GOLD GOLD GOLD
NOLAN GOLD PROJECT UPDATE
-- MORE HIGH GRADE GOLD UNCOVERED WHILE MINING THE SWEDE CHANNEL --
-- DRILLING IN MARY’S EAST REVEALS ADDITIONAL HIGH GRADE ORE --
JANUARY 04, 2007 - Fairbanks, Alaska – USA - Vancouver, BC – Canada
SILVERADO - OTCBB: SLGLF / Frankfurt: SLGL / Berlin: SLGL
Silverado Gold Mines Ltd. is pleased to announce that placer mining is over 70%
complete in the remaining underground portions of the Swede Channel on its Nolan
property. The gold ore mined in this sector is considerably richer than was
previously indicated by our limited drilling. The mining crews are working the
area remaining from the 2005-2006 mining season and now have in excess of 8,000
loose cubic yards of pay gravel on the surface ore pad. This year’s ore does not
contain low grade exploration and development material and will therefore yield
a significantly higher grade than last year’s program.
Also, the Mary’s East ore zone has been portalled and entered. Should time
permit the completion of mining the Swede zone to surface, then mining will
proceed on Mary’s East until the end of the winter mining season. During the
spring months, Silverado will begin sluicing the ore pile to remove the
high-grade placer gold.
In addition to the good news coming from the Swede Channel project, in-fill
placer drilling at the Mary’s East Gold Deposit resulted in the discovery of
more gold. Ninety percent (90%) of the drillholes show values greater than 0.01
troy ounces of gold per bank cubic yard ( Toz/bcy ), ranging from 0.03 to 1.72
Toz/bcy ( See Table 1 below ). These placer drill results indicate that the gold
rich Mary’s East Deposit contains more gold than previously estimated. The
extremely high drill result of 1.72 Toz/bcy was the second highest assay. (2004
drilling hit a 5.76 Toz/bcy assay within the same ore body.)
TABLE 1
ROTARY
DRILLHOLE # INTERSECTION
DEPTH
FROM SURFACE
SAMPLE WIDTH
TROY OUNCES
GOLD PER BANK CUBIC YARD
06MB22 40 - 45 ft 5 ft 0.17
06MB22 45 - 50 ft 5 ft 1.72
06MB23 45 - 50 ft 5 ft 0.13
06MB24 45 - 48 ft 3 ft 0.04
06MB26 30 - 35 ft 5 ft 0.07
06MB26 35 - 40 ft 5 ft 0.77
06MB27 25 - 30 ft 5 ft 0.52
06MB28 30 - 32 ft 2 ft 0.07
06MB29A 18 - 22 ft 4 ft 0.03
Silverado Gold Mines carried out a first phase exploration drilling program on
its newly acquired placer claims,
in particular the Top Notch prospect, which is a small portion of its 11 square
mile property. A total of nine holes were drilled, of which two yielded values
greater than 0.01 Toz/bcy ( See Table 2 Below ). The Top Notch prospect could
have a significant open-pit mining potential as the bedrock is shallow in the
area. Further drilling in spring 2007 will test for additional economic placer
grades. Certainly the very high grade of over 1 Toz/bcy confirms the continuance
of high grade placer gold throughout Silverado‘s new property.
TABLE 2
ROTARY
DRILLHOLE # INTERSECTION
DEPTH
FROM SURFACE
SAMPLE WIDTH
TROY OUNCES
GOLD PER BANK CUBIC YARD
06BT02 10 - 15 ft 5 ft 0.02
06BT08 10 - 15 ft 5 ft 1.02
Silverado Gold Mines Ltd. is currently planning its active exploration program
for 2007. Placer exploration will focus on the northward and southward extension
of the Mary’s East Gold Deposit, Workman’s Bench and the company’s newly
acquired adjoining Top Notch placer claims.
We expect to have a productive year. Our testing results indicate several
additional years of increased productivity. (Visit us at
www.silverado.com/nolancreek2006 to view a map of the Nolan Gold
Project.)
This press release was prepared by Edward J. Armstrong, Certified Professional
Geologist; who is a qualified person as defined under the standards of Canadian
National Instrument policy 43-101.
To learn more about Silverado Gold Mines Ltd., visit us online at
www.silverado.com or contact Bob Dynes, Investor relations, toll free at
1-800-665-4646.
SILVERADO GOLD MINES LTD.
Mailing Address · 505 - 1111 W. Georgia Street · Vancouver, B.C. · V6E 4M3 · CA
(800) 665-4646 or (604) 689-1535 · F: (604) 682-3519 · pr@silverado.com ·
www.silverado.com
Field Address · P.O. Box 83730 · Fairbanks, Alaska. · 99708 · USA
This Press Release may contain, in addition to historical information,
forward-looking statements within the meaning of Section 27A of the Securities
Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934,
as amended. These statements are based on management\'s expectations and beliefs,
and involve risks and uncertainties. These statements may involve known and
unknown risks and uncertainties and other factors that may cause the actual
results to be materially different from the results implied herein. Readers are
cautioned not to place undue reliance on the forward-looking statements made in
this Press Release.