ATLANTA, Jan. 25, 2011 (GLOBE NEWSWIRE) -- Dutch Gold Resources, Inc. (Pink Sheets:DGRI) (the "Company") ( http://dutchgold.com ) today announced that the results of Phase One of the Jungo drilling project indicate favorable data. The Company is pleased to report that initial results appear to be favorable, and to announce the next steps in the interpretation of the data.
The Company is reviewing the drill core from its Jungo property in Humboldt County, Nevada. The hole was drilled at 60 degrees to the northwest to cross the southeast-dipping geology. Dutch Gold is pleased to announce that the drilling has intersected extensive breccia containing a wide variety of locally rounded clasts including volcanic fragments and locally extensive pyritic quartz clasts in a matrix of clay and apparent quartz sericite. This is interpreted to be the volcanic vent that was crossed almost perpendicularly from 92 feet to 280 feet in a 188-foot segment of a trench that overlies the drill hole a short distance to the south.
In the trench, the eastern twenty feet assayed 0.042 opt gold and more than 0.5 opt silver. A select 5-foot sample of the hot springs rock assayed 0.6 opt gold and 4.44 opt silver. Additionally, the western portion of the vent in the trench contained intervals that assayed better than 0.01 ounce per ton gold. The core is interpreted to be the upper level, lower temperature part of a gold system that could strengthen at depth.
The volcanic vent gold system is interpreted to be a younger, separate system from the gold and copper system that was the focus of the earlier exploration in the area. This newly identified system does not appear to contain copper.
Dutch Gold believes that a combination of the mineralization in the newly discovered system with the earlier identified gold and copper mineralization should be evaluated for its combined open-pit potential. Furthermore, the new system should be evaluated on its continuation to the north and at deeper levels.
"We will log the core in detail, cut it and submit it for assaying. First assay results are expected in about two weeks," said Rauno Perttu, Chief Operating Officer. "These early indications, along with the assay data, will guide the Company in further exploration and development planning for the Jungo project," added Mr. Perttu.
Dutch Gold Resources, Inc. is engaged in the production and development of gold properties in North America. The company's strategy is to focus on overlooked resources that can be quickly and cost-efficiently brought into production, and to seek out potentially significant exploration targets in high value geographies. The Basin Gulch project Montana, the Jungo property outside Winnemucca, Nevada, and the Gold Bug Mine in Oregon comprise the Company's current portfolio. The DGRI management team is composed of seasoned professionals with decades of experience in geology, and in mergers and acquisitions, as well as corporate finance.
This press release contains forward-looking statements that reflect the Company's current expectation regarding future events. Actual events could differ materially and substantially from those projected herein and depend on a number of factors. Certain statements in this release, and other written or oral statements made by Dutch Gold Resources, Inc. are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties and other factors, which are, in some cases, beyond the Company's control and which could, and likely will, materially affect actual results, levels of activity, performance or achievements. The Company assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. Important factors that could cause actual results to differ materially from the company's expectations include, but are not limited to, those factors that are disclosed under the heading "Risk Factors" and elsewhere in documents filed by the company from time to time with the United States Securities and Exchange Commission and other regulatory authorities.
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CONTACT: Steve Keaveney Dutch Gold Resources, Inc. (404) 419-2440