Coventry Resources Inc.
ASX : CYY

Coventry Resources Inc.

September 23, 2015 09:01 ET

Coventry Resources: Drilling Update-Caribou Dome Copper Project

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Sept. 23, 2015) -

1. HIGHLIGHTS

  • Ongoing exploration drilling program at the Caribou Dome Copper Project in Alaska is progressing well, with 2 rigs continuing to drill
  • Significant mineralisation has been intersected in 10 of 11 recently completed holes, over >700m of strike
  • Massive copper-sulphide mineralisation was intersected in all 6 holes drilled to test for extensions of the mineralisation discovered recently at the Lense 7/8 Target, where CD15-14 intersected:
    • 14.1m @ 9.9% Cu from 134.6m
  • There is potential to discover further extensions of the mineralisation at the Lense 7/8 Target both along strike and at depth
  • In light of the results from drilling at the Lense 7/8 Target, the undrilled Menel Target has been upgraded to a very high-priority target:
    • a very strong, 125m long IP anomaly
    • located 250m directly along strike from the Lense 7/8 Target
    • assays up to 9.1% Cu returned in recent surface sampling
  • Semi-massive to massive sulphide mineralisation intersected in all 3 additional holes drilled at Lense 2
  • Assay results pending for 10 completed drill holes; with the next batch of results expected in the next week

2. RECENT PROGRESS WITH DRILLING AT CARIBOU DOME

Coventry Resources Inc. (ASX:CYY) ("Coventry" or "the Company") is pleased to announce that drilling continues to progress well at the Caribou Dome Copper Project in Alaska, USA (the "Caribou Dome Project" or "the Project").

Following completion of an initial 1,000m drilling program in July 2015, the Company mobilised a second rig to the Project in August 2015 to accelerate a 4,000m exploration drilling program. 11 additional diamond core holes have been completed to date over more than 700 metres of strike, for a total of 2,322 metres. Recent drilling has focused primarily on testing for strike extensions of mineralisation at the Lense 7/8 Target and depth extensions of mineralisation at Lense 2 (see Figure 1).

To view Figure 1, please visit: http://media3.marketwire.com/docs/1026132figure1.pdf.

2.1 Drilling at the Lense 7/8 Target

The Lense 7/8 Target comprises a previously undrilled, strong, 175m long induced polarisation ("IP") anomaly located adjacent to outcropping mineralisation at Lenses 7 and 8 (see Figure 2). On 10 September 2015 Coventry announced it had intersected substantial thicknesses of very high grade copper mineralisation in CD15-14, the first hole drilled to evaluate the Lense 7/8 Target. Assay results included:

  • 0.8m @ 12.4% Cu from 128.7m
  • 14.1m @ 9.9% Cu from 134.6m
  • 2.4m @ 3.7% Cu from 159.8m, and
  • 0.4m @ 13.6% Cu from 167.4m

A further 6 holes have now been drilled at the Lense 7/8 Target to test for extensions of this mineralisation (CD15-15, 19, 21, 23, 25 and 27, which is in progress). These holes have been drilled on 4 separate drill fences that are nominally spaced 40 metres apart, covering 120 metres of strike (see Figures 1 and 2).

In each of these 6 holes multiple intervals of semi-massive to massive copper-sulphide mineralisation have been intersected, particularly when holes have been drilled through Lenses 3, 7, 8 and/or 9 at shallow depths, prior to progressing deeper to test the strike extensions of the mineralisation intersected in CD15-14 (see Figure 2). At least one individual mineralised interval is greater than 10 metres thick.

To view Figure 2, please visit: http://media3.marketwire.com/docs/1026132figure2.pdf.

This drilling has demonstrated that high-grade mineralisation is present over at least 120 metres of strike at the Lense 7/8 Target. Furthermore, visual results indicate there may be areas where the mineralisation in Lenses 3, 7, 8 and/or 9 may be thicker than that intersected in drilling by previous explorers.

Assay results for all 6 of these holes are pending. Results from CD15-15 are expected in the next week. Results for the other holes are expected to progressively follow in early October.

There is potential to discover extensions of the mineralisation at the Lense 7/8 Target both along strike and at depth. Further drilling will be undertaken in the next drilling program, following receipt and interpretation of assay results and installation of additional access tracks.

2.2 Drilling at Lense 2

Three holes (CD15-18, 20 and 22) have been completed recently to test for depth extensions of mineralisation intersected in shallow drilling at Lense 2 during the Company's initial 1,000m drilling program in July and August.

Semi-massive to massive sulphide mineralisation has been intersected in all 3 of these additional holes. One of these intervals is up to 4 metres thick. A fourth hole (CD15-24) is currently being drilled to further evaluate this corridor.

Assay results from these holes are expected to progressively arrive during October. Plans for further follow-up will be made thereafter.

3. FORWARD PLANS

The two drilling rigs are currently operating:

  1. in the region between Lense 5 and Lense 2 (CD15-24), and
  1. at the Lense 7/8 Target (CD15-27; see Figure 1).

Immediately following completion of these holes it is planned to drill holes to continue to evaluate the Lense 6 East Target and the Caribou South Target.

Analytical data are yet to be received for 10 completed drill holes (CD15-15 to CD15-23, and CD15-25). The next batch of assay results for holes CD15-15 to CD15-17 is expected in the next week. Additional results are expected regularly thereafter.

4. UPGRADING THE MENEL EXPLORATION TARGET

The previously identified Menel Target comprises:

  • a >1,000m long coherent soil anomaly (up to 370 ppm copper)
  • which is located directly along strike from the Lense 7/8 Target
  • where assays up to 9.1% copper have been returned from rock samples, and
  • outcropping gossans have been mapped

It is believed the eastern extensions of the mineralisation in Lenses 7 and 9 may lie within this undrilled corridor (see Figures 2 and 3, and Coventry's ASX Announcement on April 16, 2015).

To view Figure 3, please visit: http://media3.marketwire.com/docs/1026132figure3.pdf.

In light of recent drilling results at the Lense 7/8 Target, the Company has re-assessed the technical data available around the Menel Target.

A very strong, 125m long anomaly, located approximately 250 metres directly along strike from the Lense 7/8 Target, is evident in new IP data (acquired in July 2015; see Figure 2). Many similar strong IP anomalies at the Project, including the one at the Lense 7/8 Target itself, arise from thick, high-grade copper mineralisation. Accordingly, the Menel IP anomaly, within the greater Menel Target area, is now regarded as one of the Company's highest priority undrilled exploration targets.

The existing network of tracks at the Project doesn't currently provide sufficient access to enable immediate drill-testing of this target. With the current drilling program nearing completion, drilling at this target may need to be deferred until the next program. Further follow-up work and sampling will however be undertaken during the current field season.

To view Table 1, please visit: http://media3.marketwire.com/docs/1026132table.pdf.

Qualified and Competent Person

The information in this announcement that relates to exploration results for the Project is based on information compiled by Mr Ben Vallerine, who is a consultant to the Company and holds an indirect shareholding in the Company. Mr Vallerine is a Member of the Australian Institute of Geoscientists. Mr Vallerine has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and the activity he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results (JORC Code). Mr Vallerine is also a Qualified Person as defined by Canadian National Instrument 43-101 Standards of Disclosure for Mineral Projects. Mr Vallerine consents to the inclusion in the report of the matters based on the information in the form and context in which it appears.

Forward Looking Statements

This news release may contain "forward-looking statements" and/or "forward-looking information" within the meaning of applicable securities regulations in Canada and the United States (collectively, forward-looking information"). Any forward-looking information contained in this news release is made as of the date of this news release. Except as required under applicable securities legislation, Coventry Resources Inc. ("Coventry") does not intend, and does not assume any obligation, to update this forward-looking information. Forward-looking information includes, but is not limited to, statements with respect to resource project identification and evaluation and expected outcomes. Often, but not always, forward-looking information can be identified by the use of words such as "plans", "expects, "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes", or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", or "will" be taken, occur or be achieved.

Any forward-looking information contained in this news release is based on certain assumptions that Coventry believes are reasonable, including, that the current price of and demand for mineral commodities will be sustained or will improve, that general business and economic conditions will not change in a material adverse manner, that financing will be available if and when needed on reasonable terms, that supplies, equipment, personnel, permits and local community approval required to conduct Coventry's planned exploration and development activities will be available on reasonable terms and that Coventry will not experience any material accident, labour dispute, or failure of equipment.

However, forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Coventry to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include, among others, risks and uncertainties relating to the actual results of exploration activities being different than anticipated, cost of labour increasing more than expected, cost of equipment or materials increasing more than expected, fluctuations in the commodity prices, currency fluctuations, risk of accidents, labour disputes and other risks generally associated with mineral exploration and unanticipated delays in obtaining or failing to obtain governmental or community approvals or financing. Although Coventry has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results to not be as anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking information due to the inherent uncertainty thereof.

To view the Appendix for this release, please visit: http://media3.marketwire.com/docs/1026132app.pdf.

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