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Melkior Resources Updates on Carscallen Gold Project in Ontario

Melkior Resources Inc. (TSX VENTURE:MKR) has provided an update for its Carscallen Gold Project, located within the West Timmins camp in northern Ontario.

The Carscallen Gold Project shares approximately nine kilometres of common boundary with Lake Shore Gold Corp. and is 5 kilometres west of Lake Shore's Timmins mine. Drilling will resume February 16th, 2011.

Since 2007, Melkior Resources has drilled 134 holes for a total of 24,044 metres on the Carscallen Gold property. The majority of the holes were concentrated along the ZamZam-Jowsey-Shenkman gold system. Analysis of the data has revealed a favourable geologic context at the intersection of two gold mineralized zones at depth near the contact between a granite and a mafic volcanic rock.

The second phase of drilling in 2010 was designed to test this favourable geology. The objective was successfully achieved with results of 13.5 m @ 2.64 g/t Au; 12.4 m @ 3.19 g/t Au; 14.3 m @ 0.79 g/t Au; and 13.3 m @ 4.84 g/t Au (Press releases December 20th 2010 and Jan 11 2011). The next phase of drilling, commencing in February, will involve systematically drilling holes at approximately 25 m intervals based on the geologic model. These holes will provide more closely spaced data to enable a future resource calculation.

The target selection is based on a compilation of 2007 to 2010 drilling. At depth, the ZamZam zone (oriented northwest and dipping ~70° to the northeast) intersects a second mineralized zone (the Jowsey zone; oriented north – south with a vertical dip) between 200 m and 250 m vertical depth.

A third gold mineralized zone, the Shenkman zone is a 5 to 14 m wide zone including mafic xenoliths and/or massive to semi-massive pyrite xenoliths and/or veins, collectively grading between 1 and 5 g/t Au. The mafic xenoliths have been intersected in three different holes (spaced over a 100 m strike length) and could represent a significant continuous mineralized zone. The potential also exists in finding the source rock for these semi-massive to massive sulphide xenoliths. Typically, massive sulphides are located along a plane of weakness, such as the mafic volcanic and granite boundary. This contact zone represents the most prospective location to find such massive sulphides, which could have been emplaced during the granite intrusion. Exploration holes will be drilled several hundred of metres west of the zone where the xenoliths occur in an attempt to find the potential source rock for these gold-bearing xenoliths.

Conclusion:

A drill program is planned, starting mid-February with three main objectives:

1) Geology targets at 200 – 250 m vertical depth;

2) Exploration holes to find source of the massive sulphide xenoliths;

3) Holes based on deeper targets defined by the updated downhole IP data once data is received.

This Press Release was prepared by Dr. Eric Hebert, P.Geo of Geovector Management Inc, and a Qualified Person under National Instrument 43-101.

Source:

Melkior Resources Inc.

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