VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 31, 2012) - Otis Gold Corp. (TSX VENTURE:OOO)(OTCQX:OGLDF) ("Otis" or the "Company") is pleased to announce the results of 681 soil samples collected from two grids (the "North Soil Grid" and the "South Soil Grid") situated along the strike projection of the Northwest Fault, known to be the feeder to the Kilgore "Mine Ridge" Deposit. Sampling of the North Soil Grid was performed in order to extend the strike length of the Mine Ridge Deposit northward of the +100 metre thick intercepts that were recently discovered on the northern edge of the 2011 drill pattern (see news releases dated November 1, 2011 and October 6, 2011). The results from the North Soil Grid display strong linear gold-in-soil anomalies that trace the extension of the Northwest Fault for a minimum of 400 metres to the northwest and represent the surface manifestation of feeder faults that supplied the gold-rich hydrothermal fluids into the deposit's host rocks.
Sampling of the South Soil Grid was performed in order to better define drill targets in the Prospect Ridge target area, located immediately to the southeast of the Mine Ridge deposit. Results from the South Soil Grid identify a large, and previously untested, anomalous area in the Prospect Ridge target area.
The North Soil Grid comprises 266 samples collected on a 30-metre x 30-metre spacing in an untested area northwestward beyond the northern limit of the current Mine Ridge Deposit. The data collected and contoured display a strong and significant linear gold-in-soil anomaly that very closely lines up with the trace of the Northwest Feeder Fault that controls the overall northwest trend of the deposit. The anomaly extends the target a minimum of 400 metres in the northwest direction and is shown on a map available on the Otis website at http://www.otisgold.com/_resources/kilgore/20120131_Soil_Survey_Results.pdf. These trends, as well as several additional linear anomalies, are collectively considered to be high-priority drill targets that could extend and expand the existing deposit by more than 30%. There are also a number of corresponding trace element anomalies that have a high correlation to the gold suggesting geochemistry characteristic of a typical epithermal gold system.
Nine helicopter drill sites, chosen to fully test the anomalous area, are planned for the upcoming 2012 drill campaign. If the drilling campaign is successful, additional drill roads will be permitted and constructed to facilitate infill drilling and fully delineate suspected deposit extensions. In addition, Otis plans fans of up to 12 holes at 5 existing sites totaling approximately 4,000 m on the existing north access road, where the 100 m intercepts were identified last year.
The South Soil Grid comprises 415 samples collected on a 30-metre x 60-metre grid that displays a very strong and coherent gold-in-soil anomaly that covers approximately 15,000 sq. metres in the Prospect Ridge target area. This anomaly overlies a section of lithic tuff that is identical to rock that hosts the bulk of the Mine Ridge deposit. This portion of the property package is undrilled and Otis plans to initially test the area with several core holes in 2012.
Otis' President and CEO Craig Lindsay states, "We have achieved outstanding results from the soil surveys conducted at Kilgore in 2011. Based on these results, it is clear that significant expansion potential exists to the northwest and to the southeast of the existing Mine Ridge deposit and further southeast into the Prospect Ridge target area. Additionally, our Gold Ridge targets provide significant upside potential, and Kilgore continues to expand with each drill program."
Analysis and Otis QA/QC Program
All assay work was performed by ALS Chemex Labs, Reno, Nevada, which has ISO 9001:2008 quality management system certification and ISO 17025:2005 technical capability accreditation. A 50-gram pulp of all samples was assayed for gold by Fire Assay/AA finish methods.
The Qualified Person under National Instrument (NI 43‐101) Standards of Disclosure for Mineral Projects for this News Release is John R. Carden, PhD, Lic. Geo. and Consulting Geologist for Otis Gold Corp., who has reviewed and approved its technical contents.
About The Company
Otis is a Canadian-based mineral exploration company focused on the acquisition and development of quality precious metal deposits in Idaho, USA. Otis is currently developing its flagship property, the Kilgore Gold Project, located in Clark County, Idaho (approx. 60 miles north of Idaho Falls).
ON BEHALF OF THE BOARD
Craig T. Lindsay, President & CEO
This News Release does not constitute an offer to sell or a solicitation of an offer to sell any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "US Securities Act") or any State securities laws, and may not be offered or sold within the United States or to US Persons unless registered under the US Securities Act and applicable State securities laws, or an exemption from such registration is available.
Neither TSX Venture Exchange nor its Regulation Services Provider (as defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contact Information:
Craig Lindsay
(604) 683-2507
(604) 683-2506 (FAX)
craig@otisgold.com
www.otisgold.com