Selwyn Resources Ltd.
TSX VENTURE : SWN

Selwyn Resources Ltd.

January 15, 2008 08:58 ET

Selwyn's Don East Deposit Continues to Expand Mineral Potential

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 15, 2008) - Selwyn Resources Ltd. (TSX VENTURE:SWN) is pleased to provide an update on recent drilling activities in the wholly-owned Don Valley area of the Selwyn Project. The current drilling is focusing on the 8.0 kilometre length of Active Member between the Don and HC deposits and is continuing to expand the high-grade zinc-lead mineral potential both in the open-pit environment and at depth in Don Valley. In 2007, 106 drill holes were completed on Selwyn Project totalling 37,208.6 metres. The location of the drill holes can be found on drill plan maps available at www.selwynresources.com.

Highlights

- DON-131 in the underground target intersected 52.20 metres true thickness grading 4.62% zinc and 1.71% lead, including 8.00 metres grading 7.76% zinc and 3.01% lead.

- DON-129 in the underground target intersected 10.10 metres true thickness grading 5.56% zinc and 2.16% lead, including 4.50 metres grading 9.17% zinc and 3.38% lead.

Don East Underground Target

The deep drilling on the Don East deposit continues to demonstrate significant higher-grade zinc-lead mineralization beneath the expected extent of any conceptualized open pit mining. A total of 14 diamond drill holes have been completed in the underground target area for a total of 7,463.5 metres.



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True
Drill From To Thickness Pb Zn Pb+Zn Thickness
Hole (m) (m) (m) (%) (%) (%) (m)
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DON-117 388.30 394.90 6.60 1.30 4.53 5.83 6.03
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Including 390.00 393.40 3.40 1.88 6.36 8.24 3.11
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DON-127 619.80 638.30 18.50 1.64 4.15 5.79 18.40
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Including 619.80 622.80 3.00 1.17 5.51 6.68 2.98
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Including 632.30 637.20 4.90 2.45 5.90 8.35 4.87
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DON-129 534.50 546.80 12.30 2.16 5.56 7.72 10.10
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Including 538.50 544.00 5.50 3.38 9.17 12.55 4.50
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DON-131 791.30 848.40 57.10 1.71 4.62 6.33 52.20
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Including 814.40 833.10 18.70 2.13 6.13 8.25 17.10
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Including 824.40 833.10 8.70 3.01 7.76 10.76 8.00
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DON-133 399.60 407.30 7.70 1.77 6.14 7.91 6.80
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Including 403.10 405.80 2.70 3.47 11.40 14.87 2.40
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DON-134 307.80 308.30 0.50 4.30 10.48 14.78 6.50
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338.50 344.20 5.70 1.65 5.48 7.13 5.10
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DON-137 289.10 309.10 20.00 1.37 4.28 5.65 19.20
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Including 299.10 309.10 10.00 1.66 5.65 7.32 9.60
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Including 303.90 309.10 5.20 2.27 7.46 9.73 5.00
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DON-129 and DON-133 were designed to test the continuity of zinc-lead mineralized Active Member to the southeast of DON-106. Both drill holes were completed from the same drill pad, a 240 metres step out from DON-106 (see September 4, 2007 news release); DON-106 intersected a true thickness of 22.50 grading 8.09% zinc and 1.79% lead including 12.30 metres grading 11.13% zinc and 2.23% lead. The intersecting of well mineralized Active Member in DON-129 and DON-133 confirms the continuity of higher grade zinc-lead mineralization in the underground target over a down dip length of approximately 1100 metres. A third drill hole, DON-135, drilled off of the same collar location, targeted down-dip of DON-129 and DON-133; however, it is interpreted that this drill hole intersected the major bounding fault structure at depth that offsets the Don East deposit from the HC West deposit, and crossed from hangingwall into footwall rocks upon crossing this fault, thereby missing the Active Member.

Moving 530 metres to the southeast of DON-129, DON-133 and DON-135, a second thick, higher-grade intercept of zinc-lead mineralized Active Member was discovered in the adjacent fault block in drill hole DON-131. Drill hole DON-131 intersected 52.20 metres grading 4.62% zinc and 1.71% lead similar to the intercept in DON-114 which intersected 44.97 metres true thickness grading 4.55% zinc and 1.26% lead, including 3.94 metres grading 9.38% zinc and 2.45% lead (see November 14, 2007 news release). DON-114 is located 770 metres northwest of DON-131. The identification of a thicker zone of higher-grade zinc-lead mineralization in multiple locations within the underground target area at the Don East deposit now provides for an excellent opportunity to increase both the grade and the overall tonnage potential of this target.

The 2007 deep drilling of the Don East deposit has been very successful in identifying significant new mineral potential down-dip of the known zinc-lead mineralized Active Member in the near surface environment. This new mineral potential expands the near surface potential for tonnage well beyond the April 2007, NI 43-101 compliant, Inferred mineral resource area that contains 24,710,000 tonnes grading 5.15% zinc and 1.15% lead (see April 2, 2007 news release). The underground target is conceptualized to have an area of 600 to 1,200 metres that includes 15 to 20 million tonnes assuming an average thickness of 10 metres with base metal grades ranging from 5.90% to more than 11.00% combined lead and zinc. The underground target requires additional drilling; however, these results expand upon those reported in the November 14, 2007 news release. It is unknown if drilling in 2007 was sufficient to define a mineral resource, and detailed study may indicate that additional definition drilling is required to define mineral resources compliant with NI 43-101 mineral resource classification.

Don East Open-Pit Target

A total of 36 diamond drill holes have been completed and/or are in progress in the open-pit target area for a total of 7,968.3 metres in the Don East deposit. DON-072 and DON-082 are infill drill holes that were successful in confirming the continuity of zinc-lead mineralized Active Member through the near surface expression of the Don East deposit.



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True
Drill From To Thickness Pb Zn Pb+Zn Thickness
Hole (m) (m) (m) (%) (%) (%) (m)
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DON-072 161.20 172.30 11.10 0.86 3.23 4.08 10.10
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Including 161.20 164.00 2.80 1.72 5.65 7.38 2.60
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Including 169.90 172.30 2.40 1.48 5.66 7.14 2.20
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DON-082 181.10 205.20 24.10 0.64 3.31 3.95 22.30
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Including 189.60 196.20 6.60 1.04 6.26 7.29 6.10
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Shallow drilling in 2007 continued to expand the extent of the zinc-lead mineralized Active Member in the Don East deposit well beyond the April 2007, NI 43-101 compliant, Inferred mineral resource that contains 24,710,000 tonnes grading 5.15% zinc and 1.15% lead (see April 2, 2007 news release). The north-westerly bounds of the continuously mineralized zinc-lead Active Member in the Don East deposit has doubled from 900 to 1,800 metres and successfully tested a continuous north-easterly, down dip length of 500 metres. The target for zinc-lead mineralization in the Don East deposit is conceptualized to contain 35 to 55 million tonnes in the near surface environment within an area of approximately 2,000 by 1,000 metres and having an average thickness of 15 metres with base metal grades ranging from 4.8 to more than 12.0% combined lead and zinc. Additional definition drilling is required prior to discussing mineral potential as an accepted NI 43-101 mineral resource classification and it is uncertain if additional drilling will result in the target being delineated as a mineral resource.

All assay results from drill holes in the Don East deposit have now been released; noting that additional assay results are pending for deep drill holes in the XY Central and Don deposits. The Don East deposit remains open for expansion along strike and to depth.

Note that all discussion of previous NI 43-101 compliant Indicated and Inferred mineral resources are referenced in the April 2, 2007 news release that discusses the 2007 NI 43-101 compliant mineral resources and the subsequent report written by Independent Qualified Person Cliff Pearson, P.Geo., and Non-Independent Qualified Person John. J. O'Donnell, P.Geo., for the Selwyn Project. Any areas discussed as possessing mineral potential are conceptual and not defined through close spaced drill holes defining a detailed geological model of the mineralization. Additional definition drilling is required prior to discussing mineral potential as an accepted NI 43-101 mineral resource and it is uncertain if additional drilling will result in the target being delineated as a mineral resource.

The Selwyn Project exploration program is being reviewed by Vice President of Exploration, Jason Dunning, M.Sc., P.Geo. The onsite activities for the Selwyn Project are directed by Exploration Manager, John J. O'Donnell, P.Geo. Both Mr. Dunning and Mr. O'Donnell are Qualified Persons within the meaning of National Instrument 43-101. All assay data has been through internal validation of quality assurance and quality control. Selwyn has established a sampling and assay control program with blind insertion of assay blanks, standards and duplicates for the Selwyn Project; however, it should be noted that there is also a quality control and quality assurance program in place at International Plasma Laboratories ("iPL") and ACME Analytical Laboratories Ltd. ("ACME") that includes blanks, duplicates and standards. At iPL, base metal analyses are conducted by wet fire assay and at ACME, silver and base metal analyses are conducted by a 17-element, four-acid digestion, ore-grade ICP-AES technique.

Selwyn's focus is the exploration of its properties that make up the Selwyn Project in the Yukon, which hosts large tonnages of zinc-lead mineralization. The known deposits have the potential for large scale production of zinc and lead, at a time when major new mines are needed to ensure adequate future zinc mine supply.

This press release may contain forward-looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and other risk factors beyond its control and actual results may differ materially from the expected results. Additional drilling is required to confirm the potential of the new discovery areas and expansions of the current resource areas and the extension of the higher grade deep mineralization to depth. Additional more, there is no assurance that the resources being defined can be developed as an economically attractive mine, and there are many uncertainties associated with permitting and other factors that could delay such development.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy of this news release.

Contact Information

  • Selwyn Resources Ltd.
    Dr. Harlan Meade, President and CEO
    (604) 682-5474 or Toll Free: 1-877-682-5474
    International Toll Free: 1-800-8682-5474
    or
    Selwyn Resources Ltd.
    Jasmin TamDoo, Manager of Investor Communications
    (604) 682-5474 or Toll Free: 1-877-682-5474
    International Toll Free: 1-800-8682-5474
    (604) 682-5404 (FAX)
    Email: info@selwynresources.com
    Website: www.selwynresources.com