MMG/Eagle Plains Report on 2012 Fieldwork on Findlay Project
FSC / Press Release
MMG/Eagle Plains Report on 2012 Fieldwork on Findlay Project
Cranbrook, British Columbia CANADA, March 20, 2013 /FSC/ - Eagle Plains Resources Ltd. (EPL:TSX-V),has been advised by MMG Limited ("MMG") that based on encouraging results from 2012 exploration activity on Eagle Plains' 100-per-cent-owned Findlay/Greenland Creek properties (the "Project"), MMG intends to continue its option on the Project and will be budgeting for continued activity during the 2013 field season. MMG holds the exclusive right to earn up to a 75% interest in the 33,500 ha property, located 30 kilometers north of Kimberley, in south-eastern B.C.
2012 exploration work consisted of a 475 line-km airborne gravity survey conducted by Fugro Airborne Surveys, followed by a 4-hole, 1435m diamond drill program, both of which were funded and operated by MMG at a total cost of $714,618. Work was carried out during the months of August and September. FB Drilling was contracted to carry out diamond drilling services, with Bighorn Helicopters providing helicopter support and TerraLogic Exploration Inc. (a wholly owned subsidiary of Eagle Plains) providing technical and logistical support. The program was supervised by MMG.
MMG are planning a 2013 field campaign of geological mapping and sampling and a 10 line-km CSAMT (controlled source audio-frequency magnetotellurics) deep resistivity survey in the Mid-fork Creek region of the Greenland Creek and South Findlay claims. The Mid-fork program aims to constrain the depth to the Lower-Middle Aldridge contact ('Sullivan time"), locate any resistive bodies that may represent mineralization at depth, and generate additional drill targets. A similar field campaign is planned for the eastern portion of the North Findlay claim block plus surface gravity and magnetic surveys are also proposed. The North Findlay field program aims to infill the area with geological mapping and surface geochemical sampling, ascertain the outcropping location or depth to the Lower - Middle Aldridge contact ("Sullivan time") and follow-up a broad coincident EM and magnetic anomaly. The field program is scheduled to commence in July 2013.
Findlay Project Summary
The Findlay Project overlies Aldridge Formation stratigraphy, considered prospective for sedimentary-exhalative ("sedex") deposits. Structurally, this area has been identified as an extension of the North Star-Sullivan corridor which hosts the world class Sullivan deposit 30km to the south. The Findlay property displays Sullivan-style exhalative tourmalinite (boron) horizons, massive fragmental sections, anomalous lead, zinc, and indicator geochemistry, and base metal occurrences. This "Sullivan smoke" occurs throughout the Lower to Upper Aldridge formation and indicates the potential for Sullivan style mineralization at multiple stratigraphic levels. Fieldwork to date has identified a number of targets including:
* North Findlay: 100m-thick, multi-kilometer scale mineralized and tourmaline-altered exhalative horizon related to hydrothermal venting within the Upper Aldridge stratigraphic interval.
* Greenland Creek: Diamond drilling by Eagle Plains in 1997 intersected numerous thin stratabound sulphide bands associated with albite/ garnet /chlorite alteration, some of which display continuity over 60m, and are open down-dip and along strike. Dating indicates Sullivan-age for lead mineralization in the Greenland Creek area.
* Mid-Fork: Evidence for deep-seated structures including arched gabbros and thickened, mineralized fragmental sequences at or near "Sullivan time".
The property also includes the historic Silver Key Mine, which produced 31 tons of selected ore averaging 3,431 g/t silver from structurally-controlled narrow quartz veins within the Lower Aldridge Formation. (B.C. Minfile).
Past property-scale mapping by Cominco Ltd., Kennecott Canada and Eagle Plains has established excellent Aldridge marker control. Many of the drill targets developed are within the 500 - 1000m range, considered to be shallow for Sullivan type targets in the Purcell Basin.
The Findlay property has been explored sporadically since the 1930's. Government assessment reports show exploration programs by Cominco (1959-69, 1977, 1984-1988), Texas Gulf Sulphur (1971), Kerr-Addison Mines (1971-1975), Amax (1977-79), Four Tops Mining (1982-1985), Billiton Canada (1983-1984) and Teck Corp. (1990). Commodities sought were base and precious metals from SEDEX style deposition and skarn-related tungsten from Cretaceous intrusions. Eagle Plains Resources began acquiring claims in the Findlay/ Doctor/Greenland Creek area in 1996.
Between 1997 and 2000, parts of the current Findlay property were under option to Kennecott Canada Ltd. Billiton Canada Ltd. and Rio Algom Ltd. Work by these groups as well as extensive work funded exclusively by Eagle Plains included property-scale geological and structural mapping, soil geochemical sampling, prospecting and limited diamond drilling. Total expenditures on the property since 1996 are in the order of $4 million.
Findlay Option Agreement Summary
MMG has the exclusive right to earn a 60% interest in the property by making cash payments to EPL of $500,000 and completing $5,000,000 in exploration expenditures over 5 years. MMG may earn an additional 15% interest (for a total of 75%) by delivering a bankable feasibility study by 2018.
MMG is a mid-tier global resources company which explores, develops and mines base metal deposits around the world. Headquartered in Melbourne, Australia and listed on the Hong Kong Stock Exchange (Stock Code: 1208), the Company is one of the world's largest producers of zinc and also produces significant amounts of copper, lead, gold and silver.
MMG benefits from an experienced international management team and the support of its majority shareholder China Minmetals Corporation. MMG currently owns and operates the Century, Golden Grove and Rosebery mines in Australia, the Kinsevere mine in the Democratic Republic of Congo (DRC) and the LXML Sepon mine in Laos. For more information visit www.mmg.com
About Eagle Plains Resources
Eagle Plains continues to conduct research, acquire and explore mineral projects throughout western Canada. Since 1992, EPL has been acquiring and developing early stage projects utilizing an in-house team of geologists, technicians and specialists. Considered a prolific project generator with over 35 properties, EPL invites joint venture participation to expedite development, reduce risk and enhance exposure to discovery.
Current third party agreements if maintained to completion expose EPL to over $50M in exploration expenditures, $6M cash and 14M shares in partner companies. Completed agreements have yielded over $17M in exploration spending, $1.8M cash to EPL and a total of 18M shares of partner companies including Alexco Resource Corp., NovaGold Resources Inc., Giyani Gold Corp. and numerous others.
Expenditures during 2011 and 2012 on Eagle Plains-related projects were approximately $14M, which was funded by Eagle Plains and third-party partners. This exploration work resulted in approximately 15,000m of diamond drilling and extensive ground-based exploration work facilitating the advancement of more than 23 projects at various stages of development.
General contents of this news release have been reviewed and approved by Tim J. Termuende, P.Geo.
On behalf of the Board of Directors
"Tim J. Termuende" President and CEO
Cautionary Note Regarding Forward-Looking Statements
Neither the 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. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
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Provider ID: 00021291 -0- Mar/20/2013 14:31 GMT