Millstream Mines Ltd.

Millstream Mines Ltd.

July 18, 2007 09:02 ET

Millstream Discovers Nickel Bearing Sulphides at Potter

TORONTO, ONTARIO--(Marketwire - July 18, 2007) - Millstream Mines Ltd. (TSX VENTURE:MLM)(FRANKFURT:NJD) is pleased to report that it has discovered nickel bearing sulphides on its Potter Property located in the Abitibi Greenstone Belt of northern Ontario. The rock was identified and samples collected by Mr. Dave Gamble, P.Geo. and Mr. Edward Bettiol, P. Eng, both consultants of Millstream and Qualified Persons for the Potter Project. The area sampled is a bedrock showing located near and at the surface exposed base of the Centre Hill Layered Igneous Complex (CHLIC) 600 m southeast of the past producing Potter Mine shaft and 850 m southwest of Pyke Hill, a famous komatiite outcrop visited by geologists and students of geology from far and wide. The base of the CHLIC is composed of an ultramafic assemblage of alternating layers of peridotite and pyroxenite. Within this geological environment, there may be larger concentrations of the mineralization.

The 6 rock chip samples containing mainly pyrrhotite mineralization returned the following assay values:

Sample No. Nickel (%) Copper (%) Cobalt (%)
1 0.526 0.0335 0.0339
2 0.461 0.0541 0.0301
3 0.124 0.497 0.0079
4 0.241 0.123 0.0162
5 0.0223 0.0351 0.0120
6 0.0220 0.0354 0.0091

Mr. Dave Gamble in his comments on the discovery discloses, "This is an encouraging development in the ongoing exploration program of the Potter Property but it is early days. There is further sampling of the area to be done as required, geophysical surveys and if warranted, follow-up drilling of any targets generated by this data collection."

The Potter Project, located within Munro Township, occurs within an east-southeast trending Archean (2714 Ma) succession of mafic to ultramafic komatiitic to tholeiitic volcanic and intrusive rocks referred to as Kidd-Munro Assemblage. This type of mafic to ultramafic komatiitic structure is a well known host for a significant proportion of the world's sulphide nickel resources. The Kambalda and Windarra areas in Western Australia, the Thompson Nickel Belt of Manitoba, and the Raglan Belt in northern Quebec all share this in common to name a few. More locally, several nickel sulphide mines found in the Timmins vicinity are also known to be hosted by komatiites. In fact, of the nine nickel deposits of the Timmins area eight are hosted by komatiites (The Montcalm deposit being the exception). These mines namely are the Alexo, Langmuir #1 and #2, Sothman, McWatters, Dundonald, Redstone and Hart.

Millstream's main focus continues to be the copper, zinc and cobalt mineralization surrounding the immediate area of the past producing Potter Mine. Drilling is ongoing to further explore the limits of this potentially rich volcanogenic massive sulphide (VMS) type deposit. The property is host to copper-zinc-cobalt "stacked" mineralized zones located in the highly prolific Abitibi Greenstone Belt in the Kidd-Munro Assemblage near the town of Matheson in north eastern Ontario, Canada. It is the company's ambition to fulfill drilling requirements necessary to estimate a NI 43-101 compliant resource.

The principle objective of Millstream Mines Ltd. is to enhance and develop known mineral properties to production potential.

Sample preparation and analyses for this release were conducted by Swastika Labs in Swastika, Ontario on samples supplied by Millstream. Dave Gamble, P.Geo. and Edward Bettiol, P. Eng, both consultants of Millstream, are the Qualified Persons as described in National Instrument 43-101 for the Potter Mine Project. They have reviewed this report and press release with company management.

Millstream seeks safe harbour with regards to forward looking statements.

60,627,540 SHARES ISSUED

July 17, '07 Close: $0.405

No regulatory authority or similar body approved nor disapproved the information contained herein.

Contact Information

  • Millstream Mines Ltd.
    Mr. Ernest Harrison, EM
    (705) 474-7282
    (705) 474-5491 (FAX)
    Millstream Mines Ltd.
    Mr. Marty Martinello, B.A.
    (705) 474-7282
    (705) 474-5491 (FAX)
    Millstream Mines Ltd.
    Mr. Robert Chase, B.A.
    (416) 368-9595
    (416) 368-6827 (FAX)