May 17, 2012
Geomark Acquires Gold Exploration Property in Utah
Geomark Exploration Ltd. (TSX – GME) is pleased to announce that it has concluded a deal to
acquire a 100% interest in the Kings Canyon gold property in the southwest corner of Utah. The
transaction is a two part deal as follows:
a) Geomark assumes the existing Joint Venture (the “Crown JV”) with Crown Resources
Ltd. (“Crown”) (an indirect subsidiary of Kinross Gold Corporation) on a claim block hosting a
200,000 oz. gold historical (non-NI43-101) mineral resource**. Under the Crown JV, Geomark
has an all or nothing option to acquire a 100% interest in the lands (and the historical resource)
by paying Crown US $1million prior to December 6, 2013. The property carries two Net Smelter
Royalties (“NSR’s”) totaling 5%.
b) Geomark purchases a 100% interest in claims surrounding the Crown JV lands from
Invenio Resources Corp. and Palladon Ventures Ltd. for CDN $325,000. NSR’s on these claims
range from 2 to 5%.
Geomark intends to begin drilling on the properties as soon as possible. The goal is to develop
a critical mass of near surface, low grade gold mineralization of sufficient size to justify a low
cost heap leaching operation. Several zones of gold mineralization, outside of the existing
resource, have been identified on the claim block. The property has good exploration potential.
For additional information regarding Geomark, please contact George Fink, Chairman of the
Board and CEO; Mark Balog, President and COO; or Kirsten Lankester, Manager – Investor
Relations at 403-262-1400 or via the website www.geomark.ca.
** The reader is cautioned that the above referenced “Historical Mineral Resource” is considered
historical in nature and is based on prior data and reports (Crown Resources 10-K Report December
901, 1015-4th Street S.W., Calgary, Alberta T2R 1J4 Tel (403) 262-1400 Fax (403) 232-1421 www.geomark.ca
2002) prepared by previous property owners prior to the existence of National Instrument 43-101. The
historical resource is based on parameters of 6,800,000 tons at a grade of 0.03 oz/ton gold (1.02 g/t
gold) for 204,000 ounces gold, using a cut-off of 0.013 oz/ton (0.44 g/t) gold. The work necessary to
verify the reliability and classification of this mineral resources estimate has not been completed by
Geomark and we confirm that the Historical Mineral Resource estimate therefore cannot be treated as
NI43-101 compliant resources verified by a Qualified Person. Geomark is not treating the historical
resource estimate as a current mineral resource or reserve. The historical estimate should not be relied
upon and there can be no assurance that any of the historical resources, in whole or in part, will ever
become economically viable. Geomark will determine what future steps will be required to upgrade the
historical resource estimate to an NI43-101 compliant mineral resource.
Doug Dumka, P.Geo. is the Exploration Manager for Geomark Exploration Ltd. and is the designated
Qualified Person (Q.P.) for the Kings Canyon Project.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of