January 18, 2012 - Reno, NV - NuLegacy Gold Corporation (NUG:V) reports that the results of the recently completed deep-penetration induced polarization and resistivity ("IP/R") geophysical survey on its Red Hill gold exploration project in Nevada indicate that the high-grade gold bearing Central Pediment Anomaly is significantly larger than initially indicated.
"The new IP/R survey indicates that the structures and hydrothermal alteration related to the high-grade gold mineralization intersected in the historical drill hole BRH-13 (24.4 meters of 4.9 g/t Au, including 13.7 meters of 8.1 g/t Au) in the Central Pediment anomaly are much larger and thicker than indicated by the our previous IP/R survey", says Dr. Steininger, NuLegacy's COO. "This expansion is another important and valuable step toward our goal of discovering significant Carlin-type gold deposits at the Red Hill Project."
The new survey was designed to follow-up on and enhance the original IP/R survey (press released on January 13, 2011), which had an approximate penetration depth of 350 meters, by going deeper and extending it to the west onto the subsequently optioned Barrick Gold portion of NuLegacy's Red Hill Project. The new survey was designed to penetrate to a depth of over 700 meters to develop a better understanding of the controls and the possible extensions of the high-grade gold mineralization that had been intersected by BRH-013.
The new IP/R survey data indicates a much larger target extending considerably further to the west of hole BRH-13 than indicated by the initially more limited survey. It now appears BRH-13 only intersected the eastern edge of the now much-expanded Central Pediment Anomaly. Furthermore, the geology of the expanded Central Pediment Anomaly appears similar to that hosting BRH-13 indicating a much larger zone of carbonate rocks containing carbonaceous/pyritic material that may also be gold bearing. This deeper-penetrating IP/R survey over the Long Fault and Central Pediment Anomalies was executed by Zonge International during November 2011.
NuLegacy Gold is now integrating the new IP/R survey data with the existing geophysical database and drill results from this part of the Red Hill Project to pinpoint the drill targets for testing this deeper zone starting in Q1 of 2012. We also plan to continue drilling the highly prospective nearby Long Fault Anomaly.
NuLegacy Gold's 100 square km Red Hill Project is in the Cortez Segment of the Battle-Mountain trend immediately adjacent to Barrick Gold's newly announced (Sept. 2011) 3.5 million ounce inferred gold resource on the Red Hill-Goldrush discoveries.
The Cortez Segment is a more than 5 km wide and over 25 km long west-northwest alignment of known large bulk-mineable, sediment-hosted gold deposits. This truly "world class" gold district includes the Pipeline Complex (which NuLegacy's COO Dr. Roger Steininger is credited with discovering in 1989), the Cortez and the Cortez Hills gold mines, as well as the recent Red Hill-Goldrush gold discoveries. NuLegacy's Red Hill Prospect comprises similar geology to these gold deposits.
NuLegacy Gold Corporation is a Nevada focused exploration company exploring for Carlin-type replacement gold deposits on its two highly prospective district scale properties; the 100 square km Red Hill Project and the 80 square km Wood Hills South Project. Both projects have geology similar to that of the adjacent multi-million ounce gold discoveries that were made subsequent to our acquisition of the properties. The NuLegacy exploration and drilling programs underway employ proprietary techniques for targeting multi-million ounce deposits.
ON BEHALF OF THE BOARD OF DIRECTORS OF NULEGACY GOLD CORPORATION
Albert J. Matter, Chief Executive Officer
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This news release and the accompanying graphics link contain forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. Readers are cautioned that these forward looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected. See the cautionary statement "Forward-Looking Statements" and "Risk Factors" in the Company's prospectus dated November 10, 2010 available on SEDAR at www.sedar.com. These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances save as required under applicable securities legislation. This news release does not constitute an offer to sell securities and the Company is not soliciting an offer to buy securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. The technical disclosure in this press release and the accompanying graphics link has been reviewed by Dr. Roger Steininger, the Chief Operating Officer of the Company and a Qualified Person as defined by National Instrument 43-101 of the Canadian Securities Administrators.