Intrepid Minerals Corporation

Intrepid Minerals Corporation

March 15, 2005 13:29 ET

Intrepid Minerals Corporation: New Resource Calculation Confirms High Grade Zones Averaging 19.2 grams per tonne Gold and 432 grams per tonne Silver at Casposo, Argentina


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: INTREPID MINERALS CORPORATION

TSX SYMBOL: IAU

MARCH 15, 2005 - 13:29 ET

Intrepid Minerals Corporation: New Resource
Calculation Confirms High Grade Zones Averaging 19.2
grams per tonne Gold and 432 grams per tonne Silver at
Casposo, Argentina

TORONTO, ONTARIO--(CCNMatthews - March 15, 2005) - Intrepid Minerals
Corporation (TSX:IAU) reported today results of an updated block model
for the Kamila Zone at the Casposo gold-silver project in San Juan
Province, Argentina.

Additional information from recent detailed drilling has resulted in 73%
of the tonnes defined in the Kamila Pit being converted to the indicated
category with an average grade of 5.76 g/t gold and 140 g/t silver. On
an ounce basis, 87% of the precious metals (gold equivalent) are now
classified as indicated (see Tables 1 to 3). Drilling to date has
outlined three principal vein structures at Kamila (Aztec, B-Vein and
Inca) with average true widths of 8 metres, 5 metres and 5 metres
respectively.

Of particular note is that on an ounce basis 45% of the contained gold
and 40% of the contained silver in the proposed open-pit are located in
high grade zones within each of Kamila's main vein structures; Aztec,
Inca and B-Vein. These high grade zones average 19.2 g/t gold and 432
g/t silver. As a result, the preliminary assessment published in 2004
(Press Release #04-15) will be updated to reflect the increased resource
confidence established with reinterpretation of the vein domains.



Table 1 - Global Resource(2)
---------------------------------------------------------------------
Tonnes Grade Gold
Equivalent(1)
---------------------------------
Gold g/t Silver g/t g/t
---------------------------------------------------------------------
Indicated 1.3 g/t Cut off 1,565,000 5.73 139 7.54
---------------------------------------------------------------------
Inferred 1.3 g/t Cut off 1,117,000 1.96 80 3.00
---------------------------------------------------------------------


Table 1 - Global Resource(2) (continued)
---------------------------------------------------------------------
Contained Contained Contained Gold
Gold Silver Equiv. (1)
----------------------------------------
oz oz oz
---------------------------------------------------------------------
Indicated 1.3 g/t Cut off 288,200 7,016,200 379,400(3)
---------------------------------------------------------------------
Inferred 1.3 g/t Cut off 70,300 2,872,700 107,600(3)
---------------------------------------------------------------------


A total of 20,926 metres in 124 diamond drill holes have been completed
at Casposo. Approximately 79% of this drilling, totaling 16,571 metres
was located in the Kamila Zone and has been used for block modeling as
well as to provide twin holes for data verification and for
metallurgical testing. The discovery rate at the Kamila Zone equates to
22 ounces of gold and 550 ounces of silver per metre drilled. This
outstanding success suggests that Kamila can be treated as a stand alone
gold-silver project. Kamila represents only a 600 metre portion of the
3.5 km by 500 m Rocio de Oro Corridor, an east-southeast trending
deformation zone defined by several mineralized structures including the
main Inca and B-veins and the parallel Maya structure.

Kamila Zone, In-Pit Resource

Drill hole data were used to develop a resource model using Gemcom
modeling software under the direction of Eugene Puritch, P.Eng. of P & E
Mining Consultants Inc., an "Independent Mining Consultant and Qualified
Person", in conjunction with William McGuinty, the designated Qualified
Person for the project. Drill, trench and bulk sample data were utilized
from all previous exploration programs to develop the resource estimate.
Samples were assayed by ALS Chemex Chile on 50 gm splits using fire
assay techniques and internal standards provided by an independent
company.

Tonnages were calculated using a bulk density of 2.50. Grade capping was
performed on raw assays as follows: High Grade (110 g/t Au, 1700 g/t
Ag), Aztec Vein (40 g/t Au, 500 g/t Ag), Inca Vein (30 g/t Au, 900 g/t
Ag) and B- Vein (35 g/t Au and 500 g/t Ag). Grade blocks were modeled at
3m x 3m x 3m blocks with inverse distance cubed (ID3) with variable
percentage of block inclusion to accurately represent model volumes. The
preliminary open-pit resource(3), calculated at a cut-off grade of 1.3
g/t gold equivalent, is summarized below:



Table 2 - Kamila In-Pit Resource(2)
---------------------------------------------------------------------
Tonnes Grade Gold
Equivalent(1)
---------------------------------
Gold g/t Silver g/t g/t
---------------------------------------------------------------------
Indicated 1.3 g/t cut off 1,461,000 5.76 140 7.58
---------------------------------------------------------------------
Inferred 1.3 g/t cut off 535,000 2.32 69 3.22
---------------------------------------------------------------------


Table 2 - Kamila In-Pit Resource(2) (continued)
---------------------------------------------------------------------
Contained Contained Contained Gold
Gold Silver Equiv. (1)
----------------------------------------
oz oz oz
---------------------------------------------------------------------
Indicated 1.3 g/t cut off 270,300 6,578,200 355,700(3)
---------------------------------------------------------------------
Inferred 1.3 g/t cut off 40,000 1,187,000 55,400(3)
---------------------------------------------------------------------


The open-pit resources are relatively insensitive to cut-off grades
between 1.0 and 1.5 g/t gold equivalent, indicative of the high grade
ore typical of the Kamila Zone. Preliminary modeling by the company's
consultant indicates a substantial portion of these resources will most
likely be extracted from an open-pit due to their high-grade, near
surface nature. Further economic analysis will be required to
substantiate this concept.

Kamila Zone, High Grade Resource

A preliminary resource(3) was also calculated for the Kamila high grade
domains which were drilled to down dip length of approximately 195
metres.



Table 3 - Kamila High Grade Indicated Resource(2) - Kamila
---------------------------------------------------------------------
Tonnes Grade Gold
Equivalent(1)
--------------------------------------
Gold g/t Silver g/t g/t
---------------------------------------------------------------------
1.3 g/t cut off 226,000 19.2 432 24.8
---------------------------------------------------------------------


Table 3 - Kamila High Grade Indicated
Resource(2) - Kamila (continued)
---------------------------------------------------------------------
Contained Contained Contained Gold
Gold Silver Equiv. (1)
---------------------------------------
oz oz oz
---------------------------------------------------------------------
1.3 g/t cut off 139,600 3,137,100 180,400(3)
---------------------------------------------------------------------


(1) One ounce of recoverable gold is equivalent to 77 ounces recoverable
silver based on recoveries of 94% for gold and 81% for silver at a gold
price of US$400 per ounce and silver price of US$6.00 per ounce.

(2) Mineral resources which are not mineral reserves do not have
demonstrated economic viability. The estimate of mineral resources may
be materially affected by environmental, permitting, legal, title,
taxation, sociopolitical, marketing, or other relevant issues.

(3) Current viability of the resource is established using a 1.3 g/t
gold equivalent cut off grade based on stated recoveries and densities,
processing and G&A costs of US$13.50 and US$2.80 respectively.

Recent discoveries of new vein systems up to 4 kilometres northwest of
Kamila (Press Release #05-05) suggest that the Casposo system and the
Rocio de Oro corridor are much more extensive than previously believed
and will require an extended drill campaign. Intrepid management has
chosen to expend the majority of the exploration effort in 2005 on
developing the resource base beyond Kamila.

Intrepid Minerals is a TSX listed company engaged in the acquisition,
exploration and development of mineral prospects. The Company, either
directly or through joint venture partnership, holds interests in
several gold-silver and silver-base metal properties in Argentina, El
Salvador, and Canada. Intrepid has 46,010,220 shares outstanding.

The statements made in this Press Release may contain forward-looking
statements that may involve a number of risks and uncertainties. Actual
events or results could differ materially from the Company's
expectations and projections.

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Intrepid Minerals Corporation
    Stephen Coates
    Investor Relations
    (416) 368-4525 or Toll Free: 866-409-4716
    (416) 368-3859 (FAX)
    scoates@intrepidminerals.com
    www.intrepidminerals.com
    or
    Intrepid Minerals Corporation
    Laurence Curtis PGeo.
    President & CEO
    (416) 368-4525 or Toll Free: 866-409-4716
    (416) 368-3859 (FAX)
    Suite 1710, 155 University Avenue
    Toronto, Ontario, Canada, M5H 3B7