Mindoro Resources Ltd.
TSX VENTURE : MIO
FRANKFURT : OLM

Mindoro Resources Ltd.

April 17, 2007 09:00 ET

Mindoro Resources Ltd.-New Gold Zone Located at Kay Tanda: 5.96 g/t Gold Over 26 Meters

EDMONTON, ALBERTA--(CCNMatthews - April 17, 2007) - Mindoro Resources Ltd. (TSX VENTURE:MIO)(FRANKFURT:WKN 906167) today reported results from a further ten reverse circulation drill (RC) holes from the Kay Tanda epithermal gold-silver prospect, located in the Archangel Project, the Philippines. A new zone of mineralization was intersected in the northwest part of Kay Tanda where KT-101 intersected 5.96 grams per tonne (g/t) gold over 26 meters from 128 to 154 meters; including 10.18 g/t gold over 14 meters (section 10,050N). Silver results are awaited. KT-101 was an angle hole and the intercept is believed to represent true thickness. It appears to represent a deeper zone of mineralization than previously intersected, and it is open in most directions. The latest drill results are from a combination of infill and extension drilling. Two coring rigs are being moved into proximity to extend this new zone with 50 meter step out holes.

Drill holes KT-99 with 46 meters at 0.40 g/t gold, and KT-103 with 38 meters at 0.91 g/t gold, were angle holes 50 meters apart, bracketing a previous vertical hole KT-44, which gave 76 meters of 1.19 g/t gold. This establishes continuity of extensive near-surface, stockwork mineralization in the western part of Kay Tanda (section 9,800N).

Near-surface mineralization has now been outlined over a strike length of about one kilometer, with a width of more than 700 meters. Drilling to date has been on 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. As reported on April 3, 2007, 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 by Golder Associates was commissioned and this will form the basis to proceed with a full NI 43-101 resource estimate. The new intercept in KT-101 underlines the potential for deeper, higher grade mineralization below the near-surface stockwork zone on which drilling has focused to date.

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)



---------------------------------------------------------------
KTRC 93
---------------------------------------------------------------
Direction: Incl:
140 -70
10150N : 9850E degrees degrees
---------------------------------------------------------------
Sample
Length
From To (m) Au g/t Ag g/t
---------------------------------------------------------------
24 32 8 0.44 0.94
---------------------------------------------------------------
56 62 6 2.77 0.50
---------------------------------------------------------------
88 92 4 0.32 0.50
---------------------------------------------------------------
178 180 2 0.76 0.51
---------------------------------------------------------------
KTRC 95 (KT 94 previously reported)
---------------------------------------------------------------
Direction: Incl:
140 -85
10150N : 9850E degrees degrees
---------------------------------------------------------------
0 2 2 0.32 4.00
---------------------------------------------------------------
22 28 6 0.39 0.63
---------------------------------------------------------------
60 62 2 0.34 0.50
---------------------------------------------------------------
72 86 14 0.52 0.50
---------------------------------------------------------------
94 98 4 0.62 0.50
---------------------------------------------------------------
156 160 4 0.75 0.50
---------------------------------------------------------------
182 188 6 1.25 0.57
---------------------------------------------------------------
KTRC 96
---------------------------------------------------------------
Direction: Incl:
140 -70
10050N : 9800E degrees degrees
---------------------------------------------------------------
16 18 2 0.42 0.55
---------------------------------------------------------------
38 40 2 0.40 0.50
---------------------------------------------------------------
48 50 2 0.30 0.50
---------------------------------------------------------------
66 76 10 0.45 0.51
---------------------------------------------------------------
130 132 2 0.32 5.80
---------------------------------------------------------------
136 138 2 0.30 3.10
---------------------------------------------------------------
KTRC 97
---------------------------------------------------------------
Direction: Incl:
140 -60
10100N : 9845E degrees degrees
---------------------------------------------------------------
0 12 12 0.98 0.93
---------------------------------------------------------------
54 56 2 0.30 0.50
---------------------------------------------------------------
KTRC 98
---------------------------------------------------------------
Direction: Incl:
140 -70
10150N : 9980E degrees degrees
---------------------------------------------------------------
Drilled on eastern extremity of Kay Tanda
---------------------------------------------------------------
40 56 16 0.36 2.58
---------------------------------------------------------------
82 86 4 0.37 0.50
---------------------------------------------------------------
KTRC 99
---------------------------------------------------------------
Direction: Incl:
140 -70
9800N : 9650E degrees degrees
---------------------------------------------------------------
16 62 46 0.40 1.99
---------------------------------------------------------------
Including 16 22 6 1.06 7.90
---------------------------------------------------------------
94 96 2 0.40 1.00
---------------------------------------------------------------
102 104 2 0.38 0.50
---------------------------------------------------------------
112 114 2 0.31 1.60
---------------------------------------------------------------
122 124 2 0.44 1.15
---------------------------------------------------------------
KTRC 100
---------------------------------------------------------------
Direction: Incl:
140 -70
10100N : 9600E degrees degrees
---------------------------------------------------------------
NO SIGNIFICANT INTERCEPT
---------------------------------------------------------------
Unable to drill beyond cover rocks to target depth (mechanical
reasons)
---------------------------------------------------------------
KTRC 101
---------------------------------------------------------------
Direction: Incl:
140 -70
10050N : 9650E degrees degrees
---------------------------------------------------------------
74 80 6 0.45 N/R
---------------------------------------------------------------
128 154 26 5.96 N/R
---------------------------------------------------------------
Including 138 152 14 10.18 N/R
---------------------------------------------------------------
KTRC 102
---------------------------------------------------------------
Direction: Incl:
320 -65
9750N : 9600E degrees degrees
---------------------------------------------------------------
Target depth not reached (mechanical reasons)
---------------------------------------------------------------
58 70 12 0.43 N/R
---------------------------------------------------------------
90 92 2 0.39 N/R
---------------------------------------------------------------
106 124 18 0.94 N/R
---------------------------------------------------------------
Including 116 124 8 1.53 N/R
---------------------------------------------------------------
KTRC 103
---------------------------------------------------------------
Direction: Incl:
140 -70
9800N : 9600E degrees degrees
---------------------------------------------------------------
Open at bottom. Target depth not reached (mechanical reasons)
---------------------------------------------------------------
72 86 14 0.41 N/R
---------------------------------------------------------------
98 136 38 0.91 N/R
---------------------------------------------------------------
Including 100 106 6 2.35 N/R
---------------------------------------------------------------
148 152 4 0.41 N/R
---------------------------------------------------------------
156 158 2 0.34 N/R
---------------------------------------------------------------
162 166 4 0.48 N/R
---------------------------------------------------------------
N/R: not yet received


A map posted on Mindoro's website ("Kay Tanda Gold g/t X meters"), shows the location of all drill holes to date and 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, as well as mineralization trends. Two assay cross sections (A-A' and B-B') accompanied the April 3, 2007, release.

ABOUT KAY TANDA

Low sulphidation epithermal gold-silver mineralization at Kay Tanda is associated with extensive and intense hydrothermal breccias and 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 140 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
    Website: www.mindoro.com
    or
    Ascenta Capital Partners Inc.
    Investor Relations-Canada
    Trent Dahl
    (604) 628-5800 or Toll Free: 1-866-684-4209 ext. 228
    Email: info@mindoro.com
    or
    Argentuminvest GmbH
    Investor Relations-Europe
    Richard Mayr
    +49.9421.785250
    +49.9421.785255 (FAX)
    Email: info@argentuminvest.com