TORONTO, May 29, 2012 /CNW/ - Wallbridge Mining Company Limited (TSX: WM, FWB: WC7) ("Wallbridge") has announced that a program of over 5,000 metres diamond drilling and borehole geophysics is underway with partner Impala Platinum Holdings Limited (Impala) to follow-up platinum, palladium, nickel, copper and gold mineralization on the Parkin Offset Joint Venture in Sudbury, Ontario.
"We are very excited about this next phase of drilling with Impala on the Parkin Offset Joint Venture," stated Marz Kord, President and CEO of Wallbridge. "We have identified very significant grades in the Milnet 1500 Zone, beneath the past-producing Milnet Mine. We look forward to exploring the extent of the mineralization".
Drilling will test 100 metre step-outs from the Milnet 1500 Zone and shallower targets beneath and near the past-producing Milnet Mine. The Program will be funded CDN $1,000,000 by Impala and $693,000 by Wallbridge. The parties will also apply Deemed Expenditure credits carried over from previous years ($93,000 Impala and $400,000 Wallbridge) resulting in a 50/50 contribution. Impala has received the required approvals for their contribution from the South Africa Reserve Bank.
The Milnet Mine reported past production of 157,130 tons averaging 2.25 g/t Pt, 2.98 g/t Pd, 0.93 g/t Au, 1.49 % Ni and 1.54 % Cu. Drilling beneath the Milnet Mine in 2009, Wallbridge discovered the Milnet 1500 zone intersecting 14.24 metres containing 1.50 g/t Pt, 2.52 g/t Pd, 3.99 g/t Au, 0.78 % Ni and 2.57 % Cu from 1499.66 to 1513.90 metres down hole (see Wallbridge Press Release dated November 13, 2009). More recent drilling intersected 8.0 metres containing 1.40 g/t Pt, 2.68 g/t Pd, 0.23 g/t Au, 4.11 % Ni and 0.60 % Cu from 1473.00 to 1481.00 metres down hole (see Wallbridge Press Release dated October 14, 2011).
The Milnet 1500 Zone appears to be controlled by very large gabbro fragments caught in the Parkin Offset Dyke and an adjacent Sudbury breccia zone. Modelling of borehole electromagnetic geophysics indicates an area of conductance with a minimum strike length of about 200 metres and a minimum dip extent of about 100 metres. Geophysics does not appear to "model" the entire extent of the sulfide intersected and the extent of mineralization could be significantly greater.
Under the terms of the Option and Joint Venture Agreement dated August 19, 2008, and subsequent amendments (the "Agreement"), Impala has earned a 50% undivided interest in the Parkin Offset Property by having funded C$6.2 million in exploration expenditures during the Option Phase of the Agreement. As a result the Property is now subject to a 50/50 Parkin Offset Joint Venture between Wallbridge and Impala Platinum, with each partner funding its proportionate share and Wallbridge as initial Operator. Operation of the Joint Venture will be governed by a management committee with each partner having votes in proportion to its ownership interest.
Impala has the option to acquire an additional 15% undivided interest in the Property, exercisable by completing at its sole cost a Definitive Feasibility Study on a deposit which is in whole or in part on the Property and providing an undertaking to arrange the financing contemplated by the Definitive Feasibility Study.
The Parkin Offset Joint Venture is exploring for platinum group metals, nickel, copper and gold within the 9.4 kilometre Parkin Offset Dyke on the northeast margin of the Sudbury basin.
The Parkin Offset Joint Venture includes the Milnet Mine property, a southern block of claims which are held 1.5% by Xstrata Nickel, and two blocks of claims on either side of the Milnet Mine property which are subject to an option and joint venture agreement between Wallbridge and Champion Bear Resources Ltd.
The Parkin Offset Dyke hosts platinum, palladium, nickel, copper and gold mineralization typical of other offset dykes in Sudbury with examples at Vale's Copper Cliff North and South mines and Vale's Totten mine development. Exploration is at an early stage and the property has very significant discovery potential.
Joshua Bailey, M.Sc., P.Geo., Vice President, Exploration, is the qualified person responsible for the technical content of this press release.
About Wallbridge Mining
Wallbridge Mining Company Limited (WM:TSX) is an established metals company working to build sustainable growth for investors through discovery and development of mineral resources.
Wallbridge specializes in nickel, copper, platinum, palladium and gold projects in mining friendly jurisdictions of North America, with a particular focus on Sudbury, Ontario. Wallbridge's position in Sudbury offers unique large-scale discovery upside in Canada's premier mining district.
Wallbridge has a record of generating high potential projects and financing exploration through joint ventures or spin-out companies. Wallbridge has 48 exploration to pre-feasibility stage mineral projects. These include 12 joint ventures with partners Impala Platinum Holdings Limited, Lonmin Plc, Xstrata Nickel and a number of junior mining companies.
Wallbridge also holds significant equity interests in spin-out companies Duluth Metals Limited (DM:TSX) and Miocene Metals Limited (MII:TSV).
This document may contain forward-looking statements relating to operations of Wallbridge or its subsidiaries or to the environment in which they operate. Such statements are based on operations, estimates, forecasts and projections. They are not guarantees of future performance and involve risks and uncertainties that are difficult to predict and may be beyond Wallbridge's control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in forward-looking statements, including those set forth in other public filings. In addition, such statements relate to the date on which they are made. Consequently, undue reliance should not be placed on such forward-looking statements. Wallbridge disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except as may be required by applicable securities laws.