Marathon PGM Corporation

March 30, 2005 08:00 ET

Marathon Announces Updated Mineral Resource Estimate of 1.9M Oz PGM


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: MARATHON PGM CORPORATION

TSX VENTURE SYMBOL: MAR

MARCH 30, 2005 - 08:00 ET

Marathon Announces Updated Mineral Resource Estimate
of 1.9M Oz PGM

TORONTO, ONTARIO--(CCNMatthews - March 30, 2005) - Marathon PGM
Corporation (TSX VENTURE:MAR) (Company) is pleased to announce an
updated mineral resource estimate for the Marathon PGM-Cu Project
(Project). This updated mineral resource estimate has a 7 % increase in
the high-grade mineralization domain for contained ounces of Palladium
(Pd) in the combined measured and indicated resource categories along
with a 4 % increase for platinum (Pt) and 9 % for gold (Au). The
greatest gain was realized in the inferred resource category with
palladium content increasing 275 % to 394,000 oz, platinum 127 % to
100,000 oz, gold 256 % to 32,000 oz and copper 467 % to 72 million lbs.
Upgrading of this inferred material into measured or indicated is part
of the focus of the next drilling program.

In January 2005, the Company received the final assays results from its'
fall 2004 thirty two (32) hole drilling program. In March, 2005 a
National Instrument 43-101 resource estimate was completed by
independent mining consultant and Qualified Person, Eugene Puritch,
P.Eng., of P & E Mining Consulting Inc. P &E has estimated the mineral
resource listed below at a cut-off grade of 0.8 g/t Pd which also
considers Pt, Au and Cu values. This resource estimate uses the 32 new
drill holes from the fall of 2004 to revise the March 2004 resource
estimate by Roscoe Postle Associates Inc. ( RPA) which was part of a NI
43-101 Technical Report on the Marathon deposit. Both estimates are
presented in the following table.



Rescource Tables
---------------------------------------------------------------------
RPA 2004 Resource, 0.8g/t Pd Cut-off Grade Marathon
PGM-Cu Project (Main Zone)
---------------------------------------------------------------------
Category Tonnes Palladium Platinum Gold Copper
Millions (Pd) g/t (Pt) g/t (Au) g/t (Cu) %
---------------------------------------------------------------------
Mineral Resource at 0.8 g/t Pd Cut-off Grade
---------------------------------------------------------------------
Measured 5.6 1.28 0.31 0.10 0.34%
---------------------------------------------------------------------
Indicated 18.6 1.20 0.31 0.10 0.38%
---------------------------------------------------------------------
Meas +
Indic 24.3 1.22 0.31 0.10 0.37%
---------------------------------------------------------------------

---------------------------------------------------------------------
Inferred 2.3 1.42 0.60 0.13 0.25%
---------------------------------------------------------------------


---------------------------------------------------------------------
Contained Metals
---------------------------------------------------------------------
Category Pd Oz Pt Oz Au Oz Cu Lbs
(000) (000) (000) Millions
---------------------------------------------------------------------
Mineral Resource at 0.8 g/t Pd Cut-off Grade
---------------------------------------------------------------------
Measured 232 56 18 42.3
---------------------------------------------------------------------
Indicated 718 186 60 156.0
---------------------------------------------------------------------
Meas +
Indic 950 242 78 198.3
---------------------------------------------------------------------

---------------------------------------------------------------------
Inferred 105 44 9 12.7
---------------------------------------------------------------------


---------------------------------------------------------------------
RPA 2004 Resource, 0.8g/t Pd Cut-off Grade Marathon
PGM-Cu Project (Main Zone)
---------------------------------------------------------------------
Category Tonnes Palladium Platinum Gold Copper
Millions (Pd) g/t (Pt) g/t (Au) g/t (Cu) %
---------------------------------------------------------------------
P&E 2005 Resource, All Zones 0.8 g/t Pd Cut-off Grade
---------------------------------------------------------------------
Measured 8.0 1.37 0.33 0.11 0.39%
---------------------------------------------------------------------
Indicated 15.0 1.38 0.35 0.12 0.39%
---------------------------------------------------------------------
Meas +
Indic 23.1 1.38 0.34 0.12 0.39%
---------------------------------------------------------------------

---------------------------------------------------------------------
Inferred 8.4 1.46 0.37 0.12 0.38%
---------------------------------------------------------------------


---------------------------------------------------------------------
Contained Metals
---------------------------------------------------------------------
Category Pd Oz Pt Oz Au Oz Cu Lbs
(000) (000) (000) Millions
---------------------------------------------------------------------
P&E 2005 Resource, All Zones 0.8 g/t Pd Cut-off Grade
---------------------------------------------------------------------
Measured 354 85 28 69
---------------------------------------------------------------------
Indicated 667 169 58 129
---------------------------------------------------------------------
Meas +
Indic 1,021 254 86 198
---------------------------------------------------------------------

---------------------------------------------------------------------
Inferred 394 100 32 72
---------------------------------------------------------------------


The mineral resources in this press release were estimated using the
Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM
Standards on Mineral Resources and Reserves, Definitions and Guidelines
prepared by the CIM Standing Committee on Reserve Definitions and
adopted by CIM Council, November, 2004.

Tonnages were calculated using a bulk density of 3.04 tonnes per cubic
metre as determined by ALS Chemex from samples taken by Eugene Puritch.
Model grade blocks were sized at 6.0 m by 12.5 m by 6.0 m. Inverse
distance squared (ID)(2) interpolation was used to determine grade block
values.

At a cut-off of 0.80 g/t palladium, the resource contains 8.0 million
tonnes of measured, 15.0 million tonnes of indicated and 8.4 million
tonnes of inferred. The average grade of the 23.1 million tonnes of
measured and indicated resources is 1.38 g/t palladium, 0.34 g/t
platinum, 0.12 g/t gold and 0.39 % copper. There is an additional 8.4
million tonnes of inferred resource averaging 1.46 g/t palladium, 0.37
g/t platinum, 0.12 g/t gold and 0.38 % copper. This new resource with
the increase in inferred places the company in a good position to expand
the measured and indicated resources by additional drilling

The amount of indicated resource declined from the RPA estimate while
the measured and inferred resources increased. The total amount of metal
in measured and indicated resources increased slightly from increased
grades although there was a slight decrease in total tonnage. The
decrease in indicated resource was mainly a result of slightly different
criteria used in the estimates. Some material in indicated resource
moved up to measured resource and some moved down to inferred. The
database and interpretation was changed little for the main zone. The
inclusion of drilling from the new zones, BR, RD and Malachite Zone,
partially replaced some of the indicated resource that went to inferred
resource in the Main Zone and added further to the inferred resource of
the property. There is no measured resource in the new zones because of
the drill hole spacing of 50 m or more.

The inclusion of these new zones is an important step in the development
of the project. These zones are generally higher in platinum group
metals than the main zone although they contain slightly less copper.
All of these zones are open to further expansion in one or more
direction. A program of more than 6,000 m of diamond drilling has been
contracted for the third quarter of 2005. This program will focus on
expansion and upgrading of the resources of the new zones. In addition,
drilling in the Main Zone will focus on increasing the measured and
indicated resources by additional drilling in areas currently in the
inferred resource category.

There are no Mineral Reserves estimated for the Marathon PGM-Cu Project
at this time. There can be no assurances that these Mineral Resources
can be turned into Mineral Reserves. Mineral Resources which are not
Mineral Reserves do not have demonstrated economic viability.

The Marathon Property is located about 10 km north of the town of
Marathon, Ontario, Canada and is well located with respect to
transportation infrastructure. The town of Marathon is adjacent to the
Trans-Canada Highway on the northeast shore of Lake Superior,
approximately 300 km east of the city of Thunder Bay. All work is being
performed under the guidance and supervision Phillip C. Walford,
President & CEO for the Company, a Professional Geologist and Qualified
Person as defined by National Instrument 43- 101.

Marathon PGM Corp. web site is www.marathonpgm.com.

On Behalf of the Board of Directors,

"Phillip C. Walford"

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Marathon PGM Corporation
    Phillip C. Walford
    President, CEO & Director
    (905) 823-1332
    (905) 823-1436 (FAX)
    Gen@MarathonPGM.com
    or
    Investor Relations
    Bay Street Connect
    Gus Garisto
    (416) 907-0979
    gus@baystreetconnect.com
    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this release.