Marathon Gold Increases Mineral Resource Estimate at Valentine Gold Camp

Marathon Gold Corporation (TSX:MOZ) announced the new mineral resource estimate for its Valentine gold camp in Newfoundland. Results showed a 30 percent increase in the overall measured and indicated resource from 816,000 ounces gold at a grade of 2.24 g/t to 1,060,000 ounces at 2.20 g/t grade.

As quoted in the press release:

The Inferred resource for the Valentine Gold Camp has increased by 34 percent to 200,000 oz gold at a grade of 2.83 g/t gold. The Marathon Deposit accounts for the majority of this resource growth and represents a high potential area of the property.

Prospecting led to the discovery of the new Marathon Deposit in September 2014 and rapid development of the resource began with drilling in mid-October 2014. Our ongoing systematic and efficient approach to exploration and discovery of new gold zones at the Valentine Gold Camp has provided and will continue to provide us with the opportunity to grow additional resources and continue to move the project forward. There are now four gold deposits with resources at the Valentine Gold Camp spaced along a 13 km long section of the Valentine Lake Thrust Fault. The Leprechaun Deposit remains unchanged since the last resource estimate.

Highlights:

• The discovery cost of the new resources is approximately $9 to $10 per oz.
• In the Valentine Gold Camp all of the new resources as well as the existing Leprechaun Deposit are in the 2 g/t range
• The pit constrained resources represent 87% of the Indicated resources and are relatively insensitive to gold prices between $1,100 and $1,350
• All of the deposits are open along strike and to depth
• Underground potential at Marathon, Sprite and Victory Deposits will develop further with deeper drilling
• Further drilling is planned on the Marathon Deposit to delineate the ultimate size of the deposit before commissioning a PEA

Phillip Walford, president and CEO of Marathon Gold, commented:

The new resource estimate is a large step forward in advancing and demonstrating the potential of our Valentine Lake project. We now have over 1 million oz. of Measured and Indicated resource at a good grade. Our success has been focused on finding and developing more open pit resources at good grades as well as starting to develop the underground potential as we drill deeper on the new deposits. The fact that we could find and drill a new deposit to a resource in just 7 months is a tribute to the strength of our team. The Sprite and Victory deposits are important but the new Marathon Deposit is the real catalyst for increasing the resource. The Marathon Deposit has the combination of width, grade and strike length that holds promise for rapid expansion of resources when drilling begins again.

Click here to read the full Marathon Gold Corporation (TSX:MOZ) press release.