VANCOUVER, May 2, 2011 /PRNewswire-FirstCall/ --
- Hole 10SWC770 Intercepts 4.6% Cu & 3.6g/t Au Over 6.1m
Including 5.4% Cu & 3.4g/t Au Over 3.7m
- Hole 10SWC777 Intercepts 3.2% Cu & 1.8g/t Au Over 8.2m
Including 4.5% Cu & 2.0g/t Au Over 4.0m
Capstone Mining Corp. (TSX: CS) announced assay results today
for the first nineteen drill holes from the Copper Keel deposit
completed this winter at the Minto Mine in the Yukon. Highlights from the first phase of the
2011 exploration holes are summarized in the table below, with
complete results attached.
"The first phase of the 2011 program expanded the extents of the
Copper Keel deposit and demonstrate that it is continuous to
contiguous with the deeper levels of the Area 2/118 deposit,
located to the northwest of Copper Keel and south of the Minto Main
Pit," said Brad Mercer,
Vice-President of Exploration for Capstone. "A new resource model,
which is nearing completion, is expected to integrate the
Wildfire/Copper Keel deposit into a larger framework that will
combine the Area 2/118 and the Wildfire/Copper Keel deposits into
one resource model. This will facilitate a more seamless approach
for optimizing the development of a group of spatially and
genetically related deposits in a tandem approach of open pit and
underground mining where open pit pre-stripping of waste has
already begun.
Highlights of Recent Drilling at Copper Keel
Hole ID Target Area From To Interval Interval Copper Gold Silver
(m) (m) (m) (ft) (%) (g/t) (g/t)
11SWC-762 Copper Keel 265.3 279.6 14.3 46.9 2.10 0.58 7.0
including 269.3 274.0 4.7 15.4 4.74 1.16 15.4
11SWC-765 Copper Keel 268.1 289.0 20.9 68.6 2.00 0.66 6.1
including 271.8 276.8 5.0 16.4 3.12 0.90 9.1
11SWC-770 Copper Keel 327.5 333.6 6.1 20.0 4.57 3.60 27.8
including 327.5 331.2 3.7 12.1 5.41 3.43 29.8
11SWC-777 Copper Keel 350.0 358.2 8.2 26.9 3.20 1.75 14.5
including 350.0 354.0 4.0 13.1 4.49 2.01 20.6
Work on an initial resource estimate for the combined
Wildfire/Copper Keel copper-gold deposit is nearing completion and
is expected to be ready before the end of the second quarter of
2011. An updated resource estimate will also be prepared once the
second phase of the 2011 drill campaign is completed, sometime in
late summer.
2011 Exploration Plans at Minto
Drilling operations that are now paused for spring freshet are
anticipated to resume in mid to late May once ground conditions
have dried out at Copper Keel (which is still open to the east,
northeast and northwest) and at Inferno, a new prospect discovered
late last year. There are 15,960 metres of drilling remaining in
the 2011 program out of a total program of 33,750 metres, which is
expected to take seven to nine weeks to complete once drilling
resumes. Construction of drill pads at Inferno, located a few
hundred metres northeast of the Main Pit and mill, has begun.
Further drill results will be released over the coming months
once they have been received and checked. Assay data for 25 holes
drilled in the Copper Keel region are still outstanding.
Mineral resources that are not mineral reserves do not have
demonstrated economic viability. Mineral resource estimates do not
account for mineability, selectivity, mining loss and dilution.
There is also no certainty that mineral resources will be converted
to mineral reserves through further drilling and once economic
considerations are applied.
Drill Hole Location Maps
For current drillhole locations please view the accompanying
map:
http://capstonemining.com/i/maps/2011-13CSCurrentDrillHoleLocations.jpg
For a current view of drill results in the Wildfire/Copper Keel
area please view the accompanying map:
http://capstonemining.com/i/maps/2011-13MintoDrillResultsUpdate.jpg
To see a recent panoramic view of the Area 2 open pit please
view the accompanying photo:
http://capstonemining.com/i/maps/2011-13Area2PrestripPanoramicView.jpg
Quality Assurance
The technical information in this news release has been prepared
in accordance with Canadian regulatory requirements set out in
National Instrument 43-101 Standards of Disclosure for Mineral
Projects of the Canadian Securities Administrators ("NI 43-101")
and reviewed by Brad Mercer, P.
Geol., VP, Exploration of Capstone, a ("Qualified Person") as
defined in National Instrument 43-101.
The analytical method for the copper and silver analyses is aqua
regia digestion of the samples followed by atomic absorption
spectroscopy. Gold is analysed by fire assay fusion with atomic
absorption spectroscopy finish for gold. Analyses are carried out
by ALS CHEMEX in North Vancouver.
When visible gold is noted in drill core samples or regular fire
assay values appear abnormally high, the pulp and screen metallic
assay method is used to determine the total gold content and gold
contents of different size fractions. This is considered industry
best practice when dealing with coarse gold mineralization where a
nugget effect is suspected. This determination is accepted as the
most representative value and is used in the assay database for
mineral resource calculations. Blank and standard samples are used
for quality assurance and quality control. Where more than two
check samples assay outside expected ranges, the entire batch is
re-assayed. After the completion of planned drill programs at
Minto, random check assays will be
carried out by Inspectorate-IPL of Vancouver.
Forward-Looking Information
This document may contain "forward-looking information" within
the meaning of Canadian securities legislation and "forward-looking
statements" within the meaning of the United States Private
Securities Litigation Reform Act of 1995 (collectively,
"forward-looking statements"). These forward-looking statements are
made as of the date of this document and Capstone Mining Corp. (the
"Company") does not intend, and does not assume any obligation, to
update these forward-looking statements, except as required under
applicable securities legislation.
Forward-looking statements relate to future events or future
performance and reflect Company management's expectations or
beliefs regarding future events and include, but are not limited
to, statements with respect to the estimation of mineral reserves
and resources, the realization of mineral reserve estimates, the
timing and amount of estimated future production, costs of
production, capital expenditures, success of mining operations,
environmental risks, unanticipated reclamation expenses, title
disputes or claims and limitations on insurance coverage. In
certain cases, forward-looking statements can be identified by the
use of words such as "plans", "expects" or "does not expect", "is
expected", "budget", "scheduled", "estimates", "forecasts",
"intends", "anticipates" or "does not anticipate", or "believes",
or variations of such words and phrases or statements that certain
actions, events or results "may", "could", "would", "might" or
"will be taken", "occur" or "be achieved" or the negative of these
terms or comparable terminology. By their very nature
forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Company to be materially
different from any future results, performance or achievements
expressed or implied by the forward-looking statements. Such
factors include, among others, risks related to actual results of
current exploration activities; changes in project parameters as
plans continue to be refined; future prices of mineral resources;
possible variations in ore reserves, grade or recovery rates;
accidents, labour disputes and other risks of the mining industry;
delays in obtaining governmental approvals or financing or in the
completion of development or construction activities; as well as
those factors detailed from time to time in the Company's interim
and annual financial statements and management's discussion and
analysis of those statements, all of which are filed and available
for review on SEDAR at http://www.sedar.com. Although the Company
has attempted to identify important factors that could cause actual
actions, events or results to differ materially from those
described in forward-looking statements, there may be other factors
that cause actions, events or results not to be as anticipated,
estimated or intended. There can be no assurance that
forward-looking statements will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements.
Accordingly, readers should not place undue reliance on
forward-looking statements.
Details of 2011 Wildfire/Copper Keel First Phase Drill Results
To accompany Capstone Mining News Release Dated May 2, 2011
Hole ID Target From To Interval Interval Copper Gold Silver
& Interval (m) (m) (m) (feet) (%) (g/t) (g/t)
11SWC-759 Copper 255.0 277.9 22.9 75.1 0.88 0.22 1.9
Keel
including 256.0 264.4 8.4 27.6 1.72 0.39 2.8
including 256.0 261.7 5.7 18.7 1.99 0.41 3.3
11SWC-760 Copper 121.7 124.6 2.9 9.5 1.62 0.21 0.6
Keel
and 258.9 272.2 13.3 43.6 1.81 0.43 4.4
including 262.6 267.3 4.7 15.4 2.85 0.49 5.1
including 262.6 264.6 2.0 6.6 3.76 0.60 6.4
11SWC-761 Copper 254.6 274.6 20.0 65.6 1.20 0.46 5.3
Keel
including 259.8 264.6 4.8 15.7 2.30 0.67 7.7
including 259.8 262.2 2.4 7.9 3.45 0.84 8.9
11SWC-762 Copper 265.3 279.6 14.3 46.9 2.10 0.58 7.0
Keel
including 269.3 274.0 4.7 15.4 4.74 1.16 15.4
including 269.3 272.1 2.8 9.2 6.50 1.51 21.3
11SWC-763 Copper 267.1 282.4 14.3 46.9 1.31 0.36 2.9
Keel
including 268.1 273.3 5.2 17.1 1.88 0.50 3.8
11SWC-764 Copper 231.4 242.4 11.0 36.1 1.13 0.27 3.1
Keel
11SWC-765 Copper 268.1 289.0 20.9 68.6 2.00 0.66 6.1
Keel
including 271.8 276.8 5.0 16.4 3.12 0.90 9.1
11SWC-766 Copper 266.1 275.0 8.9 29.2 1.62 0.48 5.5
Keel
11SWC-767 Copper 285.5 287.7 2.2 7.2 0.53 0.09 3.0
Keel
and 305.7 312.0 6.3 20.7 0.43 0.10 1.4
11SWC-768 Copper 252.4 263.4 11.0 36.1 0.66 0.16 1.2
Keel
and 285.0 286.5 1.5 4.9 0.99 0.47 3.6
and 295.9 302.0 6.1 20.0 1.16 0.65 8.5
including 297.3 302.0 4.7 15.4 1.33 0.79 10.7
11SWC-769 Copper 277.0 289.9 12.9 42.3 1.23 0.37 3.6
Keel
including 279.0 287.0 8.0 26.2 1.75 0.50 4.7
11SWC-770 Copper 275.8 280.6 4.8 15.7 1.29 0.31 2.3
Keel
and 327.5 333.6 6.1 20.0 4.57 3.60 27.8
including 327.5 331.2 3.7 12.1 5.41 3.43 29.8
11SWC-771 Copper 252.8 265.2 12.4 40.7 1.45 0.34 2.4
Keel
11SWC-772 Copper 302.7 313.6 10.9 35.8 1.24 0.83 7.5
Keel
including 310.9 313.6 2.7 8.9 1.90 1.85 16.4
11SWC-773 Copper 255.4 265.8 10.4 34.1 1.04 0.26 1.7
Keel
including 255.4 260.0 4.6 15.1 1.43 0.34 1.8
11SWC-774 Copper 298.4 301.3 2.9 9.5 0.62 0.25 2.0
Keel
and 345.7 349.3 3.6 11.8 1.23 0.70 7.0
11SWC-776 Copper 343.0 349.0 6.0 19.7 1.12 0.44 11.9
Keel
11SWC-777 Copper 309.9 314.2 4.3 14.1 0.84 0.37 1.9
Keel
and 350.0 358.2 8.2 26.9 3.20 1.75 14.5
including 350.0 354.0 4.0 13.1 4.49 2.01 20.6
11SWC-778 Copper Geochemically Anomalous - No Significant
Keel Intersections
For further information:
Capstone Mining Corp.
Cindy Burnett, VP, Investor Relations
Telephone: +1-604-637-8157
Email: cburnett@capstonemining.com
Website: http://www.capstonemining.com
SOURCE Capstone Mining Corp.