***** LAST FRONTIER NEWS *****
Last Frontier Oil Company Inc.
Trading NASDAQ Bulletin Board
Symbol - LFNO
Cusip # 518112-10-7
Tel-604-981-3083
Fax-604-981-3093
March 23, 1997
News Release
Last Frontier Oil Company Inc. has commenced work programs on the Company's
two major mining properties in Chile. Last Frontier holds an 80% interest in each
property and NP Energy Corporation Inc., a 20% interest. The Mina Claudia and the
Andacollo are under contract to Sierra la Plata S.A., a wholly owned Chilean
subsidiary of Last Frontier Oil Company Inc.
The Mina Claudia property is located 25 kilometers from the Phelps Dodge 20,000
tonne per day Candalaria copper mine. Ore samples range from trace to 4% copper
with pockets as high as 15%. The property is in small production of about 200 tonnes
per day. Major work planned for this spring includes surface reconnaissance, mapping,
drilling and expanded copper production. Of particular interest in the exploration phase
is the development of known and potential silver and gold zones in the manto style
mineralization. Crews have been sampling some of those areas during March and as a
result of some spectacular silver assays, the Company is optioning an adjoining 2000
hectare property.
On the Andacollo properties, Gordon House, P.Geo., reports that the group of claims
contain drilled, probable reserves exceeding 3,000,000 metric tonnes of gold ore in the
high grade veins and in excess of 3,000,000 metric tonnes in the manto structures.
Reports by Malcolm Fraser, B.Sc., MA, economic geology, state the potential of one
of the several undrilled properties, the "La Colorada", to be in excess of one million
troy ounces of gold. Field crews have been sampling and mapping the gold bearing
manto structures that strike through the properties. The trend of those mantos is
through the Company's La Colorada property and into adjoining ground which Last
Frontier is contracting to acquire. Assay results on this property confirm the presence
of gold bearing mantos. A 12,000 meter drilling program has been contracted and is
scheduled to begin shortly. A gold processing facility is being readied for production
and a two tonne bulk sample has been shipped to Boise Labs for metallurgical and
gold extraction analysis.
Last Frontier Oil Company Inc. also holds a significant land position in the Babine
Lake area of British Columbia, Canada. This area is well known for its economic
copper and gold open pit operations. Former producers such as the Bell Copper Mine
and the Granisle Mine processed 128 million tons and 94 million tons respectively. The
Morrison deposit 16 kilometers north of the Bell Mine has an indicated and inferred
resource of 190 million tons. The Hearne Hill deposit adjacent to the Morrison has an
estimated 88 million tons of copper gold ore. Last Frontier holds properties adjacent
to Hearne Hill that are considered to have high potential for economic mineralization.
For further information call Dave DiRicco, Investor Relations at 415-367-5071
On behalf of the board of directors
Per: Larry Regis Jr., President |
