Intrepid Mines Limited
TSX : IAU
ASX : IAU

Intrepid Mines Limited

July 16, 2009 00:32 ET

Intrepid Mines Limited: Tujuh Bukit Project, Indonesia

ZONE B DRILLING DELIVERS - HIGH GRADE GOLD INTERCEPTS IN THE OXIDE ZONE REPRESENT HIGHER GRADE DOMAINS WTHIN A BROAD LOWER GRADE HALO - FIRST HOLE IN ZONE B SOUTH INTERSECTS 14M @ 3.54G/T GOLD AND 14M @ 2.89G/T GOLD - SIGNIFICANT COPPER-GOLD-SILVER IN THE SULPHIDE ZONE INDICATES VERY POSITIVE UPSIDE - ZONE B SOIL ANOMALY IS LARGER THAN ZONES A & C (2.6MOZ) - ZONE B RESOURCE EXTENSION PRIOR TO YEAR END

BRISBANE, AUSTRALIA--(Marketwire - July 16, 2009) - Intrepid Mines Limited (TSX:IAU)(ASX:IAU) (the "Company") is pleased to report that ongoing diamond drilling in Zone B of the Tumpangpitu Prospect, Tujuh Bukit Project has continued to define some higher grade gold-silver oxide zones within a broad lower grade envelope.

The recent drilling has returned oxide intercepts including -

GTD-61 69-104m: 36m @ 0.71g/t gold, 26g/t silver, (1.11g/t gold-equivalent)

GTD-63 70-110m: 40m @ 1.42g/t gold, 37.10g/t silver, (2.00 g/t gold-equivalent)

GTD-64 82-128m: 46m @ 2.12g/t gold, 11.48g/t silver, (2.30 g/t gold-equivalent)

GTD-67 142-196m: 54m @ 1.62g/t gold, 15.89g/t silver, (1.86g/t gold-equivalent)

GTD-70 4-44m: 40m @ 2.10g/t gold, 5.4g/t silver, (2.18g/t gold-equivalent)

The first hole to be drilled into the southern portion of Zone B, GTD-69 (over the extension of the soil anomaly) has intersected -

GTD-69 4 - 18m: 14m @ 3.54g/t gold, 1.36g/t silver, (3.57g/t gold-equivalent)

GTD-69 38 - 52m: 14m @ 2.89g/t gold, 1.64g/t silver, (2.91g/t gold-equivalent)

Observed Brad Gordon, Intrepid's CEO, "The results emerging from Zone B are particularly encouraging for our Tujuh Bukit project as we find higher grade intervals over a large anomaly area of the Tumpangpitu Prospect. Zone B is developing as the largest area of mineralisation and has returned some of the highest grade defined to date in the upper oxide zone and separately from Zones A and C where we have already defined a combined Inferred resource of 2.57 million ounces of gold-equivalent. This is further enhanced by the relatively shallow, high quality, copper-gold-silver mineralisation we are still finding in the lower sulphide zone on which we have just announced the Heads of Agreement with Vale."

(See Intrepid news release dated June 9, 2009.)

The latest drilling in Zone B is also consistently defining relatively shallow sulphide copper-gold-silver mineralisation of grades comparable to that defined at depth under Zones A and C, located 1 kilometre to the North-West.

Significant deeper sulphide intercepts include -

GTD-57: 266-372m: 106m @ 0.19g/t gold, 17.88g/t silver, (0.47g/t gold-equiv) & 0.34% copper

GTD-58: 248-278m: 30m @ 0.14g/t gold, 19.33g/t silver, (0.44g/t gold-equiv) & 0.31% copper

GTD-62 252-314m: 62m @ 0.42g/t gold, 45.2g/t silver, (1.12g/t gold-equiv) & 0.47% copper

GTD-63: 182-196m: 14m @ 1.09g/t gold, 55.14ppm silver, (1.94g/t gold-equiv) & 0.22% copper

GTD-64: 216-250.2m (EOH): 34.2m @ 0.21g/t gold, 80.16g/t silver, (1.44g/t gold-equiv) & 0.24% copper

GTD-65: 298-336m: 38m @ 0.28g/t gold, 10.37g/t silver, (0.44g/t gold-equiv) & 0.44% copper

Detailed soil sampling at Zone B has defined a multi-element anomaly over an area of 300 metres x 1000 metres, twice the areal extent of similar anomalies at Zones A and C. This anomaly is the focus of ongoing drilling, with a second rig having been deployed during June.

To view the first image associated with this press release, please visit the following link:
http://media3.marketwire.com/docs/iau1.pdf

To view the second image associated with this press release, please visit the following link:
http://media3.marketwire.com/docs/iau2.pdf

Previously reported results from Zone B included 22m @ 6.35 g/t gold, 15.9 g/t silver (6.60 g/t gold-equivalent) from 36m down hole in hole GTD-58. In the same area, historical hole GTD-5 intersected broader lower grade intercepts surrounding 15m @ 6.14 g/t gold, 9.4 g/t silver, (6.29 g/t gold-equivalent) from 163.1m down hole.GTD-57 intersected 26m at 2.07 g/t gold-equivalent from 136m.

(See table below for results of all intercepts.)

To view the third image associated with this press release, please visit the following link:
http://media3.marketwire.com/docs/iau3.pdf

To view the fourth image associated with this press release, please visit the following link:
http://media3.marketwire.com/docs/iau4.pdf



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Au Equiv.
Au Ag (g/t)
Hole ID From To Interval (g/t) (g/t) Cu(%) Au + Ag Type
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GTD-09-70 0 222 220 0.91 16.23 1.16 oxide +
semi
4 44 40 2.10 5.40 2.18 oxide
164 178 14 1.04 57.29 0.33 1.92 semi
206 218 12 0.82 40.50 0.20 1.44 semi
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GTD-09-69 4 18 14 3.54 1.36 3.57 oxide
southern
Zone B 38 52 14 2.89 1.64 2.91 oxide
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GTD-09-67 0 26 26 1.07 5.35 1.16 oxide
52 58 6 0.30 21 0.62 oxide
92 98 6 0.3 6.33 0.4 semi
106 128 22 0.38 14.55 0.6 semi
142 196 54 1.62 15.89 1.86 semi
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GTD-09-66 4 8 4 0.92 oxide
274 340 66 0.13 4.35 0.33 0.2 sulphide

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GTD-09-65 166 206 40 0.18 11.05 0.35 semi
298 336 38 0.28 10.37 0.44 0.44 sulphide

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GTD-09-64 74 128 54 1.84 10.52 2.01 oxide
210 250.2 40.2 0.21 68.6 0.22 1.27 sulphide

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GTD-09-63 0 154 154 0.74 16.29 0.99 oxide
170 200 30 0.65 28.13 0.18 1.08 sulphide

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GTD-09-62 196 204 8 0.41 15 0.64
252 314 62 0.42 45.2 0.47 1.12 sulphide
256 266 10 0.36 122.8 2.25 sulphide
292 304 12 1.28 71.7 1.11 2.38 sulphide
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GTD-09-61 20 236 216 0.39 13 0.59 oxide
20 60 40 0.39 15 0.63 oxide
69 104 36 0.71 26 1.11 oxide
112 236 124 0.33 8 0.45 oxide

274 316 42 0.10 10 0.71 sulphide
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GTD-09-60 128 210 82 1.69 12 0.22 1.87 semi

280 334 54 5.6 0.23 sulphide
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GTD-09-59 0 80 80 0.43 5.76 0.51 oxide

262 280 18 - - 0.73 sulphide
336 344 8 0.22 - 0.17 sulphide
392 394 2 0.14 4 1.14 sulphide
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GTD-08-58 24 88 64 2.65 17.17 2.92 oxide

198 222 24 0.18 8.71 0.31 sulphide
248 278 30 0.14 19.33 0.31 0.44 sulphide
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GTD-08-57 102 120 18 0.58 9.72 0.12 0.73 oxide
132 218 86 0.72 19.79 1.02 semi
136 162 26 1.83 15.31 2.06 semi

266 372 106 0.19 17.88 0.34 0.47 sulphide
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GTD-08-55 234 266 32 0.04 3.28 0.29 0.09 semi
284 300 16 0.04 8.69 0.25 0.17 semi

352 358 6 0.09 1.5 0.29 0.12 sulphide
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GTD-08-54 130 142 12 0.2 8.67 0.34 oxide
192 286 94 0.25 11.09 0.43 semi
192 214 22 0.6 7.73 0.72 semi
222 234 12 0.27 6.5 0.37 semi
266 274 8 0.57 27.5 0.16 0.99 sulphide
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GTD-00-13B 10 28 18 0.12 1.67 0.11 0.15
88 128 40 0.29 28.3 0.73

160 175.5 15.5 0.15 2 0.2 0.18 ?

GTD-00-13A 14 28 14 0.16 1.64 0.17 0.19 ?
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GTD-00-8 0 36 36 0.01 26.33 0.42
63 77 14 0.17 7.14 0.28
127 135 8 0.01 27 0.43
147 163 16 0.01 23.25 0.37
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GTD-00-7 2 10 8 0.41 0.88 0.42
13.6 35.6 22 0.29 3.89 0.35
53.6 61.6 8 0.31 10.00 0.47
69.6 87.6 18 0.35 3.94 0.41
109.6 119.6 10 0.05 26.00 0.45
125.6 129.6 4 0.05 41.50 1.17 0.69
157.6 161.6 4 0.01 15.50 0.25
173.6 217.6 44 0.10 23.07 0.11 0.45
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GTD-00-6 30 42 12 4.42 0.11

Note: Intervals shown are down hole intervals. This is the first pass of
drilling in Zone B and true widths are not yet known.


FORESTRY ACTIVITIES

The Indonesian Forestry Law restricts non forestry activities within protection forests and prohibits mining using an open pit method in protection forest areas. Accordingly, Intrepid's Alliance partner, PT IMN, is working with relevant Indonesian authorities to allow for a review of forest land status.

FORWARD LOOKING STATEMENTS

This announcement contains certain forward-looking statements, relating to, but not limited to Intrepid's expectations, intentions, plans and beliefs. Forward-looking information can often be identified by forward-looking words such as 'anticipate', 'believe', 'expect', 'goal', 'plan', 'intend', 'estimate', 'may' and 'will' or similar words suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future outcomes, or statements about future events or performance. Forward-looking information may include reserve and resource estimates, estimates of future production, unit costs, costs of capital projects, and timing of commencement of operations and is based on current expectations that involve a number of business risks and uncertainties. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to, failure to establish estimated resources and reserves, the grade and recovery of ore which is mined varying from estimates, capital and operating costs varying significantly from estimates, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and other factors. Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from those expressed or implied.

Shareholders and potential investors are cautioned not to place undue reliance on forward-looking information. By its nature, forward-looking information involves numerous assumptions, inherent risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. Intrepid undertakes no obligation to update publicly or otherwise revise any forward-looking information whether as a result of new information, future events or other such factors which affect this information, except as required by law.

QUALIFIED PERSON

The information in this announcement that relates to exploration results is based on information compiled by or under the supervision of Malcolm Norris, who is a full-time employee of Intrepid Mines Limited. Mr Norris has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" and a Qualified Person as defined in the Canadian National Instrument 43-101 (standards of Disclosure for Mineral Projects). Mr Norris consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Statements relating to gold resource estimates are expressions of judgment, based on knowledge and experience and may require revision based on actual production experience. Such estimates are necessarily imprecise and depend to some extent on statistical inferences and other assumptions, such as gold prices, cut-off grades and operating costs, which may prove to be inaccurate. The drill programme at Tujuh Bukit is insufficiently advanced to define a resource estimate and it is uncertain if further drilling will result in the determination of a resource statement at the project.

SAMPLE ANALYSIS

Intrepid exercises a strict chain of sample custody in its drilling program at Tujuh Bukit. Joint Venture personnel remove core from the drill rig and deliver it to a project geologist who logs the core and marks the core into two metre sample intervals. Intrepid and Joint Venture personnel supervise the immediate splitting, sawing and bagging of samples, and packaging of groups of samples for dispatch to the laboratory. The remainder of the split core remains on site.

Samples are securely packaged, batched, and then transported under supervision to Intertek's laboratory facility in Jakarta. At the laboratory, the samples are prepared by crushing and pulverizing and a 30 gram charge is assayed for gold by conventional fire assay and/or atomic absorption methods. Multi-element ICP analysis is carried out using a multi-acid digestion process. All samples that contain silver and/or copper, lead, and zinc values that exceed the upper detection limits for ICP are re-analysed by conventional atomic absorption methods to determine the absolute values of these metals.

GOLD EQUIVALENTS

The gold equivalent ratio for silver has been set at 65:1 based on US$650/oz gold and US$10/oz silver. Historical bottle roll tests have shown recoveries of 83% Au and 84.5% Ag, supporting a 65:1 ratio. Recently received CIL metallurgical testing results from Zone C achieved recoveries of approximately 90% for both Au and Ag at a grind of 80% passing 75 um. Comparable recoveries for both gold and silver in the recent tests from 4 composite samples from Zone C oxide material also support the 65:1 gold equivalence ratio.

ABN: 11 060 156 452

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