Mountain Lake reports 30.46 g/t gold over 6.7 metres at Leprechaun

Mountain Lake Resources (CVE:MOA) announced Tuesday that up to 30.46 grams per tonne (g/t) gold was intersected at its Leprechaun gold deposit in central Newfoundland, part of the 50/50 Valentine Lake joint venture, extending known mineralization.
The 2011 25,000-metre drill program, of which 15,496 metres in 97 holes has been drilled to date, intersected 16.15 g/t gold over 13.3 metres, including 30.46 g/t gold over 6.7 metres, in step out hole VL-11-306.
Coupled with the results from hole VL-11-304, which intersected 1.56 g/t gold over 24.7 metres, including 4.45 g/t gold over 6.8 metres, the program expanded the high-grade "Heart of Gold" mineralization, which now extends for over 200 metres along strike to the northeast of hole VL-11-306.
This zone remains open down dip and towards the northeast and southwest, the company said.
"We had such great success last year in the Heart of Gold area of the Leprechaun Deposit and it's very encouraging to get back there and hit another high-grade interval in a step-out hole as we did in VL-11-306," said Mountain Lake president and CEO, Gary Woods.
"It must also be emphasized that the interval in hole 306 starts within 175 metres of surface and further demonstrates the open pit mining potential of the Leprechaun area that has consistently returned results within 200 metres of surface as the resource continues to grow."
The Leprechaun deposit sits at the south-western end of the Valentine Lake property, a joint venture between Mountain Lake and Marathon Gold Corp (TSE:MOZ), the operator of the project.
Drilling at the Leprechaun deposit, which has measured and indicated resources of 3.3 million tonnes grading 2.62 g/t gold, for a total estimated 277,000 ounces of gold, is expected to be completed during the third quarter, with results to follow shortly after.
Both Mountain Lake and Marathon have agreed to equally fund the $6 million budget for the property this year, which includes the ongoing drill program.
Other highlights from the drill campaign include 3.96 g/t gold over 13.5 metres, including 7.94 g/t gold over 6.3 metres, in hole VL-11-301; while hole VL-11-307 returned 1.71 g/t gold over 11.7 metres, including 2.7 metres grading 4.76 g/t gold.
These results confirm the continuity of the main zone mineralization, occurring on strike in adjacent sections, the companies said.
Results from hole VL-11-305, at 1.06 g/t gold over 18.2 metres including 3.25 g/t gold over 4.2 metres, confirmed the continuity of near-surface mineralization, also in the main zone, along strike for 12.5 metres to the northeast on the adjacent section.