Eagle Plains Commences Systematic Exploration Program In Bronco Discovery Area
Cranbrook, B.C. 20 June, 2007: Eagle Plains Resources Ltd. (EPL:TSX-V) is pleased to announce that camp construction has been completed and field crews have now commenced an aggressive exploration program on the Bronco project, located in the Mackenzie Mountains near the Yukon/ NWT border, 70km north of the Canol Road.
As announced on January 29th, 2007, Eagle Plains reported the discovery in late 2006 of significant mineralization on tenures held 100% by EPL. High-grade silver with associated copper, lead and zinc mineralization was located in outcrop over substantial widths. The occurrence consists of sedimentary-hosted mineralization that appears to be part of a larger mineralized system some 7km in length. The discovery area has been subjected to virtually no historic exploration activity and presents an unprecedented opportunity for Eagle Plains to head a district-scale exploration campaign in a highly prospective region.
- Bronco showing returns continuous-chip assay results of 420g/T silver, 0.9% copper and 2.8% lead over 13m, including 3.0m grading 1313g/T silver, 2.7% copper, 10.2% lead, and 1.1% zinc.
- grab samples from three separate float occurrences up to 2km from Bronco occurrence return assay results of 14.4%, 12.7% and 24.4% zinc.
- rock samples taken 7km along strike of the Bronco occurrence return assay results of up to 17.5%, 19.8%, 12.7%, 25.4%, 21.3%, 18.5% zinc over an area of 300m x 700m
A crew of 24 people are currently at work on the $1,200,000 project, conducting a systematic exploration program consisting of:
- emplacement of a 31 line-km picketed survey grid
- soil geochemical survey (approximately 1200 samples)
- geophysical surveys (magnetometer, electromagnetic, and gravity)
- property-scale geological mapping
- drill pad construction
- drilling scheduled to commence in mid-July
The Bronco project is part of a larger regional-scale exploration project undertaken by Eagle Plains since 1999, when EPL staked the Gayna River deposit and began accumulating data in the area. The general area now controlled 100% by EPL was once subject to extensive exploration during the 1970s and early 1980s and was the site of numerous drilling programs, dozens of grassroots examinations, and thousands of individual claims held by various junior and major exploration companies including RTZ, Placer Dome Inc., Bethlehem Copper, Cominco, Noranda, Amax, Serem and others. Recent announcements regarding the proposed Mackenzie Valley pipeline and dramatically improved base-metal prices dictate that the area must now be viewed in an entirely new economic framework. Exploration technology and the understanding of the occurrence and genesis of carbonate-hosted deposits have also been advanced over the past 30 years, increasing the potential for new discoveries.
Eagle Plains has secured tenure over some 5,400 square kms, covering much of the area of past exploration activity, and has acquired public and proprietary data associated with millions of dollars of exploration work.
On June 15th, Eagle Plains announced that it had entered into an agreement with Teck Cominco Ltd. whereby the two companies would form a strategic alliance to explore for minerals in the Mackenzie Mountain area. The Bronco project is excluded from this agreement and remains 100% owned by Eagle Plains with no underlying royalties or encumbrances.
Update on Coyote Creek Project, Southeastern B.C.
Drilling continues on the Coyote Creek gypsum project located 40km north of Cranbrook. As announced October 19th, 2006, CGC Inc. has agreed to purchase a 100% interest in the property, and is in the process of completing their due diligence work. Drilling activity is being funded by CGC, and is expected to continue until the end of June, with the proposed transaction expected to close on October 2nd, 2007.
Update on Blende Project, Yukon
Drilling activity continues on the Blende Project, owned 100% by EPL and funded by Blind Creek Resources Ltd., a private British Columbia company which holds an option to acquire a 60% interest in the project. Since the start of fieldwork on June 10th, 3 holes have been completed for a total of 3200’ (977m). Phase 1 fieldwork is scheduled to continue until early August.
About Eagle Plains
Eagle Plains Resources continues to conduct research, acquire and explore metal projects in western Canada. The Company controls over 35 gold, base-metal and uranium projects, many with third parties including Alexco Resource Corp. (TSX-V:AXR), Wellstar Energy Corp. (TSX-V:WST), Blue Sky Uranium Corp. (TSX-V:BSK), Blind Creek Resources and Golden Cariboo Resources Inc. (TSX-V:GCC). These agreements expose Eagle Plains to over $18.0 million in exploration expenditures over the next five years. In recent years, Eagle Plains has completed option agreements with Billiton Metals, Rio Algom Exploration, NovaGold Resources, Kennecott Exploration, Viceroy Resource Corp. and numerous other junior exploration companies, resulting in over 38,000 m (125,000 feet) of drilling and over $16,000,000 in exploration spending on its projects since 1998. During the 2006 season, Eagle Plains and its partners completed over 7,000 m (23,000 feet) of diamond drilling on its properties.
This news release has been reviewed and approved by Tim J. Termuende, P.Geo., hereby designated as a “Qualified Person” under National Instrument 43-101.
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.