1999 Program Completed on Eagle Plains' Greenland Creek Property, Southeastern British Columbia
Cranbrook, B.C.:Eagle Plains Resources Ltd. (EPL:ASE) is pleased to announce that it has received notification from optionee Kennecott Canada Exploration Inc. ("Kennecott") that it has successfully completed a $240,000 first phase exploration program on Eagle Plains' 100% owned Greenland Creek property, located 30km northwest of Kimberley, B.C.. Kennecott may earn a 60% interest in the 247 unit (15,000 acre) property by spending $2,000,000 on exploration and making total cash payments of $310,000 to Eagle Plains over a four year period, with Kennecott as the project operator. A cash payment of $70,000 was made upon signing of a formal option agreement (see November 13, 1998 news release). The claims are bounded to the north by Eagle Plains' 271 unit (16,460 acre) South Findlay property, currently under option to Rio Algom Exploration Ltd. (see November 16, 1999 news release). The Sullivan deposit, located near Kimberley, is hosted by the same sequence of rocks as those present at Greenland Creek, and contained reserves of 149,000,000 tonnes grading 6.3% lead, 5.9% zinc, and 69 g/T silver. The mine has seen continuous production for over 100 years and is scheduled for shut-down in December, 2001.
Work completed by Kennecott in 1999 consisted of 1:10,000 scale geological mapping over most of the property area, in conjunction with a broad geochemical survey consisting of 1,371 soil samples, 72 selected rock samples, and 45 stream-sediment samples. The program resulted in the delineation of a 3km x 1km soil geochemical anomaly hosting zinc values in excess of 700ppm, with associated elements including beryllium, bismuth, and cadmium. The anomaly overlies Proterozoic Aldridge Formation sedimentary rocks, and is considered a significant exploration target. Kennecott has indicated that it will test the anomaly area by diamond drilling during the upcoming field season.
In order to maintain its option on the property, Kennecott must make a further cash payment to Eagle Plains of $60,000 by January 4th, 2000, and complete total exploration expenditures of $400,000 by December 31st, 2000.
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.