TSX-V: MDV
Frankfurt: M5Q
NEWS
RELEASE
Megastar Discovers New High Grade Gold Zone
at Simkar
July
11, 2007
Megastar Development Corp.
(TSX-V: MDV; Frankfurt: M5Q), reports that assays from 5 more
holes have now been received from drill testing on the south zone at the past
producing Simkar.
"We believe we are tapping
into a new high-grade gold system at Simkar", states Dusan Berka, President of
Megastar. "The current drill program demonstrates that the system hosts some
very high grades intersected in close proximity to underground workings. This
new system can certainly fast-track our corporate goal of re-opening the high-grade gold mine." Mr Berka adds "high-grade narrow-vein deposits have been
successfully mined in the Abitibi for 100 years and have triggered the birth of
many larger mining companies such as Dome Mines and Teck Corp. Current Quebec
Government incentive programs also add to the ongoing success of the already
world-renowned mining camp."
High-grade zones were
intersected in holes 04 - 05 and 09. These three holes, on strike over
approximately 350 meters, were designed to test the continuity of known
mineralized zones at depth (East Zone and C Zone). All three holes
successfully intersected the targeted mineralized zones at depth, thus
confirming the continuity of the gold bearing
structures.
Furthermore, a new series
of high-grade veins were also intersected in the upper part of these three
holes. These new high-grade veins are located approximately 50 meters south of
the Shear Zone, which hosts the East and C Zones, and appear to be part of a
network of high-grade tension veins. Similar veins have been documented to occur
in the near vicinity of the A and B Zones, and now, the company appears to have
intersected a new network of these narrow high-grade tension veins south of the
southernmost structure that was mined previously. Certainly, more work will be
undertaken to test this model.
SKR-07-06 was
designed to test the East Zone, approximately 150 meters east of DDH SKR-07-05
(140.00 g/t Au over 0.50 m), at a down hole depth of approximately 100.5 meters the
hole intersected 0.65 g/t over 1.0 m. All assays are reported uncut and over
core sample lengths and therefore do not represent true
width;
SKR-07-07 was
designed to test the B Zone on section 7850 and at a down hole depth of 193.5
meters intersected 6.68 g/t Au over 1.5 m and at 247.5 meters returned 1.4 g/t
Au over 1.5 m;
SKR-07-08 was also designed
to intersect the B Zone and at a down hole depth of 187.5 meters intersected
4.72 g/t Au, over 1.5 m and at 195.5 meters returned 33.9 g/t Au over 1.0
m;
SKR-07-09 intersected a new zone of high-grade gold mineralization at a down hole
depth of 39.7 meters and returned 31.0 g/t Au over 0.50 m core length. Another
intersection at 70.5 meters returned 2.28 g/t Au over 1.5
m;
SKR-07-10 at 24.5 meters
returned 2.27 g/t Au over 0.3 m, and at 52
meters down hole intersected 2.0g/t Au over 1.5 m, and at 73.4 meters returned
3.79 g/t Au over 0.4 m, and at 119.6 meters returned 1.24 g/t Au over 1.4
m;
SKR-07-11 successfully
intersected the "B" Zone at a down hole depth of 206 meters and returned a
weighted average grade of 2.25 g/t
Au over 4.5 m as follows:
SKR-07-11 |
206 |
207.5 |
454219 |
1.5 |
1.58 |
SKR-07-11 |
207.5 |
209 |
454220 |
1.5 |
4.14 |
SKR-07-11 |
209 |
210.5 |
454221 |
1.5 |
1.03 |
Further results from drill
testing, on the north zone (SKR-12-13-14) to test a previously identified
geophysical anomaly (P-14), are pending and the company will provide assay
results as soon as they are available.
Certified standards and
blanks are inserted by the company into the sample stream and introduced at 20
sample intervals. All core samples are assayed by ALS Chemex using the standard
fire assay method on a 30-gram portion. Core intervals containing visible gold
are assayed using the metallic sieve method in order to minimize the nugget
effect. ALS Chemex standard operating procedures require the analysis of quality
control samples (reference materials, duplicates and blanks) with all sample
batches. As part of the assessment of every data set, results from the control
samples are evaluated to ensure they meet set standards determined by the
precision and accuracy requirements of the method.
Mr. Martin Bourgoin, B.Sc., P.
Geo. who is a qualified person as
defined under National Instrument 43-101, has reviewed and approved the contents
of this news release.
ABOUT MEGASTAR DEVELOPMENT
CORP.
Megastar
Development Corp. is an emerging resource company engaged in the acquisition,
exploration and development of mineral properties in Quebec and British
Columbia. Megastar
is listed on the TSX Venture Exchange under the trading symbol "MDV" and on the
Frankfurt Stock Exchange under the trading symbol
"M5Q".
To
review the latest news, projects, and company updates, investors and
shareholders are invited to visit the Company's website at www.megastardevelopment.com . For information on Megastar call (604) 683-6648 or
contact:
Coal Harbor
Communications
Suite 701,
555 Jervis Street, Vancouver, BC Canada V6E 4N1
dale@coal-harbor.com
Tel: 1+
(604) 662-4505;
Fax: 1+
(604) 662-4547
Toll-free : 1+ (877)
642-6200
ON BEHALF OF THE BOARD OF
DIRECTORS
"DUSAN BERKA"
Dusan Berka, P. Eng.
President
& CEO