VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 29, 2012) - Artha Resources Corporation (TSX VENTURE:AHC) is pleased to provide this update on our recent reconnaissance field work completed in late 2011 on the newly optioned Organullo gold-silver project in Salta Province, NW Argentina. Sampling results coupled with a detailed structural interpretation have highlighted three initial target zones within the 8km by 8km altered and mineralised system identified by previous exploration.
Highlights from Recent Artha Work
Artha completed an initial reconnaissance level mapping (at 1:10 000 scale) and sampling program in November/December 2011 which was intended to familiarize our technical team with the property and ground truth historical results. The focus of the work was the 3.5km zone through the central part of the property near the historic Julio Verne mine. The outcome of this work has been a detailed structural interpretation of the property providing a better understanding of its context in the regional geological framework (Map 1) as well as a clearer picture of the mineralisation.
Artha has identified three initial target zones based on recent mapping and sampling and historical work. Map 2 depicts these three zones in the context of gold anomalism from recent and historical surface sampling. From this work Zones 2 and 3 are considered high priority.
- Zone 2: located in the central part of the property; large Au anomaly (>0.25ppm Au) 750x600m in size; includes the Julio Verne Mine (Cu-Bi-Au±Pb±Ag±As±Sb) and Claudia and Belen veins (Au-Pb-±Sb-±Mo) and Virginia, Martha and Carolina veins (Au-Pb-Zn-As). This zone has been previously drilled however due to very poor recoveries, in the order of 20-30%, it is considered to remain a high priority target. See Maps 3A and 3B for more detailed geology, historic drill hole collars and a cross section through the zone.
- Zone 3: located at the northern part of the property, low grade gold-silver anomalism over a broad area. Bulk tonnage system target.
A follow-up program will be undertaken starting in April 2012 which will include an initial surface trenching program designed to test for broader zones of mineralisation both adjacent to and between the sheeted vein system in the central part of the property (Target 2 on Map 2) as well as test for broad low grade bulk tonnage potential to the north of the historical Julio Verne mine (Target 3 on Map 2).
- Organullo is a relatively advanced project with excellent potential for both high and low sulphidation type epithermal high grade gold and silver as well as bulk tonnage lower grade gold and silver mineralization.
- Salta is a mining friendly province with committed government support for exploration. Local infrastructure is considered good with a nearby rail line and experienced local labor force.
- Sampling by previous explorers identified a gold-silver mineralized area of approximately 8-km by 8-km.
- Historic drilling intersected 189 metres of 0.66 g/t gold and 186 metres of 0.50 g/t gold in two separate holes suggesting a large bulk tonnage, low grade gold (and silver) system exists on the property but this model has not been adequately targeted or explored.
- Previous drilling programs had very poor recoveries in both diamond and reverse circulation methods.
- Much of the previous drilling has gold and silver intersections in both veins and broader lower grade zones. Many areas remain untested.
Geology and Mineralisation.
At least 13 mineralized veins, distributed in three domains, have been mapped out and recent work by Artha, including 210 rock chip samples has confirmed this. Vein outcrops are 200 to 400m long and 0.2 to 6.0m wide. Mineralization consists of crackle banded quartz with traces of galena, chalcopyrite, sphalerite and some sulfosalts; gold values ranges from <1 g/t to 37g/t Au in rock chips. Silica-pyrite alteration is widespread around the intrusive contacts; weak sericite and advance argillic alteration form haloes on the wall rock of the veins. Weak pyrite-chlorite-epidote alteration occurs at the periphery of the mineralized system.
Previous drilling data has been reviewed with the best vein intercepts: Natalia Vein (1m @ 8.9g/t Au); Belén Vein (2m @ 11.0g/t Au); Marta Vein (1.20m @ 0.51g/t Au); Sara Vein (1.7m @ 12.3g/t Au); Virginia Vein (1.20m @ 3.45g/t Au) and Loly Vein (1.40 @ 1.13g/t Au).
Artha is continuing to negotiate a formal access agreement with the local community at Pirquitas to enable higher impact activities to commence such as drilling. The summer rainy season has also deterred any field activities in the region for the last few months.
Ivan Alberto Drilling
The final report on the first phase drilling program completed last year was received by Artha Management last week from its consultants who managed the work and is currently being reviewed. The conclusions and recommendations from the report are that as near surface, precious and base metal mineralisation of economic grade was not encountered over sufficient widths in enough holes, further drilling is not warranted at this stage. All results are being reviewed to determine further work on the property which contains favorable geology and still remains highly prospective, however, given Artha's large property portfolio in the region the company needs to allocate funds to other projects at this stage.
The Company reports that Dennis Stover has resigned from the board of directors of Artha. The Company thanks Mr. Stover for his services as a director.
The Company also announces that pursuant to the Company's Stock Option Plan, it has granted 1,275,000 incentive stock options to its directors, officers, employees and consultants at an exercise price of $0.10 per share, and expire on February 29, 2017.
Charles Straw, B.Sc., is the qualified person under NI 43-101 responsible for the technical information in this news release.
Artha was founded by a team of mining industry professionals with a proven track record in project generation, exploration, mining and finance. The team's primary goal is to build Artha into a world class mining company, focused on the discovery, development and mining of economic minerals deposits globally.
On Behalf of the Board of Directors,
Todd McMurray, President
To view accompanying maps, visit the following link: http://media3.marketwire.com/docs/Maps1_2_3A_3B.pdf
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