-- Posted Tuesday, 13 September 2011 | | Disqus
VANCOUVER, BRITISH COLUMBIA--(Marketwire -09/13/11)- Millrock Resources Inc. (TSX-V: MRO.V, MLRKF.PK) ("Millrock" or the "Company") is pleased to provide an activity update for its exploration projects in Alaska and Arizona. The 2011 drilling programs have been, or are being executed on six different projects; this includes three projects in Alaska and three projects in Arizona. Surface work and prospecting continued at the Company's other projects in anticipation of drilling programs for 2012. Millrock's exploration expenditures for the year are on track to exceed $15 million, with 90% of the funding being provided by partner companies that are earning-in through option agreements. Keeping in line with its Project Generator business model, Millrock has continued to generate numerous high-quality projects throughout the year, and anticipates securing partners to fund exploration on these new projects. The following are highlights since the Company's last corporate update:
General:
Millrock continues to strictly and rigorously apply the Project Generator - Joint Venture business model upon which its business has been founded. As the exploration operator for most of the projects generated, Millrock receives management fees, as well as option agreement payments during the earn-in phase. These revenues largely offset overhead expenses. The Company currently has a strong balance sheet with adequate cash resources to continue its business operations for the foreseeable future.
Alaska
Uncle Sam Project, Tintina Gold Belt, Alaska (target - disseminated or vein-style intrusion-related gold deposit): Following on the winter auger drilling program, Millrock drilled nine holes, totaling 1,950 m at two main prospects, Lone Tree and Wolf. This work was completed in July, 2011. Exploration on Uncle Sam is being funded by Crescent Resource Corp. The Lone Tree drilling program targeted a 500 m by 250 m portion of a larger gold-in-soil anomaly measuring approximately 4,000 m by 1,000 m. Significant intersections from drilling at Lone Tree include 6.8 m of 1.01 g/t gold and 33.8 m of 0.58 g/t gold. At the Wolf prospect, Millrock intersected 4.42 g/t gold over 11.4 m. The Wolf Prospect appears to be on strike with Sumitomo Metal Mining Co. Ltd.'s ("Sumitomo") recently discovered Naosi zone (Stone Boy Project) located approximately two km to the southeast. Drilling by Sumitomo at Naosi has returned intercepts up to 7.92 m averaging 7.8 grams per tonne gold and 19.7 grams per tonne silver (source Petroleum News, May 23, 2011). Millrock controls the mineral rights to most of the intervening land and, with its partner, is planning further drilling to test the Wolf - Naosi area.
Estelle Project, Kahiltna District, Alaska (target - large, intrusion-related gold deposit): Field geological and geochemical surveys were carried out starting on July 1, 2011. Drilling commenced several weeks later, behind schedule, and the program has just been completed. Teck American Inc. is earning in to the project by funding exploration. Four holes were drilled, totaling 1,500 m. At Oxide Ridge, an IP geophysical survey response located near gold mineralized outcrops, coincident with a large soil geochemical anomaly was explained by disseminated arsenopyrite and chalcopyrite in altered granodiorite. Sulfide mineralization was observed over the entire 450 m length of the hole with locally more intensely mineralized zones. Gold assay results from this hole are expected in a few weeks. At Shoeshine, highly altered granite and granodiorite rocks intruded by feldspar porphyritic dykes were intersected. The rocks contained arsenopyrite, chalcopyrite, pyrite and other sulfide phases over wide zones; assay results from this hole are also expected within a few weeks. The other two holes were drilled at the Shadow and Discovery prospects. The hole drilled at Shadow parallels and deepens a hole drilled previously by Cominco in the 1980s that intersected 3.01 g/t gold over 29.6 m and ended in mineralization at just 100 m depth. The analytical results for the Shadow and Discovery prospect drilling are expected to be available in approximately six weeks. Surface work has identified several previously unknown mineralized zones that may be the focus for drilling programs in the future.
Humble Project, Southwest Alaska (target - porphyry copper-gold deposit): The planned drilling program commenced in mid-August but has been problematic and has progressed poorly. Kinross Gold Corporation is funding exploration work to earn a majority interest in the project. Operations are continuing at this point but it remains to be seen whether any useful amount of drill core will be obtained. Surface geochemical sampling went very well and comprehensive coverage over the entire land package is completed.
Project Generation, Alaska: The Company invested approximately $1 million for regional project generation in 2011 and has staked seven new properties that it may soon offer to other companies for earn-in agreements. Work also continued on existing projects for which Millrock has not yet secured an earn-in partner. For these projects, such as Fortymile, a gold project situated at the Yukon border in a historic placer gold mining district, Millrock has developed numerous drill-ready targets.
Arizona
Galiuro Project, Arizona (copper porphyry): Drilling of at least one hole to test the Fourmile target is about to commence. Vale Exploration Canada is funding exploration on the project to earn an interest in the claim group. In the spring of 2011, drilling at the Galiuro prospect detected extensive zones of porphyry alteration and mineralization. Numerous drill targets remain. For the immediate future, drilling will focus on the Fourmile prospect.
San Jose and Dry Mountain projects, Arizona (copper porphyry): Drilling recently commenced in the northern part of the San Jose property where coincident magnetic and ZTEM anomalies were detected earlier in the year. Inmet Mining Corp. is funding work on this project to earn a majority interest. At least three holes totaling as much as 5,000 m are scheduled to be drilled in 2011.
Project Generation, Arizona: During summer 2011, Millrock acquired the Rainville property, located in southeastern Arizona near the New Mexico border. The property is on an extension of the prolific Safford porphyry copper deposit trend. Millrock anticipates making an agreement with an earn-in partner soon, and will shortly thereafter commence geophysical surveys.
About Millrock Resources Inc.
Millrock Resources Inc. is a premier project generator to the mining industry. In the search for world-class gold and copper deposits in mineral rich Alaska and Arizona, Millrock identifies, packages and operates large-scale projects for joint venture, thereby exposing its shareholders to the benefits of mineral discovery without the usual financial risk and attendant shareholder dilution taken on by most exploration companies. Millrock currently has twelve active exploration projects, eight gold-copper properties in Alaska, and four porphyry copper prospects in Arizona. With funding primarily coming from its joint venture partners, Millrock plans to carry out exploration programs with a total value of more than US$15 million in 2011. Business partners of Millrock include some of the leading names in the mining industry: Kinross, Teck, Vale, Inmet and Altius, as well as junior explorers Ryan Gold, Brixton Metals and Crescent Resources.
ON BEHALF OF THE BOARD
Gregory Beischer, President & CEO
Some statements in this news release contain forward-looking information, including, without limitation, statements as to the planned 2011 and 2012 exploration program and budgets for Millrock's exploration efforts in Alaska and Arizona and that Millrock anticipates soon entering into an earn-in agreement relating to its Rainville property. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include without limitation the completion of planned expenditures, the ability to complete exploration programs on schedule, the success of exploration programs and the successful conclusion of negotiations towards an earn-in agreement relating to the Rainville property.
Neither 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.
Contact:
Millrock Resources Inc.
Gregory Beischer
President & CEO
(604) 638-3164
(604) 688-9620 (FAX)
www.millrockresources.com
-- Posted Tuesday, 13 September 2011 | Digg This Article
| Source: GoldSeek.com
