February 16, 2011
Hellix Sampling Uncovers New Margarita Gold Zone
HELLIX VENTURES INC. - HEL:TSX.V/HLLXF:OTC - Vancouver, BC- Frank Underhill, President, announces assay results on our Phase I Margarita rock sampling program.
Sample locations were based on our 2010 stream silt sampling program and historical data on the four known gold mineralized zones. Additional samples were taken of geophysical anomalies reported to Hellix by the property owner, and an attempt to confirm our geologist‘s assessment of the rocks favorable to gold mineralization as per our news release dated January 10, 2011.
Fifty rock samples were collected in areas previously identified by the stream silt sampling and historical data on the four known mineralized zones. Anomalous to highly anomalous gold values (13 ppb to 2700 ppb) were obtained in thirty-eight samples, while seventeen samples were anomalous in silver (.6 ppm to 14.3 ppm). Results are as follows with gold assays in ppb (1000ppb = 1 g/mt) and silver in ppm (1ppm = 1 g/mt):
Note that these are grab samples and are not indicative of average grades over mineable widths. The samples were selected, handled and hand delivered by a professional geologist to Skyline Labs in Tucson, Arizona for assay. Assays on 34 Trace Elements including silver were performed by Aqua Regia leach analyzed by ICP. Gold was fire assayed.
Anomalous to highly anomalous gold values were found in an area about 300 – 400 meters (980 – 1300 feet) west and north of Margarita Tank. This new zone (now called West Hill) was selected following strongly anomalous gold-in-silt values (710 ppb, 350 ppb, 306 ppb) found in our 2010 silt sampling program. Rock sample numbers 349896 (1320 ppb), 349897 (703 ppb), 984013 (485 ppb) and 984023 (1066 ppb) were composite grab samples of strongly iron-stained quartz silicified intrusive of similar character and appearance to that of the known gold zones. Several old prospect pits and cuts were noted in this area along with the residual cuttings from three drill holes, the existence of which were not known prior to this sampling program.
Generally, the highest values for gold came from samples collected on or near the known mineralized zones. The highest value for gold (2700 ppb – sample 984049) was obtained from an old prospect pit of the Cascabel zone. An east-west trending traverse across the south known zone resulted in four consecutive samples with highly anomalous gold values, namely samples 984035 (669 ppb), 985034 (2601 ppb), 984033 (316 ppb) and 984038 (2406 ppb). These four samples were collected over a distance of about 135 meters (440 feet). Sampling on an east-west trending traverse over the central mineralized zone returned two consecutive samples with highly anomalous gold (samples 984006 – 618 ppb, and 984008 – 701 ppb).
Four bedrock samples in the vicinity of the Blue Wing Mine were also collected along a northerly trend of geophysical anomalies found on hand-drawn plots supplied by the Margarita property owner. These did not return any samples with detectable gold. In general, there does not appear to by any direct correlation between surface alteration and gold mineralization to the geophysical anomalies below.
Seventeen samples of the feldspar porphyry country rock were also taken to confirm geologist J. Duncan’s preliminary assessment of which local rocks hosted the gold mineralization outlined in the Hellix news release dated January 10, 2011. Mr. Duncan theorized that the gold would be found in the silica rich intrusive rock. Samples of the porphyry ranged from <5 ppb to 177 ppb. The highest gold values in the porphyry came from samples that were at or very near the contact of the known mineralized zones. The feldspar porphyry does not appear to contain any gold of economic value and seems to have confirmed Mr. Duncan’s assessment. All future exploration will focus on the abundant siliceous intrusive rock.
Hellix is very encouraged by the values obtained in the new zone known as the West Hill. The bedrock in the area appears to be of the same character as the four known mineralized zones and has been shown to contain highly anomalous gold. A more detailed rock sampling program combined with geologic mapping of this area has been recommended. This first round of rock sampling has demonstrated the effectiveness of follow-up rock sampling of drainages with strong gold-in-silts.
Field work is continuing throughout the winter months.
The technical portion of this release has been reviewed by Qualified Person Laurence Sookochoff, P. Eng.
HELLIX VENTURES (HEL – TSX.V) is engaged in the identification, acquisition, exploration and development of gold and silver properties in North America. Hellix has no debt (other than short-term trade payables), and has positive cash flow from fossil fuel production in Western Canada. All transactions stated or referred to herein are expressly subject to TSX Venture Exchange approval as well as all other applicable regulatory body approvals.
ON BEHALF OF THE BOARD OF DIRECTORS
HELLIX VENTURES INC.
Toll Free: 1-877-430-3113 Phone: (604) 683-6657 Fax: (604) 684-4407
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. The forgoing is for informational purposes only, and is not to be construed as an offer to buy or sell securities in any jurisdiction. It may contain forward-looking statements. While the data compiled by management is from sources deemed to be reliable, actual future results may vary materially. Hellix Ventures Inc. does not assume the obligation to update any forward-looking statement and will not be responsible for any loss arising from the use of this information. Historically reported results may not be NI 43-101 compliant and therefore caution should be used in relying on such statements.