Niblack Mineral Development Inc.
TSX VENTURE : NIB

Niblack Mineral Development Inc.

January 25, 2011 10:30 ET

Niblack Joint Venture Drilling Intersects High Grade While Expanding Lookout Zone at Niblack 14.7 Feet of 7.01% Copper, 10.59 g/t Gold, 20.48% Zinc, and 192 g/t Silver

EDMONTON, ALBERTA--(Marketwire - Jan. 25, 2011) - Niblack Mineral Development Inc. ("Niblack" or the "Company") (TSX VENTURE:NIB) and joint venture partner Heatherdale Resources Ltd. (Heatherdale) (TSXV:HTR) announce results for 20 new underground holes completed in the 2010 drill program at the Niblack volcanogenic massive sulphide (VMS) project in southeast Alaska.

Highlights from the new results include:

U090 with 44.1 feet of 1.51% Cu; 1.71 g/t Au; 4.73% Zn; and 26 g/t Ag

U095 with 15.1 feet of 2.44% Cu; 2.78 g/t Au; 1.65% Zn; and 64 g/t Ag

U103 with 38.3 feet of 3.76% Cu; 5.36 g/t Au; 14.33% Zn; and 111 g/t Ag

including 14.7 feet of 7.01% Cu; 10.59 g/t Au; 20.48% Zn; and 191.93 g/t Ag

Two underground drill rigs were deployed throughout 2010, and are currently working to expand the precious metals enriched mineralized body located adjacent to the Lookout Zone. The Lookout Zone is one of six known volcanogenic massive sulphide (VMS) deposits within the 10 square mile Niblack property.

"We are rapidly advancing our knowledge of the geology and mineralization on the Niblack Project with the ongoing two rig underground drill program. I am very impressed that the aggressive 2010 drill program has not only extended and expanded upon the Lookout Zone mineralization but has also encountered significant high grade intervals as exemplified drill hole U103. I am also very encouraged by the excellent thicknesses returning very good copper grades, plus significant gold, zinc and silver by-products that continue to be represented in the drill hole intercepts from the Lookout Zone," said Niblack President & CEO John Williamson. "Another key result is evidence that the mineralization occurs as stacked sequences of replacement and massive sulphide zones. This combination adds both grade and tonnage to the deposit."

The successful 2010 drill program focused on expanding resources in the Lookout Zone. The 2011 drill program will continue with this effort but will also involve testing other compelling exploration targets identified by the geological team based on their growing understanding of the geology and mineralization on the property.

"Many of the new target areas can also be drilled from underground by staging in the existing exploration drift, enabling the geologic team to test the new geological model during the next few months" stated Williamson.

The 91,800 feet of drilling in 76 drill holes that the Joint Venture has completed at Niblack since October 2009 was achieved from underground drill stations spaced along the adit. Holes were laid out in a fan pattern at each station, and were designed to cross-cut the mineralized target horizon at a number of elevations in areas southwest and south of the Lookout deposit. To date, the true widths of the intersections have not been accurately established; however, a new resource model is being developed that will corroborate the dimensions of the deposit outlined by drilling so far. Several holes in the table without significant results missed the prospective felsic package that hosts the mineralization. This knowledge has been incorporated into the deposit model and has resulted in new targets for drilling.

Important intersections from these 20 new holes are presented in the Niblack Assay Table below. Assays from the first 56 holes drilled (released previously) and a drill hole location section are available on the Niblack website at http://niblack.com/_resources/htr_nr_nibmineral_jan2011.pdf

TABLE OF ASSAY RESULTS

Drill Hole Number   From* (feet) To* (feet) Intercept (feet) Cu % Au g/t Zn % Ag g/t
U085   1147.7 1149.0 1.3 4.29 2.19 0.03 38
U086   1429.7 1432.8 3.1 1.08 0.48 0.04 9
U088   1262.1 1275.0 12.9 0.62 0.77 0.65 6
U088   1400.6 1405.1 4.5 0.19 0.07 4.02 1
U088   1455.5 1460.2 4.7 1.58 0.14 0.02 2
U089   828.5 831.8 3.3 6.91 10.54 3.38 214
U089   840.7 843.6 2.9 1.21 0.23 0.03 15
U089   1030.0 1034.9 4.9 2.34 0.30 0.04 7
U090   1099.1 1167.0 67.9 1.37 1.22 3.53 22
U090 incl. 1100.9 1145.0 44.1 1.51 1.71 4.73 26
U090   1245.0 1260.0 15.0 1.44 1.40 1.52 27
U095   1105.0 1114.2 9.2 1.63 1.21 1.05 44
U095   1120.8 1139.8 19.0 2.09 2.59 1.41 57
U095 incl. 1120.8 1135.9 15.1 2.44 2.78 1.65 64
U101   387.5 390.4 2.9 0.58 8.51 13.25 99
U101   460.0 471.6 11.6 0.60 0.45 2.40 3
U101   476.5 480.0 3.5 1.22 0.40 0.18 2
U101   485.0 490.0 5.0 1.16 0.31 0.23 1
U101   679.0 682.3 3.3 0.63 1.55 1.46 15
U103   377.7 386.0 8.3 3.63 1.40 4.57 36
U103   426.7 465.0 38.3 3.76 5.36 14.33 111
U103 incl. 434.8 449.5 14.7 7.01 10.59 20.48 192
U104   1240.2 1241.8 1.6 1.62 0.36 0.05 11
U104   1248.1 1249.1 1.0 1.73 0.18 0.03 10
No significant results in holes U087, U091 – U094, U096 – U100 and U102

*Holes are drilled in a fan pattern from stations spaced along an adit and are drilled with a range of different azimuths and dips.

Niblack's location at tidewater on Prince of Wales Island in southeast Alaska presents a number of project benefits, including year-round marine access, a well-trained labour force, a mature supply and service sector, proximity to Asian markets, and the support of community and Alaska Native corporation partners. The project is located 27 miles (44 kilometres) from Ketchikan, a community of 8,000 people with important services to support project development, including a deep water port and international airport. The State's burgeoning minerals industry also enjoys a competitive tax regime and stable, predictable permitting and regulatory oversight coordinated by the Alaska Department of Natural Resources', 'Large Mine Permitting Team'. For reference, Hecla's Greens Creek, a 2,100-ton per day underground massive sulphide mine, operates 225 miles (370 kilometres) to the northwest of Niblack on Admiralty Island.

Peter Kleespies, P.Geol., a Qualified Person as defined under National Instrument 43-101, is supervising the exploration and quality assurance and quality control programs on behalf of Niblack and has reviewed the content of this release.

About Niblack Mineral Development Inc.

Niblack Mineral Development Inc. (TSX VENTURE:NIB) is an exploration and development company with a number of mineral rich assets in South East Alaska. The Corporation's principal asset is the Niblack advanced stage copper-gold-zinc-silver project. This project is currently joint ventured to and operated by Heatherdale Resources Limited (a Hunter Dickinson Company) which has the right to earn up to a 70% interest in the project.

Niblack Mineral Development Inc. is a member of the Discovery Group of companies, for more information on the group visit www.discoveryexp.com.

On behalf of the Board

Niblack Mineral Development Inc.

John Williamson, President, CEO & Director

Sample preparation and analysis for the Niblack project is done at ISO 9001 accredited ALS Chemex laboratories in Vancouver, BC. All samples are assayed for gold by 30 g fire assay fusion with Atomic Absorption Spectroscopy (AAS) finish. Copper, silver, zinc, lead and 29 additional elements are determined for all samples by four acid digestion, followed by ICP-AES finish. All over-limit copper, zinc or lead results (greater than 10%) and all over-limit silver results (greater than 200 grams per tonne) are re-assayed by high grade single element four acid digestion ICP-AES or AAS analysis. As part of a comprehensive QA/QC program, one standard is inserted into the sample stream in each group of 20 samples, as well as one or more field blanks in each analytical batch. One sample in each group of 20 is a duplicate, which is analyzed by Acme Analytical Laboratories in Vancouver.

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address exploration drilling, exploitation activities and events or developments that the company expects are forward looking statements. Although the company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continuity of mineralization, uncertainties related to the ability to obtain necessary permits, licenses and title and delays due to third party opposition, changes in government policies regarding mining and natural resource exploration and exploitation, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, investors should review the Company's continuous disclosure filings that are available at www.sedar.com.

"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."

Contact Information

  • Niblack Mineral Development Inc.
    Brian Budd
    Director of Corp. Development
    604-646-4525 or Toll Free: 1-888-331-2269
    brianb@niblack.com
    www.niblack.com or Mobile URL: m.niblack.com