Commander Resources Ltd.

Commander Resources Ltd.

September 07, 2005 08:00 ET

Commander Resources Ltd.: Baffin Drilling Cuts 21.30 g/t Gold Over 4.24 Metres

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Sept. 7, 2005) - Commander Resources Ltd. (TSX VENTURE:CMD) has discovered a new gold zone on the Ridge Lake Prospect, Baffin Island Gold Project, highlighted by hole 05-35 which cut 10.63 g/t gold over 8.89 metres including 21.30 g/t gold over 4.24 metres at a shallow depth of 89 metres. The intercept is within a newly-recognized lower gold-bearing "sulphide-facies" iron formation unit that starts at surface and remains open. The discovery confirms the potential for thick, high-grade gold zones within 100 metres of surface on the property.

The recognition of two stacked auriferous iron formations (upper "silicate-facies" and lower "sulphide-facies") and the identification of a prominent east-west structural corridor, strong folding, locally intense shearing and alteration expands the gold potential of the entire property. The drilled interval is close to (95%) true thickness.

Hole 05-35 is the deepest of several drilled in a pattern to follow-up hole 04-08 drilled last year that intersected 5.44 g/t gold over 2.48 metres. Holes drilled 50 to 80 metres to the west and north of 05-35 intersected the same thick gold-bearing lower iron formation at shallower depths with gold grades ranging from 2.8 g/t to 5.4 g/t gold. In addition, the upper silicate-facies iron formation in hole 05-32 cut 14.16 g/t gold over 1.62 metres. A complete table of the drill results, a drill plan map and a longitudinal section can be found on the Company's website.

This type of drill success is very typical in "iron formation" gold deposits where high-grade "sweet" spots may only be 10's of metres wide but extend for hundreds of metres within broader, lower grade gold zones along the main structural control direction. Of greater significance at Ridge Lake is the opportunity for shallow, open-pittable high-grade zones indicated by the amount of gold seen on surface along the 3.5 kilometre prospect and the success achieved by the limited drilling to date.

East of hole 05-35, the prospective lower iron formation is open for about 1000 metres where there has either been no drilling or shallow drilling prior to the recognition of the lower iron formation. Holes 05-13 through 05-28, drilled in an area 650 metres east of hole 05-35, only tested the upper "silicate-facies" iron formation. Most of the holes contained gold values with the best result being 10.24 g/t gold over 1.90 metres in hole 05-19. The lower iron formation unit remains un-tested over the entire eastern area. Also, a tightly folded portion of the iron formation where some of our highest gold grades were recovered last year has not yet been adequately tested due to the presence of heavy snow early in the season and structural complications. Weather permitting, the current drill program will test this high-grade area and the lower iron formation before the 2005 drill program ends.

At this time, another high priority gold target located 450 metres west of drill hole 05-35 is being drill tested. Here, preliminary drilling in 2004 (holes 04-02, 04-09 and 04-10 shown in table below) returned high grade gold values within what is now interpreted to be the same unit that hosts gold in hole 05-35 and could possibly be part of the same mineralized system or zone.

Ridge Lake, one of 14 gold prospect areas and only the second to be drill-tested on the Company's Baffin Island gold project has produced numerous rock chip and channel samples ranging from 5 g/t gold to over 100 g/t gold over a 3.5 kilometre strike length. Only small portions of this length has been drill-tested and only to a depth of about 100 metres. A total of 2657 metres in 37 holes has been drilled on Ridge Lake of which 1857 metres in 25 shallow holes from 14 collar locations has been completed so far this year. Drilling resumed recently after a short break.

Selected Drill hole Results

Iron formation
LIF equals
UIF equals
Hole from to Length Gold Length Gold Upper

2005 Holes (m) (m) (m) (g/t) (feet) (oz/t)
05-19 35.07 36.97 1.90 10.24 6.23 0.30 UIF
05-32 25.25 26.87 1.62 14.16 5.31 0.41 UIF
including 25.25 26 0.75 27.71 2.46 0.81
80.08 83.77 3.69 3.46 12.10 0.10 LIF
05-33 91.97 96.01 4.04 2.84 13.25 0.08 LIF
05-35 84.45 93.34 8.89 10.63 29.16 0.31 LIF
including 89.1 93.34 4.24 21.30 13.90 0.62
including 89.1 90.1 1.00 27.95 3.28 0.81
and 90.1 91.1 1.00 36.21 3.28 1.06
and 91.1 92.1 1.00 19.51 3.28 0.57
05-36 88.22 90.09 1.87 5.39 6.13 0.16
2004 Holes
04-02 67.05 69.2 2.15 17.48 7.05 0.51 LIF
including 68.05 69.20 1.15 31.34 3.77 0.91
04-08 35.13 37.61 2.48 5.44 8.13 0.16 LIF
35.63 37.13 1.50 7.08 4.92 0.20
04-09 28.68 30.18 1.50 15.06 4.92 0.44 LIF
04-10 35.08 41.73 6.65 4.08 21.81 0.12 LIF
including 35.08 36.14 1.06 12.00 3.47 0.35

NOTE: True width is 90-95% of drilled width.

Holes 05-30 and 05-31 appear to have hit a hangingwall sequence in a fault block without reaching the target depth of either the upper or lower iron formation units. Both units are expected to be found deeper in the section and will be tested by drilling in a later program.

The Company is highly encouraged with the thickness and grade potential demonstrated by the lower iron formation unit and the clear opportunity that exists for economic gold mineralization to occur. As reported in the Company's news release in Stockwatch dated August 15, 2005, the Durette prospect area, located about 50 kilometres to the east from Ridge Lake demonstrates the added potential for significant gold mineralization in a third, stratigraphically higher unit in the sequence outside of the upper and lower iron formation units. With at least three stacked productive units now recognized, the project has taken on an entirely new scope. Results from surface samples collected from Durette and other gold prospects during the 2005 ground work will be reported when all information is received and interpreted.

Dr. Allan Armitage, PhD, P.Geo who is managing the Baffin Project has extensive experience with iron formation gold deposits and Arctic geology. He was formerly Chief Geologist at Comaplex Minerals where he was primarily involved in the Meliadine gold project near Rankin Inlet, Nunavut.

Bernard Kahlert, P.Eng is the Company's Qualified Person under N.I. 43-101 for the 2005 project.

All assaying of drill core is completed by TSL Laboratories Ltd. based in Saskatoon, Saskatchewan. Drill core analysis is performed on saw cut, half NQ core with standard fire assay procedures and a gravimetric finish (1 assay ton). A QA/QC program involves the insertion by Commander of at least one of each external standard (low to high grade Au), and one blank per short drill hole, typically within an iron formation interval. TSL completes its own internal QA/QC program by inserting a standard, and several pulp duplicates in every batch of 20 analyses. The QA/QC procedures and results are monitored through the duration of the program.

About Commander Resources Ltd.

Commander Resources Ltd. is a Canadian junior exploration company with a diversified portfolio of gold, copper-gold, nickel and uranium projects across Canada with focus on a large, emerging new gold district on Baffin Island. Commander's mission is to generate or acquire quality opportunities at a low cost and add significant shareholder value through discovery of mineral deposits, leveraged partnerships, and/or sale of assets. The company has exposure to the diamond sector through an equity position in Diamonds North Resources Ltd.

On Behalf of the Board of Directors,

Kenneth E. Leigh, President

Shares Issued: 36,226,423

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

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