Merc International Minerals Inc.

Merc International Minerals Inc.

June 15, 2010 08:30 ET

Merc Releases Further Gold Intersections at BIF Island Zone

TORONTO, ONTARIO--(Marketwire - June 15, 2010) - Merc International Minerals Inc. ("Merc") (TSX VENTURE:MRK) is pleased to report results today for fourteen new drill holes from its 2010 Winter Drill Program on its Damoti Lake Gold Project in the Northwest Territories. Drill results include the final eleven holes at the BIF Island Zone, and three holes at the Granite Showing located between the BIF Island and Horseshoe Zones. 

Sectional drilling at the BIF Island Zone has confirmed a strong core of gold mineralization that conforms to the general plunge of the fold structure. The limits and expansion opportunities of this mineralized zone will be further evaluated in the coming months. The eleven BIF Island holes represent the remaining holes drilled at this location over the current program, and include the following highlights: 4.89 grams per tonne gold over 7.55 meters, including 15.10 grams per tonne gold over 1.50 meters in hole D10-402, and 12.97 grams per tonne gold over 1.50 meters, including 26.30 grams per tonne gold over 0.50 meters in D10-403B. Several reconnaissance holes, aided by geophysical data, were laid out away from known mineralization in order to explore for extensions along strike and down plunge. Drilling of these sections was successful in helping to validate a new geological model for gold mineralization, one that will evolve as Merc continues to explore Damoti's fertile stratigraphy. 

"We are extremely pleased with our drilling results to date. Since initiating our first program in July 2009, Merc has repeatedly intersected both high-grade gold mineralization and broader zones of significant values, all within the near-surface environment. Exciting opportunities exist for additional discoveries at depth, along strike, and in similar structures lateral to those hosting known mineralization. All remain to be tested. If successful, these ongoing initiatives will add significant value to the entire Damoti Lake Gold Project," said Dr. Michael Byron, President and CEO of Merc.

Drill Hole From (m) To (m) Core Length* (m) Au (gpt)
D10-399 38.00 38.50 0.50 3.72
  141.00 154.35 13.35 0.92
  141.00 142.00 1.00 3.94
  including 141.00 141.50 0.50 6.27
D10-399B 156.00 179.00 23.00 1.35
  including 156.00 156.50 0.50 5.69
  including 163.50 164.00 0.50 3.29
  including 172.00 179.00 7.00 2.83
  including 172.00 173.00 1.00 5.47
  including 175.50 179.00 3.50 3.41
  including 178.00 179.00 1.00 6.46
  including 178.00 178.50 0.50 9.78
D10-400 193.00 199.50 6.50 1.14
  198.00 199.00 1.00 2.53
  including 198.50 199.00 0.50 4.06
D10-400B 197.00 197.50 0.50 2.00
D10-401 40.00 41.00 1.00 1.84
D10-402 53.95 61.50 7.55 4.89
  including 54.50 55.10 0.60 7.38
  including 57.50 59.00 1.50 15.10
  including 60.90 61.50 0.60 5.67
  63.75 64.65 0.90 2.22
D10-402B test magnetic anomaly - no iron formation intersected
D10-403 43.00 43.50 0.50 2.26
  78.00 78.50 0.50 12.50
  86.50 87.50 1.00 2.14
  119.25 119.75 0.50 2.89
D10-403B 24.25 25.75 1.50 2.13
  64.00 81.50 17.50 1.45
  including 79.50 81.00 1.50 12.97
  including 80.50 81.00 0.5 26.30
  113.50 115.00 1.50 3.98
  including 113.50 114.00 0.50 7.36
  125.75 126.50 0.75 6.97
D10-404 104.00 105.50 1.50 8.08
  including 104.50 105.00 0.50 15.15
D10-424 BIF Island Extension – iron formation intersected, no values > 0.5 g/t Au
* Lengths are reported as core lengths. True widths are not known at this time.

The BIF Island Zone, an area of folded iron formation similar to the Horseshoe Zone, is located 3.5 kilometers northeast along strike from the Horseshoe Zone. Drilling at BIF commenced on March 19, 2010 (March 24, 2010 news release) as part of a 10,000 meter program to extend known mineralization at BIF, as well as within the Horseshoe North and Red Mountain Zones, and to test other targets identified by the recently completed ground geophysical surveys (March 4, 2010 news release). Initial drill results were reported in a May 08, 2010 news release in which holes intersected broad zones of gold mineralization containing high-grade cores. For additional information on drill hole locations and Merc's drill program please visit Merc's website

Three holes were drilled at the Granite showing to test mineralized areas of iron formation 1,500 metres northeast of the Horseshoe Zone. Although the holes were drilled below several surface showings with associated favorable geophysical responses, they failed to return significant mineralization.

Quality Control

Merc International Minerals Inc. has implemented a quality-control program to ensure best practice in the sampling and analysis of the drill core. NQ-size drill core is saw cut and half the drill core is sampled in standard intervals not exceeding 1.5 metres in length while core from the main mineralized horizons or core displaying visible gold or significant sulfides are sampled in greater detail generally not exceeding 1 metre in length. The remaining half core is stored in a secure location.

Core samples are transported in security-sealed bags for analyses at ALS Chemex Assay Laboratory, Vancouver, BC. ALS Chemex is an ISO 9001:2000 certified laboratory. Gold assaying is done by a fire assay - atomic absorption spectrometry method on a 30-gram charge of a 1,000 gram pulp. Samples returning values exceeding 3 gpt Au are re-checked by fire assay with a gravimetric finish. Pulp and metallics assaying for gold is conducted on the entire pulverized sample for all samples within the main mineralized horizons and those samples with visible gold or significant sulfides.

As part of its QA/QC program, Merc International Minerals Inc. inserts external gold standards (low to high grade) and blanks every 20 samples. This is in addition to the standards, blanks and pulp duplicates inserted by ALS Chemex. In addition, samples of pulps have been collected from ten percent of all samples analyzed and will be submitted to a second independent laboratory for comparison purposes.

The Damoti Lake Gold Project is being supervised by William Waychison, M.Sc.A., P.Geo., the Qualified Person (QP) for this project.

This news release may contain forward-looking statements based on assumptions and judgments of management regarding future events or results. Such statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements. Merc disclaims any intention or obligation to revise or update such statements.

Neither 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.

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