Cloudbreak Resources Ltd.

Cloudbreak Resources Ltd.

March 23, 2007 09:15 ET

Cloudbreak Outlines Priority Targets, Announces 2007 Exploration Program in Turkey

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 23, 2007) - Cloudbreak Resources Ltd. (TSX VENTURE:CDB)(FRANKFURT:C6K) (the "Company") is pleased to announce that evaluation of the 2006 field season results on its Ikiztepe-Sarp copper/molybdenum/gold property in the Tethyan Belt of Northwest Turkey has outlined four top priority targets warranting further testing. The Company has planned an extensive 2007 exploration program, including 6,500 metres of drill testing at the project.

Cloudbreak president, Blair Naughty, commented, "We are eager to test the four areas of mineralization outlined to date at our 285 square kilometer Turkish project. Using information from reports detailing past exploration at the project, coupled with information from Cloudbreak's recent exploration work, Company geologists plan to drill test new areas of potentially high-grade mineralization. As well, our geologists will re-drill known areas of mineralization to help confirm past-outlined resources under current 43-101 required standards. Should Cloudbreak be successful in confirming resources, Company geologists will use their exploration expertise to expand these resources increasing shareholder value."

Target 1 - Ikiztepe Hill Cu-Mo-Au Skarn and Porphyry

Ikiztepe Hill comprises several Cu-Mo-Au mineralized skarn and porphyry style occurrences (including East Camp and Sogukpinar drilled and reported in 2006). Historically the state mining company, Turk Maadin, carried out a 56 hole exploration program in the Ikiztepe Hill area in the 1970s. In 1978 the Swedish company Granges International Mining calculated a resource based on the work carried out by Turk Maaden of 2.2Mt @ 1.17% Cu and 0.07% Mo in the skarn (not to current 43-101 standards) and 13.5Mt at 0.52% Cu and 0.05% Mo of disseminated porphyry style mineralization (not to current 43-101 standards). The source of this is Granges International Mining Report, the date is 1978, the relevance & reliability is reasonable as compared to current 43-101 standards.

A 1,667m reverse circulation program at the East Camp and Sogukpinar occurrences was completed by Cloudbreak in 2006 which confirmed earlier Turk Maaden findings in these areas and further extended the mineralization. The presence of gold was largely overlooked by Turk Maaden and was not included in earlier non 43-101 compliant resource estimates.

An extensive geophysical and drilling program is planned for 2007 including a 10 line kilometer IP survey and a ground magnetic survey. In addition, a 15-hole, 2,250m reverse-circulation drilling program is planned with the aim of extending known skarn mineralized zones and establishing a 43-101 compliant resource estimate by the end of 2007.

Target 2 - Derekoy Cu-Mo +/-Au Porphyry

Derekoy is a Cu-Mo porphyry described in a report by MTA (Turkish state exploration; 1987), and quoted with a resource of 221Mt at 0.27% Cu after an 8,766m, 25 hole drilling program (not to current 43-101 standards). The relevance & reliability is reasonable as compared to current 43-101 standards. A geophysical and drilling program is planned for 2007 including an 8 line km IP survey, a ground magnetic survey and 7 reverse circulation and 3 diamond drill holes totaling 1,500m. The aim of the program is to identify new mineralized zones as well as to confirm some of MTA (Turkish Geological Survey) drill intersections from the porphyry and potentially higher grade zones with the magnetic and IP surveys and test the targets with drilling.

Target 3 - Sukrupasa Cu-Au Skarn and Cu-Mo Porphyry

Sukrupasa is an area of Cu-Au skarn mineralization associated with a granodiorite porphyry. It is planned to conduct a limited IP and ground magnetic geophysical survey and drill up to four reverse circulation holes to test the potential and thickness of the skarn copper mineralization targets.

Target 4 - Gold Corridor Epithermal Au

The Gold Corridor target was identified after a soil geochemistry survey carried out in the second half of 2005. A number of anomalous Au areas were identified and these have been prioritized and scheduled for follow up work including trenching and geophysics.

Ikiztepe-Sarp Grass-Roots Program

In addition to the four targets identified above, Cloudbreak and its partners will continue the grass-roots exploration program on their extensive Ikiztepe-Sarp licenses with the aim of generating additional Cu-Au targets.

Regarding non-43-101 compliant statements: A qualified person has not done sufficient work to classify the historical estimate as current mineral resources, the issuer is not treating the historical estimate as current mineral resources and the historical estimate should not be relied upon. The company is undertaking all measures as outlined by 43-101 guidelines to confirm all previous results.

Cloudbreak is earning a 65-per-cent interest in the properties, through an agreement with Valhalla Resources Ltd. ("Valhalla") the project operator. The properties are owned by a Turkish subsidiary of Anatolia Minerals Development Limited (TSX:ANO). Cloudbreak can earn a 65-per-cent interest in the properties by making property payments of $1.2-million (U.S.), completing work expenditures of $5-million (U.S.), completing a feasibility study on one of the properties and issuing 1.2 million common shares of Cloudbreak, all over a period of five years.

Marvin Mitchell, P. Geo, a director of Cloudbreak Resources and qualified person as identified by National Instrument 43-101, has reviewed and verified the technical content of this release.

On Behalf of the Board

Blair Naughty, President

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

Contact Information

  • Cloudbreak Resources Ltd.
    Investor Relations
    (604) 689-2881
    Cloudbreak Resources Ltd.
    Blair Naughty
    (604) 669-3707 or Toll Free: 1-800-430-4034
    (604) 669-3797 (FAX)