Goldbar, New Island uncover gold zone

A gold zone has been discovered by partners Newfoundland Goldbar Resources (CDN) and New Island Minerals (ASE) on their 14,300-acre Glover Island property in central Newfoundland.

The zone, called the Lunch Pond South Extension (LPSE), was drill-tested late last year as a follow-up to surface sampling that returned values up to 0.55 oz. gold per ton. Mineralization occurs in a highly silicified and pyritized felsite unit.

The discovery hole (LPSE-4) yielded 0.07 oz. gold over 176.5 ft., which included 35 ft. of 0.2 oz. gold. Holes LPSE-1 and 3 also returned wide intervals of low-grade material. Both holes contained several high-grade lenses ranging from six to 10 ft. in width and grading from 0.13 to 0.36 oz. gold. According to New Island President David (Bud) Davis, all intersections are near true width.

Geological mapping and soil sampling results indicate that the new zone has a minimum strike length of 1200 ft.

The LPSE zone is about 3,300 ft. south of the Kettle Pond South (KPS) zone, where previous drilling encountered values up to 57.8 ft. grading 0.15 oz. gold. Untested soil and geophysical anomalies suggest that the LPSE and KPS zones may be stratigraphically equivalent.

The companies are planning an early spring exploration program which will include detailed geological mapping, geochemical and geophysical surveys and definition drilling on the LPSE and KPS zones.

Newfoundland Goldbar is operator of the project and is earning a 50.1% interest in the property from New Island. Newfoundland Goldbar also holds a 26.86% interest in New Island.

In January, New Island changed its name from Varna Gold on a one-for-one-share exchange basis.

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