Hedman Resources Limited

Hedman Resources Limited

October 03, 2005 10:24 ET

Hedman Releases Update On Precious And Base Metals Program In Northern Ontario

TORONTO, ONTARIO--(CCNMatthews - Oct. 3, 2005) - HEDMAN RESOURCES LIMITED (TSX VENTURE:HDM) announced today that it is targeting the Spring of 2006 for an in-depth exploration and drilling program at its mining leases in Munro and Warden townships, Northern, Ontario.

Further to its news releases of October 12, 2004 and February 1, 2005, Hedman owns a series of 29 mining lease groups that archived company records from the 1980s suggest precious and base metal indicators. It is highly recommended that these earlier news releases be reviewed at www.hedmanresources.com or www.sedar.com for a detailed appreciation of the gold, nickel, copper and other metal/ore possibilities that have been noted.

Hedman retained Strathcona Mineral Services Limited ("Strathcona') in late 2004 to analyze a compilation of previous exploration work based largely on government assessment files. Reinhard von Guttenberg, a senior geologist with Strathcona, reported positively in January 2005 and recommended a course of action to Hedman at that time.

Mr. Von Guttenberg visited the subject area in May 2005 and conducted a visual inspection, sampling and various surface testing. In his letter of September 16, 2005, he notes:

"The leases are underlain by the Kidd-Munro lithostratigraphic assemblage, a belt of ultramafic, mafic and felsic rocks, extending from the Kidd Creek area north of Timmins to the Ontario-Quebec border. The Kid-Munro assemblage is part of the Archean-age Abitibi greenstone belt, which is known for its abundance of gold and base metal deposits."

"Resulting from the compilation and field visit, two main targets for exploration have been identified on the property."

A rough cost estimate was offered for continuing this program at $500,000, including an allowance for 3,000 metres of diamond drilling.

Mr. Von Guttenberg's visit in May 2005 also raised evidence of some earlier drill core activities including sedimentary horizons with barren pyrite mineralization. He recommended that this history be investigated "prior to carrying out more exploration on the property."

Hedman's management then undertook a forensic study of company records from the 1980s. A vast series of files were unexpectedly uncovered in Timmins that support, and elaborate upon, the disclosures in its news release of October 12, 2004, and the information being sought by Mr. Von Guttenberg.

"It will be a month or two before we can fully assemble, organize and study these newly discovered historical records, and then furnish them to Strathcona," commented Stephen A. Edell, Hedman's President and CEO. "A preliminary overview suggests a wealth of information on the considerable work done by J.J. Mangan (Hedman's founder) to develop these precious and base metal opportunities through the 1980s. It seems that a lack of funding prevented Mr. Mangan from pursuing a full-scale exploration and drilling program as recommended by the expert opinions and testing results then available to Hedman.

"Mr. Mangan was deposed in or about 1992 and he resigned all capacities shortly thereafter. We cannot explain why this program was not revisited from 1992 until 2004. However, now that present management has located the detailed prospecting and related records kept by Mr. Mangan throughout the 1980s, and with the guidance and expertise of Strathcona, we hope to responsibly undertake geophysical surveys, geological studies and, as warranted, drilling programs, in the Spring of 2006, finances permitting."

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