cutting, geophysics and geological mapping to further evaluate the gold mineralization on the properties.

Cape Breton Zinc Project

One thousand nine hundred and twenty four claims held under 34 licenses have been acquired and will be transferred to Merrex. These claims are located in the Carboniferous aged rocks of Cape Breton and are being targeted due to several indicators that point to the potential for Jubilee type mineralization. This is a grass roots exploration program. These claims have been acquired based on both the extensive database of Merrex management and the recommendations of consultants. The claims will be explored and groomed for drilling during 2007.

Additional information on these projects, including maps for the projects, are located in the Merrex Presentation available on our website: www.merrexgold.com

Merrex is a mineral resource exploration company focused on exploration for gold in Mali, West Africa, zinc in Nova Scotia, nickel in Newfoundland, and gold in Red Lake, Ontario, with a solid organization of people and projects to enable continued aggressive exploration and growth strategy.

Gregory Isenor, P. Geo., President and CEO of Merrex, is the named Qualified Person and has reviewed this news release.

Merrex Gold Inc. invites the public to visit its website at www.merrexgold.com or to email us at info@merrexgold.com to be added to the Company's email list for press releases and updates.

This press release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future exploration drilling, exploration activities and events or developments that the Company expects, are forward looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions.

THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ACCURACY OF THIS RELEASE.

Contact Information

  • Merrex Gold Inc.
    Greg Isenor
    President & CEO
    (902) 832-5555
    (902) 832-2223 (FAX)
    or
    Merrex Gold Inc.
    Diane Webber
    Senior Geologist/Investor Relations
    (902) 832-5555
    (902) 832-2223 (FAX)
    Email: info@merrexgold.com
    Website: www.merrexgold.com