And more news from today :
ASE SYMBOL: CYR
JUNE 9, 1998
Columbia Yukon Resources Ltd. Liberty Bell Gold Update
VANCOUVER, BRITISH COLUMBIA--Following the announcement confirming
the completion of the merger with Liberty Bell Mining Company, the
management of Columbia Yukon Resources Ltd. (the "Company") is
pleased to present an update on the project status. This gold
project, guided by the well qualified technical team from Liberty
Bell who have been responsible for developing the tonnages to
date, has strategically placed the Company with a large gold
resource in Alaska, a political environment that is about as good
as it gets for a mining company today.
The project is located in the Bonnifield Mining District 100 kms
(60 miles) southwest of Fairbanks. The property is close to
power, rail and paved highway and the coal mining centre of
Healey; having this extensive infrastructure in place has a very
favourable economic impact on the project - it allows cost
effective exploration and minimum additional site costs for the
construction required to start production.
Diamond drilling in 1996 indicated that earlier reverse
circulation ("RC") drilling had substantially under valued the
project, probably due to a loss of gold in the sampling of wet
drill cuttings. One core drill hole returned more than 4 times
the contained gold over a shorter interval than the original RC.
The actual grade in the hole was 39.98 g/t (1.155 oz/s.ton) gold
over 8 meters (26.5 feet), including 1.52 meters with a grade of
93.1 g/t gold (5 feet with a grade of 2.7 oz/s.ton). This,
coupled with the potential for similar mineralization in 7 other
targets as supported by gold in the overlying soils, drill hole
and/or trench assays, was the basis for encouraging the Company to
take its position.
The indication that the contained gold in the deposit may be
substantially greater than suggested by earlier data was supported
by work carried out in 1997. 4 out of the 6 drill holes twinned
with the older RC holes in that program returned higher grades.
The Mine Zone Reserve (1989) stood at 180,000 ounces of gold based
on block model estimates made by a major mining company using a
grade of 0.08 opt gold at a 0.015 opt cut-off. Re-calculation of
the resource in the copper area by the operator incorporating the
1997 drill results has advanced the drill indicated resource
potential to 250,000 ounces of gold identified in two defined
areas. A re-calculation of the ore resource in the mine area is
planned after additional untested areas are drilled and results to
date suggest that a significant increase in contained ounces of
gold will occur.
This work is part of the ongoing systematic development of the
property. The follow-up of geological, geophysical and
geochemical data by drill programs has consistently resulted in
increasing the Liberty Bell gold resources.
Earlier drilling on the Northwest Copper Zone, approximately 600
meters (2,000 feet) from the Mine Zone, has indicated an all
classes resource in the order of 1,670,000 tonnes (2,000,000
s.tons) with a grade of 1.17 g/t (0.05 opt) gold. Core drilling
in 1997 confirmed mineralization in brecciated rocks of the Lower
Tuff sequence, but with recoveries of 50 percent, this work
indicated that RC drilling would be the better sampling tool.
A Phase II programme, starting with 2,000 feet of core drilling of
a permitted 5,000 foot program has been recommended for the
testing of two stockwork zones outside the area of known
resources. Either of these zones is large enough to have the
potential for doubling the known gold resource on the Liberty Bell
property. Further, surface work is planned for 5 other targets on
the 10,500 acre claim block.
The Company has acquired a property with a strong base as a gold
asset, substantial potential for expanding the asset, and a
technical team capable of developing the property through to
production.
ON BEHALF OF THE BOARD OF DIRECTORS
BENJAMIN AINSWORTH, DIRECTOR
-30-
FOR FURTHER INFORMATION PLEASE CONTACT:
Columbia Yukon Resources Ltd.
Benjamin Ainsworth
Director
(604) 683-3070, 1-888-888-9122 CDN, 1-888-888-9123 USA
(604) 683-2308 (FAX)
Website: columbiayukon.com |
