TORONTO, ONTARIO–(Marketwired – March 9, 2017) – Darnley Bay Resources Limited (TSX VENTURE:DBL) (“Darnley Bay” or the “Company“) is pleased to announce several developments regarding it’s 100% owned Pine Point lead-zinc project near Hay River, Northwest Territories. The Company has received the land-use permit which will allow drilling to begin. Simultaneously the Company has signed a drilling contract with a local aboriginally-registered company. The first phase is a 3,500 metre drilling program which is scheduled to commence shortly and will be followed by at least two additional phases of drilling throughout the year.
Exploration by past operators totalled approximately 1.3 million metres of core drilling in an estimated 18,406 drill holes, and there are 54 undeveloped lead-zinc deposits on property held by Darnley Bay. These are in addition to the 52 deposits historically mined out by former owner Pine Point Mines Ltd and Cominco (now Teck Resources) between 1964-1987, which totalled 64 million tonnes grading 7.0% zinc and 3.1% lead. Of these 54 deposits, 15 were included in the National Instrument 43-101 (“NI 43-101“) resource report as detailed in a press release March 3, 2017, while the rest are classified as historical resources.
The purpose of the drilling is threefold: to upgrade some of the historical resources as current mineral resource in accordance with NI 43-101; to explore for additional deposits in several under-explored portions of the property; and to obtain sufficient samples for metallurgical testing for a feasibility study.
Additionally, the Company has acquired additional properties in the Pine Point area through staking. The new staking adds eight claims totalling 3490 hectares to the approximately 18,000 hectares already held through mining leases and claims by Darnley Bay in the region. The land-use permit applies only to the original 18,000 hectares.
Lead and zinc mineralization in the Pine Point area has been found on three main trends known as the North Trend, Main Trend and South Trend. Approximately 30% of ore mined by Pine Point Mines Ltd. and Cominco was from the South Trend, which was discovered after the mine and the town of Pine Point were largely constructed in 1964. The town was partially situated on the South Trend. As a result, little of certain parts of the South Trend were explored in the past. The town of Pine Point has been largely abandoned and reclaimed and the new staking covers approximately 10 km of the South Trend. Since the historically identified deposits are located on average every 1.5 kilometres of strike length on the three trends, the former town site presents a prospective exploration target.
Darnley Bay intends to begin an Induced Polarization Survey on the new claims, followed by drilling of any targets which are found, once permits are obtained for the newly staked property.
Stanley Clemmer, a Qualified Person under NI 43-101, reviewed and approved the scientific and technical information presented in this press release.
This release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that Darnley Bay expects are forward-looking statements. Although Darnley Bay believes the expectations expressed in such statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the statements. There are certain factors that could cause actual results to differ materially from those in forward-looking statements. These include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. For more information on Darnley Bay, investors should review registered filings at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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