Transcript of "Mineral mountain intersects high grade gold mineralization in the cook porphyry zone shining tree area, ontario"
MINERAL MOUNTAIN RESOURCES LTD. 201-1416 West 8th Avenue Vancouver, B.C. V6H 1E1 T: 604-714-0111 F: 604-714-1119 MMV.TSX-VNEWS RELEASE January 11, 2011No. 2011-02 MINERAL MOUNTAIN INTERSECTS HIGH GRADE GOLD MINERALIZATION IN THE "COOK PORPHYRY ZONE" SHINING TREE AREA, ONTARIOHighlights: • DDH GH10-38 intersects 4.66 g/t Au over 14.0m including 13.01 g/t Au over 4.0m. • Gold mineralization hosted in intrusive alkaline porphyry intrusion, geologically similar to Creso Explorations Minto deposit mineralization nearby and Lake Shore Golds Thunder Creek deposit in the Timmins gold camp to the north. • All historical and present drilling has been shallow. The Cook Zone offers excellent potential to host a commercial gold resource.Vancouver, British Columbia, January 11, 2011: Mineral MountainResources Ltd. (MMV.TSX-V) (“Company”) is pleased to report thatpositive assays for the first 3 diamond drill holes have been received fromthe ongoing drill program which is targeting the Cook Zone on Block A, apart of the Companys extensive land package totaling 145 sq. km locatedin the heart of the emerging Shining Tree gold district. Recently, theCompany purchased Block A from Benton Resources Corp. (BTC.TSX-V)which is held under option to earn 70% interest from Golden HarpResources Inc. (GHR.TSX-V) (see news release of October 26, 2010 onthe Companys website www.mineralmtn.com).Cook Porphyry ZoneThis zone was first discovered in the 1930s and is hosted within silicifiedand carbonate altered mafic and ultramafic volcanic rocks that have beenintruded by alkaline porphyry displaying intermittent brecciation and1 | P a g e
pervasive alteration associated with strong quartz carbonate veining withsulphides with up to 3% by volume. This zone has been subject to severaldiamond drill campaigns which have intersected significant, wide goldmineralization from several sub-parallel zones.Some of the better historical down hole drill intersections prior to theBenton era (2009-2010) included 52.4 g/t Au over 4.0m (DDH B-04), 5.71g/t Au over 4.6m (DDH B-06), 5.40 g/t Au over 7.6m (DDH T-14), 10.6 g/tAu over 3.1m (ORC-01) and 2.7 g/t Au over 13m (DDH KC-12).Since March 2009, Benton conducted three separate phases of diamonddrilling on the Cook Porphyry Zone confirming that the zone is a strongmineralizing event. The results for all of the Benton drill phases aretabulated in Table 2 below.In December 2010, Mineral Mountain launched a 3500-metre drill programtargeting the southwest extension of the Cook Porphyry Zone at about the150m level below surface. Three holes, GH 10-36, 37 and 38 werecompleted and sampled prior to the holiday period. Mineral Mountain drillhole GH 10-36 targeted the Benton holes GH 09-04, 05, 06 and 10 whileGH 10-37 and 38 targeted Benton holes GH 09-01, 08 and 09. Table 1below summarizes the results of the 3 holes completed by MineralMountain. The shapes and dimensions of the areas of gold mineralizationis not yet fully understood, thus true widths of these intersections stillcannot be determined.Diamond drill crews have resumed drilling of the Cook Porphyry Zone onJanuary 10, 2011.Nelson Baker, President and CEO, commented: “Drilling results from theCook Porphyry Zone continue to demonstrate that it hosts a very large goldsystem with considerable potential to support either a standard high grademining or a low-cost bulk mining operation. The core of porphyrymineralization is similar to those found in world class mines in the TimminsCamp such as the Hollinger and McIntyre deposits. The excellent nearsurface widths and grades intersected provide us with great confidence thatthe Cook Porphyry could generate an important gold resource for theCompany.”2 | P a g e
QA/QC ProgramMineral Mountain has implemented the following quality assurance/qualitycontrol (QA/QC) procedures for all of the Shining Tree Gold Project drillprograms:Core was logged then sawed in half, with one side bagged and labeled; theremaining half was placed in core boxes for a permanent record and storedon site. All samples were transported to Accurassay preparation laboratoryin Sudbury, after which pulps are shipped to the analytical laboratory inThunder Bay, Ontario. All samples sent for analyses were prepared using ajaw crusher, which was cleaned with compressed air between samples. A250-gram split of the crushed sample with 70% passing through a 10 meshscreen was pulverized with 85% passing through a 200 mesh screen. Fireassays were performed using 50-grams of sample with assays equal to orgreater than 10 g/t calculated gravimetrically, and lower-grade samplesmeasured by atomic absorption. Multi-element analyses were performedusing 1-gram of sample digested in aqua regia and analyzed by inductivelycoupled plasma atomic emission (ICPMS). Accurassay carries outduplicate assays on every 10th sample. Three Standards (one high grade,medium grade and one low grade) and one locally sourced Blank wereinserted sequentially at every 20th sample into the drill core samples beforeshipment. All the blanks returned no significant gold values. Standardsdisplayed standard deviations of less than 0.16 g/t and geometric means of+/- 1% of the known grade.Core sample size varied from 0.5 to 2.0 metres with an average samplesize of 1.14 metres. Quality control was monitored using a high grade (5.49g/t) and medium grade (1.019 g/t) and low grade (0.43 g/t) gold standardfrom Analytical Solutions Inc, as well as a locally sourced rock blank.The project is managed by Joerg Kleinboeck, P.Geo. and the drill programis supervised by Wally Rayner, P. Geo., the Companys Vice President ofExploration, who has verified the contents of this press release and is theQualified Person for this project.About Mineral MountainMineral Mountain is a well-funded explorer and developer of precious3 | P a g e
metals with approximately $8 million in its treasury. The Company has fourmajor gold projects that meet Mineral Mountains long term objectives ofbecoming a strong mid-tier resource group. In south eastern BritishColumbia, the Companys 100%-owned 89,000-hectare, 70 km by 15 kmKootenay Arc Project is believed to have a geological environment forsediment-hosted precious metal deposits similar to those found in theCarlin Trend of Nevada and in the Selwyn Basin of Yukon. In the emergingShining Tree mining camp 100 km south of Timmins, Ontario, theCompany, through its joint venture with Golden Harp Resources Inc. hasbecome a key explorer in the district. The 145 km² Golden Harp Main Block(60%) and Block A (70%) options host large gold systems that offer aboveaverage potential to host both bulk tonnage and high grade goldmineralization. The recently acquired 7 km by 3 km Straw Lake Beach MineProperty 70 km northeast of the Rainy River deposit offers great potentialto host a Hemlo-style gold deposit. Table 1: Summary of drill results Mineral Mountain Resources Cook Porphyry Zone 2010 Hole # From (m) To (m) Length Au g/t GH10-36 30.0 31.5 1.5 1.224 40.5 45.0 4.5 0.610 55.0 66.0 9.0 0.411 GH10-37 36.75 41.0 4.24 1.432 45.0 54.0 9.0 0.921 99.0 127.0 28.0 0.698 Including 119.0 122.0 3.0 2.548 GH10-38 93.0 107.0 14.0 0.944 113.0 118.0 5.0 2.059 146.0 157.0 11.0 0.787 161.0 175.0 14.0 4.658 Including 161.0 165.0 4.0 13.008In drill hole GH10-38 a one meter interval from 161 to 162m assayed 40.13g/t gold, confirming the potential for high grade shoots within the thickersections of gold mineralization.4 | P a g e
Table 2: Summary of 2009 Benton Drill Results-Cook Zone Hole Number From To Length Au g/t H09-01 200.1 233 32.9 1.933 Including 214.1 222.6 8.5 5.027 GH09-02 114.7 135.9 21.2 3.516 Including 130.4 135.9 5.5 11.968 GH09-02 152.0 157.3 5.3 3.04 GH09-03 138.3 139.8 1.5 2.79 216.6 221.6 5.0 1.431 GH09-04 141.1 145.1 4.0 1.260 163.7 169.4 5.7 0.743 GH09-05 248.5 252 3.5 0.556 GH09-06 61.9 72.4 0.5 1.390 174.5 177.5 3.0 21.405 GH09-07 122.0 123.3 1.3 1.500 GH09-08 293.0 297.5 4.5 0.688 GH09-09 51.5 66.0 14.5 0.418 72.0 107.0 35.0 0.838 Including 95.0 99.0 4.0 3.320 121.0 127.78 6.78 1.195 GH09-10 31.0 53.0 22.0 0.622 57.0 84.0 27.0 0.9245 | P a g e
MINERAL MOUNTAIN RESOURCES LTD.Nelson W. Baker, President and CEOFor further information, please contactBrad Baker, DirectorTelephone: (604) 714-0111 Email: email@example.comKin CommunicationsTelephone: (604) 684-6730 Email: firstname.lastname@example.orgThe TSX Venture Exchange has not reviewed and does not accept the responsibility for the adequacy and accuracyof this news release. This release includes certain statements that may be deemed to be “forward-lookingstatements”. All statements in this release, other than statements of historical facts, that address events ordevelopments that the Company expects to occur, are forward looking statements. Forward looking statements arestatements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”,“could” or “should” occur. Although the Company believes the expectations expressed in such forward lookingstatements are based on reasonable assumptions, such statements are not guarantees of future performance andactual results may differ materially from those in forward looking statements. Factors that cause the actual results todiffer materially from those in forward-looking statements include gold prices, results of exploration and developmentactivities, regulatory changes, defects in title, availability of materials and equipment, timeliness of governmentapprovals, continued availability of capital and financing and general economic, market or business conditions. TheCompany cautions the foregoing list of important factors is not exhaustive. Investors and others who base themselveson the Company’s forward-looking statements should carefully consider the above factors as well as the uncertaintiesthey represent and the risk they entail. The Company believes that the expectations reflected in those forward-lookingstatements are reasonable, but no assurance can be given that these expectations will prove to be correct. Pleasesee the public filings of the Company at www.sedar.com for further information.6 | P a g e