| ||November 24, 2003|
Sampling Returns Bonanza Grade Gold
| ||Lund Gold Ltd. ("Lund"), is pleased to report results from the Phase I exploration program at its Aldebarán Property in Brazil. Lund and its joint venture partner, Goldmarca Ltd., have an exclusive option to jointly acquire up to a 100% interest in the Aldebarán Property, a newly discovered 10,000 hectare epithermal gold exploration project which is yet to be drill tested.|
The Phase I program was comprised of hand-trenching, prospecting, rock sampling, geologic mapping, mobile metal ion ("MMI") geochemical sampling and induced polarization ("IP") geophysical surveying.
A total of 115 rock, saprolite and laterite samples were collected from limited exposures at various target areas within the previously identified 30 square kilometre gold-in-soil geochemical anomaly. Of that total, 41 samples returned greater than 300 ppb gold, 21 returned greater than 500 ppb gold and 13 returned results in excess of 1,000 ppb ( 1 g/t) gold. The most significant results were obtained from rock and saprolite exposed in a series of shallow trenches at North Baixao Creek within silica, sericite and clay altered felsic volcanics displaying quartz veinlets along multiple orientations. This sampling area is centrally located within the minimum six kilometre long alteration zone within the gold-in-soil geochemical anomaly. One trench returned a weighted average of 2.36 g/t gold from five samples across 5.2 metres. A composite chip sample from an adjacent trench returned a value of 114.2 g/t gold over 1.0 metre. Samples near the 114.2 g/t gold result returned values ranging from 270 ppb gold to 7.2 g/t gold suggesting the preferred structural vein orientation and confirming Bonanza grade results are possible within this target zone. Additional trenching and sampling will be carried out on this area during the Phase II exploration program.
All fieldwork was carried out under the supervision of Lund's field staff and all assaying was carried out by Lakefield Geosol in Belo Horizonte, Brazil. All results in excess of 1,000 ppb gold will be reassayed and sent for check analysis. The foregoing results have been verified by Douglas Turnbull, P.Geo.
Lund's IP geophysical survey was comprised of eight lines with 400-metre separation totaling 22.5 kilometres. Preliminary results from this survey indicate the presence of three distinct geophysical anomalies. These anomalies display differing geophysical characteristics and occur within different areas of the surveyed area. The three anomalies will be priority drill targets and will be further refined by additional IP geophysical surveying with in-fill lines, line extensions and greater depth evaluation during the Phase II exploration program.
Results from the MMI sampling program are still pending and are expected in early December.
Once available, these results will be compiled with all previous data to finalize priority drilling targets in the Phase II exploration program.
Lund is also pleased to report that it has, subject to regulatory approval, arranged a non-brokered private placement of 1,000,000 units at a price of $0.65 per unit to fund Lund's next phase of work on the Aldebarán Property. Each unit will consist of one share and one half share purchase warrant, every full warrant entitling the purchase of one additional share of Lund for a period of two years at a price of $0.75 during the first year and thereafter at a price of $1.00 per share. Lund has agreed to pay Canaccord Capital Corp. ("Canaccord") a finder's fee of 9% and issue Canaccord a broker's warrant entitling the purchase for a period of two years of up to 25% of the number of units placed by it at a price of $0.75 during the first year and thereafter at a price of $1.00 per share. Lund has also agreed to pay a finder's fee of 10%, payable in cash or in securities of Lund, in respect of the balance of the placement.
For more information, please call Jeff Sundar at 877-694-1900 or David Scott at 604-331-8772.
On behalf of the Board of Directors of
LUND GOLD LTD.
Chet Idziszek, President
NO STOCK EXCHANGE HAS APPROVED OR DISAPPROVED THE INFORMATION CONTAINED HEREIN
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