RENO, Nev., June 24, 2005 (PRIMEZONE) -- Battle Mountain Gold Exploration Corp. ("Battle Mountain Gold") (OTCBB:BMGX) is pleased to announce that its Joint Venture company, Pediment Gold LLC ("Pediment Gold"), has completed the analysis and integration of the geological and geochemical data acquired in its first phase of exploration drilling on the "Hot Pots" gold project and has identified two possible gold-bearing structural trends within the project area.
First Phase Drilling Results
Nine vertical, reverse circulation drill holes were drilled over a 4-square-mile area for a total of almost 4,000 feet of drilling to depths ranging from 300 to 620 feet.
Depth to bedrock was far shallower than anticipated with alluvial gravel thicknesses of less than 70 feet in all holes except one. The playa sediments and gravels were found to overlay volcanoclastic sediments overlaying Paleozoic bedrock. Depth to the Paleozoic bedrock surface ranged from 110 to 390 feet and oxidation extends well over 300 feet into the bedrock.
Water samples from all but one of the holes reported anomalous gold and other trace-elements and one of the holes reported 267 parts per trillion gold, values similar to the gold and water chemistry at the nearby Lone Tree Mine. Bedrock samples from all of the holes reported gold, from strong to weakly anomalous values, arsenic and associated anomalous trace elements in seven of the nine holes. And hydrothermal alteration was identified in five of the holes.
These findings, when integrated with the existing project information has identified a roughly north south trending geological uplift, bounded on the east and west by two north-south trending structural trends that appear to reflect the pattern of anomalous gold and associated trace elements reported from both the water and bedrock sampling.
Subsequent Action
A soil gas chemistry (Carbon Dioxide only) orientation survey has been initiated and preliminary data from this in-progress survey supports the drilling, water chemistry and geophysical data as to the location and chemically anomalous nature of these two trends.
A soil gas chemistry survey can be used to measure the increased concentrations of carbon dioxide and decreased concentrations of oxygen in the soil. These compositional changes are known to be associated with sub-surface oxidation within mineralized or potentially gold-bearing structures.
Upon completion of the soil gas survey and, a second phase drilling program will be budgeted.
This initial drill program was specifically designed to intersect bedrock and to collect additional water samples over the several-square-mile project area. The objectives of the drilling were to 1) test the depth to bedrock; 2) determine the bedrock's lithologic and alteration characteristics; and 3) enlarge the extent of anomalous subsurface water chemistry. All drill holes intersected bedrock at significantly shallower depths than initially anticipated and the abrupt changes in bedrock relief suggest the presence of major faults. Bedrock lithology consists of thick shale and siltstone sequences with quartzite and greenstone, likely of the Ordovician Valmy Formation. The program's objectives have been accomplished with positive results, and a follow-up program is underway.
Exploration Considerations
Battle Mountain Gold is very encouraged by the results to date and believes the Hot Pots Project Area is unique with respect to the following exploration considerations:
-- Located along the Regional Alignment of major gold deposits (Cove-McCoy to Twin Creeks) indicative of long-lived, deep-seated fault zones localizing major, gold-bearing hydrothermal activity.
-- Altered and mineralized carbonate host rocks exposed along adjacent range fronts and encountered by previous drilling to the north and south of the Hot Pots gravel-covered pediment area.
-- The Hot Pots Project Area is a large, and up until now, unexplored area located between areas considered worthy of past intense exploration interest by other companies.
-- Both gravity and the first-phase drill data indicates shallow (less than 500') pediment gravel cover across a broad, N-S elongate bedrock surface.
-- Anomalous gold in ground water clearly characterizes the Lone Tree gold mine (+5MMozs). Similar gold and associated element values are seen in drill water from samples located within and along the northern boundary of the Hot Pots Project Area and strongly suggest a nearby bedrock gold source.
-- An eleven square-mile block of contiguous private land can be explored with greater flexibility than can BLM land.
About Battle Mountain Gold
Battle Mountain Gold Exploration Corporation (OTCBB Symbol BMGX) is unlike any other mineral exploration company. BMGX is the first exploration company focused on gold discovery in Nevada to apply the concept of using water chemistry to locate new gold deposits. The reader is encouraged to review a detailed description of the proprietary ground-water chemistry exploration program on the Company's website at www.bmegold.com to gain a better understanding of the importance of this new technology to the discovery of new gold deposits in Nevada. A brief overview can be found as the latest corporate presentation -- www.bmegold.com/ir/presentation/index.htm. Additional information on this technology will continue to be posted, as the Company enlarges its land position and increases its industry lead in the use of water chemistry in Nevada.
The water database and sampling methodology remains unavailable to competitors in the industry. Up until now, this powerful, common-sense exploration approach has not been consistently applied to the search for pediment-covered gold deposits within one of the world's most prolific gold-producing regions. BMGX has currently identified a number of highly prospective pediment areas and is extremely encouraged by the results to date. Plans have been made and budgets allocated to acquire land in target areas identified by the 2004 water sampling program, These plans include permitting and drilling to expand the collection of water samples in Nevada during 2005.
BMGX is a minerals exploration company headquartered in Reno, Nevada. BMGX's Officers and Directors have over 110 years of combined experience in the successful creation of gold and copper mines, including key participation in the discoveries of the pediment-covered Twin Creeks (+20 million ounces) and Lone Tree (+10 million ounces) deposits and the McLaughlin (+3 million ounces), Mule Canyon (+1 million ounces), and Gold Bar (+1 million ounces) discoveries. Mr. Mark Kucher, the Chairman and Mr. Jim McKay, the President have been directly involved in the creation of Miramar Mining (TSX-MAE) and the restructuring of both Princeton Mining Company (TSE-PMC) and Cobre Mining Company (TSE-CBU) and their participation was crucial in the sale of Cobre Mining to Phelps Dodge Company in 1998 for US$108 million.
On behalf of the Board of Directors, "James E. McKay" President and CEO For more information visit www.bmegold.com or email info@bmegold.com Battle Mountain Gold Exploration Corporation Sixth Floor, Suite 9 One East Liberty Street Reno, Nevada 89504 Tel: (775) 686-6081 Fax: (775) 686-6066
Safe Harbor for Forward-Looking Statements: No securities regulatory authority or stock exchange has reviewed or accepts responsibility for the adequacy or accuracy of this release. This release contains certain "forward-looking statements" as defined by the Private Securities Litigation Reform Act of 1995, including, without limitation, expectations, beliefs, plans and objectives regarding the potential transactions and ventures discussed in this release. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are the risks inherent in minerals exploration, the need to obtain additional financing, the availability of needed personnel and equipment for future exploration and development, fluctuations in the price of minerals, and general economic conditions.