Imperial Metals expands Northeast zone (October 27, 2003)

Vancouver — The latest drill results have expanded the newly discovered Northeast zone on the past-producing Mount Polley copper-gold property, 56 km northeast of Williams Lake, B.C.

So far, Imperial Metals (III-T) has drilled 16 holes into the zone, which lies 1.5 km northeast of the Bell pit. Results from the first six holes have been received, and they are promising:

— Hole 1 returned 57 metres grading 2.54% copper, plus 1.15 grams gold and 17.4 grams silver per tonne, at a down-hole depth of 3 metres. The hole was drilled vertically to a depth of 184.7 metres.

— The second hole was collared from the same site and drilled at an angle of 60 in a southwesterly direction. It returned 76.5 metres of 0.74% copper, 0.34 gram gold and 5 grams silver.

— About 25 metres to the northwest, hole 3 was also drilled southwesterly and at 60. It intersected 193.5 metres grading 1.33% copper, 0.44 gram gold and 10.6 grams silver.

— Collared just off-section from hole 3, some 25 metres to the southwest, hole 4 averaged 0.34% copper, 0.21 gram gold and 2.66 grams silver over 158.4 metres at 0.6 metre down-hole.

— Drilled on-section with hole 1 and collared 25 metres to the southwest, hole 5 cut 33.8 metres grading 0.49% copper, 0.3 gram gold and 5.32 grams silver from 3.7 metres downhole.

— Roughly 75 metres southeast of the original hole, hole 6 cut 212.9 metres grading 0.98% copper, 0.32 gram gold and 6.18 grams silver at 7.1 metres down-hole. Included in this section was a higher-grade portion running 1.94% copper, 0.57 gram gold and 11.71 grams silver over 102.9 metres.

— Collared 25 metres farther to the southeast, hole 7 returned 204.1 metres grading 1% copper, 0.4 gram gold and 7.31 grams silver from 13.4 metres. Included in this section was a higher-grade portion running 1.72% copper, 0.56 gram gold and 12.3 grams silver over 112.9 metres.

— Some 25 metres northwest of hole 6, hole 8 cut 73.8 metres grading 0.98% copper, 0.31 gram gold and 8.04 grams silver from 7.3 metres.

The new zone is hosted in the same type of hydrothermal breccia as the other three deposits on the property (namely, Cariboo, Bell and Springer); however, magnetite is lacking, actinolite is sporadic, and secondary biotite appears to be the dominant alteration mineral associated with the higher-grade values. The mineralization is predominantely sulphide, consisting of bornite and chalcopyrite, with oxides disappearing after only a few metres of depth.

The first bout of drilling tested the new zone over a length of 275 metres.

Imperial has now moved the rig from the Northeast zone over to what was originally thought to be the most promising target, expanding the resources below the Springer and Bell zones.

The junior intends to sink four holes below the Bell pit, which holds probable reserves of 3.4 million tonnes grading 0.36% copper and 0.36 gram gold.

At the essentially unmined Springer zone, which holds 15.3 million tonnes of probable reserves grading 0.4% copper and 0.39 gram gold, Imperial has laid out four holes for the current program.

In the northern part of British Columbia, Imperial recently completed a 1,511-metre drill program on the company’s Joss’alun massive sulphide property, near Atlin.

The best results came from the Joss’alun showing, where hole 5 returned 0.94% copper over 17.8 metres. The next highest values came in hole 7, which returned 53.5 metres grading 0.34% copper.

Mineralization is hosted in a mafic volcanic unit of pillows and lesser agglomerate.

Imperial can earn a 100% interest on the property by issuing 100,000 shares over one year plus 100,000 shares after $2.5 million has been spent on the property. Copper Ridge Exploration (PEX-V) will retain a 2% net operating profits royalty, which Imperial can buy for $3 million. The agreement includes an adjoining property which Copper Ridge acquired from Tenajon Resources (TJS-V) in late January.