Ressources Threegold Inc.
TSX VENTURE : THG

Ressources Threegold Inc.

January 24, 2011 09:54 ET

Threegold Resources Inc.: Exploration Resumes on Adanac Project, Quebec, and South Bay Project Update

VAL-D'OR, QUÉBEC, CANADA--(Marketwire - Jan. 24, 2011) - Threegold Resources Inc (TSX VENTURE:THG) is pleased to announce it is resuming work on its 100% owned Adanac property located 8 km east of Rouyn-Noranda, Québec. A second phase of diamond drilling is currently being prepared to help target mineralization, and a downhole IP survey is currently underway.

ADANAC

The Adanac Project is located in the heart of the Abitibi Greenstone Belt, directly south of the Cadillac–Larder Lake Break. It is along strike and immediately adjacent to Gold Bullion Development's Granada Project where a preliminary block model shows a potential for 2.4 to 2.6 Moz(1) (goldbulliondevelopmentcorp.com). Following geochemical and geophysical surveys conducted from 2007 to 2009, Threegold initiated a 4,474-metre, 22-hole diamond drilling program in the fall of 2009 to investigate the most significant targets on the project. Results from this program were announced earlier this year (see press releases of January 18 and February 17, 2010) and were used to outline a 1.8-kilometre gold corridor on the project.

The purpose of the 2009 Adanac program was to verify the lateral extent of the anomalous geochemical gold trend defined by surface soil samples and to obtain key information on the trend and geometry of the structure and mineralization. Having successfully achieved the goal of this preliminary phase, the Company will now be able to target the deeper sections where higher grade gold is more likely to occur.

In preparation for the 2011 diamond drill program, Threegold has contracted Abitibi Geophysics to conduct a downhole IP survey on paired holes and detect off-hole zones of polarizable material that could reflect the presence of sulphide mineralization. The 2009 drilling program demonstrated the preferential association of gold with zones of disseminated sulphides, mainly pyrite, pyrrhotite and arsenopyrite. In conjunction with this work, Threegold is also reviewing geochemical data in order to correlate drill core trace element geochemistry with MMI data from surface surveys performed between 2007 and 2009. Lastly, some sections of the core are currently being re-assayed to better evaluate the potential for low-grade gold envelopes enclosing the main structures. Results are expected shortly.

The 2011 diamond drilling program will consist of approximately 5,000 m of diamond drilling targeting the -250m level along the 1.8-km gold trend. The objectives of the program are to test the extension of the gold-bearing structure below the reach of the 2009 drilling program, to better define the sulphide zonation observed along the corridor, and to explain the strong geophysical magnetic signatures that appear to terminate at the -100 to -150m levels and may reflect the presence of felsic intrusive dykes. The program is scheduled to begin during the second quarter of 2011.

Victor Goncalves states, "We are highly enthusiastic about the progress on the Adanac project. The discoveries made so far are the direct result of our exploration efforts. We look forward to this next phase of drilling that will target a level never before investigated".

SOUTH BAY

Fieldwork has resumed on the South Bay project, located 40 km east of Val-d'Or, while results from the fall programs are pending. Surface sampling of a newly exposed showing assayed up to 27.7 g/t over 0.75m and encouraged the company to initiate a small exploratory diamond drill program. Results from the surface trenching were announced previously (see press release of November 22, 2010).

Channel Sample - North Zone
     
Channel Length Au
(#) (m) (g/t)
2.0 E 1.05 2.36
3.5 E 0.50 4.01
6.8 E 1.10 1.83
11.6 E 4.30 1.88
15.5 E 0.60 1.02
16.5 E 0.75 26.69

The company added additional claims and designated cells to the project. The project area has grown from the original 176 ha to the present 3,833 ha and now provides access to additional ground on the Vauquelin and Hop O' My Thumb properties (848 ha) under an option agreement signed with Plato Gold Corporation (PGC: TSX Venture Exchange).

Prospectair Inc is currently flying a 1,125 line-kilometre airborne magnetic and electromagnetic survey that will be complemented by an IP survey over the new gold occurrence discovered in the fall of 2010. Threegold is planning a follow-up diamond drilling program for the summer of 2011.

Management is pleased with the exploration progress on its projects and intends on maintaining a high level of activity, focusing on targets that could have a significant impact on the company.

This press release was prepared by Antoine Fournier, P. Geo., Vice-President Exploration for Threegold Resources Inc and a Qualified Person as defined by NI43-101.

ABOUT THREEGOLD

Threegold Resources is actively pursuing gold discoveries on three projects in prolific mining and exploration camps in Ontario and Québec. The 100% owned Adanac project is immediately adjacent to Gold Bullion Development's Granada discovery and west of Osisko Corporation's 12M ounce deposit in the Abitibi belt. The South Bay Project yielded a significant surface discovery near Val-d'Or and the Company has recently acquired land in the Shining Tree Camp on the western extension of the Cadillac–Larder Lake Fault Zone. Management is evaluating opportunities to create shareholder value with its recent Rare Earth Element discovery and its Base Metal project in the Gaspé Peninsula.

(1) The potential quantity and grade of gold at Granada is conceptual in nature. Exploration to date is insufficient to define a mineral resource and it is uncertain if further exploration will result in the discovery of a mineral resource.

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.

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