|
Eagle Plains/Kobex Resources Sign Letter
of Intent for “Titan” High-Grade B.C.
Molybdenum
Project
Cranbrook, B.C.: Eagle Plains Resources Ltd. (EPL:TSX-V) announces that it has executed a Letter of Intent with
Kobex Resources Ltd.(KBX:TSX-V) whereby Kobex may earn
a 60% interest from EPL in the Titan molybdenum project
located 50km west of Atlin in northwest British Columbia.
The property is controlled 100% by EPL (subject to a
1.5% NSR), and consists of 29 claim units covering approximately
1,700 acres.
Kobex has agreed to pay $5,000 cash and issue 100,000
common shares on the signing of a formal option agreement.
To complete its earn-in, Kobex will carry out $3,000,000
in exploration expenditures, make total cash payments
of $167,000 and issue a total of 600,000 voting-class
common shares to EPL by the fifth anniversary of signing.
A $150,000, first-phase program consisting of geological
mapping, geophysical survey and subsequent diamond
drilling will be completed during the 2004 field season.
EPL
will remain operator of the project up to the completion
of Phase 1 work, with operatorship determined on a
year-to year basis.
The Titan claim block covers a high-grade molybdenum-copper
porphyry occurrence that has been recently exposed
by the retreat of glacial ice. 2003 fieldwork by Eagle
Plains resulted in the discovery high-grade molybdenum
mineralization in float boulders up to 1.877% molybdenum.
Outcrop material returned a value of 0.966 % molybdenum.
Eight of the ten rock samples collected returned greater
than 0.1% molybdenum. Some samples are also associated
with elevated copper (up to 2873 ppm), tungsten (up
to 93.1 ppm), and bismuth (up to 60.7 ppm). An Induced
Polarization (I.P.) survey completed in the fall of
2003 indicates the presence of a large, high-intensity
chargeability anomaly in the vicinity of the high-grade
mineralization (see EPL News Release Oct. 16, 2003).
Molybdenum is a hard, malleable, ductile, high-melting,
silver-white corrosion resistant metal. Steel making
accounts for about 80% of molybdenum production, with
the remainder used in the manufacture of high-speed
cutting tools, aircraft parts, forged automobile parts,
X-ray tubes, electronic tubes and electric furnaces,
rocket and missile parts, lubricants and pigments.
British Columbia molybdenum mines and deposits include
the Endako
Mine (182 Mt at .0785% Mo,) Kitsault Lake (95 Mt at
.112% Mo), Boss Mountain (6.7 Mt at 0.13% Mo) and
the Adanac (152 Mt at 0.063% Mo) (reference: Geology
of
Canadian Mineral Deposit types 1995).
Eagle Plains Resources Ltd. is a junior exploration
company aggressively exploring for minerals in British
Columbia, Yukon and the Northwest Territories. The
company's objective is to enhance shareholder value
by identifying
and securing early-stage exploration and development
opportunities in gold, silver and base metal projects.
Eagle Plains continues to conduct research, acquisition
and exploration projects in western Canada. Through
a network of prospectors, consultants and experienced
contractors in addition to seasoned employees and
a well-rounded Board of Directors, the Company has assembled
a diverse portfolio of gold and base-metal properties.
EPL seeks to attract joint-venture participation on
its properties, thereby leveraging exploration spending
to the ultimate benefit of the Company’s shareholders.
In recent years, Eagle Plains has completed option agreements
with Billiton Metals Canada, Rio Algom Exploration,
Kennecott Canada Exploration, NovaGold/SpectrumGold
Inc., Viceroy Resource Corp. and numerous other junior
exploration companies, resulting in nearly 13,000m (43,000’)
of drilling and over $5,000,000 in exploration spending
on its properties since 1998.
On Behalf of the Board of Directors
Tim J. Termuende, P.Geo.
President and CEO
|
