Castle Peak Mining Ltd.
TSX VENTURE : CAP

Castle Peak Mining Ltd.

February 04, 2014 09:30 ET

RETRANSMISSION: Castle Peak Intersects 4M of 22.8 G/T Au and 7M of 7.0 G/T Au in Definition Drill Program

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb. 4, 2014) - Castle Peak Mining Ltd. ("Castle Peak" or the "Company") (TSX VENTURE:CAP) is pleased to provide the results from the definition drill program envisioned to lead to a Preliminary Economic Assessment (PEA) and ultimately lead to a potential bulk sample of a shallow portion of the Apankrah Deposit, southern Ashanti Belt, Ghana.

Highlights of this announcement:

  • Drill intercepts of:
    • NKDD043: 1.0m of 89.00 g/t Au within structural corridor of 4.0m at 22.87 g/t Au,
    • NKDD038: 2.0m of 23.20 g/t Au within structural corridor of 7.0m at 7.05 g/t Au,
    • NKDD041: 1.8m of 16.37 g/t Au within structural corridor of 10.8m at 4.48 g/t Au,
    • NKDD040: 2.0m of 14.08 g/t Au, and
    • NKDD034: 4.5m of 2.74 g/t Au within structural corridor of 13.8m at 1.30 g/t Au.
  • Program is completed with a 90% hit rate of target zone.
  • Visible gold observed in seven holes.

Apankrah Drill Program

The Company has completed a 1,084 metre, 10 hole drill program targeted at refining the upper 100m of the existing inferred mineral resource reported at the Apankrah Deposit. Results are tabulated below (Table 1) for all drill holes with drill hole descriptions to be made available on the Company's website (http://www.castlepeakmining.com/s/Apankrah.asp). The more tightly spaced drilling is providing improved geological, alteration and gold zone interpretations expected to lead to a more refined estimation model at shallow levels of the deposit (Figure 1). The expected outcome of this effort is to be able to upgrade the confidence of the resource estimation at shallow levels, use the resource estimation as the basis for a Preliminary Economic Assessment (PEA), and undertake a conceptual review for the potential to utilise open pit mining methodologies at Apankrah for collecting a bulk sample.

Darren Lindsay, President and CEO of Castle Peak, commented: "The definition drill results are as expected with visible gold in the more robust structure delivering higher grades at shallow elevations. What we are seeing is a predictable, coherent structural corridor hosting a number of narrower gold bearing structures within it. We are on track to better defining our shallow high grade resource which in turn supports our conceptual plan for bulk sampling."

Technical Disclosure

Castle Peak's technical disclosure in this news release has been reviewed and approved by Darren Lindsay, P.Geo., Castle Peak's President and CEO, who serves as a Qualified Person under the definition in National Instrument 43-101 ('NI 43-101'). The drill program was supervised by Clive Arthur, Castle Peak's former Vice President Exploration. The Akorade Project represents early stage exploration properties which include a mineral resource on the Apankrah Deposit with an effective date of June 1, 2013, as described in the "NI 43-101 Technical Report on The Apankrah Project, Western Region, Ghana", dated June 1, 2013, authored by Andrew Netherwood (AusIMM), Joe Amanor (AusIMM), Simon Meadows Smith (IOM3) and John Coates as fulltime employees of SEMS, all of whom act as independent consultants to the Company. Mr Netherwood prepared the mineral resource estimate and is an independent Qualified Person as defined by NI 43-101. A copy of the report is filed under the Company's profile on SEDAR at www.sedar.com and the Castle Peak website.

About Castle Peak

Castle Peak Mining Ltd. is a Canadian-based mineral exploration company focused on advancing greenfields and early stage gold projects. The Company holds a large, strategic land package in the Ashanti belt adjacent to several producing gold mines in Ghana, West Africa. The Ashanti belt is known as one of the most prolific gold belts in the world, putting Ghana as the second largest gold producer in Africa with past production of greater than 150 million ounces. The investment inflow for Ghana's mining sector since 1983 has been about $12.5 billion, with production the highest in the history of the country at 4.2 million ounces in 2012 (source: Ghana Business News, April 8, 2013).

On behalf of the Board of Castle Peak Mining Ltd.:

Darren Lindsay, President and Chief Executive Officer

FORWARD-LOOKING STATEMENTS

Except for statements of historical fact, this news release contains certain 'forward-looking information' and 'forward-looking statements' within the meaning of applicable securities laws including statements regarding future exploration and development at the Akorade Project, the preparation and publication of a revised resource estimate and PEA on the Apankrah Deposit, as well as the potential results of additional exploration on the Company's Akorade Project. Such forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to known and unknown risks, uncertainties and assumptions that could cause actual results to vary materially from the anticipated results or events predicted in these forward-looking statements, including those risk factors identified in the Company's Annual MD&A filed under the Company's SEDAR profile. As a result, readers are cautioned not to place undue reliance on these forward-looking statements. The forward-looking statements contained in this news release are made as of the date of this release. Except as required by applicable law, Castle Peak disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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.

To view Figure 1 and Table 1, please visit the following link: http://media3.marketwire.com/docs/925618i.pdf

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