Baffinland Iron Mines Corporation
TSX : BIM

Baffinland Iron Mines Corporation

September 17, 2010 12:21 ET

Baffinland Reports High Grade Assays From the First Drill Holes at Deposit No. 5

TORONTO, ONTARIO--(Marketwire - Sept. 17, 2010) - Baffinland Iron Mines Corporation (TSX:BIM) ("Baffinland" or the "Company") announces high grade iron assay results from the first holes drilled at Deposit No. 5. The 2010 drill program consisted of 6,802 metres of diamond drilling in 44 holes focused on widely spaced drilling to define additional resources. The majority of the drilling, 36 holes, were completed at Deposits No. 4 and No. 5, while eight holes tested specific targets at Deposits No. 1, No. 2 and No. 3 on the Company's Mary River iron ore deposits, Baffin Island, Nunavut Territory, Canada. Deposits No. 4 and No. 5 are located some 25 kilometres north-west from Deposits No. 1, No. 2 and No. 3 and are closer at just 75 kilometres to Milne Inlet. A location map showing the location of the deposits is located on the Company's website at www.baffinland.com.

The first hole, MR5-10-182, drilled at Deposit No. 5 intersected a combined weighted average 114.8 metres grading 62.6% iron in five zones, highlighted by 61.4 metres of 63.6% iron. The zones are comprised of massive specular hematite-dominant mineralization. The second hole, MR5-10-188, was drilled on section with MR5-10-182, slightly oblique and approximately 100 metres apart. MR5-10-188 cut a combined weighted average 74.0 meters grading 65.4% iron in 7 zones, of which the highest grade was 68.3% iron across 30.0 metres. Deleterious elements (manganese, phosphorous, sulphur and alkalis) are exceptionally low.

The high grade hematite-dominant mineralization occurs within enriched banded iron formation and both holes were abandoned due to drilling difficulties. The drill program focussed on testing priority targets at the known deposits.

Starting in 2009, Baffinland began regional exploration work that discovered Deposit No. 5. In 2010, this work continued and has identified several highly prospective new zones of mineralization that were sampled and mapped. The exploration work was guided by the airborne magnetic survey completed in 2008, but the work has greatly expanded beyond the survey area. These mineralized zones were sampled at surface and it is expected that the analytical results will be released through to the end of 2010.

Richard (Bo) McCloskey, Chairman and Acting CEO of Baffinland stated, "The drilling at Deposit No. 5 has confirmed what many already knew, that there are significant quantities of high grade iron ore that will see the Mary River iron ore deposits, once developed, in production for decades to come."

"Exploration has discovered several exciting new zones and drilling has provided greater certainty into the potential of Deposits No. 4 and No. 5. We expect that the work will greatly expand the ultimate potential of the Mary River iron ore deposits to a district level" commented Michael Zurowski, Baffinland's Executive Vice President.

SGS Lakefield Research Limited performs assay and analytical work under a strict protocol designed for testing lump iron ores. Representative samples will be sent to Studien Gesellschaft für Eisenerz-Aufbereitung (SGA) in Germany, where they are composited for detailed metallurgical testing to ISO standards for iron ore. The analytical testwork is supervised and interpreted by Michael T. Zurowski, P. Eng., a Qualified Person as defined by National Instrument 43-101.

Baffinland is a Canadian publicly-traded junior mining company that is focused on its wholly-owned Mary River iron ore deposits located on Baffin Island, Nunavut Territory, Canada. Baffinland's shares trade on the Toronto Stock Exchange under the trading symbol BIM. 

Please visit the Baffinland website at www.baffinland.com.

This press release contains certain information that may constitute forward-looking information within the meaning of securities laws. Forward-looking information may relate to management's future outlook and anticipated events or results, and may include statements or information regarding the future plans or prospects of the Company. Without limitation, statements about the Company's interpretation of its completed magnetic survey, including related statements about the planned release of additional assay results and metallurgical testing results, statements about the continuation of the Company's exploration program including plans relating to additional mapping, more comprehensive sampling, drilling on any of the properties comprising the Company's Mary River Project and metallurgical testing and statements about the Company's potential resources are forward-looking information.

Forward-looking information is based on certain factors and assumptions regarding, among other things, expected mineral resources, iron ore prices, the timing and amount of future exploration expenditures, the estimation of additional capital requirements, the availability of necessary financing and materials, the receipt of necessary regulatory approvals, the feasibility of constructing and operating a direct-shipping iron ore mine at the Company's Mary River project and assumptions with respect to environmental risks, title disputes or claims, weather conditions and other similar matters. While the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect.

Forward looking-information is subject to certain factors, including risks and uncertainties that could cause actual results to differ materially from what is currently expected. These factors include risks inherent in the exploration for and development of mineral deposits, risks relating to changes in iron ore prices and changes in the worldwide demand for and supply of iron ore, uncertainties inherent in the estimation of mineral reserves and resources, risks relating to the remoteness of the Mary River Property including access and supply risks, reliance on key personnel, construction and operational risks inherent in the conduct of mining activities, regulatory risks, including risks relating to the acquisition of necessary licenses and permits, financing, capitalization and liquidity risks, including the risk that the financing required to fund all currently planned exploration and related activities may not be available on satisfactory terms, or at all, environmental risks and insurance risks.

You should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While the Company may elect to, the Company is under no obligation and does not undertake to update this information at any particular time, except as required by law.

 
Summary of Drill Hole Assays
(Drill core intercepts are 70-80% of true width)
 
Drill Hole   TD (m)   From (m)   To (m)   Interval (m)   SiO2%   Al2O3%   Fe%   P%   S%
 
MR5-10-182   149.0   8.7   27.3   18.6   4.9   0.8   65.8   0.028   < 0.01
        30.6   92.0   61.4   4.2   2.5   63.6   0.034   < 0.01
        101.0   103.0   2.0   4.9   1.3   63.5   0.018   0.02
        110.1   128.0   17.9   15.8   0.6   57.6   0.004   < 0.01
        132.0   146.9   14.9   12.4   0.5   60.0   0.015   < 0.01
                                     
     
MR5-10-188   191.0   46.5   76.5   30.0   1.7   0.6   68.3   0.012   < 0.01
        80.5   82.5   2.0   3.3   2.2   65.2   0.031   < 0.01
        92.5   98.5   6.0   5.2   1.9   64.8   0.019   < 0.01
        102.5   106.5   4.0   5.3   1.4   65.7   0.013   < 0.01
        122.5   128.5   6.0   5.5   1.6   63.7   0.041   0.04
        142.5   146.5   4.0   6.6   2.6   61.5   0.008   < 0.01
        154.5   176.5   22.0   5.9   1.2   62.8   0.002   0.04
                                     

Contact Information

  • Baffinland Iron Mines Corporation
    Richard D. McCloskey
    Chairman and Acting CEO
    416 814-3157
    or
    Baffinland Iron Mines Corporation
    Michael T. Zurowski
    Executive Vice President
    416-814-3161
    info@baffinland.com
    www.baffinland.com