TSX:GGD

A Canadian-based gold and silver producer
with properties in Mexico

GoGold Resources Samples 7.84 Metres of 13.25 g/t Gold Equivalent True Width within Workings at its Breccia Hill Open Pit Target

NEWS RELEASE

 

July 06, 2011
Trading Symbol: TSX-V: GGD


PR 10 - 2011
Shares Issued: 55,716,665

 


GoGold Resources Samples 7.84 Metres of 13.25 g/t Gold Equivalent True Width within Workings at its Breccia Hill Open Pit Target


 

HALIFAX, NOVA SCOTIA -- (CNW –July 06, 2011) - Terry Coughlan, President and CEO of GoGold Resources Inc., is pleased to announce further high grade underground samplings within crosscuts at the Breccia Hill Open Pit Target at its San Diego Project in Durango, Mexico.

The Company continues to find additional high grade structures within the Breccia Hill open pit target. To date, the zone mapped by company geologists extends 400 metres in length and is 160 metres wide and has a vertical relief up a hill for approximately 150m. The zone and is open along strike and to depth below the valley floor. Drilling this zone should commence in the next few weeks to confirm the size and grade of this first of many gold and silver targets currently identified at the San Diego Project.

The small hand-dug workings within the Breccia Hill open pit zone provides the company a three dimensional view within the deposit and present impressive gold and silver grades such as sample #SDL-28 which returned 7.84 metres of 13.25 g/t gold equivalent and sample #SDL-26 which returned 5.82 metres of 9.75 g/t gold equivalent and sample #SDL-14 which returned 4.86 metres of 5.93 g/t gold equivalent. All samples are true widths across high grade structures within the hill.

See Table-01 below for the newest results:

Table-01: New Highlights from Underground Sampling at Breccia Hill Zone

Underground X-cut Sampling True Width (m) Gold Equivalent (g/t) Gold (g/t) Silver (g/t)
SDL-14 4.86 5.93 5.20 33.60
SDL-15 2.97 8.42 6.93 68.33
SDL-16 2.69 7.55 6.98 26.00
SDL-17 2.55 8.31 7.53 36.00
SDL-18 2.65 5.76 4.76 46.00
SDL-19 3.92 3.25 2.53 33.25
SDL-22 1.87 7.47 6.69 36.00
SDL-23 1.00 3.23 2.49 34.00
SDL-24 4.79 2.51 2.13 17.20
SDL-25 3.46 9.11 7.58 70.25
SDL-26 5.82 9.75 8.66 50.50
SDL-27 2.76 6.82 6.24 26.66
SDL-28 7.84 13.25 12.51 34.12

Silver/Gold ratio of 46:1 used for Gold Equivalent, (metallurgical recoveries and net smelter returns are assumed to be 100%)

 

Table-02: Previously Released Highlights (June 2, 2011) of the first underground sampling of the Breccia Hill Zone

Underground X-Cut Sample True Width (m) Gold Eq g/t Gold g/t Silver g/t
SDL-07 and 36 3.12 2.81 14.32
SDL-07 49 0.44 0.33 5.01
SDL-08 16 2.12 1.92 9.12
SDL-11 and 19.2 0.16 0.11 2.38
SDL-11 11 0.41 0.11 14
SDL-12 15 0.44 0.27 7.72
SDL-13 5.3 14.17 12.68 68.5

(Silver/Gold ratio of 46:1 used for Gold Equivalent) (metallurgical recoveries and net smelter returns are assumed to be 100%)

Note: SDL-09 and 10 were low-grade.

 

Table-03: Previously Released Highlights (May 9, 2011) of the first (8) eight surface Trenches of the Breccia Hill Zone

Trench # True Width (m) Gold Eq  g/t Gold g/t Silver g/t
L-001 59 0.81 0.51 13.8
L-002 5.8 2.86 1.74 51.6
L-003 7.2 1.67 1.18 22.5
L-004 60 1.26 0.68 26.7
L-005 15.8 2.04 1.23 37.3
L-006 12.3 0.58 0.22 16.4
L-007 8.5 0.66 0.52 6.4
L-008 29.9 3.56 2.63 43.1

(Silver / Gold ratio of 46:1 used for Gold Equivalent)

Note: Trenches are true width but do not entirely cut the 160m width of the zone.

Breccia Hill Zone

Sampling has been completed on the surface in trenches and underground through cross cuts within small historic past producing hand-dug mines (reportedly dating back as far as the 1700’s). Sampling is on-going and we await additional results from samples recently delivered to the lab.

Sample Protocol and Trench Techniques

Samples were collected on surface and underground with hammer and chisel along a continuous line of exposed rock. Fragments or chip samples from a channel approximately 5cm or less in depth were collected in numbered plastic sample bags, and approximately 2 to 3 kg of rock was collected. Sample intervals are marked on the rock with spray paint along with the sample number. All samples collected by GoGold were supervised by Ramon Luna P.Geo. These samples were bagged, tagged and sealed at the sample site and delivered to ACTLAB in Zacatecas, Mexico.

All samples were processed by method (A.A) Atomic Absorption FAG323 and ICP14. All samples were first assayed by method FAG323 for gold and silver which has detection limits for Au of 3 g/t and Ag 5 g/t. A 30g sample was assayed by Fire Assay with an AAS finish for Au and a gravimetric finish for Ag.

Mr. Ramon Luna P.Geo is the qualified person as defined by National Instrument 43-101 and is responsible for the preparation of this release.

 

For further information please contact:

Terence F. Coughlan, President and CEO
or
Sean Tufford, Vice President -Corporate Development
GoGold Resources Inc.
T: 902 482-1998
F: 902 442-1898
Email : This email address is being protected from spambots. You need JavaScript enabled to view it.

Or visit : www.gogoldresources.com

 

CAUTIONARY STATEMENT:

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This News Release includes certain “forward-looking statements”. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of GoGold, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from GoGold’s expectations are exploration risks detailed herein and from time to time in the filings made by GoGold with securities regulators.

(Not for distribution to US wire services or for dissemination in the United States of America)