Corona Minerals Limited

Corona Minerals Limited

February 08, 2012 15:25 ET

Corona Minerals Limited Announces First Drill Hole Results

PERTH, AUSTRALIA--(Marketwire - Feb. 8, 2012) - Corona Minerals Limited ("Corona" or the "Company") announces they have received assay results from the first hole of a three hole diamond drilling program that commenced at the Prince Darwin prospect in late October 2011 targeting copper, with accompanying gold, silver and magnetite mineralization associated with a strong magnetic anomaly. Drilling at the Prince Darwin prospect was conducted by Van Dieman Holdings and was supervised by staff of the Company.

The three diamond drill holes were completed by January 12, 2012. Assay results have only been received for the first hole, SDD001 (Total Depth=376m), as summarized in Table 1 below.

To view Table 1, click on the following link: http://media3.marketwire.com/docs/c28t2.jpg

The results are grouped using an arbitrary 0.25% copper lower cut-off apart from the interval 182-207m grouped at +2000ppm Cu and 30% Fe lower cut-offs. All widths are given as down the hole intervals not true widths. The orientation of the mineralization has not been accurately determined but the intersection widths given are expected to be significantly wider than the true widths.

The first hole was sited to intersect the interpreted mineralized zone beneath the old Prince Darwin adit at the north end of a magnetic anomaly. This hole had to be drilled obliquely to the anticipated strike because of the difficulty accessing a suitable drill site in the steep terrain.

The first hole intersected generally strongly hydrothermally brecciated felsitic volcanics from within the Central Volcanic Complex in the Mt Read Volcanics. The shallowly weathered volcanics appear somewhat silicified, in part chloritized and sericitized, mostly very fine grained to porphyritic and of likely rhyolitic to dacitic original composition. The breccia matrix, which is pervasive in parts and possibly partly replacive, comprises dominant magnetite with chlorite, pyrite and sporadic associated chalcopyrite. Several late stage carbonate-quartz veins with minor chalcopyrite were also logged in the core.

The NQ drill core in the main mineralized zones was sampled by sawing in half the core over one metre intervals or less at lithological boundaries and analysed at the Adelaide laboratory of Intertek-Genalysis, for gold by 25g fire assay with AAS finish and multi-element analysis by ICP-OES, following 4 acid digest. Routine blanks, standards and duplicates were inserted by the laboratory.

The National Association of Testing Authorities Australia has accredited Genalysis Laboratory Services Pty Ltd, following demonstration of its technical competence, to operate in accordance with ISO/IEC 17025, which includes the management requirements of ISO 9001:2000.

Weakly mineralized zones were fillet sampled by 5m intervals. Gold and silver grades show a direct relationship with copper suggesting that both are likely to be in solid solution or encapsulated in the chalcopyrite as found at the Mt Lyell Copper mine. Iron, which is largely present as magnetite but also as pyrite and chlorite, does not appear to have a direct relationship with copper although the gross copper bearing intervals generally have quite high iron values. Potentially significant cerium and lanthanum values are present in the main copper mineralized zones, although it is not known in what mineral species they occur. Follow-up analysis for total rare earth element content will be conducted on selected intervals.

Hole SDD002 (TD 200m) was collared about 230m south of SDD001 and drilling to grid east at a -45° dip aimed at the interpreted core of the magnetic anomaly. It has encountered similar brecciated felsitic volcanics to SDD001 but with paradoxically lesser order magnetite suggesting that the main body may be plunging beneath. SDD003 (TD 147m) was collared at the same site as SD002 inclined at -70° to grid east. Core from these holes will be assayed.

Allen Maynard, BappSc(Geol), MAIG, MAusIMM, a qualified person as defined in National Instrument 43-101 - Standards of Disclosure for Mineral Projects, has read and approved the contents of this news release.

On behalf of the Board of Directors

Terrence Allen, Chief Executive Officer of Corona

This news release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address exploration drilling, exploitation activities and events or developments that the Company expects, are forward looking statements. Although the Company 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, exploitation and exploration successes, continuity of mineralization, uncertainties related to the ability to obtain necessary permits, licenses and title and delays due to third party opposition, changes in government policies regarding mining and natural resource exploration and exploitation, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, investors should review the Company's continuous disclosure filings that are available 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.

Contact Information