Corvus Drills 72.4 m @ 1.74 g/t gold & 98.7 g/t silver at Yellow Jacket

Vancouver, B.C. – July 24, 2012 – Corvus Gold Inc. (“Corvus” or the “Company”) – (TSX: KOR, OTCQX: CORVF) is pleased to release the final results from the 2012 phase 1 core drilling program that ended June 2012 at the North Bullfrog Project, Nevada. Final assays from hole NB-12-138 in the Yellow Jacket target area defined a thick mineralized zone around the previously discovered high grade vein (NR12-14, May 23, 2012) that has now expanded the overall intercept to 72.4 metres @ 1.74 g/t gold and 98.7 g/t silver or a gold equivalent* grade of 3.53 g/t (0.114 opt gold equivalent* over 237 feet), beginning at about 40 metres vertically below surface (Table 1).

* Gold equivalent grade calculated using a 55 to 1, silver to gold ratio

Yellow Jacket Results

At the Yellow Jacket target the complete results from hole NB-12-138 has now outlined a thick, near-surface zone of high-grade mineralization which could expand the Sierra Blanca open pit deposit north in this direction (Figure 1).  Hole NB-12-139 at the Yellow Jacket target, 60 metres north of NB-12-138 drilled through a fault into the distal footwall zone of the high-grade vein target intersected in hole NB-12-138 and intersected a high-grade quartz veining with 5.14 g/t gold over 1.5 metres. It also encountered extensive explosive hydrothermal zones indicating the target boiling zone lies below this elevation. These new intersections have opened up potential for defining a new, higher grade, bulk tonnage zone of mineralization to the North of the currently defined deposits.  In August, a 3D induced polarization (IP) survey will be carried out over Yellow Jacket to evaluate the depth and continuity of this new high-grade discovery.  Phase 2 drilling of the Yellow Jacket target is scheduled for Q4 2012, subject to drill permit issuance.

Mayflower Deposit

Additionally, results from large diameter core drilling at the Mayflower Deposit has validated and enhanced earlier reverse circular (RC) drilling results.  This drilling also intersected a massive quartz-adularia vein (Figure 2) which returned high-grade gold within a broader lower grade interval (54.4 metres @ 0.81 g/t gold including 1.1 metres @ 6.85 g/t gold).  This intersection and the general higher grade nature of the core drilling over RC drilling results (Table 1) suggests higher-grade mineralization may be underrepresented in the Mayflower resource estimate where the current indicated resource averages 0.38 g/t gold (Technical Report and Preliminary Economic Assessment for the North Bullfrog Project, Bullfrog Mining District, Nye County, Nevada, February 28, 2012).  The current phase 2 Mayflower infill drilling program will determine the extent of the higher-grade mineralization and result in an updated resource summary and preliminary economic assessment (PEA) in Q4 of this year.

Table 1

Significant Intercepts* from Phase 1 2012 Mayflower and Yellow Jacket Programs
Mayflower results are true width but true width cannot be determined yet at Yellow Jacket due to lack of drilling

HoleID
From (m)
To (m)
Interval (m)
Gold (g/t)
Silver (g/t)
Hole Location

NB-12-137
107.7
122.1
14.4
0.41
0.69
127.9
139.1
11.2
0.55
1.17
163.7
253.9
90.2
0.24
0.78
(footwall zone)
including
169.0
192.3
23.4
0.36
1.28
including
218.9
236.3
17.4
0.29
0.70
261.8
296.9
35.1
0.27
1.74

NB-12-138
59.6
132.0
72.4
1.74
98.7
including
89.4
93.7
4.3
20.0
1519
Yellow Jacket
including
91.7
93.7
2.1
33.0
2870
including
107.8
109.9
2.1
5.38
152.5
179.2
218.9
39.6
0.22
1.19
228.0
267.6
39.6
0.18
0.66

NB-12-139
84.7
122.8
38.1
0.23
1.50
135.7
180.9
45.2
0.41
1.23
(footwall Zone)
including
154.8
159.4
4.6
2.08
0.92
including
157.9
159.4
1.5
5.14
0.99

NB-12-140
34.4
135.0
100.6
0.37
0.49
including
74.1
103.0
28.9
0.76
0.51

NB-12-141
83.1
137.5
54.4
0.81
0.67
Mayflower
including
115.8
116.9
1.1
6.85
1.91

NB-12-142
39.9
95.3
55.3
0.30
0.54

NB-12-143
81.1
92.7
11.6
1.18
0.86

*Intercepts calculated with 0.1 g/t cutoff and up to 2.0 m of internal waste.

 

Jeff Pontius, Corvus Gold CEO states:  “This round of core drilling has opened the door to expanding the Yellow Jacket high-grade system as well as defining a new high-grade target in the Mayflower area 4 kilometres to the south.  This ongoing exploration success coupled with our near-term mine development project and ongoing partner funded exploration in Alaska bodes well for adding significant shareholder value in the near future.”

The current North Bullfrog mine development program is focussing on infill drilling, advanced metallurgical work and environmental baseline characterization studies in conjunction with a completion of a feasibility study by early 2013 on the Mayflower deposit. The recently completed financing has now provided the Company with the financial resources needed to rapidly advance the mine development assessment of the North Bullfrog area as well as continued exploration of this major new high-grade Nevada gold discovery.

Figure 1: North Bullfrog Project area showing the location of drill holes reported in this release and mine pits outlined in the Preliminary Economic Assessment (NR 12-07, Feb. 28, 2012)

Figure 2: Brecciated banded quartz adularia vein from NB-12-141, @ 116 meters. The banded texture of the pink adularia is commonly associated with high-grade mineralization in Bullfrog type gold systems.

About the North Bullfrog Project, Nevada

Corvus controls 100% of its North Bullfrog Project, which covers approximately 43 km² in southern Nevada just north of the historic Bullfrog gold mine formerly operated by Barrick Gold.  The property package is made up of a number of leased patented federal mining claims and 461 federal unpatented mining claims.  The project has excellent infrastructure, being adjacent to a major highway and power corridor.  The Company and its independent consultants completed a robust positive Preliminary Economic Assessment on the existing resource in February 2012.

The project currently includes numerous prospective gold targets with four (Mayflower, Sierra Blanca, Jolly Jane and Connection) containing an NI 43-101 compliant estimated Indicated Resource of 15 Mt at an average grade of 0.37 g/t gold for 182,577 ounces of gold and an Inferred Resource of 156 Mt at 0.28 g/t gold for 1,410,096 ounces of gold (both at a 0.2 g/t cutoff), with appreciable silver credits.  Mineralization occurs in two primary forms: (1) broad stratabound bulk-tonnage gold zones such as the Sierra Blanca and Jolly Jane systems; and (2) moderately thick zones of high-grade gold and silver mineralization hosted in structural feeder zones with breccias and quartz-sulphide vein stockworks such as the Mayflower and Yellowjacket targets.  The Company is actively pursuing both types of mineralization.

A video of the North Bullfrog project showing location, infrastructure access and 2010 winter drilling is available on the Company’s website at http://www.corvusgold.com/investors/video/.

Qualified Person and Quality Control/Quality Assurance

Jeffrey A. Pontius (CPG 11044), a qualified person as defined by National Instrument 43-101, has supervised the preparation of the scientific and technical information (other than the resource estimate) that form the basis for this news release and has approved the disclosure herein.  Mr. Pontius is not independent of Corvus, as he is the CEO and holds common shares and incentive stock options.

Mr. Gary Giroux, M.Sc., P. Eng (B.C.), a consulting geological engineer employed by Giroux Consultants Ltd., has acted as the Qualified Person, as defined in NI 43-101, for the Giroux Consultants Ltd. mineral resource estimate.  He has over 30 years of experience in all stages of mineral exploration, development and production.  Mr. Giroux specializes in computer applications in ore reserve estimation, and has consulted both nationally and internationally in this field.  He has authored many papers on geostatistics and ore reserve estimation and has practiced as a Geological Engineer since 1970 and provided geostatistical services to the industry since 1976.  Both Mr. Giroux and Giroux Consultants Ltd. are independent of the Company under NI 43-101.

The work program at North Bullfrog was designed and supervised by Russell Myers (CPG 11433), President of Corvus, and Mark Reischman, Corvus Nevada Exploration Manager, who are responsible for all aspects of the work, including the quality control/quality assurance program.  On-site personnel at the project log and track all samples prior to sealing and shipping. Quality control is monitored by the insertion of blind certified standard reference materials and blanks into each sample shipment. All resource sample shipments are sealed and shipped to ALS Chemex in Reno, Nevada, for preparation and then on to ALS Chemex in Reno, Nevada, or Vancouver, B.C., for assaying.  ALS Chemex’s quality system complies with the requirements for the International Standards ISO 9001:2000 and ISO 17025:1999.  Analytical accuracy and precision are monitored by the analysis of reagent blanks, reference material and replicate samples. Finally, representative blind duplicate samples are forwarded to ALS Chemex and an ISO compliant third party laboratory for additional quality control. McClelland Laboratories Inc. prepared composites from duplicated RC sample splits collected during drilling. Bulk samples were sealed on site and delivered to McClelland Laboratories Inc. by ALS Chemex or Corvus personnel. All metallurgical testing reported here was conducted or managed by McClelland Laboratories Inc.

About Corvus Gold Inc.

Corvus Gold Inc. is a resource exploration company, focused in Nevada, Alaska and Quebec, which controls a number of exploration projects representing a spectrum of early-stage to advanced gold projects.  Corvus is focused on advancing its 100% owned North Bullfrog, Nevada project towards a production decision while continuing to explore for major new gold discoveries. Corvus is committed to building shareholder value through advancing new gold discoveries to production while leveraging noncore assets via partner funded exploration work into a portfolio of royalty and carried interests in its projects.

On behalf of
Corvus Gold Inc.

(signed) Jeffrey A. Pontius
Jeffrey A. Pontius,
Chairman and Chief Executive Officer

Contact Information:   Ryan Ko
Investor Relations
Email: info@corvusgold.com
Phone: 1-888-770-7488 (toll free) or (604) 638-3246 / Fax: (604) 408-7499