Eagle Plains Samples New High-Grade Gold Discovery at Yellowjacket Gold Project, Atlin, B.C.
Cranbrook, B.C., October 6th, 2010: Eagle Plains Resources Ltd (TSX-V:EPL) is pleased to report that bedrock sampling on the Yellowjacket Gold Project located near Atlin, BC has returned significant high-grade gold mineralization recently exposed by placer mining activity in an area 700m west of current exploration work. Partial results from sampling have been returned, with additional results pending.
- Recent placer mining activity by third-party lessees has exposed mineralized bedrock material owned 100% by EPL which assayed 51.36 g/t over 5.2m, located approximately 700m west of the Yellowjacket Zone, where drilling activity is currently underway
- Mineralized zone is open to the north and at depth, with further analytical results pending
- An historic shaft has also been recently exposed and appears to be related to the mineralized zone. This feature is interpreted to be the Rock of Ages shaft, as reported in historical documents
- Drilling continues on the Yellowjacket Zone, with 30 holes completed to date; results pending
Placer mining activity is still underway on placer claims originally leased from Prize Mining and now leased from owner Eagle Plains (as reported by Prize Mining on September 28th, 2010). Recent excavation on the claims has exposed an historic timbered shaft sunk into altered bedrock material. Historical reports suggest that this shaft was located within the Rock of Ages Zone. The 1903 Report of the Minister of Mines describes the Rock of Ages workings as: "...a shaft has been sunk 60 feet. From the bottom of this a cross-cut was run 7 feet and struck the hanging wall of the ledge. A drift was run down-stream 60 feet at this level, and one upstream on the 30 foot level. The ledge wherever tapped is about 14 feet in width, mostly low grade ore, although many extremely rich patches are encountered." Eagle Plains geologists have mapped and sampled the local area and have now received partial results, including an interval which returned 51.36 g/t over 5.2m. Additional mapping to the north and west of the mineralized zone suggests similar geological characteristics, with sample results pending.
Drilling continues at the Yellowjacket Zone located 700m to the east. A total of 45-50 reverse circulation holes are planned for the area, with 30 holes completed to date. A total of 1900m (6200’) of drilling is planned for this program. Analytical results are pending.
The Yellowjacket Project is located 9 km east of Atlin, BC and is accessed by all-season road. Hydro-electric power is located within 5km of property boundaries. The project received a B.C. Mines Act permit in July, 2009 for an open pit gold mine and onsite 400 tpd mill and concentrator, processing up to 75,000 tons per year. The Permit contemplates a 7–9 year mine life from a series of open pits entirely within an area of disturbed placer workings. Since the recent completion of the buy-out from Prize, Eagle Plains owns a 100% interest in both mineral (hard-rock) and placer rights within the project area. In October 2009, Eagle Plains and Prize announced the formal ratification of an Impact and Benefits Agreement with the Taku River Tlingit First Nation.
About Eagle Plains Resources
Eagle Plains continues to conduct research, acquire and explore metal projects throughout western Canada. In addition to holding mining royalties on various projects, Eagle Plains controls over 35 gold, base-metal and uranium projects, several with third parties including Excelsior Mining Corp (TSX:MIN.P), Sandstorm Resources Ltd. (TSX-V:SSL), Sandstorm Metals and Energy Ltd. (TSX-V:SND), Providence Capital Corp., Waterloo Resources Ltd. (TSX-V:WAT.P), Windstorm Resources Inc., 0802906BC Ltd. (a private B.C. company); Heemskirk Canada Ltd., Touchdown Capital Inc. (TSX-V: TDW) and 99 Capital Corp. (TSX-V:WDG). In recent years, Eagle Plains has completed option agreements with Teck Limited (TSX:TCK.B), Alexco Resource Corp. (TSX-V:AXR), Billiton Metals, Rio Algom Exploration, NovaGold Resources, Kennecott Exploration and numerous other junior exploration companies, resulting in over 53,600m (163,370’) of drilling and over $28.3 million in exploration spending on its projects since 1998.
Expenditures during 2008 and 2009 on Eagle Plains’ projects were approximately $7,300,000, funded by Eagle Plains and third party partners. This work resulted in approximately 6,900m of drilling and extensive ground-based exploration work and facilitated the advancement of numerous projects at various stages of development.
Technical aspects of this news release have been reviewed and approved by T.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.