High Desert Gold Corporation Expands Area of Gold Mineralization at the Canasta Dorada Property in Sonora, Mexico: Financial News

High Desert Gold Corporation Expands Area of Gold Mineralization at the Canasta Dorada Property in Sonora, Mexico
Wednesday March 12, 2008 12:41 pm ET

VANCOUVER, BRITISH COLUMBIA--(MARKET WIRE)--Mar 12, 2008 -- High Desert Gold Corporation (Toronto:HDG.TO - News)(Toronto:HDG-WT.TO - News) ("HDG" or the "Company") is pleased to announce that it has completed 21 diamond drill holes on the Canasta Dorada project and is reporting the gold results from an additional eight diamond drill holes. A total of 16 diamond drill holes have now been reported from Canasta Dorada and the Company is now drilling hole number 22.

Drilling has now delineated an open ended block of approximately 350 by 150 metres in the "Big Pit" area. The average of the grade and thickness of the holes in this block reported to date is:

 

-------------------------------------------------------------------
                       Average Width             Average Gold (g/t)
                             (metres)
-------------------------------------------------------------------
Big Pit                         15.7                         0.614
 Mineralization
-------------------------------------------------------------------
Includes Drill           CD-07-001,2,6,7,8,10,11,12,13,14
 Holes           The average width in these holes varies from 8-31
                  m and the average grade from 0.2 to 2.1 gpt gold
-------------------------------------------------------------------

The mineralization is thickening to the southwest as seen in holes 8 and 10, shown below:

 

---------------------------------------------------
                           Length
                          (metres)       Gold (g/t)
---------------------------------------------------
DDH CD-07-010                  31            0.399
---------------------------------------------------
 including                     14            0.656
---------------------------------------------------
DDH CD-07-008(ii)              27            0.552
---------------------------------------------------
 including                      8            1.057
---------------------------------------------------
(ii)previously reported

Ralph Fitch, President of the Company stated "These results are very positive for the project. All drill holes within the system have included encouraging gold intercepts and we now have evidence, through the soil anomaly and diamond drilling, that gold related to the flat structural zone occurs over an area of at least one square kilometre."

Future drilling will continue to expand this zone of mineralization related to the flat-lying structural zone, particularly to the south and southwest.

Approximately one kilometre to the southeast of the "Big Pit" area, drill hole CD-07-016, located in the "Placer Area" target has intersected the same flat-lying structural zone and exhibits stronger alteration over greater thicknesses. This hole is located on the eastern edge of the very strong 800 metre by 800 metre gold anomaly in the soil that was previously reported (see HDG PR 08-01, January 18, 2008). The Company has only received results from the first 35 metres of the hole which includes 24 metres of 0.22 gpt gold including one metre that assays 1.4 gpt gold. The remainder of this intercept will be reported when received.

The Company plans to complete this round of diamond drilling at approximately hole 30 and then switch to reverse circulation ("RC") drilling in early May dependent on the availability of RC drill rigs.

 

Canasta Dorada Drill Results:

                               To      Length        Average
                 From (m)      (m)         (m)      Gold g/t

CD007-001(i)           0       17          17          0.473
              including
                       0       14          14          0.541

CD007-002(i)           0       13          13          0.213
              including
                       0        3           3          0.298
                    and
                       7       12           5          0.318

CD007-003(i)           8       19          11          0.152
              including
                       8       14           6          0.224

CD007-004(i)          18       41          23          0.035

CD007-005              0        9           9          0.181

CD007-006(i)           6       14           8          2.128
              including
                      10       11           1         13.750

CD007-007              6       22          16          0.237

CD007-008(i)          11       38          27          0.552
              including
                      21       37          16          0.765
              including
                      21       29           8          1.057

CD007-009             45       50           5          0.128

CD007-010             12       43          31          0.399
              including
                      18       39          21          0.542
              including
                      18       32          14          0.656

CD007-011              0        9           9          0.813
              including
                       6        8           2          2.725

CD007-012(i)           0        8           8          0.652
              including
                       0        2           2          1.570

CD007-013            2.3       20        17.7          0.449
              including
                      14       19           5          0.737

CD007-014(i)           0       10          10          1.686
              including
                     1.5        8         6.5          2.399

CD007-015      less than 20ppb in first 24 metres

CD007-016             10       34          24          0.222
              including
                      10       17           7          0.318
                    and
                      32       34           2          1.001
(i) previously reported

The Company is a mineral exploration company that acquires and explores mineral properties, primarily gold, copper and silver, in North America. The three major properties held by HDG are the flagship Canasta Dorada gold property in Sonora, Mexico, the Gold Lake porphyry copper-gold-molybdenum property in New Mexico and the Monitor copper-silver property in Arizona.

Assays at Canasta Dorada were performed by International Plasma Laboratories, an ISO 9001:2000 Certified laboratory. Gold is being analyzed by the G313 method that includes fire assay of a 30 g sample with an AA finish.

The Qualified Person on the Canasta Dorada project is George Klemmick, Exploration Manager and a certified professional geologist. He has reviewed the content of this press release.

Please see High Desert Gold Corporation's website, www.highdesertgoldcorp.com, for maps and drill hole locations.

Certain statements contained herein constitute "forward-looking statements". Forward-looking statements look into the future and provide an opinion as to the effect of certain events and trends on the business. Forward-looking statements may include words such as "plans," "intends," "anticipates," "should," "estimates," "expects," "believes," "indicates," "targeting," "suggests," "potential," "interpretation" and similar expressions. Information concerning the interpretation of drill results also may be considered forward-looking statements, as such information constitutes a prediction of what mineralization might be found to be present if and when a project is actually developed. These forward-looking statements are based on current expectations and entail various risks and uncertainties. Actual results may materially differ from expectations, if known and unknown risks or uncertainties affect our business, or if our estimates or assumptions prove inaccurate. Except as required by law, HDG assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason.