Northquest Ltd.
TSX VENTURE : NQ

Northquest Ltd.

August 12, 2011 08:30 ET

Northquest Ltd. Commences Drilling at the Pistol Bay Gold Project, Nunavut, Canada

TORONTO, ONTARIO--(Marketwire - Aug. 12, 2011) - Northquest Ltd. (TSX VENTURE:NQ) ("Northquest" or "the Company") announces that it has commenced drilling at the Pistol Bay Gold Project, Nunavut, Canada.

The project consists of approximately 1,100 square kilometres of mineral rights located approximately 60 kilometres south of Rankin Inlet, Nunavut, in the Rankin Ennadai Greenstone Belt. The Pistol Bay Gold Project is within a mineralized corridor of rocks in an analogous geological setting to the Meliadine Gold Project of Agnico Eagle Mines located 80 kilometres to the north of the Pistol Bay Gold Project.

An airborne magnetometer survey of the Pistol Bay Gold Project was completed in April, 2011, and ground geological exploration work, consisting of mapping, sampling, and drilling target selection and ranking has been ongoing since June 28, 2011. This initial phase of drilling will consist of approximately 2,500 metres of diamond drilling.

Jon North, President and CEO of the Company stated that "The objective of this drilling program is to evaluate the nature, thickness, and grade of gold of the highest priority drilling targets which are the Pistol Porphyry and Cooey gold occurrences. Selected grab samples collected by the Company from the Pistol Porphyry gold occurrence, which is an epizonal, albite-pyrite-magnetite zone in a feldspar porphyry, contain up to 9.19 grams gold per tonne and the alteration zone has an indicated strike length of over 1 kilometre and a width of at least 50 metres. The Cooey gold occurrence is hosted within a 75 metre thick banded iron formation which contains quartz veins, other hydrothermal silicate minerals, arsenopyrite, and gold. Selected grab samples from the Cooey gold occurrence, collected by the Company, contain up to 4.1 grams gold per tonne. We are particularly interested in these targets because they appear to have the same structural and stratigraphic setting as the Meliadine Gold Deposit of Agnico Eagle Mines (5 million ounces of gold at an average grade of 7.4 grams gold per tonne), 80 kilometres to the north of Pistol Bay. If this drilling program verifies that these gold occurrences have grade-thickness characteristics of commercial interest, we intend to complete a much larger drilling program in 2012".

Northquest is a mineral exploration company focused on the acquisition, exploration and development of properties for the mining of gold and other minerals. Northquest has 25,780,823 shares outstanding (38,710,034 on a fully diluted basis). For further information please visit www.northquest.biz.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contact Information

  • Northquest Ltd.
    Dr. Jon North
    President and Chief Executive Officer
    (416) 306-0202

    Northquest Ltd.
    Tanya Mahadeo
    Investor Relations
    (416) 306-0486
    www.northquest.biz