Threegold Resources Inc.: Second Phase of Diamond Drilling at Mercier Rare Earth Element (REE) Discovery (2010-02-02)

VAL-D'OR, QUEBEC, CANADA, Feb. 2, 2010 (Marketwire) -- Threegold Resources Inc. (TSX VENTURE:THG) is pleased to announce that a second phase of drilling has commenced on its 100% owned Mercier Project. The goal of the 3,000-metre diamond drilling program is to further develop rare earth element (REE) mineralization discovered by the company in 2008.

The Mercier Project is located some 175 km from the town of Val-d'Or, Quebec, and consists of 61 designated cells covering an area of 3,865 hectares. The property covers a bi-lobate alkaline intrusive complex consisting of alkaline syenite to ultramafic rocks with intercalated carbonatite facies in the western portion of the southern lobe.

REE mineralization at Mercier was first discovered by Threegold following the company's 2008 diamond drilling program. Considerable widths, up to 50 metres in core length, returned high-grade REE values (see assays in Table 1). Electron microprobe work identified the fluorocarbonate minerals bastnaesite, parisite and synchisite as the main REE-bearing phases. Along with monazite, these represent the most common REE minerals commercially produced worldwide.

Table 1 - Highlights of rare earth element results for the Mercier project

---------------------------------------------------------------------
TREO
Hole #               From         To      Width(i)  + Y2O3(ii)  LREO
---------------------------------------------------------------------
                      (m)        (m)        (m)      (ppm)      (ppm)
---------------------------------------------------------------------
MER08-04           112.42     113.87       1.45       9804       9546
---------------------------------------------------------------------
                   118.01     118.37       0.36      15447      14722
---------------------------------------------------------------------
                   144.25     144.60       0.35      21833      21336
---------------------------------------------------------------------
                   214.48     215.75       1.27       2317       2199
---------------------------------------------------------------------
                   327.50     329.00       1.50       2389       2267
---------------------------------------------------------------------
                   331.00     334.32       3.32      13032      12594
---------------------------------------------------------------------
including          331.93     332.74       0.81      30512      29906
---------------------------------------------------------------------
                   339.23     340.23       1.00       8009       7815
---------------------------------------------------------------------
MER08-07           196.00     209.00      13.00       1592       1432
---------------------------------------------------------------------
                   246.75     247.49       0.74       2884       2610
---------------------------------------------------------------------
MER08-08           121.80     150.91      29.11       1624       1400
---------------------------------------------------------------------
                   156.61     162.00       5.39       2169       1856
---------------------------------------------------------------------
                   172.09     175.28       3.19       1207       1051
---------------------------------------------------------------------
                   178.22     195.00      16.78       1787       1572
---------------------------------------------------------------------
                   205.00     237.00      32.00       2158       1940
---------------------------------------------------------------------
MER08-10           362.00     375.00      13.00       1446       1288
---------------------------------------------------------------------
                   385.00     432.29      47.29       2127       1897
---------------------------------------------------------------------
MER08-13            94.76     108.00      13.24       2071       1896
---------------------------------------------------------------------
                   110.43     117.00       6.57       2953       2762
---------------------------------------------------------------------
                   119.00     133.29      14.29       2253       2072
---------------------------------------------------------------------
                   147.00     197.00      50.00       2684       2435
---------------------------------------------------------------------

----------------------------------------------------------
                HREO    HREO    HREO+Y2O3/
Hole #        + Y2O3    LREO    + Y2O3    LREO
----------------------------------------------------------
               (ppm)     (%)     (%)      (%)
----------------------------------------------------------
MER08-04        222     0.95     0.02     2.27
----------------------------------------------------------
                579     1.47     0.06     3.75
----------------------------------------------------------
                422     2.13     0.04     1.93
----------------------------------------------------------
                 93     0.22     0.01     4.02
----------------------------------------------------------
                 95     0.23     0.01     3.99
----------------------------------------------------------
                349     1.26     0.03     2.68
----------------------------------------------------------
including       538     2.99     0.05     1.76
----------------------------------------------------------
                165     0.78     0.02     2.06
----------------------------------------------------------
MER08-07        124     0.14     0.01     7.82
----------------------------------------------------------
                221     0.26     0.02     7.66
----------------------------------------------------------
MER08-08        176     0.14     0.02    10.83
----------------------------------------------------------
                244     0.19     0.02    11.24
----------------------------------------------------------
                121     0.11     0.01    10.04
----------------------------------------------------------
                173     0.16     0.02     9.69
----------------------------------------------------------
                172     0.19     0.02     7.96
----------------------------------------------------------
MER08-10        124     0.13     0.01     8.55
----------------------------------------------------------
                180     0.19     0.02     8.44
----------------------------------------------------------
MER08-13        144     0.19     0.01     6.97
----------------------------------------------------------
                164     0.28     0.02     5.56
----------------------------------------------------------
                151     0.21     0.02     6.70
----------------------------------------------------------
                197     0.24     0.02     7.35
----------------------------------------------------------

(i)drill intercept length

(ii)TREO= total rare earth oxides; LREO/HREO= light/heavy rare earth
oxides; Y2O3= yttrium oxide

The current program will test the lateral and vertical extensions of the above intersections to determine the positions of higher grade zones within specific units. Other drill targets include REE anomalies outlined by an earlier MMI geochemical survey and associated with crosscutting structures based on magnetometric survey results. These features may represent late features in the system and are thus considered the most significant targets at Mercier.

The 3,000-metre program will comprise approximately 20 NQ-sized diamond drill holes distributed over an area 6 kilometres long by 2 to 3 kilometres wide. Drilling is expected to continue until the end of February.

Prospectors and Developers Association of Canada International Convention

Core from the Mercier Project will be displayed during the upcoming Prospectors and Developers Association of Canada (PDAC) International Convention to be held at the Toronto Metro Convention Centre South Building on March 7-8. Threegold's exhibit will be at Booth 5022 in the Core Shack section on the 700 level.

 

---

ABOUT THREEGOLD

 

Threegold Resources is a dynamic and active Quebec-based junior explorer with a diversified property portfolio. Threegold is pursuing exploration on three main projects in Quebec: Lemieux Dome in the Gaspe Peninsula for copper, zinc, lead, silver and gold; Mercier in the Abitibi region where the company recently made a rare earth element discovery containing base and rare metals (see press release of August 6, 2009); and Adanac, a gold property located a few kilometres from downtown Rouyn-Noranda.

You can also visit our website: threegold.ca

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.