High Desert Gold discovers new areas of gold/silver mineralization at its Mexico project

High Desert Gold Corporation announced on Thursday that the Company has identified two new areas of high-grade gold/silver and base metal mineralization, and a third area of skarn mineralization, at its wholly-owned San Antonio Project in Sonora, Mexico.

One of the new areas of mineralization which is located 2 km to the northeast of the recent drilling (see HDG PR11-09, May 11, 2011) is characterized by mineralization hosted along a low-angle contact between porphyritic rhyolite intrusive and calcareous sandstone. Samples 45174-45177 were collected from the intrusive contact and sample 45178 was collected from a favorable horizon within the sedimentary sequence.

Ralph Fitch, President of the Company stated “These new areas of mineralization which have similar characteristics to the recently drilled and reported 10.6 metres @ 3.029 g/t gold, 22.3 g/t silver, 0.32% lead and 0.26% zinc greatly increase the potential of the property and demonstrate the wide spread occurrence of gold, silver and base-metal mineralization on the property”.

The ongoing program is designed to build on the knowledge gained through the recent drill program (see HDG PR11-09, May 11, 2011). This work has identified three areas of mineralization located 1 km to the north and another 2 km northeast of the recently completed drill program and a third area to the southeast. Mineralization consisting of gold, silver, lead, copper and zinc is hosted by favourable rocks within the sandstone and limestone units and in structures and along the contact between a porphyritic rhyolite intrusive and carbonate sequences. In all three areas HDG has discovered old workings which have exploited the mineralization over widths from 0.5 to 15 metres.

The second zone of mineralization is located approximately 1 km north of the recent drilling. This zone is represented by mineralization hosted within favorable rock units of calcareous shale and sandstone. This zone is characterized by strong lead and silver values.

The third area of interest which was generated by the recent field activities is located approximately 2.5 km southeast of the recent drilling and is represented by a garnet skarn with elevated metal values. While this area does not have as high grades as those outlined above, it is significant in that it may be an indication of extensive skarn or replacement mineralization associated with a quartz monzonite which is located in this area. Samples from this area have elevated values in bismuth, copper, iron, molybdenum, lead, tungsten and zinc which are all suggestive of an intrusive related mineralizing system.

With this recent work HDG has demonstrated that the precious and base metal system at San Antonio is much more extensive than the area which was drilled earlier this year and has the potential to host large, high-grade systems.

The Qualified Person on the San Antonio property is Randall Moore, Executive Vice President of Exploration of High Desert Gold Corporation and he has reviewed and approved the content of this press release. Assays were performed in Reno, Nevada by Inspectorate Laboratories, an ISO 9001:2000 Certified laboratory. Gold was analyzed by fire assay of a 30 gram sample with an AA finish. Gold was analyzed by the Au-AA23 method, with values >1 gpt re-assayed using Au- GRA21. All other elements were analyzed by the ME-MS41 method.

There has been insufficient exploration to define a mineral resource at San Antonio and it is uncertain if further exploration will result in the targets at the project being delineated as a mineral resource.

The Company is a mineral exploration company that acquires and explores mineral properties, primarily gold, copper and silver, in North America. The major properties held by HDG are the Gold Springs gold project situated along the border between Utah and Nevada and the San Antonio project in Sonora, Mexico. The Company recently completed a drilling program at Gold Springs and has submitted samples for analysis to an assay lab and should be able to report results in the near future.

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