Press Release
GERLE GOLD (U.S.) INC. and MERIDIAN GOLD INC. announce 1998 Happy Creek exploration program to include road construction, trenching, drilling
May 19, 1998
Ray Hrkac, President of Gerle Gold Ltd. and its wholly-owned subsidiary, Gerle Gold (U.S.) Inc., is pleased to provide preliminary details of the 1998 exploration program for its property known as Happy Creek, in the Jackson Mountains in Nevada.
The Happy Creek property is the subject of an option agreement with Meridian Gold Inc., dated October 16, 1997.
The property features an epithermal system containing both underground bonanza type and large open pit gold-silver targets. The property consists of 120 unpatented lode claims and fractions and is located near the northeastern end of the Jackson Mountains in Humboldt County, Nevada, about 65 kilometres northwest of Winnemuca and 27 km due west of the Sleeper Mine. The claims are in the Jackson Mountains, between the divide separating Bottle Creek and Happy Creek, at an elevation of 1,650 to 2,050 metres. The claims are generally free of snow from late April to late November.
Since finalizing the option agreement with Gerle, Meridian geologists have reviewed all available geological reports and documentation on the property and met with the company to discuss future exploration efforts. Meridian also began a detailed surface evaluation last fall, which included a re-mapping of the project area, although an early snowfall disrupted completion of the survey work. In addition, Meridian geologists undertook an analysis of samples of the various veins from different locations for petrographic and fluid inclusion studies.
Within the next month, Meridian plans to fly the project area and acquire new aerial photography for use in preparation of new topographic maps and to provide a footprint of surface disturbance prior to construction of trenches or drill roads. The full surface evaluation, to include surface mapping and data compilation, will resume shortly and be completed prior to planning and commencing a drilling program, which is tentatively planned for July or August of this year.
In April, Meridian filed a Notice of Intent to Operate with the Bureau of Land Management to permit the construction of approximately one mile of new roads, trenches, drill sites, and sumps.
Under the terms of the option agreement with Gerle, Meridian will earn a 60% interest by incurring US$2million in exploration expenditures over the next four years, including a minimum of US$200,000 in the first year and a minimum of 4,000 feet of drilling. On vesting of the 60% Meridian interest, Gerle Gold will have the option of keeping a 40% participating interest or taking a 2.5% net smelter royalty (NSR).
Meridian, whose common shares are traded on the Toronto Stock Exchange (MNG) and the New York Stock Exchange (MDG), is an exploration-focused gold producer, with its corporate office in Reno, Nevada. Gerle Gold is pleased to be working with Meridian, an excellent company whose involvement in this property will enhance the investment we have already made in these promising claims.
Gerle Gold Ltd.
R.A. Hrkac,
President
For more information,
visit our web site at www.gerle.com
or contact Susan de Stein, Corporate Relations, (604) 739-4331 or info@gerle.com
The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
The Happy Creek property is the subject of an option agreement with Meridian Gold Inc., dated October 16, 1997.
The property features an epithermal system containing both underground bonanza type and large open pit gold-silver targets. The property consists of 120 unpatented lode claims and fractions and is located near the northeastern end of the Jackson Mountains in Humboldt County, Nevada, about 65 kilometres northwest of Winnemuca and 27 km due west of the Sleeper Mine. The claims are in the Jackson Mountains, between the divide separating Bottle Creek and Happy Creek, at an elevation of 1,650 to 2,050 metres. The claims are generally free of snow from late April to late November.
Since finalizing the option agreement with Gerle, Meridian geologists have reviewed all available geological reports and documentation on the property and met with the company to discuss future exploration efforts. Meridian also began a detailed surface evaluation last fall, which included a re-mapping of the project area, although an early snowfall disrupted completion of the survey work. In addition, Meridian geologists undertook an analysis of samples of the various veins from different locations for petrographic and fluid inclusion studies.
Within the next month, Meridian plans to fly the project area and acquire new aerial photography for use in preparation of new topographic maps and to provide a footprint of surface disturbance prior to construction of trenches or drill roads. The full surface evaluation, to include surface mapping and data compilation, will resume shortly and be completed prior to planning and commencing a drilling program, which is tentatively planned for July or August of this year.
In April, Meridian filed a Notice of Intent to Operate with the Bureau of Land Management to permit the construction of approximately one mile of new roads, trenches, drill sites, and sumps.
Under the terms of the option agreement with Gerle, Meridian will earn a 60% interest by incurring US$2million in exploration expenditures over the next four years, including a minimum of US$200,000 in the first year and a minimum of 4,000 feet of drilling. On vesting of the 60% Meridian interest, Gerle Gold will have the option of keeping a 40% participating interest or taking a 2.5% net smelter royalty (NSR).
Meridian, whose common shares are traded on the Toronto Stock Exchange (MNG) and the New York Stock Exchange (MDG), is an exploration-focused gold producer, with its corporate office in Reno, Nevada. Gerle Gold is pleased to be working with Meridian, an excellent company whose involvement in this property will enhance the investment we have already made in these promising claims.
Gerle Gold Ltd.
R.A. Hrkac,
President
For more information,
visit our web site at www.gerle.com
or contact Susan de Stein, Corporate Relations, (604) 739-4331 or info@gerle.com
The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.