Paragon Minerals Corporation
TSX VENTURE : PGR

Paragon Minerals Corporation

November 02, 2009 12:39 ET

New Geochemical Target Identified at Paragon's Lake Douglas VMS Project

Government survey outlines highly anomalous multi-element anomaly near Lake Douglas Massive Sulphides

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 2, 2009) - Paragon Minerals Corporation (TSX VENTURE:PGR) ("Paragon") is pleased to provide an update on its 100%-owned Lake Douglas VMS project, located 20 kilometres southwest of the Duck Pond Cu-Zn mine in central Newfoundland. Recent till sampling by the Government of Newfoundland and Labrador has returned a significant geochemical anomaly at the Flexure Prospect.

The regional till sampling program carried out by the Geological Survey Division of the Newfoundland and Labrador Department of Mines and Energy (Open File report 12A/1449; Smith et. al., 2009) was released on October 27, 2009, and covered in part, the Lake Douglas project. The survey returned a highly-anomalous till sample at Paragon's Flexure Prospect, a priority target area on the property. The sample returned assays of 163 ppb gold, 288 ppm copper, 492 ppm zinc, 1479 ppm lead and 10278 ppm arsenic, making it one of the most significant till samples within the Victoria Lake Volcanic Belt.

The Flexure Prospect is located five kilometres southwest and along strike of the Lake Douglas massive sulphide discovery (see Paragon News Release dated December 13, 2007). The new, highly anomalous till sample is underlain by similar hydrothermally altered volcanic stratigraphy to that hosting the massive sulphides, and coincides with a 400 metre long multi-element (copper, lead, zinc, silver, gold) soil geochemical anomaly and a high priority airborne EM target. No drilling has been completed in this area.

To date, exploration work completed by Paragon has outlined four high priority areas on the property with excellent potential to host large-tonnage base metal VMS deposits. One area, the Lake Douglas prospect has been drill tested (7 holes, 2,062 metres) with one drillhole (LD07-04) intersecting semi-massive to massive sulphide mineralization grading up to 6.30% zinc, 4.19% lead, 0.39% copper and 82.86 g/t silver over 6.45 metres.

"The recent government geochemical survey results underscore the potential for additional massive sulphides to be discovered on our property," said Mike Vande Guchte, President & CEO of Paragon Minerals Corporation. "With only seven drillholes in the project area and numerous attractive, untested VMS targets, we consider the potential for new base metal discoveries to be excellent." Paragon is looking at various alternatives to advance the project.

The Lake Douglas project is located 20 kilometres southwest of Teck Resources Duck Pond Cu-Zn Mine and immediately south of Paragon's 100%-owned South Tally Pond project. The volcano-sedimentary stratigraphy at Lake Douglas is very similar to other sediment-rich VMS base metal camps such as the world-class Bathurst Mining Camp in northern New Brunswick.

Paragon Minerals Corporation is a Canadian-based mineral exploration company listed on the TSX Venture Exchange. Paragon and its exploration partners are focused on gold and base metal exploration in Eastern Canada. Further details on the Lake Douglas project and other properties can be found on the Company website at www.paragonminerals.com.

PARAGON MINERALS CORPORATION

Michael J. Vande Guchte, President & CEO

Qualified Person – All Paragon projects are supervised by Qualified Person David Copeland, M.Sc., P.Geo. Mr. Copeland reviewed and approved the technical contents of this news release. Historical results were obtained from published reports available in the public domain.

Forward-looking statements - This news release contains certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical fact, that address events or developments that Paragon expects to occur, are forward looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Forward-looking statements in this document include statements regarding regulatory approvals, current and future exploration programs, activities and results. Although Paragon believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration success, continued availability of capital and financing, inability to obtain required regulatory or governmental approvals and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of Paragon's management on the date the statements are made. Paragon undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change. These statements are based on a number of assumptions, including, among others, assumptions regarding general business and economic conditions, the timing of the receipt of regulatory and governmental approvals for the transactions described herein, the ability of Paragon and other relevant parties to satisfy stock exchange and other regulatory requirements in a timely manner, the availability of financing for Paragon's proposed transactions and exploration and development programs on reasonable terms and the ability of third-party service providers to deliver services in a timely manner. The foregoing list of assumptions is not exhaustive. Events or circumstances could cause results to differ materially.

To view the map accompanying this release please visit the following link: http://media3.marketwire.com/docs/PGRMap11022009.jpg

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Paragon Minerals Corporation
    Michael Vande Guchte
    President & CEO
    (604) 629-2353
    or
    Paragon Minerals Corporation
    Bill Cavalluzzo
    VP Investor Relations
    (604) 629-2353
    www.paragonminerals.com