Linux Gold Corp. Receives Extensive Data on the Dime Creek, Alaska Gold/Platinum Property

Thu Nov 5, 2009 9:15am EST
 
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  FAIRBANKS, ALASKA, Nov 05 (MARKET WIRE) -- 
Linux Gold Corp. (OTCBB: LNXGF), is pleased to announce that it has
completed an extensive data compilation for their Dime Creek, Alaska
gold-platinum property. The data compilation, produced by Thomas K.
Bundtzen ("Bundtzen") of Pacific Rim Geological Consulting, Inc., is to
be used to facilitate future lode and placer exploration programs on the
property. Bundtzen managed and designed the exploration programs that
took place in the 1990s, 2000, and 2001. 

    The compilation from Dime Creek and nearby gold-bearing stream basins
included:

    1/ Detailed microprobe analyses of placer platinum and gold recovered
from six locations;

    2/ Mineralogical analysis of bulk heavy mineral concentrate samples (17
samples);

    3/ Rock chip sample program (33 samples);

    4/ Detailed motorized auger soil sample program (404 samples);

    5/ Ground magnetic survey.

    6/ An extensive review of past mineral production and mine activity
records from U.S. Geological Survey, the Alaska Territorial Department of
Mines, the U.S. Bureau of Mines, and mint return records as found in
unpublished Archival records.

    Highlights of the overall data analysis are summarized: 

    - Dime Creek has historically produced an estimated 68,464 ounces of gold
and 198 ounces of byproduct platinum. Dime Creek has not been
systematically mined with modern mechanized techniques.

    - Multiple bench and modern stream gold-platinum placers occur on the
Linux property.

    - The second tier and higher benches in upper Dime Creek valley are
interpreted by Bundtzen to be ancestral marine strandline (beach)
gold-platinum placer deposits similar to the placers exploited both
onshore and offshore at Cape Nome. This suggests that marine deposits
should be explored for gold and PGE along strike for several kilometers.

    - Microprobe analysis of the platinum mineralization indicates a
rhodium-enriched type of isoferroplatinum that averages 88.59 percent
platinum, 8.98 percent iron, about 1.0 percent rhodium, and only minor
amounts of other PGE metals. When combined with accompanying gangue
mineral identifications; i.e., chrome-rich diopside, the lode source is
probably a Ural-Alaska intrusion complex.

    - The gold in Dime creek is of exceptionally high fineness, averaging
about 960 fine (or 96% gold), even exceeding average high fineness placer
gold found in Alaska. It contains traces of quartz, muscovite, and
feldspar which suggest an origin in granitic rocks.

    - Soils collected during a detailed soil survey on two bench levels of
Dime Creek contained up to 160 ppb gold, 174 ppb platinum, and 144 ppb
palladium as well as threshold levels of copper, chromium, and nickel. 

    - Results from the 2000 soil sampling program, coupled with the magnetic
signatures of mafic intrusions and granitic signature of gold (as
interpreted from microprobe work) suggest lode and placer target
locations.

    Linux believes that the data compilation constitutes an important
information source that will be utilized during the design of a placer
and lode exploration program on its Dime Creek claims. A previous report
by Thomas K. Bundtzen, recommends a 100 hole, 3000 feet drilling program
to begin the due diligence on the placer resource and drill 2 to 4 holes
on the Platinum lode targets. (See News Release dated May 5, 2009.)

    Qualified Person 

    The mineral data described above was prepared by Thomas K. Bundtzen, P.
Geo., BS, MS, CPG-10912, ABSLN#279639, President of Pacific rim
Geological Consulting, Inc., of Fairbanks, Alaska, who is independent of
the Company as defined in NI43-101. Bundtzen is a Certified Professional
Geologist (CPG) with the American Institute of Professional Geologists
(AIPG). Bundtzen is a Qualified Person as defined in NI 43-101 and also
qualifies under the rules stated by the U.S. Securities and Exchange
Commission ("SEC"), and has verified the data contained in this news
release for accuracy. 

    ABOUT LINUX GOLD CORP

    Linux Gold Corp. is involved in exploration of mineral properties. Our
current plans are to joint venture and explore our gold properties in
Alaska. Linux Gold Corp. owns 247 State of Alaska mining claims at
several locations near Granite Mountain on the eastern Seward Peninsula
of Alaska. Linux Gold Corp. owns 100% interest in the Dime Creek property
in Alaska with gold and platinum values located in the Placer Creek,
drilling is recommended this year. Linux Gold Corp. also owns a 50%
interest in 30 mineral claims known as the Fish Creek Prospect, located
in the Fairbanks Mining Division in Alaska. Linux Gold Corp. optioned a
50% interest in the Fish Creek claims to Teryl Resources Corp. (TRC-V),
retaining a 5% net smelter return or may convert into a 25% working
interest. Linux has also staked mineral exploration claims covering 6,400
acres in the Livengood-Tolovana Mining District, in the State of Alaska
near International Tower Hill's gold property (Symbol: ITH)

    For more information please visit www.linuxgoldcorp.com.

    ON BEHALF OF THE BOARD OF DIRECTORS

    John Robertson, President

    READER ADVISORY

    This news release may contain certain forward-looking statements,
including management's assessment of future plans and operations, and
capital expenditures and the timing thereof, that involve substantial
known and unknown risks and uncertainties, certain of which are beyond
the Company's control. There can be no assurance that such statements
will prove accurate, and actual results and developments are likely to
differ, in some case materially, from those expressed or implied by the
forward-looking statements contained in this press release. Readers of
this press release are cautioned not to place undue reliance on any such
forward-looking statements.

    Forward-looking statements contained in this press release are based on a
number of assumptions that may prove to be incorrect, including, but not
limited to: timely implementation of anticipated drilling and exploration
programs; the successful completion of new development projects, planned
expansions or other projects within the timelines anticipated; the
accuracy of reserve and resource estimates, if any, grades, mine life and
cash cost estimates; whether mineral resources can be developed; title to
mineral properties; financing requirements; changes in laws, rules and
regulations applicable to Linux, and changes in how they are interpreted
and enforced, delays resulting from or inability to obtain required
regulatory approvals and ability to access sufficient capital from
internal and external sources, the impact of general economic conditions
in Canada, and the United States, industry conditions, increased
competition, the lack of availability of qualified personnel or
management, fluctuations in foreign exchange, stock market volatility and
market valuations of companies with respect to announced transactions.
The Company's actual results, performance or achievements could differ
materially from those expressed in, or implied by, these forward-looking
statements, including those described in the Company's Financial
Statements, Management Discussion and Analysis and Material Change
Reports filed with the Canadian Securities Administrators and available
at www.sedar.com, and the Company's 20-F annual report filed with the
United States Securities and Exchange Commission at www.sec.gov.
Accordingly, no assurances can be given that any of the events
anticipated by the forward-looking statements will transpire or occur, or
if any of them do so, what benefits, including the amount of proceeds,
that the Company will derive therefrom.

    Readers are cautioned that the foregoing list of factors is not
exhaustive. All subsequent forward-looking statements, whether written or
oral, attributable to the Company or persons acting on its behalf are
expressly qualified in their entirety by these cautionary statements.
Furthermore, the forward-looking statements contained in this news
release are made as at the date of this news release and the Company does
not undertake any obligation to update publicly or to revise any of the
included forward-looking statements, whether as a result of new
information, future events or otherwise, except as may be required by
applicable securities laws.

Contacts:
Linux Gold Corp.
John Robertson
604-278-5996 or Toll Free: 800-665-4616
604-278-3409 (FAX)
www.linuxgoldcorp.com

Copyright 2009, Market Wire, All rights reserved.

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