TORONTO, July 6 /CNW/ - Woodruff Capital Management Inc. (WOO-TSX.V)
(the "Company") is pleased to announce that, subject to regulatory acceptance,
it will purchase the Scott Lake base metal massive sulphide property from
Thundermin Resources Inc., in consideration of staged payments totalling
$285,000 and the issuance of 300,000 treasury shares to Thundermin over a two
year period. Upon reaching commercial production on any mineral deposit
discovered on the property, the Company will make a final payment to
Thundermin ranging from $1,000,000 to $4,000,000, depending on the size of
deposit discovered, and issue to Thundermin 1,000,000 treasury shares of
Woodruff.
The Scott Lake Property is situated approximately 20 kilometres west of
Chibougamau, Quebec. It has seen considerable exploration activity in the mid
70's and in the late 80's following the discovery of a VMS deposit by Selco.
The Scott Lake property is located on the north limb of the Chibougamau
Anticline and covers 7 kilometres of strike length of felsic rocks of the
Waconichi Formation. On the south limb of that Anticline, the Waconichi hosts
the past producing high grade Lemoine mine which is now part of the Company's
Lemoine project. Potential to discover additional sulphide lenses at Scott
Lake is considered excellent with 2 other massive sulphide lenses already
discovered respectively 1.2 Km and 1.7 Km west of the Selco deposit. No
resource calculations are available for those two lenses. The potential for
additional stacked mineralized horizons is also excellent as illustrated by
various sulphide bearing chert horizons and stringer zones found
stratigraphically above the known massive sulphide lens. In addition,
widespread alteration and stringer sulphide zones have been identified over
3 kilometres, indicating the existence of an extensive and vigorous
hydrothermal system of a scale consistent with the possibility of a very large
VMS deposit.
GDerald Riverin, president of Woodruff, commented: "Scott Lake fits
perfectly with our strategy of focusing on high quality base metals
exploration in easily accessible areas. Along with the Lemoine project where
we control over 17 km of favourable stratigraphy, Scott Lake will make the
Company the premier VMS explorer in the Chibougamau camp." The Company will,
over the course of the next few months, review and compile all of the
technical data received from Thundermin with the purpose of establishing a
comprehensive stratigraphic and lithogeochemical model of the existing
mineralization, which will form the basis of the anticipated 2006 drilling
program.
GDerald Riverin, PhD, P.Geo. is a qualified person (as defined by National
Instrument 43-101) and has more than 28 years of experience in exploration.
The Company focuses on base metal exploration in accessible areas of
Quebec, Ontario and Newfoundland.
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The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
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