Mosquito Consolidated Gold Mines Limited
TSX VENTURE : MSQ

Mosquito Consolidated Gold Mines Limited

January 08, 2007 19:03 ET

Mosquito Drill Results Confirm Grade and Thickness at Cumo

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 8, 2007) - Mosquito Consolidated Gold Mines Limited (TSX VENTURE:MSQ) -

Mr. Shaun M. Dykes, M.Sc. (Eng), P.Geo. Exploration Manager and Director of Mosquito and Mosquito's qualified person under National Instrument 43-101 has updated the Company on the results from the 2006 diamond drill program on the Cumo Property, Idaho.

Mosquito took over control of the program from Kobex Resources Ltd. Oct 10, 2006. The exploration program is under the direction of Mosquito Director and Senior Geologist, Dr. Matt Ball, Ph.D., P.Geo.

Hole 27 was drilled at an angle of 90 degrees to a depth of 563.6 meters (1849 feet). Hole 27 intersected Molybdenum bearing mineralization from 39.6m (130 feet) to 563.6m (1849 feet) with Kobex stopping the hole in mineralization. The last assay in the hole was 10 feet grading 0.082%MoS2. It should also be noted that Kobex did not assay for rhenium. Assay results returned include:



Hole 27-06: 563.6 meters (1729.0 feet) grading 0.085% MoS2
(1.22% Cu Eq. 0.108% MoS2 Eq., 1.52 lbs MoO3/t)
Or 328.9 meters (1079.0 feet) grading 0.111% MoS2
(1.49% Cu Eq., 0.132% MoS2 Eq., 1.99 lbs MoO3/t)


Hole 28 was drilled at an angle of 90 degrees to a depth of 521.2 meters (1710 feet). Hole 28 intersected molybdenum bearing mineralization from 50.3m (165 feet) to 515.1m (1690 feet). Assay results returned include:



Hole 28-06: 515.1 meters (1640.0 feet) grading 0.096% MoS2
(1.35% Cu Eq., 0.121% MoS2 Eq., 1.91 lbs MoO3/t)
Or 310.9 meters (1020.0 feet) grading 0.122% MoS2
(1.64% Cu Eq., 0.147% MoS2 Eq., 2.22 lbs MoO3/t)


Hole 27-06 is designed to confirm the continuity of mineralization intercepted in the two AMAX holes 19 and 14 holes which are 571 meters (1865 feet) apart (figure 1). Hole 28-06 is designed to confirm the continuity of mineralization intercepted in the two AMAX holes 13 and 14 holes which are 411.8 meters (1350 feet) apart.

In addition, the drilling has confirmed the presence of three distinct metal zones within the deposit. This zonation was not recognized by the previous operators. The zones consist of a copper-silver upper zone, a transitional copper-molybdenum zone and a lower molybdenum zone. Grades from the new drilling are as follows:

Copper silver

Hole 27-06: 36.6 meters (120 feet) grading 0.14% cu, 0.007% MoS2, 3.89 gms Ag/T

Hole 28-06: 42.7 meters (140 feet) grading 0.11% cu, 0.032% MoS2, 2.55 gms Ag/T

Copper-molybdenum zone

Hole 27-06: 353.6 meters (1040 feet) grading 0.09% cu, 0.049% MoS2, 2.05 gms Ag/T

Hole 28-06: 201.2 meters (660 feet) grading 0.11% cu, 0.079% MoS2, 3.11 gms Ag/T

Molybdenum zone

Hole 27-06: 210.0 meters (689 feet) grading 0.04% cu, 0.138% MoS2, 0.95 gms Ag/T

Hole 28-06: 277.7 meters (911 feet) grading 0.02% cu, 0.111% MoS2, 0.99 gms Ag/T

3D Modeling of the above zonations indicates the current area being drilled is located on the north side of a large system of which only a small part has been drilled. Indications are also that the thickness of the higher grade molybdenum zone is increasing to the south. Figure 1 shows a plan view of the area.

To view Figure 1 please click on the following link: http://www.ccnmatthews.com/docs/Mosquito.pdf

The excellent results have confirmed the thickness and grade of mineralization on the property indicated by previous operators. Statistical analysis of the 2006 drill results show they match the wide spaced drill holes completed by previous operators.

In 1982 AMAX produced computer generated kriged block model indicated a geological resource of 1.387 billion tons of 0.093% MoS2 at a 0.05% MoS2 cutoff, including a higher-grade core zone of 444 million tons of 0.135% MoS2 at a 0.10% MoS2 cutoff. It should be noted that although the resource was calculated by highly competent and professional personnel it was done prior to the implementation of NI 43-101 and can only be considered historical. In accordance with NI43-101 it should be noted that a qualified person has not done sufficient work to classify the historical estimate as current mineral resource, the issuer is not treating the historical estimate as current mineral resources and the historical estimate should not be relied upon.

The table below lists the location and orientation of the drill holes. All holes have been surveyed down the hole using a Reflex survey instrument.



--------------------------------------------------------------
Hole Northing Easting Elevation dip azimuth Length
Number feet feet feet degrees degrees feet
--------------------------------------------------------------
27-06 20,016.7 20,160.3 7105 -90 000 1849
--------------------------------------------------------------
28-06 19,531.6 20,796.4 7170 -90 000 1711
--------------------------------------------------------------


Full summary of the analytical results are outlined in Table 1. Mineralization consists of copper, molybdenum, silver, rhenium and gallium. As a result of the multi-element nature of the mineralization, it was decided to calculate both a copper and molybdenum equivalent for the intercepts. Both equivalents are required as the deposit is zoned as described above. See notes below table for explanation of the calculation of copper equivalent (Cu Equiv.), MoS2 equivalent (MoS2 Equiv.). The presence of the by-product elements silver, rhenium and gallium is very significant in terms of the development of the property.

Table 2 shows previous results in comparison to the new drilling.

The entire core was sampled and cut in half using a diamond saw. Half the core is sent for analysis the other half has been kept and stored at the core facility located on site. Following cutting the samples are delivered directly by Mosquito personnel to ALS Chemex in Elko, Nevada, a fully accredited analytical laboratory. They are first analyzed for 47 elements using a four (4) acid digestion with analysis by Inductively Coupled Argon Plasma Optical Mass Spectrometer (ICP-MS). Copper and Molybdenum bearing samples are then checked by using a larger 5 gram sample and analyzed using pressed powder pellet X-Ray Fluorescence Spectroscopy (XRF). In addition duplicates, blanks, and standards are analyzed to ensure analytical accuracy and reproducibility. All rejects are being kept for further analysis and for use in metallurgical testing.

Mosquito's concept of exploring for a large scale, low cost, open pit accessible deposit has been validated. Work will proceed in 2007 with the outlining of the extents of this significant deposit. Drilling is planned to start in the spring (March) with two diamond drill rigs.

One drill will continue to obtain data to be used in a 43-101 compliant resource calculation, while the second drill will be used to step out to the south to determine the full extent of the mineralization, including looking for a high grade core to the system. Some proposed holes are shown in figure 1.

Mr. Shaun M. Dykes, M.Sc. (Eng), P.Geo., Exploration Manager and Director of Mosquito, is the designated qualified person for the CUMO Project, and prepared the technical information contained in this news release.

On Behalf of the Board

MOSQUITO CONSOLIDATED GOLD MINES LIMITED

Brian McClay, President

THIS NEWS RELEASE WAS PREPARED BY MANAGEMENT WHO TAKES FULL RESPONSIBILITY FOR ITS CONTENTS.




Table 1 Significant Intersections for 2006 Drill program

--------------------------------------------------------------------------
--------------------------------------------------------------------------
Cu MoS2
from to length from to length equiv equiv
--------------------------------------------------------------------------
feet feet feet meters meters meters % %
--------------------------------------------------------------------------
--------------------------------------------------------------------------
zones averages
--------------------------------------------------------------------------
copper-silver
zone 0 120 120 0.00 36.58 36.58 0.48 0.043
--------------------------------------------------------------------------
copper-moly zone 120 1160 1040 36.58 353.57 316.99 0.86 0.076
--------------------------------------------------------------------------
moly zone 1160 1849 689 353.57 563.58 210.01 1.77 0.157
--------------------------------------------------------------------------
--------------------------------------------------------------------------
averages
--------------------------------------------------------------------------
overall 120 1849 1729 36.58 563.58 527.00 1.22 0.108
--------------------------------------------------------------------------

--------------------------------------------------------------------------
including 770 1849 1079 234.70 563.58 328.88 1.49 0.132
--------------------------------------------------------------------------
including 1080 1849 769 329.18 563.58 234.39 1.70 0.151
--------------------------------------------------------------------------
--------------------------------------------------------------------------


--------------------------------------------------------------------------
--------------------------------------------------------------------------
Cu MoS2 MoO3 Re Ag Ga
--------------------------------------------------------------------------
% % lbs/t Gms/T Gms/T gms/T
--------------------------------------------------------------------------
--------------------------------------------------------------------------
zones averages
--------------------------------------------------------------------------
copper-silver zone 0.14 0.007 0.13 0.00 3.89 20.00
--------------------------------------------------------------------------
copper-moly zone 0.09 0.049 0.88 0.00 2.05 18.08
--------------------------------------------------------------------------
moly zone 0.04 0.138 2.48 0.05 0.95 14.79
--------------------------------------------------------------------------
--------------------------------------------------------------------------
averages
--------------------------------------------------------------------------
overall 0.07 0.085 1.52 0.02 1.61 16.77
--------------------------------------------------------------------------

--------------------------------------------------------------------------
including 0.05 0.111 1.99 0.03 1.21 16.02
--------------------------------------------------------------------------
including 0.04 0.132 2.37 0.04 0.99 15.07
--------------------------------------------------------------------------
--------------------------------------------------------------------------
notes: Kobex assayed upper part of hole and didn't assay for rhenium so
only 50% of assays have Rhenium values
Last assay in hole ran 0.081% MoS2


Hole 28-06

--------------------------------------------------------------------------
--------------------------------------------------------------------------
Cu MoS2
from to length from to length equiv equiv
--------------------------------------------------------------------------
feet feet feet meters meters meters % %
--------------------------------------------------------------------------
zones averages
--------------------------------------------------------------------------
copper-silver
zone 0 140 140 0.00 42.67 42.67 0.70 0.062
--------------------------------------------------------------------------
copper-moly zone 140 800 660 42.67 243.84 201.17 1.24 0.109
--------------------------------------------------------------------------
moly zone 800 1711 911 243.84 521.51 277.67 1.48 0.131
--------------------------------------------------------------------------
--------------------------------------------------------------------------
averages
--------------------------------------------------------------------------
50 1690 1640 15.24 515.11 499.87 1.36 0.121
--------------------------------------------------------------------------

--------------------------------------------------------------------------
including 460 1480 1020 140.21 451.10 310.90 1.65 0.147
--------------------------------------------------------------------------
including 840 1240 400 256.03 377.95 121.92 2.05 0.181
--------------------------------------------------------------------------
--------------------------------------------------------------------------


--------------------------------------------------------------------------
--------------------------------------------------------------------------
Cu MoS2 MoO3 Re Ag Ga
--------------------------------------------------------------------------
% % lbs/t Gms/T Gms/T gms/T
--------------------------------------------------------------------------
--------------------------------------------------------------------------
zones averages
--------------------------------------------------------------------------
copper-silver zone 0.11 0.032 0.57 0.01 2.55 19.49
--------------------------------------------------------------------------
copper-moly zone 0.11 0.079 1.42 0.03 3.11 18.40
--------------------------------------------------------------------------
moly zone 0.02 0.112 2.02 0.06 0.91 15.43
--------------------------------------------------------------------------
--------------------------------------------------------------------------
averages
--------------------------------------------------------------------------
0.07 0.096 1.73 0.05 1.91 16.92
--------------------------------------------------------------------------

--------------------------------------------------------------------------
including 0.05 0.123 2.22 0.06 1.59 17.11
--------------------------------------------------------------------------
including 0.03 0.162 2.90 0.09 0.98 16.23
--------------------------------------------------------------------------
--------------------------------------------------------------------------




Table 2 Significant Intersection from Previous Drilling

---------------------------------------------------------------------------
Year Cu Mo
Hole Length Drill- From To length MoS2 Cu AG Eq Eq MoO3
Number feet ed feet feet feet % % Gms/T % % lbs/t
---------------------------------------------------------------------------
DDH-1 1884 diam- 231 1884 1653 0.062 0.123 2.7 0.84 0.045 1.12
ond
1971
---------------------------------------------------------------------------
including 390 470 80 0.93 0.146 2.63 10.62 0.566 16.73
---------------------------------------------------------------------------
or 1700 1884 184 0.1 0.084 1.21 1.22 0.065 1.80
---------------------------------------------------------------------------
Hole stopped in mineralization
---------------------------------------------------------------------------
DDH-5 1416 diam- 450 1416 966 0.06 0.13 4.46 0.84 0.045 1.08
ond
1972
---------------------------------------------------------------------------
DDH-9 804.6 diam- 460 804.6 344.6 0.077 0.198 7.16 1.12 0.060 1.38
ond
1974
---------------------------------------------------------------------------
Hole stopped in mineralization
---------------------------------------------------------------------------
DDH-10 2381 diam- 220 2160 1940 0.101 0.051 1.49 1.20 0.064 1.82
ond
1975
---------------------------------------------------------------------------
DDH-11 3003 diam- 140 2428.3 2288.3 0.074 0.05 1.42 0.89 0.048 1.33
ond
1976
---------------------------------------------------------------------------
including 1300 1960 660 0.127 0.032 0.44 1.46 0.078 2.28
---------------------------------------------------------------------------
DDH-13 1804 diam- 680 1804 1124 0.111 0.049 1.98 1.31 0.070 2.00
ond
1977
---------------------------------------------------------------------------
Amax Hole stopped in mineralization
---------------------------------------------------------------------------
DDH-14 2123.8 diam- 780 2123.8 1343.8 0.114 0.062 1.86 1.36 0.072 2.05
ond
1977
---------------------------------------------------------------------------
Amax 1200 1960 760 0.151 0.063 1.91 1.78 0.095 2.72
---------------------------------------------------------------------------
DDH-15 1933.2 diam- 600 1933.2 1333.2 0.114 0.062 1.8 1.36 0.072 2.05
ond
1977
---------------------------------------------------------------------------
Amax 1260 1880 620 0.153 0.019 0.75 1.74 0.093 2.75
---------------------------------------------------------------------------
Hole stopped in mineralization
---------------------------------------------------------------------------
DDH-16 2137.7 diam- 1000 2131.7 1131.7 0.093 0.045 1.86 1.11 0.059 1.67
ond
1978
---------------------------------------------------------------------------
DDH-17 2281.5 diam- 1160 2281.5 1121.5 0.065 0.082 2.59 0.83 0.044 1.17
ond
1978
---------------------------------------------------------------------------
DDH-18 2361 diam- 1400 2361 961 0.129 0.081 2.71 1.55 0.083 2.32
ond
1978
---------------------------------------------------------------------------
DDH-19 2280 diam- 120 2280 2160 0.102 0.079 2.31 1.24 0.066 1.83
ond
1979
---------------------------------------------------------------------------
including 1880 2120 240 0.128 0.064 2.54 1.52 0.081 2.30
---------------------------------------------------------------------------
Hole stopped in mineralization
---------------------------------------------------------------------------
DDH-20 2543 diam- 165 325 160 0.06 0.086 2.74 0.78 0.042 1.08
ond
1979
---------------------------------------------------------------------------
Amax 365 1800 1435 0.071 0.118 3.98 0.95 0.051 1.28
---------------------------------------------------------------------------
DDH-25 1011 diam- 190 1011 821 0.071 0.135 2.43 0.95 0.051 1.28
ond
1981
---------------------------------------------------------------------------
740 1011 271 0.09 0.142 2.98 1.18 0.063 1.62
---------------------------------------------------------------------------
Hole stopped in mineralization
---------------------------------------------------------------------------
DDH-26 1193 diam- 30 110 80 0.051 0.102 1.49 0.69 0.037 0.92
ond
1981
---------------------------------------------------------------------------
320 750 430 0.037 0.216 10.94 0.72 0.038 0.67
---------------------------------------------------------------------------
Notes: Rhenium and gallium were not analyzed for by AMAX. Amax also
performed extensive check assays, including inter lab checks,
blanks, standards and duplicates.


Table 1 and 2 Notes

Notes: Copper equivalent (Cu. Eq.) is based on the following metal prices (all in US$): Copper $2.00/lb, Molybdenum Trioxide ($25/lb), Rhenium $5.75/gram , Silver $0.32/gram and Gallium $0.425/gram.

Other factors include 1% = 20 pounds; 1 ppm = 1 gm/T; 1000 ppb = 1ppm = 1 gm/T.

Molybdenum is sold as either ferro-molybdenite or molybdenum trioxide. The price used is $25 per pound Molybdenum trioxide. To obtain the amount of Molybdenum trioxide that can be produced from MoS2, the following is required: convert MoS2 to Mo by dividing MoS2 by 1.6681 then convert to MoO3(Molybdenum Trioxide) by multiplying by 1.5. Therefore the amount of Molybdenum trioxide is pounds MoS2 times 1.5 / 1.6681.

Metallurgical recoveries and net smelter returns are assumed to be 100%.

Formulas:

Cu. Equiv. = ((cu x 20 x $)+((MoS2 x 20 x (1.5/1.6681) x $(MoO3))+(Re x $)+(Ag x $)+(Ga x $))/ $(copper)

MoS2. Equiv. = ((cu x 20 x $)+((MoS2 x 20 x (1.5/1.6681) x $(MoO3))+(Re x $)+(Ag x $)+(Ga x $))/ ((1.6681/1.5) x $(moO3))

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Mosquito Consolidated Gold Mines Limited
    Brian McClay
    President
    (604) 689-7902
    (604) 689-7816 (FAX)
    Website: www.mosquitogold.com