Alberta Star Development Corp.
OTC Bulletin Board : ASXSF

Alberta Star Development Corp.

March 28, 2006 11:35 ET

Alberta Star Contracts Scott Geophysics Ltd. to Perform an Induced Polarization/Resistivity 'IP/Res' Survey at the Contact Lake IOCG & Uranium Project

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 28, 2006) - Alberta Star Development Corp. (TSX VENTURE:ASX)(OTCBB:ASXSF), is pleased to announce that the company has contracted Scott Geophysics Ltd. to perform an Induced Polarization (IP) High Resolution Survey (the "Survey") over its IOCG targets on its Contact Lake IOCG & uranium project this summer. Scott Geophysics Ltd. is a Vancouver based geophysical service company specializing in detailed IP/Res Surveys. The Survey will be headed by Al Scott, B.Sc., M.B.A., and P.Geo, who has worked extensively in the past with Cominco, Anaconda, and Gulf Minerals. The IP/Res Survey will consist of 100 + line-kilometers employing various line intervals and is scheduled to begin in late June. The IP/Res Survey is considered one of the exploration industry's finest tools in detecting large disseminated bulk tonnage Olympic Dam IOCG- style targets. The Survey will be conducted using a Scintrex-IPC7 IP or equivalent transmitter and will cover a large portion of the K2 and J1 discovery areas at Contact Lake. The Survey will be performed under the supervision of Jan Klein, M.Sc, P.Eng, P.Geo, Alberta Star's Chief Geophysicist.

Tim Coupland, President & CEO commented: "We are using every advanced geophysical tool available in the exploration arsenal to ensure a greater likelihood of complete success of Contact Lake and at the Company's Eldorado IOCG and uranium projects. This survey will provide Alberta Star with additional information and aid in identifying and properly evaluating additional high priority drill targets. Alberta Star intends to develop an area with a history of high grade base and precious metal mineral and uranium production that is recognized by geologists to be one of the most prospective IOCG areas anywhere in the world. Alberta Star has now completed one full season of comprehensive exploration in this area and has confirmed the presence of high grade copper, gold, silver, cobalt, nickel, bismuth and uranium mineralization. This regional land package, which contains five former and past producing silver and uranium mines, allows Alberta Star and its geological team to gain maximum exposure while drilling a wide spectrum of base and precious metals and uranium. The Company is currently planning several large drill programs for the upcoming 2006-2007 spring and summer seasons. Alberta Star has assembled a highly regarded IOCG & uranium technical group of experts within the mineral exploration industry with advanced uranium exploration expertise that will oversee the direction of the project."


A recently completed interpretation report by Dr. Hamid Mumin of Brandon University, covering the various geophysical data sets and available geological information relating to the Contact Lake property recommends the execution of comprehensive exploration program for 2006. The exploration program includes additional ground and airborne geophysics such as localized Induced Polarization/Resistivity (IP/Res) geophysics over selected portions of the high-amplitude magnetic anomalies, mapping, line-cutting followed by a comprehensive 15,000 meter drill program at Contact Lake, targeting the high-priority areas. The program provides that the scheduled holes will be drilled to an average depth of 200 -500 meters per-hole using a Boyles 25A. Drilling is expected to commence in mid to late April 2006.


Alberta Star has been granted a five year Sahtu Land & Water Board Class "A" Land Use Permit for diamond drilling on the Contact Lake Project. The diamond drilling permit is valid until August 24, 2010. Alberta Star is the first mineral exploration company in over 10 years to receive a Class "A"-5 Year drill permit in the Great Bear Lake Sahtu Dene Land settlement area for mineral exploration and diamond drilling. Alberta Star is fully permitted for diamond drilling in the Sahtu Dene Land Settlement Area at Contact Lake.


The Contact Lake project is located 5 km southeast of Port Radium on the east side of Great Bear Lake Northwest Territories and is 670 kilometers north of the city of Yellowknife. The total size of the Contact Lake project and surrounding area is over 51,473.96 acres in size. The Contact Lake Project is located 5 kilometers from two past producing high grade silver and uranium mines, the Echo Bay Silver Mine which produced 23,779,178 ounces of silver and the Eldorado Uranium Mine which produced 15 million pounds of uranium and 8 million ounces of silver. The Contact Lake Mine is a former past producer of silver and high grade uranium. The Contact Lake Mineral belt encompasses an extremely mineral rich portion of the Great Bear Magmatic Zone, as evidenced from the production records of five former past producing silver and uranium mines in the area. The five past producing silver and uranium mines include the Echo Bay Silver Mine, Eldorado Uranium Mine, Contact Lake Silver and Uranium Mine, Bonanza and El Bonanza Silver and Uranium mines and are now included within Alberta Star's land package ownership. Alberta Star is the first mineral exploration company in 75 years to successfully stake, acquire and control one entirely contiguous land package in this mineral rich region. The Contact Lake Mineral Belt is approximately 15 kilometers long and has been recognized by geologists, as one of the most prospective Iron oxide copper, gold, silver and uranium regions located anywhere in the world. The current spot price for uranium is now $40.50 US as of March 28, 2006.


Alberta Star is a Canadian mineral exploration company that identifies, acquires, and finances advanced stage exploration projects in Canada. Alberta Star is focusing in the discovery of base and precious metals and uranium deposits.


Investors are welcomed to contact Mr. Allan Feldman, Alberta Star's In-house Investor Relations and Corporate Communications Specialist, for all corporate updates at (604) 948-9663.


Tim Coupland, President & CEO

Dr. Hamid Mumin Ph.D., P.Eng. is the qualified person for the Contact Lake project.

This News Release includes certain "forward looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve that involve various degrees of risk. The following are important factors that could cause Alberta Star's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital.

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

Contact Information

  • Alberta Star Development Corp.
    Tim Coupland
    President and CEO
    (604) 681-3131
    (604) 801-5499 (FAX)