SOURCE: Eagle Plains Resources Ltd.

May 07, 2008 12:05 ET

Eagle Plains Amends Terms of Strategic Alliance

CRANBROOK, BC--(Marketwire - May 7, 2008) - Eagle Plains Resources Ltd. ("Eagle Plains") (TSX-V: EPL) and Teck Cominco Limited ("Teck Cominco") (TSX: TCK.B) have amended the terms of their Strategic Alliance to explore for base-metals (zinc, lead, copper, silver) in the Mackenzie Mountain area of western NWT (see EPL news release June 15th, 2007). Under the revised terms of the Strategic Alliance agreement, Teck Cominco has agreed to fund the 2008 exploration program by completing a private placement financing to purchase $2,000,000 of Eagle Plains Resources common shares at $0.65 per share. In addition, Teck Cominco's property rights within the Area of Mutual Interest ("AMI") have been extended for an additional year until December 31, 2009. Eagle Plains has been active in the region since 2000, and controls permits and claims covering an area of over 7,700 square km, including 20 new prospecting permits issued on February 01, 2008.

2007 fieldwork focused on follow-up of targets generated in 2005-2006 and on grass-roots reconnaissance in new areas within the AMI. An in-house Geographic Information System (GIS) database synthesized from an extensive array of both public and proprietary data and covering an area of some 19,000 square kms within the AMI was used to generate and prioritize targets. The 2007 program successfully identified a number of new mineral occurrences including a specific target area which management believes may represent a sedimentary exhalative (SEDEX) type of system similar to the Howard's Pass and Tom and Jason deposits.

Results from the 2006-2007 reconnaissance programs have identified over 20 geochemically anomalous areas and mineralized zones which will be followed up for their base-metal potential. Total 2007 expenditures in the Area of Mutual Interest were $1,500,000, funded by Teck Cominco under the existing Strategic Alliance agreement.

2008 fieldwork will involve defining targets for 2009 drill testing, following up on areas of interest generated by 2007 fieldwork and continuing the successful grass-roots reconnaissance program. Ground based geophysics will be used to better define mineralization at the AB and KEG projects, and a field-portable XRF device will be used to generate real time geochemical analyses of silt and soil samples.

The Eagle Plains / Teck Cominco Area of Mutual Interest overlie a series of folded and thrusted Proterozoic to Devonian carbonates and shales. These rocks are time-equivalent to giant base-metal deposits in the region such as Howard's Pass, currently controlled by Selwyn Resources Ltd, with an indicated resource of 154.35 million tonnes grading 5.35% zinc and 1.86% lead plus an additional inferred resource in excess of 231.54 million tonnes grading 4.54% zinc and 1.42% lead. Other priority exploration targets include Mississippi Valley Type (MVT) base metal deposits.

During the term of the Strategic Alliance, Teck Cominco will hold a Right of First Offer ("ROFO") on discoveries made by Eagle Plains within the AMI and, on termination of the Strategic Alliance, Teck Cominco may elect to exercise individual options on portions of the AMI which have not been offered to it under the ROFO.

The area which hosts the Bronco occurrence (see EPL news release January 29th, 2007) is excluded from the AMI and remains 100% controlled by Eagle Plains.

Eagle Plains Resources continues to conduct research, acquire and explore metal projects in western Canada. The Company controls over 35 gold, base-metal and uranium projects, many with third parties including Teck Cominco Limited (TSX: TCK.B), Alexco Resource Corp. (TSX-V: AXR), Wellstar Energy Corp. (TSX-V: WST), Sandstorm Resources Ltd., Mountain Capital Inc., Blue Sky Uranium Corp. and XO Gold Resources Ltd. These agreements expose Eagle Plains to over $27.0 million in exploration expenditures over a five-year period. In recent years, Eagle Plains has completed option agreements with Billiton Metals, Rio Algom Exploration, NovaGold Resources, Kennecott Exploration and numerous other junior exploration companies, resulting in over 47,000m (154,200') of drilling and over $21,000,000 in exploration spending on its projects since 1998. Eagle Plains management anticipates approximately $6,000,000 in expenditures on its projects in 2008, funded equally between Eagle Plains and third party partners.

This news release has been reviewed and approved by T.J. Termuende, P.Geo., hereby designated as a "Qualified Person" under National Instrument 43-101.

On behalf of the Board of Directors
Signed

"Tim J. Termuende"
President and CEO

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

Contact Information