FOR IMMEDIATE
RELEASE: ��February 20, 2007 ������� ����������� ����������� ����������� ���������PR07-04
CANYON COMPLETES BRIGGS PHASE II DRILLING
REPORTS POSITIVE RESULTS
Golden, CO � Canyon Resources Corporation (AMEX:CAU), a
Colorado-based mining company is pleased to announce the final results of its
16,025 foot Phase II reverse circulation�
development and exploration drilling program at its Briggs Mine in Inyo
County, California. The Phase II program was designed to achieve three major
goals:� first, it tested and extended the
strike-length potential of the high angle Goldtooth orebody over a 3,200 foot-long
mineralized zone where the northern and southern margins remain open forextension; second, it tested and extended depth potential in certain areas of
the orebody; and third, it provided sufficient infill information to allow
reserve estimation on portions of the orebody. As previously reported, the
northern infill section of this structure hosts a probable underground reserve
of 183,000 tons containing 21,500 ounces of gold at an average grade of 0.118
ounces per ton (�opt�) using a cut-off grade of 0.08 opt for mined ores and 0.013
opt for development ores at a gold price of $500 per ounce. Infill drilling has
now been completed on the southern half of the structure, the results of which
are being presented below. In addition, two holes, R-105 and R-106, weredrilled as exploration step-outs north along the Goldtooth structure. These
holes were successful in extending the strike length of Goldtooth
mineralization by over 450 feet.
Highlights from the latest
drilling include:
�
Hole R-83
with 55 feet (16.8 meters) of 0.131 opt Au (4.49 g/t Au), including 5 feet (1.5
meters) of 0.233 opt Au (8.01 g/t Au), and 20 feet (6.1 meters) of 0.205 opt Au
(7.03 g/t Au);
�
Hole R-86
with 25 feet (7.6 meters) of 0.345 opt Au (11.82 g/t Au), including 10 feet
(3.0 meters) 0.796 opt Au (27.25 g/t Au);
�
Hole R-89
with 25 feet (7.6 meters) of 0.158 opt Au (5.41 g/t Au), including 15 feet (4.6
meters) of 0.205 opt Au (7.02 g/t Au);
�
Hole
R-100 with 40 feet (12.2 meters) of 0.097 opt Au (3.31 g/t Au), including 10
feet (3.0 meters) of 0.276 opt Au (9.45 g/t Au);
�
Hole
R-104 with 90 feet (27.4 meters) of 0.122 opt Au (4.17 g/t Au), including 25
feet (7.6 meters) of 0.294 opt Au (10.07 g/t Au).
�
In
addition, Hole R-105, a 450-foot exploration step-out to the north along the
strike of the Goldtooth fault, encountered 15 feet (4.6 meters) of 0.11 opt Au
(3.77 g/t Au) including 5 feet (1.5 meters) of 0.266 opt (9.13 g/t Au).
�These results reinforce our
conviction that the Goldtooth underground orebody will continue to grow and
that significant potential exists to boost the planned gold production at
Briggs,� stated James Hesketh, President and CEO. �The Goldtooth orebody
displays good continuity over its 3,000 plus feet of strike length as shown by
our detailed drilling, and over the longer term will provide Canyon with solid
exploration upside as we mine and explore along its length and depth.� Hole R-105 in particular is helpful in that
we encountered a mineable thickness of ore-grade material some 450 feet to the
north of our previous deeper drilling. Results from Holes R-96 through R-104
will be used to update the probable underground reserve previously reported in the
Company�s press release dated February 6, 2007. We expect that these results will
add to our recently announced reserve estimates�
Below is a table of significant
unreported gold intercepts from this last phase of Canyon�s drilling
program.� The higher-grade (>0.10 opt
Au) gold are italicized.
Hole
|
From
(feet)
|
To
(feet)
|
Intercept
(feet)
|
Intercept
(meters)
|
Grade
(opt)
|
Grade
(g/tonne)
|
|
R-83
|
530
|
585
|
55
|
16.8
|
0.131
|
4.49
|
step-out
|
including
|
530
|
535
|
5
|
1.5
|
0.233
|
8.01
|
|
including
|
565
|
585
|
20
|
6.1
|
0.205
|
7.03
|
|
R-84
|
370
|
375
|
5
|
1.5
|
0.095
|
3.26
|
infill
|
R-85
|
no significant results
|
step-out
|
R-86
|
430
|
455
|
25
|
7.6
|
0.345
|
11.82
|
step-out
|
including
|
440
|
450
|
10
|
3.0
|
0.796
|
27.25
|
|
R-87
|
495
|
515
|
20
|
6.1
|
0.038
|
1.31
|
step-out
|
including
|
510
|
515
|
5
|
1.5
|
0.105
|
3.59
|
|
R-88
|
190
|
195
|
5
|
1.5
|
0.115
|
3.95
|
infill
|
|
225
|
255
|
30
|
9.1
|
0.034
|
1.18
|
|
R-89
|
355
|
380
|
25
|
7.6
|
0.158
|
5.41
|
infill
|
including
|
355
|
370
|
15
|
4.6
|
0.205
|
7.02
|
|
R-91
|
790
|
795
|
5
|
1.5
|
0.031
|
1.441
|
step-out
|
R-94
|
no significant results
|
R-95
|
no significant results
|
R-96
|
170
|
185
|
15
|
4.6
|
0.102
|
3.5
|
infill
|
R-97
|
100
|
120
|
20
|
6.1
|
0.056
|
1.92
|
infill
|
R-98
|
215
|
225
|
10
|
3
|
0.127
|
4.36
|
infill
|
R-99
|
285
|
295
|
10
|
3
|
0.089
|
3.05
|
infill
|
R-100
|
315
|
355
|
40
|
12.2
|
0.097
|
3.31
|
step-out
|
including
|
340
|
350
|
10
|
3
|
0.276
|
9.45
|
|
R-101
|
240
|
250
|
10
|
3
|
0.038
|
1.31
|
infill
|
R-102
|
335
|
380
|
45
|
13.7
|
0.097
|
3.34
|
step-out
|
including
|
360
|
380
|
20
|
6.1
|
0.168
|
5.75
|
|
R-103
|
205
|
210
|
5
|
1.5
|
0.218
|
7.47
|
infill
|
R-104
|
315
|
405
|
90
|
27.4
|
0.122
|
4.17
|
step-out
|
including
|
335
|
360
|
25
|
7.6
|
0.294
|
10.07
|
|
including
|
385
|
400
|
15
|
4.6
|
0.12
|
4.1
|
|
R-105
|
265
|
290
|
25
|
7.6
|
0.031
|
1.08
|
step-out
|
|
330
|
345
|
15
|
4.6
|
0.039
|
1.36
|
|
|
425
|
440
|
15
|
4.6
|
0.11
|
3.77
|
|
including
|
430
|
435
|
5
|
1.5
|
0.266
|
9.13
|
|
R-106
|
420
|
425
|
5
|
1.5
|
0.103
|
3.53
|
step-out
|
This drilling completes the Phase
II program designed as a follow-up to the spring 2006 Phase I program. Gold mineralization
at Briggs is associated with intense silica-carbonate-pyrite flooding and
stockwork veining. Silica-carbonate alteration without pyrite is widespread and
forms broad, elongate zones parallel to, but well outboard of major shears and
faults. Disseminated pyrite is more localized and confined to discrete zones
within or directly adjacent to controlling structures.� In the Goldtooth underground zone, pyrite
content usually rises above 2-3 percent in the high-grade gold intervals and
makes them visually very distinctive. The assay footwall of the high-grade gold
mineralization, nearest the Goldtooth fault, is typically sharp, while the
hangingwall assay values are usually gradational over several tens of feet. These
visually notable features assist in our understanding of these deposits.
We plan to drill three additional
exploration holes along the Briggs Goldtooth fault and then move the drill rig to
our Cecil R project four miles north of Briggs. At Cecil R a six-hole step-out
program is planned to further define the extent and grade of mineralization contained
within a shallowly buried low-angle detachment fault. An estimate of 5.75
million tons of in-situ mineralized material grading 0.024 oz/ton Au (at a
cut-off of 0.015 oz/ton Au) has been calculated for the Cecil R deposit based
on existing drilling.
Assay analyses were performed by
ALS Chemex of Sparks, Nevada, using a 30 gram fire assay with AA
finish.� The drilling and assay program
has been performed under the direction of Mr. Bill
Fleshman, PGeo, AUSIMM, as a qualified person.
�
For additional information on
Canyon Resources and to access the full content of this technical report, please
visit our website at www.canyonresources.com.
This press
release includes �forward-looking statements� within the meaning of Section 27A
of the Securities Act of 1933, as amended and Section 21E of the Securities
Exchange Act of 1934 as amended. Such forward-looking statements include, among
others, feasibility and drilling studies for the Briggs and Cecil R projects,
mineralized material estimates, reserves estimates, drilling capability and the
potential reopening or expansion of the Briggs Mine. Factors that could cause
actual results to differ materially from these forward-looking statements
include, among others: the volatility of gold prices; potential operating risks
of mining, development and expansion; the uncertainty of estimates of reserves,
mineralized material and gold deposits; and environmental and governmental
regulations; availability of financing; the outcome of litigation, as well as
judicial proceedings and force majeure events and other risk factors as
described from time to time in the Company�s filings with the Securities and
Exchange Commission. Most of these factors are beyond the Company�s ability to
control or predict.
FOR FURTHER
INFORMATION, CONTACT:
James Hesketh, President and CEO (303) 278-8464
Valerie Kimball, Investor Relations (303) 278-8464
www.canyonresources.com
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