Mustang Intersects Higher Grade Zone of Copper-Nickel-PGM Mineralization at Mayville
Drills 3 Meters of 2.95% Cu and 0.55% Ni in a 43 m Zone of Cu-Ni MineralizationTORONTO, ONTARIO -- (Marketwire) -- 06/14/12 -- Mustang Minerals Corp. (TSX VENTURE: MUM)(FRANKFURT: NJF) ("Mustang" or the "Company") today announced an update on its drilling activities at the Mayville Property M2 Zone in southeast Manitoba, approximately 2 hours northeast of Winnipeg. The Company recently completed a series of resource holes at Mayville focused on expanding the near surface resource of the Mayville Project to depth. Drill results for two holes which were drilled in the eastern part of the M2 Deposit are reported in this release. The importance of these holes is that:
1) Drill hole MAY12-43 extended the main zone of mineralization to depth.
2) Drill hole MAY12-57 intersected a higher grade zone of mineralization
beneath previous drilled mineralization.
- A target defined by recent borehole EM.
3) Drill hole MAY12-57 intersected PGM mineralization in the footwall rocks
to the M2 Cu-Ni Deposit.
- The PGE mineralization in the footwall of the M2 Cu-Ni deposit
represents a new exploration target.
The Mayville Intrusion hosts the M2 Zone resource which is a magmatic nickel copper system. Sulphide mineralization consists of chalcopyrite, pyrrhotite, pentlandite and pyrite and a variety of textures ranging from disseminated to locally massive. The M2 Deposit has a current strike length of over one kilometer and is open at depth. The current near surface resource is 9.2 million tonnes at 0.61% copper and 0.23% nickel.
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From To Interval Au+
Hole (meters) (meters) (meters) Copper Nickel Pt+Pd Silver Cobalt
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% % g/t g/t g/t
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MAY12-43 361.0 387.0 26.0 0.55 0.19 0.40 1.43 107.4
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Including 367.0 380.8 13.8 0.74 0.23 0.53 1.81 167.7
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And 391.0 400.8 9.8 0.54 0.13 0.55 1.08 107.4
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Including 398.0 400.8 2.8 0.88 0.20 1.27 1.64 161.3
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MAY12-57 330.7 373.8 43.1 0.76 0.32 0.34 1.20 156.8
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Including 335.0 360. 0 25.0 1.04 0.45 0.44 1.62 218.5
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Including 346.0 348.0 3.0 2.95 0.55 0.98 5.67 253.0
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Including 354.0 360.0 7.0 0.80 0.82 0.52 1.28 406.7
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Including 358.8 360.0 1.2 0.47 1.78 0.96 - 741.0
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And 508.1 515.8 7.7 0.19 0.09 1.05 - -
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Including 512.0 513.0 1.0 0.33 0.14 2.34 - -
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Widths shown are core width and not true widths.
Discussion
The mineralization in MAY12-57 appears to be part of a higher grade zone also intercepted by previous drill hole MAY05-16 (1.58% copper and 0.47% nickel over 14.8m) which was located approximately 75 meters down dip of MAY12-57. Borehole geophysics has outlined a 250m by 250m conductive plate which now is a significant exploration target for the Mayville Project. The drill intercept in MAY 2-57 is higher grade than the current resource average for the M2 Deposit. The mineralization in drill hole MAY12-57 starts at about 300m vertical depth.
MAY12-57 was also extended into the footwall for several hundred meters. At a depth of 508.2 meters it intercepted an interval of platinum group metals mineralization. The interval contained a one meter sub-interval assaying 2.3 g/t Au-Pt-Pd. The entire intercept assayed 1.1g/t Au-Pt-Pd over 7.7 meters.
The potential for a continuous zone of platinum group metals mineralization to the north of the Mayville M2 Zone is now an exploration target given its close proximity to the Mayville M2 Ni-Cu resource. The footwall host rock for the platinum group metals has been noted in other drill holes across the 1.2 km strike length of the M2 Deposit but for the most part remains untested. A sampling program of existing drill core from 2005 and 2006 is being designed to test this potential.
Drill hole results from other M2 Zone are pending from the central and western parts of the M2 Zone. Holes targeted the western part of the M2 Zone as the modeled resource on the west side is relatively shallow and there was no previous drilling at depth in this area.
The overall objective of the current drill program will be to result in a significant resource upgrade for the Mayville M2 Ni-Cu Deposit which is one of two near surface deposits in the Bird River Greenstone Belt controlled by Mustang.
The Company is also awaiting assays from drill holes at the PGM Zone on the Mayville Property which is approximately 1 km to the southeast of the Mayville M2 Zone.
A longsection of the M2 Deposit and sections and drill hole information have been posted at the Company website at www.mustangminerals.com.
QA/QC Program
All core samples are sent to Accurassay Laboratories in Thunder Bay, Ontario. Analysis is completed for nickel, copper, cobalt and silver using an Aqua Regia digestion followed by AAS/ICP finish. For gold, platinum and palladium, fire assay of 30g aliquots followed by combination fire assay and AAS finish is employed. Drill core is logged and split on the Makwa site by Mustang personnel with half the core retained and stored. Mustang implements a QA/QC program on drill core including inserting blanks, duplicates and commercial standards at regular intervals with all sample submissions to the laboratory.
About Mustang Minerals Corp.
Mustang Minerals has two near surface deposits located in southeast Manitoba as well as a several exploration properties in Ontario;
1. The Makwa Ni-Cu Deposit has a NI 43-101 outlined reserve estimate
completed in February 2010 by Micon International Limited of 9.86
million tonnes in the Probable Ore Reserve category containing 0.541%
nickel, 0.113% copper 0.433 g/t PGM at the Makwa Project.
2. The Company's Mayville Project is located approximately 35 km by road
from Makwa and has a NI 43-101 Indicated Resource of 9.227 million
tonnes containing 0.61% copper, 0.23% nickel and 0.174 g/t palladium
Mustang is completing additional exploration at Mayville and on its
surrounding mineral claims.
Carey Galeschuk P.Geo. is the National Instrument 43-101 Qualified Person for Mustang Minerals Corp.
Western Areas NL (TSX: WSA)(ASX: WSA), an Australian based nickel producer, owns 19% of the common shares of Mustang.
To find out more about Mustang Minerals Corp. (TSX VENTURE: MUM) visit our website at www.mustangminerals.com.
We seek safe harbour.
This news release contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward-looking information within the meaning of the Securities Act (Ontario) (together, "forward-looking statements"). Such forward-looking statements may include the Company's plans for its mineral projects in Manitoba, the overall economic potential of its properties, the availability of adequate financing and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements expressed or implied by such forward-looking statements to be materially different. Such factors include, among others, risks and uncertainties relating to potential political risk, uncertainty of production and capital costs estimates and the potential for unexpected costs and expenses, physical risks inherent in mining operations, currency fluctuations, fluctuations in the price of nickel and other metals, completion of economic evaluations, changes in project parameters as plans continue to be refined, the inability or failure to obtain adequate financing on a timely basis, and other risks and uncertainties, including those described in the Company's Management Discussion and Analysis for the most recent financial period and Material Change Reports filed with the Canadian Securities Administrators and available at www.sedar.com.
Shares Outstanding: 198,160,658
Contacts:
Mustang Minerals Corp.
David Black
Investor Relations
416-955-4773
info@mustangminerals.com
www.mustangminerals.com