Exploration Drill Results Return Gold Intercept of 17.5 Feet .607 Oz/Ton/Au At Madison

 

VANCOUVER, BC - Coronado Resources Ltd has gold assay results from the first two diamond drill holes designed to test the extent of the known gold zones and attempt to locate more high-grade copper zones. The first hole (U1) was drilled below the lowest working level of 500 feet and intercepted 30 feet averaging .313 oz/ton/au, included in that intercept was 15 foot section containing .528 oz/ton/au. The second hole (U2) was drilled to the north of hole U1 and intercepted 36 feet averaging .390 oz/ton/au and included in that was a section of 17.5 feet of .607 oz/ton/au. Both holes indicated silver averaging 1.50 oz/ton/ag (56.63 gm/mt ag) with copper in the 2% range.

The company is currently mining the crosscuts in the first level (200 ft level) where the gold oxides were previously mined and sent for processing at Barrick's Golden Sunlight mill. The gold oxides are mainly from the crosscuts support pillars and are estimated to be around 800 tons in the order of .400 oz/ton/au (15.10 gm/mt au). A sample has been sent to Kinross to test the compatibility of our gold oxide for processing at their facility.

Underground diamond drilling continues and results will be published as soon as they are made available.

About Coronado Resources Coronado Resources Ltd. is focused on its 100% owned Madison Gold/Copper property in Montana, USA. Madison is a former producer that is now producing cash flow from high grade shipments which commenced in 2008 with recent grades averaging 35% cu and .47 oz/ton/au (17.74 gm/mt au). The Madison region hosts well establish processing and mining infrastructure. The company remains focused on expanding the Madison project with continued exploration and development drilling from the cash flow from sales.

The company’s address is #507, 595 Howe St., Vancouver, BC V6C 2T5, email: [email protected], (604) 683-6338.