TORONTO, ONTARIO--(Marketwire - April 6, 2011) - Mustang Minerals Corp. (News - Market indicators)(FRANKFURT:NJF) ("Mustang") is pleased to provide an update on exploration and drilling relating to the new PGM discovery drill hole at its Mayville Property. Mustang recently announced results from MAY11-07 which intersected 9.15 meters at average grade of 9.5 g/t combined platinum and palladium within a wider zone of 41.16 meters at an average grade of 2.9 g/t platinum and palladium. MAY 11-07 was drilled as part of a reconnaissance drill program testing a number of geophysical targets across the Mayville Property where Mustang has an existing copper-nickel-pgm resource.
Mustang has now returned the drill to the new PGM discovery area and to date has completed three additional drill holes. The first hole was drilled 50 meters south of MAY11-07 (at the same 65 degree angle) to test for mineralization at a greater depth as well as define the southern limit as MAY11-07 was collared into PGM mineralization. The next two holes were drilled 50 meters to the east and 50 meters to the west of the drill collar at MAY11-07. Drilling in all three holes has encountered a strongly altered ultramafic unit containing locally finely disseminated chalcopyrite+pyrrhotite+pyrite sulphides and locally significant visible chromite which is the same rock type that hosted MAY11-07. Drilling is continuing at roughly 50 meter step outs along strike from the discovery hole.
In addition to the drilling, the company has added additional claims and will soon complete linecutting. A ground IP and magnetics survey will be starting in the very near future which will aid in further exploration of the new zones.
DISCUSSION
The Company is pleased to see a similar host package of rocks in the recently drilled holes encountered in MAY11-07. The extent of the PGM mineralization hosted in the area of MAY11-07 is not known at this stage and the existence of any PGM mineralization cannot be determined until future assays from the recently completed drill holes are received.
Mustang personnel are currently splitting the drill core from the recently drilled holes which will be immediately sent for assay. The Company will request an expedited turn around time for these high priority holes. As well the company will be examining the chromite potential of the current discovery as well as testing for other elements of the PGM suite.
About Mustang Minerals
Mustang Minerals has two open pit deposits located in Southeast Manitoba.
1. The Makwa Project has a NI 43-101 reserve estimate completed in Feb. 2010 by Micon International Limited outlined 9.855 million tonnes in the Probable category containing 0.541% nickel, 0.113% copper and 0.433 g/t PGM. A feasibility study has been announced by Mustang for the Makwa Project.
2. The Company's Mayville Project is located approximately 35 km north by road from Makwa and has a NI 43-101 Indicated Resource of 9.227 million tonnes containing 0.61% copper, 0.23% nickel and 0.174 g/t palladium. The purpose of the current drill program is to highlight potentially new mineralized areas at Mayville.
Western Areas NL, an Australian based nickel producer owns 19.9% of the common shares of Mustang.
Carey Galeschuk P.Geo is the National Instrument 43-101 Qualified Person for Mustang Minerals Corp.
To find out more about Mustang Minerals Corp. (News - Market indicators) visit our website at www.mustangminerals.com.
We seek safe harbour.
This news release contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward-looking information within the meaning of the Securities Act (Ontario) (together, "forward-looking statements"). Such forward-looking statements may include the Company's plans for its mineral projects in Manitoba, the overall economic potential of its properties, the availability of adequate financing and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements expressed or implied by such forward-looking statements to be materially different. Such factors include, among others, risks and uncertainties relating to potential political risk, uncertainty of production and capital costs estimates and the potential for unexpected costs and expenses, physical risks inherent in mining operations, currency fluctuations, fluctuations in the price of nickel and other metals, completion of economic evaluations, changes in project parameters as plans continue to be refined, the inability or failure to obtain adequate financing on a timely basis, and other risks and uncertainties, including those described in the Company's Management Discussion and Analysis for the most recent financial period and Material Change Reports filed with the Canadian Securities Administrators and available at www.sedar.com.
Shares Outstanding: 157,218,233
