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August 21,
2008
Ticker Symbol: IEC (TSX-V)
International Enexco
Commissions Pre-Feasibility Study on the Contact Copper Project, Nevada
28,400 Metres of New Drilling
to be Incorporated into Updated Resource Calculation - Expansion and
Infill Drilling Continues
International Enexco announced today it has retained Gustavson
Associates, LLC of Boulder, Colorado to prepare an updated mineral resource
estimate incorporating 28,400 metres (m) of new drilling and a
Pre-Feasibility Study on Enexco's copper project at Contact,
Nevada. Gustavson Associates will initially focus on the copper
oxide mineralization in the Phase 1 drilling area with an eye towards an
open pit heap leach operation using solvent extraction-electrowinning
(SX-EW) to produce cathode copper on-site. The Pre-Feasibility
Study is expected to be completed by Q1-09 upon conclusion of drilling
currently underway in the Phase 2 area, and metallurgical tests, which
are being completed at Resource Development Inc. in Wheat Ridge Colorado.
Arnold Armstrong, President & CEO, commented, "We are
pleased to have advanced the project to the stage where Enexco has
commissioned a detailed, Pre-Feasibility Study for Contact. This is a
significant milestone on Enexco's path to production."
Enexco is working to develop the Contact project as an open pit, heap
leach operation, amenable to shallow oxide copper mineralization in the
Phase 1 and 2 areas. The operation will use low cost solvent
extraction-electrowinning to produce a readily saleable cathode copper
product. Enexco continues to work to expand the Phase 1 and 2 areas oxide
mineralization, as well as explore the deeper sulfide mineralization in
the Contact area.
The initial work will focus on the copper oxide mineralization in the
Phase 1 area, where a 4,680m drilling program was completed in 2007 (see
March, 17, 2008 press release). Oxide mineralization was found in
all holes, including EN-2 (36m of 0.35% Cu), EN-3 (55m of 0.31% Cu), EN-4
(70m of 0.31% Cu), EN-6 (93m of 0.34% Cu), EN-8 (64m of 0.45% Cu,
EN-11 (62m of 0.42% Cu), EN-13 (59m of 0.36% Cu) and EN-15 (48m of 0.63%
Cu). The Phase 1 drilling is within an area of about 475m along
strike of the historic Delano vein.
Since completing the first 18 holes in the Phase 1 area, drilling has
been ongoing at the site with two company-owned and operated core
drills. Another 24 holes totaling 6,500m have been drilled in the
Phase 1 area for in-fill purposes and to obtain material for
metallurgical testing. West of the Phase 1 area, the Company's
Phase 2 area drilling program is nearing completion, where, so far,
another 70 holes and 17,300m have been drilled. The Phase 2 area drilling
has potential to extend the copper oxide mineralization from the Phase 1
area west another 850m along strike. Surface exposures show the
mineralization is open along strike west of the Phase 2 area for at least
another 1500m. Permitting for a subsequent phase of drilling is
underway to test the westward extension. Drilling has also begun in
the Phase 3 area south of Phase 2, centered around the deep, high-grade
sulfide mineralization in drill hole PD-4.
Enexco is well financed with approximately $14M in the treasury, to
carry out the current work that is leading to a technical/feasibility
study of the Contact project scheduled for completion in 2009. The
Company has 21,086,441 shares issued and on a fully diluted basis would
have 22,621,441 shares outstanding.
Gustavson Associates, LLC., located in Boulder, Colorado is a global
consulting firm providing geological, engineering, and environmental
services on all aspects of natural resource evaluations, including
mineral resources and reserves estimation, project financing, due
diligence, feasibility studies, appraisals and valuations, and qualified
person reports. Gustavson is majority owned by Walsh Environmental
Scientists and Engineers, whose parent company is Ecology and
Environment, Inc. (AMEX: EEI) Resource Development Inc. (RDi) in
Wheat Ridge, Colorado, provides mineral processing research RDi's
specific experience in copper leaching offers a systematic and
cost-effective approach to SX-EW projects.
ABOUT INTERNATIONAL ENEXCO
Enexco is a Canadian based advanced exploration company headquartered
in Vancouver, B.C. In addition to its 100% owned Contact Copper Resource
Property, the Company is exploring other prospective areas of Nevada, and
has a strategic alliance with Cameco Corporation (35%), International
Enexco (30%) and UEM Inc. (35%) to jointly develop the High-Grade Mann
Lake Uranium Project located in the Athabasca Basin in Saskatchewan.
Cameco is operator of the Mann Lake Uranium Project.
For further information on all of Enexco's projects, visit our website
at: www.enexco.ca
Paul McKenzie, Director, International Enexco Limited
Tel: (604) 669-8368 Fax: (604) 642-2629
The TSX Venture Exchange does not accept responsibility for the
adequacy or accuracy of this release."
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