For Immediate Release
November 25, 2003
Coral Gold Corporation
(TSX-V: CLH – C$0.46; OTC: CLHVF – US$0.35)
New York, NY: Proteus Capital Corp. has issued an information memorandum covering Coral Gold Corporation, a gold exploration and development company focused on a group of properties at Tenabo in the heart of the Battle Mountain-Eureka Trend in Nevada that are contiguous with the one million ounce a year Pipeline gold mine operated the Cortez Joint Venture (60% Placer Dome, 40% RTZ).
Coral has three distinct properties: Robertson, the Excluded Claims, and Norma-Sass. This portfolio provides Coral with a spread of low-risk development opportunities (Robertson) and several exploration targets that include potentially significant, deep, high grade gold deposits comparable to those discovered in recent years on the Carlin Trend.
Ø The 6,750-acre Robertson, 100%-owned by Coral, comprises indicated resources of approximately 11.0 million tons grading 0.053 oz/t gold (583,700 ounces) within an inferred mineral resource of 33.9 million tons grading 0.028 oz/t (939,900 ounces). Deep potential has not been fully tested.
Ø The 6,500-acre Excluded Claims, in which Coral has a 39% interest carried to production, present the most tantalizing prospect. The claims are at the northern end of a major structure that, to the south, hosts both Pipeline and the historic Gold Acres mines. Limited exploration has returned interesting results that, while not confirming the presence of a Pipeline-style “elephant”, leave open the possibility of discovering deep, high grade deposits. The Cortez JV, which operates both the joint venture covering the Excluded Claims and the adjacent Pipeline gold mine, has focused its exploration efforts on its recently announced discovery at Cortez Hills to the southeast of Pipeline.
Ø The 740-acre Norma-Sass (67% Coral) has had the least work to-date. Norma-Sass appears to be the southern, down-dip extension of the structure that hosted the historic Gold Acres open pit gold mine. Shallow drilling has indicated Carlin-style mineralization with the potential for deep, high grade deposits.
Ø We believe we are in the early phases of a major, secular bull market in gold that is being driven by political and economic instability at the macro level. Robertson offers significant geologic leverage to rising gold prices. In addition, while the Excluded Claims and Norma-Sass may not host deposits of the size and grade of Pipeline, they could well host one or more deep, high grade deposits and the near-surface potential may become more attractive at higher gold prices.
Ø With a market capitalization of US$14.5 million, Coral is being valued at $25 per ounce of indicated resource, and just $15 per ounce of inferred mineralization at Robertson. This compares with market averages of $50 to $60 per ounce of inferred mineralization – two to four times the valuation of Coral. Even this valuation range places no value on the exploration potential, despite the location and the fact that most exploration drilling has intersected anomalous gold values.
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For further information, contact:
Douglas J. Newby
Proteus Capital Corp.
120 Broadway, Suite 1010
New York, NY 10271
Tel: (646) 879-5970
Fax: (646) 365-3230
Last modified: January 3, 2007