Fjordland Exploration Inc.
TSX VENTURE : FEX

Fjordland Exploration Inc.

May 19, 2011 07:30 ET

Drilling at Woodjam South (Southeast Zone) Yields 349.9 m Grading 0.33% Copper and 0.011% Molybdenum in the First Hole of the Planned 15,000 m Drilling Program

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 19, 2011) - Fjordland Exploration Inc. (TSX VENTURE:FEX) and Cariboo Rose Resources Ltd. (TSX VENTURE:CRB), 60%-40% partners in the Woodjam Joint Venture ("WJV"), report that Gold Fields Limited's (NYSE:GFI) exploration company, Gold Fields Horsefly Exploration Corporation ("Gold Fields"), has forwarded drill results from the initial hole of the 2011 infill and expansion diamond drilling program on the Southeast Zone of the Woodjam South copper-gold- molybdenum property. The property is located 45 km east of Williams Lake in south-central British Columbia.

At Woodjam South, drilling commenced on the Southeast Zone on March 16th, the beginning of a 15,000 metres (m) drilling program (5,000 m infill, 6,000 m expansion drilling, and 4,000 m unallocated) on the main target in the core area measuring 800 m by 630 m to a depth of 400 m. A number of the drill sites are planned to allow calculation of an inferred pit-constrained NI 43-101 compliant resource by the end of 2011. In addition, a program of reverse circulation drilling will test other targets on the southern part of the Woodjam South property. This work program outlined above is part of the $5 million budget announced by Gold Fields for 2011 (see News Release dated March 2, 2011). A drill location map may be viewed at www.fjordlandex.com/news/nr11-08b.pdf.

Southeast Zone Drilling:
Hole IDFrom
(m)
To
(m)
Int.
(m)
Cu
%
Au
g/t
Mo
%
Cu Eq
%
SE11-21157.3507.2*349.90.330.050.0110.42
Intervals are core lengths. Cu Equivalent in % calculated using US$2.50/lb copper, US$950/oz Au and US$15/lb Mo and the formula: ((%Cu x 22 x Price Cu/lb) + (g/t Au x 0.03215 x Price Au/oz) + (%Mo x 22 x Price Mo/lb)) / (Price Cu/lb x 22). * = end of hole. Metallurgical recoveries and net smelter returns are not considered.

Hole SE11-21 was collared between holes SE10-12, WJ08-88 and WJ08-85, along the interpreted southwestern portion of the higher-grade core area, and encountered copper-molybdenum mineralization from the top of the bedrock to the end of the hole at 507.2 m. The 349.9-m interval assayed 0.33% Cu, 0.011% Mo and 0.05g/t Au. Mineralization is hosted by quartz monzonite and occurs primarily in veins and as disseminations. Drilling is ongoing utilizing two machines.

To the end of 2010, a total of 38 diamond drill holes (14,544 m) have been completed on the Southeast Zone. All holes are mineralized from the bedrock interface to the bottoms of the holes, with the exception of one reconnaissance hole (SE10-20), drilled approximately 800 m north of the northern-most mineralized hole (SE10-07) and for two occurrences of host rock displacement by narrow, younger basalt dykes. The current drilling program is targeting mineralization to depths of greater than 450 m; however, the deepest hole to date (WJ08-82) is just over 700 m and ended in mineralization. The best hole drilled to date (WJ08-84) averaged 0.69% Cu, 0.26g/t Au and 0.006% Mo over 359.1 m, including 1.01% Cu, 0.44g/t Au and 0.002% Mo over 200.8 m.

Elsewhere over the 2-km by 1-km induced polarization anomaly on the Southeast Zone, reconnaissance drilling of three holes, SE10-04 (previously reported) and SE10-06 and SE10-11 (not previously reported) to the south of the core area currently being drilled off intersected interesting but low-grade copper and molybdenum mineralization hosted by quartz monzonite. Thus, mineralization has been discovered over a total length of approximately 1,500 m and width of 630 m.

Fjordland President Tom Schroeter says: "The initial assay results from this infill and expansion drilling program are very encouraging and have the potential to expand the mineralized zone already defined in the Southeast Zone. We look forward to continuing positive results from this program, culminating in a 43-101 inferred resource before the end of 2011."

Core samples were analyzed by ALS Laboratory Group, a certified facility in North Vancouver, BC. Tom Schroeter, P.Eng./P.Geo., who is a qualified person within the context of National Instrument 43- 101, has read and takes responsibility for this news release.

About Fjordland Exploration Inc.

Fjordland Exploration is a mineral exploration company focused on the discovery of gold, copper and molybdenum deposits in British Columbia. Of the 28 properties Fjordland owns, the Woodjam North and Woodjam South properties (totaling 56,150 ha) are part of the Woodjam Joint Venture between Fjordland (60%) and Cariboo Rose Resources Ltd (40%); both properties are under separate option agreements to Gold Fields Horsefly Exploration Corporation. Fjordland also has a 100% interest in 7 properties known as "Tak" totaling 52,342 ha in the Woodjam area. Fjordland has a 100% interest in the 2,192 ha "Milligan" project, adjoining Thompson Creek Metals Company Inc.'s Mt. Milligan copper-gold deposits on the west. The Tak-Milligan properties have been optioned to Capstone Mining Corp. Fjordland and Serengeti Resources Inc. are 41%/59% partners exploring 12 properties (QUEST Project) totaling 56,670 ha in the Quesnel terrane north of Woodjam for precious and base metals. Fjordland has a 100% interest in 8 properties totaling 60,047 ha in the Iron Range area and has an option agreement on 7 properties totaling 21,222 ha with Kootenay Gold Inc. in southeastern BC. Fjordland's shares trade on the TSX Venture Exchange under the symbol "FEX". For more information visit Fjordland's website at www.fjordlandex.com.

About Gold Fields Limited

Gold Fields is one of the world's largest unhedged producers of gold with attributable, annualized production of 3.6 million ounces per annum from eight operating mines in South Africa, Ghana, Australia and Peru. Gold Fields also has an extensive growth pipeline with both greenfield and near mine exploration projects at various stages of development. Gold Fields has total attributable Mineral Reserves of 77 million ounces and Mineral Resources of 225 million ounces. For more information visit the company's website at www.goldfields.co.za.

Tom Schroeter, President & CEO

Contact Information

  • Fjordland Exploration Inc.
    John Gomez
    Investor Relations
    604-893-8365
    604-669-8336 (FAX)
    www.fjordlandex.com