Band-Ore Resources Ltd.
TSX : BAN

Band-Ore Resources Ltd.

September 08, 2005 08:30 ET

Band-Ore and Placer Dome Sign Formal Agreement on Timmins, Ontario Gold Project

TORONTO, ONTARIO--(CCNMatthews - Sept. 8, 2005) - Band-Ore Resources Ltd. (TSX:BAN) is pleased to report that it has signed a formal agreement with Placer Dome (CLA) Limited, (PDG-TSX), Manager of the Porcupine Joint Venture, for an option agreement on 36 claims (56 claim units) located in Carscallen, Thorneloe, and Denton Townships, termed the "144 Property". Pursuant to the terms of the agreement, Placer can earn a 70% undivided interest in the 144 Property, by making cash payments totalling $500,000 and incurring exploration expenditures of $CDN 2.5 million, over a 5 year period. A 70% (Placer) - 30% (Band-Ore) joint venture will be formed upon completion of the earn-in. Band-Ore will not contribute to the exploration expenditures of the joint venture until a bankable feasibility has been completed. This agreement is subject only to a 30 day due diligence period.

The claims which comprise the "144 Property" cover the western portion of Band-Ore's 100% owned "Thorne Property" and are contiguous to the south of Band-Ore's "Thunder Creek" property which is currently under option to Lake Shore Gold Corp (LSG-TSXV)." Lake Shore can earn a 60% interest in the Thunder Creek property by making cash payments totalling $370,000 and by completing exploration expenditures of $1,705,000 over five years and by issuing 100,000 shares of the Company over four years (please see the property map for the claim location on www.band-ore.com)

The "144 Property" hosts an ultramafic intrusive body similar to that which occurs on Lake Shore's "Timmins Gold" property. This ultramafic body extends for over 1.8 kilometres to the southwest onto the "144 Property". Lake Shore Gold announced that two significant gold bearing zones were intersected in this geological environment during a diamond drill program conducted on the "Thunder Creek Property", with gold values up to 5.84 grams per tonne over 2.05 metres (see press release dated February 14, 2005).

Exploration Update

Thorne Property: Timmins, Ontario

Drilling has resumed on the Company's flagship gold property in Timmins, Ontario after a lengthy summer delay due to drought and forest fire conditions in northern Ontario. The focus of the 2005 exploration programs is to conduct drilling programs on the 100% Thorne Property to test new target areas, and to further evaluate previous discoveries with the intent of increasing the current estimated inferred gold resource of the property. The most current inferred resource was calculated in 1998, consisting of approximately 4 million tonnes grading 3 g/t gold or about 400,000 contained gold ounces. The inferred resource was calculated by Mr. Joe Spiteri, an independent mining consultant, and qualifies as an "Inferred Resource" under the Guideline of National Instrument 43 - 101. The most recent drilling has intersected gold values ranging from nil up to 3.69 g/t over 1.0 metre.

Gold mineralization on the Thorne property occurs within broad zones of highly altered porphyry and sediments, including altered conglomerate. Alteration typically consists of quartz, sericite, ankerite, fuchsite, pyrite +/- arsenopyrite. Mineralized porphyries (pyrite, gold) are associated with several past and current producing gold mines in the Timmins Camp.

Wawa,Ontario

A four hole diamond drilling program completed on the Rock Star property north of Wawa, Ontario. The recent drilling failed to intersect significant gold values. The Option Agreement with the vendors has been terminated.

A program of prospecting and sampling will be conducted this fall on the 100% owned Corbiere gold property.

The Company is currently seeking a partner to conduct exploration programs on The GQ diamond project.

Shebandowan, Ontario

The Company is entertaining proposals for a partner to conduct exploration programs on the Shebandowan gold project located 100 kilometres west of Thunder Bay, Ontario. The recent discovery of 12% copper and 32% zinc on surface by Freewest Resources (FWR-TSXV) has heightened interest in the under explored Shebandowan greenstone belt.

This press release has been reviewed and approved for release by Robert Duess, Professional Geologist, and the Company's Qualified Person.

Safe Harbour - Certain statements in this document constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, to be materially different from any future results, performance or achievements expressed by such forward-looking statements. Such factors include, among others, exploration works as detailed within may not be continually successful, that by virtue of exploration there is never a guarantee of economic or profitable outcomes; that exploration companies may have a history of operating losses and no guarantee of future profitability or uncertainty of access to additional capital, environmental liability claims and insurance; dependence on and priority conflicts joint-venture partners; should the company profiled herein seek such a partner.

S.E.C. EXEMPTION: #82-4233

SHARES: 39,673,147

Contact Information

  • Band-Ore Resources Ltd.
    Wayne J. O'Connor
    President
    (416) 364-6420 ext 103
    wayne@band-ore.com