Paget Minerals Corp.
TSX VENTURE : PGS

Paget Minerals Corp.

January 18, 2012 09:30 ET

Paget to Focus on Its Ball Creek Project, Golden Triangle-Iskut Mineral District, BC

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 18, 2012) - Paget Minerals Corp. (TSX VENTURE:PGS), ("Paget" or the "Company") today announced its decision to focus its BC exploration program on the potential of the Ball Creek Project located in the prolific Golden Triangle - Iskut Mineral District, northwest BC.

The Ball Creek Project covers over 52 square kilometers (52,442 hectares) of contiguous mineral claims and hosts five gold-copper-molybdenum porphyry targets and four gold-silver epithermal targets. Located just eight kilometers west of Highway 37 and the Burrage Airstrip, and 36 kilometers northwest of the new Northwest Transmission Line Substation at Bob Quinn, the Ball Creek Project lies central to, and is the most accessible of, all the Iskut District's current reserves/resources, including:

  • Galore Creek - 528Mt @ 0.6% Cu, 0.32g/t Au - Proven & Probable (Teck/Novagold),
  • Red Chris - 446Mt @ 0.36% Cu, 0.29g/t Au - Measured & Indicated (Imperial Metals), and
  • Schaft Creek - 821Mt @ 0.25% Cu, 0.18g/t Au - Proven & Probable (Copper Fox Metals)

Recent discoveries and large expansions of these previously known resources/reserves in the Iskut District, together with very encouraging new information about the geological setting of the gold and copper occurrences, greatly enhance the potential of the Ball Creek Project. Paget will now focus its B.C. exploration program on aggressively advancing Ball Creek in Spring/Summer 2012. (Click here for all project, target and drill hole location maps: www.pagetminerals.com/s/BallCreek.asp.)

David Volkert, President and CEO, stated, "The Ball Creek Project represents a high potential project in the Golden Triangle - Iskut Mineral District. The Project has the right address, multiple targets and has been explored in a piecemeal fashion over its history. Paget is earning an undivided 100% interest in the 52,442-hectare, contiguous claim block via $3,000,000 in work commitments over four years and the first two years' work commitment has already been fulfilled through our 2011 work program. The aggressive drilling and surface exploration program being planned for 2012 will fulfill the remainder of the work commitments, earning Paget an early 100% undivided interest, subject to a 2% Net Smelter Royalty, half of which may be purchased by Paget at any time for $1,000,000, and certain subsequent payments (see press release dated 14 April, 2011)."

"The Ball Creek Project lies entirely within Tahltan First Nation territory. The Tahltan Nation, through a historic agreement on the Eskay Creek Mine and the formation of the Tahltan Nation Development Council, has shown itself to be progressive and business-oriented while maintaining strict environmental and cultural protection standards. Over the past year, Paget has contracted Tahltan companies or Tahltan joint venture partners for camp, drilling and helicopter services, directly employing Tahltan Band members and maintains open and informed relations with the Nation."

In addition to the new Rainbow gold porphyry discovery (see press release dated January 12, 2012), the Ball Creek Project hosts the following targets:

Main [Gold-Copper]

Located 4km to the east of the new Rainbow discovery, the Main gold-copper porphyry is unique in the Iskut District with its higher gold content. Limited, relatively shallow drilling has been completed to date in the Main Porphyry and significant drill intercepts include:

HOLE FROM (m) TO (m) INTERVAL (m) Au (g/t) Cu (%)
74-3 * 30 223
(total depth)
192 0.75 0.22
BC07-06 * 0 140
(total depth)
140 0.59 0.23
BC07-11 * 12 106
(total depth)
94 0.61 0.15
BC08-01 * 44 264 220 0.46 0.17
BC-11-01 ** 8 38 30 0.20 0.04
BC-11-02 ** 46 142 96 0.28 0.12
BC11-03 ** 21 201
(total depth)
180 0.35 0.13
BC-11-04 ** 3 137
(total depth)
134 0.17 0.05
incl 123 137 14 0.29 0.12
and 135 137 2 0.46 0.16
* Historical drill hole
** Paget 2011 drilling

Most holes bottomed in mineralization. Drill hole BC-11-04 lies central to all historical drilling, intersected the potassic core of the porphyry system at 123m and bottomed in higher grade mineralization, all indicating that additional and deeper drilling is warranted. Porphyry mineralization has been mapped and drilled over an area 1,250 x 400m by approximately 1,000m vertical (drilling and topography) and is open. No deep drilling has been completed on the Main Porphyry.

Cliff [Copper-Gold]

The Cliff copper-gold porphyry measures 1 x 2km and lies south of the Main Porphyry, separated by 600m of propylitic alteration and gossanous outcrops, indicating that the two porphyries may be connected. Historical surface sampling of stockwork veining, coincident with a geophysical magnetic low anomaly, returned assays up to 0.74% copper and 0.15g/t gold. Bedrock chip sampling of a continuously-mineralized, 270m section averages 0.2% copper (sampling in 1971). Only one drill hole has been completed on this target and returned anomalous results.

North More [Copper-Gold]

The North More copper-gold porphyry has three mineralized zones identified within an area of 5,800 x 500 meters. Initial surface samples averaged 0.55% copper and 0.17g/t gold in the View Zone, individual samples in the Canyon Zone assayed up to 0.91% copper and the South Zone is defined by a geochemical soil anomaly. Five historic drill holes have been completed in two of the mineralized zones in the large, complex North More Porphyry system with anomalous results.

Mess Creek [Copper-Gold-Molybdenum]

The Mess Creek copper-gold-molybdenum porphyry has four mineralized zones identified within an area 3.6 x 2.7 kilometers. Surface sampling in 2006 found anomalous copper-gold-molybdenum values averaging 0.1% copper and 0.36g/t gold with individual samples to 0.38% copper, 0.56g/t gold and 0.5% molybdenum. Seven drill holes have been completed in two of the mineralized zones at Mess Creek with anomalous results.

Ridge [Gold-Silver-Copper]

Initial drilling in 2011 at the Ridge epithermal gold-silver zone, the first ever completed, intersected anomalous Au, Ag and Cu mineralization. Sampling of sulfide-bearing veins and irregular stockwork in silicified limestone returned multi-gram gold assays to 59.0g/t gold. The target will be tested further starting in Spring 2012.

Valley [Gold-Silver]

Gold-silver epithermal mineralized veins with surface sample assays to 2.8g/t gold and 57.0g/t silver occur along fault structures within graphitic sandstones and mudstones at the Valley target. The mineralized veins have never been drill-tested and plans for drilling in 2012 will be completed after additional mapping and surface rock sampling.

HP [Gold]

A swarm of carbonate-dominated mineralized veins with grades to 6.5g/t gold are hosted in diorite intrusive rocks. Additional mapping and sampling is required prior to drilling.

Rojo Grande [Gold]

Advanced argillic altered volcanic rocks have been defined over an area measuring approximately 700 x 1,000 meters and have the potential for vuggy-silica hosted gold or massive sulfide feeder zone-type deposits. Initial drill testing of the target is in the planning stage.

Other BC Projects

Paget's summer 2011 exploration program discovered gold-enhanced volcanogenic massive sulfide mineralization at Chist Creek, a copper-molybdenum porphyry at Icy Lake and a gold-copper-molybdenum porphyry / gold-carbonate vein system at Fae. All three will be packaged for option or joint venture in order to move the projects forward and allow Paget to focus on its flagship Ball Creek Project.

Paget Minerals Inc. ("Paget" or the "Company") also announced today that it has engaged NV Marketing Ltd. ("NVM") of Vancouver to provide strategic marketing consulting services to the Company. NVM was founded by Nichola Vermiere and specializes in marketing and branding services to raise awareness amongst prospective investors and the investment community. Effective December 8, 2011, Paget has engaged NVM for an initial one year term, which may be extended on similar terms and conditions as may be agreed by the parties. The marketing services agreement with NVM is subject to acceptance by the TSX Venture Exchange. Paget will pay NVM a monthly fee of $4,000 for professional services and will grant to NVM 100,000 options to purchase common shares in Paget (the "Options") at a price of $0.25 per share. The Options are to be granted by Paget upon receipt of notice of TSX Venture Exchange acceptance of the marketing services agreement. The Options will vest as follows: 25% on the date of the grant, 25% on the date that is three months after the date of the grant, 25% on the date that is six months after the date of the grant, and 25% on the date that is 12 months after the date of the grant. Paget will also reimburse NVM for pre-approved expenses. Except for the marketing services agreement and the Options to be granted pursuant thereto, Paget is not aware of NVM having any other interest, directly or indirectly, in Paget or its securities, or any right or intent to acquire such interest.

About Paget Minerals Corp.

Paget Minerals Corporation is a publicly traded resource company focused on mineral exploration and the advancement of the company's priority Ball Creek Project in British Columbia. The company hosts a 52,442-hectare, contiguous mineral tenure package in the Golden Triangle - Iskut Mineral District located just 8km west of Highway 37 and only 36km northwest of the new Northwest Transmission Line Substation at Bob Quinn and neighbors three major mine development projects in the Golden Triangle - Galore Creek, Schaft Creek and Red Chris. In 2012, Paget will focus its BC exploration program on the Ball Creek Project, as well as advancing its exploration in Mexico. Paget also maintains its equity position in Trident Gold Corp. exploring for gold in Colombia. David Volkert, President and CEO, serves as the Qualified Person under the definitions of NI 43-101.

On Behalf of the Board of Paget Minerals Corp.,

David F. Volkert, President & CEO

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

  • Paget Minerals Corp.
    David Volkert
    President & CEO
    (778) 327-4449
    (778) 327-6546 (FAX)
    www.pagetminerals.com