White Tiger Gold Ltd.

White Tiger Gold Ltd.

November 28, 2011 08:40 ET

White Tiger Reports Wide Gold Mineralised Zones at Drevniy Prospect

TORONTO, ONTARIO--(Marketwire - Nov. 28, 2011) - White Tiger Gold Ltd. (TSX:WTG) ("White Tiger Gold" or the "Company") announced positive assay results from the Company´s first diamond drilling program completed on the Drevniy gold prospect. Drevniy is one of the six known gold prospects identified in the 760 km2 Pridneprov license area. It is situated in northeast Russia in the Magadan Region and is accessible by road from the capital city of Magadan.

Drilling Highlights:

  • First phase drilling program designed to test a 1,500 x 200 meters gold in soil anomaly. A total of 1953 meters of diamond drilling was completed in 6 holes, and carried out along two profile lines separated by 800 meters.
  • The three drill holes on the southern profile encountered a wide zone of gold mineralization ranging from 68 to 119 meters in width with grades ranging from 0.79 to 1.05 g/t Au. The best mineralization is hosted by intensely altered granite porphyry which contains quartz-sulphide stockwork veining. The width and grade of the gold mineralization appears to increase with depth.
  • The northern drill holes intersected a wide zone (38 to 60 meter) but different style of gold mineralization comprising sheeted quartz-sulphide veining hosted by silicified black slate, with lower grades in the range 0.2 to 0.3 g/t. The two zones appear separated by a northeast trending fault.
  • A second phase drilling program will comprise 18 holes totaling 3,900 metres and will test the extensions of the southern profile, and is to be completed in 2011.

The regional tectonic and license geology map, drill hole plan map, plates and a complete list of drill hole intercepts can be viewed at the Company's website, www.whitetigergold.com or at www.sedar.com.

"The Magadan Region represents the western continuation of the Alaskan Gold Province which contains such notable world-class deposits as Donlin Creek, Fort Knox, and Livengood," said Daniel Major, CEO of White Tiger Gold Ltd. "The license area has 6 defined gold targets which we believe have excellent potential for gold mineralization suitable for open pit mining. These initial Drevniy drilling results evidence a very interesting wide zone of gold mineralization. Based on these results the Company will continue its drilling program at Drevniy in the expectation of defining the dimensions of the mineralization. Based on these initial results, we believe there is a potential large bulk ore deposit suitable for open pit mining."

Pridneprov License

The Pridneprov license is located in the southeast part of the Yana-Kolyma Gold Belt. This gold belt has been a significant hard rock and alluvial gold producing area since 1925 and hosts the world-class Natalka deposit with gold resources in excess of 40 million ounces. The Yana-Kolyma Belt represents the western continuation of the Tintina Gold Belt that is situated in Alaska and the Yukon Territories. This belt hosts a large number of significant deposits including Donlin Creek (33.6 Moz), Livengood (21 Moz), Fort Knox (5.7 Moz), Pogo (5.5 Moz) and Dublin Gulch (4.8 Moz) deposits. These gold deposits and many others in the Tintina and Yana Kolyma Gold Belts are classified as Intrusive Related Gold Systems (IRGS). These deposits are characterized by a metal association that includes, Au, As, Bi, Te, W, Mo and Sb, a sulphide mineral assemblage dominated by arsenopyrite and by the presence of extensive placers gold mineralization located in proximity to the deposits. The majority of the gold mineralization in the Pridneprov license area is controlled by a conjugate set of northeast trending faults and shears which were generated by right lateral movement along regional northwest structures.

Drevniy Gold Prospect

Historical exploration in the license area identified 6 gold prospects which are in different stages of exploration and these include the Drevniy, Krasiviy, Shurik Uvalniy, Koldun and Kuchakachan prospects. Drevniy is the most advanced exploration project and is currently the focus of a second phase diamond drilling program. The majority of the gold mineralization in the Pridneprov license exhibits characteristics of IRGS especially evident at the Drevniy, Koldun and Uvalniy prospects.

Soil sampling at the Drevniy prospect defined a coherent northeast trending soil gold anomaly that measures 1500 x 200 meters. Bulldozer trenching completed over the 1.0 g/t Au portion of the soil anomaly that confirmed the presence of wide zones of bedrock mineralization with grades in excess of 1 g/t Au. The mineralized zone was tested by 6 angled drill holes located on 2 profile lines separated by 800 meters. The significant intersections are summarized in Tables 1, and 2 at gold cut-off grades of 0.5 g/t, and 0.1 g/t.

A complete list of significant assays results, drill holes locations and regional geological maps are illustrated on Company's website (www.whitetigergold.com).

Table 1: Significant Assay Results Drevniy Prospect (cut-off 0.5 g/t Au)

DDH Depth Azimuth Dip From To Width* Au Ag
No. (m) (deg) (deg) (m) (m) (m) (ppm) (ppm)
100 141.00 316.9 -61.8 18.70 87.00 68.30 0.79 0.35
101 278.50 315.3 -62.2 91.50 169.50 78.00 1.30 0.52
including 117.10 117.50 0.40 8.38 1.78
including 129.50 130.50 1.00 14.88 4.20
102 404.00 326.1 -62.3 143.60 262.80 119.20 1.05 0.28
including 167.50 168.50 1.00 8.04 0.66
*True thickness of the mineralized zone is unknown and is reported as drill hole length

Table 2: Significant Assay Results Drevniy Prospect (cut-off 0.1 g/t Au)

DDH Depth Azimuth Dip From To Width* Au Ag
No. (m) (deg) (deg) (m) (m) (m) (ppm) (ppm)
100 141.00 316.9 -61.8 3.50 126.70 123.20 0.55 0.31
101 278.50 315.3 -62.2 34.50 278.50 244.00 0.65 0.36
102 404.00 326.1 -62.3 58.50 404.00 345.50 0.58 0.27
103 300.80 326.2 -62.1 2.20 62.20 60.00 0.30 0.26
148.80 192.80 44.00 0.24 0.27
104 390.60 326.0 -62.1 172.60 210.60 38.00 0.20 0.28
*True thickness of the mineralized zone is unknown and is reported as drill hole length

In the southern part of the soil anomaly, drill holes 100, 101 and 102 intersected two types of gold mineralization, porphyry quartz-stockworks and sheeted quartz veining. The highest gold values are associated with quartz-sulphide stockwork veining developed in an intensely altered granite porphyry sill. The sill is inclined to the southeast at a 40-45° angle and becomes thicker at depth. The porphyry mineralization is associated with strong potassic alteration comprising silica-Kspar-muscovite-sulphide assemblage. Lower grade gold mineralization is also associated with sheeted quartz-sulphide veins hosted by silicified black slate and siltstone and restricted to the hangingwall and footwall of the granite sill. At a 0.3 g/t gold cut-off, each drill hole intersected increasing wider zones of gold mineralization with depth on the southern drill profile. At a 0.1 g/t gold cut-off, drill hole 102, returned an impressive 345.5 meters intersection averaging 0.58 g/t Au and remains open to depth. Arsenopyrite is the main sulphide mineral present and is associated with minor pyrite, galena, molybdenite and bismuthinite. The overall sulphide content is higher in the porphyry-hosted mineralization ranging from 1-3%.

In the northern part of the soil anomaly, drill holes 103, 104 and 105 intersected sheeted quartz-sulphide veins hosted by silicified metasediments. Alteration is well developed along narrow vein selvages and comprises silica-sericite-siderite-albite-sulphide which grades outward into silica-carbonate-chlorite. The dominant sulphide mineral is arsenopyrite followed by lesser quantities of pyrite and minor pyrrhotite. The overall sulphide content is low, ranging from 0.5-1% and occurs as disseminations in the veins and selvages. Oxidation is poorly developed especially and represented by oxide minerals that include scorodite, limonite and goethite and occurs as a thin surface veneer over the mineralization. Typically fresh sulphides are exposed within a few meters of the surface. The granite porphyry sill which hosts the gold mineralization in drill holes 100, 101 and 102 was not encountered in the northern drill holes and may have been truncated by a northeast trending fault. Although no significant intersections were encountered in drill holes 103 and104, multiple zones of anomalous gold values in excess of 0.2 g/t are present and the intersections are summarized in Table 2.

Limited information exists for the Koldun and Uvalniy prospects but historical data indicates wide zones gold mineralization was identified in outcrop. The gold mineralization at these prospects is associated with arsenopyrite bearing quartz stockwork and sheeted vein systems. The predominant host rocks are granite porphyry sills and hornfelsed metaturbidites which are the same lithologies that host the Drevniy gold mineralization.

The Drevniy and Uvalniy prospects exhibit close similarities to the Fort Knox gold mineralization. These similarities include, granite porphyry host rock, the presence of abundant aplite and pegmatite dykes, low sulphide content for the ore and a geochemical signature comprising Au-Bi-As.

Quality Control

The drilling, logging, sampling and dispatch were under the direct supervision of Stannolite, a Russian contract exploration and drilling company based out of Magadan City, Magadan Region, Russian Federation. Stannolite has extensive working experience in the Magadan Region and is certified under the Law of the Russian Federation # 128- FZ with the latest revision dated December 29, 2010.

Drill core samples were processed in the Stannolite´s preparation facility located in Magadan City. The drill core sample pulps were then shipped to Alex Stewart Group's commercial laboratory facilities in Moscow where the samples were analyzed by two methods, 30 gram Fire Assay with AAS finish for gold and a 0.2 gram sample split analyzed by ICP-AES for 40 elements. The Stewart Group is an internationally accredited minerals laboratory with 14 offices worldwide including two in Russia.

White Tiger Gold utilizes industry standard QA/QC protocols with respect to sampling procedures. Blanks, duplicates and international industry certified standards are inserted into the sample stream to monitor laboratory performance. Analytical results of control samples indicate there is no apparent analytical bias or systematic contamination of samples, and accuracy is within the stated specifications of the certified reference material. Additional information including press releases and public documents about White Tiger Gold Ltd. can be viewed at the Company's website, www.whitetigergold.com or at www.sedar.com.

Qualified Person

Mr. Stanley C. Bartlett, PGeo., Managing Director for Micon International Co Limited, is independent of the Company and a qualified person within the meaning of NI 43-101 and has supervised the preparation of the technical information included in this press release and has verified the data disclosed in this press release (including sample preparation procedures). He has not been to the assay laboratory.

About White Tiger Gold

The Company is a TSX-listed mining and exploration company, focused on the development of gold mineral resources in Canada and the Russian Federation. The Company currently operates the San Juan mine in Peru, the Lamaque project in Canada and the Savkino heap operation located in Russia. The Company plans to continue to expand gold production at Savkino and San Juan, ramp up production at Lamaque and to develop a second Russian gold mine at the Company´s Nasedkino property situated in Chita Region in southeast Siberia.

Caution Concerning Forward-Looking Information

This news release contains forward looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward-looking information within the meaning of applicable Canadian securities laws including with respect to the entering into of a definitive loan facility agreement with VTB and the completion of the business combination between White Tiger Gold and CMC. Words such as "may", "will", "should", "anticipate", "plan", "expect", "believe", "estimate" and similar terminology are used to identify forward-looking statements and forward-looking information. Such statements and information are based on assumptions, estimates, opinions and analysis made by the management of White Tiger Gold in light of their experience, current conditions and their expectations of future developments as well as other factors which they believe to be reasonable and relevant. Forward-looking statements and information involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements and information. Risks and uncertainties that may cause actual results to vary include but are not limited to: the conditional nature of the agreement between VTB and White Tiger Gold, including the completion of satisfactory due diligence by VTB on White Tiger Gold and CMC; the conditional nature of the business combination between White Tiger Gold and CMC, including the requirement for approval of the business combination by the shareholders of each of CMC and White Tiger Gold, the TSX, the TSX Venture Exchange, the Ontario Superior Court of Justice as well as any required approval under the Investment Canada Act; any exercise by White Tiger Gold of its rights of termination under the arrangement agreement between White Tiger Gold and CMC (together, the "Companies") dated as of March 11, 2011, as amended June 16, 2011; changes in equity and debt markets; fluctuations in gold and other commodity prices; as well as other risks and uncertainties which are more fully described in White Tiger Gold's Annual Information Form dated March 30, 2011 and annual and quarterly Management's Discussion and Analysis and in other filings made by White Tiger Gold with Canadian securities regulatory authorities and available at www.sedar.com.

Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable laws, White Tiger Gold disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although White Tiger Gold believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

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