Crazy Horse Resources Inc.
TSX VENTURE : CZH

Crazy Horse Resources Inc.

December 14, 2010 09:30 ET

Crazy Horse Drills 487.3 Meters of 0.40% Copper, 0.15gpt Gold and 1.45gpt Silver

MANILA, PHILIPPINES--(Marketwire - Dec. 14, 2010) - Crazy Horse Resources Inc. (TSX VENTURE:CZH) -

HIGHLIGHTS:

  • Second drill hole confirms the presence of a significant near surface Copper-Gold-Silver ore body (from 2.7m to 490m depth)
  • Improved drilling and assaying techniques demonstrate that grades are higher than previously reported, silver assays were never reported
  • Taysan project is 20km's on paved road to commercial deep sea water port
  • Assays on additional holes expected shortly

Crazy Horse Resources Inc.  (the "Company") a Philippines based mineral exploration company, announces assays from the second of a twelve hole confirmatory drilling program on its Taysan copper-gold porphyry project. 

Hole CZT002 which drilled 487.3 meters of 0.40% Cu, 0.15gpt Au and 1.45gpt Silver includes a high grade zone near surface (12m of 1.16% Cu, 0.27gpt Au and 3.65gpt Ag from 40m - 52m down hole). Silver was not assayed in historical drilling yet has been present in the first two holes reported and may potentially improve the economics of the project as a by-product metal.

Results from the first two holes (CZT001 drilled 214m of 0.38% Cu, 0.12 g/t Au and 1.4 g/t Ag from 62-276m) confirm the Company's belief that a significant Copper-Gold-Silver deposit is present. Assays from holes three and four are expected shortly as part of the 6,670m planned phase one drill program.

Results of two twinned holes indicate that the historic data may be under-reporting the lower grade copper (0.1-0.2%) by about 0.1% Cu (50-100%) but that copper mineralisation in the range of 0.4 -0.6% is consistent. High-grade copper and gold (up to >1.5% Cu and >3g/t Au) is present on the footwall of the main copper mineralisation, possibly within a controlling structure. Copper and gold appear to track at a ratio of about 3:1 (Au g/t: Cu%), particularly in moderate copper grade mineralisation.

A total of 4,796.70 meters of the confirmatory drilling program has been completed, with logging, cutting and sample shipments closely following. Assays are expected shortly on holes CZT003 and CZT004 which both encountered mineralisation.

From   To   Interval   Cutoff
(% Cu)
  Cu
(%)
  Au
(ppm)
  Ag
(ppm)
2.7   490   487.3   0.1   0.40   0.15   1.45
Including                        
6   260   254   0.3   0.58   0.22   2.38
204   224   20   0.3(Au)   0.51   0.50   2.44
278   302   24   0.3   0.34   0.18   0.95
312   316   4   0.3   0.43   0.17   0.41
406   420   14   0.3   0.36   0.11   0.82
And Including                        
24   26   2   0.7   1.17   0.21   2.40
40   52   12   0.7   1.16   0.27   3.65
132   138   6   0.7   1.01   0.33   3.57
178   200   22   0.7   0.75   0.18   3.90
300   302   2   0.7   0.98   0.68   2.50
528   534   6   0.1   0.11   0.02   0.87

Johan Raadsma, President of Crazy Horse states, "We are extremely excited about this very large interval of mineralisation, it confirms our belief that a very robust, near surface ore body is present near the infrastructure required to develop an economical project. We have access to water, electricity, roads, manpower and are only 20 Km's from a commercial port. We intend to develop this project rapidly."

QA / QC

Drilling is carried out by Quest Exploration Drilling (Philippines) Inc. using Edson 3000 and LF70 drill rigs and a triple tube diamond core drilling system. All holes are started in PQ (150-200m) then continued in HQ. All core is split using a diamond-bladed drill-core saw and always sampled from the (true) left side of the core. The remaining half of the core is sealed in plastic bags in a nitrogen atmosphere and stored in a covered, guarded core shed. Core samples are bagged in new polyethylene, UV stable plastic bags, sealed with a plastic tie, numbered outside and have a tag placed inside the bag. All samples are accompanied by Asian Arc personnel from site to the McPhar Laboratory under secure "Chain of Custody" procedures. Samples are crushed to 85% <2mm then 1kg is split out and pulverised in an LM2 Puck and Bowl Pulveriser to 90% <75um. Gold is assayed by Fire Assay (50g charge) with AAS finish (PM6). Cu, Ag, As, Pb, Zn, Mo, Al, Ca, Fe, K and S are assayed by 4 Acid Digest (HCl / HNO3 / HClO4 / HF) Ore grade analysis with ICP-AES finish (ICP-3). Sample rejects are returned from the McPhar Laboratory under secure "Chain of Custody" procedures by Asian Arc staff and also stored in the core shed in heat sealed plastic bags in a nitrogen atmosphere. McPhar Geoservices (Phil), Inc. is ISO 17025:2005 accredited and is a member of the International Intertek Laboratory Group.

Taysan Project

A copy of the National Instrument 43-101 ("NI 43-101") report by R.Sowerby, of Geosynthesis Pty Ltd. entitled "A Technical Review of Exploration and Resource Estimates of the Taysan Project, Batangas Province, Philippines", in collaboration with Mining Associates Inc. of Australia can viewed under the Company's profile on SEDAR (www.sedar.com).

The Project contains a drill defined copper-gold porphyry deposit, and is comprised of two mining exploration permits and three mining exploration permit applications (permits: EP-IVA-005 and EP-IVA-016, and permit applications: EPA-IVI-108, EPA-IVI-111 and EPA-IVA-081) over five contiguous claim blocks covering a combined total area of 11,254 hectares. The Project hosts a large and only partly explored copper-gold porphyry deposit similar to other copper-gold porphyry deposits previously mined in the Philippines. The Project is located in southern Luzon, Philippines in a well developed mining province and readily accessible by road located 20km east of the provincial capital and deep water commercial port of Batangas City. The company is currently conducting a confirmatory scoping study under the management of AMECMinproc Limited, which remains on track and on schedule.

Brian Lueck, Chairman of the Company, is the qualified person who has reviewed the geological data summarized in this news release on behalf of the Company. 

ON BEHALF OF THE BOARD

Johan Raadsma, President, CEO and Secretary

This press release includes "forward-looking statements" including forecasts, estimates, expectations and objectives for future operations that are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of Crazy Horse Resources Inc. Statements regarding mineral exploration operations and objectives are subject to risk, including, but are not limited to, exploration and geologic risk, inflation and costs of goods and services, property title issues and regulatory approvals. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. Such forward-looking information represents management's best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Crazy Horse Resources Inc. does not assume the obligation to update any forward-looking statement, except as required by applicable law.

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.

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