Cypress Development Corp.

Cypress Development Corp.

March 07, 2005 14:28 ET

Cypress Development Corp.: Phase I Results on McKenzie Island Property, Red Lake, Ontario


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: CYPRESS DEVELOPMENT CORP.

TSX VENTURE SYMBOL: CYP

MARCH 7, 2005 - 14:28 ET

Cypress Development Corp.: Phase I Results on McKenzie
Island Property, Red Lake, Ontario

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 7, 2005) - Cypress
Development Corp. (TSX VENTURE:CYP) announces that the phase one drill
results on the St Paul's Bay region of the Cypress (TSX.V: CYP 80%) /
Skyharbour Resources Ltd. (TSX.V: SYH 20%) McKenzie Island property
located in Red Lake, northwest Ontario have been received. Seven
reconnaissance holes (approx. 1700 metres) were drilled to explore a
district-scale WNW trending structure known as the "D2" Structure. All
core samples were shipped to TSL Laboratories in Saskatoon,
Saskatchewan. The Companies are encouraged with the results of the drill
program and a second phase of drilling expected to begin the first week
of April.

Significant zones of gold mineralization have been discovered during the
Phase I drill program. The gold mineralization is hosted within a
strongly quartz-sericite-chlorite-tourmaline altered intrusive rock. The
new zones are located in diamond-drill holes M05-3, M05-4 and M05-7.

MAP: http://www.cypressdevelopmentcorp.com/images/maps/stpauldrilling.jpg

In reconnaissance drill hole M05-7, a 10-metre wide zone of gold
mineralization was intersected from 114.7 to 124.7 metres downhole.
Assays from the centre of the zone returned 2.1 grams over 5.5 metres.
The zone is hosted by quartz-sulfide veining and silica flooding within
a strongly sericite altered felsic intrusive. Discrete quartz veins
occur to 10 cm in width. Metre-scale quartz vein stockwork zones locally
create a dominantly silica rock. Fine grained tourmaline veinlets occur
in portions of the mineralized zone. Sulfides are generally less than 2%
but are locally up to 7% over 10 cm widths. Identified sulfides include
pyrite, sphalerite, chalcopyrite and arsenopyrite.

In reconnaissance drill hole M05-3, visible gold has been identified
within several cm-scale quartz veinlets in the downhole interval from 52
to 70 metres. The veinlets are sheared and discontinuous and are
contained within a pervasively quartz-sericite-chlorite-tourmaline
altered felsic intrusive rock. Visible gold occurs as millimetre to
sub-millimetre grains and grain clusters disseminated within the quartz
veinlets. Veinlet spacing is on the order of several metres. Fine
network quartz and tourmaline veinlets and pervasive silica occur within
the felsic intrusive between the identified gold-bearing veinlets.
Sample results show numerous multi-gram intercepts with a high value of
23.8 grams gold over .2 metres.

In reconnaissance drill hole M05-4, highly anomalous gold values up to
850 ppb have been intercepted over 60 metres in the downhole interval
from 124.7 and 184 metres.

All of the intercepted zones of gold mineralization lie within a large
(+1000 metre by +150 metre) envelope of quartz-sericite-chlorite
alteration, which appears to be controlled by a district-scale, WNW
trending D2 deformation zone. The strike length of the altered system
has not been limited by the Phase I drill program. The Companies expect
an immediate start to the Phase II exploration and drilling program.



------------------------------------------------------------------------
CYPRESS / SKYHARBOUR ANALYTICAL RESULTS for +1000PPB Au Samples
------------------------------------------------------------------------
Hole_No From_m To_m length_m Au_ppb Total_metallic_Assay_gpt
------------------------------------------------------------------------
M05-3 53.1 53.4 0.3 greater than 1000 1.52
------------------------------------------------------------------------
M05-3 54 54.25 0.25 greater than 1000 1.32
------------------------------------------------------------------------
M05-3 54.25 54.7 0.45 greater than 1000 4.04
------------------------------------------------------------------------
M05-3 69.1 69.3 0.2 greater than 1000 23.87
------------------------------------------------------------------------
M05-3 69.8 70.5 0.7 greater than 1000 1.93
------------------------------------------------------------------------
M05-7 117.7 118.8 1.1 greater than 1000 1.04
------------------------------------------------------------
M05-7 118.8 119.5 0.7 greater than 1000 2.06
------------------------------------------------------------
M05-7 119.5 120.3 0.8 greater than 1000 1.06 Avg. 2.1
------------------------------------------------------------ gpt over
M05-7 120.3 121.2 0.9 greater than 1000 2.13 5.5m
------------------------------------------------------------
M05-7 121.2 122.3 1.1 greater than 1000 2.64
------------------------------------------------------------
M05-7 122.3 123.2 0.9 greater than 1000 3.72
------------------------------------------------------------------------


Cypress Development Corp. and Skyharbour Resources Ltd. are very
encouraged by the scale and intensity of the alteration and gold
mineralization encountered to date in the D2 target setting.

David J. Busch B.A. B.Sc. (hons.) P.Eng. is the qualified person, under
the meaning of National Instrument 43-101, and has reviewed the data
acquired on the McKenzie Island Property.

Cypress Development Corp. is a diversified precious and base metal
exploration and development company with a gold property in Red Lake,
Ontario Canada, and 2 gold properties and a zinc property Nevada, U.S.A.
The Company also holds an 11.4% interest in a company called South
Voisey Bay Nickel Co. Ltd.

To find out more about Cypress Development Corp. (TSX.V: CYP), visit our
website at www.cypressdevelopmentcorp.com.

ON BEHALF OF THE BOARD OF DIRECTORS


JAMES G. PETTIT

Director

This news release contains certain "Forward-Looking Statements" within
the meaning of Section 21E of the United States Securities Exchange Act
of 1934, as amended. All statements, other than statements of historical
fact, included herein are forward-looking statements that involve
various risks and uncertainties. There can be no assurance that such
statements will prove to be accurate, and actual results and future
events could differ materially from those anticipated in such
statements. Important factors that could cause actual results to differ
materially from the Company's expectations are disclosed in the
Company's documents filed from time to time with the British Columbia
Securities Commission and the United States Securities & Exchange
Commission.

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Cypress Development Corp.
    James G. Pettit
    Director
    (604) 687-3376 or Toll Free: (800) 567-8181
    (604)687-3119 (FAX)
    Email: info@cypressdevelopment.com
    or
    Cypress Development Corp.
    Don Myers
    Corporate Communications
    (604) 687-3376 or Toll Free: (800) 567-8181
    (604)687-3119 (FAX)
    Email: info@cypressdevelopment.com
    Website: www.cypressdevelopmentcorp.com
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of the content of this news
    release.