Niblack Mineral Development Inc.

Published : July 28th, 2011

Drilling Continues To Intersect & Expand Mineralization At NiblackTitle

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Niblack Mineral Development Inc. Niblack Mineral Development Inc.

Drilling Continues To Intersect & Expand Mineralization At Niblack

July 28, 2011, Vancouver, BC - Niblack Mineral Development Inc. ("Niblack" or the "Company") (NIB: TSX-V) announces the results from twenty-three (23) new holes completed by joint venture partner Heatherdale Resources Inc. ("Heatherdale")(HTR: TSX-V) at the Niblack volcanogenic massive sulphide (VMS) project in southeast Alaska. Drill holes continue to intersect and expand the precious metals enriched mineralized zones, and are expected to increase mineral resources.

To date, Heatherdale has completed 129,985 feet of underground drilling in 100 holes at Niblack using two rigs. At March 2011, 308 holes (drilled from surface and underground) were used to estimate the mineral resources for the Lookout and Trio deposits (see March 7, 2011 news release). At a US$50 NSR cut off , the estimate comprises 4.1 million tonnes of Indicated resources grading 1.13% copper, 2.32 g/t gold, 2.27% zinc and 38.70 g/t silver and 2.5 million tonnes of Inferred resources grading 1.21% copper, 1.77 g/t gold, 2.29% zinc and 25.90 g/t silver. A continuous 1.5 million-tonne high-grade zone occurs within the indicated resource, grading 1.73% copper, 3.50 g/t gold, 3.84% zinc and 61.60 g/t silver (at US$150 NSR cutoff).

The results show that the geological model for Niblack is successfully targeting new mineralization. Key intersections were encountered in the Lookout deposit (U128), the Mammoth zone (U112 and U114), and a new zone between the Lookout and Trio deposits (U110, U113, U117, U121 and U123), which are presented in the Niblack Assay Table below. Drill hole location maps are available at http://niblack.com/project_areas/united_states/niblack/

NIBLACK ASSAY TABLE


Drill Hole Number
From (feet)
To (feet)
Intercept (feet)
Cu %
Au g/t
Zn
%
Ag g/t
U110

1362.2

1370.0

7.8

0.67

1.73

0.93

23

U112

472.0

491.0

19.0

3.32

0.49

3.14

28

U112

incl.

472.0

479.3

7.3

6.78

0.99

7.07

59

U113

1356.5

1373.0

16.5

0.31

0.40

3.61

4

U113

incl.

1356.5

1366.0

9.5

0.30

0.48

5.16

4

U114

504.5

510.2

5.7

4.15

0.72

1.36

29

U114

535.5

540.0

4.5

0.15

0.24

2.28

4

U117

1472.0

1473.0

1.0

3.56

0.41

0.02

15

U121

1588.4

1592.0

3.6

0.85

0.42

0.82

10

U123

1648.0

1655.8

7.8

1.67

19.51

3.32

263

U123

1705.0

1710.0

5.0

0.07

1.99

0.44

6

U128

880.0

885.0

5.0

0.58

0.77

0.27

18

U128

890.4

898.4

8.0

0.99

2.23

1.68

40

U128

909.7

954.7

45.0

1.06

1.66

1.85

31

U128

incl.

910.5

929.4

18.9

1.90

3.12

1.60

57

No significant results U105-U109, U111, U115, U116, U118-120, U122, U125-127; Assays pending for U124B

Drilling proceeded in fan patterns from underground drill stations. True widths of intersections have not yet been accurately established.

Lookout Deposit

Hole U128 was drilled to further define the resource model in the southwest part of the Lookout deposit. Mineralization was encountered three times in the hole; the most significant intersection is 45 feet grading 1.06% copper, 1.66 g/t gold, 1.85% zinc and 31 g/t silver and including a 19-foot interval of higher copper and gold grades.

Mammoth Zone

The exploration drift is collared into the Mammoth zone. It sits within the prospective felsic stratigraphy, approximately 3,000 feet northwest of the Trio deposit. Historically, narrow widths of sea floor accumulation style mineralization were intersected in several holes in this area but limited drill efforts had been made to extend those intersections along strike or down dip. The Heatherdale team reviewed the historic data and designed a series of drill fans to better assess these mineralized zones. Significant intersections were encountered in drill holes U112 and U114, indicating good potential. Follow up drilling is required to delineate mineral resources at Mammoth.

New Zone between Lookout and Trio with high gold grades

A series of six holes were drilled to target deeper mineralization in the felsic sequence that lies between the Trio and Lookout deposits, testing an exploration hypothesis for a repetitive zone of mineralization at depth beyond the Lookout deposit. Five of the six holes encountered mineralization, including Hole U123, which intersected copper grades of 1.67%, high grade gold of 19.51 g/t, and significant silver grades of 263 g/t over 7.8 feet. This new zone will add to the overall tonnage estimate for the deposit. The zone remains open and drill testing is ongoing.

Modeling has shown that the host horizon extends over 6 miles (10 km) on the property, of which only about 1.2 miles (2 km) has been well tested by the successful drilling campaigns in the Lookout area. A summer program of surface work, including detailed geological mapping, sampling and Diamond drilling has commenced, designed to test additional priority targets along the favorable felsic stratigraphy.

"Drilling over the past two years has affirmed the potential of the Niblack Project. The volume and grade of mineral resources at Lookout and Trio announced earlier this year, established a base to advance the project. Exceptional potential exists to build on this threshold of mineral resources as shown by today�s results. Initial engineering and technical studies for the completion of a Preliminary Economic Assessment, as well as the foundation for a prefeasibility study for the project are also underway," said Niblack President and CEO John Williamson. "This work is progressing well, with additional releases of results to come over the next few months."

Niblack�s location at tidewater on Prince of Wales Island in southeast Alaska presents a number of project benefits, including year-round marine access, a well-trained labour force, a mature supply and service sector, proximity to Asian markets, and the support of community and Alaska Native corporation partners. The project is located 27 miles (44 km) from Ketchikan, a community of 8000 people with important services to support project development, including a deep water port and international airport. The State�s burgeoning minerals industry also enjoys a competitive tax regime and stable, predictable permitting and regulatory oversight coordinated by the Alaska Department of Natural Resources� �Large Mine Permitting Team�. For reference, Hecla's Greens Creek, a 2,100-ton per day underground massive sulphide mine, operates 225 miles (370 km) to the northwest of Niblack on Admirality Island.

About Niblack Mineral Development Inc.

Niblack Mineral Development Inc. (NIB: TSX-V) is an exploration and development company with a number of mineral rich assets in South East Alaska. The Corporation�s principal asset is the Niblack advanced stage copper-gold-zinc-silver project. Since June 30, 2009 the Niblack Project has been a joint venture managed by Heatherdale Resources Limited (a Hunter Dickinson Company), which has spent US$15 million to earn a 51% interest in the project and is currently sole funding exploration expenditures of US$10 million to increase their interest to a 60%, with an option to increase their interest to 70% by sole funding the completion of a bankable feasibility study.

Peter Kleespies, P.Geol., a Qualified Person as defined under National Instrument 43-101, is supervising the exploration and quality assurance and quality control programs on behalf of Niblack and has reviewed the content of this release.

Niblack Mineral Development Inc. is a member of the Discovery Group of companies, for more information on the group visit www.discoveryexp.com.

On behalf of the Board

Niblack Mineral Development Inc.

/s/"John Williamson"
President, CEO & Director

For further information about Niblack Mineral Development Inc. or this news release, please contact:

Brian Budd
Director of Corp. Development
Email: brianb@niblack.com
Tel. 604-697-2861
Website: www.niblack.com Mobile URL: m.niblack.com

Sample preparation and analysis for the Niblack project is done at ISO 9001 accredited ALS Chemex laboratories in Vancouver, BC. All samples are assayed for gold by 30 g fire assay fusion with Atomic Absorption Spectroscopy (AAS) finish. Copper, silver, zinc, lead and 29 additional elements are determined for all samples by four acid digestion, followed by ICP-AES finish. All over-limit copper, zinc or lead results (greater than 10%) and all over-limit silver results (greater than 200 grams per tonne) are re-assayed by high grade single element four acid digestion ICP-AES or AAS analysis. As part of a comprehensive QA/QC program, one standard is inserted into the sample stream in each group of 20 samples, as well as one or more field blanks in each analytical batch. One sample in each group of 20 is a duplicate, which is analyzed by Acme Analytical Laboratories in Vancouver.

"Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address exploration drilling, exploitation activities and events or developments that the company expects are forward looking statements. Although the company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continuity of mineralization, uncertainties related to the ability to obtain necessary permits, licenses and title and delays due to third party opposition, changes in government policies regarding mining and natural resource exploration and exploitation, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, investors should review the Company's continuous disclosure filings that are available at www.sedar.com.

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Drilling Continues To Intersect & Expand Mineralization At Niblack

July 28, 2011, Vancouver, BC - Niblack Mineral Development Inc. ("Niblack" or the "Company") (NIB: TSX-V) announces the results from twenty-three (23) new holes completed by joint venture partner Heatherdale Resources Inc. ("Heatherdale")(HTR: TSX-V) at the Niblack volcanogenic massive sulphide (VMS) project in southeast Alaska. Drill holes continue to intersect and expand the precious metals enriched mineralized zones, and are expected to increase mineral resources.

To date, Heatherdale has completed 129,985 feet of underground drilling in 100 holes at Niblack using two rigs. At March 2011, 308 holes (drilled from surface and underground) were used to estimate the mineral resources for the Lookout and Trio deposits (see March 7, 2011 news release). At a US$50 NSR cut off , the estimate comprises 4.1 million tonnes of Indicated resources grading 1.13% copper, 2.32 g/t gold, 2.27% zinc and 38.70 g/t silver and 2.5 million tonnes of Inferred resources grading 1.21% copper, 1.77 g/t gold, 2.29% zinc and 25.90 g/t silver. A continuous 1.5 million-tonne high-grade zone occurs within the indicated resource, grading 1.73% copper, 3.50 g/t gold, 3.84% zinc and 61.60 g/t silver (at US$150 NSR cutoff).

The results show that the geological model for Niblack is successfully targeting new mineralization. Key intersections were encountered in the Lookout deposit (U128), the Mammoth zone (U112 and U114), and a new zone between the Lookout and Trio deposits (U110, U113, U117, U121 and U123), which are presented in the Niblack Assay Table below. Drill hole location maps are available at http://niblack.com/project_areas/united_states/niblack/

NIBLACK ASSAY TABLE


Drill Hole Number
From (feet)
To (feet)
Intercept (feet)
Cu %
Au g/t
Zn
%
Ag g/t
U110

1362.2

1370.0

7.8

0.67

1.73

0.93

23

U112

472.0

491.0

19.0

3.32

0.49

3.14

28

U112

incl.

472.0

479.3

7.3

6.78

0.99

7.07

59

U113

1356.5

1373.0

16.5

0.31

0.40

3.61

4

U113

incl.

1356.5

1366.0

9.5

0.30

0.48

5.16

4

U114

504.5

510.2

5.7

4.15

0.72

1.36

29

U114

535.5

540.0

4.5

0.15

0.24

2.28

4

U117

1472.0

1473.0

1.0

3.56

0.41

0.02

15

U121

1588.4

1592.0

3.6

0.85

0.42

0.82

10

U123

1648.0

1655.8

7.8

1.67

19.51

3.32

263

U123

1705.0

1710.0

5.0

0.07

1.99

0.44

6

U128

880.0

885.0

5.0

0.58

0.77

0.27

18

U128

890.4

898.4

8.0

0.99

2.23

1.68

40

U128

909.7

954.7

45.0

1.06

1.66

1.85

31

U128

incl.

910.5

929.4

18.9

1.90

3.12

1.60

57

No significant results U105-U109, U111, U115, U116, U118-120, U122, U125-127; Assays pending for U124B

Drilling proceeded in fan patterns from underground drill stations. True widths of intersections have not yet been accurately established.

Lookout Deposit

Hole U128 was drilled to further define the resource model in the southwest part of the Lookout deposit. Mineralization was encountered three times in the hole; the most significant intersection is 45 feet grading 1.06% copper, 1.66 g/t gold, 1.85% zinc and 31 g/t silver and including a 19-foot interval of higher copper and gold grades.

Mammoth Zone

The exploration drift is collared into the Mammoth zone. It sits within the prospective felsic stratigraphy, approximately 3,000 feet northwest of the Trio deposit. Historically, narrow widths of sea floor accumulation style mineralization were intersected in several holes in this area but limited drill efforts had been made to extend those intersections along strike or down dip. The Heatherdale team reviewed the historic data and designed a series of drill fans to better assess these mineralized zones. Significant intersections were encountered in drill holes U112 and U114, indicating good potential. Follow up drilling is required to delineate mineral resources at Mammoth.

New Zone between Lookout and Trio with high gold grades

A series of six holes were drilled to target deeper mineralization in the felsic sequence that lies between the Trio and Lookout deposits, testing an exploration hypothesis for a repetitive zone of mineralization at depth beyond the Lookout deposit. Five of the six holes encountered mineralization, including Hole U123, which intersected copper grades of 1.67%, high grade gold of 19.51 g/t, and significant silver grades of 263 g/t over 7.8 feet. This new zone will add to the overall tonnage estimate for the deposit. The zone remains open and drill testing is ongoing.

Modeling has shown that the host horizon extends over 6 miles (10 km) on the property, of which only about 1.2 miles (2 km) has been well tested by the successful drilling campaigns in the Lookout area. A summer program of surface work, including detailed geological mapping, sampling and Diamond drilling has commenced, designed to test additional priority targets along the favorable felsic stratigraphy.

"Drilling over the past two years has affirmed the potential of the Niblack Project. The volume and grade of mineral resources at Lookout and Trio announced earlier this year, established a base to advance the project. Exceptional potential exists to build on this threshold of mineral resources as shown by today�s results. Initial engineering and technical studies for the completion of a Preliminary Economic Assessment, as well as the foundation for a prefeasibility study for the project are also underway," said Niblack President and CEO John Williamson. "This work is progressing well, with additional releases of results to come over the next few months."

Niblack�s location at tidewater on Prince of Wales Island in southeast Alaska presents a number of project benefits, including year-round marine access, a well-trained labour force, a mature supply and service sector, proximity to Asian markets, and the support of community and Alaska Native corporation partners. The project is located 27 miles (44 km) from Ketchikan, a community of 8000 people with important services to support project development, including a deep water port and international airport. The State�s burgeoning minerals industry also enjoys a competitive tax regime and stable, predictable permitting and regulatory oversight coordinated by the Alaska Department of Natural Resources� �Large Mine Permitting Team�. For reference, Hecla's Greens Creek, a 2,100-ton per day underground massive sulphide mine, operates 225 miles (370 km) to the northwest of Niblack on Admirality Island.

About Niblack Mineral Development Inc.

Niblack Mineral Development Inc. (NIB: TSX-V) is an exploration and development company with a number of mineral rich assets in South East Alaska. The Corporation�s principal asset is the Niblack advanced stage copper-gold-zinc-silver project. Since June 30, 2009 the Niblack Project has been a joint venture managed by Heatherdale Resources Limited (a Hunter Dickinson Company), which has spent US$15 million to earn a 51% interest in the project and is currently sole funding exploration expenditures of US$10 million to increase their interest to a 60%, with an option to increase their interest to 70% by sole funding the completion of a bankable feasibility study.

Peter Kleespies, P.Geol., a Qualified Person as defined under National Instrument 43-101, is supervising the exploration and quality assurance and quality control programs on behalf of Niblack and has reviewed the content of this release.

Niblack Mineral Development Inc. is a member of the Discovery Group of companies, for more information on the group visit www.discoveryexp.com.

On behalf of the Board

Niblack Mineral Development Inc.

/s/"John Williamson"
President, CEO & Director

For further information about Niblack Mineral Development Inc. or this news release, please contact:

Brian Budd
Director of Corp. Development
Email: brianb@niblack.com
Tel. 604-697-2861
Website: www.niblack.com Mobile URL: m.niblack.com

Sample preparation and analysis for the Niblack project is done at ISO 9001 accredited ALS Chemex laboratories in Vancouver, BC. All samples are assayed for gold by 30 g fire assay fusion with Atomic Absorption Spectroscopy (AAS) finish. Copper, silver, zinc, lead and 29 additional elements are determined for all samples by four acid digestion, followed by ICP-AES finish. All over-limit copper, zinc or lead results (greater than 10%) and all over-limit silver results (greater than 200 grams per tonne) are re-assayed by high grade single element four acid digestion ICP-AES or AAS analysis. As part of a comprehensive QA/QC program, one standard is inserted into the sample stream in each group of 20 samples, as well as one or more field blanks in each analytical batch. One sample in each group of 20 is a duplicate, which is analyzed by Acme Analytical Laboratories in Vancouver.

"Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address exploration drilling, exploitation activities and events or developments that the company expects are forward looking statements. Although the company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continuity of mineralization, uncertainties related to the ability to obtain necessary permits, licenses and title and delays due to third party opposition, changes in government policies regarding mining and natural resource exploration and exploitation, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, investors should review the Company's continuous disclosure filings that are available at www.sedar.com.

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Niblack Mineral Development Inc.

PRODUCER
CODE : NIB.V
ISIN : CA65365X1096
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Niblack Mineral is a zinc and gold producing company based in Canada.

Niblack Mineral holds various exploration projects in Australia and in Canada.

Its main assets in production are 3 BLUFFS in Canada and JAURDI HILLS in Australia and its main exploration properties are BORDEN and NIBLACK in Canada and JAURDI HILLS (BLACK CAT) in Australia.

Niblack Mineral is listed in Canada, in Germany and in United States of America. Its market capitalisation is CA$ 15.5 millions as of today (US$ 15.5 millions, € 11.6 millions).

Its stock quote reached its highest recent level on January 23, 2004 at CA$ 9.95, and its lowest recent point on December 23, 2011 at CA$ 0.16.

Niblack Mineral has 35 977 000 shares outstanding.

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Annual reports of Niblack Mineral Development Inc.
2008 Annual Report
Financings of Niblack Mineral Development Inc.
1/4/2012Announces Private Placement
Project news of Niblack Mineral Development Inc.
1/12/2012Announces Security holder Approval for Arrangement with Heat...
12/1/2011(Niblack)Supports As Heatherdale Explores Niblack Project Partnership...
8/31/2011(Niblack)Joint Venture Partner Completes Requirments To Secure 60% In...
8/22/2011Joint Venture Receives Priority Permitting Approval From US ...
3/16/2011(Niblack)Larger Niblack Mine Estimates Released
7/13/2010(Niblack)Expands Precious Metals-Enriched VMS Deposit
5/6/2008(Commitee Bay)Exploration Program Set for 2008 Committee Bay Greenstone Be...
4/30/2008(Coolgardie)Concludes Sale of Coolgardie Gold Project for Total Consider...
4/15/2008(Coolgardie)Focus Minerals Shareholders Approve Acquisition of Committee...
3/13/2008(Commitee Bay)Significant Resource Upgrade for Three Bluffs Deposit Commit...
2/19/2008(Coolgardie)Further Resource Upgrade For High-Grade Perseverance Gold De...
1/30/2008(Redemption)Enters Exclusivity Agreement Redemption Joint Venture Proje...
12/20/2007(Redemption)Perseverance Feasibility Study Yields Positive Result Base C...
12/12/2007Further High Grade Drill Results from Perseverance Deposit
10/31/2007(Commitee Bay)Final 2007 Three Bluffs Drilling Results: 9.29 g/t Au over 8...
10/9/2007Upgraded Resource Within the "Tindals Gold Mining Centre"
9/13/2007(3 Bluffs)Three Bluffs Drilling Continues to Expand Resource Potential
9/5/2007New High Grade Intersections Increase Size Potential of Inuk...
Corporate news of Niblack Mineral Development Inc.
1/19/2012Announces Acquisition by Heatherdale Resources Ltd.
12/16/2011Mails Information Circular
11/29/2011(Niblack)Joint Venture Announces 31% Increase To Total Mineral Resour...
10/26/2011(Niblack)Definitive Agreement Reached between Niblack and Heatherdale
7/28/2011(Niblack)Drilling Continues To Intersect & Expand Mineralization At N...
3/7/2011Announces 54% Increase to Mineral Resources
5/6/2010Amends Warrant Terms
7/30/2008Acquire Key Areas on Borden Project Airborne Magnetics Surve...
6/20/20082008 Committee Bay Exploration Program Initiated
2/6/2008 Will Be Exhibiting at the 2008 Phoenix Resource Investment ...
11/6/2007 Present at the 2007 Money Talks Conference
11/5/20072007 President'sLetter and Corporate Update
10/18/2007 to present at Toronto and New Orleans Investment Conference...
9/14/2007Drill Program Extended at Three Bluffs Deposit
9/6/2007Three Bluffs Drilling Delivers Outstanding Intercepts 19.44 ...
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