USCorp Reports Results of Drilling and Clarifies Effect of Unwinding Agreement With Arizona Gold Corp.
LAS VEGAS--(BUSINESS WIRE)-- USCorp (OTCMarkets: USCS.PK) announces results of drilling and discusses the effects of unwinding its Agreement with Arizona Gold Corp.
Results of Drilling: Assay results from USCorp's Twin Peaks Project in Arizona showed several high gold and silver concentrations from the Phase 3 drilling program. Originally Arizona Gold Corp. (AGCBC) planned to drill 13,000 lineal feet to test five significant areas on the advice of Pincock Allen & Holt's geologists. These drilling plans were seriously impacted by Bureau of Land Management (BLM) restrictions on "surface disturbance." Ultimately 27 core holes were drilled, representing 6,106 lineal feet of cored rock. 2,360 samples were taken from the cored rock and sent for fire assay. Many surface samples were also sent to the assay lab for gold and silver for assay.
Five of the more important core assay results follow:
Hole #DW11-1D - 20.2 ounces silver per ton at a depth of 197-198 feet.
Hole #DW11-1D - 21.8 ounces silver per ton at a depth of 198-200.5 feet.
Hole #DW11-2S - .006 ounces gold per ton at a depth of 67-70 feet.
Hole #S11-4 - .014 ounces gold per ton at a depth of 29-32 feet.
Hole #DW11-2D0 - 7.50 ounces silver per ton at a depth of 237-238 feet.
Seven of the more important surface sample assay results follow:
Surface sample, GPS#323; granitic "Red Ore" - .322 ounces per ton gold; Southeast Quest area.
Surface sample, GPS#365; granitic hematite/Iron Oxides - .309 ounces per ton gold; Southeast Quest area.
Tunnel sample, GPS#365; granitic hematite/Iron Oxides - .269 ounces per ton gold; Southeast Quest area.
Decline tunnel, GPS#378; granite with quartz stock works - .511 ounces per ton gold; east of Crosby Mountain.
Surface sample, GPS#292; granitic, heavy iron oxides, "Red Ore" - .434 ounces per ton gold; east of Hayes Mine.
Surface sample, GPS#294; granitic "Red Ore" heavy geothite - .717 ounces per ton gold; east of Hayes Mine.
Surface sample, GPS#179; quartz in metagranite, "Red Ore" - .859 ounces per ton gold; north of Swiss Belle Mine.
USCorp is encouraged that high assay values for gold were found on the surface and at relatively shallow depths of less than 250 feet. Samples of rock with high gold values have been taken on the surface and near surface areas. These assays support USCorp's belief that the Twin Peaks claims area has significant mineralization near and on the surface. Other mines, located in the Carlin Trend District in Nevada, are noteworthy for making the United States a major gold producer in the world. Some mines did not find gold until excavations reached a depth of 750 to 1,000 feet.
The new drilling program will follow up on the more significant finds that were discovered by the Phase 3 drilling project. Newer discovery methods and imaging techniques are now being used. Identified target sites will be sampled by drilling down 750 to 1,000 feet. New ASTER satellite photos have been obtained that will enable identification of geomagnetic and mineral alteration areas. A geophysical crew will then conduct magnetometer (geomagnetic highs and lows are measured to determine the specific gravity [i.e., the density] of sub-surface geology), VLF (very low frequency), and Induced Polarity surveys in the ASTER targeted areas that will be guides to specific drill targets. USCorp estimates that the new geological and geophysical surveys, including geo-mapping will be completed by the end of this year, and that the follow-up drilling program to depths of 800 to 1,000 feet will commence, once funding has been obtained; once started it can be completed within three to four months. Ultimately a 3-D model of the geological substructures will guide drilling operations to target known structures or bodies in order to precisely locate and measure the extent of bodies of mineralization.
Effect of Unwinding: USCorp believes that the full consolidation in September of Arizona Gold Corp. shareholders into USCorp will streamline management and yield better results for investors. The Company filed a report on Form 8-K on September 29, 2012, with the Securities and Exchange Commission that spells out the details of this event. The report can be found on the SEC's website.
USCorp Chairman and CEO, Robert Dultz, said, "The net effect of the unwinding Agreement has been as though AGCBC and USCorp had merged. AGCBC's management has resigned, and AGCBC is in the process of being dissolved.
"USCorp, through its wholly owned subsidiary USMetals, Inc. ("USMetals"), has regained 100% ownership and control of its Twin Peaks Project and Serendipity claims in Yavapai County, Arizona. The mining claims remain in the name of AGC Corp., an Arizona corporation and wholly owned subsidiary of USMetals, Inc.
"In addition, all of the assets of AGCBC have been transferred to USMetals, and all of the shareholders of AGCBC are now shareholders of USCorp," Dultz said.
Dultz further explained: "We realize that for some of our investors the unwinding may have seemed like an abandonment of the project by AGCBC. However, the fact is, we have joined together under USCorp with the goal of seeing this project through to completion."
USCorp is an exploration stage company with gold and silver projects in Arizona and California. Information about USCorp can be found at the company's website: http://uscorpgold.com.
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: The statements contained in this release which are not historical facts are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by forward-looking statements. These risks and uncertainties include the Company's entry into new commercial businesses, the risk of obtaining financing, recruiting and retaining qualified personnel, and other risks described in the Company's Securities and Exchange Commission filings. The forward-looking statements in this press release speak only as of the date hereof, and the Company disclaims any obligation to provide updates, revisions or amendments to any forward-looking statement to reflect changes in the Company's expectations or future results.
KEYWORDS: United States North America Nevada
The article USCorp Reports Results of Drilling and Clarifies Effect of Unwinding Agreement With Arizona Gold Corp. originally appeared on Fool.com.
Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.