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July
09, 2007
NEWS RELEASE
Deep Penetrating Diamond Drill Rig
Contracted for
Broulan Reef Gold Project, Red Lake, Ontario
Vancouver, BC – Cypress Development Corp. (TSX-V: CYP) (the
“Company”) announces that has made good progress in acquiring a
deep penetrating diamond drill rig for its Broulan Reef gold project in Red
Lake, Northwestern Ontario. Cabo Drilling (Heath and Sherwood) has
been contracted to supply a rig capable of drilling to depths of 2400 –
2600 metres in length.
Broulan Reef
Red Lake Location Map:
http://www.cypressdevelopmentcorp.com/i/maps/CYP-McKenzie-Island-New-Map.jpg
The term
of the contract is for a period of 1 year as a starting point. The Company
anticipates the rig being mobilized to the Broulan Reef property in early to
mid August. Cypress Development is prepared to spend approx. $2.5 million in
diamond drilling over the next 12 months. This will include the establishment
of a drill site on the east shore of the property. A deep hole will be
drilled to the northwest corner of the Broulan Reef property at an angle of
approx. 80 degrees. The geological theme here is to enter into the Balmer
Assemblage as shallow as possible from the east side of the property and then
continue drilling in the Balmer Assemblage of rocks to the northwest corner of the claim group.
Broulan Reef Deep Drill Hole Location Map:
http://www.cypressdevelopmentcorp.com/s/Image.asp?i=maps/CYP-Broulan_reef_Drill_Map.jpg
Once a
mother hole has been established to depth across the property, Cypress plans to initiate
a series of wedge drill holes to properly explore the north half of the
property from the same location. It is the Company’s intention to drill
a 2nd mother hole from the same general location on the east side
of the property. This hole will be directed generally south southwest across
the Broulan Reef property to properly explore the known major geological nose
fold that exists on the Broulan Reef property. Cypress plans to initiate a series of wedge
holes from this location as well.
The Balmer
Assemblage is the known host rock for the ore that is being discovered by Cypress’
neighbors, (Gold Eagle Mines, Goldcorp, & Premier Gold). The Balmer
Assemblage is the known host environment for the gold that is produced in Red Lake
by Goldcorp, perhaps the richest gold mine known in the world today. The same
geological horizon, Balmer Assemblage, that is being seen in the Gold Eagle
Mines drilling is known to exist on the Cypress Broulan Reef property.
The
Company believes that every opportunity exists on the Broulan Reef claims to
encounter the extension of the Gold Eagle Mines deposit now being
discovered / delineated in the Bruce Channel. Gold Eagle Mines adjoins the
Broulan Reef on our immediate north boundary. Gold Eagle continues to drill
with 4 drill rigs just to the north of Cypress
and with very impressive results released to date.
Goldcorp
adjoins the Broulan Reef on our east boundary with their Wilmar
property (approx. 10 million tons @ 5 grams Au). Goldcorp
also has a new joint venture to the immediate east of the Broulan Reef with
Premier Gold. (a new deposit estimated to contain approx. 750,000 ounce
gold).
Goldcorp
has recently invested in a private placement with Cypress Development in the
amount of $2.6 million. Goldcorp, in essence, has acquired 4.8% of the
outstanding shares of Cypress
with an option to acquire another 4.8% via the exercise of $1.00 warrants
attached to the private placement.
David J.
Busch, B.A., B.Sc., PGeo., Vice President of Explorations, is the qualified person
under the meaning of National Instrument 43-101 and has reviewed the data in
this News Release.
Cypress
Development Corp. is a diversified precious and base metal exploration and
development company with properties in Red Lake,
Ontario, Canada,
and in Nevada, U.S.A.
To find
out more about Cypress Development Corp. (TSX-V: CYP), visit our website at www.cypressdevelopmentcorp.com.
ON BEHALF
OF THE BOARD OF DIRECTORS
“Don Huston”
DONALD C.
HUSTON
President
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