Symbol: KRE: TSX-V
FRANKFURT - BERLIN - 878 985
VANCOUVER, Aug. 15 /CNW/ - KENRICH-ESKAY MINING CORP. (the "Company") has
now received base metal and precious metal assays from an additional seven
diamond drill holes from its 2006 exploration program on the Coastal Copper
Project, near Anyox, BC.
The Company is currently conducting drilling programs on two major
projects: the Coastal Copper Project in the Anyox mining camp south of
Stewart, B.C. and the Corey Project in the Eskay Creek mining camp north of
Stewart. A total of four drills are currently deployed on these two projects.
Field crews at the two projects comprise a total of 60 persons conducting
geological mapping and core logging, geochemical sampling, prospecting of
geophysical anomalies and diamond drilling.
The Company was very pleased to add the Coastal Copper project to its
Stewart area property portfolio. Now, both of the Company's mining properties
straddle a regional-scale structural feature that spawned the rifting,
volcanism and sedimentation of the Eskay Rift. Those rift-related rocks host
the very gold-silver rich Eskay Creek massive sulphide deposit of Barrick
Gold. However, the southern continuation of that same rift spawned
copper-zinc-silver massive sulphide deposits at Hidden Creek and Bonanza that
produced about 22 million tonnes of copper-zinc-silver ore for the Anyox mill
and smelter complex.
The Coastal Copper project abuts the Hidden Creek and Bonanza mining
properties, and contains within its boundaries, over 20 km strike length of
similar rift stratigraphy as those previously exploited copper-zinc-silver
deposits. This geology is expected to yield deposits that tend toward much
larger size than Eskay Creek, rich in copper and zinc, but on average, lower
in precious metals. The most significant of the Coastal Copper prospects is
the Double Ed volcanogenic massive sulphide deposit. The Company is currently
drilling that deposit, to depth, and along strike to the north and south.
Coastal Copper Project: Double Ed Phase 1 Diamond Drilling
----------------------------------------------------------
Diamond drilling in the 2006 program commenced on the Double Ed
volcanogenic massive sulphide deposit. Previous exploration programs outlined
a resource of about 2 million tonnes grading 1.3% Cu and 0.6% Zn at Double Ed
(these historical calculations predate National Instrument 43-101, cannot be
verified by Kenrich geologists, and cannot be relied upon by the reader). It
is the Company's goal to re-establish this significant deposit and establish
an NI 43-101 compliant estimation of the resource present at Double Ed.
Phase 1 drilling was expanded after encountering very encouraging copper-
and zinc- bearing massive sulphide intersections during the initial weeks of
drilling. A total of 3783.3 metres (12,412 feet) from 11 drillholes were
completed in that expanded first phase. All assay results have now been
received from the laboratory for Phase 1. Results of the first four drillholes
(DE06-01 to -04) were released on July 14, 2006.
Massive, semi-massive and/or stringer sulphides were intersected in all
drillholes. The major sulphide minerals observed are pyrite, pyrrhotite and
chalcopyrite with lesser sphalerite. Holes 01 to 04 identified two separate
lenses. Drillholes DE06-05 to -08 are located 50 metres to the south of holes
01 to -04 confirmed the presence of the two lenses and extended their strike
length. Hole DE06-11 is located 50 metres north of the first four holes. A
single, wide lens of semi-massive sulphides was intersected. This zone has
been interpreted as a possible fold hinge suggesting that the two lenses
encountered to the south are in fact a single folded horizon. Drillholes
DE06-09 and -10 tested the downdip extension of the zone below holes 01 to 04.
These holes intersected stringer and semi-massive zones of pyrite, pyrrhotite
and chalcopyrite that have been interpreted as possible feeder zones to the
massive sulphide zones above.
<<
-------------------------------------------------------------------------
From To Width True Cu Zn Ag
Drillhole Lens (m) (m) (m) Thickness (%) (%) (g/t)
(m)
DE06-05 1 114.8 117.4 2.6 2.1 1.15 1.50 7.96
1a 136.2 139.0 2.7 2.3 3.34 1.47 50.76
2 238.1 244.1 6.0 2.5 0.40 0.73 2.92
2 250.3 266.8 16.5 7.0 1.13 0.19 14.53
incl. 2 253.3 255.3 2.0 0.8 2.82 0.38 40.05
DE06-06 1 93.4 106.0 12.6 12.2 1.38 0.64 9.98
2 156.4 168.8 12.4 11.2 2.80 3.47 48.81
incl. 2 157.3 159.3 2.0 1.8 0.98 7.95 16.90
and 2 160.3 164.4 4.1 3.7 4.85 3.24 84.81
DE06-07 1 104.9 110.2 5.3 4.8 1.41 3.08 11.61
2 188.1 197.9 9.8 6.6 0.91 2.92 28.87
incl. 2 188.1 190.1 2.0 1.3 0.88 3.19 36.95
DE06-08 1 94.9 113.1 18.2 18.1 3.02 0.40 19.74
incl. 1 97.0 99.1 2.1 2.1 5.61 0.85 36.18
incl. 1 106.6 110.1 3.5 3.5 6.21 0.72 41.43
DE06-09 no significant intersections
DE06-10 stringer 163.9 177.6 13.7 unknown 0.95 0.35 5.74
DE06-11 stringer 163.9 169.7 5.8 unknown 1.93 0.40 11.70
230.8 238.5 7.7 unknown 0.50 0.04 8.44
incl. 230.8 231.8 1.0 unknown 2.21 0.16 44.90
248.5 262.0 13.5 unknown 1.00 0.30 4.61
-------------------------------------------------------------------------
>>
The eleven holes drilled to date have defined a "stacked" lenses with
dimensions of over 100 metres north-south by up to 300 metres downdip with
thicknesses from 2 to greater than 15 metres on each lens. The zone is still
open in all directions; along strike to the north and south as well as up and
downdip to the west and east. The ongoing Phase 2 drilling will continue to
expand the lenses in all directions while better determining the nature of the
mineralization and structure.
Phase 1 diamond drilling on the Double Ed massive sulphide deposit has
tested massive sulphide horizons that include both copper-rich and some
zinc-rich lenses. These observations imply that zinc-rich lenses form an
additional attractive enhancement to the potential of the Double Ed deposit.
The presence of two massive sulphide horizons, the good copper and zinc grades
and the very substantial thicknesses that are encountered here, all indicate
the very high potential for the continuing exploration and development of the
Double Ed deposit.
It is the Company's goal at Double Ed to re-test this significant
deposit, test for extensions, and establish a NI 43-101 compliant estimation
of the resource.
Phase 2 Diamond Drilling
------------------------
Phase 2 drilling commenced July 27. One diamond drill rig continues to
drill for the estimation of the resource at Double Ed deposit. The Company
also mobilized a second drill to commence drilling on the recently received
AeroTEM II time-domain EM geophysical targets and other prospective zones. To
date, the Company has drilled 5 additional holes at Double Ed and 8
exploration holes on AeroTEM II geophysical anomalies. Assay results from the
Phase 2 drilling are pending.
At the Eskay Creek Corey property, diamond drilling is ongoing. The first
batches of analytical results have been received and are currently being
interpreted. A news release on these results is anticipated very shortly.
The information contained in this document has been reviewed by Paul
McGuigan, P.Geo., a Qualified Person as defined by National Instrument 43-101.
<<
On behalf of The Board of Directors of Kenrich-Eskay Mining Corporation.
"Wally E Boguski"
-----------------
Wally E Boguski,
President, CEO, Director
>>
This document contains certain forward looking statements which involve
known and unknown risks, delays, and uncertainties not under the corporation's
control which may cause actual results, performance or achievements of the
corporation's to be materially different from the results, performance or
expectation implied by these forward looking statements.
"TSX Venture Exchange" does not accept responsibility for the adequacy or
accuracy of this news release.
