Honey Badger Exploration Inc.

Honey Badger Exploration Inc.

December 06, 2010 08:00 ET

Honey Badger Exploration and Entree Gold Identify New Copper Zones in Yerington Nevada; Entree Gives Notice of Intent to Earn Additional Interest in Blackjack Property

TORONTO, ONTARIO--(Marketwire - Dec. 6, 2010) - Honey Badger Exploration Inc. (TSX VENTURE:TUF) ("Honey Badger" or the "Company") announces that Entrée Gold (TSX:ETG)(NYSE Amex:EGI)(FRANKFURT:EKA) ("Entrée"), the operator for Honey Badger's Blackjack Property, has given notice of its intention to earn an additional 29% interest in the Blackjack Property in the Yerington district of Nevada shortly after releasing assay results from its recent drilling program. In August 2010, Entrée Gold, satisfied the first option conditions under the Option Agreement dated July 20, 2009 to acquire a 51% interest in the Blackjack Property.

Details of the Option Agreement can be viewed on SEDAR under the Company's profile or in the Company's press release, dated on August 26, 2009.

Drill Results

The drill results, as summarized at the end of this release, confirm the presence of additional areas of copper mineralization on the Blackjack Property and provide strong encouragement for additional exploration.

On Blackjack, several holes in the southeast intersected oxide copper mineralization, which appears to be a continuation of the Blue Hill copper zone being drilled on the adjacent Ann Mason deposit. In the northeast, hole EG-B-10-001 encountered a new zone of copper mineralization at the eastern end of a 5 kilometre-long induced polarization ("IP") anomaly. Updated maps of the area can be viewed on the Honey Badger's website at www.honeybadgerexp.com.

Blackjack Property

The Blackjack Property, which is subject to an option agreement with Entrée Gold Inc., is contiguous with and lies to the north of Entrée's Roulette Property and west of the Ann Mason deposit. Seven diamond drill holes totalling 2,820 metres have been completed and full assays received. These holes tested specific geophysical anomalies, as well as anomalous copper geochemistry interpreted to represent the continuation of the Blue Hill copper zone across the property boundary from Ann Mason.

Five of the holes were sited on the possible westward extension of the Blue Hill zone of mineralization; the upper portions of all five holes are strongly oxidized and iron-rich, with occasional oxide copper minerals noted. The most significant copper occurs as sulphide mineralization in drill hole EG-B-10-004 (see Table 1), which is located more than 900 metres northwest of the oxide and sulphide copper mineralization drilled on the adjacent Ann Mason property.

Narrow intervals of copper mineralization in EG-B-10-001, located at the northeast corner of the Blackjack Property, occur as coarse chalcopyrite in silicified breccias. Hole EG-B-10-001 also confirmed the presence of sulphide (predominately pyrite) mineralization in granodiorite intruded by quartz monzonite porphyry dykes at the eastern limit of a 5 kilometre-long, east-west trending induced polarization ("IP") anomaly. The IP anomaly is interpreted to be separate from the Ann Mason/Blue Hill porphyry mineralization and may represent a westward extension of the MacArthur and Gallagher zones of mineralization currently being explored by Quaterra Resources Inc. The Gallagher area is located immediately east of the property boundary, and Quaterra Resources recently announced the intersection of porphyry-style copper mineralization grading 0.74% Cu over 76 feet (23 metres) in hole QM-46 from this newly-discovered zone.

The Company's consulting geologist, Craig Scherba, P. Geol., commented, "The 2010 drilling program was designed to test for the hypothesized extensions of copper porphyry mineralization from the Blue Hills, MacArthur and Gallagher areas. As 5 of the 7 drill holes intersected significant mineralization, the exploration program should be considered a resounding success."

With the following results, the copper mineralization defined to date confirms the Company's belief that Yerington has the potential for additional undiscovered copper deposits.

Table 1. Significant drill intercepts, Blackjack property, Nevada.

  Drill Hole From (m)   To (m)   Length (m)   Cu (%)  
  EG-B-10-001 444.00   448.00   4.00   0.441  
  EG-B-10-003 218.00   230.00   12.00   0.177  
  EG-B-10-004 136.00   156.00   20.00   0.197  
  including 136.00   150.00   14.00   0.239  
  EG-B-10-006 0.28   4.00   3.72   0.359  
  EG-B-10-007 96.00   106.00   10.00   0.124  

Exploration programs and related budgets for 2011 are currently being reviewed by Entrée and will be announced once approved by their board of directors.

Quality Assurance And Control

Split core samples were prepared and analyzed at ALS Minerals in Reno, Nevada and Vancouver, BC. Prepared standards, blanks and duplicates are inserted at the project site to monitor the quality control of the assay data. Drill intersections described in this news release are based on core lengths and may not reflect the true width of mineralization.

Qualified Person

Robert Cann, P.Geo., Entrée's Vice-President Exploration, a Qualified Person as defined by National Instrument 43-101 ("NI 43-101"), has reviewed the technical information contained in this release.

About Honey Badger Exploration Inc.

Honey Badger Exploration is a gold and base-metals exploration company headquartered in Toronto, Ontario, Canada. The Company's current exploration projects are focused in the mining-friendly State of Nevada. The Yerington Project is a copper porphyry and skarn property near the town of Yerington, and positions the Company for new exploration in prolific copper districts. The Company's common shares trade on the TSX Venture Exchange under the symbol "TUF".

For more information, please visit our website at http://www.honeybadgerexp.com.

This News Release contains forward-looking statements and forward-looking information (together, "forward-looking statements") within the meaning of applicable securities laws and the United States Private Securities Litigation Reform Act of 1995, with respect to its exploration results, the potential for discovery of additional mineralized zones and future exploration programs and budgets. These forward-looking statements are made as of the date of this news release. Users of forward-looking statements are cautioned that actual results may vary from the forward-looking statements contained herein. While the Company has based these forward-looking statements on its expectations about future events as at the date that such statements were prepared, the statements are not a guarantee of the Company's future performance and are subject to risks, uncertainties, assumptions and other factors which could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Such factors and assumptions include, among others, the effects of general economic conditions, the prices of gold and copper, changing foreign exchange rates and actions by government authorities, uncertainties associated with legal proceedings and negotiations and misjudgments in the course of preparing forward-looking statements. In addition, there are known and unknown risk factors which could cause the Company's actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by the forward-looking statements. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company is under no obligation to update or alter any forward-looking statements except as required under applicable securities laws.

Contact Information

  • Honey Badger Exploration Inc.
    Brent Nykoliation
    Vice President of Business Development
    (416) 364-7029
    (416) 364-2753 (FAX)
    Honey Badger Exploration Inc.
    Kirk McKinnon
    President & CEO
    (416) 364-7029