Newmac Resources Inc.
Newmac Resources Inc.: DRILLING COMMENCES ON CRAZY FOX MOLYBDENUM PROJECT
Corporate-news transmitted by DGAP – a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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DRILLING COMMENCES ON CRAZY FOX MOLYBDENUM PROJECT
Newmac Resources Inc. (TSX-V: NER; Frankfurt: N3M) is pleased to announce
that drilling has commenced on the 100% owned Crazy Fox Molybdenum
property. A minimum of 3,000 m will be drilled in this first phase
targeting the newly discovered western part of the property where a recent
high grade sample of 7.29% molybdenum has been discovered (see description
below), and the November-December trenching program exposed large widths of
mineralization.
The company is very impressed with the progress made on the property in the
last 4 months, and is excited about the current drill program. The
company’s President David Hjerpe said, “It’s amazing how fast this project
is developing. The company has now discovered mineralized showings through
grab samples, trenches, and historic data covering a distance of 1,000 m,
this size is also confirmed by Newmac’s soil sampling program that
demonstrates the potential of the project in both size and grade.”
Fox Molybdenum Property
The Crazy Fox molybdenum project is located 20 kilometres north-northwest
of the village of Little Fort, BC. Molybdenum has been explored for on the
Crazy Fox property since 1938 but with recent renewed effort following the
discovery of high-grade boulders in 2005 found as new logging roads were
being constructed. One of these boulders, (A quartz-feldspar porphyritic
rock with disseminated MoS²,) which are typically angular, and up to 50
kilograms in weight, was recently assayed and returned an analysis of 7.29%
molybdenum and 1.583 grams per tonne rhenium. The current price for
molybdenum, in the range of $20 to $30 US dollars per pound and for rhenium
recently quoted at $US 1,050 per ounce, make the source of these boulders a
compelling target.
The Crazy Fox property is located 70 kilometers south-southeast of the Boss
Mountain molybdenum mine. Boss Mountain, owned by Noranda Mines was in
production from 1965 to 1983 during which time it processed 6,570,000
tonnes of ore with an average grade of 0.22% molybdenum, mined by both
surface and underground methods. Both the Crazy Fox property and the Boss
Mountain properties are located within the Triassic-Jurassic aged Quesnel
Terrane and each property is proximal to a Cretaceous age (approx.102 my)
intrusive. At Boss Mountain, mineralization occurs in quartz stock work
veins, larger veins and in higher-grade breccia bodies related to the
Cretaceous intrusive. Molybdenum production in the western world’s
economies is currently dominated by US based Phelps Dodge Corporation who
operates the world’s largest primary molybdenum mine at Henderson Colorado.
Henderson, which began production in 1976, produced 160 million tons of ore
to 1992 (date of statistic) grading 0.24% Mo (similar to Boss Mountain) and
remains in production today. British Columbia has also been a significant
producer of molybdenum since 1965 with the Endako Molybdenum Mine having
produced 422 million pounds of molybdenum since then. Endako had published
reserves at the end of 2004 of 80.7 million tonnes grading 0.063% Mo with
mining completed using open pit methods.
At the Crazy Fox property, molybdenite (MoS2), (often simply referred to as
‘moly’) has been recognized in quartz stock work veins, larger veins, in
pegmatite (very coarse grained rocks) and as disseminated mineralization
(in float). The moly is variably associated with tungsten minerals and
fluorite.
Recent Exploration by Newmac to the east and southeast of the focus of
previous exploration efforts on the property in the 1960’s to early 80’s
has revealed a somewhat clustered group of newly discovered molybdenite
occurrences which include localized high grade mineralization in pegmatitic
sections. The pegmatitic rocks are apparently related, proximally and
genetically, to dikes of fine grained, quartz- feldspar porphyry.
Four selected grab samples from local pegmatite or ‘open space filling’ in
trenches 4, 5, and 6 are as follows:
A505335 from Trench 4 = 2.810% Mo
D63425 from Trench 5 = 0.761% Mo
D63421 from Trench 6 = 0.449% Mo
D63423 from Trench 6 = 0.278% Mo
The recently completed trenching results (see News Release February 17,
2006) show the persistence of mineralization across local widths in excess
of 125m within a local area approximately 200m x 300m in extent and open to
extension to the north and west towards areas of previously identified
mineralization. The ability of the system to generate much higher grades
when the ‘plumbing system’ is in place is illustrated by the higher grade
samples associated with pegmatitic textures and open space fillings. The
results are comparable to historical results reported from the 1960’s
through 1980’s elsewhere on the property.
Taken together, the molybdenite mineralization is now recognized over an
area approximately 1,200m wide. Company geologists believe the modes and
styles of the moly occurrences and the mineral associations may be
indicative of a relatively high level within the mineralizing system.
Technical content of this news release has been reviewed by W.A. Howell
P.Geo., a qualified person within the definitions of national instrument
43-101.
Respectfully submitted
ON BEHALF OF THE BOARD
“David Hjerpe”
David Hjerpe
President
This news release contains forward-looking statements within the meaning of
the “safe harbour” provisions of the Private Securities Litigation Reform
Act of 1995. These forward-looking statements are subject to risks and
uncertainties and other factors that may cause Newmac Resources Inc.’s
results to differ materially from expectations. These include risks
relating to market fluctuations, property performance and other risks.
These forward-looking statements speak only as of the date hereof.
THE TSX VENTURE EXCHANGE DOES NOT TAKE RESPONSIBILITY FOR THE ADEQUACY OR
ACCURACY OF THIS RELEASE.
For Further Information Contact David Hjerpe, President at: (604) 461-7211,
email: info@newmacresources.com, www.newmacresources.com
Contact:
marquardt.communication
Agentur für Öffentlichkeitsarbeit
Office Vancouver
475 Howe Street, #511
Vancouver B.C., V6C 2B3
Canada
Office Frankfurt
Hanauer Landstraße 11-13
60314 Frankfurt
Deutschland
tel: +49 (0) 69 254 72405
email: jens@canthrill.de
web: www.canthrill.de
(c)DGAP 23.02.2006
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language: English
emitter: Newmac Resources Inc.
475 Howe Street, #511
Vancouver B.C., V6C 2B3
Canada
phone: +1 (604) 461-7211
fax: +1 (604) 461-7211
email: info@newmacresources.com
WWW: www.newmacresources.com
ISIN: CA6515221043
WKN: A0HFWM
indexes:
stockmarkets: Freiverkehr in Frankfurt
End of News DGAP News-Service
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