GOLD EXPLORATION – More high-grade zones at Jerritt Canyon

NEVADA - Underground drilling by QUEENSTAKE RESOURCES intercepted high-grade gold mineralization expanding the know...
NEVADA - Underground drilling by QUEENSTAKE RESOURCES intercepted high-grade gold mineralization expanding the known deposits at the Jerritt Canyon gold operations in northeastern Nevada.

The high-grade zones were found in two mines. At the SSX mine, 39.6 metres grading 19 g/t Au was identified in drilling at Zone 4. Results from the Smith mine included 16.8 metres of 23 g/t Au along the northwest extensions at the R4 dike trend and 10.7 metres of 25 g/t Au at the Mahala deposit. Queenstake also reported the unexpected intersection of 6.1 metres grading 13 g/t Au in the Dash deposit at the Smith mine while drilling an access hole for an electric power line.

The Murray mine, which Queenstake had expected to close at the end of March 2006, continues to generate positive drill results that are extending its productive life. Drilling in the Zone 5W area encountered an interval of 9.1 metres grading 32 g/t Au, adding high-grade mineralization that will be mined this quarter.

Readers who find themselves missing the rugged, dry Nevada landscape should visit the gallery of photos at www.Queenstake.com.

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