ATAC Resources Ltd

A new, cottage-like setting for its camp and excellent diamond drill results combined to make life at ATAC Resources’ site in the Keno Hill Mining District very enjoyable in 2010.

Working primarily in the Tiger Zone of its 100%-owned Rau Gold Project, diamond drilling of 132 holes totalling 25,623 m produced assays that included 58.92 m grading 8.70 grams gold/tonne, including 18.29 m of 25.77 g/t and 11.64 m of 38.45 g/t.

The Rau Gold Project consists of about 1,400 sq km, of which a 185-km long belt has been staked and a 15-km ridge system, called the Rau Trend, where more than a dozen gold and/or silver exploration targets have been identified.

The Tiger Zone is a thick northwesterly trending body of near-surface carbonate replacement-style gold mineralization that is hosted by a moderately northeast dipping dolomitized limestone unit. It is 800 m long, 100 to 200 m wide and up to 96 m thick.

In late July 2010, a new discovery of gold mineralization was made at the east end of the project area while following up on anomalous arsenic values documented in the Yukon Geological Survey stream sediment geochemical data base.

Prospecting and soil geochemical sampling by ATAC has outlined six areas of gold mineralization in bedrock and talus within a 2 km by 3 km area at the east end of a 25-km long belt of anomalous arsenic geochemistry termed the Nadaleen Trend.

Assays of mineralized limestone samples range from less than 1 g/t gold to 66.6g/t gold. Mineralization is hosted by two relatively thick limestone debris flow and slump deposits within basinal silty mudstone, adjacent to a regional fault zone. It is distinguished by highly variable amounts of the arsenic sulphide minerals orpiment and realgar, along with lesser sooty, fine-grained pyrite.

Diamond drilling also took place in other locations within the Rau Gold Project. Nine holes totalling 1898 m were drilled to test the Osiris, Isis, Conrad and Eaton showings.

Concluding along the lines of the excellent results mentioned at the outset, assays from part of hole OS-10-01 at the west edge of the Osiris showed and intersected 9.26 g/t gold over 31.13 m within a larger interval that averaged 4.65 g/t gold over 65.20 m.

ATAC Resources’ Rau Gold Project is a relatively new undertaking, but by all indications it is one of the more promising Yukon properties to be targeted in quite some time, and its owners are confident that continued exploration and drilling will result in another major Yukon gold discovery.