RENO, Nev., March 14, 2007 (PRIME NEWSWIRE) -- Consolidated Goldfields Corporation (Pink Sheets:CDGF) is pleased to announce that the Company will be commencing a comprehensive surface and underground mapping and sampling program at its Pyramid Mine in Churchill County, Nevada.
The Pyramid Mine is a high-grade underground gold-silver-lead-zinc vein system hosted in altered volcanic rocks within the prolific Walker Lane structural zone. Small-scale underground operations conducted in the 1970s and 1980s produced approximately 20 tons of gravity concentrates that contained an average grade of 3.3 ounces per ton gold and 478 ounces per ton silver. A small tonnage of direct shipping ore was also mined which averaged 0.774 ounces of gold per ton and 182 ounces of silver per ton.
Underground exploration conducted in the 1990s encountered multiple high-grade faces ranging in value from anomalous to 2.86 ounces per ton gold and 453 ounces per ton silver. The high-grade veins were actually hand measured within existing underground workings and a total of 4,000 tons of mineralized material was delineated at an average grade of 0.514 ounces per ton gold, 75 ounces per ton silver, 5.95% lead and 7.08% zinc.
The primary object of the exploration/development program is to map and sample the 4,000 tons of mineralized material in detail to validate the historical records. The Company then plans to initiate underground mining operations to obtain a bulk sample that will be concentrated and processed at an existing smelter. Because the mineralized material is of such high grade, significant cash flow will potentially be realized from the precious and base metals that are recovered from the bulk sample.
The comprehensive mapping and sampling program will also focus on extending the known veins to define additional tonnages of high-grade mineralized material in addition to exploring for new veins throughout the district. The Pyramid Mine project area experienced very minor exploration in the past and has never been evaluated using modern exploration techniques. Therefore, the district exhibits excellent potential to significantly increase mineral resources and develop a substantial high-grade underground mining operation. High-grade precious and base metal mineralization remains open both along strike and at depth throughout the project area.
Certain information contained in this news release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbor created by such sections. However, such forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from such forward-looking statements. The Company disclaims any intent or obligation to update publicly any forward-looking statements set forth herein, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.