Baffinland Iron Mines Corporation
TSX VENTURE : BIM
TSX : BIM

Baffinland Iron Mines Corporation

April 02, 2007 08:45 ET

Baffinland Reports Further Assay Results from its World Class Iron Ore Project

TORONTO, ONTARIO--(Marketwire - April 2, 2007) -

Attention Business Editors:

Baffinland Iron Mines Corporation ("Baffinland" or the "Company")(TSX:BIM) today released further assay results for the final ten holes from the Company's 2006 exploration program on its wholly-owned Mary River iron ore deposits, Baffin Island, Nunavut Territory, Canada. "Once again, the consistent high grade iron mineralization as seen in these large diameter diamond drill holes confirms and improves the confidence of the mineral resource at Deposit No. 1, as we focus on completing the Definitive Feasibility Study of this truly world class deposit in 2007", stated Gordon McCreary, President and CEO of Baffinland.

Deposit No. 1

All of the ten holes reported today were drilled at Deposit No. 1. Drill holes MR1-06-107, MR1-06-110 and MR1-06-98 were drilled from the same set-up directly into the axis of the fold of Deposit No 1. MR1-06-107 was drilled at a flat 12 degree angle and cut 110.3 metres of an exceptional 68.7% iron, while MR1-06-110, drilled at 50 degrees also encountered 107.5 metres of very high grade iron grading 68.4% iron. Hole MR1-06-98 also drilled from this set-up at an angle of 50 degrees, but at an oblique azimuth to hole MR1-06-110, cut 55.1 metres of 68.9% iron. All three holes failed to reach their planned depth due to drilling difficulties and ended in mineralization.

Drill hole MR1-06-87 and MR1-06-90 were drilled flat at 10 degrees on the north limb some 150 metres from drill holes MR1-06-107, MR1-06-110 and MR1-06-98. Hole MR1-06-87 cut 104 metres grading 67.4% iron, while MR1-06-90 cut 99.3 metres also grading 67.4% iron.

Moving 75 metres north, drill holes MR1-06-103 and MR1-06-96 were drilled approximately on-section. MR1-06-103 intersected both the Upper and Lower mineralized Zones cutting a total of 127.3 metres at an average grade of 64.2% iron. It ended prematurely in mineralization at a depth of 333 metres. Hole MR1-06-96 cut a 149.5 metre width of the lower zone that graded 64.9% iron.

Approximately 400 metres northeast from MR1-06-103, drill hole MR-1-06-105 cut a total mineralized intercept of 152.6 metres grading 66.0% iron. Moving further northeast, drill hole MR1-06-94 intersected an exceptional 168.9 metres grading 64.2% iron in the Lower Zone. The final hole MR1-06-102 cut a total of 114.8 metres that averaged 64.7% iron.

All of the holes at Deposit No. 1 are intended to improve confidence levels of resource categories to allow a reserve estimate to be completed in conjunction with the Definitive Feasibility Study.

A summary of drill hole assay results can be viewed through the following link:

http://files.newswire.ca/587/Baffinland.doc

Conclusions

The completed drill holes improved the confidence levels of both the high iron content and the low levels of deleterious elements that are the hallmarks of the world class lump iron ore deposits of the Mary River Project. Drilling of Deposit No. 1 will continue in 2007 to refine and increase confidence levels to allow the company to estimate a reserve and develop its mine plan in conjunction with the Definitive Feasibility Study.

Exploration diamond drilling in 2007 is also designed to expand and confirm the resource potential of Deposit Nos. 2 and 3 as primary inputs to the satellite deposits Scoping Study and Blue Sky Study announced previously.

Since reactivating exploration of the Mary River deposits in 2004, Baffinland has completed almost 18,000 of metres of diamond drilling, increasing the total drilling on the project to over 21,000 metres in 110 holes with approximately 90% of these holes focussed on Deposit No. 1. "We are very excited about the expanding potential of the Mary River Project and look forward to the further quantifying of this potential with our planned 9,300 metre drilling program and the various studies we are working on with our growing world class team in 2007", concluded Mr. McCreary.

SGS Lakefield Research Limited performs assay and analytical work under a strict protocol designed for testing lump iron ores. All mineralized drill core from the 2006 drilling, totalling approximately 17 tonnes, has been sent from Lakefield to Studien Gesellschaft fur Eisenerz-Aufbereitung (SGA) in Germany, where they are composited for detailed metallurgical testing to ISO standards for iron ore. Cross-sections and plan maps have been updated and posted on the Baffinland website www.baffinland.com to assist in the interpretation of the data.

This press release includes certain "Forward-Looking Statements" within the meaning of section 21E of the United States Securities and Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of Baffinland Iron Mines Corporation, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statement. Important factors that could cause actual results to differ materially from Baffinland's expectations are disclosed under the heading "Risk Factors" and elsewhere in Baffinland's documents filed from time to time with the Toronto Stock Exchange and other regulatory authorities.

Contact Information

  • Baffinland Iron Mines Corporation
    Gordon A. McCreary,
    President and Chief Executive Officer
    (416) 814-3163
    Website: www.baffinland.com
    Email: info@baffinland.com

    The Equicom Group
    Andreas Curkovic
    (416) 815-0700 ext. 262