NFX Gold Inc.

NFX Gold Inc.

March 04, 2008 09:00 ET

NFX Gold Begins Drilling Program South of Larder Lake and Appoints Exploration Team

TORONTO, ONTARIO--(Marketwire - March 4, 2008) - NFX GOLD INC. ("NFX") (TSX VENTURE:NFX) is pleased to announce that it has commenced drilling on its 100% owned Kirkland-Wright property (the "Kirkland-Wright Property"), located 8 kms south of its Larder Lake properties, currently being drilled pursuant to a joint venture with Maximus Ventures Ltd.

The Kirkland-Wright Property consists of 16 claims covering 3,216 hectares and is located 1.5 km north-east of the former producing Martin-Bird Gold Mine which, according to a non-National Instrument 43-101 compliant report (Thompson, 1949), contains an historical resource of 157,600 tons grading 0.14 oz/ton gold (uncategorized) and 23,500 tons grading 0.21 oz/ton gold (uncategorized). These estimates are historical in nature, and as such, are not National Instrument 43-101 compliant.

NFX acquired the Kirkland Wright Property in April 2006, and has since completed geoscientific compilation work which has led the company to initiate the 800 m drilling program.

The area of interest is transected by the northeast-trending Milky Creek fault, one of a series of large-scale faults secondary to the "Larder Lake-Cadillac Break", known worldwide as a major gold-bearing structure.

The claim group is predominantly underlain by Archean mafic and ultramafic volcanic and sedimentary rocks (2679+/-3 Ma) intruded by felsic volcanic rocks (syenite) and lamprophyre. Previous drilling in the area by Lac Minerals (1983) described strong chloritization and silicification, as well as occurrences of green carbonate and fuchsite-rich agglomerate. Although only sporadic low gold grades have been intersected in the historic drill holes, the current geological model suggests that grades, widths and continuity of gold zones improves at depth The current 800 m drill program is designed to test a magnetic-low/conductivity-high/electromagnetic-high anomaly that is coincident with the Milky Creek fault.

NFX is encouraged by the structural, geophysical and geological environment around this target. The Kirkland-Wright Property has significant exploration potential for the discovery of high-grade gold mineralization beneath the 120 m vertical penetration of historic drilling. This is consistent with the larger high-grade gold deposits of the area. A complete set of analytical results will be released by NFX once the drilling program has been completed.

The drill program is being carried out by NFX personnel under the supervision of John Langton, M.Sc., P.Geo., a qualified person consistent with National Instrument 43-101, and NFX's newly appointed Exploration Manager, Ontario.

NFX is also pleased to announce new appointments to its exploration team, bringing combined experience in excess of 75 years. Mr. Martin Bourgoin, P. Geo. has been appointed Executive Vice President, Mr. Alexander Horvath, P. Eng, a director of NFX since April 2006, has been appointed Executive Vice President, Exploration, and Mr. John Langton, M.Sc., P. Geo. has been appointed as Exploration Manager, Ontario. NFX President and CEO, Thomas Larsen, stated, "On behalf of the board of directors and management team at NFX, I would like to welcome our new exploration team and look forward to their contributions in mineral exploration and strategic planning as NFX's Larder Lake exploration program advances."

This release contains certain "forward-looking statements". All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future, are forward-looking statements. Potential quantity and grade is conceptual in nature. There has been insufficient exploration to define a mineral resource on the properties mentioned above and it is uncertain if further exploration will result in any such target being delineated as a mineral resource. Forward-looking statements reflect the current internal projections, expectations or beliefs of the Company based on information currently available to the Company. Forward-looking statements are subject to a number of risks and uncertainties, including those detailed from time to time in filings made by the Company with securities regulatory authorities, that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, the Company.

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

Contact Information

    Thomas G. Larsen
    President and Chief Executive Officer
    (416) 360-8006
    (416) 361-1333 (FAX)
    Jorge Estepa
    Vice President
    (416) 360-8006
    (416) 361-1333 (FAX)