SOURCE: FIRST NARROWS RESOURCES CORP.

May 31, 2007 04:30 ET

First Narrows Provides Chester Update

96 Drill Holes Completed to Date in 2007; Assay Results Are Imminent and Drilling Continues

VANCOUVER, BC--(Marketwire - May 31, 2007) - First Narrows Resources Corp. (TSX-V: UNO) and (PINKSHEETS: FNRWF) ("First Narrows" or the "Company") is pleased to provide the following update on the Company's 100% Chester copper-polymetallic feeder deposit project, located in the Bathurst Mining Camp, New Brunswick.

The Chester Feeder Deposit is being advanced to evaluate its potential to support a small scale mining ("SSM") operation and achieve internal cash flow. Several facets of the project are in progress with the objective of expediting a production decision.

Mineral Resource Definition Drilling Program

The drilling continues and to date a total of 118 holes (7,444.5 meters) have been drilled in the delineation program, 22 holes in 2006 (1,295 m) and 96 holes in 2007 (6,149.5 meters). As at May 25, 2007, 81 drill holes (C-06-019 to C-07-099) had been sampled and shipped for assay. Drill holes C-07-100 to C-07-136, totaling 2,279.5 meters, are being logged and prepared for assay. As at May 25, 2007, a total of 2,352 core samples had been shipped of which 1,319 sample assays had been received, with 1,033 sample assays pending. Analytical results are expected shortly. The rapid pace of drilling has led to some degree of backlog related to core logging, sampling and analysis. To review the previously reported results (April 25, 2007, April 5, 2007, March 1, 2007, February 8, 2007, January 24, 2007, January 17, 2006, and January 11, 2006) visit: www.uno.ca.

The current higher-density grid drilling phase of the program will be completed by late June or early July although additional holes will be drilled throughout the summer to confirm continuity of the Chester mineralization as required during the preparation of the National Instrument 43-101 compliant mineral resource estimate. The drilling has essentially been tracing the "plumbing system" of the deposit down dip to the west where the deposit is blind (buried at depth). The drill hole pattern to date has been close spaced with hole centers at 6.25 and 12.5 meter spacings in order to firmly establish continuity of the high grade copper zones, thereby allowing the calculation of a high confidence NI 43-101 compliant resource estimate. The close spaced drilling was also warranted due to the near surface location, and therefore low drilling cost, of the Feeder Deposit. With increased understanding of the deposit, and the continuity of the zones of high grade mineralization defined, the Company is increasing the drill hole spacing to 12.5 and 25 meters as the definition drilling 'steps out,' tracing the mineralization further to the west and east.

Historical drilling on the Chester property, conducted by several operators between 1955 and 1975 (NI 43-101 non-compliant) and consisting of over 400 drill holes, shows the Feeder Deposit to extend a further 800 meters down dip to the west where it remains open. One example is historical hole S-436, a step-out hole located ~800 meters west of the area of current drilling, which intersected 23.2 meters (76 ft.) from 324.6 to 347.8m (1,065 to 1,141 ft.) that averaged 1.53% Cu, 1.55% Pb and 0.94% Zn.

Mineral Resource Estimate

The planned resource definition drilling and final surveying of drill hole collars are scheduled for completion before the end of June for the Feeder Deposit, and the western edge of the Central volcanogenic massive sulphide ("VMS") ZnPbCuAg Deposit. Final analyses are expected by August, with the NI 43-101 compliant resource estimate to be completed by early Fall.

Metallurgy

Research and Productivity Council ("RPC") (www.rpc.ca) of Fredericton, New Brunswick continues its advanced metallurgical investigations on the Feeder Deposit copper and secondary metal mineralization. The Feeder Deposit has low sulphide -- high mineral recovery metallurgical characteristics, and a very positive pre-concentration opportunity for upgrading both the copper and the secondary metals. A bulk sampling program consisting of large diameter drilling this summer will provide a 7,500 kg sample of material for RPC's final in-house metallurgical test. Following positive metallurgical results, and in conjunction with the mineral resource estimate and Environmental Impact Assessment ("EIA"), and following project permitting, the Company will commence an underground test mine and construct a pilot plant on site at Chester.

Environmental

Conestoga-Rovers and Associates, ("CRA") environmental engineers, has completed winter fauna studies in the area of the Chester deposits and has determined that no deer or moose wintering grounds are present. A surface water quality monthly sampling and monitoring program commenced in February and will run monthly.

Environmental studies will continue throughout the summer, including flora, fauna, ground water, and bedrock geo-technical drilling for contemplated final permitting of a test mine and pilot plant. Chester project information meetings are being planned for all impact communities and stakeholders commencing this summer in preparation for the EIA and project permitting.

Geology of the Chester Deposits

The Chester Feeder Deposit is one of a few large, distinct, copper feeder deposits worldwide. The Feeder Deposit is the hydrothermal plumbing system that led to the formation of the Central VMS ZnPbCuAg Deposit about 469,000,000 years ago during a period of marine volcanism and igneous activity. The VMS deposits formed where the hydrothermal mineralizing fluids breached the sea floor, i.e., where they vented onto the sea floor (e.g.; black smokers). The exciting economic feature of the volcanic activity was the development of not one, but many, plumbing systems and related VMS deposits over a large area during a restricted time period, now defined as the Bathurst Mining Camp ("BMC"). The volcanic and sedimentary rocks that formed on the sea floor during this mineralizing event led to what exploration geologists call a favorable horizon, which is a key guide to mineralization in the BMC. Within and along this horizon feeder and VMS deposits can be expected to occur.

At Chester, First Narrows has demonstrated through solid stratigraphic studies, including age dating, that the Chester deposits occur within this favorable horizon, and that this favorable horizon extends to the west of the Chester Feeder Deposit down dip where it is blind and has remained essentially untested since the discovery of the first mineral deposits in the BMC in the 1950's. The Company extended its valuation of this region west and northwest of the Chester Deposits with a VTEM airborne geophysical survey, which successfully outlined several high priority anomalies possibly indicative of additional, undiscovered, feeder and VMS mineralization.

Corporate Objective

The Company's business plan identifies both near, mid, and long term objectives. The analysis of the economic potential of the Chester property beyond the Chester Feeder and Central VMS deposits indicates that a well funded longer term exploration program is warranted. For the short and medium term, management has determined the most prudent course of action for the Company is to establish internal cash flow from the development of the Chester deposits. With positive cash flow from operations, the Company will then advance its longer term exploration programs.

The economic model for Chester is a small scale mining operation with the Company controlling production and metal sales. The initial objective is to establish an economic threshold resource within the Cu-polymetallic Feeder Deposit. At the same time drilling of the overlapping and inter-fingering fringe of the Central VMS Deposit has also demonstrated potential to increase mine life, or annual revenue, with a resource definition drilling program of the associated ZnPbCuAg VMS mineralization.

Following completion of the resource estimate of the Feeder Deposit and metallurgical studies, the Company plans to produce an EIA for the final scope of the project, and initiate permitting for an Approval to Construct a pilot plant and an underground test mine to expedite a production decision.

"We are extremely pleased with the results of the Company's current resource estimate drilling program which support our projections of the economic potential of the Feeder Deposit," said Peter Gummer, President and CEO of First Narrows. "With over 400 historical drill holes in the Feeder and Central Deposits, and now 118 of First Narrows' own holes in the Feeder Deposit, I am confident that we are ever closer to an economic resource. The Feeder Deposit is looking more and more like a potential mine. The possible mine will have benefit of the existing historical decline for quick access to the high grade mineralization; is projected to have a low capital cost and a small environmental impact; and has demonstrated to yield high copper recoveries and potentially economic secondary metals. The project's characteristics all point to the opportunity to fast-track a Chester small scale mining project to production. Of importance is the positive impact this potential mining operation could have on the well being of the surrounding communities, and the Company's ability to sustain its longer term exploration efforts on its strategic properties in the Bathurst Mining Camp."

About the Chester Feeder Deposit

Based primarily on the historical drilling results, the Chester Feeder Deposit is an east-west trending gently west plunging cigar-shaped mineralized structure within an alteration zone approximately 75 meters (246 ft.) or more in thickness and greater than 200 meters (656 ft.) in width. It extends west of the current area of drilling for more than 1 kilometer ( > 3,280 ft.). At the east end it lies close to surface and at its known western extent it is approximately 400 meters (1,320 ft.) below surface. The targets of the current resource estimate drilling program are one to three (or more) stacked, gently westerly inclined and northerly striking, sheet-like zones of higher-grade mineralization of variable thicknesses within the cigar-shaped feeder structure.

The Chester property is located in the southern part of the Bathurst Mining Camp approximately 53 kilometers (kms) west of Miramichi City, and 72 kms southwest of the city of Bathurst, New Brunswick.

QA/QC

Quality assurance and quality control (QA/QC) of the Chester NI 43-101 qualifying mineral resource estimate drilling, analytical and surveying programs are being monitored by independent consultants Robert Sim, P.Geo. and Bruce Davies. Earnest Brooks, P.Geo., is the Company's Qualified Person on the Chester Project. Mr. Brooks was formerly a Mine Geologist at the Patino Mines Copper Rand Mines Div. in Chibougamau, Quebec, and a mining operations geologist and exploration geologist at the BMS mines, Bathurst, from 1975 to 1990.

About First Narrows Resources Corp.:

First Narrows Resources Corp. (TSX-V: UNO) is a Canadian based mineral exploration company whose corporate strategy is to develop overlooked and undervalued mineral properties that offer near term production potential. The Company is rapidly moving its 100%-owned Chester Project in the Bathurst Mining Camp forward to NI 43-101 mineral resource estimate and conceptual mine design status. For more information visit: www.uno.ca

For Corporate, Media, or Investor Communications contact:

Greg Lytle, Communications Manager
First Narrows Resources Corp.
N. America toll-free: (866) 285-5817/Int'l. & Vancouver: (604) 839-6946
Email: glytle@uno.ca

ON BEHALF OF THE BOARD OF DIRECTORS
"Peter K. Gummer"
Peter K. Gummer, President
This press release may contain certain forward-looking statements which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Companies to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements may include statements regarding exploration results and budgets, mineral reserve and resource estimates, work programs, capital expenditures, mine operating costs, production targets and timetables, future commercial production, strategic plans, market price of precious metals or other statements that are not statements of fact. Although the Companies believe the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Various factors that may affect future results include, but are not limited to: fluctuations in market prices of precious metals; foreign currency exchange fluctuations; risks relating to mining exploration and development including reserve estimation and costs and timing of commercial production; requirements for additional financing; political and regulatory risks, and other risks and uncertainties described in the Companies' annual information forms filed with the Canadian Securities regulators on SEDAR (www.sedar.com). Accordingly, readers should not place undue reliance on forward-looking statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents herein. We seek safe harbor.

Contact Information

  • For Corporate, Media, or Investor Communications contact:

    Greg Lytle,
    Communications Manager
    First Narrows Resources Corp.
    N. America toll-free: (866) 285-5817
    Int'l. & Vancouver: (604) 839-6946
    Email: Email Contact

    First Narrows Resources Corp.
    Suite 402 - 1228 Hamilton Street,
    Vancouver, BC
    Canada V6B 6L2
    Toll free: 866.285.5817
    Tel.: 604.677.5143
    Fax: 604.677.4702
    Website: http://www.uno.ca