ATAC Drills Significant Gold At Rackla Project

ATAC Resources Ltd. (TSX VENTURE:ATC) intersected several significant gold grades from its 19 hole drill program at the company’s Rackla Gold Project in Yukon, Canada. The most notable results came from the Nadaleen Trend, which were 10.54 grams per ton gold over 12.19 meters including 20.55 g/t gold over 6.09 meters as well as 3.18 g/t gold over 3.0 meters. The Conrad and Eaton Zones also returned strong gold drill results. “The coalescing of the Conrad Zone and Eaton Zone coupled with the one kilometer vertical extent of gold mineralization identified to date indicates a large mineralizing system in this area of the Nadaleen Trend,” says Graham Downs, chief executive officer of ATAC. ATAC is a Canadian-based exploration company and is 100% owner of the Rackla Gold Project.

By Alex Létourneau of Kitco News aletourneau@kitco.com

October 3, 2011 - ATAC Resources Ltd. (TSX-V:ATC) is pleased to providethe following drilling and exploration update for its 100% owned 1,600sq/km Rackla Gold Project in central Yukon.

News release highlights:

• Conrad Zone extended to 400 metre strike length and remains open in all directions;
• Diamond drilling confirms gold mineralization at the Conrad and Eaton Zones coalesce into a larger Conrad Zone;
• Total vertical extent of drilled gold mineralization between Conrad and Osiris is now in excess of 1 km;
• Six diamond drills will continue exploring Osiris, Conrad, Isis and Isis East into mid-October;
• Surface orpiment and realgar showings have been identified at Dale and Pyramid Zones located 12 km and 24 km west of the Osiris Zone, and the Ptah Zone located 1.25 km northwest of the Conrad Zone; and,
• 15 of 19 released drill holes at Conrad have intersected significant widths of gold mineralization in excess of 3 g/t gold.

Conrad Zone

ATAC has received results for 16 diamond drill holes from the ConradZone. The Conrad Zone is one of four Carlin-type gold explorationtargets being explored by diamond drilling within an eight sq/km area ofthe Nadaleen Trend, at the eastern end of the 185 km long Rackla GoldProject.

Recent Conrad Zone drilling has intersected 4.08 g/t gold over 82.29 min Hole OS-11-010 (see news release dated July 06, 2011). Explorationat Conrad focused on extending gold mineralization towards the EatonZone approximately 400 m to the southeast of OS-11-010. Mineralizationwas intersected on every section line between Conrad and Eaton resultingin the coalescing of both zones into a larger Conrad Zone.Mineralization remains open at depth and in all directions. Significantresults from the Conrad Zone are tabulated below.

The Conrad Zone is east-west trending and dips steeply to the south. Itcross-cuts folded and faulted limestone units interbedded withnon-calcareous clastic sedimentary rocks. Gold mineralization occurswithin all units but is best developed within the limestone sequenceswhere alteration is characterized by decalcification along intermittentshear planes accompanied by peripheral calcite flooding. Mineralizationwithin non-calcareous rocks is generally confined to fault breccias orareas of abundant fracturing. Gold mineralization is most commonlyassociated with black, fine grained sooty pyrite, and is sometimesaccompanied by realgar, a distinctive red arsenic sulphide mineral.

The Conrad Zone occurs south of the north-dipping Nadaleen thrust fault.Splays of the Nadaleen fault and sections of the fault itself are alsolocally mineralized. The Conrad Zone is characterized at surface by anorthwest trending zone of highly anomalous arsenic soil geochemistry.This anomaly extends at least 1.25 km to the northwest where trenchinghas uncovered realgar mineralization at the newly discovered Ptah Zone.

The Ptah Zone is interpreted as a "leakage" anomaly north of theNadaleen fault where favourable carbonate stratigraphy similar to Conradmay occur at depth. The gold potential of the Ptah Zone has not yetbeen drill tested. Updated Conrad Zone maps, cross-sections and figurescan be viewed on ATAC's website www.atacresources.com.

Regional Exploration

Reconnaissance geochemical surveys along the 185 km long Rackla GoldProject have collected over 10,500 stream sediment and soil samples.Stream sediment sampling targeted over 90% of the project's creeks andstreams while soil sampling surveys consisting of ridge and spur,contour and grid sampling were carried out to follow up 2010 and 2011anomalies. Geochemical results continue to be received and evaluated.

Follow-up prospecting at two arsenic, thallium, mercury and antimony soil geochemical anomalies named Dale and Pyramid,located 12 km and 24 km to the west of the Osiris Zone, resulted in thediscovery of orpiment and realgar mineralization at surface. A diamonddrill was mobilized to both targets. Two scout holes were completed atthe Dale target and five at the Pyramid target. Assay results for theseven holes are pending.

Drilling Progress

A total of six diamond drills continue to work within the NadaleenTrend. Three drills are focused on extending gold mineralization at theConrad Zone, two drills are testing the Osiris Zone and the sixth drillis testing the Isis Zone. The 2011 drilling completed as of the timeof this news release consists of 28 holes at the Conrad Zone for a totalof 11,392 m, 25 holes at the Osiris Zone for a total of 5,762 m, and 7at the Isis and Isis East zones for a total of 1,481 m. In addition,eight scout holes have been drilled to test other targets in the area.Drilling will continue at Osiris, Osiris North and Conrad Zones untilmid-October.

Assay turnaround times for core samples have been slow because of thecurrent high level of western Canadian exploration activity. TheCompany now expects to receive assay results on a timelier basis.Assays for all pending drill holes will be released when results arereceived and compiled. Osiris Zone drill results are expected in thecoming weeks.
"We are very pleased with the progress at the Conrad Zone." statesGraham Downs, ATAC's CEO. "The coalescing of the Conrad Zone and EatonZone coupled with the 1 km vertical extent of gold mineralizationidentified to date indicates a large mineralizing system in this area ofthe Nadaleen Trend."

• The reported intersections are drilled thicknesses and are believed to represent approximately 50 to 80% true widths.
• Holes OS-11-021,022,027 did not intersect significant mineralization as they are interpreted to have been drilled north of the Conrad Zone