ATLANTA, Feb. 10, 2011 (GLOBE NEWSWIRE) -- Dutch Gold Resources, Inc. (Pink Sheets:DGRI) (the "Company") ( http://dutchgold.com ) today announced that State of Montana Department of Environmental Quality () issued the company an exploration license for its Basin Gulch project. Drilling will commence in March 2011.
The Company received the license, paving the way for a drilling program on its Basin Gulch property west of Philipsburg, in Granite County, Montana. The drilling program is designed to in-fill historic drilling along a segment of the mineralized Basin Gulch Fault that was an apparent control structure for the adjacent gold and silver mineralized large diatreme complex. Diatremes are sometimes associated with deposition of economic mineral deposits. A significant diatreme event was that which formed the giant Sullivan galena (lead-zinc-silver) orebody in British Columbia, Canada. Other diatremes in British Columbia include the Blackfoot diatreme and Cross diatreme.
The new drilling will test a segment of the BG fault extending approximately 1,000 feet northward from the northern edge of the diatreme. At the margin of the diatreme, two historic holes were angled across the BG fault. Hole BG93-6 intersected 0.183 opt gold from 0 to 5 feet, followed by 0.120 from 25 to 30 feet, and 0.201 from 35 to 45 feet. Historic hole BG96-27, drilled to intersect the fault at a deeper depth a short distance to the north intersected 0.464 opt gold and 9.08 opt silver from 180 to 185 feet, underlain by 0.110 opt gold and 2.02 opt silver from 185 to 190 feet. Hole BG96-31, which was drilled across the fault approximately 1,200 feet to the north, intersected 0.623 opt gold from 70 to 75 feet. These are the only holes that have been drilled across the fault north of the diatreme complex, and all three intersected high-grade gold.
Dutch's proposed drilling is designed to confirm the geometry of the fault and to test for continuity and thickness of the high-grade mineralization. Anecdotal information supports the high-grade gold mineralization along the fault zone. Dutch Gold CEO Daniel Hollis stated, "We are clearly pleased at having received this exploration license allowing us to commence drilling at our Basin Gulch project. This progress is right in line with our previously stated goals, representing more tangible evidence of our continuing commitment towards trying to build long-term, sustainable value for our shareholders. Over the next six to eight weeks, the Company expects to define the targets of highest probability for development for the balance of 2011."
Dutch Gold Resources, Inc. is engaged in the acquisition and development of gold properties in North America. The company's strategy is to focus on overlooked resources that can be brought into production over two to three year timeframe. The Basin Gulch project in Montana, the Jungo property northwest of Winnemucca, Nevada, and the Gold Bug Mine in Oregon comprise the Company's current portfolio. The Dutch Gold Resources 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.
CONTACT: Steve Keaveney Dutch Gold Resources, Inc. (404) 419-2440. www.DutchGold.com