MONTREAL, QUEBEC--(Marketwire - April 3, 2012) - NEVADO RESOURCES CORPORATION (TSX VENTURE:VDO)(FRANKFURT:NSV) (the "Company" or "NEVADO") is pleased to announce the results from the first phase of prospection at its properties near Fermont, which consist of 928 claims covering over 47,000 hectares strategically located in the southern Labrador Trough, in northeastern Quebec, Canada. The claims comprise three major blocks contiguous to, or proximal to iron producers ArcelorMittal Mines and Cliffs Natural Resources, as well as Champion Minerals' Fire Lake North project.
During the fall of 2011, the Company carried out an airborne high-resolution magnetic survey concurrent with a helicopter-supported prospecting reconnaissance program over an area of 80 x 100 km covering its Fire Lake North, Fire Lake South and Fermont claim blocks. The program's objective was to identify zones where the magnetic signature would indicate the likely presence of iron-rich areas favourable to DSO-type mineralization (Direct Shipping Ore).
The best results were obtained from the Fire Lake North block, more precisely the Mont-Merry area, where high concentrations of strong magnetic anomalies that correspond to a tightly-folded iron formation continuous with magnetic lows suspected to be caused by the demagnetization of the iron formation occur. The apparent thickness of the iron formation is greater in some folds, and could be as much as 100 meters thick.
The Mont-Merry iron formation is a mineralized body that forms a kilometer-scale, SW-oriented "U-shaped" hematite-dominant horizon that is tightly folded (isoclinal) and 75-100 meters thick locally. It is composed predominantly of hematite in the lower portion, albeit some magnetite occurs in the upper portion. The west side of the "U" appears to be a 50-meter monoclinal iron formation assemblage that dips 15-20° toward the west and strikes north-south. Assay results from iron formation grab samples revealed 20-49% iron oxide content (15% magnetite), with negligible undesirable elements (manganese, titanium and phosphate).
Within a 5-km radius of Mont-Merry are the Lac Crocodile, Lac Pack, and Lac Chaleur anomalies, where cliffs of iron formation were encountered but topography and snow made access difficult for prospecting. These zones, however, share many geophysical similarities with Mont-Merry and, by reason of their close proximity, could strategically enhance the economic potential of the area. The lone assay result from an angular hematite-rich iron formation boulder from the area returned over 40% iron oxides (5% magnetite), and negligible quantities of Mn, Ti and P.
Michael Curtis, NEVADO's President and CEO, stated that: "This first phase of our program was a real success as it allowed us to confirm the strong iron potential of our properties and identify multiple targets worth exploring. Winter weather conditions however prevented our exploration crew from assessing the potential of all our properties, including the Lac Witch and Lac Carheil sectors in the Fermont claim block. The Company plans to assess these properties this summer, along with a more thorough investigation of the Mont-Merry, Lac Crocodile, Lac Pack and Lac Chaleur sectors in the Fire Lake North block. We believe that these properties constitute a highly prospective addition to our flagship La Blache project."
About Nevado Resources Corporation
NEVADO is a Canadian junior resource company trading under the symbols VDO on the TSX Venture Exchange and NSV on the Frankfurt Stock Exchange. NEVADO owns 2,318 mineral claims or an equivalent of 1,227 km2 in the Baie-Comeau, Fermont and Eastern Townships regions of Quebec. The Company is currently focused on advancing the La Blache Iron-Titanium-Vanadium Project in the Baie-Comeau region towards National Instrument 43-101 mineral resources and development.
Martin Lévesque, P. Geo., a consultant for NEVADO and a qualified person under NI 43-101, has reviewed the technical content of this press release.
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