Still more good results for AG at Amable

Drilling on the Amable target in San Juan province has yielded more encouraging results for Argentina Gold (ARP-V).

The target is part of the Veladero project, in which Argentina Gold holds a 60% interest, with the remainder held by Barrick Gold (ABX-T).

To date, results from eight drill holes have been received. The latest highlights are as follows:

• Hole 84 intersected 126 metres averaging 2.66 grams gold and 22.77 grams silver per tonne starting at a down-hole depth of 98 metres. This included a 64-metre interval that assayed 3.4 grams gold and 21.05 grams silver starting at a depth of 160 metres down-hole. At a depth of 224 metres down-hole, another interval cut 100 metres averaging 0.43 gram gold and 8.86 grams silver.

  Hole 84 was collared 100 metres south of previously reported hole 80 (212 metres grading 3.67 grams gold and 47.71 grams silver).

• Hole 85 returned 220 metres grading 1.7 grams gold and 69.81 grams silver starting at a down-hole depth of 51 metres. Included in this intercept was a 155-metre section averaging 2.15 grams gold and 80.29 grams silver, plus an 83-metre interval averaging 3.07 grams gold and 110.41 grams silver. The last 107 metres of the hole cut through mineralization grading 0.15 gram gold and 4.95 grams silver.

  Hole 85 was collared 80 metres west of hole 80 and drilled due west at minus 80.

• Hole 83 was collared 100 metres west of hole 81 and returned only anomalous gold contained in fractured and silicified zones that assayed up to 4.39 grams gold and 200 grams silver at a down-hole depth of 200 metres. Intervals were thin and discontinuous, comparable with those encountered in previously reported hole 81.

Assays are still pending for hole 86 which was collared on the same drill pad as previously reported hole 82 and drilled to the northwest. It was designed to test the northwestern extent of mineralization.

Drills are currently spinning on holes 87 and 88, which were collared 100 metres southwest and 100 metres west, respectively, of hole 84.

Mineralization trends north-northeast and has been traced along strike for about 400 metres along the eastern flank of the target. The current width of mineralization is 150-200 metres. Amable remains open to the west and south and possibly to the east.

Mineralization is hosted in highly fractured and silicified volcanics in a sub-horizontal, tabular zone, where it is believed meteoric water mixed with magmatic fluids to form ideal conditions to precipitate gold and silver.

Argentina Gold has budgeted for 6,000 metres of drilling at the Amable target, which lies 2.5 km southeast of the Filo Federico and NW targets. The former contains 82.8 million tonnes grading 0.73 gram gold and 25.5 grams silver, whereas the latter hosts 8 million tonnes at 1.48 grams gold and 21 grams silver. Only a limited number of metallurgical tests have been performed on these two targets; early results produced average recoveries of 82% gold and only 23% silver.

Argentina Gold has working capital of $4.5 million and about 36.4 million shares fully diluted.