NSGold Purchases 299 Claims in Pictou County, Nova Scotia

NSGold Corporation (NSX : TSX-V) reported that it has acquired, through staking, 299 claims totalling 4,838 hectares in Pictou County, Nova Scotia. These claims are in two blocks; one block of 257 contiguous claims (3,996.6 Ha) in 3 licenses and one block remote from the others of 52 claims (841.4 Ha) in one license. These claims are located 110 km North East of Halifax, NS and 30 km East of New Glasgow, NS. 

The area staked covers the surface exposure of a Peralkaline Syenite, a coarse-grained intrusive igneous rock of the same general composition as granite.  This is a rock type that has been found to contain commercially viable Rare Earth Elements (REE) deposits and has become a primary focus for exploration for these minerals.  Geologically this formation lies along the major Cobequid - Chedabucto fault system and intrudes into a complex of sedimentary volcanic and gabbroic rocks.  Based on past limited wide spread grab sampling the formation has been found to contain anomalous values of REE.

Additionally, NSGold will be targeting known occurrences of IOCG (Iron Ore Copper Gold) mineralization on the property. These targets are consistent with the commodity mix outlined in NSGold's business plan.

Management reaffirms that its main commitment is to explore and develop the Mooseland gold property. Consideration will be given to putting non-core assets into separate subsidiary companies for financing and development purposes with the intention to spin those off in the future.

We strongly believe that together, the REE and IOCG targets present the company with attractive exploration opportunities.

Mooseland Update

To date, a total of three diamond drill holes have been completed on the East Zone of the Mooseland Project as part of our Phase I Program. Samples for the first 5 holes drilled in the West Zone have been shipped to Laboratoire Expert in Rouyn-Noranda, Quebec for assay and results are pending.  A total of 13 drill holes were completed in the West Zone (see NSGold news release dated October 21, 2010).

The information provided in this press release has been reviewed and approved by Qualified Person, Perry MacKinnon, P. Geo.

Source:

NSGOLD CORPORATION

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