Intrepid Mines Limited
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ASX : IAU
TSX : IXN

Intrepid Mines Limited

March 02, 2009 21:15 ET

Intrepid Mines Limited: Tujuh Bukit Project Indonesia-High Grade Gold Intersected in Zone B Oxide Drilling

- 22 metres @ 6.35g/t gold, 15.9g/t silver from 36 metre downhole - within an interval of 64 metres @ 2.65g/t gold, 17.1g/t silver - high sulphidation copper-gold-silver mineralisation intersected at depth - potentially extending the comparable Zones A and C mineralisation 1 km to the south.

BRISBANE, AUSTRALIA--(Marketwire - March 2, 2009) - Intrepid Mines Limited (TSX:IAU)(TSX:IXN)(ASX:IAU) (the "Company") is pleased to report that diamond drill hole GTD 58 at the Tumpangpitu Prospect, Tujuh Bukit Project has intersected near surface high grade gold-silver mineralisation.

GTD 58 was drilled within the central portion of Zone B on an azimuth of 270 degrees. The hole was collared near historical hole GTD 5, which was drilled on azimuth 180 degrees (see diagrams below).

Results have also been received from 3 other holes drilled at Zone B -- GTD 54, 55, and 57. Results from holes 59 and 60 are expected within the next few weeks. Drilling is continuing. Data review to plan additional drilling at Zone B south is also in progress.

Zone B is located 1 kilometre southeast of Zones A and C where an aggregate inferred oxide resource of 2.57 million ounces gold equivalent (gold + silver) has been estimated.

In addition to the near surface oxide gold-silver mineralisation the drill holes at Zone B have intersected high sulphidation copper-gold-silver mineralisation below approximately 200 metres from surface (see figure below). This is significant and provides encouragement for future deeper drilling at Zone B to define high sulphidation and porphyry related copper-gold-silver mineralisation similar to that intersected in deep drilling near zones A and C.



Results from hole GTD 58 are -

Oxide mineralisation
--------------------
24 - 88 metres: 64 metres at 2.65 grams per tonne gold, 17.2
grams per tonne silver, 2.91 grams per tonne
gold equivalent
Including 36 - 58 metres: 22 metres at 6.43 grams
per tonne gold, 15.9 grams per tonne silver, 6.67
grams per tonne gold equivalent.


High Sulphidation
mineralisation
-----------------
248 - 292 metres: 44 metres at 0.11 grams per tonne gold, 0.31%
copper, and 13.3 grams per tonne silver
310 - 338 metres: 28 metres at 0.22% copper, 1.5 grams per tonne
silver.


The high grade oxide gold-silver results from hole GTD 58 are consistent with intercepts from the historical hole GTD 5 -



GTD 5 - Oxide
mineralisation
---------------
25.1 - 82.1 metres: 57 metres at 0.71 grams per tonne gold, 6.5 grams
per tonne silver, 0.81 grams per tonne gold
equivalent
106.1 - 193.1 metres: 87 metres at 1.8 grams per tonne gold, 13 grams
per tonne silver, 2.0 grams per tonne gold
equivalent
Including 163.1 - 178.1 metres: 15 metres at 6.14
grams per tonne gold, 9.4 grams per tonne silver,
6.29 grams per tonne gold equivalent.



Results from nearby holes GTD 54, 55, and 57 include -

----------------------------------------------------------------------------
From (m) Interval Gold Silver Gold Equiv (gold + Copper Comments
(m) (g/t) (g/t) silver) g/t (%)
----------------------------------------------------------------------------
Hole GTD 54
----------------------------------------------------------------------------
130 12 0.2 8.7 0.34 oxide
----------------------------------------------------------------------------
192 22 0.6 7.7 0.72 oxide
----------------------------------------------------------------------------
192 94 0.25 11.1 0.43 anom anomalous
copper to
1.12%
----------------------------------------------------------------------------
Hole GTD 55
----------------------------------------------------------------------------
234 66 0.03 3.8 0.09 0.21 anomalous
copper to
0.73%
----------------------------------------------------------------------------
Hole GTD 57
----------------------------------------------------------------------------
90 92 0.77 15.7 1.01 oxide
----------------------------------------------------------------------------
252 118 0.19 17.6 0.46 0.3 anomalous
copper to
2.86%
----------------------------------------------------------------------------
Note: Intervals shown are down hole intervals. This is the first pass of
drilling in Zone B and true widths are not known at this stage.


Also of interest are anomalous results in historical holes 7 and 13 located approximately 400 metres to the northwest of holes GTD 58 and 5. Anomalous gold and silver values in the oxide zone of these holes suggest that the margins of the Zone B oxide mineralisation may locally extend beyond the limits suggested by surface gold anomalism in soil samples, thus further expanding potential target areas.

This initial drilling in Zone B is highly encouraging, both for the definition of near surface high grade oxide gold--silver domains and for the encouraging indications of high sulphidation gold-silver-copper mineralisation comparable to that seen at Zones A and C. Mineralisation has now been defined over a strike length of 3 kilometres from the outcropping mineralisation on Pulah Merah island to Zone B.

To view a figure showing the location of Zone B drilling relative to Zones A and C, please visit the following link: http://media3.marketwire.com/docs/iau0302fig1.pdf

To view a plan showing locations of drill holes in Zone B, please visit the following link: http://media3.marketwire.com/docs/iau0302fig2.pdf

To view a composite long section showing location of drill holes in Zone B, please visit the following link: http://media3.marketwire.com/docs/iau0302fig3.pdf

FORESTRY ACTIVITIES

The Indonesian Forestry Law restricts non forestry activities within protection forests and prohibits mining using an open pit method in protection forest areas. Accordingly, Intrepid's Alliance partner, PT IMN, is working with relevant Indonesian authorities to allow for a review of forest land status.

FORWARD-LOOKING STATEMENTS

This announcement contains certain forward-looking statements, relating to, but not limited to Intrepid's expectations, intentions, plans and beliefs. Forward-looking information can often be identified by forward-looking words such as 'anticipate', 'believe', 'expect', 'goal', 'plan', 'intend', 'estimate', 'may' and 'will' or similar words suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future outcomes, or statements about future events or performance. Forward-looking information may include reserve and resource estimates, estimates of future production, unit costs, costs of capital projects, and timing of commencement of operations and is based on current expectations that involve a number of business risks and uncertainties. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to, failure to establish estimated resources and reserves, the grade and recovery of ore which is mined varying from estimates, capital and operating costs varying significantly from estimates, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and other factors. Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from those expressed or implied.

Shareholders and potential investors are cautioned not to place undue reliance on forward-looking information. By its nature, forward-looking information involves numerous assumptions, inherent risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. Intrepid undertakes no obligation to update publicly or otherwise revise any forward-looking information whether as a result of new information, future events or other such factors which affect this information, except as required by law.

Statements relating to gold resource estimates are expressions of judgment, based on knowledge and experience and may require revision based on actual production experience. Such estimates are necessarily imprecise and depend to some extent on statistical inferences and other assumptions, such as gold prices, cut-off grades and operating costs, which may prove to be inaccurate. The drill programme at Tujuh Bukit is insufficiently advanced to define a resource estimate and it is uncertain if further drilling will result in the determination of a resource statement at the project.

QUALIFIED PERSON

The information in this announcement that relates to exploration results is based on information compiled by or under the supervision of Malcolm Norris, who is a full-time employee of Intrepid Mines Limited. Mr. Norris has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" and a Qualified Person as defined in the Canadian National Instrument 43-101 (standards of Disclosure for Mineral Projects). Mr. Norris consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

SAMPLE ANALYSIS

Intrepid exercises a strict chain of sample custody in its drilling program at Tujuh Bukit. Joint Venture personnel remove core from the drill rig and deliver it to a project geologist who logs the core and marks the core into two metre sample intervals. Intrepid and Joint Venture personnel supervise the immediate splitting, sawing and bagging of samples, and packaging of groups of samples for dispatch to the laboratory. The remainder of the split core remains on site.

Samples are securely packaged, batched, and then transported under supervision to Intertek's laboratory facility in Jakarta. At the laboratory, the samples are prepared by crushing and pulverizing and a 30 gram charge is assayed for gold by conventional fire assay and/or atomic absorption methods. Multi-element ICP analysis is carried out using a multi-acid digestion process. All samples that contain silver and/or copper, lead, and zinc values that exceed the upper detection limits for ICP are re-analysed by conventional atomic absorption methods to determine the absolute values of these metals.

Gold equivalents

The gold equivalent ratio for silver has been set at 65:1 based on US$650/oz gold and US$10/oz silver. Historical bottle roll tests have shown recoveries of 83% Au and 84.5% Ag, supporting a 65:1 ratio. Recently received CIL metallurgical testing results from Zone C achieved recoveries of approximately 90% for both Au and Ag at a grind of 80% passing 75 um. Comparable recoveries for both gold and silver in the recent tests from 4 composite samples from Zone C oxide material also support the 65:1 gold equivalence ratio.

ABN: 11 060 156 452

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