Committee Bay cuts wide, high-grade gold in Nunavut

Vancouver – The initial batch of assays from Committee Bay Resources‘ (CBR-V, CBYRF-O) drilling on its Three Bluffs deposit at the Committee Bay Greenstone Belt project in Nunavut has turned in some significant gold grades over good widths.

The infill drilling delivered intercepts of up to 23.7 metres (from 34.3 metres downhole depth) grading 19.44 grams gold per tonne in hole 07TB048. The mineralized section was in the high-grade hinge zone of the deposit and included a 14.5-metre portion averaging 30.7 grams gold.

Results from eight holes of Committee Bay’s 24-hole program have confirmed consistent widths and gold grades at Three Bluffs and will be incorporated into a new resource estimate planned for the deposit. The company feels results have potentially expanded the current resource area.

In 2004 the company tabled an inferred resource estimate of 1.9 million tonnes of 8.08 grams gold at Three Bluffs, based on 49 drill holes and a 3 gram gold block grade cutoff, for about 487,000 contained oz.

Gold mineralization at Three Bluffs is hosted in a folded iron formation traced by drilling for at least one km on strike and to a depth of about 320 metres. The bulk of the gold is contained in a shallow east-plunging fold hinge of the iron formation.

Gold has also been intersected in a pair of fold limbs where iron formation is in contact with dacite and sediments. The high grade zone plunges shallowly to the east where it remains open and may extend beneath a flat lying diorite intrusion.

Committee Bay also recently tabled some drill results from its Inuk gold prospect located at the northeastern end of the greenstone belt. High-grade gold intercepts of 13.6 grams gold over 5.44 metres and 11.2 grams gold across 11 metres were returned from holes 07IN001 and 07IN006 respectively.

The company’s Committee Bay Greenstone Belt project covers about 300 km of the prospective trend that hosts favourable lithologies for gold mineralization. More than 40 high-grade gold occurrences have been identified on Committee Bays approximate 2,600 sq. km of land holdings.

In addition to its northern Canadian gold project, Committee Bay holds advanced stage gold deposits in Western Australias Coolgardie gold district through it 50% interest in the Redemption Joint Venture.

Shares of the gold explorer rallied on the Three Bluffs drill results to close up 7 in September 6th trading at 41 apiece on strong trading volume.