Coventry Resources Limited (ASX:CVY) Positive Drilling Results Continue at Cameron Gold Project

Perth, July 6, 2011 AEST (ABN Newswire) - Coventry Resources Limited (ASX:CVY) is pleased to advise that it has received the first analytical results from the first pass drilling program undertaken recently at the Sullivan Prospect. The Company has also received analytical results from the remainder of the first pass drilling program conducted at the Meston Prospect, located approximately 1,000 metres along strike from the Sullivan Prospect. Both prospects are located within 5 kilometres of the +1Moz Cameron Gold Deposit in Ontario, Canada.

Twenty one diamond core drill holes (2,626 metres) have been completed as a first pass evaluation of the Sullivan Prospect, with assay results received for 15 of these holes. Nine of the 15 holes contained significant gold mineralisation.
Analytical results for the remaining twenty six of thirty five diamond core holes completed in the first-pass drilling program at the Meston Prospect (3,935 metres) have also been received and are reported here.

Encouraging shallow gold mineralisation has been intersected at both the Meston and Sullivan Prospects.

These results, coupled with the recently announced results from first pass drilling at the Victor and Monte Cristo Prospects, further confirm the potential to develop additional deposits as satellites to the +1Moz Cameron Gold Deposit, where the Company is currently fast tracking the permitting of an open pit mining operation.

Two diamond core rigs continue to drill at the Cameron Gold Deposit itself as part of a resource extension and infill drilling program. This work will continue through much of the third quarter of 2011. The Company then intends recalculating the resource estimate for the Project. The upgraded resource estimate will be used to develop a detailed mine plan, process flow sheet and site layout in preparation for submittal of a mine permit application in the first half of 2012, when all environmental base line data required for the mine permitting process will have been acquired.

Sullivan Prospect

The Sullivan Prospect is located approximately five kilometres east of the Cameron Gold Deposit and 1,000 metres along strike from the Meston Prospect. It comprises a series of historic workings (two shafts and an adit) in a geologically-complex area. Discontinuous outcrops of mineralisation and alteration have been mapped over a strike of 80 metres within glacial till cover.

The Company recently completed 21 diamond core drill holes (2,626 metres) in a first-pass drilling program to evaluate the mineralisation at the Sullivan Prospect. Analytical results for 15 of these holes have been received. Significant shallow mineralisation was intersected in 9 of the 15 drill holes. Highly encouraging results include:

- 3.0 metres at 4.32 g/t gold from 19.0 metres

- 2.0 metres at 5.25 g/t gold from 62.0 metres

- 5.0 metres at 1.44 g/t gold from 73.0 metres

The mineralisation intersected is hosted by biotite-silica-carbonatepyrite altered lithologies and appears to plunge to the northeast.

Significant, widespread alteration (primarily silica-carbonate) characterises the immediate area of the Sullivan Prospect. Assays for a further six drill holes completed are pending. Additional geological mapping and sampling of the area is underway to quantify the results received so far. Further drilling to follow up these results is being planned.

Meston Prospect

The Meston Prospect is also located approximately five kilometres east of the Cameron Gold Deposit and comprises a zone of gold mineralisation and alteration mapped discontinuously over a strike length of 350 metres. The Company has now completed thirty five diamond core drill holes for 3,935 metres. Very encouraging results from the first nine of these holes have been reported previously, with initial results including:

- 4.0 metres at 5.16 g/t gold from 5.0 metres

- 8.7 metres at 2.19 g/t gold from 5.3 metres

- 2.0 metres at 4.67 g/t gold from 3.0 metres

Analytical results from the subsequent twenty six diamond core drill holes have now been received.

Significant results include:

- 10.0 metres at 1.13 g/t gold from 9.0 metres

- 8.0 metres at 1.02 g/t gold from 16.0 metres

- 2.0 metres at 3.05 g/t gold from 5.0 metres

The results received confirm that mineralisation at the Meston Prospect is shallow, flat-lying and discordant to the trend of the geology. Like the Sullivan Prospect, the immediate area of the Meston Prospect is characterised by significant, widespread alteration, mainly comprising silica-carbonate. It is interpreted that such alteration is indicative of a more widespread fluid system and that considerable additional work in the area is warranted.

The Company is currently undertaking detailed geological mapping and sampling to identify a potential steeper-dipping feeder source (or elbow) that may constitute the driver and conduit to the mineralisation so far identified. The Company is highly encouraged by the results, especially given the flat-lying nature of the mineralisation and the intense alteration that is associated with the area, especially in the broader context of the proximal alteration and mineral occurrences in the Greater Meston Area (see below).

Greater Meston Area Work Program

Geological mapping completed by the Company in 2010, integrated with historic exploration work, the interpretation of recently acquired high-resolution aeromagnetic data, and recent drilling results from the Meston and Sullivan Prospects, has highlighted the Greater Meston Area as a zone of significant interest.
This area is characterised by its anomalous structural position at a bend in the Cameron and Monte Cristo Shear Zones; numerous gold occurrences; and the presence of felsic intrusive rocks.

The Meston and Sullivan Prospects are located within this zone of interpreted enhanced prospectivity.

Additional prospects that remain untested by drilling include:

- Ajax Prospect - where up to 3.84 g/t gold has been returned from surface rock sampling in Cameron Gold Deposit-style silica-sericite-carbonate-pyrite breccia. No drilling has been undertaken previously.

- Orion Prospect - where up to 963 ppb gold has been returned from Heavy Mineral Concentrate (HMC) till sampling over an IP chargeability geophysical anomaly. A single historic drill hole failed to test the target.

- Mars Prospect - where 0.57 g/t gold was returned from a single rock sample. There is an associated 315 ppb gold HMC till anomaly and a coincident IP chargeability geophysical anomaly. No drilling has been undertaken previously.

- Sirius Prospect - where a widespread HMC till anomaly has been delineated, up to 196 ppb gold.

All of these prospects are in close proximity to the Meston and Sullivan Prospects. The Company recently systematically acquired till geochemical samples over this broader prospective area. Analytical results are pending. It is envisaged that the results of this till sampling program will highlight new zones of geochemical anomalism in advance of further drilling in the area.

Extension of Current Drilling Program to 40,000 metres and Mine Permitting Progress The Company continues to aggressively explore the Cameron Gold Project, with two drilling rigs continuing to operate at the Project. The Company has extended its previously advised 30,000 metre drilling program by a further 10,000 metres to 40,000 metres. The primary objective of this extra drilling, to be completed during the next two months, will be to more fully evaluate the northwestern strike extensions of the Cameron Gold Deposit. Previous broadly-spaced drilling data in this highly prospective corridor indicates that additional highgrade plunging shoots of gold mineralisation, similar to the main portion of the Cameron Gold Deposit, may be present. Any such mineralisation at shallow depths is likely to be incorporated into the open pit mine plan for the Cameron Gold Deposit.

On completion of this 40,000 metre drilling program the Company intends integrating these new data with the previous circa 85,000 metres of drilling data in order to recalculate the resource base for the Project.

The upgraded resource will be used to develop a detailed mine plan, process flow sheet and site layout in preparation for submittal of a mine permit application in the first half of 2012. The Company is simultaneously acquiring all environmental base line data required for the mine permitting process as quickly as possible, with this being the time-limiting component for the preparation of an application for a mine permit.

Further drilling results and ongoing mine permitting progress updates will be released regularly as the Company's aggressive work program continues.

For the complete Coventry Resources Limited announcement including figures and tables, please refer to the following link:
http://www.abnnewswire.net/media/en/docs/548058.pdf

Contact

Mike Haynes Executive Chairman Email: info@coventryres.com Tel: +61-8-9324-1266 http://www.coventryres.com