Black Pearl Minerals Consolidated Inc.
TSX VENTURE : BLK

Black Pearl Minerals Consolidated Inc.

October 17, 2005 17:17 ET

Black Pearl Updates Report on Summer Exploration Program at Wekusko Lake High Grade Gold Property; Plans Winter Drill Program; Acquires Additional Manitoba Property

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Oct. 17, 2005) - Black Pearl Minerals Consolidated Inc. (TSX VENTURE:BLK) -

THIS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES FOR DISSEMINATION IN THE UNITED STATES.

The Company's summer work program consisted of prospecting, mapping and sampling of selected areas of the 9000 hectare property, concentrating on the core areas surrounding the Ferro-Gold Dust gold deposits. This work was based upon an extensive 1989-90 ground VLF-EM and magnetometer database, which covers much of the property with 50 and 100 meter line spacing. The results of the summer program are encouraging and have resulted in the upgrading of 19 VLF-EM conductors to drill worthy, with a total of 2500 meters of drilling planned in 40 holes. This program will begin in early January 2006, a drill contract having been secured. Over the past several months the Company has also been investigating the economic viability of gold production at the site.

Two main regional zones of gold mineralization occur on the Wekusko property, the Laguna trend and the Ferro trend. The Laguna trend consists of a number of gold showings, including the past producing Rex-Laguna mine (58,962 ounces @ .51 oz/T Au), near the east shore of Wekusko Lake that extend 8 km to the McCafferty gold vein. The Ferro trend occurs in the vicinity of the Ferro gold mine and extends in both directions along the fold axis of a major synformal structure. Numerous gold showings are present over more than 2 km along this NE trending structure, including the Gold Dust zone, a significant 'blind' gold deposit discovered by drilling in 1989.These two gold bearing trends are considered to have excellent potential to contain additional blind gold deposits. The target of continued exploration on the Wekusko property is epigenetic, mesothermal, orogenic type gold deposits and ore shoots, associated with secondary or tertiary splay shear structures off the main Crowduck Bay fault.

The purpose of the 2005 summer work program was to develop viable drill targets among the numerous VLF-EM and magnetic anomalies. Prospecting was conducted to ground proof those VLF-EM conductors located in the vicinity of areas determined geologically to have high potential to contain additional gold deposits. Tag alder sampling was also used to locate potential hidden deposits. Geological observations of rocks containing the Gold Dust zone indicate that the alteration effects from the shearing and related gold mineralization often extend for a number of meters into the adjacent country rocks. These alteration effects are displayed by the presence of various Ca/Fe/Mg carbonates, biotite/chlorite retrograded from amphibole, black tourmaline in both extensional and parallel quartz veinlets with minor sulfide rust from traces of pyrite, and pyrrhotite. In addition, the presence of arsenopyrite, with traces of Bi, Mo, Pb, Zn, and Cu associated with thin quartz stringers or local disseminations are favorable indicators. The strength of the fabric in the country rock is also an important feature as foliation increases near shear zones. It is the identification of one or more of these features that are the objective of prospecting efforts which, followed by drilling testing of the most favorable targets, could result in the discovery of a number of deposits and make the Wekusko/Ferro property a significant gold camp.

The 2005 prospecting on the Wekusko property resulted in the ground checking of over 40 VLF-EM anomalies. These anomalies were located along both the Laguna-McCafferty and the Ferro gold trends, as well as in the vicinity of the NW edge of the Morgan Lake quartz-eye granite pluton. This work has resulted in the selection of 19 VLF-EM anomalies for drilling a total of 26 holes. The average length of a drill hole is estimated at about 50 meters. A total of 1300 to 1400 meters is proposed for the initial January, 2006 drill program. This program will be expanded to drill test more anomalies along strike of the Molly-Bing zones, and the Morgan Lake pluton contacts. Previous drilling by the Company indicates that the McCafferty zone is open to the southwest. The drill program will also be expanded to include drilling in the Johnson Lake area, 3 to 5 km northeast of the McCafferty zone. Here magnetometer, VLF-EM and I.P. geophysics identified drill targets in the vicinity of new gold showings containing up to 0.47 oz/T Au (16 g Au) in a grab sample. A drill program totaling 2500 meters will be planned in detail prior to the proposed January start up date. This program should result in the discovery of additional gold bearing zones on the Wekusko property. The drill targets for this program are presented in Figure 5 which accompanies this release.

The Company has requested tender bids for contract mining, environmental permitting and is sourcing and costing appropriate mineral processing equipment. Initial metallurgical testing on drill core has been completed. A NI 43-101 compliant resource estimate for the Gold Dust, McCafferty and Ferro Zones is underway. Additional inputs for the Study were generated by summer field work.

Previous work in the Wekusko Lake gold camp, including the last Black Pearl drill campaign of 3065 meters (71 Holes), has established the presence of high angle structures carrying intermittent gold-bearing "shoots" with established continuity from surface to up to 400 metres in depth which have been successfully exploited. The "camp grade" of these shoots has been established as approximately 17 grams per tonne (0.49 oz/ton).

The Company has also optioned the Leo-Gem Gold Property from Strider Resources Ltd. The property consists of 7 claims totaling 1664 hectares located near paved road #396 and 17 km southwest of the town of Lynn Lake. Surface sampling here returned gold values up to 6 grams per tonne in favourable geology and geochemical surveys indicate anomalous gold. Geophysical surveys will be conducted to guide drilling planned later this winter. The terms of the option are as follows; $250,000 property payments over 5 years ($5,000 down payment), $1 million work commitment over 5 years ($50,000 in year one) and the issuance of 500,000 shares over 5 years. The agreement is also subject to a 3% Net Smelter Return of which 1 1/2% may be purchased for $1 million.

The Company has over $500,000 in working capital at present and is in negotiations to raise flow-through funds.

ON BEHALF OF THE BOARD

BLACK PEARL MINERALS CONSOLIDATED INC.

Robert Sibthorpe B.Sc.(Geol), MBA, President

For proposed drilling program map please see our website.

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

Contact Information

  • Black Pearl Minerals Consolidated Inc.
    Andrew Cook
    C.O.O.
    (604) 602-4935
    or
    Black Pearl Minerals Consolidated Inc.
    Jim MacDonald
    Corporate Communication
    (604) 602-4935