www.extorre.com
Extorre Gold Mines is an emerging gold & silver producer in Argentina, which is listed under the symbol XG on the Toronto Stock Exchange (TSX) and the NYSE-AMEX Exchange. The cash position on November 1, 2011, is $35 million. Cerro Moro is Extorre's flagship gold-silver property located in mining friendly Santa Cruz Province.
Extorre Gold drills high and bonanza grade gold-silver results from new Zoe find
Extorre Gold Mines (AMEX:XG) (TSE:XG) reported Wednesday more high and bonanza grade gold and silver results from the new Zoe discovery at its Cerro Moro project in Santa Cruz, Argentina.
The diamond drill results are from ten of the 27 holes completed to date on the Zoe zone.
Highlights included 8.6 metres at 39.9 g/t gold and 4,056 g/t silver, or 107.5 g/t gold equivalent in hole MD1213, including 1.3 metres at 171.7 g/t gold and 14,321 g/t silver, or 410.4 g/t gold equivalent.
In addition, hole MD1224 intersected 3.48 metres at 60.7 g/t gold and 1,875 g/t silver, or 91.9 g/t gold equivalent, including 0.60 metres at 254.2 g/t gold and 5,170 g/t silver, or 340.4 g/t gold equivalent.
"The new results are clearly outstanding, and confirm the continuity of mineralization at the Zoe discovery," said co-chairman, Bryce Roxburgh.
"Our view is that Zoe has the potential to both significantly expand the scope of the mine development and extend the life of the project.
"Additional drilling is required, but Zoe is indeed a “game changer” for the project and we are encouraged that our geologist’s advice is that the geological structure is strong and persistent along trend."
Indeed, Roxburgh went on to say that the Zoe vein system represents another "blind from surface" discovery at Cerro Moro, and that its subtlety could spell the potential for other similar finds within the 200 square kilometre field at the project.
Other notable intersects from Zoe included 1.81 metres at 162.0 g/t gold and 2,316 g/t silver, or 200.6 g/t gold equivalent in hole MD1226, including 0.71 metres at 374.0 g/t gold and 3,869 g/t silver, or 438.5 g/t gold equivalent.
The company said the new results define these high grades over a 350 metre strike length, and to a vertical depth of up to 240 metres.
Currently, two drill rigs are continuing to step out along the 2 kilometre long Zoe target zone, and should the high grade pattern continue, Extorre said it would examine the possibility of open pit mining at Zoe - similar to what it is planned or the Escondida, Gabriela and Esperanza veins at the project.
Last month, the company announced an NI 43-101 compliant resource for Cerro Moro, which estimates 612,000 indicated ounces of gold equivalent at an average grade of 32.3 g/t, plus an additional 390,000 inferred ounces of gold equivalent.
In addition to the rigs operating at Cerro Moro, there are two more working at Extorre's Cerro Puntudo project, located just 200 kilometres west of Cerro Moro.
