January 17, 2007, — Vancouver — Golden Peaks Resources Ltd. (TSX: GL) reports that, following the Christmas break, diamond drilling has resumed on its La Fortuna project in Patagonia, Argentina,. A 55 hole (9,500 meter) drill program was completed in October-December 2006. All holes were delivered for assay before the Christmas shutdown and results are awaited.
The drill program re-commenced with two rigs that will continue detailed drilling of the discovery T-11 zone, the Amphitheatre zones, untested surface gold mineralization on the CR Structure, as well as reconnaissance drilling of as yet untested parts of the A, E, CB and ML Structures.
In addition the Company is pleased to report that it has optioned the Stella Maris claims, which are immediately adjacent to its La Fortuna project, from a private owner. Under the terms of the agreement Golden Peaks can acquire a 100% interest in the Stella Maris claims by making escalating option payments totaling US$450,000 over 6 years. Upon exercise of the option the vendor will receive a 1.5% net smelter royalty (“NSR”), all of which can be purchased at any time prior for US$ 450,000.
Said Scott Emerson, Chairman, “We are very pleased with this new acquisition which enhances the overall La Fortuna project and immediately complements and completes the un-drilled ML zone. With this acquisition Golden Peaks now controls all of the known zones of gold mineralization in the district. The Company completed a significant drill program in October-December 2006 and assays are pending. In addition the ongoing drill program will continue to generate new assay results.”
In addition the Company announces that it has granted options to purchase a total of 50,000 common shares in the capital stock of the Company at the exercise price of $2.10 per share for a period of two years to a consultant. The options have been granted in accordance with the provisions of the Company's stock option plan.
The Company is looking forward to an exciting drilling season on this project.
This press release has been reviewed and approved by Dr. Kieran Downes, P.Geo., President of Golden Peaks Resources Ltd. and a Qualified Person as defined by National Instrument 43-101, under whose direction the exploration programs are being carried out.
Media Information, contact:
Scott Emerson, Chairman and Director
SE@goldenpeaks.com
Investor Information, contact
Mike Kordysz, Investor Communications
MK@goldenpeaks.com
From www.goldenpeaks.com
