VANCOUVER, July 7 /CNW/ - Cadillac Mining Corporation (TSXV:CQX) is pleased to announce the receipt of a work permit from the Ministry of Energy Mines & Petroleum Resources for a drilling program of six drill holes on the Tuzo Creek molybdenum prospect located near the town of Beaverdell in south-central British Columbia. Drilling is expected to commence within 10 days.
This work is the follow-up to the 780-meter drilling program completed in December 2007. It is designed to test the extension of a tabular zone intersected in DDH TZ07-04 that carried molybdenum mineralization over its total length of 173 meters, and bottomed in mineralization. The hole returned 48 meters of 0.074% Mo within 170 meters that averaged 0.038% Mo. See Cadillac's March 28, 2008 news release for details. DDH TZ07-04 was an offset of Amax Explorations' DDH 81-05 which intersected 0.060% Mo over 33.5 meters.
The December 2007 drilling also intersected broad widths of strongly mineralized breccia carrying elevated but sub-economic zinc values (0.33% Zn over 103 meters), and unusually strong pyrite as stringers and disseminations which average approximately 6% over-all. Zones of elevated sulphides are often seen peripheral to molybdenite deposits in British Columbia.
The 2008 follow-up drilling represents a departure from the model guiding all earlier work which postulated a westerly mineralized trend along a narrow corridor. The current program will instead test a north-east extension of known mineralization along a trend that had not been regarded as prospective in the past.
Plans and sections showing details of the geological environment can be viewed on the Company's website.
Cadillac can acquire a 100% interest in the 1746-hectare property by completing a two-year schedule of cash and share payments to an aggregate of $90,000 and 1,100,000 common shares. The agreement is subject to a 2% production royalty that can be purchased for $1,000,000. Cadillac has made an initial $20,000 payment, and has issued 300,000 shares.
Andre J. Audet, P.Eng, Vice-President Exploration, is the Qualified Person who has reviewed and verified the technical information detailed in this release.
Cadillac Mining Corporation is a junior resource company focused on the acquisition, exploration and development of precious and base metal mineral properties across Canada. Current activities include gold prospects near Rouyn-Noranda, Quebec and a growing number of base-precious metal projects in British Columbia.
Statements contained in this release that are not historical facts may be "forward-looking statements". Such statements are subject to risks and uncertainties and other factors which may cause actual developments or results or level of activity or performance to vary materially from those projected by Management. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release, which has been prepared by Management.
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