Orestone Reports Airborne Geophysical Anomalies from Survey at Todd Creek Project, Stewart Camp, British Columbia
Vancouver, British Columbia, Orestone Mining Corp. (“Orestone” or the “Company”) is pleased to announce the completion of an airborne EM/Magnetic survey on its Todd Creek Copper-Gold Project in the Stewart Mining Camp of northwestern British Columbia. Intuitive Exploration Inc., a wholly-owned subsidiary of Orestone, holds a 51% interest in the Todd Creek Project through its 51% controlling interest in the Todd Creek Joint Venture (the “Joint Venture”). Orestone contracted Geotech Ltd., based in Aurora, Ontario, to fly a detailed 2171 line kilometer airborne VTEM and magnetic survey of the Todd Creek Project in the Stewart Camp of northwestern British Columbia. During July and August of 2010, Geotech collected the data along 100 metre spaced flight lines from a nominal 100-metre ground clearance. Condor Consulting, out of Lakewood, Colorado, has integrated and processed the data and delivered a full interpretation of the results. Condor is one of the leading providers of airborne geophysics processing and interpretive expertise. The Condor report identified 35 target zones (“TZ’s”) on the 17,000 hectare property, including 18 volcanogenic massive sulfide (VMS) TZ’s, ten mesothermal gold TZ’s, and seven porphyry copper TZ’s. Based on the known geology and mineralization in the core of the property, five of Condor’s EM conductive linears support areas where field investigations have shown geologic and geochemical characteristics favorable for mineralization. Additionally, three of the porphyry targets in the Condor report match areas where intense surface alteration and structural patterns have suggested buried intrusive bodies. Orestone’s President and CEO, Jose Pinedo, commented on the meaning of these geophysical results, “We are excited to see these targets emerge from the geophysical survey at Todd Creek. The property is huge, and surface alteration and mineralization are extensive, and these targets reinforce our view that the property hosts multiple styles of mineralization. The resolution of the survey was reduced because of the topography in the area, but we are evaluating the option of adding ground geophysics and geochemistry in this year’s program to define the drill targets. The Joint Venture is developing and deciding on a 2011 work plan that may include drill testing high priority targets.”
Additional Details of the Geophysical Survey
Between July 9, 2010 and July 30, 2010, Geotech flew a 2203 line kilometer survey using its 19-meter diameter VTEM electromagnetic coil and magnetic sensor. The survey was flown at an azimuth of north 100 degrees east, perpendicular to the regional fabric of geology, topography and potential mineralization at a line spacing of 100 meters.
Flying perpendicular to the rugged topography proved challenging and Geotech was unable to maintain ground clearance within the parameters of the contract over a significant part of the survey. Between August 2, 2010 and August 13, 2010, Geotech re-flew the most important part of the property using a lighter 17-meter diameter EM loop to enable tighter terrain clearance. The second survey totaled 581 line kilometers and Geotech flew the same survey lines as the original survey.
Condor integrated and compiled the data from both surveys, preparing one set of interpretive maps. The report includes a detailed assessment of the effects of the variable ground clearance, and targets have been identified and ranked based on a combination of the quality and character of the data.
Review by Qualified Person
The technical program at Todd Creek has been conducted under the supervision of Orestone’s Vice-President, Exploration, Mr. Robert Perry, a member of the American Institute of Professional Geologists, and a Qualified Person as defined by National Instrument 43-101. Mr. Perry has also reviewed and approved the contents of this news release.
About the Todd Creek Joint Venture
The Todd Creek Joint Venture is comprised of Orestone Mining (51%), Polar Star Mining Corporation (24.5%), and Goldeye Exploration Limited (24.5%). Orestone has a controlling interest and acts as operator.
The Joint Venture owns the Todd Creek mineral exploration property and an option to acquire a 100% interest in the adjoining Funk property, both located in the Skeena Mining Division, Stewart Gold Camp, in northwestern British Columbia, 35 km northeast of Stewart.
In addition to its interest in the Todd Creek Project, Orestone also owns 100% interest in and is presently exploring three mineral properties in northern B.C. and is also earning a majority interest in another mineral property in southern B.C., all within the Quesnel Terrane. The Quesnel Terrane extends from the US border to northern B.C. and hosts numerous mines, many developing bulk tonnage Cu-Au prospects such as those on the Mt. Milligan and Kwanika properties in north-central B.C. Orestone’s 41,000 hectare Captain Gold Project adjoins Thompson Creek’s Mt. Milligan copper gold project, which is under construction.
The Todd Creek Project occurs within the favorable Hazelton Group stratigraphy and associated suites of intrusions. This geological environment hosts many large and significant mineral deposits including the Granduc, Eskay Creek, Silbak-Premier and Kerr/Sulphurets/Mitchell zones.
Historically, Hemlo Gold Mines Inc., a subsidiary of Noranda Mining, drilled 57 holes (5225.5 m; 1987, 1988, 1990) on the Todd Creek property and outlined an historical “resource” of 207,000 tonnes grading 5.48 g Au/t (Hemlo Gold Mines Inc., 1988 Annual Report).
This mineralization is open along strike and represents a target for future drilling. It should be noted that the historical estimates by Noranda Mining were made by a source believed to be reliable. However, Orestone has not independently verified the estimate according to CIM standards. The resource estimate is presented for historical purposes only. Therefore, the Company is not treating the estimate as a National Instrument 43-101 defined resource, and the historical estimate should not be relied upon.
For further information, please contact Jose Pinedo (President and CEO) at (303) 378-6498 or firstname.lastname@example.org .
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