Eagle Plains Commences 2009 Follow-up on Iron Range Gold Discovery
Cranbrook, B.C., 02 June, 2009: Eagle Plains Resources Ltd. (EPL:TSX-V) has commenced a $400,000 exploration program on the Iron Range project, located in the Goat River area 15km NE of Creston, B.C.. The work follows the discovery of high-grade gold mineralization on the property as announced earlier this year (see EPL NR April 20th, 2009). Highlights from 2008 drilling included hole IR08006, which returned 7.0m grading 51.52 g/t (1.50 oz/ton) gold from 20.0m to 27.0m, including 3.0m grading 118.45 g/t (3.46 oz/ton) gold from 20.0m to 23.0m.
The 2009 field program will focus on the high-grade gold zone discovered during the 2008 diamond drill program. Phase I work will consist of a detailed soil geochemical survey, mechanized trenching, and detailed geological mapping to define the surface expression of the mineralized zone. Phase II of 2009 fieldwork will consist of a diamond drilling program which will commence later in the season, after results from surface work have been compiled and interpreted.
The property consists of 22,396 ha owned 100% by Eagle Plains and has no underlying royalties or encumbrances. The claims are well situated with respect to infrastructure; with a high pressure gas pipeline, high-voltage hydroelectric line, railway and major highway located within property boundaries.
2008 Program Summary
The objective of the 20-hole 1,670m (5,500’) 2008 drill program was to systematically test the prominent Iron Mountain structure over a 3km strike length in order to calculate an inferred resource for known iron mineralization and to test for associated iron oxide copper-gold (“IOCG”) mineralization. Drill-pads were spaced at approximately 500m intervals. The Iron Mountain structure has been mapped with widths of up to 150m and a strike length of over 50km. Claims held by Eagle Plains cover over 25km of the structure, with significant iron-oxide mineralization occurring over 15km.
A map outlining pertinent details of the property may be found here:
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 deposits 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 staked the current claims immediately after the Crown Grants reverted in 2000. Eagle Plains has been working on the property since acquiring the claims. Exploration work including geological mapping, geochemical surveys and a 690 line-km airborne geophysical survey were used to define targets for drill testing.
Sandstorm Resources Ltd has recently notified Eagle Plains that it not proceed with its option on the Elsiar Project, located 40km north of Terrace, BC.
About Eagle Plains Resources
Eagle Plains Resources plans to commence gold production at the Yellowjacket project in mid-2009 and continues to conduct research, acquire and explore metal projects in western Canada. In addition to holding mining royalties on various projects, the Company controls over 35 gold, base-metal and uranium projects, several with third parties including Waterloo Resources Ltd (TSX-V:WAT.P) and XO Gold Resources Ltd. (a private B.C. company). These agreements expose Eagle Plains to $6.0 million in exploration expenditures over a five year period. 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 53,000m (158,500’) of drilling and over $27.0 million in exploration spending on its projects since 1998.
Expenditures during 2008 on Eagle Plains’ projects were approximately $6,000,000, funded equally between Eagle Plains and third party partners. This work resulted in approximately 6,300m of drilling and extensive ground-based exploration work and facilitated the advancement of numerous projects at various stages of development. In 2009, management anticipates approximately $1.0 million in exploration expenditures funded between Eagle Plains and its partners.
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.