Eagle Hill Exploration Corporation Windfall Lake Property Update: Summary and Plans for 2012
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 10/13/11 -- Eagle Hill Exploration Corporation ('Eagle Hill' or the 'Company') (TSX VENTURE: EAG) is pleased to provide the following update and outline of near future plans for the Windfall Lake Property (the 'Property').
Based on the success of Eagle Hill's three drill programs on the Windfall Lake Property, the Company is preparing to announce its initial independent NI 43-101 compliant gold mineral resource estimate of the Property in the next few weeks. This independent resource estimate will serve as a baseline valuation for the Windfall Lake property. Future exploration programs, including the one currently underway, will build on the Company's large gold system, which is potentially amenable to bulk underground mining.
Leading up to the independent resource calculation being prepared by SRK Consulting (Canada) Inc., Eagle Hill has accomplished the following:
-- Completed the third phase of drilling since Eagle Hill acquired the
property in September 2009. From that date, Eagle hill has drilled a
total of 31,700 meters in 98 drill holes;
-- Finalized the 3D modeling of the geology and the mineralized zones and
identified areas where drilling could increase the gold mineral
resource. The most recent models can be viewed in the Investor
PowerPoint Presentation on the Company's website;
-- Identified several mineralized gold zones over a strike length of more
than 1,800 meters with most gold zones still open in several directions;
-- Discovered a gold bearing shear zone extending over 7.5 kilometers of
strike-length; and
-- Conducted preliminary metallurgical testing that indicates up to 97%
gold recovery by a combination of gravity and flotation circuits.
Next Phase of Exploration
As a result of Eagle Hill's exploration strategy of assessing all historic data, drilling and then modeling new drill results, the Company has in the past, gone for several months at a time without drill results. Now that the Company has a very clear understanding of the geology and the distribution of the gold zones, it is Eagle Hill's objective to have continuous drilling so that results will be issued to the public on a more regular basis. The resource calculation will also be expanded and updated periodically.
This aggressive exploration strategy is intended to complete a series of activities with the objective of expanding and better defining the gold resource at the Windfall Lake Property, including:
-- A 25,000 meter diamond drill program started on October 5th continuing
through to May 2012 with two drill holes already completed. Initial
assay results anticipated within 6 weeks;
-- Initially, the current drill program will focus on expanding the
discovery of the potential 7.5 kilometer strike length identified in the
Company's most recently announced drill hole, EAG-11-288 with 14.2
meters of 7. 5 g/t of Gold;
-- Generate a model based on the inversion of the IP data covering a 7.5
kilometer-long gold-bearing shear zone that extends to the East-North
East of the main gold zones which is intended to identify additional
gold targets along this gold-bearing shear zone; and
-- Eagle Hill will continue updating its GoCad property-scale modeling to
better define the Windfall Lake Property's potential targets.
Eagle Hill is well funded to begin this next phase of exploration without the need for further financing. The funds received from the May 2011 private placement and an Accounts Receivable of over $1.3 million dollars in tax incentives payable by the Quebec Government for exploration work carried out by Eagle Hill during 2010 and 2011 have the Company in a strong financial position.
Other Corporate Matters
-- The Company has filed its Annual Information Form (the 'AIF') which is
available on SEDAR. The AIF was prepared to facilitate a Short Form
Prospectus Offering when and if needed;
-- Eagle Hill has filed for a listing on the OTCQX Exchange in the United
States. The Company expects the listing to be finalized in the month of
October, and that this listing will provide easier access for U.S.
investors to purchase the Company's freely traded shares; and
-- The Company has granted 150,000 consulting options at $0.30, expiring in
one year.
Dr. Jean-Philippe Desrochers, Ph.D., P.Geo. is a Qualified Person registered in Quebec as defined by NI 43-101 and has reviewed the technical information that this press release contains.
About the Windfall Lake Property
The Windfall Lake Property is comprised of 362 contiguous claims (over 12,000 hectares) in the Abitibi mineralized belt of northern Quebec. This area between Val-d'Or and Chibougamau is known for its gold and copper production and excellent infrastructure for exploration and mining. Historically, the Windfall Lake Property has had extensive historic grassroots exploration work. Along with its independently acquired claims at the Windfall Lake Property. Eagle Hill has signed options with Murgor Resources Inc., Cliffs Natural Resources Inc. (formerly, Freewest Resources Canada Inc.), and Noront Resources Inc. to acquire the Windfall Lake Property.
About Eagle Hill Exploration Corporation
Eagle Hill Exploration Corporation is a Canadian mineral exploration company focused on the exploration and development of gold and precious metal prospects. The Company is set to become an advanced stage gold exploration company with its acquisition of the Windfall Lake high grade gold project, located in Urban Township, Quebec, between Val-d'Or and Chibougamau. Eagle Hill seeks projects that contain or have potential to have large resource potential. The Company's website at www.eaglehillexploration.com and public filings at www.sedar.com provide additional information on its properties and other information with respect to its management and operations.
ON BEHALF OF THE BOARD,
P. Bradley Kitchen, President
FORWARD LOOKING STATEMENTS
This release contains 'forward-looking statements' within the meaning of applicable Canadian securities legislation, including predictions, projections and forecasts. Forward-looking statements include, but are not limited to, statements that address activities, events or developments that the Company expects or anticipates will or may occur in the future, including such things as future business strategy, competitive strengths, goals, expansion, growth of the Company's businesses, operations, plans and with respect to exploration results, the timing and success of exploration activities generally, permitting time lines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, timing and possible outcome of any pending litigation and timing and results of future resource estimates or future economic studies.
Often, but not always, forward-looking statements can be identified by the use of words such as 'plans', 'planning', 'planned', 'expects' or 'looking forward', 'does not expect', 'continues', 'scheduled', 'estimates', 'forecasts', 'intends', 'potential', 'anticipates', 'does not anticipate', or 'belief', or describes a 'goal', or variation of such words and phrases or state that certain actions, events or results 'may', 'could', 'would', 'might' or 'will' be taken, occur or be achieved.
Forward-looking statements are based on a number of material factors and assumptions, including, the result of drilling and exploration activities, that contracted parties provide goods and/or services on the agreed timeframes, that equipment necessary for exploration is available as scheduled and does not incur unforeseen break downs, that no labour shortages or delays are incurred, that plant and equipment function as specified, that no unusual geological or technical problems occur, and that laboratory and other related services are available and perform as contracted. Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the interpretation and actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of gold; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors disclosed in the company's publicly filed documents. Although both companies have attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
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.
Contacts:
Eagle Hill Exploration Corporation
David Matousek
Corporate Communications
604.697.5791
info@eaglehillexploration.com
www.eaglehillexploration.com
MI3 Communications Financieres Inc. (Montreal)
Nathalie Dion
514.904.1333
nathalie@mi3.ca
www.mi3.ca