Coventry Resources Inc.
ASX : CYY

Coventry Resources Inc.

July 29, 2015 08:00 ET

Coventry Resources Inc.: 10.1 Metres @ 7.1% Copper in the First New Holes Drilled at the Caribou Dome Copper Project

VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 29, 2015) -

HIGHLIGHTS

  • Assay results received for the first two holes Coventry has drilled at the Caribou Dome Copper Project
  • Thick, shallow high-grade copper mineralisation was intersected in both drill holes, including:
    • 10.1 metres at 7.1% copper from 39.0 metres, and
    • 12.2 metres at 3.2% copper from 39.8 metres, including
      5.7 metres at 5.1% copper from 39.8 metres
  • Assay results are comparable with historic results, providing further confidence in the reliability of historic Project data
  • Ongoing exploration and confirmation drilling continues as planned, with ten holes completed to date
  • Assay results for the Company's first holes drilled to test Lense 2 are expected next week

Coventry Resources Inc. (ASX:CYY) ("Coventry" or "the Company") is pleased to announce that assay results have been received for the first two drill holes the Company has completed at the highly prospective high-grade Caribou Dome Copper Project in Alaska, USA (the "Caribou Dome Project" or "the Project").

Holes CD15-01 and CD15-02 were drilled to evaluate the shallow portion of the eastern end of Lense 6. There is approximately 30 metres of along-strike separation between the two holes, as illustrated in Figure 1.

Thick, high-grade mineralisation was intersected in both drill holes, with results including:

  • 10.1 metres at 7.1% copper from 39.0 metres in CD15-02, and
  • 12.2 metres at 3.2% copper from 39.8 metres in CD15-01, including:
    5.7 metres at 5.1% copper from 39.8 metres

These results confirm that substantial thicknesses of shallow, high-grade copper mineralisation are present at the Caribou Dome Project. The results are comparable with previous adjacent drilling results, thereby providing further confidence in the reliability of the historic Project data.

Importantly, the Company has now also drilled holes that confirm there is considerable potential to discover additional mineralisation at the Project, where virtually no exploration has been undertaken since 1970.

DRILL HOLES CD15-01 AND CD15-02

Diamond core holes CD15-01 and CD15-02 were drilled to evaluate the shallow eastern portion of Lense 6, primarily to verify the reliability of historic drilling data.

CD15-01

CD15-01 was drilled to evaluate the mineralisation between DH32 (drilled in 1966), which intersected 12.2 metres at 5.0% copper, and DH45 (drilled in 1969), which intersected 15.2 metres at 3.2% copper (see Figure 2).

Assay results show CD15-01 intersected:

  • 12.2 metres at 3.2% copper from 39.8 metres, including:
    5.7 metres at 5.1% copper from 39.8 metres

The results from CD15-01 are very much in line with expectations and accord with previous results.

CD15-02

CD15-02 was drilled approximately 30 metres along strike from CD15-01. It was drilled to evaluate the mineralisation between DH41 (drilled 1967), which intersected 11.0 metres at 8.2% copper, and DH44 (drilled in 1967), which intersected 8.3 metres at 6.1% copper and a further 3.6 metres at 4.7% copper (see Figure 3).

Assay results show CD15-02 intersected:

  • 10.1 metres at 7.1% copper from 39.0 metres

It is noted that immediately following the intersection of this mineralisation (i.e. at 49.1 metres), CD15-02, somewhat unexpectedly, entered the existing exploration adit (a void). The adit was installed until 1968 - the year after holes DH41 and DH44 were completed. Accordingly the mineralised interval tested by CD15-02 may be greater in thickness than the 10.1 metres indicated in the assay data.

Notwithstanding this, the results from CD15-02 are again very much in line with expectations and accord with previous results.

ONGOING DRILLING PROGRAM

In early July 2015, Coventry commenced its inaugural drilling program at the Caribou Dome Project to:

  1. verify the results of previous drilling so that, in due course, historic drilling data, (most of which was acquired between 1964 and 1970), can be incorporated into an overall Project mineral resource estimate in accordance with the JORC Code and Canadian National Instrument 43-101; and
  2. commence initial exploration with a view to beginning to evaluate some of the numerous under-explored targets that provide considerable exploration upside.

Drilling has progressed well, with a total of ten holes completed to date, and an eleventh hole currently in progress.

Next Assay Results

Assay results are expected for a further three holes in the next 7-10 days, namely:

CD15-03: that intersected multiple horizons of semi-massive to massive sulphide mineralisation over a total of >20 metres at Lense 4;
CD15-04: that intersected ~9 metres of semi-massive to massive sulphide mineralization in the Company's first truly exploratory drill hole, drilled to test for primary mineralisation beneath 200 metres of outcropping mineralisation at Lense 2; and
CD15-05: that intersected ~12 metres of predominantly massive sulphide mineralization in the Company's second hole drilled directly beneath CD15-04 to test for primary mineralisation at Lense 2.

Drilling Completed Since Last Operations Update

Subsequent holes (CD15-06 to CD15-11) have been exploration holes drilled to test for extensions of Lenses 2, 5 and 6 (see Figure 1).

Notable visual results from these holes include:

CD15-06: intersected approximately 4 metres of semi-massive and massive sulphides (pyrite and chalcopyrite), in the upper portions of Lense 5;
CD15-09: intersected approximately 4 metres of semi-massive and massive sulphides (pyrite and chalcopyrite) in Lense 2, approximately 30 metres along strike from CD15-04 and CD15-05. These massive sulphides are directly underlain by a strong 3DIP anomaly. It is anticipated that this will be tested with further drilling in the near-term.
CD15-10: intersected several metres of semi-massive and massive sulphides (pyrite and chalcopyrite) approximately 50 metres along strike from CD15-04 and CD15-05 while testing for extensions of primary mineralisation at Lense 2. A strong 3DIP anomaly is evident beneath the area targeted by this hole, and accordingly a deeper hole, CD15-11, is currently being drilled from the same drill pad as CD15-10 to begin assessing the deeper potential in this area.

Diamond drill core from these holes is being systematically logged and sampled. Samples are then regularly submitted to a laboratory for analysis. Assay results are expected 2-3 weeks after sample submittal.

Initial drilling at the Caribou Dome Copper Project has assisted in verifying previous work and has already confirmed the exceptional exploration potential of the Project. Accordingly, both confirmation and exploration drilling continues.

Table 1. Collar details for the drill holes completed to date during the Company's 2015 drilling program.
Name UTM
Easting
UTM
Northing
Elevation
(m)
Azimuth Inclination Total
Depth
(m)
Significant
Intercepts
CD15-01 492800 7001137 1401 302 -55 89.9 39.8 52.0 12.2 3.23
Incl. 39.8 45.5 5.7 5.15
CD15-02 492758 7001153 1418 130 -75 53.4 39.0 49.1 10.1 7.09
CD15-03 492750 7001195 1437 328 -55 59.4 Assay results pending
CD15-04 492559 7001035 1433 130 -55 74.7 Assay results pending
CD15-05 492559 7001035 1433 130 -75 102.1 Assay results pending
CD15-06 492688 7001121 1444 327 -45 45.7 Assay results pending
CD15-07 492691 7001119 1444 140 -55 89.9 Assay results pending
CD15-08 492658 7001080 1426 140 -45 118.8 Assay results pending
CD15-09 492557 7001032 1433 200 -75 77.7 Assay results pending
CD15-10 492584 7001073 1409 150 -55 97.5 Assay results pending
CD15-11 492584 7001073 1409 150 -75 In progress

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 associated with this press release, please visit the following link: http://media3.marketwire.com/docs/1019198-APPENDIX.pdf

To view Figures 1-3, please visit the following link: http://media3.marketwire.com/docs/1019198_F1-3.pdf

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