Consolidated Pacific Bay Minerals Ltd.

Consolidated Pacific Bay Minerals Ltd.

January 31, 2008 09:00 ET

Consolidated Pacific Bay Minerals Ltd.: Strateco Drills Anomalous Radioactivity in the Rabbit Ears Southern Claim Group

Follow-Up Program Planned

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 31, 2008) - Mr. David Brett, CEO, Consolidated Pacific Bay Minerals Ltd. (TSX VENTURE:CBP) (the "Company"), reports that Strateco Resources Ltd.("Strateco"), who is earning a 60% interest in the Company's Otish Mountains Uranium Claims, has provide the Company with preliminary results of a four hole, 1062 meter diamond drilling program on the Company's Rabbit Ears claim block. All the holes encountered sedimentary horizons that correspond to the Matoush deposit environment and are considered by management to be very encouraging. Hole #PB-07-02 encountered a 10 cm altered arkosic sandstone average of 0.03% eU3O8 (equivalent U3O8 determined by in situ radiometry via downhole gamma ray probe calibrated at the Matoush uranium deposit).

The Rabbit Ears area remains a priority target for Strateco, who plans detailed geophysical analysis and prospecting to define additional targets for drilling. Strateco must complete $750,000 in work, including 2,500 meters of drilling on the Company's claims before October 29, 2008, and a total of $3 million in work including 10,000 meters of drilling over the four year option period, as well as make various cash and stock payments to the Company.

The holes on Pacific Bay's claims are located in the southern block of the Rabbit Ears claim group, about 10 km NE of Strateco's Matoush deposit. These holes were drilled in an area of favourable geophysical anomalies such as airborne radiometric anomalies, ground magnetic lineaments and VLF/EM conductors. Radioactive boulders were also discovered in this area during prospecting in the summer of 2007.

Drilling on the Rabbit Ears south block intersected the two similar types of sedimentary facies seen in the Matoush sector. These correspond to the active channel facies (ACF), an arkosic to subarkosic conglomeritic coarse sandstone, and the channel bar facies (CBF), a finely laminated subarkisoc fine-to-medium sandstone, of the Indicator Formation. Hole PB-07-01, a vertical hole, confirmed subhorizontal bedding in this area of the basin. Hole PB-07-02 intersected similar arkosic sandstone containing radioactive hematitic alteration reminiscent of mineralized alteration comparable to the Matoush sector. The table below sets out detailed results of the drill program:

Average % eU3O8 GT product
Calculated core (Matoush corrective (grade x length) CPS
Hole length (m) factors) (% eU3O8/m) (max)
PB-07-01 Low values 150
PB-07-02 0.1 0.03 0.003 300
PB-07-03 Low values 230
PB-07-04 Low values 185

Strateco's future plans with respect to the Pacific Bay optioned claims forms part of Strateco's overall program and strategy for the Otish Camp, the details and timetable of which will be published as this information becomes available. George Sanders, P.Geo, President, is a Qualified Person under National Instrument 43-101 for the technical portion of this News Release.

Consolidated Pacific Bay Minerals Ltd.

David Brett, CEO

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

Contact Information

  • Consolidated Pacific Bay Minerals Ltd.
    Investor Relations
    (604) 682-2421 or Toll Free: 1-800-670-6570 (Canada)
    Toll Free: 1-800-665-5101 (USA)
    (604) 682-7576 (FAX)