Burnstone Ventures Inc.

TSX VENTURE : BVE


Burnstone Ventures Inc.

January 28, 2013 07:00 ET

Burnstone Reports Second Set of Assay Results from the 2012 Drill Program on Tomichi Project

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 28, 2013) -

390 Metres 0.261% Cu, 0.047% Mo, 3.42 g/t Ag, 0.279 g/t Re, (0.54% CuEq*)

Burnstone Ventures Inc. (TSX VENTURE:BVE) ("Burnstone" or the "Company") is pleased to announce further assay results for the recently completed diamond drill program on the Tomichi Project, Gunnison County, south-central Colorado (the "Project"). The drilling was focused on the higher grade near surface portion of the Tomichi Copper Deposit. The results from the first three holes were released on December 6, 2012. A NI 43-101 Resource Estimate released as summarized in the News Release dated June 26th, 2012, confirmed that the Tomichi copper-molybdenum (Cu-Mo) porphyry Project's resource contains 2.5 Billion lbs Cu, 552 Million lbs Mo, 30 Million oz Ag, 320,000 oz Au and 124,362 kg Re.

The five hole program totaling 1581 metres was completed in October 2012 within the northeastern portion of the deposit. Results for the 5 holes have been received and compiled as shown in the following table.

DDH # From To Interval Cu Mo Ag Re %CuEq*
m m m % % g/t g/t Cu/Mo/Ag
TM 29 2012 8.15 147.00 138.85 0.219 0.041 3.994 0.223 0.48
TM 30 2012 4.30 395.00 390.70 0.261 0.047 3.417 0.279 0.54
TM 27 2012 20.50 338.00 317.50 0.261 0.049 4.09 0.258 0.56
TM 28 2012 4.60 300.00 295.40 0.288 0.042 1.91 0.222 0.52
TM 28a 2012 4.45 401.00 396.55 0.258 0.027 1.91 0.129 0.42

* %CuEq is based on $3/lb Cu, $15/lb Mo, $25/oz Ag.
** No Au analyses were carried out on the 2012 drilling.

Drill hole TM 29 2012 was collared approximately 100 metres to the northwest of TM 10 2011 (a 1980's hole drilled by Moly Corp.), and drilled vertically to a depth of 147 metres. The hole was shut down before its targeted depth of 300 metres due to water problems. This hole extended the mineralization to the north into an area that is not included in the 43-101 resource estimate.

Hole TM 30 2012 was collared at the same vicinity of TM 10 2011 (a 1980's hole drilled by Moly Corp.), and drilled at an azimuth of 270° and a dip of -45°, This hole confirmed the continuity of the higher grade mineralization between holes TM 09 2011 and TM 10 2011.

The NI 43-101 resource estimate was completed by Geosim Services Inc. and the full Technical report is available on SEDAR. The following table shows the tonnages and grades for the Project at a range of Copper Equivalent cutoff grades (COG%). All of the 2012 drilling was carried out within the area of the 0.50% CuEq resource.

TOMICHI INFERRED MINERAL RESOURCE - TONNES & GRADE
COG % CuEq Tonnes 000's Cu (%) Mo (%) Au (g/t) Ag (g/t) Re (g/t) CuEq (%)
**
0.10 698,503 0.171 0.037 0.015 1.38 0.185 0.38
0.20 622,429 0.182 0.040 0.016 1.50 0.200 0.41
0.30 506,513 0.197 0.044 0.018 1.69 0.221 0.45
0.40 334,320 0.216 0.048 0.019 1.93 0.249 0.50
0.50 132,279 0.237 0.058 0.020 2.30 0.294 0.57

** CuEq = %Cu +%Mo x 5 + g/t Au x 0.681 + g/t Ag x 0.012.
Rhenium values have not been used in the cutoff grade or Cu Equivalent calculations.

Doug Fulcher, President and CEO of the Company, stated, "We are pleased to report the continued success of the 2012 drill program on Tomichi since the NI 43-101 resource was completed in June of last year. This round of drilling continued to show the continuity of the higher copper moly grades from surface and confirmed the continuity of the mineralization between wide gaps in the historic drilling as well as expanding the mineralization outside the known areas."

ABOUT BURNSTONE

The Company has an option to earn a 100% interest in the Tomichi copper-molybdenum (Cu-Mo) porphyry Project in Gunnison County, south-central Colorado. The Tomichi Project is located within the Colorado Mineral Belt and was initially worked on in the 1950's by Climax Molybdenum Co. and more recently, in the 1980's by Molycorp Inc. No work was carried out between the 1982 drill program and the 2012 Burnstone program.

Mineralization at Tomichi is a typical porphyry deposit characterized by disseminated and fracture controlled molybdenite and chalcopyrite hosted by a mid-Tertiary, potassic altered, intrusive system dominated by a porphyritic quartz monzonite. The mineralized porphyry is exposed at surface on top of Copper Hill. Diamond drilling completed by Molycorp Inc. in the 1980s intersected copper-molybdenum mineralization over a surface area in excess of 1500 metres by 800 metres, to a depth of at least 550 metres and remains open to the north, east and at depth.

The samples from the 2012 drill program were shipped from Gunnison to the ALS Group - Kamloops Mineral Lab, where the samples were prepped. Prepped pulps were then forwarded on by ALS to their North Vancouver Laboratory where samples were analyzed for copper, molybdenum, silver and rhenium along with 44 other elements by a four-acid digestion ICP-MS and ICP-AES.

Burnstone maintains a quality control program involving the use of standards, blanks and duplicate samples randomly inserted within the sample group at a 5% ratio to provide a check on assay lab data quality. Copper, molybdenum, silver and blank standards were prepared by CDN Resource Laboratory Ltd., Langley, B.C., Canada, or WCM Minerals Ltd., Burnaby, B.C., Canada.

Mr. James Chapman, P.Geo., is the Qualified Person responsible for the design of the program, and all exploration work on the Tomichi Project will be done under his supervision. Mr. Chapman has read and approved the technical content of this news release.

On Behalf of the Board of Directors:

Douglas Fulcher, President

This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration and development activities and events or developments that the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see our public filings at www.sedar.com.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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