Mindoro Resources Ltd.
TSX VENTURE : MIO
FRANKFURT : OLM

Mindoro Resources Ltd.

April 04, 2007 09:00 ET

Mindoro Resources Ltd.: Further Drill Results Reported From Kay Tanda and Geostatistical Resource Estimate Commissioned

EDMONTON, ALBERTA--(CCNMatthews - April 4, 2007) - Mindoro Resources Ltd. (TSX VENTURE:MIO)(FRANKFURT:WKN 906167) today reported results from a further eighteen reverse circulation drill (RC) holes and partial results of four core (DH) holes from the Kay Tanda epithermal gold-silver prospect, located in the Archangel Project, the Philippines. The latest drill results are from a combination of infill and extension drilling. Although mineralization is still open in most directions, Mindoro considers it has established a foundation on which to move on to an advanced evaluation of the project's economic potential. Accordingly, a geostatistical resource estimate has been commissioned which will form the basis to proceed with a full NI 43-101 resource estimate.

Drill highlights include (intersections are believed to approximate true thicknesses):

- 14 meters of 2.16 grams per tonne (g/t) gold in KTRC-80

- 64 meters of 0.50 g/t gold in KTRC-82

- 42 meters of 0.66 g/t gold in KTRC-86

- 30 meters of 1.27 g/t gold in PLRC-39

- 20 meters of 1.64 g/t gold PLRC-40

- 60 meters of 1.46 g/t gold and 25.10 g/t silver in PLDH-01, including 6 meters of 11.10 g/t gold and 231.51 g/t silver

Near-surface mineralization has now been outlined over a strike length of about one kilometer, with a width of up to 700 meters. This is based on drilling at 50 meter centers, with some infill holes at 25 meter spacing on section to confirm internal continuity. Initially, Kay Tanda is being evaluated for its open-pit, heap-leach potential. At a later date, drilling will be extended to test the higher-grade, deeper mineralization intercepts encountered, as well as porphyry copper-gold related alteration and mineralization in deeper drill holes. As reported (see news release dated March 21, 2007), metallurgical testing to date has given excellent results. Metallurgical testing is on-going and further results will be reported in the near future.

Although the mineralization is open in most directions, Golder Associates in Brisbane, Australia, has been commissioned to carry out an initial indicator kriging resource estimate on that part of the prospect drilled to date. This will form the basis to proceed with a full NI 43-101 resource estimate.



SUMMARY OF LATEST RESULTS

The table below summarizes results of the latest drilling.
(Based on a cut-off grade of 0.3 g/t gold)

---------------------------------------------------------------
SAMPLE
LENGTH
FROM TO (m) Au g/t Ag g/t
---------------------------------------------------------------
KTRC 80 (RC Hole)
---------------------------------------------------------------
9800N : 9851E Vertical
---------------------------------------------------------------
10 14 4 0.32 0.50
---------------------------------------------------------------
16 18 2 0.30 0.50
---------------------------------------------------------------
26 32 6 0.48 0.63
---------------------------------------------------------------
44 60 16 0.85 0.75
---------------------------------------------------------------
Including 54 58 4 1.91 0.50
---------------------------------------------------------------
78 92 14 1.45 0.88
---------------------------------------------------------------
Including 88 90 2 6.56 1.35
---------------------------------------------------------------
118 132 14 2.16 0.79
---------------------------------------------------------------
Including 118 124 6 4.17 1.18
---------------------------------------------------------------
KTRC 81 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
320 -65
9750N : 9650E degrees degrees
---------------------------------------------------------------
24 38 14 0.38 3.50
---------------------------------------------------------------
58 96 38 0.66 0.98
---------------------------------------------------------------
Including 82 92 10 1.66 1.06
---------------------------------------------------------------
128 148 20 0.50 0.50
---------------------------------------------------------------
KTRC 82 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -60
10100N : 9750E degrees degrees
---------------------------------------------------------------
16 80 64 0.50 0.75
---------------------------------------------------------------
KTRC 83 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
10100N : 9700E degrees degrees
---------------------------------------------------------------
38 40 2 0.33 0.90
---------------------------------------------------------------
68 74 6 0.38 0.53
---------------------------------------------------------------
88 89 1 0.35 1.30
---------------------------------------------------------------
KTRC 84 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
10200N : 10100E degrees degrees
---------------------------------------------------------------
46 48 2 0.38 1.20
---------------------------------------------------------------
52 88 36 0.42 2.10
---------------------------------------------------------------
KTRC 85 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
320 -65
10185N : 9900E degrees degrees
---------------------------------------------------------------
6 8 2 0.39 0.85
---------------------------------------------------------------
24 32 8 0.64 0.55
---------------------------------------------------------------
44 46 2 0.87 0.60
---------------------------------------------------------------
54 66 12 1.60 1.18
---------------------------------------------------------------
KTRC 86 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
10185N : 9900E degrees degrees
---------------------------------------------------------------
6 14 8 0.45 1.63
---------------------------------------------------------------
28 70 42 0.66 0.54
---------------------------------------------------------------
Including 52 60 8 1.96 0.50
---------------------------------------------------------------
92 94 2 6.42 0.60
---------------------------------------------------------------
106 108 2 0.63 0.50
---------------------------------------------------------------
KTRC 87 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
10200N : 10050E degrees degrees
---------------------------------------------------------------
10 18 8 0.70 8.09
---------------------------------------------------------------
52 54 2 0.57 1.10
---------------------------------------------------------------
62 66 4 0.43 3.15
---------------------------------------------------------------
88 90 2 0.93 1.50
---------------------------------------------------------------
KTRC 88 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
10150N : 9900E degrees degrees
---------------------------------------------------------------
4 44 40 0.49 1.63
---------------------------------------------------------------
Including 32 34 2 3.24 3.15
---------------------------------------------------------------
62 66 4 1.07 0.50
---------------------------------------------------------------
KTRC 89 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -65
10200N : 10100E degrees degrees
---------------------------------------------------------------
60 66 6 1.16 1.40
---------------------------------------------------------------
KTRC 90 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
10200N : 9800E degrees degrees
---------------------------------------------------------------
14 26 12 0.42 0.62
---------------------------------------------------------------
Including 14 16 2 1.54 1.15
---------------------------------------------------------------
42 60 18 0.70 0.50
---------------------------------------------------------------
90 96 6 0.35 0.50
---------------------------------------------------------------
KTRC 91 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
320 -60
10200N : 10050E degrees degrees
---------------------------------------------------------------
16 22 6 0.98 0.82
---------------------------------------------------------------
56 58 2 1.69 0.55
---------------------------------------------------------------
KTRC 92 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
320 -60
10150N : 9850E degrees degrees
---------------------------------------------------------------
10 14 4 0.71 N/R
---------------------------------------------------------------
22 24 2 0.31 N/R
---------------------------------------------------------------
32 34 2 0.36 N/R
---------------------------------------------------------------
42 44 2 1.68 N/R
---------------------------------------------------------------
60 62 2 0.64 N/R
---------------------------------------------------------------
72 74 2 0.45 N/R
---------------------------------------------------------------
KTRC 94 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
10100N : 9650E degrees degrees
---------------------------------------------------------------
42 44 2 0.52 N/R
---------------------------------------------------------------
68 70 2 0.71 N/R
---------------------------------------------------------------
100 102 2 0.43 N/R
---------------------------------------------------------------
108 110 2 0.38 N/R
---------------------------------------------------------------
130 132 2 0.34 N/R
---------------------------------------------------------------
162 166 4 3.55 N/R
---------------------------------------------------------------
KTDH 09 (Core Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
9850N : 9800E degrees degrees
---------------------------------------------------------------
0.5 9 8.5 0.50 1.42
---------------------------------------------------------------
33 35 2 0.56 4.40
---------------------------------------------------------------
88 89 1 0.08 4.10
---------------------------------------------------------------
247 248 1 0.75 1.30
---------------------------------------------------------------
KTDH 10 (Core Hole)
---------------------------------------------------------------
Direction: Incl:
140 -60
9847N : 9471E degrees degrees
---------------------------------------------------------------
150.0 152 2 0.63 12.90
---------------------------------------------------------------
155.0 156 1 0.31 6.30
---------------------------------------------------------------
183.0 184 1 0.30 0.50
---------------------------------------------------------------
192.0 202 10 0.44 0.58
---------------------------------------------------------------
213 217 4 0.37 0.50
---------------------------------------------------------------
240 241 1 0.31 0.50
---------------------------------------------------------------
256 262 6 1.79 N/R
---------------------------------------------------------------
284 285 1 0.35 N/R
---------------------------------------------------------------
294 295 1 0.45 N/R
---------------------------------------------------------------
PLRC 38 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
9600N : 9600E degrees degrees
---------------------------------------------------------------
82 84 2 0.70 0.60
---------------------------------------------------------------
less
108 112 4 0.63 than 0.5
---------------------------------------------------------------
less
120 130 10 1.07 than 0.5
---------------------------------------------------------------
144 146 2 0.39 0.60
---------------------------------------------------------------
154 156 2 0.33 0.70
---------------------------------------------------------------
188 190 2 0.42 0.75
---------------------------------------------------------------
PLRC 39 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
9317N : 9460E degrees degrees
---------------------------------------------------------------
0 30 30 1.27 1.57
---------------------------------------------------------------
Including 4 6 2 4.13 3.60
---------------------------------------------------------------
& Including 12 16 4 2.06 3.10
---------------------------------------------------------------
& Including 24 30 6 1.56 0.83
---------------------------------------------------------------
PLRC 40 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
9350N : 9410E degrees degrees
---------------------------------------------------------------
36 56 20 1.64 2.56
---------------------------------------------------------------
Including 46 56 10 2.38 1.86
---------------------------------------------------------------
68 70 2 0.68 0.50
---------------------------------------------------------------
PLRC 41 (RC Hole)
---------------------------------------------------------------
Direction: Incl:
140 -70
9500N : 9500E degrees degrees
---------------------------------------------------------------
No Significant Intercepts
---------------------------------------------------------------
PLDH 01 (Core Hole)
---------------------------------------------------------------
Direction: Incl:
140 -45
9350N : 9550E degrees degrees
---------------------------------------------------------------
3 63 60 1.46 25.10
---------------------------------------------------------------
Including 26 32 6 11.10 231.59
---------------------------------------------------------------
(w/c Includes) 30 31 1 59.61 1178.75
---------------------------------------------------------------
73 74 1 1.54 0.90
---------------------------------------------------------------
PLDH02 (Core Hole)
---------------------------------------------------------------
Direction: Incl:
140 -60
9300N : 9300E degrees degrees
---------------------------------------------------------------
60.0 61 1 0.30 13.60
---------------------------------------------------------------
65.0 67 2 0.35 11.25
---------------------------------------------------------------
74.0 76 2 2.29 N/R
---------------------------------------------------------------
97.0 105 8 1.13 N/R
---------------------------------------------------------------
125 126 1 1.82 N/R
---------------------------------------------------------------
KTDH10 Assay Results received down to 320m
N/R - not yet received


A map accompanying this release and posted on Mindoro's website ("Kay Tanda Gold g/t X meters"), shows the location of all drill holes to date and the distribution of gold values in grams per tonne (g/t) times intercept length in meters for each hole. Using a cut-off of 0.3 g/t gold, mineralization intercepts for each drill hole are summed and plotted in contour form. Mindoro considers the contoured areas defined by numbers greater than 15 (g/t gold x length of intercept) to be of particular interest. This map format illustrates the distribution of mineralization and provides information on mineralization centers, structural controls and mineralization trends. Two assay cross sections (A-A' and B-B') also accompany this release on Mindoro's Website.

ABOUT KAY TANDA

Low sulphidation epithermal gold-silver mineralization at Kay Tanda is associated with extensive and intense hydrothermal breccias, quartz stockworks, with accompanying base metal sulphides, reflected by an induced polarization chargeability anomaly that is about 1.5 kilometers by 1.4 kilometers in extent. This is part of a much larger chargeability anomaly trend, which strengthens markedly to the north along strike, especially at the Marita Prospect. Only a relatively small part of the Kay Tanda chargeability anomaly has been drill-tested to date. This is interpreted as part of a much larger mineral system consisting of epithermal gold-silver and base-metal mineralization telescoped into an underlying porphyry copper-gold system.

Mindoro has completed over 120 reverse circulation (RC) and ten core drill holes at Kay Tanda. Almost all holes have encountered near-surface, generally flat-lying to gently-dipping blanket-like low-grade mineralization, which is partially to strongly oxidized to depths of 40 to 60 meters and non-oxide below this. Drilling, especially at deeper levels, has encountered at least four steeper-dipping and much higher-grade zones, with bonanza grades to 100 g/t gold and over 1,000 g/t silver, in places, which are interpreted as structurally controlled upflow, or "feeder" zones. Further drilling and structural studies are in progress to determine the nature and controls of the high-grade zones. Mineralization is thought to be related to swarms of hydrothermal breccias, and prospect-scale quartz stockworking, with the high-grade occurring preferentially at elevations below 150 meters (ASL) within a boiling zone. Few holes have penetrated to this depth to date. Such upflow zones can be associated with bonanza mineralization and constitute some of the world's best epithermal gold-silver deposits.

Programs are carried out under the supervision of Tony Climie, P.Geol., who is a qualified person as defined by National Instrument 43-101. Sample preparation and assaying is performed by McPhar Laboratory of Manila, an ISO 9001/2000 accredited laboratory. Gold assays were by 50 gm fire assay fusion; where gold assays greater than 3 ppm were by gravimetric finish, and by AAS where the gold values were less than that threshold. Silver was determined by AAS after an HCl-HNO3-HClO4 digest. Normal Quality Control and Quality Assurance procedures are being carried out, using a system of duplicate, standard and blank samples.

ABOUT MINDORO

Mindoro is a Tier 1 Issuer trading on the TSX Venture Exchange (MIO) and the Frankfurt Stock Exchange (WKN 906167). The Company is carrying out three major drill programs: resource delineation drilling on the Kay Tanda epithermal gold-silver prospect, reconnaissance drilling on the Calo porphyry copper-gold prospect, and advancing a significant nickel laterite prospect towards production; in addition to holding another 22 identified porphyry copper-gold prospects in the Philippines.

This release may contain forward-looking statements including management's assessments of future plans and operations, and expectations of future production. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated. These risks include, but are not limited to, the risks associated with the mining and exploration industry (e.g. operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production). The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Mindoro Resources Ltd. - Head Office
    Penny Gould
    Executive Vice President
    (780) 413-8187
    Email: penny@mindoro.com
    or
    Ascenta Capital Partners Inc.
    Trent Dahl
    Investor Relations-Canada
    (604) 628-5800 or Toll Free: 1-866-684-4209 ext. 228
    Email: info@mindoro.com
    Website: www.mindoro.com
    or
    Argentuminvest Gmbh
    Richard Mayr
    Investor Relations-Europe
    +49.9421.785250
    +49.9421.785255 (FAX)
    Email: info@argentuminvest.com