Solitario Exploration & Royalty Corp. (“Solitario”) (NYSE Amex:XPL) (TSX:SLR) and Ely Gold & Minerals (“Ely Gold” (TSX.V:ELY) are pleased to announce the remaining results from its core drilling program completed in the first quarter of 2011 on its advanced Mt. Hamilton gold project located at the southern end of the prolific Battle Mountain gold trend, Nevada. Based on these results, additional drilling is planned for mid-2011. Highlights of the most recent drill results include MH10-09 and MH11-02 on the eastern perimeter of the resource containing 81.2 meters (266.5 feet) of 1.93 grams per tonne gold equivalent (“g/t Au Eq”) and 60.9 meters (199.9 feet) of 1.66 g/t Au Eq, respectively. These two holes are depicted on cross sections that can be accessed at http://www.solitarioxr.com/art/110601CentennialXSectRev03.pdf. Additionally, an infill hole (MH11-01) in an area of sparse drilling reported 102.5 meters (336 feet) of 1.13 g/t Au Eq. The project is a joint venture between Solitario and Ely Gold. The eleven-hole, 6,250-foot core drilling program was designed to provide feasibility-level geotechnical, metallurgical, hydro-geologic and additional resource information at Mt. Hamilton’s Centennial gold deposit. A Feasibility Study for production at Centennial is targeted for completion by the end of the third quarter of 2011. Results for the entire drilling program have now been received. Previously reported drill holes MH-10-02, 03 and 04 were designed to provide samples for testing of average to lower grade material to confirm metallurgical recoveries http://www.solitarioresources.com/art/mthamil020711results.jpg. Holes MH-10-01, 05 and 08 were geotechnical holes for the collection of data for pit slope studies and were not designed to intersect mineralization. The remaining holes in-filled existing resources or tested the perimeter of the previously drilled area. Chris Herald, President and CEO of Solitario commented, “The purpose of this program was primarily to provide information for the preparation of our Feasibility Study on the Centennial Deposit at Mt. Hamilton. The results of the last three holes, however, confirm our belief that the higher grade portion of the deposit remains open to the east with increasingly strong mineralization. This potential to expand resources at the Centennial Deposit is enhanced by significant geochemical data supporting other drill targets at Mt. Hamilton in the immediate area of the planned open pitable deposit. We are looking forward to testing these targets in upcoming drill programs.”
“Solitario continues to fast track the Mt Hamilton project towards production, stated Trey Wasser, Ely Gold’s President & CEO. These outstanding results combined with the recently permitted geotech drilling will be incorporated in a bankable feasibility this fall.”
|Mt. Hamilton Project|
|Centennial Gold Deposit Drill Results, 2010-2011 Program|
|Drill Hole||From||To||Interval||Gold||Silver||Interval||Gold Equiv|
|All drill thicknesses are thought to represent at least a 90% true thickness of the mineralized interval. Assumed silver to gold ratio is 50:1. opt=ounces per short ton; g/tn=grams per metric tonne|
|“*” holes previously reported on February 7, 2011.|
Terms of the Mt. Hamilton LLC Joint VentureSolitario and Ely Gold formed the Mt. Hamilton LLC (“MH-LLC”), a limited liability company which now holds 100% of the Mt. Hamilton project assets under an Operating Agreement (“MH-Agreement”). Per the terms of the MH-Agreement, DHI-US, Ely Gold’s wholly owned US subsidiary, currently has a 90% initial interest in the MH-LLC and Solitario has a 10% initial interest. Solitario can earn up to an 80% interest in the MH-LLC by completing a feasibility study, arranging project financing, and making future property and advanced royalty payments. Qualified Person The drill hole information contained within this release is reported under a quality control program supervised by Mr. Walt Hunt, Chief Operating Officer for Solitario, who is a qualified person as defined by National Instrument 43-101. He has verified the drill results and other data disclosed in this new release, including sampling, analytical and test data. Samples are derived from 50% splits of HQ and NQ (2.5 and 1.9 inch) diameter core. Samples are then shipped via secured third-party land transportation and analyzed by American Assay Laboratories, Reno, Nevada, an ISO9001:2000 registered company. In addition to the laboratory's quality control program, a check assay program is ongoing. About Solitario Solitario is a gold, silver, platinum-palladium, and base metal exploration and royalty company actively exploring in Brazil, Mexico, Peru and Nevada. Solitario has significant business relationships with Votorantim Metais, Compañia de Minas Buenaventura S.A.A., Anglo Platinum, and Newmont Mining. Solitario has approximately US$14 million in net cash and marketable securities. Solitario is traded on the NYSE Amex ("XPL") and on the Toronto Stock Exchange ("SLR"). Additional information about Solitario is available online at www.solitarioxr.com. About Ely Gold Ely Gold is focused on the acquisition and development of gold resources in North America. The Company is currently working toward production from the Centennial Gold Deposit, a project located on the Company’s 100% owned Mount Hamilton property. Ely Gold is traded on the TSX Venture Exchange ("ELY"). Additional information about Ely Gold is available online at www.elygoldandminerals.com This press release includes certain "Forward-Looking Statements" within the meaning of section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of Solitario, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Development of Solitario’s properties are subject to the success of exploration, completion and implementation of an economically viable mining plan, obtaining the necessary permits and approvals from various regulatory authorities, compliance with operating parameters established by such authorities and political risks such as higher tax and royalty rates, foreign ownership controls and our ability to finance in countries that may become politically unstable. Important factors that could cause actual results to differ materially from Solitario’s expectations are disclosed under the heading "Risk Factors" and elsewhere in Solitario’s documents filed from time to time with Canadian Securities Commissions and the United States Securities and Exchange Commission. Neither 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 this release.