Cypress Development Corp.
TSX VENTURE : CYP

Cypress Development Corp.

February 16, 2012 09:01 ET

Cypress Samples 2100 g/t Ag and 3.4 g/t Au and Completes Mag Survey on Twenty-One Silver-Gold Project, Nevada

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 16, 2012) - Cypress Development Corp. (TSX VENTURE:CYP) announces the completion of a surface magnetometer survey and the assay results of surface samples collected on its Twenty-One silver-gold property located in Mineral County, west central Nevada.

Twenty One Silver-Gold project location map: http://www.cypressdevelopmentcorp.com/i/maps/21/Twenty-One-Silver-Gold-Location-Map.jpg

The property is centered on a parallel series of mineralized quartz veins and veinlets which cut a silicified and brecciated cap rock. The assay results show that quartz veins contain very high grade precious metal and base metal mineralization. The veins present one of four distinct precious and base metal target types being investigated at the property.

Highlights:

  • Notable Surface sampling of quartz vein material from historic workings returned silver assay values from 203 to 2100 g/t silver (67.7 oz/t)
  • The high silver values are accompanied by gold values from 0.62 g/t silver to 3.4 g/t gold
  • Base metal values in the vein samples include values +50,000 ppm lead and 1.35% zinc
  • Discovery of a new area of mineralized outcrop has been made; outcropping, iron and manganese oxide stained limestone located over 750 metres NNW of the vein area returned 17 g/t silver along with strong lead, zinc and manganese values
  • 34.5 line kilometres of ground magnetic data was collected and is being processed
  • Drill program to commence in April

Targets identified by the completed surface sampling and outcrop mapping include high grade veins and the potential for carbonate replacement and/or skarn style mineralization in Triassic age limestone units known to occur beneath the breccia cap. A fourth target type at the Twenty-One Project is the potential for intrusive hosted mineralization at depth beneath the veins. Bismuth, copper, molybdenum and tungsten anomalies in the assay results strongly suggest a potentially mineralized intrusion underlies the property.

The property covers the contiguous ENE extension of silver and gold mineralization mined at the Mindora deposit. The Mindora deposit is reported to have over 1 million ounces of silver and gold based on shallow drilling done in the 1980's. The Mindora deposit is based on drilling done in the 1980's no drilling has ever occurred on the Twenty-One property.

Twenty One Silver-Gold Project mine trend map: http://www.cypressdevelopmentcorp.com/i/maps/21/Twenty-One-Silver-Gold-Production-Trend.jpg

Notable gold and silver assay results for the surface samples collected at the Twenty-One property in January are presented below. Very high grade silver assays (up to 2100 g/t Ag), with accompanying gram to multi-gram level gold values (up to 3.4 g/t Au), are from surface samples of exposed quartz veins and from dump material in an area containing a series of historic pits and trenches in the south central portion of the property. All samples were assayed by ALS Chemex in Sparks, Nevada.

Significant Gold and Silver Surface Sample Results from Twenty-One Silver-Gold Project:

SAMPLE ID Au (g/t ) Ag (g/t )
MAGR-17 0.02 17
MAGR-32 1.08 239
MAGR-33 0.62 203
MAGR-34 1.68 515
MAGR-35 1.65 1030
MAGR-37 3.40 2100
MAGR-38 1.60 662

These vein exposures and historic dumps are the location of the highest grade mineralization known at surface on the Twenty-One property. It is important to note however that other outcrop and sub-crop areas of mineralization at surface occur. Sample MAGR-17 was collected from outcropping, iron and manganese oxide stained limestone located over 750 metres NNW of the original vein area. This sample contains 17 g/t silver and has the high lead and zinc signature that occurs in the vein area. In addition the sample contains very high grade manganese which is a well-known surface indicator of underlying carbonate replacement ore system. This represents a new discovery of surface mineralization that is not located along the same structural zones as the veins.

Several metre-scale blocks of mineralized jasperiod previously reported occur in the same area as sample MAGR-17. This evidence of mineralization well away from the initial high grade vein zone discovery is very encouraging and suggests the potential for a larger mineralized system under the thin gravel cover on the property.

The overall geologic setting and known mineralization along this underexplored mineral trend bares close resemblance to the setting of the very productive, Triassic age, intrusive and carbonate hosted ore bodies of the Coeur Rochester-Relief Canyon district located east of Lovelock, Nevada.

The magnetic data collected in January is being processed by a Reno-based geophysicist. The data will be used to identify additional targets, particularly in the pediment-covered northern portion of the property. Initial drilling of the selected targets on the property is planned for April. Permitting has been done but modification of the permit may be necessary to include potential additional targets which could come from examination of the collected magnetic data.

The Twenty-One Silver-Gold Project is located in Mineral County, approximately 100 miles southeast of Carson City, Nevada. The property sits 3 miles south of US Highway 95 and access to the property is by dirt track roads. The Twenty-One Silver-Gold Project consists of two blocks of lode claims centered on an area of outcropping. High voltage power lines run along Highway 95 providing excellent infrastructure to the project area.

Surface Sample Geochemical Results from Twenty-One Silver-Gold Project:

SAMPLE ID Au Ag As Bi Cu Mn Mo Pb Sb Zn
ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm
MAGR-2 0.006 lesser than 1 200 lesser than 10 76 30 14 30 lesser than 10 lesser than 10
MAGR-8 lesser than 0.005 7 1280 lesser than 10 461 1470 lesser than 5 20 120 70
MAGR-9 lesser than 0.005 lesser than 1 3770 lesser than 10 73 280 13 30 10 240
MAGR-10 lesser than 0.005 lesser than 1 4520 lesser than 10 151 520 9 60 lesser than 10 760
MAGR-17 0.021 17 200 lesser than 10 25 10200 lesser than 5 4960 250 2500
MAGR-20 0.019 lesser than 1 40 lesser than 10 55 50 lesser than 5 30 lesser than 10 10
MAGR-21 0.098 lesser than 1 60 lesser than 10 40 100 10 60 lesser than 10 40
MAGR-27 0.015 lesser than 1 160 lesser than 10 193 1050 20 50 10 20
MAGR-29 1.49 673 3670 10 11 80 33 45300 190 1410
MAGR-30 lesser than 0.005 lesser than 1 30 lesser than 10 lesser than 5 270 lesser than 5 70 lesser than 10 30
MAGR-31 lesser than 0.005 lesser than 1 60 lesser than 10 lesser than 5 450 lesser than 5 130 lesser than 10 100
MAGR-32 1.08 239 1180 lesser than 10 36 3410 11 6600 60 1690
MAGR-33 0.623 203 820 lesser than 10 5 1280 35 8990 50 450
MAGR-34 1.68 515 1340 lesser than 10 37 230 47 22000 130 2000
MAGR-35 1.65 1030 2360 20 28 160 42 greater than 50000 340 1820
MAGR-36 lesser than 0.005 2 1830 lesser than 10 6 150 87 560 490 520
MAGR-37 3.40 2100 5890 10 214 490 226 greater than 50000 570 13500
MAGR-38 1.60 662 520 lesser than 10 7 90 lesser than 5 10500 70 890
MAGR-39 0.011 6 20 lesser than 10 158 570 lesser than 5 300 lesser than 10 220

Notes * Gaps in the samples sequence are either from non-anomalous samples or are from samples collected outside the current Cypress land position.

* g/t = grams per metric tonne

About Cypress Development Corp.:

Cypress Development Corp. is a diversified precious and base metals exploration and development company with properties in Red Lake, Ontario, Canada, and in Nevada, U.S.A.

Robert Marvin, P.Geo., CPG, Exploration Manager for Cypress Development Corp. is the Qualified Person as defined by National Instrument 43-101 and is supervising both the project field work and the preparation of the technical information in this release.

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

ON BEHALF OF THE BOARD OF DIRECTORS

DONALD C. HUSTON, President

This news release may contain certain "Forward-Looking Statements" that may involve a number of 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. For a more detailed discussion of such risks and other factors, refer to the Company's filings with Canadian Securities regulators available on www.sedar.com.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.

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