Island Arc Exploration Corp.

Island Arc Exploration Corp.

June 30, 2009 12:35 ET

Island Arc Updates Nassile Gold Project in Niger

KAMLOOPS, BRITISH COLUMBIA--(Marketwire - June 30, 2009) - Island Arc Exploration Corp. ("Island Arc") (TSX VENTURE:IAX) is pleased to announce that it has successfully completed the current phase of auger drilling, geological mapping, and outcrop grab sampling at its 100% owned Nassile Gold Project located in the Republic of Niger, West Africa. Based on fieldwork completed in 2008 and 2009, Island Arc geologists have identified at least 5 prospects hosting significant gold mineralization along 20 kilometres of a large regional structure. At Bamperi South, grab samples returned grades from less than 0.01 g/t Au to 132 g/t Au. Two samples from Bamperi North returned assays of 109 g/t Au and 105 g/t Au. In total, 66 of 313 grab samples collected from all 5 prospect areas returned assay values greater than 1.0 g/t Au.

These 5 prospect areas extend over 20 kilometres of the broad northeast-trending Tampena shear zone. Auger drilling, comprising 4,117 metres in 391 holes, focused on 4 prospect areas in the southwest portion of the trend. In addition, detailed geological mapping and sampling of available outcrops were completed over each of the prospect areas. All 5 areas exhibit significant multi-phase quartz veining hosted in several different variably deformed rock types. Each prospect warrants further exploration, including drilling. Maps of the prospects will be posted at shortly.

Table 1. Auger Drilling and Grab Sampling Program

Auger Drilling Auger Drilling No. of Grab
Prospect No. of Holes Metres Samples
Songonduari 112 1267.0 60
Forbemi 104 1112.5 33
Bamperi South 62 405.0 59
Bamperi North 113 1332.5 120
Koutougou / Tirboye 0 0 41

The Nassile permit covers 1148.9 square kilometres of the Sirba greenstone belt in the lower Proterozoic Birimian volcano-sedimentary series adjacent to the Burkina Faso border 100 kilometres southwest of Niamey, the capital of Niger. The Nassile permit lies 35 kilometres south of the Samira Hill gold mine and 200 kilometres southeast of IAMGold's Essakane Project, currently under construction. From 1996 to 1998, the Nassile property was actively explored by Ashanti Goldfields (now AngloGold Ashanti), who conducted programs of soil and termite mound geochemistry, geological mapping, ground magnetic surveys, trenching and RAB drilling. However, no drilling was ever completed on any of the 5 prospect areas described herein.

Songonduari Prospect

Initial auger drilling focused on the Songonduari Prospect, the site of a recent gold rush of local artisanal miners. Up to 10,000 people covered much of Songonduari; coarse gold was recovered from hard lateritic cover at surface, and from smoky-grey, quartz veining at depths of up to 15 metres. Songonduari hosts a series of narrow mineralized quartz veins within a strongly deformed sequence of meta-sedimentary rocks, locally graphitic, which are both folded and well foliated. Quartz veins are reported to have multiple orientations, which vary from stacked sets of flat-lying veins to sub-vertical sheeted veins, with the overall orientation of workings suggesting a dominant north-south trend for mineralization.

Auger sampling returned assays from less than 0.01 g/t Au to 0.96 g/t Au. In general, results match and complement existing termite mound geochemistry. Eleven of 60 grab samples returned assays greater than 1.0 g/t Au, including 13.1 g/t and 15.5 g/t Au from quartz veins in graphitic sedimentary rocks near the southern limit of the trend. A sample from a sulphide-rich quartz vein, approximately 750 metres to the east, assayed 8.28 g/t Au. A sample from another northeast-trending vein near an old artisanal working 500 metres north of the new artisanal mine site assayed 2.57 g/t Au.


Located 2 kilometres north of Songonduari, Forbemi is marked by prominent northeast-trending chargeability highs covered by hard laterite that may mask potential mineralization at depth. Significantly, the Forbemi area hosts at least 2 northwest to west-trending quartz-sulphide veins. The southern vein is exposed in extensive artisanal workings over a distance of almost 200 metres. Two grab samples from the workings returned assays of 9.20 g/t Au and 6.77 g/t Au.

Lines of auger holes were oriented northwest southeast on either side of a significant northeast-trending structure largely obscured by the flood plain of the seasonal Forbemi River. A strong linear chargeability high maps out the structure. One auger hole, the last in a line terminating at the river, returned an assay of 5.63 g/t Au, encountering sulphides in saprolitized bedrock at the bottom of the hole. Auger holes were not drilled across the structure due to the depth of cover.

Bamperi South

The Bamperi Prospect covers an extensive chargeability high in the central part of Tampena, 6 kilometres northeast of Songonduari. Much of the area is covered by alluvial laterite but one trench (#17) excavated during the 2008 program intersected 7.55 g/t Au over 3.0 metres at the south end of the anomaly. A number of north south, east west, and northeast-trending veins have been mapped and sampled. Grab samples from one such vein over 1 kilometre northeast of Trench 17, returned assays of 35.7 g/t Au, 25.1 g/t Au, and 21.8 g/t Au in an area previously trenched by Ashanti. Sulphides including galena, pyrite, chalcopyrite, and bornite appear related to high gold values in quartz veining. Another grab sample 500 metres further northeast assayed 132 g/t Au.

Bamperi North

Bamperi North, centred approximately 8 kilometres northeast of Songonduari, is characterized by several large northeast trending quartz veins. The largest mapped vein extends over a distance of 1.5 kilometres with high-grade assays from grab samples reported over 600 metres of that distance. There are significant artisanal diggings along sections of the vein. Grab sampling from the central portion of the largest vein returned several very high grade assays, including 109 g/t and 105 g/t Au, associated with galena. Grab samples 400 metres to the northeast returned assays of 58.2 g/t and 30.0 g/t Au, with 7 more grading greater than 10 g/t Au. In all, 23 of 120 grab samples assayed greater than 1.0 g/t Au. Toward the northeast, the vein displays increasing structural complexity due to localized faulting.

Koutougou and Tirboye

Veins mapped at Bamperi project onto the Koutougou area adjoining to the northeast. Grab samples collected from quartz veins at Koutougou returned assays from less than 0.01 g/t Au to 11.8 g/t Au, but to-date work in the Koutougou area has been limited to prospecting. Regolith mapping at Tirboye, 8 kilometres northeast of Koutougou, has discovered several prospective quartz structures in highly sheared metavolcanic and metasedimentary rocks. These vein structures trend north-easterly and strongly resemble the veins mapped at Bamperi North. Grades from 28 grab samples collected from these quartz vein structures at Tirboye ranged from less than 0.01 g/t to 20.8 g/t Au with 12 samples returning values greater than 1.0 g/t Au. No auger drilling was completed at either Tirboye or Koutougou.

Future Program

Several strong gold targets identified at Nassile are now drill ready. To that end, Island Arc is planning an aggressive program of reverse circulation and/or diamond drilling aimed at priority targets in the Bamperi North, Bamperi South, Forbemi, and Songonduari Prospects. Subject to adequate financing, the program is expected to commence following the rainy season.

Christopher J. Wild, P.Eng, V.P. Exploration for Island Arc, is the Qualified Person for this release.

On behalf of the Board of Directors

Island Arc Exploration Corp.

James T. Gillis, President & CEO

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