AmMex Gold Mining Intersects Devils Gate target at Bailey Hills, Nevada
Carlin, Nevada – (BUSINESS WIRE) – February 9th, 2007 - AmMex Gold Mining Corp. (OTCBB: AMXG) (FWB: R5E, WKN: A0KE72) is pleased to announce that the first drill hole at drill site (P7) at their Bailey Hills project, located 35 miles SE of Carlin, Nevada, intersected the Devils Gate formation at a depth of 980 feet, which is very close to that predicted by the CSAMT [controlled source audio-magnetotelluric survey] study, ending at a total depth of 1260 feet. Drilling is ongoing and is currently at a depth of 970 feet at hole #2, drill site (P1).
Bill Reed, VP Exploration said, "I am very pleased that our first drill hole intersected the target, which was outlined by the prior CSAMT survey. Of particular interest is the 100 foot intersect at the contact of the Webb Formation and Devils Gate, from 890 to 990 feet that revealed breccia and chert with pyrite, as this is the contact and breccia zone where gold mineralization is found at the Rain mine to the northwest."
A CSAMT was completed at Bailey Hills in 2 phases before the drill program began in December 2006 and covered 15 east-west lines that range between 2475 and 8250 feet in length and spaced 825 feet apart. The lines were run with the intention of better defining the bounding structures of a horst complex of up-thrown Paleozoic carbonate units, including the Devils Gate Limestone and the Webb formation, and the breccia zone between them which hosts Carlin style gold mineralization at the Rain mine located to the NW, where gold mineralization is contained in the breccia unit. The entire area is covered by Tertiary volcanic units except for a small window near the south end of the property where Chainman Shale outcrops.
The horst complex was previously defined by gravity surveys and shallow drilling in the late 1990’s, but refined definition was required to better target drilling designed to test the feeder structures and the zones from 200 to 330 feet to either side. At the Rain mine, gold mineralization is confined to this environment.
The survey successfully located the horst complex over a strike length of more than 13,860 feet, and 15 drill sites were recommend based on the results of the survey. A 10,000 feet RC drill program commenced in December 2006 to test the targeted zones.
The survey was completed by Zonge Geophysics and interpreted by James L. Wright [Wright Geophysics] of Elko, Nevada. Mr. Wright has many years of experience in the Carlin Trend and is highly regarded. The report by Wright can be found on the AmMex website (www.ammexgoldmining.com).
SUMMARY: DRILL HOLE #1
0 – 110 ft. |
Volcanics |
110 – approx. 890 ft. |
Chaiman Shale and Webb formation - Quartz veins with pyrite between 690 and 785 ft. |
890 – 990 ft. |
Breccia and chert with pyrite – some jasperoid |
990 – 1130 ft. |
Devils Gate Limestone - Occasional jasperoid zones with pyrite over long intervals |
1130 – 1260 ft. |
Limestone with calcite veins |
About Bailey Hills
The Bailey Hills project covers approximately 4.5 square miles (approximately 3,000 acres) and consists of 150 mining claims within the southernmost part of the Carlin trend, within the Great Basin in Nevada. Currently, this region accounts for approximately 11 per cent of the total worldwide gold production.
AmMex Gold. can earn an 80 percent interest in the property from Global Minerals Ltd. (TSXV: CTG, FWB: DFP) with expenditures of $4-million (U.S.) within a three-year period, payable as follows: $1-million in the first year, $1.5-million in the second year and $1.5-million in the third year.
About AmMex Gold
AmMex Gold Mining Corp. is a precious metals exploration and development company. It is management's objective for AmMex Gold to become a gold and precious metals producer by developing the El Tiliche project in Mexico, the Bailey Hills and Ox Creek properties in Nevada, and by acquiring other advanced-stage projects and/or producing mines in proven precious metal districts throughout the world. The Company trades on the OTC market under the symbol “AMXG” and on the Frankfurt Exchange under the symbol “R5E”. For more information, please visit the Company’s web site at: www.ammexgoldmining.com (now available in the following languages: English, German, Mandarin, Spanish and French).
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained herein which are not historical are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays beyond the company's control with respect to market acceptance of new technologies or products, delays in testing and evaluation of products, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.
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