NGEx Resources Inc.
The NGEx District

Chile's Biggest New Copper-Gold Camp

News

Investors

News


Information posted is accurate at the time of posting, but may be superseded by subsequent press releases.

Canadian Gold Hunter Corp.: Indicated Resource at Donnelly Zone Contains 1.73 Million Ounces Gold and 1.04 Billion Pounds Copper

Mar 26, 2007 - 01:24 ET


VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 26, 2007) - Canadian Gold Hunter Corp. (the "Company") (TSX:CGH) is pleased to announce completion of an updated independent resource estimate on the Donnelly and North Donnelly Zones at its GJ/Kinaskan gold-rich porphyry copper deposit in northern British Columbia.

The Donnelly resource estimate is based on results from 78 diamond drill holes over a strike length of 1.6 kilometres. The indicated resource, at a cut-off of 0.15% copper, is 172.15 million tonnes grading 0.274% copper and 0.312 g/t gold and contains 1.04 billion pounds of copper and 1.73 million ounces of gold. In addition, an inferred resource for the newly discovered North Donnelly Zone at the same cutoff consists of 22.67 million tonnes grading 0.254% copper and 0.362 g/t gold, containing 122 million pounds of copper and 0.26 million ounces of gold.

Donnelly Indicated Resources

--------------------------------------------------------------------
Cut-off Cu Tonnes Cu Au Contained Contained Au
(%) (000,000) (%) (g/t) Cu (million lbs) (million ozs)
--------------------------------------------------------------------
0.10 217.82 0.243 0.283 1,167 1.98
--------------------------------------------------------------------
0.15 172.15 0.274 0.312 1,040 1.73
--------------------------------------------------------------------
0.20 123.09 0.314 0.352 852 1.39
--------------------------------------------------------------------
0.25 83.29 0.357 0.391 656 1.05
--------------------------------------------------------------------
0.30 52.19 0.406 0.437 467 0.73
--------------------------------------------------------------------

Donnelly Inferred Resources

--------------------------------------------------------------------
Cut-off Cu Tonnes Cu Au Contained Contained Au
(%) (000,000) (%) (g/t) Cu (million lbs) (million ozs)
--------------------------------------------------------------------
0.10 36.94 0.207 0.236 169 0.28
--------------------------------------------------------------------
0.15 25.72 0.244 0.262 138 0.22
--------------------------------------------------------------------
0.20 16.05 0.286 0.291 101 0.15
--------------------------------------------------------------------
0.25 9.18 0.332 0.321 67 0.09
--------------------------------------------------------------------
0.30 4.70 0.390 0.356 40 0.05
--------------------------------------------------------------------

North Donnelly Inferred Resources

--------------------------------------------------------------------
Cut-off Cu Tonnes Cu Au Contained Contained Au
(%) (000,000) (%) (g/t) Cu (million lbs) (million ozs)
--------------------------------------------------------------------
0.10 44.81 0.187 0.274 185 0.39
--------------------------------------------------------------------
0.15 22.67 0.245 0.362 122 0.26
--------------------------------------------------------------------
0.20 13.75 0.294 0.462 89 0.20
--------------------------------------------------------------------
0.25 9.76 0.324 0.533 70 0.17
--------------------------------------------------------------------
0.30 5.29 0.360 0.589 42 0.10
--------------------------------------------------------------------

This updated resource estimate was commissioned following the 2006 drill program, which successfully allowed a substantial portion of the 2006 inferred resource category to be upgraded to the indicated category. For comparison purposes to the 2006 estimate, if all of the current resources, at a cut off grade of 0.15% copper were still categorized as inferred, it would represent an approximate 62% increase in tonnage.

The Donnelly Zone has been drilled to date to an average depth of about 300 metres. It is 1600 metres in strike length and up to 340 metres wide. The newly discovered North Donnelly Zone has only been tested by 25 drill holes and is poorly understood.

Upcoming plans include a scoping study to be undertaken by Nilsson Mine Services. This study will focus initial open pit mining on the high-grade, near-surface eastern portion of the Donnelly Zone. The higher grade material in this area averages about 0.4% copper and 0.4 g/t gold.

The 2007 drilling program will consist of 15,000 metres of diamond drilling, some of which will be used to infill and upgrade the higher-grade portions of the Donnelly Zone. Additional drilling will be undertaken to expand and better define the newly discovered North Donnelly Zone. An updated resource estimate will be completed following the 2007 program.

Rick Bailes, President of Canadian Gold Hunter, commented, "We continue to expand resources and discover new mineralized zones on the project. We look forward to the upcoming drill program, especially the drilling on the North Donnelly Zone, which should add more resources."

The Donnelly Zone resource estimate was prepared by qualified person Mr. Gary Giroux, P.Eng. using a computer-generated block model based on approximately 24,300 metres of diamond drilling in 78 drill holes. A total of 5,002 assayed samples were used to define the Zone. The North Donnelly Zone resource estimate was prepared by qualified person Dr. Giles Peatfield, P.Eng. using a manual sectional method, based on approximately 5,770 metres of diamond drilling in 25 holes with 1,468 sample assays used in the estimate.

The 2006 drill program and sampling were supervised by qualified person David Mehner, P.Geo., Project Geologist for Canadian Gold Hunter. Appropriate quality control and quality assurance protocols were utilized on the program. Standard reference samples, blanks and duplicates were inserted in each batch of samples for assay. The Canadian Gold Hunter drill samples were analyzed for gold by fire assay and for copper by atomic absorption, by ALS Chemex in North Vancouver, B. C., Canada. All assay results were examined by independent engineer Dr. Peatfield prior to release, in order to verify that QC protocols were honoured.

An NI 43-101 compliant technical report detailing these resource estimates will be completed by Mr. Mehner, Mr. Giroux and Dr. Peatfield within 45 days.

The GJ/Kinaskan Property is located in northern British Columbia about 10 kilometres west of the Stewart Cassiar highway. The claims underlie an area of about 150 square kilometres, which contains 21 significant mineral showings, including the Donnelly, GJ and North zones.

Canadian Gold Hunter has a 100% working interest in the GJ/Kinaskan property. The 2007 diamond drilling program will commence on or about June 1st.

ON BEHALF OF THE BOARD

Richard J. Bailes, President         
FOR FURTHER INFORMATION PLEASE CONTACT:

Canadian Gold Hunter Corp.
Sophia Shane
Corporate Development
(604) 689-7842
(604) 689-4250 (FAX)
Website: www.canadiangoldhunter.com


 

Contact