IGC Resources Inc.

IGC Resources Inc.

March 17, 2005 09:30 ET

IGC Resources Inc.: Latest Drilling at Jinka's Hill Deposit Intercepts High-Grade Mineralisation Including 8 Metres at 14.5gpt '0.47opt' with 1 Metre of 41.6gpt '1.34opt'


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: IGC RESOURCES INC.

TSX VENTURE SYMBOL: IGC

MARCH 17, 2005 - 09:30 ET

IGC Resources Inc.: Latest Drilling at Jinka's Hill
Deposit Intercepts High-Grade Mineralisation Including
8 Metres at 14.5gpt '0.47opt' with 1 Metre of 41.6gpt
'1.34opt'

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 17, 2005) - IGC
Resources Inc. (TSX VENTURE:IGC) ("IGC"), www.igcresources.com, is
pleased to announce the results received to date from the first phase
exploration drilling program being carried out at IGC's Blackburn Gold
Project, Western Australia, targeting the northern shoot of the Jinka's
Hill deposit. Mineralisation at Jinka's Hill is considered to be part of
a series of high-grade northeast trending shoots within a greater than
20 kilometre northwest trending mineralised corridor.

Newmont's Boddington gold-copper mine is to the northwest (120 km south
of Perth) of the Blackburn Gold Project and the gold mines of the
prolific Southern Cross/Kalgoorlie Belt are to the east. Similarities in
the geological setting and the presence of a quartz monzonite intrusive
similar to the Boddington Mine provide the possibility for the discovery
of another gold-copper porphyry ore body at the Blackburn Gold Project.

The drilling program consisted of 1200 metres of reverse circulation
("RC") drilling which focused on extensions to the northern shoot, both
along strike and down dip, with the intention of defining the nature and
extent of the known high-grade gold. The shoot is currently considered
as a potential underground mine proposition. This drilling is part of an
initial 5,000 metre RC program designed to test the extent of three
shoots proposed to exist at Jinka's Hill itself.

The following table summarises the RC drill results. While all 12 holes
intercepted the mineralised plane, more than half of the holes had
intercepts greater than 5 grams over 2 metre widths. (See Location Map
on our website or www.sedar.com, the Location Map is also available at
the following link
http://www2.ccnmatthews.com/database/fax/2000/IGC0317.jpg)



---------------------------------------------------------------------
Intercept
width Grade
Hole No. (Metres) (Grams/Tonne) Interval
---------------------------------------------------------------------
JRC50 2 8.7 from 60 metres including
1 metre @ 12.7 g/t
---------------------------------------------------------------------
JRC52 3 7.5 from 87 metres
---------------------------------------------------------------------
JRC54 1 8.4 from 99 metres
---------------------------------------------------------------------
JRC56 4 5.8 from 90 metres and 1 metre @
6.14 g/t from 100 metres
---------------------------------------------------------------------
JRC57 8 14.5 from 98 metres including 1 metre @
41.6 g/t and 1 metre @ 27.6 g/t
---------------------------------------------------------------------
JRC59 4 8.8 from 98 metres including
1 metre @ 16.9 g/t
---------------------------------------------------------------------


Holes JRC57, JRC59 and JRC60 in particular demonstrate that the shoot
continues to be well developed and is open both along strike and down
dip. The intersection of high-grade mineralisation within the drilling
supports IGC's previous exploration model and demonstrates to us that
the orientation of the shoot is both well understood and geologically
predictable. To date, over 200 metres of continuous high-grade shoot
have been identified trending away from the northern end of the
historical open pit and referred to as the northern shoot.

The Jinka's Hill shoots are three of many postulated shoots considered
to have developed along the Badgebup mineralised trend. This trend
extends for over 20 kilometres centered on the Jinka's Hill deposit. IGC
believes that the latest drill results not only demonstrate the
potential for substantial mineralisation within the Jinka's Hill area
itself, but also suggests the 20 kilometres of mineralised corridor has
the potential to host additional significant high-grade mineralisation.

Further RC drilling is scheduled to test the other shoots in close
proximity to the Jinka's Hill project area and a diamond drilling
program for metallurgical testwork is proposed at the Jinka's Hill
northern shoot. We will also be performing regional exploration to
determine and evaluate further targets along the mineralised corridor;
prepare metallurgical test work as a precursor to mining; and undertake
a scoping study aimed at beginning production from currently known
high-grade underground deposits within two years from acquisition.



RESULTS:

Mineralised intercepts greater than 1g/t gold:

-------------------------------------------------------------------
Hole From To Au
JRC# (metres) (metres) (avg) Au1 Au2 Au3
-------------------------------------------------------------------
-------------------------------------------------------------------
51 37 38 3.84 3.12 4.58 3.83
-------------------------------------------------------------------
64 65 2.15 2.11 2.19
-------------------------------------------------------------------
69 70 2.28 2.37 2.18
-------------------------------------------------------------------
-------------------------------------------------------------------
52 86 87 1.72 1.74 1.69
-------------------------------------------------------------------
87 88 9.70 7.51 14.54 7.04
-------------------------------------------------------------------
88 89 6.31 4.2 7.8 6.94
-------------------------------------------------------------------
89 90 6.52 5.57 6.94 7.06
-------------------------------------------------------------------
90 91 2.13 2.15 2.1
-------------------------------------------------------------------
-------------------------------------------------------------------
53 58 59 3.71 3.99 3.43
-------------------------------------------------------------------
61 62 1.52 1.52
-------------------------------------------------------------------
66 67 1.44 1.44
-------------------------------------------------------------------
70 71 1.08 1.08
-------------------------------------------------------------------
71 72 4.42 4.73 4.11
-------------------------------------------------------------------
72 73 4.74 5.42 4.11 4.68
-------------------------------------------------------------------
89 90 2.18 2.1 2.67 1.76
-------------------------------------------------------------------
92 93 3.58 3.28 3.87
-------------------------------------------------------------------
110 111 1.24 1.24
-------------------------------------------------------------------
-------------------------------------------------------------------
54 62 63 1.07 1.06 1.07
-------------------------------------------------------------------
99 100 8.37 8.15 9.69 7.26
-------------------------------------------------------------------
122 123 1.09 1.02 1.15
-------------------------------------------------------------------
-------------------------------------------------------------------
55 54 55 2.43 2.38 2.47
-------------------------------------------------------------------
100 101 2.46 2.29 3.03 2.05
-------------------------------------------------------------------
-------------------------------------------------------------------
56 50 51 1.58 1.58
-------------------------------------------------------------------
57 58 1.52 1.52
-------------------------------------------------------------------
58 59 3.44 1.91 6.4 2.01
-------------------------------------------------------------------
82 83 1.41 2.47 0.69 1.06
-------------------------------------------------------------------
87 88 1.02 1.02
-------------------------------------------------------------------
90 91 3.72 3.68 3.76
-------------------------------------------------------------------
91 92 9.34 5.69 8.17 14.17
-------------------------------------------------------------------
93 94 7.11 9.07 6.47 5.78
-------------------------------------------------------------------
94 95 3.40 3.13 3.66
-------------------------------------------------------------------
95 96 3.99 5.53 2.83 3.60
-------------------------------------------------------------------
99 100 1.05 1.05
-------------------------------------------------------------------
100 101 6.14 3.61 10.74 4.07
-------------------------------------------------------------------
101 102 1.70 1.7
-------------------------------------------------------------------
106 107 1.03 1.03
-------------------------------------------------------------------
-------------------------------------------------------------------
57 51 52 1.48 1.48
-------------------------------------------------------------------
53 54 1.22 1.22
-------------------------------------------------------------------
88 89 1.05 1.05
-------------------------------------------------------------------
89 90 1.98 1.98
-------------------------------------------------------------------
92 93 4.00 4.0
-------------------------------------------------------------------
96 97 1.51 1.51
-------------------------------------------------------------------
97 98 1.16 1.16
-------------------------------------------------------------------
98 99 27.56 26.94 28.17
-------------------------------------------------------------------
99 100 3.24 3.63 2.79 3.41
-------------------------------------------------------------------
100 101 14.15 14.48 13.32 14.65
-------------------------------------------------------------------
101 102 7.38 7.18 7.57
-------------------------------------------------------------------
102 103 6.29 6.94 5.86 6.07
-------------------------------------------------------------------
103 104 41.57 48.63 33.46 42.61
-------------------------------------------------------------------
104 105 8.60 7.90 6.90 10.99
-------------------------------------------------------------------
105 106 6.84 6.83 6.85
-------------------------------------------------------------------
-------------------------------------------------------------------
58 49 50 2.54 2.10 2.97
-------------------------------------------------------------------
50 51 1.51 1.51
-------------------------------------------------------------------
80 81 2.53 2.53
-------------------------------------------------------------------
82 83 1.42 1.42
-------------------------------------------------------------------
85 86 1.45 1.45
-------------------------------------------------------------------
86 87 5.54 5.47 5.60
-------------------------------------------------------------------
-------------------------------------------------------------------
59 32 36 1.07 1.07
-------------------------------------------------------------------
52 53 2.30 2.30
-------------------------------------------------------------------
87 88 1.09 1.09
-------------------------------------------------------------------
88 89 7.75 6.28 11.05 5.91
-------------------------------------------------------------------
94 95 2.87 2.87
-------------------------------------------------------------------
97 98 2.66 2.66
-------------------------------------------------------------------
98 99 16.91 16.45 17.36
-------------------------------------------------------------------
99 100 6.23 6.78 4.91 6.99
-------------------------------------------------------------------
100 101 3.40 3.62 3.17
-------------------------------------------------------------------
101 102 8.52 11.47 5.7 8.4
-------------------------------------------------------------------
102 103 1.43 1.43
-------------------------------------------------------------------
-------------------------------------------------------------------
60 90 91 3.71 3.99 3.43
-------------------------------------------------------------------
93 94 1.52 1.52
-------------------------------------------------------------------
98 99 1.44 1.44
-------------------------------------------------------------------
102 103 1.08 1.08
-------------------------------------------------------------------
103 104 4.42 4.73 4.11
-------------------------------------------------------------------
104 105 4.74 5.42 4.11 4.68
-------------------------------------------------------------------
121 122 2.18 2.10 2.67 1.76
-------------------------------------------------------------------
124 125 3.58 3.28 3.87
-------------------------------------------------------------------



Collar information:

----------------------------------------------------------------
Azimuth-
Magnetic
Hole Northing Easting North Dip Length
JRC# (metres) (metres) (degrees) (degrees) (metres)
----------------------------------------------------------------
50 6288339 584106 243 -60 70
----------------------------------------------------------------
51 6288364 584115 243 -60 70
----------------------------------------------------------------
52 6288379 584140 0 -90 119
----------------------------------------------------------------
53 6288357 584147 0 -90 119
----------------------------------------------------------------
54 6288407 584159 0 -90 131
----------------------------------------------------------------
55 6288419 584155 0 -90 131
----------------------------------------------------------------
56 6288442 584136 0 -90 131
----------------------------------------------------------------
57 6288452 584154 243 -60 118
----------------------------------------------------------------
58 6288457 584121 243 -60 94
----------------------------------------------------------------
59 6288480 584139 243 -60 118
----------------------------------------------------------------
60 6288479 584145 0 -90 131
----------------------------------------------------------------

Notes:

1) All drill holes by Reverse Circulation
2) All samples collected by riffle splitter
3) Assayed intervals 1metre
4) Assaying conducted by independent laboratories. All 1 metre assays
performed by Genalysis, Perth, Western Australia
5) Analytical method standard 50 grams lead collection fire assay
6) Assays reported to 3 significant figures within the limits of
0.01 g/t analytical precision
7) Standard, blanks and field duplicates routinely inserted with
product samples submitted to laboratories on a systematic basis.
Sampling supervised and quality control results periodically
reviewed by independent consultants.
8) Interval widths are not necessarily true widths and no intervals
have been amended to represent true thickness.
9) AU2 and AU3 are repeat assays taken to check sample assay
variability. Au1 is the original assay, and Au (average) is
arithmetic average of all sample and repeat assays completed.


Information in this announcement pertaining to exploration results was
compiled by Mr. D. Holden, a director of IGC, who is a Member of the
AusIMM and a "Qualified Person" under Canadian National Instrument
43-101 - Standards of Disclosure for Mineral Projects, with not less
than 5 years experience in the relevant fields, and who consents to the
report appearing in the form and context in which it appears. No stock
exchange, securities commission or other regulatory authority has
approved or disapproved the information contained herein.

IGC's principal business activities are the exploration, development
and, if warranted, mining of the Blackburn Gold Project and, provided
that the tenements applied for are granted, exploration of the Fraser
Range copper/gold/uranium Project and the Uaroo uranium prospect in
Western Australia. IGC also holds a 100% interest in the Narrows Claims,
a gold/platinum/palladium prospect located in the Shebandowan Area of
Ontario. IGC continues to investigate other mineral resource prospects
for potential acquisition.



On Behalf of the Board of Directors of
IGC RESOURCES INC.

"Clive Hartz"
Clive R. Hartz, President and CEO


Statements in this release may constitute forward-looking statements
which involve known and unknown inherent risks and uncertainties that
are detailed in IGC's periodic filings with Canadian securities
regulators. Given these risks and uncertainties, investors should not
place undue reliance on forward-looking statements as a prediction of
actual results. Actual events or results could differ materially from
IGC's expectations and projections.

12.5 million shares outstanding

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    IGC Resources Inc.
    Linda Holmes
    Director and Secretary
    250-404-0310
    250-404-0311 (FAX)
    igcresources@shaw.ca
    www.igcresources.com
    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this release.