November 5, 2008 - ATAC Resources Ltd. (TSX-V:ATC) is pleased to announce assay results from the remaining 2008 diamond drill holes at its wholly owned Rau property in the Keno Hill District of central Yukon. Assays from drilling are encouraging and, together with results of surface exploration, indicate excellent size potential. The main gold zone is one of a series of thick sulphide-rich horizons vertically stacked near the crest of a broad anticline. The 2008 program included a total of 3423.21 m of drilling in 18 holes.
Highlights from previously unreleased holes include 46.42 m averaging 2.92 g/t gold from hole Rau-08-16 and 65 m grading 1.52 g/t gold from hole Rau-08-07. Significant intervals from all of the 2008 holes are shown in the attached table.
“The results from the Rau gold property demonstrate that we are exploring a very large and complex system of mineralization. ATAC has progressed quickly from a three hole program on a soil geochemical anomaly to a major gold discovery” says Graham Downs, CEO of ATAC Resources Ltd. “We are currently compiling and evaluating data from the 2008 programs at Rau and other ATAC projects, and are considering ways to best advance these projects in order to maximize value for our shareholders”.
The Rau gold discovery lies within a 6 km long anomalous trend that has been traced by soil geochemistry and helicopter-borne VTEM and magnetic surveys west-northwesterly from a high level, Late Cretaceous granitic stock. The anomalous trend generally coincides with the axis of a large anticline. The mineralizing fluids appear to have migrated out from the pluton along the length of the gently east-southeasterly plunging fold. The gold occurs with sulphide minerals that wholly or partially replace dolomitized limestone near the crest of the anticline. The sulphide minerals are locally concentrated beneath a series of altered volcanoclastic beds, which may have acted as impermeable caps. To date, three mineralized horizons have been identified, with the middle horizon producing the best assays. The main sulphide minerals are pyrite, arsenopyrite and pyrrhotite, while accessory minerals include bismuthinite, scheelite and sphalerite.
Most of the significant assay intervals are clustered in a 300 by 200 m zone at the west end of the drill area. The highest grade interval came from the most westerly hole (Rau-08-16). The mineralized horizon ranges from about 40 to 60 m in thickness within this zone and is open along strike in both directions. Gold values and sulphide abundance are highest near the fold axis and gradually decrease down the fold limbs until they terminate at a metamorphic front marking the boundary between dolomite and marble.
The uppermost horizon typically comprises medium to coarse grain, disseminated pyrite often with quartz, pyrrhotite and lesser arsenopyrite. Gold values are generally low in this horizon, but a number of short gold-bearing intervals were obtained, including 8.13 g/t gold over 3.05 m from hole Rau-08-11.
The middle horizon, or discovery horizon, contains the majority of the significant gold intervals and has the highest concentrations of arsenopyrite, bismuthinite and scheelite. The thickest intersection on this horizon graded 1.71 g/t gold over 78.54 m. Two holes (Rau-08-03 and -16) encountered strongly weathered wallrocks and mineralization which includes some limonite boxwork. Recovery in both of these holes was poor; therefore, the reported grades should not be relied upon. None of the five holes in the eastern part of the drill area reached the middle gold horizon.
The lowermost horizon consists of very coarse grain, massive pyrite with minor sphalerite. Only hole Rau-08-18 extended deep enough to reach this horizon and intersected 20.77 m of massive pyrite, which averaged 0.13 g/t gold, 24.36 g/t silver and 1.12% zinc. This discovery was made in the last hole of the program and future drill holes will have to extend further to test it and other possible horizons that could lie deeper in the section.
Core samples have been shipped to the University of British Columbia for geochronological, mineralogical, petrographic and geochemical studies. This work should better define the geological controls and establish pathfinder indicators that could lead to further discoveries.
All analyses referred to in this news release were performed at ALS Chemex in North Vancouver, BC. The samples were collected and handled in ways that ensure security, including chain of custody procedures. Blank and standard samples were randomly included in every batch of 20 core samples. Gold analyses involved fire assay followed by inductively coupled plasma with either atomic emission spectroscopy or atomic absorption spectroscopy. Analysis for other elements on drill core were done by inductively coupled plasma combined with either mass spectroscopy or atomic emission spectroscopy.
The technical information in this news release has been reviewed by Robert C. Carne, M.Sc., P.Geol., a qualified person for the purpose of National Instrument 43-101.
For additional information concerning ATAC Resources Ltd. or its various exploration projects please visit ATAC’s website at www.atacresources.com or contact:
Graham Downs, CEO
ATAC Resources Ltd.
SIGNIFICANT 2008 DRILL RESULTS AT THE RAU PROPERTY
ATAC RESOURCES LTD.
|†||Intervals shown are mineralized lengths of core; all cut across bedding but fold geometry is not well enough understood to reliably calculate true widths. Based on bedding to core angles true widths are estimated to be 75 to 90% of interval lengths.|
|*||Rau-08-03 and -16 encountered mineralization directly beneath talus cover and ended in mineralization. Rau-08-06 also encountered mineralization directly beneath talus cover. Rau-08-18 stopped in massive pyrite. None of these appears to have crossed the entire width of the mineralized zone.|
Forward Looking Statements
This document may contain “forward-looking statements” within the meaning of Canadian securities legislation and the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements are made as of the date of this document and the Company does not intend, and does not assume any obligation, to update these forward-looking statements.
Forward-looking statements relate to future events or future performance and reflect management’s expectations or beliefs regarding future events and include, but are not limited to, statements with respect to the estimation of mineral reserves and resources, the realization of mineral reserve estimates, the timing and amount of estimated future production, costs of production, capital expenditures, success of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage. In certain cases, forward-looking statements can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved” or the negative of these terms or comparable terminology. By their very nature forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, risks related to actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of resources; possible variations in ore reserves, grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of development or construction activities; as well as those factors detailed from time to time in the Company’s interim and annual financial statements and management’s discussion and analysis of those statements, all of which are filed and available for review on SEDAR at www.sedar.com. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements.
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