Pelangio Exploration Inc.
TSX VENTURE : PX
OTC Bulletin Board : PGXPF

Pelangio Exploration Inc.

May 24, 2011 07:45 ET

Pelangio Exploration Hits High Grade Gold on the Manfo Property-14.1 g/t Over 7 Metres at Pokukrom West

TORONTO, ONTARIO--(Marketwire - May 24, 2011) - Pelangio Exploration Inc. (TSX VENTURE:PX)(OTCBB:PGXPF) ("Pelangio" or the "Company") is pleased to announce results from nine additional diamond drill holes totaling 1,398 metres at the Pokukrom West high-grade gold zone on the Manfo Property in Ghana. Highlights of the results reported today include:

  • 5.79 grams per tonne (g/t) gold over 8 metres in SPDD-130 from 69 metres down-hole in a broader intersection of 2.60 g/t gold over 19 metres from 66 metres down-hole;

  • 14.10 g/t gold over 7 metres in SPDD-131 from 131 metres down-hole;

  • 2.95 g/t gold over 6 metres in SPDD-132 from 92 metres down-hole in a broader intersection of 0.99 g/t gold over 22 metres from 90 metres down-hole;

  • Strike length of 100 metres confirmed at Pokukrom West to vertical depth of 110 metres;

  • High-grade intersections at depth in sulphide confirm that mineralization is indicative of significant high-grade gold zone.

"Today's drill results confirm that the high-grade gold intersected in oxide during first phase drilling last year at Pokukrom West continues into fresh rock at depth," stated Warren Bates, Senior Vice President Exploration. "The high-grade intersection in SPDD-131 is the deepest we have drilled yet at Pokukrom West and the zone remains open at depth. The major nearby deposits at Ahafo (Newmont) and Chirano (Kinross) both contain million plus ounce underground high-grade deposits starting at depth. We have now identified a high-grade gold zone at Manfo from surface to 110 metres depth on a 100 metre strike, which will be expanded with further drilling."

To view a plan view of drilling completed and results to date on the Manfo Property, see: http://media3.marketwire.com/docs/link1.pdf

Geological Setting

The following table summarizes significant assay results reported herein from the Pokukrom West gold zone:

AreaDHID1From
(metre)
To
(metre)
Interval
(metres)2
Au
(g/t)
Hole Length
(metres)
Pokukrom WestSPDD-1306685192.60(3)146
including697785.79(4)
SPDD-131131138714.10173
SPDD-13290112220.99176
including929862.95
  • Of the holes released today, SPDD-116, -118 and -119, -130 and -132 to -134, were drilled at azimuth 117º and a -45º dip; SPDD-117 as drilled at azimuth 297º and a -45º dip; and SPDD-131 was drilled at azimuth 297º and -70º dip.

  • Intervals are core length. True widths will be defined with additional drilling. Unless otherwise indicated, a cut-off grade of 0.2 g/t gold was used in calculating intervals with allowance for up to five metres of internal dilution.

  • 2.48 g/t gold if higher grade intervals are cut to 30 g/t.

  • 5.50 g/t gold if higher grade intervals are cut to 30 g/t.

The Company interprets that Pokukrom West gold mineralization is contained within a steep east-dipping northeasterly striking shear zone hosted by a granitoid.

To view a plan view of drilling at Pokukrom West to date, see: http://media3.marketwire.com/docs/linkii.pdf

SPDD-130 and -131 were drilled on section 49500 to test the northerly strike and plunge of previously reported SPDD-083 and -084 (8.0 g/t gold over 12 metres and 8.60 g/t gold over 12 metres, respectively) at depth. Both holes intersected a significant zone of high-grade mineralization (5.79 g/t gold over eight metres in SPDD-130 and 14.10 g/t gold over seven metres in -131) hosted in sericite altered granitoid with 1-3% pyrite. SPDD-134 was drilled further to the north on section 49550, but did not intersect significant mineralization. The hole may have stopped short of the mineralized zone.

To view section 49500, see: http://media3.marketwire.com/docs/linklll.pdf

SPDD-132 was drilled on section 49450 (the same section as SPDD-083 and -084) to test the high-grade mineralization encountered in SPDD-083 and -084 at depth. The hole intersected 2.95 g/t gold over six metres, in a broader intersection of 0.99 g/t gold over 22 metres. Considering the intersections above SPDD-132 in -083 and -084 and northerly of -132 on section 49500 at depth, drilling indicates that the high-grade zone may plunge to the north. The mineralization was hosted in the same geology as in SPDD-130 and -131.

To view section 49450, see: http://media3.marketwire.com/docs/linkvl.pdf

A complete table of mineralized intersections encountered at Pokukrom West to date is available at: http://media3.marketwire.com/docs/table5.pdf

Drilling Progress and Exploration Outlook

Including the nine holes totaling 1,398 metres reported today, Pelangio has completed 49 drill holes totaling 7,752 metres (including one hole abandoned for 44 metres) in its second phase program on the Manfo Property, of which 39 drill holes have been reported to date. Drilling is currently ongoing on the southern extension of the Pokukrom East gold zone. Further assay results will be released in due course.

Pelangio's exploration focus on the Manfo Property is to identify near-surface, drill ready targets through geochemical sampling and to test and extend such targets with drilling and geophysical surveying. The Company's aim during 2011 is to discover and delineate as many gold mineralized zones on the Manfo Property as possible.

Quality Assurance/Quality Control and Qualified Person

The drill holes reported in this press release were drilled using HQ (63.5 mm) and NQ (47.6 mm) sized diamond drill bits. Company security is provided at the drill site. Contractors working for Pelangio conducted all logging and sampling. The core was logged, marked up for sampling using standard lengths of one metre, then split into equal halves using a diamond saw. One half of the core was left in the original core box and stored in a secure location at the Pelangio compound in Tepa, Ghana. The other half was sampled, placed into sealed bags and securely stored at the site until it was shipped to the ALS Chemex laboratory in Kumasi, Ghana. The core was dried and crushed by ALS Chemex and a 150 gram pulp was prepared from the coarse crushed material. ALS Chemex conducted routine gold analysis using a 50 gram charge and fire assaying with atomic absorption finish. Quality control procedures included the systematic insertion of blanks, duplicates and sample standards into the sample stream at the rate of one per every 20 samples. In addition, ALS Chemex inserted one preparation blank and a certified reference sample in for every 20 samples, and ran one duplicate analysis every 20 samples.

The exploration program at the Manfo Property is overseen by Warren Bates, P. Geo. (Ontario), a Qualified Person within the meaning of National Instrument 43-101. Mr. Bates has verified and approved the data disclosed in this release, including the sampling, analytical and test data underlying the information.

About Pelangio

Pelangio is a junior gold exploration company that acquires and explores camp-sized land packages in world-class gold belts, while using innovative corporate restructuring to maximize shareholder value. Drilling is currently underway on two properties with company-making potential in Ghana, West Africa: the 100 square kilometre Manfo Property on the Sefwi greenstone belt between the Ahafo and Chirano mines, respectively operated by Newmont and Kinross, is the site of four recent near-surface gold discoveries; and the 290 square kilometre Obuasi Property on the Ashanti greenstone belt is located on strike and adjacent to AngloGold Ashanti's prolific, high-grade Obuasi Mine, which has produced over 30 million ounces of gold since 1897.

For additional information, please visit our website at www.pelangio.com.

Forward Looking Statements

Certain statements herein may contain forward-looking statements and forward-looking information within the meaning of applicable securities laws. Forward-looking statements or information appear in a number of places and can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate" or "believes" or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. With respect to forward-looking statements and information contained herein, we have made numerous assumptions. Forward-looking statements and information include statements regarding the Company's exploration plans and exploration results with respect to the Obuasi Property and the Manfo Property, and are subject to forward-looking risks, uncertainties and other factors which may cause the Company's actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. Such risks include gold price volatility, changes in equity markets, political developments in Ghana, increases in costs, exchange rate fluctuations and other risks involved in the gold exploration industry. See the Company's annual and quarterly financial statements and management's discussion and analysis for additional information on risks and uncertainties relating to the forward-looking statement and information. There can be no assurance that a forward-looking statement or information referenced herein will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements or information. Also, many of the factors are beyond the control of the Company. Accordingly, readers should not place undue reliance on forward-looking statements or information. We undertake no obligation to reissue or update any forward-looking statements or information except as required by law. All forward-looking statements and information herein are qualified by this cautionary statement.

Neither 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

  • Pelangio Exploration Inc.
    Ingrid Hibbard
    President & CEO
    Tel: 905-875-3828 or Toll-free: 1-877-746-1632

    Pelangio Exploration Inc.
    Warren Bates
    Senior Vice President Exploration
    Tel: 905-875-3828 or Toll-free: 1-877-746-1632
    info@pelangio.com
    www.pelangio.com

    Proconsul Capital
    Martti Kangas
    Principal
    647-521-9261
    mkangas@proconsulcapital.com