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NES

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Share Name Share Symbol Market Type
TSXV:NES TSX Venture Common Stock
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
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Newstrike Capital Inc.-Aurea Norte Drilling Begins on Final ZTEM Survey Results Guerrero, Mexico

17/10/2013 11:00pm

Marketwired Canada


NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

Newstrike Capital Inc. (TSX VENTURE:NES) ("Newstrike" or the "Company"), a
gold-silver focused explorer, targeting known and historic mining districts in
Mexico, is pleased to report that the final report and interpretation was
received from Geotech Ltd. of Aurora, Ontario for the ZTEM airborne geophysical
survey flown over the Company's Aurea Norte property (September 9, 2013).


Fifteen high priority targets were identified in the report, seven that coincide
with anomalous surface gold geochemistry, ranging from weakly anomalous to a
best sample of 16.7 grams per tonne gold from outcrop chip samples. A 5,000
metre early stage drill program that will test a selection of these anomalies is
now underway. Drilling is expected to take three months to complete and results
will be used for planning purposes. Eight of the high priority targets
identified in the report represent new exploration targets, a selection of these
will be brought to the drill ready phase.


"As explorers, we are very encouraged by the results of this report," Richard
Whittall, CEO, Newstrike Capital commented. "This report has confirmed a number
of high priority drill targets based on the strong correlation of previous
drilling and surface geochemical results and the imagery from the ZTEM survey.
This drill program will be an important first step in evaluating the potential
of the San Luis trend."


The ZTEM survey covered an area known as the San Luis Trend, an important
structural corridor over ten kilometres in length that has returned widespread
near-surface gold mineralization that coincide with favourable GGB ("Guerrero
Gold Belt") style surface alteration in outcrop, including iron oxide
alteration, jasperoid breccia, silicified intrusion and skarn. A selection of
assay results over 1.0 grams per tonne gold from outcrop chip sample taken along
this trend is presented in the table below. Gold distribution maps and a
complete table of gold and pathfinder element assay results from outcrop chip
samples are available on the company website at www.newstrikecapital.com.


Table of outcrop chip and channel samples over 1.0 grams per tonne gold,
includes a selection of common pathfinder elements.




----------------------------------------------------------------------------
                             Eleva-       Sample                            
         Easting   Northing   tion Sample   size     Au     As     Sb     Hg
Sample        (m)        (m)    (m)  Type     (m)   g/t    ppm    ppm    ppm
----------------------------------------------------------------------------
38603  416175.00 1996884.00 865.00   Chip   1.00  1.025   7990    453  35.10
38751  415604.00 1996803.00 929.00   Chip   1.00  1.090   2140    951  80.30
38779  415773.00 1996918.00 989.00   Chip   1.40  1.205   4280   2520 101.00
38798  415802.00 1996978.00 984.00   Chip   1.10  1.250   1580    979  49.50
38562  415521.33 1996767.74 896.07   Chip   1.50  1.370    687    824  16.30
38767  415805.00 1996925.00 996.00   Chip   1.00  1.505   1410    482  30.30
38559  415510.16 1996745.13 891.02   Chip   2.00  1.800   2240   3560  42.10
38563  415523.39 1996778.06 895.11   Chip   1.70  2.000   1150   1810  22.40
85028  415810.04 1997517.69 996.04   Chip   2.00  2.250    425    851  13.00
38923  416170.00 1996878.00 861.00   Chip   0.70  2.940  13800    220 101.00
38910  415874.00 1997055.00 957.00   Chip   1.00  3.100   4550   2650  23.00
38780  415774.00 1996949.00 988.00   Chip   0.70  4.940   3010   2470  36.70
85046  415613.00 1996767.00 936.00   Chip   1.15  8.830    377    283 101.00
85241  415632.00 1997830.00 983.00   Chip   0.50 16.700   1450    236  80.80
----------------------------------------------------------------------------



The objective of the Aurea Norte ZTEM survey was to locate potentially buried
intrusive bodies associated with the GGB mineralization model and to identify
controlling structures at the Ana Paula deposit and along the mineralized San
Luis Trend. The new anomalies identified by the ZTEM survey include resistivity
and conductivity contrasts typical of buried silicified intrusions and with
alteration commonly associated with skarn-porphyry and epithermal style
deposits. Exploration activities are currently focused on advancing the project
pipeline around the Company's flagship Ana Paula project, and include the
eastern half of the 59,587 hectare Aurea Norte property. Mapping and surface
sampling continue to advance new targets to the drill ready phase.


The Ana Paula project is located internal to and is surrounded by the Aurea
Norte property. It is host to a structurally controlled epithermal style gold
deposit with a pit constrained resource(i) of 43.million tonnes that includes
2.20 million ounces of contained gold and 9.7 million ounces of contained silver
in all categories at a weighted average grade of 1.56 grams per tonne gold and
7.5 grams per tonne silver (NI-43-101 technical report filed May 8th, 2013,
available on the company website or at www.sedar.com). (i)(applying cutoff grade
of 0.45 grams per tonne gold equivalent (AuEq) defined by the price, cost and
recovery assumptions).


The GGB is an established gold mining district host to both skarn and epithermal
gold deposits located in a mining friendly jurisdiction that offers ample
infrastructure, including roads, power, water and ports of access.


Ken Thorsen, a director of the company and a qualified person under NI 43-101
has reviewed the contents of this press release. Drill programs and all project
operations are conducted under the direction and supervision of Dr. Craig
Gibson, PhD, CPG and a qualified person under NI 43-101.


About Newstrike (TSX VENTURE:NES)

Newstrike Capital Inc. is a gold-silver focused explorer, targeting known and
historic mining districts in Mexico. Key senior members of the Company's current
management and directors have participated in Guerrero Gold Belt discoveries,
including Goldcorp Inc.'s producing Los Filos Mine and Torex Gold Resources
advanced stage Morelos Project in Guerrero State.


Newstrike holds a 100% interest in certain exploration properties in Mexico
located within two established mining districts; the Au (Ag-Cu) skarn-porphyry
camp of the Guerrero Gold Belt, and the polymetallic Pb-Zn-Ag (Au-Cu) rich
epithermal camp of the mining districts of Oaxaca State.


Neither the TSX Venture Exchange (the "TSXV") nor its Regulation Services
Provider (as that term is defined in the policies of the TSXV) has reviewed, nor
do they accept responsibility for the adequacy or accuracy of, this release.


Certain of the statements made in this news release contain forward-looking
information within the meaning of applicable Canadian securities law. Material
forward-looking information includes, but is not limited to statements or
information with respect to the resource estimate and potential future
exploration and development results and results of studies in respect of the
Company's Ana Paula Project. We have made numerous assumptions about the
material forward-looking information contained herein, including among other
things, that prices of gold and silver will remain relatively stable, that
applicable permits will be obtainable and that any required financing will be
available on reasonable terms. Even though our management believes that the
assumptions made and the expectations represented by such statements or
information are reasonable, there can be no assurance that the forward-looking
statement or information will prove to be accurate. Forward-looking information
by its nature involves known and unknown risks, uncertainties and other factors
which may cause the actual results to be materially different from any future
results expressed or implied by such forward-looking information. Such risks,
uncertainties and other factors include, among others, the following: the
inherent risks and uncertainty involved in the exploration and development of
mineral properties; the uncertainties involved in interpreting drill results and
other exploration data; the potential for delays in exploration or development
activities; the geology, grade and continuity of mineral deposits; the
possibility that future exploration, development or mining results will not be
consistent with the Company's expectations; accidents, equipment breakdowns,
labor disputes or other unanticipated difficulties with or interruptions in
production and operations; fluctuating prices of metals and other commodities;
currency fluctuations; the possibility of project cost overruns or unanticipated
costs and expenses; uncertainties relating to the availability and costs of
financing needed in the future; the inherent uncertainty of production and cost
estimates and the potential for unexpected costs and expenses; regulatory
restrictions, including environmental regulatory restrictions and liability;
competition and loss of key employees; political instability in Mexico; the
availability of key equipment; the risk of disruption from non-governmental
organizations; risks relating to our common shares and the public markets.

Should one or more of these risks, uncertainties or other factors materialize,
or should underlying assumptions prove incorrect, actual results may vary
materially from those described in forward-looking information. Although we have
attempted to identify factors that would cause actual results to differ
materially from those described in forward-looking information, there may be
other factors that cause actual results, performances, achievements or events to
not be as anticipated, estimated or intended. Also, many of the factors are
beyond our control. There can be no assurance that forward-looking information
will prove to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly you should not
place undue reliance on forward-looking information. Except as required by law,
we do not expect to update forward-looking information as conditions change and
you are referred to the full discussion of the Company's business contained in
the Company's reports filed with the securities regulatory authorities in
Canada.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Newstrike Capital Inc.
Richard Whittall
Director, President & CEO
604-605-4654
www.newstrikecapital.com
Blog site: http://newstrikecapital.com/blog

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