Monday, August 18, 2008

Mexivada discovers 30 metre wide disseminated gold zone at Ngouaka, Roc Congo; begins Placer Gold mining test program

Press Release

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VANCOUVER, Aug. 7 /CNW/ - Mexivada’s Consulting Geologist, Edward Wells, C.P.G., has reported the discovery of a new area of potentially large volume, disseminated gold mineralization at Ngouaka, on its exclusive Malambani concession in the Mayoko greenstone belt in the ROC Congo.
Ngouaka Lode Au Discovery, South Gold Belt: The gold mineralization at Ngouaka includes disseminated auriferous pyrite and quartz-pyrite veins in altered and silicified, quartz-veined biotitic quartzites and amphibolites. Alteration is concentrated in a 30 metre (”m”) wide zone along a contact with massive amphibolite beds. The area was mined for coarse alluvial gold during the 1950’s and local miners are presently washing 0.5-1.0 gram per cubic metre (g/m3) recovered grades of gold from residual bedrock exposures. Medium-size gold (0.2 -1.3 mm), approximately equivalent in grade to 1.22 g/t gold, was recovered from 45 to 410 liter bulk samples from five sites at Ngouaka, and soil geochemistry reveals that the strongest anomaly occurs 140 m west of the prospect, defining a large target area. The Ngouaka area could be ready for drilling later this year. A new drilling contractor has contacted Mexivada and has drill rigs available in the ROC.

Similar alteration crops out at Mingassa Sud, 850 meters along strike to the east-northeast. This bed is also present in two parallel zones at 110 and 230 m to the north. The Ngouaka - Mingassa area appears to have significant potential for disseminated gold mineralization that may be mined and processed at low cost. Potential also exists for economic concentrations of gold at the base of the thick laterite cover. Detailed geological investigations and additional sampling of the area is continuing.

Bambounga Lode/Placer Gold Zone, South Gold Belt: A program of geologic mapping and sampling is evaluating this prospective target area. The Avoine Company recovered a 1 kg gold nugget at Bambounga in the 1950’s, which now resides in the home of the French ambassador in Brazzaville. Artisanal miners have recovered nuggets here to 70 g in weight, and continue to produce coarse gold in nuggets to 10 g in weight. The source area of the 1 kg nugget has been identified. Mineralization is present in pyritic quartz veins, pyritic quartz-flooded zones associated with strong alteration of the amphibolites and gneiss, and in quartz-veined areas of ferruginous quartzite. Some intrusive cobbles and small sills are present in the area. Controls of mineralization are northwest-trending structures and east-northeast trending bedding contacts. Twenty-three select samples have been collected and shipped to ALS in Johannesburg, R.S.A. An extended program of trenching here is planned for August-September.

Lemagna-Tsopo-Mbandza Targets, North Gold Belt: A second phase of trenching and channel sampling has been completed at the Lemagna banded iron formation (”BIF”)-hosted belt of gold mineralization. Thirty-three additional channel samples have been collected from four parallel BIF beds in a 150 by 200 metre area. The previously completed soil geochemistry program was highly successful in outlining gold-mineralized BIF beds. Gold contents of the BIF are verified by crushing and panning on site during the channel sampling program. All samples are collected under the supervision of Mexivada geologists and a strict chain of custody procedure is followed. These samples are being analyzed by ALS. Similar soil geochemistry, trenching and channel sampling programs are presently underway at the adjacent Tsopo project. This work will be extended into the Mbandza area during late August.

Malambani Placer Gold Mining Test Program: Mexivada continues a program of bulk sample testing of the area’s placer gold potential. The Avoine Company exploited parts of the area for coarse gold during the 1950’s and some streams are presently being panned by artisanal miners who produce 1-3 g Au/m3 from small-scale pits. The Bambounga River never was mined by Avoine, and appears to have the best potential for industry-scale production, as local miners are recovering 3.0 g/m3 gold from a 3,400 meter long zone. Most of the Malambani area streams contain placer gold but no systematic evaluation has ever been conducted in the area. Initial bulk sample testing, in 1 to 3 m3 samples, of a river terrace near Mayoko yielded a weighted average grade of 0.86g/m3. Several test pits in various streams have recovered grades of 2-3 g/m3. Mexivada has begun a detailed evaluation of the placer gold resources, to be continued during the next several months. Mexivada’s consulting mining engineer, Michael Manke, is designing a bulk sampling gold plant for use in this program. Mexivada will seek an export license to sell gold produced during this program. The data acquired will be used to compile a National Instrument 43-101 compliant placer gold resource evaluation report, which subsequently will be used to apply for a mining permit from the ROC government.

Mexivada Diamond Programs: Mexivada will resume its diamond programs on August 9th, focusing on the 1) Madoka-Leyou kimberlite dike and metaconglomerate target terrane, 2) Lepandza-Makoubi pipe target terrane, and 3) Vouka-Carrefour pipe target terrane. Three ages of diamonds are believed to be present in the Chaillu Massif in the ROC: a) the world’s oldest known alluvial diamonds present in Archean 3.0 billion year old metaconglomerates (D. Bradley, USGS), b) primary diamond deposits in metamorphosed dike- and possible pipe-form kimberlites that were intruded into rock sequence after folding but before metamorphism, similar to those at Mitzic, Gabon, and 3) diamonds in younger pipe- and dike-form un-metamorphosed kimberlite bodies, similar to those at Makongonio, Gabon. The large 22 mm gem octahedral “sharp-faced” diamond found at Malambani by Avoine in 1960 is believed to be part of the third group of diamonds. Mr. Manke has designed a new rapid processing concentrating table system to speed up reduction of Mexivada’s backlog of diamond exploration samples, which will be shipped to the project soon.

This press release and its contents have been reviewed by Richard R. Redfern, Mexivada’s President, who is a Certified Professional Geologist and Qualified Person as defined under National Instrument 43-101.

About Mexivada Mining Corp.

Mexivada is a diversified Canadian mineral exploration company focused on identifying, acquiring, advancing, and joint venturing high-grade Gold-Silver, Diamonds, Molybdenum, and Rare Metal exploration projects in Mexico, Nevada, and Central/West Africa. Managed by experienced and successful board members and advisors, Mexivada is well financed with no debt. For further information, including area maps, sections, and photos, please visit our web site at www.mexivada.com.

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