MAX options two properties in British Columbia
Mon Jun 9, 8:31 AM
ca.news.finance.yahoo.com
TSX-V Symbol: MXR
OTC BB Symbol: MXROF
Frankfurt: M1D
VANCOUVER, June 9 /CNW/ - MAX Resource Corp. (TSX.V: MXR; OTCBB: MXROF; Frankfurt: M1D) has entered into separate Option Agreements with Eastfield Resources Ltd. (TSX.V:ETF) whereby it can earn up to a 60% interest in two exploration properties located in British Columbia, Canada.
The Indata Gold/Copper Property encompasses 3,060 hectares located 1 1/2 hr by truck north of the Town of Fort St. James in North Central B.C. There are two exploration targets on the property. The first is structurally controlled precious metal veins and the second is Porphyry Copper. Analogues for the precious metal veins include the Motherlode System in California in which the Pinchi fault system represents a crustal suture comparable to the Melones fault. Serpentinized ultramafic intrusions and a comparable suite of pathfinder elements lend themselves to this comparison. A review of 24 diamond drill intercepts in the precious metal target indicates that the average vein intercept is 1.54 metres wide with an average grade of 8.41 g/tonne gold and 52.43 g/tonne silver including one very high grade intercept of 46.26 g/t gold and 2.00 g/t silver over 4 metres. Eastfield and its partners have expended approximately $2.1 million to date on the Indata property.
MAX can earn a 60% interest in the Indata property over a three year period by making cash payments totaling $120,000 ($10,000 on signing), issuing up to 300,000 shares (50,000 shares in the first year) and by completing exploration expenditures of $1.15 million over a three year period. The agreement is subject to acceptance for filing by the TSX Venture Exchange and availability of drilling permits and a drilling contractor.
MAX plans to conduct a drill program at Indata during 2008 to test for mineralized extensions to or beneath the historical significant drill intercepts. These include the following:
1) Drill hole 88-11, drilled in 1988, which intersected 4 metres of
altered and weakly chalcedonic veined ultramafic grading 46.2 g/t gold
over 4 metres. A new vertical hole to a depth of 200 metres is proposed
and will be collared immediately to the east of 88-11. Further precious
metal targets have been identified by geochemical soil surveys carried
out by the previous operators, the most recent of which was conducted in
2007. The robust gold and multi-element soil anomaly developed in 2007
will require an induced polarization surveying to detail this target
prior to trenching or drilling.
2) Hole 98-04, drilled in 1998 in the porphyry copper target intersected
145 metres grading 0.20% copper with the bottom 24 metres grading 0.37%
copper. This could represent an early indication that copper
mineralization may be increasing with depth. The drill area is spatially
related to a coincident magnetic high and circular feature observed on
satellite imagery. Drilling has not effectively tested this feature to
depth and on its northern extremity. A strong and relatively cohesive
soil copper anomaly exists for at least 1,500 metres to the south of the
known porphyry copper mineralization. This remains largely untested and
shows promise of a large untested anomaly.
The Howell Gold Project is comprised of 4,376 hectares in Southeast B.C. located one hour by gravel road south of the town of Sparwood, straddling the drainages of Twenty-Nine Mile Creek and Howell Creek. Eastfield has the right to earn a 100% interest in the Howell property through an amended 1999 option agreement with Teck Cominco Metals Limited ("TCML") and Goldcorp Inc. ("GI") whereby outstanding commitments include a final exploration expenditure totaling $423,759 and cash payments of $100,000 to each of TCML and GI due by August 31, 2010.
MAX can earn a 60% interest in the Howell project over a three year period by making cash payments totaling $120,000 to Eastfield ($10,000 on signing), issuing 250,000 shares (50,000 shares in the first year) and by completing exploration expenditures of $1.25 million. In addition, in order to maintain its option, MAX will also be responsible for its portion of the $200,000 payment due to GI and TCML by August 31, 2010 pursuant to Eastfield's underlying agreement with them. The agreement is subject to acceptance for filing by the TSX Venture Exchange, Max delivering certain covenants to GI and TCML and availability of drill permits and a drilling contractor.
The Howell Creek property is underlain by a thick sequence of Paleozoic limestones and sedimentary rocks and older Proterozoic sediments. Mid-Cretaceous intrusions occurring as sills, dykes, plugs and diatremes intrude these units. Gold mineralization occurs disseminated in limestone and with quartz stockworks in syenite intrusives and Proterozoic sediments. Prior drilling has included 1.23 g/t gold over 58 metres, 0.95 g/t gold over 39 metres, 0.65 g/t gold over 82 metres, and 0.57 g/t gold over 149 metres. A diamond drill hole from 2006, collared to the west of the surface expression of the important Palaeozoic limestone, penetrated a near surface fault and intersected 43 metres grading 0.42 g/t gold to the bottom of the hole at 66 metres. Hole HW-606 effectively expands the prospective area for the target model. The last sample in this hole graded 0.44 g/t gold indicating a need to drill deeper and test the target along strike.
Exploration at Howell has included 6,197 metres of drilling in 49 holes. Several holes have also intersected significant "manto style" silver-lead-zinc intercepts in limestone. These include 15.3 g/t silver, 0.40% lead and 2.40% zinc over 7.5 metres and 51.5 g/t silver, 1.98% lead, 1.87% zinc, and 0.32 g/t gold over 7.6 metres. Hole HRC-15, with a 7.6 metre intercept grading 51.5 g/t Ag, 1.98% Pb, 1.87% Zn, and 0.32 g/t Au in dolomite, is located on the eastern edge of the drill grid. These intercepts represent Carbonate Replacement Deposit (CRD) style mineralization which has not been actively explored at Howell in past exploration efforts.
MAX plans to conduct drilling at Howell during 2008 to continue expand the carbonate limestone hosted mineralization in the vicinity of HRC-25, H-02-1, H-02-3 and HW-606 In addition, MAX has plans to drill at least one new hole to the east of hole HRC-15 where CRD style mineralization has been identified.
Mr. Clancy J. Wendt, P.Geo, has acted as the qualified person as defined in National Instrument 43-101 for the purpose of the release of the technical information contained herein.
About MAX Resource Corp.
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MAX Resource Corp. is a Canadian based exploration company with a diversified portfolio of mineral exploration projects in Canada and the Western United States. Our properties include Uranium projects in the south western U.S. and northern Canada, Molybdenum in Alaska and Nevada, and Gold in Nevada. For more information, please visit our web site at www.maxresource.com.
On behalf of the Board of Directors of
MAX Resource Corp.
"STUART ROGERS"
Stuart Rogers
President
THE CONTENTS OF THIS NEWS RELEASE HAVE NEITHER BEEN APPROVED NOR
DISAPPROVED BY THE TSX VENTURE EXCHANGE.
This News Release includes certain "forward looking statements". Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various degrees of risk. The following are important factors that could cause MAX's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital.
Contacts
Leonard MacMillan
Corporate Communication
Telephone: (800) 248-1872 or (604) 637-2140
info@maxresource.com
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