Athabaska, Ramrod and Gitennes jubilant as Damoti Lake

Drilling at the Damoti Lake project, 150 km north of Yellowknife, N.W.T., has returned a 10-metre intersection grading 16.26 grams gold per tonne in Hole D-5.

Consolidated Ramrod Gold (TSE) is earning up to a 51% interest in the property from Athabaska Gold Resources (TSE) by spending $2.4 million. Athabaska holds a 75% interest and Gitennes Exploration (CDN) owns the balance. Ramrod is earning the 51% solely from Athabaska. As a result, upon completion of the earn-in, Athabaska will have a 24% interest, Ramrod 51% and Gitennes 25%.

The recent work includes eight diamond drill holes designed to follow up drilling earlier this year which returned a 9.5-metre intersection grading 13.7 grams gold in Hole D-2.

Gold mineralization is associated with pyrrhotite and pyrite in an iron formation, and all eight holes intersected iron formation containing several sections of concentrated iron sulphides.

The discovery hole and the recent eight holes were all drilled from an island on Damoti Lake.

Hole D-3 intersected the zone above the intersection in Hole D-2, while Holes D-4 and D-5 were drilled at 45 and 65 on a section 31 metres north of the discovery hole.

The mineralized zone is coincident to a 1,000-metre-long magnetic anomaly which Athabaska believes is related to the pyrrhotite in the gold zone. With only about a tenth of the magnetic anomaly tested to date, Athabaska is keen to conduct more drilling.

The drill is now on a second island where two bands of sulphide-rich iron formation are present on surface, about 430 metres north of the discovery hole.

Athabaska President James Kermeen said the company has completed two more drill holes on the second island and is waiting for assay results before proceeding with further drilling at that location.

The remainder of the magnetic anomaly lies beneath Damoti Lake, between the islands, as well as to the north and south.

Kermeen said the company will be able to start drill-testing the anomaly from the lake ice toward the end of November.

An airborne magnetic, electromagnetic and apparent resistivity survey indicates that the favorable iron formation extends over a strike length of at least 10 km. Kermeen noted that several sections of the iron formation returned magnetic anomalies equal to or greater than the anomaly now being explored.

Athabaska is conducting detailed geological and ground geophysical surveys over the land areas of the elevated anomalies in an effort to identify drill targets.

Results from the first three holes of the current program are: Hole Interval Width Gold

(m) (m) (g/tonne)

D-3 19.25-21.60 2.35 5.45

25.75-26.70 0.95 3.74

33.00-35.10 2.10 1.71

38.70-41.65 2.95 27.12

D-4 12.65-16.00 3.35 2.98

19.00-20.30 1.30 7.57

28.00-29.90 1.90 1.71

39.95-41.35 1.40 1.69

D-5 22.55-24.10 1.55 8.31

41.20-43.00 1.80 5.30

47.30-49.10 1.80 6.86

58.75-81.75 23.00 8.79

71.70-81.75 10.05 16.26