Indicator Minerals Inc.
TSX VENTURE : IME

Indicator Minerals Inc.

June 16, 2011 16:46 ET

Indicator Intersects 65.8m of 0.2% Cu and 70.7m of 0.3% Cu in First Holes at Mohave Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 16, 2011) - Indicator Minerals Inc. (TSX VENTURE:IME) today announced that assay results for the first two holes of the current core drilling program on the Mohave Project include, from surface: 65.8m (216ft) of 0.20% Cu and 70.7m (232ft) of 0.30% Cu in holes MV11001 and MV11002 respectively. Mohave is located in north-western Arizona and is 100% owned by Indicator Minerals Inc.

"We are very excited about these first assay results. They demonstrate that Mohave hosts a very large, mineralized porphyry system that extends to depth. The presence of both copper oxide and copper sulphide grades comparable to those currently being mined at the nearby Bagdad and Mineral Park mines is very encouraging," says Bruce Counts, President and CEO of Indicator Minerals Inc. "The initial drill holes have exceeded our expectations as all six completed to date have intersected mineralization over significant intervals."

Drill Highlights:

Holes MV11001 and MV11002 were located within the area of an historic leach operation that mined copper oxides in the 1960's. The holes were collared approximately 150m (500ft) apart, inclined at a -60° angle and drilled to a depth in excess of 350m (1150ft). Highlights from the core holes are as follows:

MV11001:

  • Intersected from surface to 65.8m (216 ft) grading 0.20%Cu, 0.011% Mo and 2.35 g/t Ag
  • Included in this intersection is a 32.9m (108ft) interval from 3.1m to 36.0m (10ft to 118ft) grading 0.28% Cu and 2.62 g/t Ag

MV11002:

  • Intersected from surface 70.7m (232ft) grading 0.30% Cu, 0.010 Mo, 2.54 g/t Ag
  • Included in this intersection is a 25.0m (82ft) interval grading 0.66% Cu and 5.3 g/t Ag

In addition, a recent surface trench located in the vicinity of drill holes MV11001 and MV11002 returned results of 0.24% Cu, 0.076% Mo, and 0.68 g/t Ag over 50.3m (165ft). Summary results for these two holes are tabled below. In addition drill hole cross-sections and a plan map are posted on the Indicator Minerals website at www.indicatorminerals.com.

Drill Hole Geology:

The first two drill holes were collared in a mineralized Precambrian granite complex with intermediate argillic and potassic alteration hosting both copper oxide and copper sulphide mineralization. The mineralized Precambrian unit was truncated by a low angle fault. Below the low-angle fault was a potassic altered quartz monzonite porphyry and related stockwork that is interpreted as having been locally displaced.

The low angle fault has been reactivated and mineralized with younger Mo-Ag-Zn mineralization that occurs throughout the rocks above and below the fault. Both holes displayed multiple types of mineralization including Cu-Mo-Ag-Zn, Cu-Zn, Mo and a late stage Pb-Zn-Ag.

Hole MV11001, intersected copper oxide mineralization in the Precambrian unit from surface to 16.7m (55ft), followed by an oxide/sulphide transition to 35.1m (115ft). Finally, copper sulphide mineralization was encountered to a depth of 65.8m (216ft) before being truncated by the low angle, sub-horizontal fault. The balance of the hole intersected the more weakly mineralized quartz monzonite.

Hole MV11002 encountered copper oxide mineralization in the Precambrian unit between surface and 11.0m (36ft). The copper oxides were followed by an oxide/sulphide transition zone down to 22.9m (75ft) and copper sulphide only to 70.7m (232ft). The Precambrian unit was truncated by the low-angle sub-horizontal fault followed by a weakly mineralized monzonite with higher zinc and intervals of higher molybdenum and including narrow 0.6m (2ft) intervals grading >1.0%Cu, 0.019% Mo and 41.6gpt Ag.

Drill Program:

Indicator's 2011 drill program is being conducted in two phases. The first phase, currently underway, is intended to test a number of compelling targets over a wide area identified through Induced Polarization (IP) surveys, extensive rock and soil sampling as well as structural, geological and alteration mapping. The second phase of drilling will build on the results from the first phase and is scheduled for Q3/Q4 of 2011.

In the first phase of drilling as many as 15 inclined core holes to depths up to 350m (1150ft) are planned. To date, the company has completed six holes, each of which has intersected mineralization over significant intervals. Additional assay results for the completed holes are pending and the seventh drill hole is in progress.

Assay Tables:

Hole MV11001 (Dip -60°, Azimuth 180°)

From (ft)To (ft)Intercept (ft)Cu (%)Mo (%)Ag (g/t)Zn (%)
101281180.280.0642.620.05
128216880.10.0171.990.11
2164402240.080.0060.410.03
44010395990.030.0050.410.03
1039104560.180.0140.700.01
104511911460.030.0040.260.01

Hole MV11002 (Dip -60°, Azimuth 220°)

From (ft)To (ft)Intercept (ft)Cu (%)Mo (%)Ag (g/t)Zn (%)
1032220.480.0013.890.02
3292600.670.0035.910.02
92171790.080.0100.940.04
171232610.070.0230.670.01
2326063740.030.0070.510.03
6066082>1.00.01941.600.06
60811665580.020.0060.310.02

Mohave Copper Project:

The Mohave Project is located in north-western Arizona and is interpreted as a large-scale copper porphyry with significant amounts of silver and molybdenum and a late stage overprint of molybdenum-only and lead-zinc-silver mineralization. Exploration work has identified extensive copper mineralization over a large area of the project coincident with a large Induced Polarization (IP) anomaly and complimentary intrusive dyke swarms and structural features. The geology of the Mohave Project is believed to be analogous in many ways to the Bagdad Copper Porphyry Mine, which is located within 35km from the property.

QA/QC

Mr. Bruce Counts, P.Geoph., President & CEO of Indicator, is a Qualified Person under NI 43-101 and is responsible for the design and execution of the programs carried out by Indicator on the Mohave property, and for the contents of this release. Core cutting, logging and sampling are completed in Indicator's secure facility at Wikieup, Arizona. Samples are transported to the Skyline Labs in Tucson for drying, weighing, crushing as well as final preparation and analysis.

All samples are analyzed for 49 elements using Inductively Coupled Plasma Mass Spectrotrometry (ICP-MS) finish. In addition, total copper and total molybdenum assays are acquired by three acid digestion with an Atomic Absorption Spectroscopy (AAS) finish on over-limits of Cu >1000ppm and Mo > 500ppm as well as on Pb and Zn >10,000ppm.. Gold is determined by 30g Fire Assay (FA) fusion with an Atomic Absorption Spectroscopy (AAS) finish. Indicator includes standards and duplicates in addition to the laboratory's internal quality control work. Duplicate reject samples are analyzed by ALS Chemex Analytical Laboratories of Vancouver, Canada.

About Indicator Minerals:

Indicator Minerals Inc. is a leading Canadian exploration company focused on the discovery and development of economic mineral deposits. The company has assembled one of the most qualified technical teams in worldwide exploration to focus on advancing its early-stage Mohave Copper Porphyry project in north-western Arizona.

Indicator Minerals Ltd. is a member of the Discovery Group of companies, for more information on the group visit www.discoveryexp.com.

Cautionary Notice: This release may contain forward-looking statements regarding the Company's business or financial condition, including the proposed completion of financings, use of proceeds and exploration programs. Actual results could differ materially from those described in this news release as a result of factors, including, but not limited to the following: the timing and completion of financings, the actual use of proceeds, the timing, results and success of exploration and development programs, financial arrangements, the ability to obtain additional financing, developments in global resource markets, political developments, the timing of regulatory and environmental approvals and other factors. The Company cautions that these and similar statements involve risk and uncertainties, which could cause actual results to differ materially from those in the forward looking statement. Forward–looking statements are made in the context of information available as of the date stated. The Company undertakes no obligations to update or revise such statements to reflect new circumstances or unanticipated events as they occur, unless required by applicable law.

On behalf of the Board

Indicator Minerals Inc.

Bruce Counts, P.Geoph., President & CEO

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Indicator Minerals Inc.
    Bruce Counts
    President & CEO
    (604) 331-4605 or T.F.: 1-877-331-4605
    (604) 331-4654 (FAX)
    www.indicatorminerals.com