Eagle Plains Commences Diamond Drilling on Iron Range Project, Completes Abo Drill Program
Cranbrook, B.C., 28 March, 2005: Eagle Plains Resources Ltd. (EPL:TSX-V) has commenced a three-hole, 3500’ diamond drilling program on the Iron Range project located in the Goat River area 15km NE of Creston, B.C.. Drilling activity is a continuation of work commenced late in 2004 that was interrupted by winter weather conditions (see NR November 16, 2004).
The property consists of 191 units (11,540 acres) owned 100% by Eagle Plains and holds no underlying royalties or encumbrances. The claims are well situated with respect to infrastructure, with a high pressure gas pipeline, high voltage hydro-electric line, railway and major highway located within property boundaries.
The Iron Range deposits were originally staked in 1897 and were covered by Crown Grants held by Cominco Ltd. and the Canadian Pacific Railway. Past work on the Iron Range deposit by Cominco focused on the considerable iron oxide resource with trenching and very shallow (20m depth) diamond drilling along the Iron Range Mountain ridge. Eagle Plains Resources Ltd. staked the current claims immediately after the Crown Grants reverted in 2000.
Mineralization on the Iron Range property occurs within the Iron Range fault zone and varies from massive lenses of hematite and magnetite to hematite-magnetite breccia bodies within a strongly albitized alteration halo. The Iron Range Fault system represents a major structural feature that is markedly different from other structures in the area in terms of deformation and alteration. The Iron Range deposits are directly linked to this structure which has a strike length of at least 90 kilometers. The mineralized zone on the Iron Range Property is exposed over approximately 4 kilometers strike length and is up to 150 meters wide. Structural, mineralization and alteration relationships indicate that the property has potential for both Olympic Dam type Cu–Au-U-REE deposits and Sullivan type sedimentary-exhalative deposits. The Olympic Dam deposit in Australia is known as the worlds largest multi-mineral ore deposit, while the nearby Sullivan deposit was a world class silver-lead-zinc deposit which saw continuous production for over 100 years, closing in December, 2001.
2004 exploration activities consisted of geological mapping, geochemical surveys and a 690 line-km airborne geophysical survey. Two holes were drilled in late November for a total of 1,870’ (570m). No significant mineralization was intersected. The current drill program will test an extensive soil geochemical anomaly which overlies sedimentaryexhalative (“sedex”) - type geological and geochemical indicators located within rocks of the same age as those which host the Sullivan deposit. Doug Anderson, P.Geo. has been contracted to oversee the 2005 diamond drilling program. Overall project supervision will be provided by C.C. Downie, P.Geo., Exploration Manager of Eagle Plains, who is identified as a Qualified Person under National Instrument 43-101.
Drilling activity has been completed on the Abo property, located near Harrison, BC and under option to Northern Continental Resources Ltd. (TSX-V:NCR) (see NR February 28th, 2005). Ten holes were drilled on the property, for a total of 2468m (8095’). Results of this program will be released when assays have been received, compiled and interpreted.
Eagle Plains expects to have 8-10 drill programs carried out on its properties during the 2005 field season. Up to $CDN 4M is expected to be spent, with much of this funded by option and joint-venture partners. A schedule outlining planned 2005 work programs may be viewed here.
Eagle Plains Resources continues to conduct research, acquisition and exploration projects in western Canada. The Company controls over 30 gold and base-metal projects, many of which are currently optioned to or joint-ventured with third parties including NovaGold Inc., Kobex Resources Ltd., Northern Continental Resources Inc., Shoshone Silver Mining Co., and Golden Cariboo Resources Inc. These agreements expose Eagle Plains to over $18 million in exploration expenditures over the next five years. In recent years, Eagle Plains has completed option agreements with Billiton Metals, Rio Algom Exploration, Kennecott Exploration, Viceroy Resource Corp. and numerous other junior exploration companies, resulting in over 18,000m (60,000 ft) of drilling and over $6,000,000 in exploration spending on its projects since 1998.
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.