Cliffmont provides exploration update at San Luis Property, Colombia

VANCOUVER, Aug. 23, 2012 /PRNewswire/ - Cliffmont Resources Ltd. (TSX-V - CMO) ("Cliffmont" or the "Company") is pleased to provide the following exploration update at its San Luis Project in Huila, Colombia.

Cliffmont recently completed a sampling and mapping program at El Callao mine to confirm historical sampling by TVX Mineria Ltda. whose channel sampling indicated 8.74 g/t gold over a width of 1.07 metres along a length of 115 metres. A total of 21 channel samples of sulphide mineralization were collected by Cliffmont where access was possible in the old workings. The assays are presented on Table 1. The approximate location of Cliffmont's samples relative to TVX Mineria's samples is shown on Figure 1 and Table 2. Cliffmont's results substantiate the sampling of TVX Mineria.

For Figure 1, please follow this link: http://files.newswire.ca/1115/Figure1.pdf

For Table 2, please follow this link: http://files.newswire.ca/1115/Table2.pdf

Table 1

 

"We are very pleased with our initial sampling results at El Callao Mine which confirm the high grade gold mineralization previously recorded by TVX Mineria Ltda. We look forward to drilling which is due to commence in the next ten days to determine the geometry and continuity of this mineralization. We are expecting to find higher grade mineralization outside of the already exploited areas." stated Jeff Tindale, President and CEO.

El Callao is a vein structure that runs perpendicular to the San Jorge vein structure in the south central area of the project.  The structure has been traced on surface for over 250 metres. El Callao is a quartz - adularia vein-breccia that has only been exploited along approximately 120 metres of the main vein and to a maximum vertical extent of 60 metres.  There are several other veins which run parallel with El Callao which will also be tested in the upcoming drill program.

Drilling Update

The first four scheduled drill holes (983.6 metres) have been completed at the San Jorge mine and drilling will now move to the Merceditas and El Callao mine areas. Drilling targeted the known epithermal mineralized zones in the past producing mine and results indicate continuity at depth. Assays are pending and will be reported once received and evaluated.

Because of mechanical difficulties with the drill used at San Jorge the drill program has been delayed. Cliffmont has replaced the drill contractor with a new drilling company which is due to commence drilling this week targeting the previously undrilled, high priority areas at Merceditas and El Callao.  Two drill rigs will be used to expedite the drilling and the Company anticipates the first phase of drilling will be completed by mid-October.

Targets for the Phase I drill program have been identified through detailed mapping, sampling and geophysics (induced polarization/resistivity). The results of historical work combined with recent exploration indicate the potential of high-grade epithermal targets in an intermediate sulphidation environment.  Mineralization within the property extends over an area 7km x 3km. The mineralization that has been mined to date on the property comprises free gold and gold associated with sulphides, contained in quartz veins and breccias hosted by fault zones that are splays of regional structures. The veins/breccias exploited to date have been shown to persist over a vertical range of at least 500 metres. The close proximity of the mineralized structures to one another demonstrates the endowment of the district.

See property wide location map here: http://files.newswire.ca/1115/LocationMap.pdf

"We are looking forward to drilling at Merceditas and El Callao and testing the newly established targets identified by the ongoing exploration program. The Company has taken the necessary steps to ensure that the Phase I drill program will be completed on schedule and on budget." stated Jeff Tindale, President and CEO.

The Company is also pleased to announce it has received $1,014,604 upon the exercise of 2,536,510 stock purchase warrants (the "Warrants") of the Company. The warrants were exercised at a price of $0.40 each, which were exercisable on or before August 11, 2012.

Kieran Downes, Ph.D., P.Geo, a qualified person as defined by National Instrument 43-101, has reviewed and approved the contents of this release.

All samples were assayed by ALS Chemex in Lima, Peru, an ISO 9001:2000 certified laboratory, after preparation at the ALS Chemex facility in Bogota, Colombia.

ON BEHALF OF THE BOARD

"Jeff Tindale"
Jeff Tindale, President and CEO

About Cliffmont Resources:
Cliffmont Resources Ltd. (TSX-V:CMO) is a Vancouver-based company focused on the exploration of precious and base metals in Colombia's prolific San Luis mining district.  The Company has a 100% option in the San Luis Project, comprising 2,701 hectares, including an exploitation concession located on the Eastern flank of the Central Cordillera of Colombia within the Department of Huila.  As a first mover in one of Colombia's most prolific under-developed gold districts, the Company is well funded and is currently conducting an aggressive, but focused, exploration program. The San Luis Project consists of a mineralized area that spans over 7km x 3km hosting epithermal gold and silver targets, including multiple past producing gold mines.  Cliffmont's head office is located in Vancouver, Canada and has offices in Bogota and Neiva, Colombia.

For further details on Cliffmont Resources, please see our website at www.cliffmontresources.com

Forward Looking Statements. This Company news release contains certain "forward-looking" statements and information relating to the Company that are based on the beliefs of the Company's management as well as assumptions made by and information currently available to the Company's management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including, without limitations, competitive factors, general economic conditions, customer relations, relationships with vendors and strategic partners, the interest rate environment, governmental regulation and supervision, seasonality, technological change, changes in industry practices, and one-time events.  Should any one or more of these risks or uncertainties materialize, or should any underlying assumptions prove incorrect, actual results may vary materially from those described herein. "Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."

 

SOURCE Cliffmont Resources Ltd.

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PDF available at: http://stream1.newswire.ca/media/2012/08/23/20120823_C9041_DOC_EN_17189.pdf