Replies to post #98 on Ecuador Resources

[Tackler]

Goldmarca drills 256.7 g/t Au over two metres at Condor

2006-10-05 13:08 ET - News Release

Mr. Robin Slaughter reports

GOLDMARCA DRILLING HITS HIGH GRADE ZONE AT THE CONDOR GOLD PROJECT ECUADOR INTERSECTING 2 METRES OF 256.7 GRAMS GOLD PER TONNE (7.49 TROY OUNCES GOLD PER SHORT TON)

Goldmarca Ltd.'s drill hole DEN 4A at the Condor gold project in Ecuador has intersected a high-grade gold zone in the Enma sector of two metres of 256.7 grams per tonne gold. This was included in a zone of 14 metres averaging 38.6 grams per tonne gold. True width is estimated to be approximately to 60 per cent of the drill intercepts.

 
  
                CONDOR GOLD PROJECT DRILLING RESULTS 
                     (hole DEN 4A, October, 2006) 
  
 Hole No.   From (m)   To (m)   Intercept (m)   Au (g/t)   Ag (g/t)   Zn (%) 
  
 DEN 4A        70        84         14            38.6       33.0      2.01 
 including     74        76          2           256.7       32.0      2.17 
 

Hole DEN 4A, intercepting 14 metres of 38.6 grams per tonne gold, including two metres of 7.49 troy ounces per short ton, was drilled on Section 100NW. This intercept confirmed the continuity of the high-grade zone from Section 75NW, reported in Stockwatch on Aug. 21, 2006, with DEN 34 intercepting 24 metres of 12.6 grams per tonne gold, and Section 50NW, reported in Stockwatch on May 31, 2006, with DEN 31 intercepting 48 metres of 16.7 grams per tonne gold and 221 grams per tonne silver.

Hole comparison -- Enma sector

Visible gold was observed in the core in hole DEN 4A. Hole DEN 4A was drilled close to hole DEN 4 (depth of 160.3 metres) to extend the depth penetration to 281 metres. Precisely, hole DEN 4A is located 8.5 metres east and one metre north of hole DEN 4. DEN 4A intercepted 256.7 grams per tonne gold from 74 to 76 metres. The equivalent gold value in DEN 4 was 5.8 grams per tonne gold intercepted from 75 to 77 metres depth.

 
  
               CONDOR PROJECT COMPARISON OF DRILL RESULTS 
          (holes DEN 4 and DEN 4A, Enma sector, October, 2006) 
  
 Hole No.   From (m)   To (m)   Intercept (m)   Au (g/t)   Ag (g/t)   Zn (%) 
  
 DEN 4A        70        84         14            38.6       33.0      2.01 
 DEN 4         71      85.6       14.6            1.75       11.4      0.61 
 DEN 4A        74        76          2          256.66       32.0      2.17 
 DEN 4         75        77          2            5.85       21.0      1.03 
 

The comparison highlights the presence of free and coarse gold, and probable erratic gold distribution. These results may question drilling as an effective sampling technique in the Enma sector. The core from intercepts from DEN 4 and DEN 4A is being resampled for sample preparation and assay using screen metallic methods designed to test gold assay repeatability and the influence of free and coarse gold in the drill samples.

Hole comparison -- Los Cuyes sector

On Sept. 21, 2006, the company released results in Stockwatch for drill hole DCU 17B. Hole DCU 17B 4A was drilled close to abandoned hole DCU 17 to extend the depth penetration to 448 metres. Precisely, hole DCU 17B is located 3.9 metres north and 1.7 metres west of hole DCU 17. DCU 17B intercepted grams per tonne gold from 200 to 232 metres. The equivalent gold value in DCU 17 was grams per tonne gold intercepted from the same interval.


CONDOR PROJECT COMPARISON OF DRILL RESULTS
(holes DCU 17 and DCU 17B, Los Cuyes sector, October, 2006)

Hole No. From (m) To (m) Intercept (m) Au (g/t) Ag (g/t) Zn (%)

DCU17B 84 232 148 2.89 25.0 1.35
DCU 17 84 232 148 0.83 13.5 0.73
DCU17B 200 232 32 10.08 59.7 3.30
DCU 17 200 232 32 1.46 25.1 0.42


The comparison of assays results from holes DCU 17B and DCU 17 also suggests the presence of free and coarse gold, and probable erratic gold distribution. Again, the question arises as to how effective drilling will be as a sampling technique in the Los Cuyes sector. The core from intercepts from DCU 17B and DCU17 is being resampled for sample preparation and assay using screen metallic methods designed to test gold assay repeatability and the influence of free and coarse gold in the drill samples.

The drill results demonstrate the potential for higher-grade mineralization at the Enma and Los Cuyes sectors in the Condor gold project, within a lower-grade mineralized envelope. These breccias represent a window of a large epithermal system inside a breccia camp with surface dimensions of 1.5 kilometres by 1.5 kilometres and 400 metres in depth. The breccia camp includes San Jose, Bonanza, Soledad, Guayas, Buena Esperanza, Brechas Negras, Gossan Luna, Los Cuyes, Pangui and Reina del Cisne.

These breccias have been localized by mapping and by drilling and drill logs. The breccia mineralization is apparently structurally controlled. The geophysical program at Condor has been completed and the anomalies are being interpreted for targeting future drilling. The plan is to continue to drill the known breccias to define resources and drill exploration targets aided by previous drilling and geophysics. The Condor geological model (lower zone -- breccias) has close similarities to the Pascua gold deposits in Chile (breccias -- lower zone) with an additional disseminated type in upper zones in volcanoclastic cover.

Drilling consists of NQ diamond core with recovery close to 100 per cent. The core samples are sawed in half and half of the core was crushed and pulverized. It was then assayed for gold, silver and zinc at the ACME Laboratory, Vancouver, Canada, by fire assay with an ICPAES or gravimetric finish. Sample preparation was performed by ACME's sample preparation facility in Cuenca, Ecuador. As part of quality assurance and quality control (QA/QC), certified standards of known gold content were inserted every 20 samples, blanks were inserted every 20 samples and field and laboratory blind duplicates were taken every 20 samples. The other half of the core is retained on site for verification and reference purposes.

Dr. Howard Lahti, PhD, geology, is acting as qualified person in compliance with National Instrument 43-101 with respect to this release. He has reviewed the contents for accuracy.