Coventry Resources Inc.

Coventry Resources Inc.

June 19, 2015 09:00 ET

Coventry Resources Inc. Announces: Geophysics Crew Mobilising to Caribou Dome Copper Project as Additional Placement Completed

VANCOUVER, BRITISH COLUMBIA--(Marketwired - June 19, 2015) - Coventry Resources Inc. (ASX:CYY) ("Coventry" or the "Company") is pleased to announce that geophysical contractors are currently mobilising their personnel and equipment to the Company's highly prospective high-grade Caribou Dome Copper Project in Alaska, USA (the "Caribou Dome Project" or "the Project").

Geophysical surveying will commence this weekend, in advance of the Company's inaugural drilling program that remains on-schedule to commence in early July.

Mineralisation was first discovered at the Caribou Dome Project in 1963. Between 1964 and 1970 some 95 diamond core holes were drilled, with exceptional results returned including:

  • 18.1m at 9.34% copper
  • 18.4m at 6.25% copper
  • 15.4m at 7.01% copper
  • 13.1m at 7.20% copper
  • 11.0m at 8.20% copper
  • 10.4m at 7.94% copper
  • 12.8m at 5.78% copper

Very limited exploration has been undertaken since 1970, until now.

Immediate Geophysical Work

The mineralisation at the Project comprises semi-massive to massive sulphides and accordingly responds very well to electrical geophysical techniques. Despite this, only limited geophysics has been undertaken to date, with the only notable previous survey being a small induced polarisation ("IP") and mise-a-la-masse survey that was completed in 1999. The known mineralisation responded extremely well to both techniques. Numerous high-priority anomalies were evident in the historic IP data (see ASX Announcement 16 April 2015) yet remain completely untested by drilling.

The current geophysical survey will include electromagnetic ("EM") surveying over all nine known lenses of mineralisation. EM has never been employed at the Project, and is expected to facilitate the accurate definition of drill targets. Additional EM surveying and/or CSAMT and/or IP surveying will be undertaken over other high-priority targets along strike from the known mineralisation. Many of these targets coincide with highly anomalous copper-in-soil geochemistry.

It is expected that the geophysics survey will be completed in approximately two weeks. The new geophysical data will immediately be used to refine the optimal locations for new drill hole collars for the drilling program scheduled to commence in early July, as well as to help begin to gauge the potential strike and depth extent of the known mineralisation.

Previous drilling focused on just 250m of strike. Outcropping copper mineralisation is evident over more than 15,000m of strike within the Project area. The Company's Directors believe there is considerable potential to delineate additional mineralisation.

Placement Completed

Further to the announcement on June 12, 2015, Coventry advises that it has issued 22,194,250 common shares to be held in the form of CHESS Depositary Interests ("Shares") at an issue price of A$0.016 per Share to raise a total of A$355,108 ("the Placement"). The Placement was undertaken pursuant to ASX Listing Rules 7.1 and 7.1A. It complements the A$800,000 capital raising the Company completed in May 2015, with net proceeds to be used to expand the Company's forthcoming drilling program.

Qualified and Competent Person

The information in this announcement that relates to exploration results for the Project has been approved by Mr Ben Vallerine, who is a consultant to the Company and holds an indirect shareholding in the Company. Mr Vallerine has reviewed the exploration results disclosed in this release, but has not verified the information due to the programs having been undertaken by the previous owners of the Project.

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.

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