Elko, Nevada and Boise, Idaho — January 10, 2011 – Thunder Mountain Gold, Inc. (Company) (OTCBB: THMG; TSX-V: THM), a U.S.-based exploration company focused on discovering and defining high grade, high quality precious and base metal resources, released the final results of the 2010 drilling program at its South Mountain Project, Owyhee County, Idaho which includes the interception of high grade zinc and confirms the extension of the historic ore zones at the South Mountain Mine.
In addition to the five holes drilled into the new intrusive breccia target to the south of the historic mine area, two reverse circulation holes were drilled to test the down dip extensions of two of the nine historic carbonate-hosted polymetallic ore zones at the historic mine. The last hole, LO 7, which was placed to test the down-dip extension of the Laxey ore shoot, intercepted 25 feet (600-625 feet) of 8.56% zinc and 1.15 ounce per ton (opt) silver. This intercept proves the extension of the Laxey ore zone approximately 120 feet below the maximum depth mined during World War II when over 51,000 tons of sulfide ore were mined and direct shipped to the Anaconda Smelter in Utah. The grade of this ore mined over the 800 feet of shaft and stope mining was 15% zinc, 10 opt silver, 0.06 opt gold, 2.3% lead and 0.7% copper.
Drillhole LO 6 was placed to test the down dip extension of the historic DMEA 2 ore shoot. As previously reported, this hole proved the down dip extension of the sulfide mineralization to at least 415 feet below the Sonneman Level of the underground workings. This hole cut 30 feet (760-790 feet) of 3.55% zinc, 1.87 opt silver and 0.271% copper, and 15 feet of 0.06 opt gold internal to the 10 foot intercept.
“We have been particularly pleased with the portion of the 2010 drilling program that tested the extensions of the sulfide ore zones at South Mountain,” said Jim Collord, President and CEO of the Company. “The positive intercepts demonstrate that the high-grade mineralization continues and is open to depth. We are planning our detailed core drilling at South Mountain for 2011 to target the extensions of the historic high-grade polymetallic ore zones in order to expand our base and precious metal resource.”
The reverse circulation drilling was done under contract with EnviroTech Drilling of Winnemucca, Nevada. Samples were shipped directly to ALS-Chemex for sample preparation and assaying with insertion of appropriate standards and blanks. Assay results from the 2010 drill program at South Mountain will be used to update resource categories in the South Mountain NI 43-101 Technical Report.
Qualified Person — G. Peter Parsley, Professional Geologist, is the Qualified Person as defined by National Instrument 43-101 responsible for the technical data reported in this news release.
About Thunder Mountain Gold, Inc.:
Thunder Mountain Gold, founded in 1935, is an exploration company focused on discovering and defining quality, high grade precious and base metal projects, primarily in politically stable regions such as the Western United States. Thunder Mountain Gold performs its own natural resource exploration and generates value for shareholders by demonstrating the value of its properties through a comprehensive drilling program and then seeking strategic partners to move the properties into production. South Mountain, its flagship property located in Owyhee County, Idaho — just north of the Nevada border, is 100% owned/controlled with a mostly private land package of over 1,200 acres. The Company’s other precious metals properties include Clover Mountain in Idaho, the Trout Creek and West Tonopah in Nevada, along with two properties in Arizona.
Forward-Looking Statements: Statements made which are not historical facts, such as anticipated production, exploration results, costs or sales performance are “forward-looking statements”, and involve a number of risks and uncertainties that could cause actual results to differ materially from those projected, anticipated, expected or implied. These risks and uncertainties include, but are not limited to, metals prices volatility, volatility of metals production, exploration project uncertainties, industrial minerals market conditions and project development risks. Refer to the Company’s Periodic Filings for a more detailed discussion of factors that may impact expected future results. Thunder Mountain Gold undertakes no obligation to publicly update or revise any forward-looking statements.
Cautionary Note to Investors
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The United States Securities and Exchange Commission (“SEC”) permits mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce.
For further information, please contact:
Phone: (212) 554-5469
Thunder Mountain Gold Inc.
Eric Jones, C.F.O.
Phone: (208) 658-1037
Jim Collord, President and C.E.O.