Stronghold Metals Inc.

Stronghold Metals Inc.

June 23, 2010 09:30 ET

Stronghold Announces SEDAR Filing of National Instrument Compliant 43-101 Report on Tucuma Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 23, 2010) - STRONGHOLD METALS INC. ("Stronghold" or the "Company") (TSX VENTURE:Z) Stronghold is pleased to advise that it has filed an independent National Instrument 43-101 compliant Technical Report (the "Report") on the Tucumã Property (the "Property"), in southeast Para State (Carajas Province), Brazil, on SEDAR. The Report is dated June, 2010 and was prepared by Wardrop, a Tetra Tech Company, based in Toronto, Canada. Wardrop is a full service mining engineering firm, specializing in all aspects of exploration, mine development and mine operations.

The Tucumã Property consists of six Exploration Licences covering approximately 11,456 hectares. The mineral rights to 5 of the Exploration Licenses are 100% owned by Mineração Vale do Sonho Ltda., the Company's wholly owned Brazilian subsidiary. Title to the sixth Exploration License is currently being transferred to Mineração Vale do Sonho Ltda.

Historically, the Tucumã Property has produced significant quantities of gold from small-scale mining by garimpeiros. The Tucumã Property represents an excellent opportunity to explore for both shear-hosted economic gold vein mineralisation and for a copper-gold system of the IOCG type, with drill ready targets.

A summary of the Report follows:

The Property is located within the Carajas metallogenic province that is part of the Amazon Craton. The province is one of the premier mining districts in Brazil. Proterozoic and Archean rocks contain world-class deposits of copper-gold, gold, platinum group metals, iron, manganese, bauxite and nickel. Importantly, the Carajas Province is the locus of several major discoveries of large Iron Oxide Copper Gold ("IOCG") deposits, Nickel and Gold deposits in the last 20 years. It is now the focus of increased exploration activity by both junior and major mining companies.

From 1995 to 2006, the Property has been subject to several exploration programs that included: soil and rock geochemistry, airborne and ground geophysical surveys, RC and diamond drilling. The bulk of exploration has been conducted on the largest exploration licence 850461/2009. Since 2006, there has been no further exploration activity on the Property. In 2009, Stronghold visited Tucumã to re-establish a base of operations at the rented house and compound (core storage area) and to locate drill collars from the historical 1997 drill campaign.

From the historic exploration programs and drilling campaigns several areas of gold and copper-gold occurrences have been delineated and prioritized. For example, copper was identified on targets Hill 500 and Hill 512 and drilled by Brasilca and Codelco. Gold targets were identified in the southwest of the Property and drilled on a scout basis by Highgrade, Brasilca and Teck.

Generally, the drilling has not been planned along sections or fences to delineate these occurrences leaving these occurrences open laterally and at depth.

Finally the Report concluded and stated the following recommendations:

In conclusion, the Property contains several occurrences of gold and gold-copper mineralization that have only partially been investigated by historic drilling programs. The results of the historic drilling and geology in the southwest of the Property suggest that gold occurrences may be wider spread but lack geological control. Wardrop concludes that the southwest area of the Property indicates that gold occurrences may exist both laterally and at depth and that further investigation is warranted.

It is recommended that exploration continue on the Property to develop the gold occurrences in the southwest of the Property. Wardrop recommends that the planning and establishment of systematic drill program be carried out to confirm the extent of the gold occurrences and to develop a geological model of the gold emplacement. The proposed budget for such a drill program would be approximately Cdn$ 600,000 for approximately 3,000 m of drilling. The Report also recommends the re-examination of all historic data, currently on electronic file with hardcopies and originals stored in Tucumã. This may be undertaken simultaneously with the proposed drill program.

Qualified persons.

The NI 43-101-compliant report related to this press release has been filed on SEDAR and has been posted on the company's website within the time frame specified by NI 43- 101. Mr. Paul McGuigan, P.Geo.(B.C.), a director of Stronghold Metals Inc. is the qualified person for the Company, (as such term is defined in NI 43-101) and has reviewed and is responsible for the technical information contained in this press release.

The designated Qualified Person for the Report is Paul Daigle, P. Geo., Senior Geologist with Wardrop.

On behalf of The Board of Directors of Stronghold Metals Inc.

"Ioannis (Yannis) Tsitos"
President, CEO & Director

This document contains certain forward looking statements which involve known and unknown risks, delays, and uncertainties not under the corporations control which may cause actual results, performance or achievements of the corporation's to be materially different from the results, performance or expectation implied by these forward looking statements.

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

  • Stronghold Metals Inc.
    Ioannis (Yannis) Tsitos
    President, CEO & Director
    +1.604.806.0956 (FAX)