Cassidy resources indicated at 337,000 ounces Au

2006-09-20 13:19 ET - News Release

Mr. James Gillis reports

CASSIDY GOLD CORP.: UPDATED RESOURCE STATEMENT FOR KOUROUSSA PROJECT

Cassidy Gold Corp. has received updated resource figures for its 100-per-cent-owned Kouroussa gold project in Guinea, West Africa. Resource drilling has begun to outline gold resources in five new zones: Kinkine, Bag Farm, Junction and X-Vein in the Sodyanfe area, and KD-1 in the Koekoe area. In addition, Cassidy has upgraded a significant portion of the previously inferred resource to an indicated classification.

The table below summarizes the indicated and inferred resources at Kouroussa estimated using a 0.7-gram-per-tonne-Au cut-off grade and a three-metre minimum horizontal thickness. Indicated resources total 337,000 ounces of gold predominantly hosted in Sanu Filanan (161,000 ounces) and Kinkine (89,000 ounces), with significant contributions from Sanu Folo, JJ, and KD-1 (63,000 ounces). Inferred resources total 364,000 ounces hosted mainly in Sanu Filanan (205,000 ounces). Significant inferred resources are present at Kinkine, Junction, KD-1, Sanu Folo and JJ. All the mineralized zones included in the resource statement remain open in at least two directions.

      INDICATED AND INFERRED RESOURCES, KOUROUSSA PROJECT

                        (0.7 g/t Au cut-off)

Deposit                Indicated                    Inferred             

               Tonnage  Au g/t   Au oz     Tonnage  Au g/t     Au oz

Kinkine trend

Kinkine      1,486,000    1.90  89,000     722,000    1.50    35,000

Sodyanfe trend

Bag Farm       292,000    0.90   9,000     151,000    1.50     7,000

Junction       425,000    1.10  15,000     845,000    1.20    32,000

X-Vein               -       -       -     245,000    2.40    19,000

Koekoe trend

Sanu Filanan 1,552,000    3.20 161,000   2,811,000    2.30   205,000

Sanu Folo      186,000    2.80  16,000     254,000    2.70    22,000

JJ             188,000    4.90  29,000     194,000    3.20    20,000

KD-1           254,000    2.20  18,000     579,000    1.30    24,000

Totals       4,383,000    2.40 337,000   5,801,000    1.97   364,000

RSG Global of Perth, Australia, validated and interpreted the data, constructed wire frames, completed 3-D block models and estimated resources for each of the mineralized zones using an ordinary krige technique. Resource estimates were prepared and reported in accordance with Canadian National Instrument 43-101 and the classifications adopted by CIM council in December, 2005.

The previous resource statement, completed in October, 2005, outlined an inferred resource of 433,000 ounces of gold in the Sanu Filanan, Sanu Folo and JJ deposits, based on 188 diamond drill holes and 668 shallow RC drill holes. Since that resource calculation, Cassidy completed 32,284 metres of reverse circulation drilling in 317 holes and 3,274 metres of diamond drilling in 25 holes. The vast majority of drill holes intersected mineralized zones above 150 m vertical depth, though not all are included in the resource due to insufficient continuity from section to section.

Cassidy is gearing up for the next phase of resource and exploratory drilling, to commence in early October. A program consisting of 30,000 metres of RC drilling, 5,000 metres of diamond drilling and 5,000 metres of aircore drilling will focus on extending the Kinkine, KD-1, and Sanu Folo deposits along strike and to depth, where appropriate. RC drilling will also target mineralization discovered toward the end of the last program at Dalaoule, Banjounani and Kinkine. RSG Global will once again be managing the exploration program on behalf of Cassidy.

Christopher J. Wild, PEng, vice-president of exploration, is the qualified person, and has reviewed results, sampling procedures and data contained in this release.

Corporate Profile By Secular Bull View Other News Releases

Interested in any future Private Placements with this company? Click here!