Adriana Resources Inc.

Adriana Resources Inc.

March 25, 2008 09:30 ET

Adriana Acquires Labrador Trough Iron Prospect

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 25, 2008) - Adriana Resources Inc. ("Adriana" or the "Company") (TSX VENTURE:ADI) is pleased to announce it has signed a Memorandum Of Understanding ("MOU") to acquire a 100% interest in the Bedford Iron Prospect (the "Property"), consisting of 94 mineral claims covering 2,350 hectares, located within the Labrador Trough of northeastern Labrador. Subsequently, Adriana staked an additional 82 mineral claims totalling 2,050 hectares, directly adjacent to the Bedford Iron Prospect claims, which brings the total combined land package to 4,400 hectares. The property is located 27 kilometres northeast of the town of Schefferville, Quebec on the east side of Howells River.

The Property, formerly held by the Iron Ore Company of Canada as part of its designated Blocks 19 and 103 holdings, covers a significant government aeromagnetic anomaly strategically located within 3 kilometres of the LabMag iron deposit and within 12 kilometres of the KeMag iron deposit, both held by New Millennium Capital Corp. The Property is also within close proximity to several Direct Shipping Iron Ore deposits previously owned by the Iron Ore Company of Canada which operated mines in the area from 1954 to 1982. New Millennium Capital Corp. recently announced plans to develop a Direct Shipping Ore operation in order to take advantage of current shortages of iron ore in the world market place.

Adriana can acquire a 100% interest in the Property from Bedford Resources Partners Inc. ("Bedford") by making escalating payments totalling $200,000 over the six-year option period, including $15,000 in the first year, and by conducting exploration designed to advance the project to pre-feasibility stage, within the option period. Pursuant to the MOU, Adriana is to pay Bedford a 1.5% royalty from the sale of iron mined from the property, subject to the Company's option to buy down 50% of the royalty at fair market value at anytime following completion of a bankable feasibility study.

Historic public records, mostly from work carried out in the 1970s, reference "high priority targets for possible taconite deposits" in the Howells River area. Adriana is in the process of collecting all available data on the property and the surrounding area with the intent of initiating an exploration program in the summer of 2008. The planned program would consist of geological and geophysical surveying, outcrop sampling and, if warranted, preliminary orientation drilling.

Adriana also has an option to earn 100% interest in the Lac Otelnuk Iron Project located 165 kilometres northeast of Schefferville, within the Labrador Trough, where the Company has an advanced diamond drilling program designed to delineate a multi-billion tonne NI 43-101 compliant inferred resource. Technical staff and helicopter support assigned to the Lac Otelnuk project will be available to support early stage exploration on the Bedford Iron Prospect during the coming summer field season.

Mr. Frank Condon, P.Eng., a Director of the Company and a qualified person as defined by National Instrument 43-101, has reviewed and approved the technical disclosure contained in this news release.

About Lac Otelnuk Iron Project

The Lac Otelnuk Project is located 165 kilometres northwest of Schefferville, Quebec, in the Labrador Trough and consists of 600 mineral claims covering approximately 28,920 hectares. The Lac Otelnuk deposit is a Lake Superior-type iron formation (taconite), which has been identified over a strike length of approximately 25 kilometres based on geological and geophysical mapping and exploration drilling in the 1970s. The deposit is nearly flat lying and dips gently to the northeast.

About Adriana Resources Inc.

Adriana's goal is to become a fully integrated iron ore producer through continued development of its iron ore port facility in Brazil, through acquisition of iron ore mineral resources in Brazil, and the advancement of the Lac Otelnuk Iron Project in Quebec, Canada.


Michael J. Beley, President

Certain information regarding the Company including management's assessment of future plans and operations, may constitute forward-looking statements under applicable securities laws and necessarily involve risks associated with mining exploration and development, volatility of prices, currency fluctuations, imprecision of resource estimates, environmental risks, access to labour and services, competition from other companies and ability to access sufficient capital. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Adriana Resources Inc.
    Robert Ferguson
    (604) 629-0250 or Toll Free: 1-877-629-0150
    Adriana Resources Inc.
    Ali Sinawi
    (604) 629-0250 or Toll Free: 1-877-629-0150