NEWS RELEASE!!!..........Perhaps this explains the
movement in price.
CELTIC ACQUIRES ADVANCED GOLD PROJECT
CALGARY, March 13 /CNW/ - David Graham, President of Celtic Minerals Ltd.
(CME-ASE) (``Celtic'') is pleased to announce the company has signed a
Memorandum of Understanding with Sulu Resources Development Corporation
(``Sulu'') of Manilla, Philippines whereby Celtic will acquire a 70%
beneficial interest in the Sulu Gold Project located on the Batangas
Peninsula, Philippines.
Three highly prospective areas for epithermal gold deposits are covered
by 29 claim blocks totalling 2,349 hectares and include the Sulu, Pulong
Anahaw, and Mt. Panay targets. These areas were previously worked by Kenmare
Minerals (``Kenmare'') during 1989 and 1990. Despite highly encouraging
results, it has been confirmed by Kenmare that work stopped as a result of
financial constraints during 1991.
Results of Kenmare's work indicate excellent potential for the presence
of a multi-million ounce high grade and bulk tonnage epithermal-style gold
deposit Diamond drilling at the Sulu prospect where a total of 804.5 metres in
10 shallow holes, identified bonanza gold veins grading 12.5 g/t and 14.4 g/t
over 2 metre widths. Broader zones of strong gold mineralization are
indicated by intercepts of 15.7 metres of 1.6 g/t and 7.3 metres of 1.64 g/t.
Kenmare tested only 200 metres of the structurally controlled Sulu vein system
that has an indicated strike length of over 2 metres. Mr. Graham reports,
``An economic resource could be rapidly outlined by performing shallow
drilling along the trend of the vein and at depth to test the `roots' of the
system.''
At the Mt. Panay area, a 1000 by 2500 metre strong clay-altered zone,
containing 5 to 7% sulphides has yet to be tested. It has been described as
having similar geological characteristics to the Lepanto, Philippine
epithermal deposit area, where an ore reserve of 35 million tonnes of 300 g/t
gold and 3 - 5% copper have been delineated.
At the Pulong Anahaw area, similar veining and clay-pyrite alteration to
the Sulu zone exists. Grab samples from veins exposed in trenches returned
assays between 2.5 and 17.1 g/t gold, and 0.1 to 1.3 g/t gold from the
enveloping clay-pyrite alteration.
Under the terms of the MOU, Celtic will make certain cash payments and
share issuances to Sulu over a 5 year period to earn its 70% beneficial
interest. The agreement is subject to due diligence by an independent
consultant and regulatory approval.
Celtic Management is pleased to make the Sulu project acquisition as it
will provide immediately drillable targets with near-term multi-million ounce
discovery potential for its shareholders.
The Alberta Stock Exchange Neither Approves Nor Disapproves of the
information contained herein.
Ricki |
