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October 28, 2009 |
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NEWS RELEASE NOT FOR DISTRIBUTION TO
UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES Atlanta Gold Investigates Potenial of Tungsten By-Product at its Atlanta Gold Project in Idaho Toronto, Ontario – Atlanta Gold Inc. (NEX: ATG.H) announces that, based on a recent review of historical mining records, the Company has determined that, in addition to the gold and silver mineralization in the 11,400-foot (3,475-metre) long, 100-120-foot (30-37-metre) wide Atlanta Shear Zone, tungsten was mined at Atlanta in the 1940s. The Company is presently investigating the economic potential of mining and processing a tungsten by-product from the Atlanta Shear Zone. From April 1, 1942 to July 31, 1943, the Talache mill which was located on the Atlanta property processed 363,615 pounds of tungsten concentrate which contained 37,835 pounds or 10.41% tungsten trioxide (WO3) extracted from 16,895 tons of ore. The table below shows the historical monthly production reports from the Talache mill.
* Source: Daily and Accumulative Mill Report, Monarch Greenback LLC historical records Based on whole rock chemical analyses conducted by ACZ Laboratories in 2004, 106 samples taken from the Monarch and Idaho Pits areas and dump sites returned an average of 114.4 parts per million (ppm) or 0.0114% tungsten (W) with the highest anomaly at 279 parts per million (ppm) (0.0279%) and the lowest at 2.3 ppm (0.00023%). In 1990, the Company had two thin sections of DH-386 examined for mineralogy and analyzed by Skyline Labs, Inc. for tungsten (W). One of the thin sections contained greater than 10,000 ppm (1.0%) tungsten (W). The other thin section had 160 ppm (0.016%) tungsten (W). The data presented in this news release is historical in nature, predates National Instrument 43-101 enforcements and has not been reviewed by a qualified person compliant with NI 43-101. Historical production does not guarantee future production or the discovery of a resource. However the Company believes that these historical results provide an indication of the Atlanta Project’s tungsten potential and are relevant to ongoing exploration. Elemental tungsten (“W”) is sold on the world market as tungsten concentrate (“WO3”), currently at a price of approximately US$10.00 per kilogram (US$4.54 per pound) of concentrate with a minimum of 65% WO3. Tungsten is a hard, corrosive-resistant element with the highest melting point of all non-alloyed metals. It is used in high-temperature structural materials and many electronic applications for a wide variety of products ranging from jet turbine engines and high-speed cutting tools to electronic circuitry and surgical instruments. China is now the world's largest producer and consumer of tungsten. Qualified Person About the Company The Company is focused on advancing its core asset, Atlanta, towards mine development and production and on acquiring, exploring and developing other attractive gold projects.
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