Eagle Plains Releases Final Results From Phase-One Drilling Program on Sphinx Molybdenum Project
Cranbrook, B.C. 25 October, 2005: Eagle Plains Resources Ltd. (EPL: TSX-V) has completed Phase 1 drilling activity on it’s 100% controlled Sphinx property, located 60 km west of Kimberley, BC. The claims consist of a total area of 2500 ha, with 1600 ha acquired by staking by EPL and 900 ha subject to an option to earn 100% interest (less 1% NSR) from arms-length individuals. A total of 14 holes were completed for a total of 10,921’ (3,330m). The area outlined by this and past diamond drilling programs measures approximately 400 x 1000m.
- Most holes intersect significant molybdenum mineralization over a broad area, with mineralized zone open to depth and along strike in one direction.
- Analytical results include 47.0m grading .10% Mo (.167% MoS2).
- Surface work continues on the property in preparation for Phase 2 drilling activity
The drill program was successful in outlining molybdenum mineralization in an area with excellent infrastructure. A summary of analytical data from the first 7 holes was released on July 19th. Complete results to date are shown below:
|SX05001||45/270/340.9m||(hole ended in mineralization)|
|4.0 to 340.9m||(entire hole)||336.9||0.033||0.055|
|Including||25.0 to 44.0||19.0||0.060||0.100|
|96.0 to 118.0m||22.0||0.050||0.084|
|Including||96.0 to 101.0m||5.0||0.112||0.187|
|288.0 to 318.0m||30.0||0.066||0.109|
|Including||292.0 to 318.0m||26.0||0.070||0.117|
|SX05002||75/270/231.1m||(hole ended in mineralization)|
|3.0 to 231.1m||(entire hole)||228.1||0.036||0.066|
|Including:||51.0 to 159.0m||108.0||0.060||0.101|
|Including:||110.0 to 159.0m||47.0||0.100||0.167|
|Including:||121.0 to 128.0m||7.0||0.308||0.514|
|9.0 to 106.0m||97.0||0.012||0.020|
|Including:||37.0 to 52.0m||15.0||0.021||0.035|
|No significant results|
|SX05005||45/270/391.7m||(hole ended in mineralization)|
|7.1m to 391.7m||(entire hole)||384.6||0.029||0.048|
|Including:||193.0 to 245.0m||52.0||0.051||0.086|
|Including:||193.0 to 210.0m||17.0||0.063||0.106|
|375.0 to 382.0m||7.0||0.101||0.168|
|6.1 to 309.0m||302.9||0.021||0.035|
|Including:||114.0 to 239.0m||125.0||0.030||0.049|
|204.0 to 223m||19.0||0.060||0.103|
|Including:||208.0 to 220.0m||12.0||0.078||0.130|
|6.0 to 100.0m||94.0||0.029||0.048|
|Including:||36.0 to 55.0m||19.0||0.061||0.102|
|Including:||43.0 to 54.0m||11.0||0.085||0.141|
|SX05008||45/90/215.85m||No significant results|
|SX05009||45/270/237.2m||(hole ended in mineralization)|
|24.0 to 237.2m||(entire hole)||213.2||0.026||0.044|
|Including:||133.0 to 145.0||12.0||0.042||0.070|
|12.0 to 43.0m||31.0||0.032||0.054|
|Including:||19.0m to 23.0m||4.0||0.060||0.101|
|47.0m to 48.0m||1.0||0.033||0.055|
|3.0m to 188.0m||185.0||0.044||0.074|
|Including:||106.0 to 151.0m||45.0||0.066||0.109|
|Including:||139.0 to 150.0m||11.0||0.103||0.172|
|SX05013||45/90/218.9m||No significant results|
|SX05014||45/270/168.0m||No significant results|
The claims are ideally located with respect to local infrastructure. The property is road-accessible, has been logged extensively and is situated along a high-voltage hydro-electric line. Rail facilities are located 60km east of the property.
The project area was first identified by Cominco Ltd. in 1978, which carried out surface work and limited diamond drilling from 1978 to 1984. Cominco completed a soil geochemical survey which resulted in the delineation of a 1700m x 500m tungsten-moly anomaly. 5 drill holes were completed by Cominco, but no results were released. In 1997, Barkhor Resources drilled 10 holes into the soil anomaly and encountered significant molybdenum mineralization over a 1000m x 300m area. Results from only one hole were ever released (DDH JI97-06), but a private consultant reported that “typical drill intersections are averaging 0.03-0.038% Mo over core lengths ranging from 90 to 230m”. At the time of the Barkhor drill program, molybdenum sold for $ 5.00 US per pound - the metal is currently priced at $32.25 US per pound (October 19th price).
The property overlies brittle sedimentary units that have been intruded by intrusive rocks. Molybdenum and associated tungsten mineralization occurs as disseminations and within quartz-pyrite stockwork veins hosted by both sedimentary and intrusive rocks. Chemical alteration of rock units suggests the presence of a substantial porphyry-style mineralizing system.
EPL has consolidated a large land package which includes all significant claims in the area, including lands suitable for mine infrastructure and tailings areas. In 2004, EPL completed an airborne geophysical survey that outlines a large intrusive feature associated with the previously-defined soil anomaly. All core from the 1980-83 and 1997 programs has been secured and examined - available assay results have been compiled and interpreted, and were reported in a news release issued May 9th, 2005. Geological mapping, prospecting and soil geochemistry has been completed in areas which appear prospective for the subsurface continuation of existing mineralization.
All drill data from the 2005 program will be entered into a database and an inferred resource calculation will be prepared and released during the winter months. Additional drilling is planned for the property for 2006. A 1.5km exploration trail has recently been completed in order to provide access to future drill sites.
On-site geological work is the responsibility of David Pighin, P.Geo., with overall project supervision provided by C.C. Downie, P.Geo. (the “Qualified Person” under National Instrument 43-101). Quality control protocol including the use of standards and duplicate assays were employed throughout the course of the 2005 program.
Diamond Drilling programs have been completed on EPL’s Copper Canyon gold-copper project and on the Coyote Creek gypsum project. At Copper Canyon, option partner NovaGold Inc. (AMEX,TSX:NG) has completed two holes for a total of 729.8m (2394’). At Coyote Creek, EPL has completed 10 holes for a total of 437.5m (1435’). Results will be issued when they are received, compiled and interpreted.
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 with third parties including NovaGold Inc. (AMEX,TSX:NG), Amarc Resources Ltd. (a Hunter Dickinson Group Company;TSX-V:AHR), Northern Continental Resources Inc. (TSX-V:NCR), and Golden Cariboo Resources Inc. (TSX-V:GCC). These agreements expose Eagle Plains to over $16.5 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 alone, EPL has seen over 11,300m (37,000’) of diamond drilling on its properties.
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.