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Tuesday, April 17, 2012
China Minerals Announces $3 Million Summer 2012 Exploration Program
China Minerals Mining Corporation ("China Minerals" or the "Company") (TSX-V: CMV, US: HWTHF) is pleased to announce an upcoming $3 million dollar exploration program that is planned for its Cassiar area properties, which will be implemented by Equity Exploration Consultants Ltd. ("Equity Exploration") of Vancouver, B.C.
The exploration budget is planned to be divided evenly between the Taurus and Table Mountain properties, both of which contain resources prepared in accordance with National Instrument 43-101 ("NI 43-101") in the categories summarized below. The current program budget has utilized conservative cost estimates and may be expandable beyond the 10,000 metres of drilling that is suggested here.
The Cassiar Gold project is 100% owned by the Company through a subsidiary, and comprises the Taurus gold deposit, the Table Mountain gold mine, and nearly 60,000 hectares of contiguous prospective exploration properties. Cassiar encompasses an entire, easily road accessible orogenic gold district in northern British Columbia which has classic greenstone belt geology, numerous exploration targets and open areas of mineralization in known zones. Exploration is planned to comprise at least 10,000 metres of drilling at several target areas, as well as ongoing target evaluation through re-evaluation of historical drill core, outcrops, and previous geophysical and geochemical data.
Taurus Property
The Taurus property comprises northern portions of the Cassiar district and contains the Taurus gold deposit ("Taurus"). Taurus hosts an inferred resource of 1.06 million ounces of gold comprising of 33.1 million tonnes at an average capped grade of 0.99 g/t Au using a cut-off grade of 0.50 g/t Au. The resource is supported by a technical report titled, "Updated Resource Report on the Taurus Project -- Liard Mining District, B.C.," dated March 11, 2009 and prepared by Thomas C. Stubens and Marinus Andre de Ruijter of Wardrop Engineering Inc., which was filed at www.sedar.com on March 18, 2009. A feasibility study has not been completed on the Taurus resource and there is no certainty the disclosed targets will be reached or that the proposed operations will be economically viable.
Taurus was explored by previous operators with the objective of identifying potential for a combination large tonnage open pit, and high grade underground mine. Mineralization is open in many directions and contains the potential for higher grade areas internal to the lower grade resource that comprise steeply dipping northwest-trending shear vein and steeply dipping east trending extension vein systems in mafic volcanic rocks. Approximately 5,000 metres of drilling is planned to test (a) areas adjacent to higher grade portions of mineralized zones internal to the deposit but where drilling is too widely spaced to establish its continuity, (b) targets that are down-dip of well-defined, shallow mineralized zones, and c) stepout drill holes which will test lateral continuity of mineralized zones into untested areas outside of the resource. Numerous areas of open mineralization are present in the deposit area, including previous intersections of 3.05 g/t Au over 25.45 m and 2.68 g/t Au over 25.05 m in drill holes T95-13 and 07TC-07, respectively, in the Taurus West zone, and 36.34 g/t Au over 5.36 m in drill hole TA-0914 in the Sable area, which are open laterally.
Taurus also includes several additional targets identified as high priority for further evaluation and follow-up drilling. At Wings Canyon, an intense vein system lies within a broad, 0.5 km wide alteration zone which has so far returned multiple 0.5 to 3 g/t Au grab samples in outcrop, and at the Newcoast vein system, several drilling intercepts were obtained along strike, including 8.90 g/t Au over 1.8 m and 1.04 g/t Au over 28.35 m in a vein system that is parallel to the Table Mountain veins.
Table Mountain Property
The Table Mountain property ("Table Mountain") contains the Main (formerly Erickson), Bain and Cusac gold mines which are past producing underground high grade mines in southern parts of the Cassiar district which historically have produced approximately 315,000 ounces of gold. A permitted 270 tonne per day gravity/flotation mill, power plant, assay lab and tailing impoundment facility are owned by the Company and located on the project, and were put under care and maintenance by the previous owners in October 2007.
Table Mountain contains several areas hosting resources prepared in accordance with NI 43-101, which are supported by a technical report (the "Table Mountain Report") dated May 18, 2010, titled, "Technical Report on the Table Mountain Property, Liard Mining District, British Columbia", and prepared by Clifford A. Pearson, P. Geo and Finley J. Bakker, P. Geo which was filed at www.sedar.com on May 26, 2010. Resources occur principally in the Bain and Cusac mine areas along the Eileen and Bain vein systems, and include an indicated resource of 21,471 tonnes at an uncut grade of 18.02 g/t Au and additional inferred resource of 65,757 tonnes at an uncut grade of 24.30 g/t Au. Additional resources occur in the Main mine, mainly in the Bear vein system. Although no feasibility study has been completed, these resources are largely accessible by modern, recently rehabilitated underground ramp development which extends to within several tens of meters of the vein systems in the Bain and Cusac workings, and which is linked by road to the Company's milling facility.
Exploration in 2012 at Table Mountain is planned to further test the known resource areas through a combination of infill drilling in areas of inferred resources, and testing for extensions and parallel adjacent veins that have been intersected by isolated previous drilling intercepts. Adjacent targets to Bain and Cusac for example include the New Target, MGH, Lily and Hot vein systems, which contain previous intercepts of similar grades and widths to the resource areas but which are open in many areas laterally and down dip. Vein systems in the Table Mountain area show predictable structural control along second order shear zones which splay off faulted mafic volcanic-ultramafic contacts, and drilling is also proposed to follow up such target areas. These additional targets include the Sky vein system, which occurs along a several kilometer offset portion of the mafic volcanic contact, of which only a short strike length has been tested, including intercepts of 5.93 g/t Au over 1.25 m which are open laterally or down dip. Ongoing geological evaluation and modeling will be utilized to refine and identify additional targets.
Exploration timeline
Exploration is planned to commence on site in early June, 2012 and utilize at least two drill rigs. Underground drilling on the Table Mountain project and the potential for use of reverse circulation drilling for some of the Taurus infill drilling to increase overall meters drilled at lower cost are being considered. Further updates on the planning for the exploration and development of the Table Mountain Gold Mine and the Taurus Gold Project will be announced as information is made available.
The Company also continues to evaluate acquisition opportunities.
Technical aspects of this news release have been reviewed by board advisor David Rhys, P. Geo. and by Darcy Baker, P. Geo. of Equity Exploration, who are Qualified Persons as defined by National Instrument 43-101.
About China Minerals Mining Corporation
China Minerals Mining Corporation is a Canadian based exploration and development company with offices located in both Vancouver and Beijing. China Minerals Mining Corporation's ambition is to build an international mining company with an appropriate portfolio.
For more information on China Minerals, contact David Bo toll free at 1-888-629-1505 or the Company at (604) 629-1505, or you can visit the website at www.chinamineralsmining.com.
ON BEHALF OF THE BOARD OF DIRECTORS
"signed by David Bo"
David Bo
Executive Chairman
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http://www.chinamineralsmining.com/s/NewsReleases.asp?ReportID=519287 |