Eagle Plains Agrees to Sell Coyote Creek Gypsum Project
Cranbrook, B.C., 19 October, 2006: Eagle Plains Resources Ltd. (EPL:TSX-V) has completed an option-to-purchase agreement with CGC Inc. (a New Brunswick- registered company). Under terms of the agreement, CGC has the right to acquire a 100% interest in EPL’s 100% owned Coyote Creek gypsum project located in the Coyote Creek area 50km NE of Cranbrook, BC. CGC has paid to EPL the sum of $30,000 for the right to evaluate the property; the agreement expires on October 2, 2007.
The property consists of 1300 hectares acquired by staking by Eagle Plains and holds no underlying royalties or encumbrances. The property is road-accessible and hydro-electric power and rail transportation is located 24 km by existing road from property boundaries. The Coyote Creek claims cover gypsum occurrences hosted within the Burnais Formation.
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 with third parties including NovaGold Inc. (AMEX,TSX:NG), Alexco Resource Corp. (TSX-V:AXR), Solomon Resources Inc (TSX-V:SRB), Blind Creek Resources and Golden Cariboo Resources Inc. (TSX-V:GCC). These agreements expose Eagle Plains to over $11.0 million in exploration expenditures over the next five years. In recent years, Eagle Plains has completed option agreements with Billiton Metals, Rio Algom Exploration, Kennecott Exploration, Viceroy Resource Corp. and numerous other junior exploration companies, resulting in over 30,000m (100,000’) of drilling and over $9,000,000 in exploration spending on its projects since 1998. During the 2005 season, EPL and its partners completed over 11,900m (39,000’) 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
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