PHOENIX, June 15, 2012 /PRNewswire/ -- Liberty Gold Corp. (OTCBB: LBGO; "Liberty Gold" and/or "the Company") is pleased to announce it has acquired a 60% interest* in the ~2,218-acre McCord Creek Property gold project in central Alaska's Tolovana Mining District. Liberty Gold will be the project's operator.
The McCord Creek project is comprised of 14 State mining claims located 70 miles northwest of Fairbanks in the Tintina Gold Belt, which has produced nearly 30 million ounces (Moz) of gold to date and has experienced accelerated gold exploration, development, and mining activity over the years.
The McCord Creek property is also located within the eastern extension of the Livengood gold district, and immediately adjoins the eastern side of International Tower Hill Mines' (ITH) Livengood Property. The Money Knob deposit on ITH's Livengood Property represents a resource estimate of 20.6 Moz gold (16.5 Moz Measured & Indicated; 4.1 Moz Inferred), making it one of the largest gold deposits discovered in 20 years. To the southeast of the McCord Creek property is Kinross Gold's Fort Knox mine, which produces over $1 million of gold equivalent per day. Also to the southeast is the Pogo mine, which produced 324,722 troy ounces of gold in 2011.
According to a 2012 technical report by David Adams, B.S., M.S., CPG, Liberty Gold's McCord Creek property exhibits 5 gold-in-soil anomalous zones with the maximum soil value exceeding 100 ppb gold. The 2 largest anomalies lie within the same sedimentary and volcanic package of rocks that contain ITH's Money Knob deposit. All anomalous zones warrant additional exploration to pursue a deposit of similar nature to the Money Knob deposit.
As such, the Company is currently developing an exploration plan to evaluate the prospect's mineral potential. A phased exploration approach involving at least 2 field seasons will be necessary to accomplish an evaluation of the prospect. The target for the McCord Creek property is a dispersed gold system similar to ITH's Money Knob deposit, and possibly a nickel-platinum disseminated deposit. A minimum target size for gold would be 3 to 5 Moz contained in a bulk tonnage grading in the order of 1 gram per tonne (gpt). The potential net present value (NPV) for geological exploration targets of this magnitude is in the order of $1B to $3B.
To the immediate east of Liberty Gold's McCord Creek property, ITH has announced plans calling for drilling 3,000 meters in 10 core holes focused on making new gold deposit discoveries on their Livengood property, with results expected throughout the summer and fall of 2012. ITH's planned initial exploration drill holes lie within ~1 to 2 miles of Liberty Gold's McCord Creek property.
Lynn Harrison, Liberty Gold's President and CEO, commented: "The McCord Creek Property acquisition has enabled us to effectively establish a presence in this proven region of Alaska. Now we can proceed to build on our knowledge of the property's full mineral potential through further exploration and development activities."
FOR MORE INFORMATION
To learn more about the McCord Creek Property, and to read more about the Company and its latest news, visit Liberty Gold's website at http://www.libertygoldcorp.com.
ABOUT LIBERTY GOLD CORP.
Liberty Gold Corp. is a publicly traded (OTCBB: LBGO) gold and precious metals exploration company focused on emerging as an industry leader while effectively growing America's reserves of gold. Headquartered in Phoenix, Arizona, Liberty Gold is committed to the responsible exploration and production of the nation's rich precious metals resources. The Company's stable of major gold projects is well established, and thanks to an active approach to property acquisitions, Liberty Gold's portfolio of significant assets continues to grow. For more information on the Company and its activities, visit Liberty Gold's website at http://www.libertygoldcorp.com.
ON BEHALF OF THE BOARD OF DIRECTORS,
Liberty Gold Corp.
Lynn Harrison, President and CEO
2415 East Camelback Road
This press release includes certain statements that are forward-looking and which involve a number of risks and uncertainties. Such forward-looking statements are within the meaning of that term in Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements in this press release are based on Liberty Gold Corp.'s current expectations and projections about future events, which are based on currently available information. The forward-looking statements in this press release may also include statements relating to Liberty Gold Corp.'s anticipated financial performance, new developments, business prospects, strategies and similar matters. Liberty Gold Corp. disclaims any obligation to update any of its forward-looking statements, except as may be required by law.
*once staged payments and work commitment are met
1. Alaska Business Monthly, Nov. 1, 1998.
2. Recommendation Report for McCord Creek Property (Stewart A. Jackson Ph.D, P.Geol, P.Geo), Apr. 24, 2012.
3. International Tower Hill Mines website, May 18, 2012.
4. Kinross Gold website, Mar. 29, 2012.
5. Wall Street Journal website, Mar. 27, 2012.
SOURCE Liberty Gold Corp.