NEWS RELEASE TRANSMITTED BY CANADIAN CORPORATE NEWS
FOR: MILL CITY GOLD MINING CORP.
VSE SYMBOL: MIY
AND TANQUERAY RESOURCES LTD.
ASE SYMBOL: TQY
MAY 14, 1997
Mill City Gold Mining and Tangueray Resources - Yamba
Lake Drilling Update
CALGARY, ALBERTA--MILL CITY GOLD MINING CORP. (MIY-VSE) and
TANQUERAY RESOURCES LTD. (TQY-ASE) are pleased to announce that
CYPANGO VENTURES LTD. (CAV-VSE) has provided an update on the
exploration progress on the Yamba Lake property in the Northwest
Territories. The Yamba Lake property is situated 320 km northeast
of Yellowknife and adjoins the property upon which BHP/Dia Met's
Koala project is located.
Regional and detailed heavy mineral till sampling on the Yamba
Lake property has further defined four kimberlite indicator
mineral dispersion trains on the Yamba Lake property, to bring the
total number of trains terminating in specific target areas to at
least six (6). The Company is currently in the process of further
defining targets through high resolution geophysical surveying
(25m line spacing) and plans drilling to follow once targets have
been as fully substantiated from the surface as is possible.
Having already completed and interpreted a ground geophysical
survey on the Target 56 area of the property, the Company now
intends to drill a series of four (4) targets that are referred to
as the "Gooseneck" targets. These targets lie adjacent to a
peninsula that extends west from an island located in a large lake
in the central portion of the property, and can be drilled
year-round from shore. The targets are defined by a kimberlitic
pyrope garnet, chrome spinel, and olivine-rich indicator mineral
dispersion train that is 0.9 km wide on the down-ice (western)
shore of the lake. Microprobe analyses of indicator minerals from
this train show that the grains originated from kimberlites that
have sampled the diamond stability field and confirm broadly
favourable conditions for the presence of diamonds. All samples
gathered on the up-ice shore of the lake have demonstrated barren
or background concentrations of indicator minerals suggesting that
the train terminates beneath the lake. The targets appear as a
series of well-defined magnetic lows on the ground magnetic survey
and the profiles appear consistent with those of kimberlite pipes
already discovered in the area. Drilling of the Gooseneck targets
is expected to begin within a week.
Presently and concurrent to the drilling of the Gooseneck targets,
detailed sampling and geophysical surveying over targets at the
terminus of the "T-49" and "T-60" trains in the west central and
southwest portions of the property respectively continues, and is
expected to define further targets for drilling shortly.
Cypango has an option to earn a 51 percent interest in the Yamba
Lake Property from Mill City and Tanqueray by completing a
$5,000,000 work program by October 31, 1999, together with issuing
150,000 common shares of Cypango to each of Mill City and
Tanqueray. Upon completing such a work program, Cypango has that
further option to earn an additional 19 percent interest by
issuing to each of Mill City and Tanqueray 150,000 common shares
and delivering a positive feasibility study by December 31, 2001.
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FOR FURTHER INFORMATION PLEASE CONTACT:
Mill City Gold Mining Corp.
Larry D. Revitt
President
(403) 278-8500
(403) 278-8580 (FAX)
www.millcitygold.com
millcity@cadvision.com
or
Tanqueray Resources Ltd.
Linda Falkenberg
(403) 263-9055
(403) 263-9061 (FAX)
Neither the Vancouver Stock Exchange nor The Alberta Stock
Exchange has approved or disapproved the information contained
herein.
INDUSTRY: PCS
SUBJECT: MEX |
