Wed, 4 Oct 2006 6:00:00 PDT
TORONTO, ONTARIO -- (MARKET WIRE) -- 10/04/2006 -- Intrepid Mines Limited (
Drilling at Kamila, Mercado and Kamila Southeast Extension (SEXT) zones has returned encouraging values ranging to highs of 22.9 g/t gold and 1,795 g/t silver over 4.0 metres (Kamila Inca), 3.32 g/t gold and 1,138 g/t silver over 4.15 metres (Mercado) and 3.40 g/t gold and 1,192 g/t silver over 3.0 metres (SEXT).
Intrepid's President and Chief Executive Officer, Laurence Curtis, stated: "Our results to date at Casposo represent significant gold and silver discoveries which will positively impact resource and exploration focus. We are particularly pleased by the strong gold and silver grades, continuity to depth and the variety of future drill targets."
At Kamila, step-out holes on the Inca Vein have tested mineralized structures to the east of a north-south trending dyke which cuts the Kamila deposit. Holes CA-06-183, -184 and -187) (See Map 1 and Map 2) in this campaign have intersected a strongly developed Inca Vein averaging 15 g/t gold equivalent over core lengths of 3.7 to 8.9 metres, extending the potential of the deposit to the southeast. These holes have not yet been incorporated into the Kamila resource estimate. A limited four hole drilling program to infill this zone to a nominal 25 metre spacing has now been completed. Results are pending from these holes.
The significant Mercado intercepts were derived from a shallow drilling program focused on near surface potential. The Kamila intercepts clearly reflect a trend of increasing silver with depth in this zone.
The Kamila SEXT (See Cross Section Chart) was discovered in February 2006 by exploration hole CA-06-152 (see press release dated April 28, 2006). This zone is not expressed at surface. The area has now been drilled by four additional holes. Lateral holes did not produce significant mineral intercepts although the vein structure was present over core intervals of 6-9 metres. Hole CA-06-179 was drilled 100m down dip from CA-06-152 and returned significant values leaving the area open for further exploration as a possible deep seated vein resource. This zone represents a new advanced exploration target for Intrepid at the Casposo project and validation of the Pajingo deposit exploration model being used to develop the Kamila deposit.
For 2007, additional drill exploration at the new Julieta (see press release September 11, 2006) and SEXT prospects is being planned to pursue continuity of these zones. In addition, several exploratory holes are planned at Cerro Norte, a one square kilometre zone of braided epithermalquartz veins located 700 metres northeast of the proposed Kamila mine. In total, 35 holes (4,500 metres) of diamond drilling are planned to begin in the first calendar quarter to test these outliers and continue probing deeper portions of the Kamila vein system and its extensions.
For the remainder of 2006 and early 2007, Intrepid geologists in the nearby Cordillera Frontal Region, are undertaking programs at the recently acquired Cristina property (see press release dated September 19, 2006) and regional conceptual testing of the belt for sediment hosted gold deposits.
Summary of Significant Intercepts(1) -- Casposo Project, Kamila Area -
August 2006
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HOLE # FROM TO WIDTH TARGET Au Ag Au eq
(m) (g/t) (g/t) g/t(77:1)
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CA-190 185.00 187.90 2.90 Kamila 1.88 460 7.85
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CA-190 incl. 186.00 187.90 1.90 Kamila 2.54 657 11.06
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CA-191 154.60 155.70 1.10 Kamila 4.38 418 9.81
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CA-192 254.90 259.20 4.30 Kamila 3.59 1078 17.60
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CA-192 incl. 256.40 258.30 1.90 Kamila 7.44 1960 32.90
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CA-183 135.20 144.10 8.90 Kamila- INCA 2.33 256 5.66
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CA-183 incl. 139.20 141.20 2.00 Kamila- INCA 6.95 327 11.19
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CA-184 74.70 78.40 3.70 Kamila- INCA 15.0 309 19.01
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CA-184 82.70 84.70 2.00 Kamila- INCA 7.41 134 9.15
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CA-187 123.15 131.70 8.55 Kamila- INCA 11.8 943 24.05
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CA-187 incl. 123.15 127.15 4.00 Kamila- INCA 22.9 1795 46.21
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CA-152 90.00 91.60 1.60 Kamila SEXT 4.51 2274 34.04
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CA-175 106.10 115.00 8.90 Kamila SEXT 0.44 135 2.20
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CA-179 150.50 156.80 6.30 Kamila SEXT 1.90 710 11.12
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CA-179 incl. 150.50 153.50 3.00 Kamila SEXT 3.40 1192 18.88
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CA-158 27.06 30.83 3.77 Mercado 1.74 75 2.71
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CA-164 71.20 78.30 7.10 Mercado 1.24 12 1.39
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CA-167 34.90 38.30 3.40 Mercado 4.45 40 4.97
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CA-167 43.55 49.15 5.60 Mercado 5.67 516 12.37
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CA-167 incl. 43.55 45.55 2.00 Mercado 14.3 1233 30.31
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CA-169 72.35 75.80 2.35 Mercado 1.41 801 11.82
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CA-169 94.85 99.00 4.15 Mercado 3.32 1138 18.09
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CA-169 incl. 98.00 99.00 1.00 Mercado 8.75 2787 44.94
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CA-171 55.20 65.15 9.95 Mercado 0.60 93 1.80
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CA-171 71.75 81.90 10.15 Mercado 1.95 552 9.12
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CA-171 incl. 76.50 80.80 4.30 Mercado 3.58 582 11.14
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CA-185 29.30 4.65 5.35 Mercado 1.17 220 4.03
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CA-185 73.85 79.60 5.75 Mercado 0.88 193 3.38
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CA-189 86.15 96.10 9.95 Mercado 1.96 383 6.94
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CA-189 incl. 86.15 99.90 3.75 Mercado 1.67 376 6.55
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CA-189 incl. 91.50 94.00 2.50 Mercado 4.43 465 10.46
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(1) Intercepts included refer to intervals having apparent grade
thickness (g/t Au equivalent x length)
All diamond drilling on the Casposo project is being carried out using HQ diamond core with triple tubing to ensure maximum recovery. Chemical analysis for gold was completed by Alex Stewart (Assayers) Argentina S.A. using 50 gram splits and fire assay/AA finish. High gold and silver concentrations are retested using gravimetric techniques. Internal standards provided by an independent company and locally derived blank samples are being inserted for quality control purposes. William McGuinty P. Geo., V.P. Exploration is Intrepid Mines' Qualified Person on this project.
To view Map 1, please click on the following link: http://www.ccnmatthews.com/docs/Map1kamil.jpg
To view Map 2, please click on the following link: http://www.ccnmatthews.com/docs/Map2.jpg
To view Kamila SEXT Cross Section Chart, please click on the following link: http://www.ccnmatthews.com/docs/crosssect.jpg
On behalf of the Board of Directors of Intrepid Mines,
Laurence Curtis, President & CEO
Information in this announcement is based on information compiled by William McGuinty, P. Geo., V.P. Exploration, who is a competent person as defined in the 2004 Edition of the JORC 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves' and is a Qualified Person as defined in the Canadian National Instrument 43-101 (standards of Disclosure for Mineral Projects). Mr. McGuinty is a full time employee of Intrepid Mines Limited and has sufficient experience relevant to the style of mineralization and type of deposit under consideration and to the activity which is being undertaken, and consents to the inclusion in the announcement of the matters based on his information in the form and context in which it appears.
Intrepid Mines Limited has an international production, development and exploration profile, and holds interests in several gold-silver and silver-base metal properties in Australia, Argentina, El Salvador, and Canada, either directly or through joint venture partnership. The issued capital is 150,032,576 shares comprised of 119,027,689 ordinary shares of Intrepid Mines Limited quoted on the TSX:IAU and ASX:IAU and 31,004,887 Exchangeable Shares of Intrepid NuStar Exchange Corporation quoted on the TSX:IXN.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
This release contains certain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections. The TSX & ASX has neither approved nor disapproved the information contained in this press release. Except for statements of historical fact relating to the Corporation, certain information contained herein constitutes "forward-looking statements". Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other ecological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. Circumstances or management's estimates or opinions could change. The reader is cautioned not to place undue reliance on forward-looking statements.
CUSIP: Q4968A
ABN: 11 060 156 452
Contacts: Intrepid Mines Limited: Toronto, Canada Ann Candelario VP Investor Relations +1 (416) 368-4525 Email: info@intrepidmines.com Intrepid Mines Limited: Perth, Australia Brett Lambert Chief Operating Officer +61 8 9346 0000 Email: perth@intrepidmines.com.au Website: www.intrepidmines.com
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