Capella Drill Report From Chile
CAPELLA RESOURCES LTD. (TSX-V:KPS) reports that drilling at the Lajitas Project in Chile has encountered a zone of continuous gold mineralization 50 meters north of the Santa Fe historic resource.
Drill hole LJ10015r has intersected 318m (1043 ft) at 0.68 grams per metric ton (“g/t”) gold (0.02 oz/t) over the entire length of the 318m (1043 ft) drill hole which includes 140m (459 ft) at 1.02 g/t gold (0.033 oz/t). Mineralization in the drill hole remains open to the north, east, at depth, and lies under a mineralized outcrop. Gold mineralization is hosted in diorite porphyry.
LJ10015r was drilled to the east at an angle of -60 degrees using reverse circulation techniques. Gold and copper assaying were conducted by Activation Laboratories Ltd of Coquimb, Chile (an ISO 9001-2008 certified lab). Addition step-out drill holes to the north are planned; however, an engine failure on the drill rig has caused a temporary delay in program. Drilling operations are expected to recommence early February 2010.
Four drill holes (LJ09012r, LJ09013r, LJ09014 and LJ10015r) have been completed since the startup of the Lajitas program in December 2009 (totaling 1102 meters). Drill hole collars for LJ09012r, LJ09013r and LJ0914r are located 350m east, 400m east-northeast, 450m northeast, respectively of the Santa Fe resource area. LJ09012r is drilled to the northeast and intersected a new zone of gold mineralization of 74m at 0.11 g/t gold. LJ09013r is drilled to the northeast and encountered no gold mineralization. LJ09014r intersected anomalous gold (8m at 0.08 g/t) at the bottom of the hole, possibly representing the edge of the extreme northern extension of the Santa Fe zone.
Intercepts not calculated using a gold cut-off.
Capella’s Project Manager, Neil Downey stated, “The impact of the drilling, especially drill hole LJ10015r, on the Lajitas project is yet to be determined but it appears that the gold mineralization in this hole is oxide which is very positive with regard to metallurgical processing. The mineralization intersected also appears to connect with mineralized surface outcrops indicating the possibility of low strip ratio in a mining scenario. LJ10015r drill hole has produced the most continuous gold mineralization intersected to date at Lajitas and could prove to be important if the trend continues to improve to the north”.
Core samples from LJ08011, which was drilled in December 2008, have been sent to McClelland Laboratories, Inc. of Sparks, Nevada for metallurgical testing. Results are expected in mid February.
About Capella Resources Ltd.
Capella Resources Ltd. is a publicly traded, junior exploration and mineral development company with a strong portfolio of precious and base metal projects in Chile, USA and Atlantic Canada. The Company has a 100% interest in the Lajitas and Nevada gold-copper properties located in the Maricunga Gold and Copper District and approximately 700 kilometres northwest of Santiago, Chile. The properties comprise ten exploration claims and six exploitation claims totalling a cumulative 3,500 hectares in area.
The Company holds a 100% interest in the Tinton Gold Project located 15 kilometres west-northwest of the famous and historic Homestake Mine in the Black Hills at Lead, South Dakota. The Tinton property consists of 1,270 hectares contained in 157 unpatented mining claims.
The Company also holds 3839 mineral exploration claims covering an aggregate land area of over 71,558 hectares in Atlantic Canada (Nova Scotia, New Brunswick and Newfoundland and Labrador).
Posted Feb. 01.10
