News

SIGN UP

Enter your name and email address to receive Gunpoint newsletters

Your Name:
Email Address:

News 2006

Vancouver, B.C. - Christopher James Gold Corp. (the "Company") has secured an option to acquire up to 75% of two prospective gold projects in the Walker Lane Mineral Belt of south-central Nevada.

The option is set out in a Memorandum of Understanding ("MOU") with Timberline Resource Corporation ("Timberline") and covers a total of five claim groups known as the Olympic-Sun and Cedar Mountain Projects. The Walker Lane Mineral Belt, in which the projects are located, hosts a number of significant epithermal gold deposits, including the Paradise Peak and Rawhide Mines, each of which produced more than one million ounces of gold.

The Olympic â€" Sun Project

The Olympic-Sun Project consists of 159 unpatented mining claims covering nearly five square-miles. The property includes the past-producing Olympic and Loo gold mines and numerous shallow prospect pits and underground workings. Historical records credit the Olympic Mine with 40,000 ounces of gold production in the early 20th century from three levels and 3,000 feet of underground workings.

Mineralization at the Olympic Mine consisted of a low angle, epithermal quartz vein 1 to 2 meters thick, which reportedly averaged 0.95 ounces per ton ("oz/t") gold, with silver credits. The vein is surrounded by a 3 to 12 metre-wide envelope of lower-grade mineralization which was not mined. Surface samples in the footwall zone to the vein have assayed up to 0.27 oz/t gold.

Historical documentation also suggests that a "deeper, parallel quartz vein was encountered in the lower mine workings." Systematic drilling is planned to evaluate the extent of the mineralized envelope around known veins, and to explore deeper parallel vein structures.

The Sun property is thought potentially to host epithermal vein, disseminated and replacement gold mineralization within the volcanics, similar to that found at the nearby Mina and Sante Fe Mines. Based on surface sampling by Timberline, a 2000 metres by 200 metres zone of anomalous gold mineralization has been defined, and will be tested by a program of trenching and/or reverse circulation ("RC") drilling later this year.

The Cedar Mountain Project

The Cedar Mountain Project comprises the PAC, HD and ACE properties and is located immediately east of the Olympic-Sun Project. The project consists of a total of 48 unpatented mining claims.

The HD and PAC properties are located along the NW-SE trending belt of intrusive rhyolite domes that are associated with mineralization at the Paradise Peak and Rawhide Mines. The HD property was explored by Kennecott Exploration and Homestake Mining during the 1980s. The alteration and geochemical signature at HD indicate a high-level epithermal gold environment with anomalous mercury, arsenic and gold. These high-level indications of mineralization will be explored for underlying epithermal gold mineralization.

The ACE property is located just south of the past-producing Warrior Mine which had limited gold production at average grades slightly less than one oz/t. The property was explored by Texasgulf during the 1980s. Rock chip samples demonstrate anomalous gold and strongly anomalous mercury that may be leakage along structure from an underlying mineralized body.

The Timberline MOU

The MOU provides the Company with the exclusive right to earn up to an undivided 75% interest in the projects on the following terms:

Olympic - Sun Project:

- The Company must spend US$1,500,000, including option payments, over four years to earn 60%, with a minimum annual expenditure of US$150,000. The Company can earn an additional 15% (to bring its interest to 75%) by completing a bankable feasibility study.

- The Company must issue Timberline 100,000 shares on or before the first anniversary of the definitive agreement.

- The Company may purchase 1% of an existing 3% net smelter return royalty ("NSR") on the Olympic claim group for US$500,000. Timberline will assign to the Company 1% of an existing 3% NSR on the Sun claim group once the Company has incurred balance of US$150,000 in expenditures, required before October 1, 2006. Subsequently, The Company may purchase an additional 1% of the NSR for US$150,000.

Cedar Mountain Project:

- The Company must spend US$1,000,000, including option payments, over four years to earn 60%, with a minimum annual expenditure of US$100,000. The Company can earn an additional 15% (to bring its interest to 75%) by completing a bankable feasibility study.

- The Company must issue Timberline 100,000 shares on or before the first anniversary of the definitive agreement.

- Timberline will assign to the Company 1% of an existing 3% NSR on the Sun claim group when the Company incurs the balance of the US $250,000 in expenditures required to be incurred on the projects on or before October 1, 2007. Subsequently, CJGC may purchase an additional 1% of the NSR for US$150,000.

The Company will have the right to increase the rate of project expenditures and of associated option payments, thus shortening the time required to earn its interest.

The MOU is subject to a definitive agreement between the parties and to approval by the TSX Venture Exchange.

Quality Assurance and Control

This news release was prepared under the supervision of Dr. Max Baker, PhD, the Company's President and a "qualified person" as that term is defined in National Instrument 43-101 ("NI â€" 43-101") of the Canadian Securities Administrators.

This news release contains data relating to past mineral exploration and production that is based on historical information obtained by the Company. This data pre-dates NI 43-101 and may not have been collected in accordance with its requirements. While the Company has no reason to doubt the accuracy of these data, it has not had an opportunity to independently verify them and readers are cautioned not to place reliance upon them.

About Christopher James Gold

Christopher James Gold Corp. is a Canadian mineral exploration company trading on the TSX Venture Exchange under the trading symbol "CJG".

The Company owns 100% of the copper and gold rights to the historic Craigmont mine, in southern British Columbia. It also holds a portfolio of 100% owned gold projects in British Columbia, including the Brassie Creek, Big Kidd and Portage Lake properties, and is currently conducting first phase exploration under option on the Valle Grande project in Catamarca Province, Argentina.

The Company has assembled a strong management team with extensive experience in project generation and development, a proven track record of exploration capital fundraising and extensive international alliances. Its plans for 2006 include the continued exploration of its British Columbia projects and an active program of project generation and assessment in North and South America.

You are invited to visit our web site at http://www.christopherjamesgold.com.

Christopher James Gold Corp.
Max Baker, President

FURTHER INFORMATION
Christopher James Gold Corp.
Max Baker, President
John Glanville, Investor Relations
Tel: 604 408 8829
Email: info@christopherjamesgold.com


This news release contains forward-looking statements. Forward-looking statements are statements which relate to future events. In some cases, you can identify forward-looking statements by terminology such as "may", "should", "expects", "plans", "anticipates", "believes", "estimates", "predicts", "potential" or "continue" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industry's actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. While these forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding the direction of our business, actual results will almost always vary, sometimes materially, from any estimates, predictions, projections, assumptions or other future performance suggested herein. Except as required by applicable law, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results. Readers are referred to the sections entitled "Risk Factors" in the Company's periodic filings with the British Columbia Securities Commission, which can be viewed at www.SEDAR.com.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.