Canadian Gold Hunter Announces New Copper-Gold Porphyry Discovery at Caballo Blanco
July 16, 2007
VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 16, 2007) - Canadian Gold Hunter Corp. (the "Company") (TSX:CGH) is pleased to announce that geologic mapping and geochemical sampling has identified a new area of copper-gold mineralization associated with quartz stockwork and alteration on the Caballo Blanco property, Mexico. The new area is located two and one-half kilometres north of the Central Grid Zone, where porphyry copper-gold mineralization is known to occur.
Twenty three rock samples (outcrop and float) were taken within an 800 by 400 metre area underlain by quartz stockwork and alteration. These samples returned up to 1.5 g/t gold and 0.15% copper and averaged 0.18 g/t gold and 213 ppm copper. Five four-kilometer lines, spaced 400 meters apart, were surveyed with induced polarization ("IP") and ground magnetics. Results from the IP geophysical survey show that the surface mineralization is associated with a large chargeability anomaly interpreted to represent significant disseminated sulphides. This chargeability anomaly, which appears to be largely buried, is two kilometres east-west by at least 1.5 kilometres north-south.
Soil samples were collected on 50-meter spacing along each line. Sixteen consecutive soil samples over the surface showing returned an average of 128 ppb gold (ranging from 41 to 400 ppb), 342 ppm copper (ranging from 57 to 1435 ppm) and 15 ppm molybdenum (ranging from 7 to 35 ppm). The alteration and mineralization are interpreted to be representative of a high level of exposure in a porphyry copper-gold system. The Central Grid Zone, where past drilling identified copper-gold porphyry mineralization including an intersection in hole CB-04-01 of 56 metres grading 0.84 g/t gold and 0.34% copper (see Almaden Minerals Ltd. ("Almaden") press release dated June 1, 2005), occurs about 2.5 kilometres south of the new discovery. The Company and Almaden are jointly reviewing these new results and look forward to planning a follow-up program to advance this promising new mineralized area.
In addition to the copper-gold porphyry mineralization in the Central Grid Zone, the Caballo Blanco property covers two large areas of high sulphidation gold mineralization known as the Northern Zone and the Highway Zone. Extensive alteration typical of high sulphidation gold systems is associated with these two zones. Limited drilling in the Northern Zone, which is the highest priority target on the property, has intersected 108 metres grading 1.14 g/t gold in drill hole CB-05-03, 92.7 metres grading 1.0 g/t gold in CB-06-01 and 76 metres grading 1.70 g/t gold in CB-06-03 (Almaden news releases dated August 8, 2005 and August 10, 2006). This mineralization is hosted in explosive breccias with several events of superimposed silicification and alteration.
High-sulphidation epithermal gold mineralization, such as that identified in the Northern and Highway Zones, has been shown elsewhere to be genetically related to copper-gold porphyry mineralization. Both styles of mineralization occur in volcanic environments with high-sulphidation gold mineralization often grading into porphyry mineralization at depth. At Caballo Blanco, porphyry mineralization is thought to be exposed in the Central Grid Area due to deeper erosion compared to that in the Northern and Highway Zones.
Samples were prepared and analyzed by ALS Chemex laboratories of North Vancouver using industry standard fire assay, ICP and wet geochemical techniques. Standards and blanks were included in the sample shipments as part of an ongoing quality control program. Morgan Poliquin, M.Sc., P.Eng., a director of Almaden, is the qualified person reviewing the technical information in this news release under the meaning of National Instrument 43-101.
Canadian Gold Hunter can earn a 70% interest in the Caballo Blanco property by spending US$ 12.0 million over 6 years.
ON BEHALF OF THE BOARD
Richard J. Bailes, President
Canadian Gold Hunter Corp.
(604) 689-4250 (FAX)